ERES Conference 2009 in Stockholm, Schweden, June 24-27, 2009 Sonja Weiland/Andreas Pfnür

1. Empirical Study of the Benefits of PPP Projects on School Operation: The Case of the Offenbach District Schools ERES Conference 2009 in Stockholm, Schweden, June 24-27, 2009 Sonja Weiland/Andreas Pfnür 26.06.2009 | Technische Universität Darmstadt | 1

2. Agenda Aim of the survey Method Survey results Conclusion 26.06.2009 | Technische Universität Darmstadt | 2

3. Agenda Aim of the survey Method Survey results Conclusion 26.06.2009 | Technische Universität Darmstadt | 3

4. Do school-users benefit from a PPP-Model? The main aim of the survey was to verify the following hypothesis: • PPP-school-projects have positive effects on pupils, teachers and parents (as users) To test this hypothesis, a comprehensive picture must be derived which goes beyond the purely economic view so far taken of PPP programmes in Germany; the PPP programme’s pedagogical and psychological effects on the users must be examined. For reaching this main aim the following questions were investigated: • Are PPP-school-users more satisfied than school-users of conventionally operated schools? • Are there positive effects on school-users and are they enduring and stable? • Can PPP improve the school-quality? Additionally it should be examined if the private partners can only realize the reduction of costs by providing less service quality. If service-problems in the Offenbach district exist the survey should recognize them and help to enhance the partnership. By this way the survey may be a “blueprint” for further PPP-school-projects to evaluate the satisfaction of user. 26.06.2009 | Technische Universität Darmstadt | 4

5. Agenda Aim of the survey Method Survey results Conclusion 26.06.2009 | Technische Universität Darmstadt | 5

6. First scientifically results should be confirmed • A combination of a new study and a follow-up-study • The follow-up-study based on survey-results of the year 2005. The analysis of this survey shows at first positive effects on the users of renovated PPP-schools: They were more satisfied, more comfortable and more identified with their school. This improves the school-atmosphere. • These first positive effects have to be confirmed and verified for stability. Therefore we created a more sophisticated research design with four groups: • Appearance of effects and their characteristics in the moment comparison of the responses from renovated schools and not renovated schools • Status quo - effects validation First time questioning users of renovated schools • Appearance of effects and their characteristics over time time series analysis: same schools and users – need renovation in 2005 and renovated in 2009 • Stability and stability of the effects time series analysis: same schools and users – renovation before 2005/the first survey 26.06.2009 | Technische Universität Darmstadt | 6

7. Representativeness of the selected sample For the follow-up-studies (time series analysis) the same schools like 2005 had to be chosen. For the new survey the schools are randomly selected. The analysis covers nine schools of the Offenbach district: • Three primary schools • Six secondary schools: all kinds of secondary schools in the German school system (Gymnasium, Realschule, Hauptschule) This selection implicates well mixed age groups: fourth class, sixth class, twelfth class Sample size and response rate: 26.06.2009 | Technische Universität Darmstadt | 7

8.  Structure of the questionnaire • For each group (pupils, parents and teachers) a separate questionnaire • Most questions are closed-ended questions • Open questions to express what they like or do not like 1. Part: Questions about their psychological situation • Personal data • Existential orientation • Motivation to learn / to work / self-regulation / self-monitoring / concentration • Satisfaction with the conditions of work • Identification • Vandalism 2. Part: Questions about their perception and satisfaction with the school environment • Perceptionofchanges /variances • Facility Management • School building / equipment • Codetermination by renovation • Communication with the private partner 26.06.2009 | Technische Universität Darmstadt | 8

9. Agenda Aim of the survey Method Survey results Conclusion 26.06.2009 | Technische Universität Darmstadt | 9

10. Pupils of renovated schools are lasting satisfied • Pupils in renovated schools are more satisfied than pupils in not renovated schools. This effect is over time relative stable. The partly recognized decrease may lie in the psychological effect of habituation. •  The school building and its environment influence the satisfaction and the feeling. Because of that earlier renovation tends to result in a better school atmosphere. High satisfaction in renovated schools Relative stable effect School building and environment School building and environment [N=49] [N=46] very dissatisfied - rather dissatisfied rather satisfied – very satisfied very dissatisfied - rather dissatisfied rather satisfied – very satisfied 26.06.2009 | Technische Universität Darmstadt | 10

11. Vandalism decreases after renovation appreciable • Pupils in renovated schools noticed less vandalism in their school. High satisfaction in renovated schools [N=155] Vandalism Never - rare Often - always The same effect could be found by analysis of the group which shows the trend over time and by the analysis of the teachers.  stable positiv effect 26.06.2009 | Technische Universität Darmstadt | 11

