FOCUS FALL 2001 CONFERENCE
Maurice W. ScherrensS i Vi P id tSenior Vice President
November 8 2011November 8, 2011
Where Innovation Is Tradition
Where Innovation Is Tradition
BOARD OF VISITORSSPIRES OF EXCELLENCE
1. Enhance/Add Spirals of Excellence2 In L l f R h
Where Innovation Is Tradition SPIRES OF EXCELLENCE
2. Increase Level of Research3. Improve Critical Thinking Skills of
Undergraduate StudentsUndergraduate Students4. Continue Improvement in Retention and
Graduation Rates5. Increase Financial Aid Support for
Undergraduate and Graduate Students6. Maintain Commitment to the Region and
Diversity7. Enhanced Resources – Public and Private Support8. Pursue the World Class Strategy 2
Where Innovation Is Tradition
2014 STRATEGIC PLANPRINCIPAL GOALS
1. Raise the profile as a nationally-ranked research university.2. Emphasize the commitment to teaching and maintain access
Where Innovation Is Tradition PRINCIPAL GOALS
for an increasingly talented student body at all levels.3. The University will build on its history as an institution that
embraces its diversity.y4. The University commits to an innovative program of lifelong
learning opportunities as a vital contribution to the region.5 Th U i it ill d l f ll it l di l 5. The University will develop more fully its leading role as a
global university, through diverse international partnerships and the extension of global and environmental awareness in all educational programsall educational programs.
6. Mason will build further is university community and its connections to the wider regional community.
7. The University will establish the capacity needed to achieve these goals.
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OUR FOCUS OF ATTENTIONFY 2012 – FY 2017Where Innovation Is Tradition FY 2012 FY 2017
Federal Research F di
PrivateFundraising
Other Business
OpportunitiesState
Funding
Where Innovation Is Tradition
Funding Opportunities Funding
AuxiliaryEnterprise
Out-of-State International
Student Enrollment ACADEMIC
EXCELLENCE INSTITUTIONAL
MOMENTUM
pContributions
Quality In-State
Enrollment
TuitionMOMENTUM
E&G C i l
yStudent Enrollment
GrowthIncreases
E&G Capital Improvements
Capital Improvements
Cost Containment (Operating)
TalentResearch ImprovementsAux. Ent. & Research
TalentRetentionGrowth
(ICR)
4
Where Innovation Is Tradition
TOTAL REVENUE CHANGEALL PROGRAMS
TOTAL REVENUE CHANGE
Where Innovation Is Tradition ALL PROGRAMS
ALL PROGRAMS REVISED
GORIGINAL
GFY11 TO
12 PROGRAM
BUDGET FY 2011
BUDGETFY 2012
FY12% CHANGE
Educational & General (E&G) $429.3M $433.2M 0.9% Auxiliary Enterprises (AE) 191 9M 201 3M 4 9%Auxiliary Enterprises (AE) 191.9M 201.3M 4.9%Sponsored Research 107.3M 114.8M 7.0% SUBTOTAL OPERATING $728.5M $749.3M 2.9% State Student Financial Aid 14 3M 15 5M 8 4%State Student Financial Aid 14.3M 15.5M 8.4%Capital Outlay 124.4M 111.5M (10.4%) TOTAL $867.2M $876.3M 1.1%
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WHAT ISEDUCATIONAL & GENERAL (E&G)?Where Innovation Is Tradition ( )
ACADEMIC
Where Innovation Is Tradition
ACADEMICSUPPORT
STUDENTAFFAIRS
OPERATION & MANAGEMENT
OFPHYSICAL PLANT
6
WHAT ISEDUCATIONAL & GENERAL (E&G)?Where Innovation Is Tradition ( )Where Innovation Is Tradition
UTILITIESSPACE RENTALS
7
WHAT AREAUXILIARY ENTERPRISES?Where Innovation Is Tradition
PATRIOTCENTER
Where Innovation Is Tradition
CENTER
NOGENERAL
FUND FUND SUPPORT
8
Where Innovation Is Tradition
E&G FUNDING SHIFTFROM STATE TO STUDENTWhere Innovation Is Tradition
GENERAL GENERAL
FUNDTUITION
40% TUITION75%
FUND60%
25%
75%
FY 2001 FY 20129
FY 2001 FY 2012
E&G BUDGET MODEL“THE FUNDING CHALLENGE”Where Innovation Is Tradition
FUNDING REDUCTIONS
Where Innovation Is Tradition
FUNDING REDUCTIONSPARADIGM SHIFT
FY 09/10/11 FY12 TOTAL FY 09/10/11 FY12 TOTALState Funding (GF) <$32M> < $9M> <$41M> Federal Funding (ARRA) $20M <$20M> -0- TOTAL <$12M> <$29M> <$41M>
Since FY 08 total General Fund supporting E&G declined by 23%. ARRA funds bridged a portion of the decrease in FY 10 and FY 11FY 10 and FY 11.
