Staff Senate Pres 041207

UNCG Staff SenateApril 12, 2007: 

UNCG Staff Senate April 12, 2007 President’s Advisory Committee on Efficiency and Effectiveness (PACE)

Context of the UNC System: 

Context of the UNC System Each campus like a small city with diverse services 65 million square feet in UNC System (17x world’s largest office building) Over 40,000 employees, +200,000 students 3rd largest city in North Carolina Over 53,000 beds (more than Chicago’s hotel beds) 18 million books (2nd largest after the Library of Congress)

Understanding the Objective: 

Understanding the Objective What is PACE? President’s Advisory Committee on Efficiency and Effectiveness Last summer a cost study was completed to allocate every dollar from all fund sources and assign every FTE to one of 55 functional categories using 2004-2005 data

PACE Cost Allocation: 

PACE Cost Allocation Funds: General non General Functions: Core (3) – Instruction, Research, Public Service Enabling (12) Enabling Activities (55) Expense Categories: EPA Core Faculty EPA Other Professional SPA Staff All Other Expenses

PACE Cost Allocation: 

PACE Cost Allocation Enabling (12) Academic Administration Advancement Auxiliary Enrollment External Activities Facilities Management Fiscal Activities Human Resources Information Technology Accountability Activities Sponsored Projects Support Student Services

Understanding the Objective: 

Understanding the Objective Why are we doing this? Optimize enabling functions at the University level Leverage system strengths Modify or delete processes as needed

Facilities ManagementMetric: Expenditures per 10,000 gross square feet: 

Facilities Management Metric: Expenditures per 10,000 gross square feet Source: PACE data; Facilities Inventory and Utilization Study Fall 2004 (HEFC); team analysis The condition and utilization of facilities varies across campuses Most campuses fall within a relatively tight range Different factors drive the outliers, e.g. power plant at ASU Total system expenditure = $488 million

Auxiliary ServicesMetric: Expenditures per 100 headcount of student/employee index: 

Auxiliary Services Metric: Expenditures per 100 headcount of student/employee index Source: PACE data; Student Data File 2004-05 reported to IPEDS 2005; Personnel Data File Fall 2004; team analysis The variety of enabling sub-functions in this category make it very difficult to draw compelling conclusions We decided to take a deeper look at two of the larger sub-functions, Dining and Vending services and Bookstore, textbook rental, and other retail operations Total system expenditure = $428 million

Academic Administration and SupportMetric: Expenditures per 100 headcount students: 

Academic Administration and Support Metric: Expenditures per 100 headcount students Source: PACE data; Student Data File 2004-05 reported to IPEDS 2005; team analysis This function reflects resource decision-making on the campus level Demographics, number of disciplines and the size of the student body are all relevant variables Total system expenditure = $375 million

Information TechnologyMetric: Expenditures per 100 headcount of student/employee index: 

Information Technology Metric: Expenditures per 100 headcount of student/employee index Source: PACE data; Student Data File 2004-05 reported to IPEDS 2005; Personnel Data File Fall 2004; team analysis Complexity drives costs. Therefore, diverse and particular research will demand a variety of systems and applications. One size does not fit all Total system expenditure = $246 million

Sponsored Project ActivitiesMetric: Expenditures in research/public service per FTE employees in Sponsored Project Activities: 

Sponsored Project Activities Metric: Expenditures in research/public service per FTE employees in Sponsored Project Activities Source: PACE data and team analysis Sponsored project activities are directly tied to the core functions of research and public service Some universities who are rapidly growing and developing these core functions will likely have more FTEs allocated in this area vis-à-vis older research universities Total system expenditure = $87 million

AdvancementMetric: Cost to raise a dollar: 

Advancement Metric: Cost to raise a dollar Source: PACE data; Voluntary Support of Education (VSE) 2005 survey; team analysis Universities with entrenched and mature development capabilities spend less to raise money Universities that are building up this enabling function will and are spending more money as they ramp up their giving efforts Total system expenditure = $57 million

