Linking Strategic Goals to the Community College Budget

1. Linking Strategic Goals to the Community College Budget Morgan State University Community College Leadership Doctoral Program Community College Finance & Budgeting EDHE 604

2. Strategic Planning and the Budgeting Process Guiding Principles* • Decisions concerning the allocation of resources are guided by program priorities. • Priorities are usually detailed in an institution’s academic or strategic plan. • Planning is conducted to a very different timetable and process than budgeting. R.J. Meisinger, Jr. (1994). College and university budgeting: An introduction for faculty and academic administrators.

3. Strategic Planning and the Budgeting Process • The difference in timetables sometimes contribute to these two processes being elusive. • Budgeting is cyclical, following a pre-planned schedule • Planning is usually performed periodically, initiated when it seems appropriate to re-establish program priorities/ to set the institution’s direction.

4. Strategic Planning and the Budgeting Process • Time required to complete a plan often extends beyond one budget cycle. • Different members of the college community often participate in the academic planning process in comparison to those who particpate in the budgeting. • Strategic planning requires divergent thinking, whereby different program options are explored and priorities are established. • Budgeting requires convergent thinking since priorities have to be matched to available resources.

5. Strategic Planning and Budget Process • Budgeting generally focuses on the fiscal year or biennium. • The strategic plan often extends its perspective to a minimum of five years. • The linkage between academic planning and budgeting should come from use of the product of the planning process – the plan- to serve as the framework for budget decisions.

6. Strategic Planning and the Budgeting Process • The single most important institutional resources is ___ ______. • It is not uncommon for decsions about the allocation of faculty positions to be made _____ _____. • Governance and the planning/budgeting process. • An important way to influence the pattern of budget allocations is the alter the policies and procedures that govern the allocation and expenditure of resources.

7. Strategic Planning and the Budgeting Process • Elements of the Strategic Plan • Mission • Purpose/Statement of Values* • Goals • Objectives • Assigned responsibility • Time lines • Benchmark Indicators • Outcome Measures • Allocated Resources

8. Strategic Planning and the Budgeting Process Additional assignment for next class • Schedule an interview with a key budget decision-maker at your institution and detail in writing the budget development process or obtain document that details such information. Identify those individuals by their roles as advocates and cutters. • Bring to class a copy of your institution’s budget and those factors that impacted the fy 2010 budget in terms of rescissions, reallocation of resources, reduction in staff, re-prioritization of goals, etc.

9. Strategic Planning & Budgeting Process • Critique Ewen, Maurer & Nolen’s article (handout mailed to you) -Linking Strategic Goals to the Community College Budget. - Identify the key elements of the planning and budget process implemented at Parkland Community College. - Cite similarities or alternate approaches adopted for planning and budget development process at your institution. - Based on Meisinger’s recommended principles of effective planning and budgeting process, discuss advantages or disadvantages of the process implemented at your institution.