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Where Innovation Is Tradition
DEVELOPING SUSTAINABLEE&G BUDGET MODEL
FY 2011 – FY 2014Where Innovation Is Tradition
FY 2011 FY 2012 FY 2013 FY 2014 CARRY-FORWARD FROM PRIOR YEAR
$
$21 6
$10 0
$2 1
FY 2011 FY 2014
FROM PRIOR YEAR $ $21.6 $10.0 $2.1 REVENUE $406.3 $394.8 $418.9 $450.7 EXPENSES 384.7 406.4 426.8 452.8 NET BALANCE $21.6 $10.0 $2.1 $(0.0)
The Mason Budget Model represents a sustainable plan with
The Mason Budget Model represents a sustainable plan with projected total annual E&G budget increases commensurate with moderate student enrollment growth; additional E&G facilities fac lt /staff salar increases and f nding of somefacilities; faculty/staff salary increases and funding of some of the highest institutional priorities.
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Where Innovation Is Tradition
EDUCATION & GENERALSOURCES PER FTE STUDENT
FY 2001 – FY 2017Where Innovation Is Tradition FY 2001 FY 2017
$14,000
0 3 806
8,58
0
9,05
9
803
,633
,409
1,95
1
12,3
84
$12,
947
$13,
302
$13,
701
$8 000
$10,000
$12,000
9$4
,370
$4,4
89
$5,2
03
$5,9
63
$6,4
82
$7,0
13 $7,8
0$8 $9
$9,8
$10
$11
$11 $1 $
$4,000
$6,000
$8,000
$6,2
69
$6,0
31
$4,8
28
$4,2
52
$4,5
58
$4,8
74
$5,5
94
$6,0
50
$5,6
17
$4,5
55
$4,3
39
$4,0
00
$3,9
84
$4,1
28
$4,3
16
$4,4
34
$4,5
67
$0
$2,000
,
2
FY20
01
FY20
02
FY20
03
FY20
04
FY20
05
FY20
06
FY20
07
FY20
08
FY20
09
FY20
10
FY20
11
FY20
12
FY20
13
FY20
14
FY20
15
FY20
16
FY20
17
General Fund (State) SupportTuition and Other
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Average Annual Change, Unadjusted for Inflation, 2001 – 2011: 3.6%Average Annual Inflation: HECA 3.1%; HEPI 3.7%
Where Innovation Is Tradition
EDUCATION & GENERALEXPENDITURES PER FTE STUDENT
FY 2001 – FY 2017Where Innovation Is Tradition
$17,263$17,736
$18,268
$18 000
$20,000
FY 2001 FY 2017
$16,512
$11,887
$13,400
$14,629 $14,676 $14,358$14,972
$15,409$15,935
$14,000
$16,000
$18,000
$10,639 $10,521$10,031 $10,215
$11,040
$8,000
$10,000
$12,000
$2,000
$4,000
$6,000
$0
FY20
01
FY20
02
FY20
03
FY20
04
FY20
05
FY20
06
FY20
07
FY20
08
FY20
09
FY20
10
FY20
11
FY20
12
FY20
13
FY20
14
FY20
15
FY20
16
FY20
17
Projected Average Annual Change, 2001 – 2017: 3.5%Average Annual Inflation: HECA 3.1%; HEPI 3.7%
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E&G BUDGET MODEL ASSUMPTIONS2017Where Innovation Is TraditionWhere Innovation Is Tradition
TUITION AND FEE INCREASESIN-STATE UNDERGRADUATE
FY10 6.8% FY11 8 2% FY11 8.2% FY12 6.7% FY13 5 - 8%
FY14 5 - 8% FY15 4 - 5%MULTIPLE FACTORS
UNCERTAIN FY16 4 – 5% FY17 4 – 5%
