New Players in Higher Education

 

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New Players in Higher Education

Image of Professor Paul Thomas, Vice-Chancellor

20 August 2005

A few months ago it was a national Ministerial forum in Canberra to formulate a new framework for dividing up research funds for universities. This week it has been a national forum in Melbourne to discuss whether changes are needed in the so-called 'national protocols' that determine who is and who is not allowed to use that highly protected word 'university'.

The Federal Minister, Dr Brendan Nelson, has through his issues paper 'Building University Diversity', encouraged a broad debate on whether we need revised criteria, or protocols, which open up the university sector, in particular, to new players.

At present the universities in this country are predominantly public, even though public money is a diminishing proportion of the revenues on which they rely. There are also two private universities, Bond and Notre Dame, as well as some 'higher education providers' like Australian Maritime College, all of which are seeking additional public monies, and some wishing to use the title 'university' because they know that access to that title will give them greater pulling power here and overseas. This week that group was joined by the US based Carnegie Mellon University in Adelaide. Despite having $1 billion in endowments in the US, the South Australian Government induced them to Adelaide with a carrot of $20 million - an inducement not provided to any Australian university to operate offshore. It is a teaching-only university.

A good deal of attention is being paid to the diversity of providers in the US and UK systems, in particular.

The US has always had a highly differentiated higher education sector, and a huge range of colleges and universities with varying standards and reputations, servicing its widely dispersed 300 million population.

The UK system for a 60 million population has only very recently changed its higher educations system and the ways in which it has been changed provide signals about Australia's future.

The changes everywhere are driven by the needs of different students, from elite world class study opportunities, to cheap but efficient and popular universities that can provide online or basic campus-based experiences, in a narrow range of fields, often more quickly than the standard three-year degree program. For many who do not any longer want the traditional university experience and simply want to get their degree and get into the workforce, the new providers have considerable appeal, as evidenced by universities like Phoenix in the US, in particular.

A feature of both the US and now the UK system is that they both allow 'teaching only' universities, whereas the current Australian system, servicing 20 million people, through the national protocols has insisted on research and breadth and depth of offerings as being a fundamental requirement for any provider wishing to be a university.

Such requirements have led to a quality system but one which deters new entrants because of the prohibitive costs of $50-100 million that are considered necessary to establish a new greenfield traditional university.

There is, however, little doubt that the protocols will in fact soon be changed and the only issue is really the extent of the change, and the implications those changes will have for the perceptions of quality of 'brand-Australia'.

Viewing the UK and US is useful because those are our friends and competitors. There is also an undeniable pressure to produce world-class results from our universities, just as much as there is a need to provide a value-for-money degree for financially overburdened students.

As one of the many areas open for reform, it's going to be fascinating and challenging to deal with the emerging context of greater diversity.

Professor Paul Thomas is Vice-Chancellor of University of the Sunshine Coast