Higher education institutions (HEIs) are centers of academic excellence and innovation. They equip people with the skills needed to succeed in the workforce, help students think critically, and generally improve society.
Yet, the number of students completing their courses and earning their college credentials is very low. Fewer and fewer students have been enrolling in college programs since 2010. This is likely because of a lower belief in the value of getting a college education.
Now, more than ever before, HEIs must be able to understand if their programs and services are contributing to student success and ensure they are running efficiently and effectively. Adopting a data-driven approach is essential for decision-making, allocating resources wisely, and, ultimately, fulfilling their mission of providing a quality education.
In this article, we’ll take you through some of the benefits and processes of how HEIs should collect and analyze metrics and key performance indicators (KPIs). We’ll also share a few popular higher education KPIs and metrics that could help your university achieve its strategic goals.
Why higher education institutions are prioritizing data collection
Universities increasingly understand that measuring and presenting metrics and KPIs is the best way to engage with relevant stakeholders, from the student body to academic staff and administrators of research grants. This data-driven communication is a great way to showcase the institution’s success and support fundraising efforts.
Removing data silos and improving efficiency
A higher education organization is a complex structure consisting of multiple faculties and departments. Aside from academics, you’ve got admissions, financial aid offices, the registrar, human resources, and the student affairs office, to name a few.
All of these departments collect some form of data: Admissions has information on enrollment and human resources possesses faculty member information.
The problem is that, all too often, these departments operate in silos, making it hard to collaborate on improving key metrics. Once the university as a whole puts together a strategic plan to measure and monitor metrics, they can identify and tackle these silos and the inefficiencies they cause.
Adapting to changing environments
Traditionally, HEIs have been resistant to change. But, people’s expectations of academic programs and student experiences are changing rapidly, often as a result of EdTech innovations and a push across the board for remote learning. Universities are also epicenters of social justice movements. Institutions that fail to adapt to these changes will lose out to the competition.
Tracking key performance indicators can also help universities identify emerging trends and anticipate challenges. For example, a university or community college might track online readiness metrics to assess its ability to offer high-quality online courses. This data can help drive necessary adaptations and ensure great student satisfaction in the face of evolving student needs and market demands.
Enhancing student recruitment and experience
Tracking metrics and KPIs is crucial for attracting new students and improving the overall student experience. These insights help HEIs understand the needs and preferences of prospective students, enabling them to tailor their offerings and marketing initiatives accordingly.
For example, a university might find that a growing number of students are interested in online courses. In response, it expands its online program offerings to more degree programs, increasing enrollment and improving student engagement.
Furthermore, data can be used to identify areas for improvement in the student experience when it comes to academic programs, support services, and facilities offered. Institutions can enhance the student experience and increase student retention rates by analyzing metrics from student surveys or studying usage of campus-offered technology.
Implementing capital improvement programs
Metrics and KPIs related to things like facilities usage, student satisfaction, and operational efficiency help HEIs identify areas where capital improvements can have the greatest impact. They could analyze data on library usage patterns to justify an expenditure to expand or renovate library facilities.
Data on student satisfaction with classroom technology can guide technological investments in upgrades or new integrations into the university tech stack.
The key elements of a data collection strategy
So, how should an educational institution approach setting up its data collection strategy? While there is no step-by-step, one-size-fits-all approach, there are a few best practices to keep in mind.
Quality vs. quantity
When you look at every department or faculty in your institution, it’s easy to get overzealous when planning your data collection strategy. You might want to include as many of the metrics as possible.
Only choose metrics and KPIs that are going to give you a true picture of the progress you’ve made toward achieving your goals and benchmarks. Overloading yourself will just lead to wasted resources and energy.
Establish inter-departmental cohesion
A successful data collection strategy requires collaboration across departments to ensure data consistency and avoid duplication of efforts. Establish clear communication channels and protocols for sharing data between departments. Consider creating a centralized data repository or a data governance committee to oversee data collection and ensure adherence to standards.
Create a culture of accuracy
Your data collection strategy also requires a shift in culture. You must create a data-driven culture that values accuracy. Provide comprehensive training to staff on data collection methods and the quality standards you’re looking to achieve.