UNCERTAIN
Out-of-state tuition rate increases are currently modeled at 5% in FY 13 – 15 then 4% in FY16 and FY17. 14
Where Innovation Is Tradition
BUDGET MODELFINANCIAL OUTLOOK, 2012 - 2013Where Innovation Is Tradition FINANCIAL OUTLOOK, 2012 2013
PROS: St St d t E ll t Strong Student Enrollment
1. Summer 2011; Fall 20112 Out of State2. Out-of-State
Institutional Reputation ; Campus M lMorale
Additional/Enhanced New Revenue Sources
Effectiveness & Efficiency Changes
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Effectiveness & Efficiency Changes Solid Institutional Reserve Fund
BUDGET MODELFINANCIAL OUTLOOK
2012 2013Where Innovation Is Tradition 2012 - 2013
CONS: F th St t B d t R d ti Further State Budget Reductions Change in State Funding Policies
1 Salaries1. Salaries2. New E&G Buildings3. Financial Aid4. Maintenance Reserve/ETG
Private Funds (Endowment Earnings) E C t V l tilit Energy Cost Volatility Access & Affordability Talent Retention Talent Retention Institutional Capacity (Infrastructure)
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Where Innovation Is Tradition
CHANGING & CHALLENGINGTEARING DOWN THE WALLS
Efficiency & Effectiveness Study
Where Innovation Is Tradition TEARING DOWN THE WALLS
y y(2011 – 2012) Huron Consultingg Seven Different Areas Determining Implementation Processg p
Auxiliary Enterprise Contribution toE&GE&G
Opportunity Fund (GGIP)pp y ( ) Venture Capital
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Wh I ti I T diti
REVENUE ENHANCEMENT“UNLEASH THE FURY”
Green & Gold Innovation ProcessA d mi
Where Innovation Is Tradition UNLEASH THE FURY
Academic Technology Student Affairs Student Affairs Finance & Administration Auxiliary EnterprisesAuxiliary Enterprises
Real Estate Committee
Other Business Opportunity Committee Board of Visitors
Ad i i i Administration Non-Real Estate 18
UNIVERSAL PRINCIPLES OFETHICAL EXCELLENCEETHICAL EXCELLENCE
ARISTOTLE
b ll l f h d k To become excellent requires a lot of hard work (practice) sweat and repetition [“second nature” –consistency]consistency].
One does not become excellent by focusing and avoiding what is wrong/bad but on focusing and avoiding what is wrong/bad but on focusing and pursuing what is right/good. [FOCUS ON POSITIVE]OS VE]
VIRTUE IS NOT THE ABSENCE OF VICE AND THE AVOIDANCE OF MORAL DANGER; IT IS NURTURING V D N E F M L D N E ; NU U NMORAL GROWTH.
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GOLDEN MEAN: EASY TO ACHIEVE?
“Such a hard task. Walking the perimeter ofa circle is easy, but not everyone can find themiddle of a circle ”middle of a circle.
