1 2007-2008 budget presentation. faculty of business administration 2007 – 2008 budget committee...

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Faculty of Business Administration 2007 – 2008 Budget Committee Presentation

URBusiness

Introduction Slide• 18% increase in graduates this year• 14.3% increase in UG credit hours taught• 187% increase in Grad credit hours taught• 3rd largest credit hours taught• Largest 2nd, 3rd and 4th year class sizes• 0% real growth in budget over past decade• $3.5 million budget shortfall in 2006-2007• $4.4 million budget shortfall in 2007-2008

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URBusiness

Historical Convocation Data(18% Increase this Year)

73

361

0

50

100

150

200

250

300

350

400

1977

2007

YEAR

Con

vocan

ts

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Historical Credit Hours Taught(18.6% Increase this year)

26304

21561

14300

0

5000

10000

15000

20000

25000

30000

1997

2002

2007

YEAR

Cre

dit

Hou

rs T

au

gh

t

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4 YEARS OF ‘PROOF’From 2002 to 2006, at the request of the VP Academic the Faculty of Business Administration has conducted 3 studies to support the position that the Faculty of Business Administration is Critically under funded.

The key finding in each of the studies is that the Faculty of Business Administration fiscal gap is in

excess of $2 million dollars.

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URBusiness

Fiscal Gap ($ Millions) 2 YEARS AGO

Average Cost

Internal Benchmark

Local Benchmark

Three University Comparison

U of R Average Cost

Faculty of Education

U of S College of Commerce

University of Victoria

Brock University

University of Calgary

Total Baseline Budget of eight UofR Faculties divided by total Chrs taught x

URBus Chrs.

2005/2006 Baseline Budget of the Faculty

of Education

Published 2005/2006 Budget of the College of Commerce at the

UofS

Total budget of Faculty or School divided by total credit hours taught multiplied by URBus credit hours taught

$5.34 $5.94 $5.10 $5.77 $5.90 $16.90

Faculty of Business Administration 2005/2006 Baseline Budget

$3.00 $3.00 $3.00 $3.00 $3.00 $3.00

GAP GAP GAP GAP GAP GAP GAP GAP GAP GAP GAP GAP

$2.34 $2.94 $2.10 $2.77 $2.90 $13.90

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URBusiness

Canadian Business School Budgets

Canadian Business School Survey 2004-2005

produced by AACSB International

University Operating Budget

HEC Montreal $88,800,000

University of Toronto $50,903,677

University of British Columbia $42,420,000

Queen's University $40,000,000

University of Alberta $27,500,000

University of Calgary $25,000,000

University Laval $22,000,000

University of Ottawa $17,228,607

Simon Fraser University $16,400,000

Wilfrid Laurier University $15,300,000

University of Manitoba $11,398,571

University of Lethbridge $10,326,300

Brock University $10,112,007

Athabasca University $9,448,000

Memorial University of Newfoundland $7,658,689

Carleton University $5,000,000

Royal Roads University $3,555,740

University of Regina $2,989,000

University College of the Fraser Valley $1,600,000

Trent University $1,444,550

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URBusiness

Canadian Business School Budgets

Operating Budget AACSB 2001 Survey

51.6

11.17.2

2.3 1.10

10

20

30

40

50

60

Maximum Median Mean URBus Minimum

Opera

ting B

udget

($m

illions)

Operating Budget AACSB 2005 Survey

88.8

15.320.4

2.9 1.40.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

100.0

Maximum Median Mean URBus Minimum

Opera

ting B

udget

($m

illions)

2001 Data on 40 Business School

2005 Data on 21 Business School

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4-5 Years of Operation Forecasts

From the 2004-2005 Comprehensive Budget PlanThere is a strong case for the allocation of more funding to this faculty (Administration)………... The Faculty of Administration should not be left behind its counterparts. It should be noted in this connection that the rudimentary comparative information available about the equity of

allocations to faculties suggests that Administration may be underfunded relative to other faculties……..

From the 2005-2006 Operations Forecast“Ensuring the competitiveness of the Faculty with its counterparts at other universities will require additional resources through internal

reallocation, increased tuition fees retained by the Faculty, or an injection of new funds.”

