Presentation on theme: "Presented by Patrick F. Bassett, Senior Consultant 2012-2013-2014-2015 Trends Impacting the Independent School Sector."— Presentation transcript:
Presented by Patrick F. Bassett, Senior Consultant Trends Impacting the Independent School Sector
Industry Trend Analysis as School Strategic Planning Tool: Which industry trends (threats/opportunities) are also our school’s? At this time, what “bucket” do we place each trend into: 1.Critical – warrants attention as an enterprise strategy for the board to incorporate into the strategic plan. 2. Important – warrants delegation to the school’s management team for incorporation into staff study, focus, and priority. 3. Less Important – warrants ignoring or placing in the parking lot for possible later consideration Industry Trends and Themes: 1.Demography & Diversity 2.Changing Social & Workplace Dynamics 3.Admissions, Enrollment, Financial Aid, Marketing 4.Philanthropy 5.School Safety, Student Health, School Climate
S.W.O.T. implications? More highly educated population preferences: the grad school trajectory The importance of a diverse faculty, student body, leadership team, and board
S.W.O.T. implications? The “achievement gap” Age 29 before a degree? Targeted messaging to various ethnicities?
How well do US schools educate students? Virtually 100% of independent school students matriculate to and graduate from a 4-year college
In any and all systems (nature, corporate, educational, disease), the more diverse the system, the stronger and more likely to persist and succeed. Mathematically demonstrable: a formula to predict the higher likelihood of success of diverse systems The “100 people in the room” test Scott Page: Diversity and Complexity
The Good News: Data To Use
Culturally Competent Leaders Accepting of a lack of full closure, of ambiguity and ambivalence Recognizes there is much denial about diversity challenges Articulates well why diversity is mission-critical: – classroom experience richer; – faculty problem-solving is more innovative; – demographic imperative is addressed – benefits all: in some ways benefits white students most (IHE) in terms of growth of critical thinking Don’t Miss the Boat on the Benefits of Diversity!
Strategic implications? Student population now minority majority; single parents seldom can afford independent school tuitions. Gay couples growing population in independent schools.
What are the strategic implications of… A student population now minority majority? Changing expectations around marriage and Dad’s involvement in child- raising? Gay couples being a growing and welcome population in independent schools? What are the strategic implications of… A Millennial workforce (over 50% by 2020)?Millennial workforce (Oracle CEO Mark Hurd, reported in EduVentures Newsletter, )
How have boarding schools maintained their selectivity while day schools haven’t?
Yield stable – but why do boarding schools have to accept more applicants to yield each enrollee?
What does it mean to be higher or lower in percentage of student body receiving need- based financial aid?
Affordability Strategic Question #2 for Boards and Heads Top 20% incomes start at… Top 5%...? Top 1%? 26% families >$200K in private schools; 13% of $100K - $200K ($200K incomes up <1% yr over last 20 years)
Financial Aid Trends Strategic Question for Boards and Schools
Create marketing and messaging that speaks to all parent segments Continue to use financial aid strategically, including additional net tuition revenue growth via merit scholarships. What strategic imperative might emerge from our admissions and financial aid landscape? What’s our demographic data tell us? What’s our admissions funnel data tell us?
S.W.O.T. implications? Women as financial decision – makers 95:5 Pyramid Habits of character = habits of giving Soliciting the Graduating Class Reaching Young Alumni
In U.S. at large, approximately $120K floor of top 20%, $200K is floor of top 5% gross incomes & $400K is floor of the floor of top 1% incomes. Giving priority an element in play.
What does our data tell us? What strategic imperatives are emerging ?
56 million students in schools: avg. 30 death per year. 1 in two million? Real dangers for kids? United Educators: Real enterprise vulnerability: TBI. School trips. Bullying. Sexual assault Fast thinking or slow?
How Dangerous is the World for Kids? Teen playing football for 1 hour has a 1 in 6 million chance of dying Driving a car, a 1 in 1 million chance of dying. Source: John Miller, “Football and the American Character,” Imprimis, Sept. 2013
Message around physical, emotional and psychological safety.
What’s our take on school safety? Is there a possible strategic imperative here?
S.W.O.T. implications? ADHD epidemic? Antidotes to corrosive effects of popular media? Skinned Knees (Wendy Mogel) & Grit (Paul Tough) Mixed signals to kids?