Human ResourcesMetric: Ratio of issued W-2 forms to FTE employees in Human Resources: 

Human Resources Metric: Ratio of issued W-2 forms to FTE employees in Human Resources Source: PACE data; W-2 data for fiscal 2004-05 reported by UNC campuses in July 2006; team analysis Metric is influenced by delegation of classification authority, e.g. campuses have varying position classification flexibility Payroll authority may also be a driver Total system expenditure = $54 million

Enrollment-Related ActivitiesMetric: Number FTE employees in Enrollment-Related Activitiesper 100 headcount students: 

Enrollment-Related Activities Metric: Number FTE employees in Enrollment-Related Activities per 100 headcount students Source: PACE data; Student Data File 2004-05 reported to IPEDS 2005; team analysis Most campuses fall within a relatively narrow band with few outliers The two biggest outliers are two of the smallest schools Total system expenditure = $328 million

Student Service ActivitiesMetric: Number of FTE employees in Student Service Activities per 100 headcount students: 

Student Service Activities Metric: Number of FTE employees in Student Service Activities per 100 headcount students Source: PACE data; Student Data File 2004-05 reported to IPEDS 2005; team analysis The array of student service activities varies by campus Student input is a key driver in determining that variety Total system expenditure = $139 million

Accountability ActivitiesMetric: Number of FTE employees in Accountability Activities per 100 employee headcount: 

Accountability Activities Metric: Number of FTE employees in Accountability Activities per 100 employee headcount Source: PACE data; Personnel Data File Fall 2004; team analysis These activities reflect the outside requirements placed on the campuses by GA, the General Assembly and the BOG Some campuses can respond more efficiently to these attendant processes Total system expenditure = $59 million

UNCG Total Expenses: 

UNCG Total Expenses Source: PACE data Total expenditures = $251,332,486

Areas Identified for Further Analysis at UNCG: 

Areas Identified for Further Analysis at UNCG Payroll Processing Admissions Alumni

UNCG Cuts 1998-99 through 2005-06: 

UNCG Cuts 1998-99 through 2005-06 Permanent - $12.3 million One Time - $18.8 million

UNCG Initiatives: 

UNCG Initiatives Cost avoidance – $1,642,000 ESCO – energy savings plan HEAT – Higher Education Area Transit, so that more parking does not have to be built Reduced debt service payment by refinancing Student credit card payments to eliminate merchant fees paid by UNCG Switched to new P-card provider for higher rebates Streamline travel to reduce time spent filing for reimbursement and increase use of P-card

UNCG Initiatives: 

UNCG Initiatives Savings - $1,140,500 Telephone Services provide $250,000 for Graduate Assistantships Eliminated positions in Business Affairs, Police, Human Resources offices Mandated Direct Deposit Eliminated petty cash and travel advances Purchased telephones, rather than renting them year after year Lumped purchases together in order to get maximum discount for computers Combined newspaper ads for positions Cell phone replace desk phones

How Will Savings be Used in 2007-2008?: 

How Will Savings be Used in 2007-2008? Directed to “core” functions; $500,000 provided for Graduate Assistants Added to $1.3 from Academic Affairs vacant positions held in Provost Office Other initiatives generate savings in later years

UNCG Goal: 

UNCG Goal Chancellor set $4 million goal in savings and avoidance Identified $2.4 savings including $1.3 from Academic Affairs Identified $1.6 avoidance

UNC System-wide Working Groups: 

UNC System-wide Working Groups Academic Administration Auxiliaries Construction/Leasing Facilities Management Human Resources Information Technology Other Barriers

What Can You Do?: 

What Can You Do? Look at how your department spends its budget Better way to do things? Web page of ideas? Change in mindset 2-sided copies Share subscriptions and other ‘on-going’ costs Determine if fax machines necessary Determine if cell phones are being used Energy awareness program Let me know