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Most Recent Operation Forecasts

From the 2006-2007 Operations Forecast“Ensuring the success and competitiveness of the reconfigured Faculty of Business Administration requires additional resources. Preliminary assessment of the competitive situation of the Faculty vis-à-vis other business schools in Canada suggests additional resource needs of at

least $500,000 over the next two years.

From the 2007-2008 Operations ForecastExternal reviews have determined that a number of key academic and

administrative functions of the University of Regina are seriously under-resourced. The Faculty of Business of Administration operates with funding per student that is significantly less than is available to its

peers elsewhere in Canada, including the University of Saskatchewan. Enrolments in its programs continue to grow at the undergraduate and

graduate levels.

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The Fiscal Gap is Increasing

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Current Year Operating Budget divided by Current Year Discipline-weighted, CCE-adjusted SUFM FLEs

(2006-2007 FLE's are estimated)

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

$8,000

$9,000

2002-03 2003-04 2004-05 2005-06 2006-07Budget Year

$ p

er F

LE

Arts Bus AdminEducation EngineeringFine Arts KHSScience Social WorkAverage Funding Trend Line

Average Funding Trend Line

BUSINESS

Engineering

Social Work

KHS

Fine Arts

Science ArtsEducation

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% of Weighted CCE-Adjusted FLE Funding Received By EACH Faculty

(Current Year FLE BY Current Year Operating Budget)2006-2007 FLE's are estimated

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

110.0%

120.0%

130.0%

140.0%

150.0%

160.0%

170.0%

2002-03 2003-04 2004-05 2005-06 2006-07

Budget Year

% o

f A

ve

rag

e S

UF

M F

LE

Fu

nd

ing

Arts Bus Admin Education

Engineering Fine Arts KHS

Science Social Work Average Funding Trend Line

Fine Arts

Arts

BUSINESS

Education

Science

Social Work

Engineering

KHS

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Implications• Faculty members are now teaching one to three overload

course(s) per year at the expense of their research.• 3rd and 4th year classes have been capped at 45 students.

Demand exceeds capacity by 30 to 50%.• Even assuming a willingness of faculty members to

continue to teach overload courses at the same rate we will NOT be able to staff fall and winter classes.

• We can not enter into any new partnerships or programs .• We will not be able to meet the enrolment growth in

undergraduate programs (7.6%) nor the enrolment growth in graduate programs (43.4%) this year (2007-2008).

• The quality and quantity of our research, teaching and service is being negatively effected.

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Budget Request

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Faculty Revenue Generation 2007-2008

$14 Million(direct faculty only as high as $26 million gross)

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Operating Budget Request - UGExisting Positions

• Release the two positions that are being ‘held’New Positions

• Five faculty positions to meet current UG demand

• Four faculty positions to meet 2007-08 UG demand

• Two faculty positions to enable offering Bus 100 demand

• Two APT advisor positions to meet first year student counseling demand

• Covert Technician 1 position to base budget

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Operating Budget Request - Grad

New Positions• Create a Director (faculty) position• Two faculty positions to meet 2006-07 Grad

demand• Two faculty positions to meet 2007-08 Grad

demand• One APT graduate student advisor• One CUPE Staff position

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Financial Requests• Eliminate $100,000 ‘recovery’ charge to Faculty

• $38,200 equipment fund request

• $33,000 capital funding (Faculty is contributing $400,000 in capital funding in 2007-2008)

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Total Request$1.2 Million in positions (1 directors, 15 faculty, 3

APT and 2 CUPE)

$100,000 in new base funding (remove recovery)

$71,200 in new one time funding

Total Request: $1,371,200

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Support Plan

FiscalImbalance

StabilizeGrowthSupport

2007 - 08 $500,000

2007 - 08 $250,000

2 Years $750,000

2007 - 08 2 Positions released

2007 - 08 16 Positions

2 Years 22 Positions

($2,000,000)


(3 APT & 2 CUPE)



3 Years 9 Positions


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Where to from here?

1 2007-2008 budget presentation. faculty of business administration 2007 – 2008 budget committee...

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faculty administration

faculty of administration

business schools

budget shortfall

faculty vis

business school2005

comprehensive budget

ug credit hours taught187