Editor’s note: All opinions expressed in this article belong to their respective author. Check our section “Voices” dedicated to opinion pieces on AUI Chronicle. This piece was co-authored with Imad Archid.
You might disagree, but Al Akhawayn University is quite unique when it comes to higher education institutions in Morocco. Based on the liberal arts system, there are key qualities that are very difficult to find in other universities when it comes to both academic and student life. The issues of budgeting, finances, and administrative details are no different. In fact, Al Akhawayn University has to operate in a different way compared to other universities in Morocco, considering its set of advantages and disadvantages.
For some, the discussion about university finances might seem remote. Something that students should not care or know about. I argue against such a claim, as I believe that all students (and all members of the community) have the right to look objectively at the university’s revenue model, its expenditures, and its strategic vision for years to come. For a not-for-profit institution, transparency and vision enable all members of its community to look into the future of what can be considered as their home. Additionally, it allows them to create meaningful and constructive discussions about the institution’s mission.
Liberal Arts universities funding: Fundraising, donations, and partnerships
There is no doubt that liberal arts universities’ budgets rely heavily on tuition and fees. A look into the finances of several universities in the region such as the American University of Greece, the Lebanese American University, or the American University of Cairo showcase the way tuition can account for 70 to 80% of their annual revenue. In this sense, it seems like dependency on tuition and fees is considered to be a common feature in the region’s liberal arts colleges.
However, these claims do not imply that liberal arts universities have to necessarily focus on tuition and fees. In other words, fundraising plays a considerable role in the finances of universities, especially in North America. Through different actions, the university can raise funds from different stakeholders (government, partners, etc.). For instance, funds and donations can be generated from old students. The latter could be reinforced by developing a strong and influential alumni community. While it is true that it’s inconceivable for many to fundraise for AUI, the alumni community can work on a model through which contributions can be made on a yearly basis which would also allow for greater inclusion in the strategic vision of the university.
In addition, partnerships with corporations and international NGOs on different projects are also a way liberal arts universities raise funds externally. Through programs that go hand-in-hand with the university’s main academic orientations, expertise and project development can be further enhanced while revenue from these activities can mean less reliance on students to pay.
Diversification, a difficult but necessary step
AUI can reduce the dependency on student tuition and fees through a number of auxiliary activities. While it is to be expected that a large portion of revenues will still be generated by undergraduate and graduate students’ payments, a potential diversification of revenues can improve our ability to find funds to develop different aspects of the university.
One clear example would be the revival of the continuing education programs developed by AUI. Through a more performant Executive Education center (more relevant programs, a structured vision for its development, and a greater focus on its promotion), the university can attract funds and profiles that can be extremely beneficial. In addition to funds, a more developed EEC can fill the gap between the university and the professional world, allowing for more synergies between AUI and different industries.
Another potential improvement lies in the development of Ifrane as an educational/research hub in Morocco. While this idea sounds abstract (and maybe far fetched), the university has both the weight and the ability to develop a long-term plan in concertation with the local authorities to promote Ifrane as a place that hosts debates about relevant questions in different fields. Besides the considerable value that it could entail, this vision allows for greater diversification of revenues (through the development of the Conference Center, and other centers that can be of value in this sense). It also means that the university can actively contribute to the economic and social development of the middle atlas through concrete actions.
While it is true that some of the ideas we have mentioned look very good in reports and plans, they require a great amount of reflection and planning. One major area of improvement lies in attracting more funding for projects and research programs at AUI. It is true that discussing research at AUI is quite difficult, as many units and centers are inactive (SSRI, IEAPS, HCC) and no clear vision is set to enhance and promote academic research at AUI. Reconsidering our approach when it comes to research can yield positive results when it comes to diversifying our universities’ revenues through research grants and partnerships.
Which priorities for the future?
The priorities for the future in AUI are clear: Growth. Students would largely agree that AUI is indeed in need of growth, though the question of whether it should be solely at the expense of students is a valid one. Many argue that students are already not paying the full price at AUI. While in fact, despite the strategic plan of 2015-2020 that stated that “AUI will expand and diversify revenue sources for more sustainability by setting up and implementing an annual targeted fundraising plan and reviewing and updating AUI’s endowment investment policy statement.” dependence on student tuition and fees jumped from 53% in 2016 to 78% in 2017, questioning the real ability of AUI to diversify its revenue.
The question of budgeting is a question of choices. Are we ready as an institution to reconsider our long term planning, and include very important stakeholders such as alumni and AUI’s higher leadership in redefining what AUI should aim for in the future? Are we ready to acknowledge that growth solely in the enrollment numbers and buildings only creates more dependency on students’ tuition and fees? These are some of the questions we have to reflect upon as a community to enhance the future of our university and its ability to shine not only in Morocco but in the region.