ANYONE CAN:G t Get angry
Be apathetic Give away lots of money Be overly miserly Be overly miserly
ARISTOTLE – TIPS TO FIND MEANARISTOTLE TIPS TO FIND MEAN
1. Avoid the extreme most opposite the virtue2 Avoid the vice for which you are most prone2. Avoid the vice for which you are most prone3. Always guard against natural pleasure
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ARISTOTLE-PRACTICING VIRTUEVIRTUE
“…it is a task to find the mean…not everyone can find h ddl f l h the middle of a circle…anyone can get angry…that is
easy…or give away lots of money…to do this to the right person, to the right extent, at the right time, for the p g gright reason in the right way is…rare, praiseworthy, and noble”
“HITTING THE MEAN”“HITTING THE MEAN”
Try to avoid that extreme more opposite to the mean Avoid your most likely vice (practice the opposite
extreme of your vice) Be on guard against pleasure craving for pleasure Be on guard against pleasure-craving for pleasure
often vice21
THREE ELEMENTS OF LEADERSHIP POWERBILL THOMAS
Leadership Power requires effective use of energy.Energy is already present, though it cannot be
b th k dseen by the naked eye.Leaders use the energy to:
I ENABLE/EMPOWER PEOPLEI. ENABLE/EMPOWER PEOPLE(PHYSICAL & DEVELOP)
II. ENLIGHTEN/EDUCATE PEOPLE(INTELLECT & INSPIRE)
III. ENERGIZE/ELEVATE PEOPLE(INSPIRE & DEVELOP)
“Leaders aren’t born; they are made…just like everythingelse, through hard work. And that’s the price you have topay to achieve that goal.” --Vince Lombardi
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SEVEN ELEMENTS OF LEADERSHIP1. ESTABLISH SENSE OF URGENCY/VALUE
Performance is always better with deadlines Set “stretch” goals; measure performance
2. CREATE LEADERSHIP “TEAM3. SHARE THE VISION/STRATEGY
Provides direction motivation & coordination Provides direction, motivation & coordination4. COMMUNICATE THE CHANGE VISION
Simple, repetitive, interaction5. ESTABLISH EMPOWERMENT
Self-directed teams, individuals6. SET CREDIBLE SHORT TERM GOALS
Accountability, rewards Builds momentum
7. ANCHOR THE CULTURE7. ANCHOR THE CULTURE Norm of Behavior Shared Values
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TEN COMMITMENTS OF LEADERSHIPCHALLENGING THE PROCESSCHALLENGING THE PROCESS
1. Search for Opportunities2. Experiment & Take Risks
INSPIRING A SHARED VISION3. Envision the Future4. Enlist Others4. Enlist Others
ENABLING OTHERS TO ACT5. Foster Collaboration6. Strengthen Others
MODELING THE WAY7 S h E l7. Set the Example8. Plan Small Wins
ENCOURAGING THE HEARTENCOURAGING THE HEART9. Recognize Individual Contributions
10. Celebrate Accomplishments 24
“Leadership is the capacity and will to rally men and women to a common purpose and the character which inspires confidence.”
B d M t
“Never ‘for the sake of peace and quiet’ deny your i i ti ”
--Bernard MontgomeryBritish Field Marshal
“ l ll k ll b l l l
own experience or convictions.”--Dag Hammarskjold
Statesman & Nobel Peace Prize Winner
“Developing excellent communication skills is absolutely essential to effective leadership. The leader must be able to share knowledge and ideas to transmit a sense of urgency and enthusiasm to others. If a leader can’t get a message across clearly and motivate others to act on it then can t get a message across clearly and motivate others to act on it, then having a message doesn’t even matter.”
--Gilbert AmelioPresident and CEO of National Semiconductor Corp.
“The society which scorns excellence in plumbing because plumbing is a humble activity and tolerates shoddiness in philosophy because it is an exalted activity will have neither good plumbing nor good philosophy. Neither
h ll h ld ” h G dits pipes nor its theories will hold water.” --John GardnerAuthor
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If your actions inspire others to dream more, do more and become
l d
Once you choose hope, anything is possible.
more, you are a leader.John Quincy Adams
Judgments prevent
Christopher Reeves
Sometimes our light goes out, but is blown into flame by another human being. Each of us owes deepest thanks to those who
Judgments prevent us from seeing the
good that lies beyond p
have rekindled this light.Albert Schweitzer
beyond appearances.Wayne Dyer
Nobody can make you feel inferior without
We are all on a life long journey and the core of its meaning, the terrible demand of its centrality is forgiving feel inferior without
your consent.Eleanor Roosevelt
demand of its centrality, is forgiving and being forgiven.Martha Kilpatrick
Whose hero will you be today?26