STRATEGIC REDIRECTION DYNAMICS

1. email: Info@StevensStrategy.com phone: 603-863-4704 STRATEGICREDIRECTION DYNAMICS

2. Basic Elements • Lays out basic elements of a strategic redirection campaign • Identifies • Major Steps • Strategic Options • Critical Performance Measures • Goals Based on Success • Cautions

3. Major Steps • Diagnose your present condition • Identify resources to carry out the redirection campaign • Create a leadership team • Build the Campaign Plan • Implement and monitor

4. Major Step #1 Diagnosis • Strategic and Mission Review • Academic Programs – Structure and Marketability • Marketing – Who Are You? • Student Services – Fit with Students and Compared to Competition • Plant & Grounds – Most Pressing Needs • Financial Condition

5. Critical Performance Measures - Part One • Market Share • Inquiry Yield • Applications Yield • Enrollment • New Students • Net Tuition > 60%

6. Critical Performance Measures – Part Two • Net Tuition to Expenses – Gap Steady or Growing • Net Income with Depreciation > 1.69% • Current Assets to Current Liabilities > 2.50% • Cash to Expenses > 8.00% • Expendable Financial Resources to Operations > 0.19

7. Critical Performance Measures – Part Three • Debt Leverage > 2.10 • Composition Ratio > 1.00 • Total Financial Resources to Students > $20,427 • Consolidated Financial Index >3.00

8. How to Use the Diagnosis • Compare Performance to Peer or Competitive Cohorts • Identify Relative Position • Produce Graphs to Show Trends • Identify Performance Gaps • List Common Themes Suggested by the Data

9. Major Step #2 Resources • Leadership • Goodwill and Reputation • Financial Resources • Cash • Debt Capacity • Gifts

10. Major Step #3 Campaign Team – Key Players • Key Players • President • Board Representatives • Senior Administrators • Influential Faculty • Students

11. Major Step #3 Campaign Team – Coordination • Publish Fact Book – using diagnosis • Steering Committee • Include Key Players From All Sectors • Identifies the Major Issues • Reviews Redirection Options • Establishes Major Themes for Campaign • Sets Up Task Forces • Identifies Task Force Member

12. Major Step #4 Build the Strategic Plan • Main Rule – Change Requires Funds, Effort, Time, and Support • Task Force Plans Should Include • Goals, Objectives, Time Line, and Benchmarks • Lay-out • Time Line for Meetings • Benchmarks for Actions

13. Strategic Options • Attrition & Discretionary Funds • Re-engineer and Consolidate • Outsourcing • Strengthen Existing Revenue Streams • New Revenue Streams • Programs • Markets • Partnerships • Fund Raising

14. Goal Guidelines – Finance - • Manage Tuition Discounts – < 40% • Produce Positive Net Income & Fund Depreciation (Same goal for auxiliaries) • Balance Revenue & Expense Growth Rates • Build Financial Reserves for Investment • Collect Receivables • Minimize Debt • Target CFI Score > 3

15. Goal Guidelines - Academics • Design • Market – Responsive Programs • Programs Congruent with Labor and Graduate School Markets • Customize Programs • Eliminate Weak Programs • Track Class Size • Track Net Income by Program

16. Goal Guidelines - Marketing • Who Are Preferred New Students? • Craft Financial Aid Program to Attract These Students • Use Symbols to Convey Mission & Values • Create a Distinctive Niche

17. Goal Guidelines - Administration • Simplify All Policies and Processes • Treat the Student as Customer • Use One Stop Shopping Services • Hold Administrators Accountable • Reward People for Good Work

18. Major Step #5 Implementation • Communicate the Plan to the Board and to the College Community • Meet with Key Players to Determine Need for Policy or Procedural Changes • Steering Committee Meets Regularly to Review Progress and to Refine Campaign

19. Campaign Cautions • Planning without Discipline and Taking Undue Risks Can Push a College Over the Brink • Don’t • Make It a Perfunctory Exercise • Turn It into a Wish List • Isolate Financial Plans from Other Plans • Treat the Plan as a Straight Jacket

20. Improve Management Delegate Assign Tasks Coherently Simplicity Put Assignments in Writing Measure Performance Eliminate Fragmentation of Authority Excessive Decision Layers