Decision-making in today’s higher education institutions is complex and requires thoughtful trade-offs as leaders deploy scarce resources in pursuit of multifaceted missions.
In a new report, EY-Parthenon Managing Director Kasia Lundy highlights financial health strategies for colleges and universities in a prolonged period of fiscal challenge.
The first step in understanding how operational decisions impact the financial health of institutions is determining how to measure financial health itself. The higher education industry already has a standardized measure called the Composite Financial Index (CFI), which is used by accrediting agencies to gauge the financial health of an institution. This report overviews 11 variables that are most important to consider for financial health given their high correlation to CFI.