Implement robust data validation processes, such as cross-checking data sources or using data cleansing tools, to identify and correct errors. Recognize and reward staff for their contributions to data accuracy, fostering a sense of ownership and accountability.
Finally, create a supportive environment where staff feel comfortable reporting errors or inconsistencies without fear of punishment.
Communicate your progress through dashboards
Dashboards are powerful tools for visualizing your data and communicating it effectively. Dashboards are integrated with your data collection software, letting you provide stakeholders with a real-time view of your progress toward organizational goals.
The data is presented through charts, graphs, and other interactive elements that make it easier for viewers to understand complex information and identify trends. You can even integrate your dashboard with your public-facing website for current and prospective students.
Tailoring dashboards to the specific needs of different departments ensures that everyone has access to the data they need to make informed decisions and contribute to the organization’s success.
Use the right software
The right software can streamline your data collection and analysis process by consolidating and visualizing information. AchieveIt is Integrated Plan Management (IPM) software designed to help organizations effectively collect, manage, and analyze data.
The right software gives you:
- Streamlined data collection: Technology simplifies data collection by providing standardized templates and automated updating processes. This eliminates manual data entry and the need to chase people for updates, as well as ensures data accuracy and consistency.
- Centralized data management: With all your data in one place, it’s easily accessible and searchable. Software breaks down data silos and facilitates collaboration across teams.
- Comprehensive data analysis: Software like AchieveIt offers a range of data analysis tools, including reporting, dashboards, and visualizations. You can extract meaningful insights from your data and make informed decisions.
- Goal tracking and alignment: Set clear goals and track progress toward achieving them so data collection efforts are aligned with your strategic objectives.
- Enhanced collaboration: IPM software like AchieveIt provides a central platform for teams to share data, insights, and updates. This fosters a more connected and productive work environment.
The Faculty of Health at Dalhousie University in Nova Scotia, Canada, struggled for many years with strategic planning and data collection. Their data existed on numerous spreadsheets, making any attempts at data analysis very difficult. They turned to AchieveIt to streamline the update collection process and improve accountability. The university has a new, streamlined strategic plan focused on measuring metrics and KPIs and improving their agility and adaptability.
10 examples of HEI key performance indicators (KPIs) and metrics to consider
There is no shortage of metrics and KPIs for HEIs to choose from. In fact, deciding which ones might be right for your institution could feel a little overwhelming at first. The specific metrics and KPIs that an institution chooses to track will depend on its unique goals and priorities.
To help you get started, here are 10 key metrics and KPIs you might consider adding to your data strategy.
Graduation rate
Definition: The percentage of students who successfully complete their degree program within a specified timeframe.
Why it matters: Graduation rate is a key indicator of student success and institutional effectiveness. It reflects the quality of the academic programs, support services, and overall student experience.
Calculation: Graduation rate is typically calculated as the number of students who graduate within a specified timeframe (e.g., the six-year graduation rate) divided by the total number of students who entered the program.
Graduation rate can be broken down by various factors. For example, you can study the graduation rates of students of different ethnicities or their financial aid status. Tracking these rates over time can help institutions identify trends and areas for improvement.
Average time to degree
Definition: The average number of years it takes students to complete their degree program.
Why it matters: A shorter average time to degree reflects the efficiency of academic programs and support services. A shorter time to degree also means lower tuition costs for students and lower costs for the institution.
Calculation: Average time to degree is calculated by dividing the total number of years it took all graduates in a cohort to complete their degrees by the number of graduates.
Average time to degree can be broken down by various factors, such as major, student demographics, and financial aid status.
Alumni engagement index
Definition: A measure of the level of engagement and satisfaction alumni have with their alma mater.
Why it matters: Engaged alumni can serve as valuable ambassadors for the institution, providing financial support, networking opportunities, and mentorship to current students.
Calculation: The alumni engagement index can be calculated using surveys that measure alumni satisfaction with various aspects of their experience, such as academic programs, career services, and communication with the institution.
