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University of Hagen, Faculty of Economics and Business Administration

University of Hagen, Faculty of Economics and Business Administration. „From outside and within“: Balanced strategies for diverse demands in postgraduate education 30th Annual EAIR Forum: „Polishing the silver: Are we really improving higher education?“

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University of Hagen, Faculty of Economics and Business Administration

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  1. University of Hagen, Faculty of Economics and Business Administration „From outside and within“: Balanced strategies for diverse demands in postgraduate education 30th Annual EAIR Forum: „Polishing the silver: Are we really improving higher education?“ Copenhagen (Denmark), August 24-27 2008 Dr. Jürgen Deeg Chair of Business Adminstration, Leadership and Organisation

  2. Overview • Introduction • Diversity of demands in postgraduate education • Core elements of the strategic management process • Four steps towards balanced strategies for postgraduate ecucation • Conclusions

  3. Diversity of demands in postgraduate education • society (knowledge-based economy, life-long learning) • state (regulations, ressources) • staff (motivation, skills) • students (quality of teaching, costs) • systems (national/international system(s) of education) • situation (competition, market development) need for strategic (re-)positioning

  4. The strategic management process mission objectives external analysis internal analysis strategic choice strategy implementation competitive advantage (cf. Barney 2007, p. 6)

  5. Four steps towards balanced strategies Step 1: Goal planning Step 2: Strategic analysis Step 3: Strategy selection Step 4: Strategy implementation and control

  6. Step 1: Goal Planning vision & mission goal setting • Context factors affecting goal setting: • legal restrictions • political control • range of services • finance

  7. A typology of stakeholder Power Dormant Stakeholder Legitimacy Dominant Stakeholder Dangerous Stakeholder Definitive Stake- holder Discretionary Stakeholder Dependent Stakeholder Demanding Stakeholder Urgency (cf. Mitchell et al. 1997, p. 874)

  8. Example of goal setting in postgraduate education (cf. Nickel/Zechlin 2000, p. 158; examples added)

  9. Step 2: Strategic analysis SWOT-Analysis: strenghts, weaknesses, opportunities and threats Combination of environmental and organisational analysis

  10. Steps of the environmental analysis Step 1: Scanning (i.e identification of stakeholder) Step 2: Monitoring (i.e.continuous observation and interpretation of external developments) Step 3: Forecasting (i.e.detecting the direction, the extent and the intensity of the environmental changes that have been identified through monitoring ) Step 4: Assessment (i.e.evaluating the results from scanning, monitoring and forecasting)

  11. Analysis of the competitive position intensity of competition and rivalrycan be specified by • rivalry between the existing competitors • market entrance of new competitors with similar program portfolio • market entrance of new competitors with alternative program portfolio • negotiation power of suppliers of higher education • negotiation power of demanders of higher education (cf. Scheidegger 2001, p. 115)

  12. Analysis of the core competencies exemplary resources of educational organisations • financial resources (e.g. financial means, endorsements) • human resources (e.g. well trained employees, implicit and explicit knowledge and experiences) • structural resources (e.g. processes, data bases or organisational structures) • valuable relationships with external stakeholders (e.g. relationships to investors, tutors, lecturers and students) (cf. Piper 2006, p. 125)

  13. Step 3: Strategy selection criteria of strategy selection • Is the strategy appropriate to the current situation? • Is the strategy acceptable for stakeholders? • Is the strategy practicable due to existing resources? • Is the strategy consistent? (cf. Piper 2006, p. 125)

  14. Step 4: Strategy implementation and control Clarifying and Translating the Vision and Strategy ｷClarifying the Vision ｷGaining consensus Communicating and Linking ｷCommunicating and Educating ｷSetting goals ｷLinking rewards to performance measures Strategic Feedback and Learning ｷArticulating the shared vision ｷSupplying strategic feedback ｷFacilitating strategy review and learning BalancedScorecard Planning and Target Setting ｷSetting targets ｷAligning strategic initiatives ｷAllocating resources ｷEstablishing milestones The BSC as a framework for action and improvement (cf. Kaplan & Norton 2007, p. 155)

  15. Step 3: Strategy selection Why the BSC can stimulate a strategic learning process: • The BSC is a holistic model, which aligns the individual efforts and abilities to the organisational goals. • The BSC provides a strategic feedback system, which allows the review, validation and adjustment of the hypotheses and the underlying cause and effect relationships. • The BSC supports the strategy evaluation by reviewing the validity of a strategy and the quality of its realisation. (cf. Kaplan & Norton 2007, p. 160)

  16. How can improvement really be a success? Change vs. improvement: „I don‘t know, whether things get better if they change, but I know that things have to change in order to get better. “ Georg Christoph Lichtenberg (1742-1799) German Philosopher

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