Business case - SCIT Global Automated Institute by Nirav Khandhedia

BUSINESS CASE FOR

APPROVAL OF A NEW

COMMERCIAL ACTIVITY- NIRAV KHANDHEDIA, 12030242017, EX-MBA, SCIT

SCIT – A Global and Automated Institute

An initiative to expand the SCIT horizons and improvement of financial strength

Disclaimer

Content put into the slides are hypothetical.

No relevance to the entities mentioned herein.

Background

SCIT Management along with Board of Studies - Symbiosis International University, as part of Academics and Institute Maturity review, identified requirements for taking the institute on global platform and providing the best of education services to a bigger audience of the world.

Financial Health review of the SCIT by Department of Finance and Accounting, Symbiosis International University, revealed the fact of continuously deteriorating health in terms of increasing annual deficit. Requirements were identified to start new initiatives at SCIT level, which can improve the financial health of institute.

Chancellor, SCIT in a statement said “the university of tomorrow must be defined today. We must prepare to lead the change. We need to transform or we will be left behind. Yes, we will spend the money. This is our survival we are talking about …”. This statement expresses the urgency of Globalization for SCIT and need of improvement on financial front.

Alternatives and Recommendation

Moving IT to cloud

• Gain back CapEx

• Reduce OpEx of Maintenance

Collaboration with Foreign universities, extension of classrooms

• Global Identity and Brand support

• Better Infrastructure

A Virtual Global Institute with Automated Systems

• Virtual Institute with eLearning Programs -Students and faculties participating from across the world

• Optimization of operations, payments and transactions, admission and enrolment system.

• Collaborations with other universities and stake holders

• Improvement in teaching channels and methods,

• Reaping the best fruits of Social Media, etc.


Moving IT to cloud

• Gain back CapEx

• Reduce OpEx of Maintenance

Collaboration with Foreign universities, extension of classrooms

• Global Identity and Brand support

• Better Infrastructure














Aligned with Chancellor’s

statement and addresses

urgency expressed

Global Identity and Brand

Support

Estimates:

OpEx Reduction – 80-90%

Revenue Increase – 75%

Annual Deficit Reduction – 70%



Identifying that Infrastructure which can be easily moved

to Cloud and be used as a Service

Identifying the IT Infrastructure requirements for

Automation System


establishment of Virtual Institute

Looking out for the best of eLearning programs being

offered in market and the ones which are really

demanded by the society

Setting up the automated system and Global Institution

Leveraging the expertise of SCIT professors to take up

such ePrograms or hiring IT and Management Gurus

from world






Automation System









from world

Market Demands Unique, Web

based Programs

Competitors have already identified

the need and started addressing the

demand

NMIMS has globalized, 17 e-

Learning Programs, Contributes to

Coursera






Automation System









from world

ISB collaborated with Harvard.

Offers Ex-MBA on Web. 5 Diploma

and 7 Certification courses Online!!

PUMBA eUniversity has started for

5 Years, No global presence

However!

Can give good competition in Indian

Market






Automation System









from world

But,

No competitor has IT +

Management Blend

No competitor has World Class SAP

trainers as faculty

No competitor has company CEOs

in Board of Studies

SCIT has many unique things, good

time to adopt the change and GO

GLOBAL!

Flight should not be missed!

HR, Management and Legal


Intellectual properties generated from this will be

protected by IP Policy, which be outlined and registered

with the body.

SCIT Virtual Campus, a sister concern of SCIT would be

established.

Institute will be affiliated to Symbiosis International

University and accredited by UGC

Collaborations with Harvard and NYU will be first priority

Fees for Non-Indian Students and Payment to Non-Indian

faculties may vary based on Government Policy

Deputy Director, SCIT may be advisor for the functioning

of new institute. Director and Online Course Coordinator

will be key resources to be hired to kick start the initiative

Budget and Sources of Fund


IT Infrastructure -

Global Institution - CapEx of Rs. 150 Lacks.

ERP system - Rs. 60 Lacks for 2 Years Licence.

Configuration of business processes in ERP - Rs. 20

Lacks.

Human Resource –

Faculties - 60 Lacks per Annum.

Source of Money –

200 Lacks rupees may be granted by SIU, given out of

University Innovation Budget Head.

Other funds as part of short term loans from the banker.

However, in the approach, if ERP system is replaced with

ERP as a service, it would cost 20 Lacks per annum. This

would make the initial investments easier but it would

have recurring OpEx. Management and finance team can

take a call on this.

Risk Assessment


Legal complications can cause delay in getting approvals

for eUniversity concepts.

IP Policy outlining and registration may cause time delay

70% usage of existing IT infrastructure is considered

while budgeting, with assumption that the infrastructure

would be usable and would be directly applicable for the

Global Institution concept. If this is mis-aligned, this may

cause cost variations and time delays for acquiring new

hardware/software.

Infra hardware delivery delays

ERP system configuration has been a tough task

historically. All the support in terms of providing all

resources and information for configuration of Business

Processes will be needed. Any wrong/improper inputs

can cause disasters.

Risk Mitigation Strategy


Legal and Financial Advisors will be consulted as soon as

project gets approval from SCIT management. Request for

approvals will be initiated and followed up so as to not have

any delays impacting the go live dates.

IP Policy will be outlined and registration request will be

initiated well in time.

Feasibility analysis for existing IT Infrastructure will be started

in the early days of project initiation, in parallel with the

requirement identification and analysis phase. Any deviations

from the assumptions will be informed to the management

and necessary approvals will be sought from the

management body.

Agreements and clauses for Late Delivery from Vendors

Deputy Director has promised to provide all support and

resources to provide all necessary details for proper and

timely implementation of ERP system.

Insurance and Taxation


University’s insurance would cover the ERP system

and IT Infrastructure being acquired.

SPOC, Insurance – SIU was consulted for the same

and premium of Rs. 7 Lacks may be charged for it.

Online Learning courses are offered 7% tax exemption

as per Indian Taxation Law.

For the students enrolled from outside India and who

paid fees in dollars, the institute will be given 30%

discount on normal taxation amounts.

Payments to the faculties hired from foreign countries

will be tax deducted at source as per Indian Taxation

laws for “Non-Indian employee payment in Non-Indian

currency.”

Thank you

Any Questions?

Date post:	03-Jul-2015
Category:	Education
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Business case - SCIT Global Automated Institute by Nirav Khandhedia

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