A high alumni engagement index can be a positive indicator of the institution’s overall success and reputation. Institutions can use alumni engagement data to identify areas for improvement and develop strategies to strengthen their relationships with alumni.
Satisfaction metrics
Gain a better understanding of satisfaction levels within your institution by measuring satisfaction rates in various areas. Two key areas to focus on are:
- Academic staff satisfaction: Conduct regular surveys to gauge academic staff satisfaction with their roles, workload, compensation, and opportunities for professional development. Track faculty retention rates and conduct workload assessments to identify areas for improvement.
- Student satisfaction with staff performance: Collect feedback from students on their satisfaction with faculty members, teaching assistants, and other staff. Analyze course evaluations and conduct focus groups to identify areas for improvement and foster a positive and supportive environment.
Collecting qualitative data of this kind is a great way to complement the quantitative data you’re collecting in other areas of your strategic implementation process.
Retention rates
Definition: Retention rates measure the ability of an institution to retain students and academic staff.
Why it matters: High retention rates are crucial for the long-term sustainability and success of a higher education institution. They indicate a positive and supportive learning environment that attracts and retains top talent.
Calculation: Retention rates can be calculated for both students and academic staff. For students, the retention rate is typically calculated as the number of students who remain enrolled in a program divided by the total number of students who were enrolled in the previous year. For academic staff, retention rates can be calculated by tracking the number of faculty members who remain employed at the institution over a given period.
Net profit margin
Definition: Net profit margin is a key financial KPI. It measures the percentage of revenue that remains as profit after deducting all expenses.
Why it matters: A high net profit margin indicates that an institution is efficiently managing its resources and generating revenue. It’s a crucial metric for assessing financial health and sustainability.
Calculation: Net profit margin is calculated by dividing net income (income – costs) by total revenue and multiplying by 100.
Net profit margin can be compared to industry benchmarks to assess an institution’s financial performance.
Administrative cost per student
Definition: Administrative cost per student measures the amount of money spent on administrative functions for each enrolled student. These costs could include anything from marketing initiatives to building maintenance.
Why it matters: A high administrative cost per student can divert resources away from academic programs and student support services.
Calculation: Administrative cost per student is calculated by dividing the total administrative expenses by the number of enrolled students.
Administrative costs can vary significantly between institutions, depending on factors such as size, location, and the complexity of administrative functions.
Research income
Definition: Research income refers to funds generated through research activities, such as grants, contracts, and publications.
Why it matters: Research income is a vital source of funding for many higher education institutions. It supports things like more institutional research, graduate student stipends, and laboratory equipment. It also contributes to the institution’s reputation and academic excellence.
Calculation: Research income can be calculated by tracking the total amount of funding received for research projects, including government grants, industry contracts, and philanthropic donations.
To enhance research income, institutions can focus on promoting research excellence, building research partnerships, providing training and support for grant writing, and exploring opportunities to commercialize research findings.
Foreign student rate
Definition: The percentage of international students enrolled in an institution.
Why it matters: A high foreign student rate can enhance an institution’s reputation, attract top talent, and foster a diverse and inclusive learning environment. It can also generate additional revenue through tuition fees and international student housing.
Calculation: The foreign student rate is calculated by dividing the number of international students enrolled by the total number of students and multiplying by 100.
Institutions can attract international students by offering programs that meet their specific needs, providing support services, and promoting the institution’s reputation abroad.
Number of publications per academic staff
Definition: The average number of academic publications per faculty member.
Why it matters: A high number of publications per academic staff can indicate a strong research culture, attract top talent, and enhance the institution’s reputation.
Calculation: The number of publications per academic staff can be calculated by dividing the total number of publications by the number of faculty members.
Publications can include research articles, book chapters, conference papers, and other scholarly works. It’s important to consider the quality and impact of publications when evaluating this metric. Institutions can encourage faculty to publish their research by providing support, resources, and incentives.
Build a more resilient university through data
Assistant Vice President of Strategy and Transformation at Belmont University, Larkin Briley, recently spoke to the AchieveIt team on our Strategy Gap podcast. Larkin explained how universities can use the objectives and key results (OKR) framework to build more resilient universities during turbulent times.
Check it out here and learn more.
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