12. Pupils in PPP-schools appraise the Facility Management consistently positive In the last years the same private partner is responsible for the facility management in all analyzed schools. • For this reason there is no difference between the assessment of the Facility Management by the pupils in not renovated and renovated schools. • In addition these positive assessment is stable over time. Assessment independent of repair stable effect Facility Management Facility Management [N=155] [N=46] very dissatisfied - rather dissatisfied rather satisfied – very satisfied very dissatisfied - rather dissatisfied rather satisfied – very satisfied 26.06.2009 | Technische Universität Darmstadt | 12

13. Only „downer“: dissatisfaction with the sanitary facilities in some schools (1) Special evaluation was needed to be sure about the results of the open items. There was an obvious occurrence of negative utterances noticed. So it was necessary to make an additional analysis /interpretation. The results are: • The renovation of the Goetheschule (NeuIsenburg) resulted in a changed evaluation of sanitary facilities by pupils and teachers. Their responses switched between the survey dates from a majority of dissatisfied to a majority of satisfied persons. • The Weibelfeldschule (Dreieich) was renovated before the first survey. The analysis of the second survey shows a downward trend. Over time, a decline in satisfaction occurred. • The direct comparison of renovated with not renovated schools showed no difference in the analysis. Both groups were mostly dissatisfied. The parents with children in renovated schools were mostly satisfied with the sanitary facilities. (Hans-Christian-Andersen Schule (NeuIsenburg), Ludwig-Erk-Schule (Langen) and the Schule am Bürgerhaus (Rodgau)) • The analysis of the responses of the Adolf-Reichwein-Schule (Langen), Heinrich-Heine-Schule (Dreieich) and Ricarda-Huch-Schule (Dreieich) shows a majority of dissatisfied pupils and parents. • These differences in the data did not indicate any single conclusion. 26.06.2009 | Technische Universität Darmstadt | 13

14. Only „downer“: dissatisfaction with the sanitary facilities in some schools (2) Clarifying discussions with the involved project participants and the Institute of Educational Psychology were started to find the reasons for the different assessments. Possible explanations are: • Different location of sanitary facilities: • There is a tendency to recognize that decentralized sanitation facilities cause more discontent. • Various visibility and control by the supervising teacher. • Different educational levels and different ages. •  These factors are outside the influence and responsibility of the private partner. • Another reason may be psychological in nature: • Changed expectations after a renovation • The maintenance of this state will be able to prevent dissatisfaction, but can not increase satisfaction. Generally the state will be considered as self-evident, so a kind of satisfaction decrease in relation to the first level of satisfaction with the beautiful environment always takes place. • Surprisingly: In the complaints system this dissatisfaction has not been named until now. 26.06.2009 | Technische Universität Darmstadt | 14

15. Teachers are satisfied with the school-renovation Before renovation the vast majority of the teachers is unsatisfied with their school building. After renovation their opinion changed into the opposite. • This effect is over time stable, the marginal decrease between the survey dates could be an psychological habituation effect. Renovation caused satisfaction relative stable effect Satisfaction with the school building and the environment Satisfaction with the school building and the environment [N=29] [N=72] very dissatisfied - rather dissatisfied rather satisfied – very satisfied very dissatisfied - rather dissatisfied rather satisfied – very satisfied 26.06.2009 | Technische Universität Darmstadt | 15

16. Renovations boost teachers job satisfaction Teachers in renovated schools reveal a higher job satisfaction. • Increase of job satisfaction between the surveys in 2005 and 2008 – same renovated schools: round +15% • Increase of “job satisfaction because of renovation” between the two surveys: + 32% •  The satisfaction with the building environment is one of many factors which take effect on the job satisfaction. Job satisfaction is essential for high self-motivation and also high school quality. stable effect renovation enhances job satisfaction job satisfaction job satisfaction [N=29] [N=72] very dissatisfied - rather dissatisfied very dissatisfied - rather dissatisfied rather satisfied – very satisfied rather satisfied – very satisfied 26.06.2009 | Technische Universität Darmstadt | 16

17. Teachers of renovated schools are more identified with their school The analyze shows a clearly increase of +39% for the identification with their schools after the renovation of the schools. This trend is stable over time. More identification after renovation stable effect Identification Identification [N=29] [N=72] agree – absolutely agree Absolutely disagree – disagree Absolutely disagree – disagree agree – absolutely agree 26.06.2009 | Technische Universität Darmstadt | 17

