1	Gearing Up for Greatness: Assessing Fiscal Resource Availability for JSU in 2013 Fiscal Resource Working Group “Gearing Up for Greatness” January 31, 2008
2	Charge “JSU can either shape itself now for what its future will hold or it will get shaped by that future upon its arrival” The four taskforces for “Gearing Up for Greatness” – “Assessment”, “New Academy”, “Process” and “Financial” – seek to develop a strategic direction for JSU focused on new learning paradigms while developing the people, systems, processes and fiscal resources necessary to meet student needs/outcomes expected to required by 2013
3	Financial Working Group Objectives Project the potential resources necessary for and available to JSU in its quest to become America’s leading urban university by 2013 Develop the tools necessary for the JSU family to better understand their impact on the current fiscal state of JSU Develop scenarios outlining the range of resources available for JSU to meet its goal by 2013
4	Objective: Clarity of Current Fiscal State Develop the tools necessary for the JSU family to better understand their impact on the current fiscal state of JSU Create online and offline reporting tools demonstrating fiscal and productivity trends customized by department and/or employment area Create the JSU cost model using activity-based cost analysis principles to define where and how costs are being incurred
5	Key questions to address: Reporting and Productivity Tools What reporting tools need to be put into place to ensure transparency of JSU’s financials? Does the current PAWS adequately show budget data/information? What other online data/tools need to be developed to show budget, fiscal trends and productivity information? How should this data be used by management/Cabinet to address budget and/or productivity questions/issues? What offline tools (and where and how to display) are needed to show impact by workgroup/department? How should we be assessing the productivity of JSU’s workforce? What benchmarks should be used – and how many – to gauge work product/impact? Compare to other 4-year institutions? Corporate? Non-profit? Regional or national? Best-in-class or world-class? How are these benchmarks linked to University goals of student outcomes and/or appraisals/compensation?
6	Key questions to address: Cost Study What does it really cost to deliver JSU’s academic programs – not what we spend in a given area – what are the fully loaded costs to deliver JSU’s programs and services? What is the fundamental cost element at JSU – classes and/or departments – by which all direct, variable and/or allocated costs can be applied? How do you differentiate between fundamental cost elements and shared resource units? What are the direct costs for delivering the fundamental cost element – salaries (what amount of time is spent directly in the class vs. prep, research, admin, counseling/support, service), facility (is it shared, what type of room, what is in it, how was the facility paid for, etc.) What are the variable costs associated with the deliver of the cost element – Admin, IT, facility, other faculty support What are the allocated costs and how should those costs be appropriated to the various units – both fundamental cost units and across shared resource units (i.e., IT, Legal, DFCM, HR) Once you know this information, so what? What service levels can JSU afford to provide from its shared resource units? What staffing and skill levels are necessary to meet those service needs? Will units be willing to “pay” for higher levels of service than “baseline”? Are there organizational, process, personnel and/or system changes necessary to lower costs? How do you link this data to the reporting and productivity tools?
7	Why Do a Cost Study? Cost of department are often underestimated with current Budgeting process Does not include support Does not include department to department activity Ability to affect transfer pricing / costing Ability to dive deeper in analysis
8	Activity-Based Costing Process
9	Objective: Develop Resource Scenarios Develop 2-3 scenarios outlining the range of resources expected to be available by 2013 Using the outcome of the cost model, options being considered by the Academic Taskforce and expected impact/benefits from process redesign, develop 2-3 expense scenarios JSU can expect by 2013 Develop creative new revenue sources and/or areas for cost avoidance expected to be in place by 2013
10	Key questions to address: Resource Scenarios What are the range of possible available fiscal resources for JSU to implement its strategy by 2013? What is impact of changes and eventual elimination of Ayers funding? What facility – maintenance, new construction, insurance and R&R, debt service – and information technology needs must be budgeted for? What are expected macro economic trends and how will that impact funding sources – state, federal, foundation, tuition – and issues such as hiring/personnel management (compensation, training, retention) What is the general direction the Academic Taskforce is taking? What level of resources might be required? What efficiencies can be gained from the work of the Process Re-engineering Taskforce? How can data from cost study be used to develop scenarios?
11	Key questions to address: Potential Revenue Sources/ Areas for Cost Avoidance What new revenue sources can be in place by 2013? What are the complete list of possible and probable set of revenue sources that MIGHT be in place by 2013? Of those, what resources/investment are/is required upfront and ongoing, when can revenue be expected to “breakeven”, what approvals are required (i.e., IHL), which ones are more aligned with the work from the Academic Taskforce? What areas can JSU gain significant cost savings by 2013? What resources/investment are/is required upfront and ongoing, when can cost savings be expected to “breakeven”, what approvals are required (i.e., IHL), which ones are more aligned with the work from the Academic Taskforce and/or Process Re-Design
12	Potential Revenue Sources Academics/Student Life Differentiated tuition or SCH charge vs. grad vs. undergrad Lifelong and distance learning Inter-sessions Student activity “fees” Publishing Significantly increase lower undergrad to upper undergrad retention Licensing course content Athletics Season ticket packages Auxiliaries Off campus catering Summer conference housing Licensing “JSU” trademark/marketing agreements Professional Services Multimedia: TV23/radio/web Community services Charter/transit services Conferences/meetings
13	Potential Cost Avoidance Areas Refinancing debt “Green” initiatives – utilities/facility design, fleet, use of paper Changes to insurance coverage (facilities, fleet) and/or benefits Outsourcing some shared resources (i.e., travel, facilities, IT, HR, etc) and/or Auxiliary units Process re-engineering/better use of information systems
14	Working Group Composition Oversight Team will provide general guidance/review Dr Walter Brown Mr. Alfred Carter Mr. Rod Denne Ms Kathy Elam Dr Maury Granger Dr James Maddirala Ms Javida Jones Dr Marvel Turner Ms Sherry Wilson Working Group will consist of members selected by Faculty and Staff Senates with following staff serving as liaison with Oversight Team Reporting/productivity Tools – Mr. Rod Denne Cost Model – Mr. Rod Denne Budget Scenarios – Ms Javida Jones Revenue Sources/Cost Avoidance – Ms Javida Jones
15	Gearing Up for Greatness: Financial Taskforce Janieth Adams Dr. Jean-Claude Assad Dr Carrine Bishop Dr. David Bramlett Dr. Quinton Booker Dr. Walter Brown Alfred Carter Dr. Gary Chong George Daniels Melvin Dilworth Dr Melissa Druckery Kathy Elam Willie Foster Dr. Patricia Freeman Dr Glenda Glover Dr Maury Granger Tommy Ferguson (external) Dr. Gail Grass-Fulgham Dr. Curtis Gore Deborah Griffin Dr. Debra Holt Jewell Harris Dr. Faidel Eleazla-Harrison Rosella Houston Dr Ernest B Izevbigie Walter Johnson Eamon Kelly (external) Linda Lewis Dr. Susan Maneck Dr. James Maddirala B. J. Moncure Lori Moncure Dr. Alisa Mosley M. K. Nabulsi Dr. Bennett Odunsi Mei-Chi Piletz Dr Phil Pepper (external) Evangeline Robinson Michael Robinson Sonja Robinson Linda Rush Dr. Richard Russell Dr. Marvel Turner Dr Daniel Watkins David Wilson Sherry Wilson Dr. Jianjun Yin