Strategic Management in European Universities in an Age of Increasing Institutional Self Reliance

Abstract

This paper contrasts the emphasis onplanning in universities when funding from the statewas stable and resources followed student numbers,with the emphasis on strategic management when statefunding is declining and universities are of necessitymuch more market orientated. Planning processes couldwork well when universities had a predictable future,but are less appropriate when the climate isturbulent. The paper suggests that the following arethe key words for successful universities in the newenvironment, competitiveness, opportunism, incomegeneration and cost reduction, relevance, excellenceand reputation. It goes on to argue that thisframework of key characteristics demands a newapproach to strategic management in universitiesrequiring universities to take a holistic view oftheir activities, to coordinate institutionalstrengths so that they reinforce one another and tocreate machinery whereby academic, financial andphysical planning strategy is decided on an integratedbasis.