18. Teachers are generally satisfied with the Facility Management After a renovation there is an increase of the satisfaction with the Facility Management but over time a downward trend could be observed. However the majority is still more satisfied than unsatisfied. Downward trend renovation heightens the satisfaction with FM [N=29] [N=72] very dissatisfied - rather dissatisfied rather satisfied – very satisfied rather satisfied – very satisfied very dissatisfied - rather dissatisfied The private partner is advised to check the reasons for this downward trend of satisfaction to work against it in time. 26.06.2009 | Technische Universität Darmstadt | 18

19. Most Parents evaluate PPP positive Most results of the analysis are stable over time: • According to the assessment of the parents their children are more identified with their school after the renovation. This effect is stable over time. • The satisfaction of parents with FM increased after the renovation. This effect is also relative stable. • The parents are significantly more satisfied with the school and its facilities after the renovation. This satisfaction increased over time, but remains mostly at a high level of satisfaction. 26.06.2009 | Technische Universität Darmstadt | 19

20. Agenda Aim Methode Survey results Conclusion 26.06.2009 | Technische Universität Darmstadt | 20

21. Users` benefit is continuing after a renovation (1/2) The evaluation could show positive effects of using a PPP-Model. The effects of an earlier renovation are for instance: • less vandalism • more satisfaction with the building environment, the state of repair as well as the service and management • more job-satisfaction • Most of these positive effects are stable over time: • the occurrence of vandalism stays constantly on a low level • the satisfaction with the Facility management is as far as possible constant • enduring higher job-satisfaction • Moderate instable effects (downward trend in the course of time) between the two survey dates probably can justified by habituation effects and hygiene factors. This would similarly be expected at a conventional school. 26.06.2009 | Technische Universität Darmstadt | 21

22. Users` benefit is continuing after a renovation (2/2) An increase in school quality by using the PPP model can reasoned in the increased job-satisfaction of teachers for instance: • The teachers identify themselves more with a renovated school, show more satisfaction with the built environment and have a higher satisfaction at work. • Job satisfaction has many positive effects: it has influence on the motivation and furthermore many other factors like the teaching quality, the instructional climate, the engagement an the loyalty to the school. • In this way the school quality, which will be influenced by the teachers, can be positively influenced by PPP. • On the other hand, there is the additional effect that the pupils are more satisfied with their built environment – reflected by reduced vandalism and increased satisfaction with the school building and its facilities – which leads also to a positive school climate. 26.06.2009 | Technische Universität Darmstadt | 22

23. Work of the private partner is assessed as good by the users The analysis of the current survey shows a majority of satisfied users with the assessable work of the facility management. Decreases in satisfaction of the teachers over time should be observed to avoid a further decrease. • The criticism of PPP models that the performance of private partners must be lower due to cost savings are not met with the results of this survey. • The following problem can not be resolved by PPP: • Improvement in the sanitary facilities! • There are different problems with the sanitary facilities in some schools. Possible reasons for the expressed dissatisfaction are with high probability not in the responsibility of the private partner. • Likewise, it is recommended that the expressed desire of the pupils to participate in developing the sanitary facilities should be taken seriously. Maybe a stronger sense of responsibility can be initiated. 26.06.2009 | Technische Universität Darmstadt | 23

24. PPP projects affect not only the costs: They also benefit the users • The results of the survey are making clear that PPP projects not only influence the cost of the provision of buildings. Furthermore PPP Projects have impacts on the quality of school achievement and processes. • The current criticisms against PPPs, the private partner would reduce the quality of service to cut their costs, can not be confirmed in the investigated case. • Even if the quality of services from the perspective of users consistently perceived as high, there are hints at various points in the evaluation, where the quality of service and cooperation can be further improved. • It is aspired to repeat the project evaluation at intervals of not more than four years. The time series analysis provides important management information. • Every initiator of such a school project is recommended to use such a controlling-system to check the user satisfaction. Independently if the renovation is occurred as an PPP or on conventional way. • Maybe in future a comparison between the realization variants could be made, which gives further information about the pros and cons of each one and not only about the costs. 26.06.2009 | Technische Universität Darmstadt | 24

25. Thanks for your attention! Dipl.-Wirtsch.-Ing. Sonja Weiland Institut für Betriebswirtschaftslehre FG Immobilienwirtschaft und Baubetriebswirtschaftslehre Technische Universität Darmstadt Hochschulstraße 1, 64289 Darmstadt Tel. +49 6151 16-4705 Fax +49 6151 16-4417 E-mail: weiland@bwl.tu-darmstadt.de http://www.immobilien-forschung.de 26.06.2009 | Technische Universität Darmstadt | 25