More than half of college students said they have experienced “overwhelming anxiety” in the last year, according to the American College Health Association, and 32 percent say they have felt so depressed “that it was difficult to function.“ Nearly 10 percent of respondents to the 2014 freshman survey reported that they “frequently felt depressed.” Fragile Mental Health, in IHE Psychology Today
How Well-Intentioned Adults Undermine Children’s Moral & Emotional Development Parents have most profound impact on morals. Mixed signals from parents: spectrum from “I want my child to be happy” (Anthony Campolo) to Black Swan / Tiger Mom expectations of “perfection.” Weissbourd’s research: Teens’ perception of what they believe to be the most important value for them in their parents’ mind: 1.For you to be happy 2.Achieving a high level of income 3.Having a high status job 4.Being a good person who cares about others 5.Gaining entrance into a selective college 2/3rds public & private school kids thought #1 over #4. ½ of high income private school kids thought #5 over #4. Weissbourd’s comment on academic “pressure”: 30-40% of Harvard’s undergrads on anti-depressants.
The industry’s strategic priorities. Most schools will find their five to seven strategic priorities on this list.
The Good: There is talent “out there.” The Bad: There are talent pool challenges on the doorstep Boomer class leaking away as retirement beckons. Fresh recruits from the bottom of the pool, from non- selective colleges and universities. Price for the best rising. The Ugly: Millennials hard to manage Expect immediate rewards and gratification from the workplace, anticipate their next job after just landing their current job, show little patience with workplace conventions: “What IS it with you people and 8:30 am?” Sign of the times: Millennials moving home: Kippers: Kids in Parents’ Pockets Eroding Retirement Savings Trend #4: The War for Talent: Among Millennials
Dan Pink’s Drive: The Surprising Truth about What Motivates Us Extrinsic Motivators (carrot & stick) for Faculty? Extrinsic Motivators (carrot & stick) for Faculty? – Carrot (“pay for performance”); and – Stick (“probation and firing”). – How are these motivators going in school? Intrinsic Motivators for Faculty? Intrinsic Motivators for Faculty? – Autonomy – Mastery – Purpose
The Best Way To Pay “How Gen Y & Boomers Will Reshape Your Agenda” HBR Jul-Aug 2009 Boomers 1. High quality colleagues 2. Intellectually stimulating environment 3. Autonomy regarding work tasks 4. Flexible work arrangements 5. Access to new experiences/challenges 6. Giving back to world through work 7. Recognition from one’s employer What employees value “at least as much as compensation” Pink’s first principle, autonomy Pink’s second principle, mastery Pink’s third principle, purpose
The Best Way To Pay “How Gen Y & Boomers Will Reshape Your Agenda” HBR Jul-Aug 2009 Gen Y/Millenials 1. High quality colleagues 2. Flexible work arrangements 3. Prospects for advancement 4. Recognition from one’s employer 5. A steady rate of advancement/promotion 6. Access to new experiences/challenges What employees value “at least as much as compensation”
The Best Way To Pay “How Gen Y & Boomers Will Reshape Your Agenda” HBR Jul-Aug 2009 BoomersGen Y/Millenials 1. High quality colleagues 2. Intellectually stimulating environment 2. Flexible work arrangements 3. Autonomy regarding work tasks3. Prospects for advancement 4. Flexible work arrangements4. Recognition from one’s employer 5. Access to new experiences/challenges 5. A steady rate of advancement/promotion 6. Giving back to world through work 6. Access to new experiences/challenges 7. Recognition from one’s employer What employees value “at least as much as compensation”
Which motivator more aligned with organizational goals? Professional Development in Independent Schools: “Here’s $2000 per year to spend as you like: go grow.” “Here’s $2000 each, join or form an online PLC - professional learning community- on one of the following topics, and design your professional development program around that topic, reporting out to the faculty at the end of the year: 1.) differentiated instruction; 2.) brain-based learning; 3.) blended high- tech/high touch classroom environments; 4.) formative testing.”
McKinley Quarterly, May 2011 Source: McKinsey Quarterly, May, 2011: “How the Best Labs Manage Talent”
McKinley Quarterly, May 2011
Attracting & Keeping Millenials Highest starting salaries Leadership roles on design teams Golden handcuffs (making college loan payments) Developing a “talent management” system Return
Presented by Patrick F. Bassett, Senior Consultant The End