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Autonomy from the State vs
Autonomy from the Market


    Professor Khunying Suchada Kiranandana
       President, Chulalongkorn University
              president@chula.ac.th
Magna Charta Universitatum
 “The university is an autonomous
 institution at the heart of societies.”
 “To meet the needs of the world
 around it, its research and teaching
 must be morally and intellectually
 independent of all political authority
 and economic power.”
Autonomy from the State vs
Autonomy from the Market
  Role of state in higher education
  Concept of autonomy
  Universities in the 21st century
  Autonomy from the state
  University autonomy in Thailand
  Trend of public funding
  Autonomy from the market
  Autonomy from the state vs autonomy from
  the market

            Chulalongkorn University
Role of state in public higher
education

   Ownership and support
   Guidance and goal setting
   Regulation and Governance
   Funding




           Chulalongkorn University
Concept of autonomy
Autonomy
 • Self-governance or independence in running and decision
   making of an organization
 • For university, particularly in
    • Academic affairs- academic freedom
    • Personnel affairs- independent personnel
      management system
    • Financial affairs- independence in financial
      management


                Chulalongkorn University
University in the 21st century
 Globalization and free trade agreement
 Increase in demand for University education
 Advancement in knowledge and new ICT
 technology
 Change in government policy in University
 funding




              Chulalongkorn University
Globalization and free trade
agreement on education

  Borderless education- Mobility of
   • Workers (graduates)
   • Educational programs/ services
   • Cross border academic institutions and
       campuses
   •   Students




              Chulalongkorn University
Demand for University education

 Increase in Demand for University education
 in most countries
 Mass higher education        increase in
 proportion of university educated population
 New target group of university education
 Life long learners/workers
 Cross border demand



             Chulalongkorn University
Advancement in knowledge and
ICT

 Speed and volume of new knowledge
 New technology: ICT      new opportunity
 in teaching and learning
 Virtual campuses




             Chulalongkorn University
Change in University funding

 Trend of decreasing public funding of
 University
 University has to be more financially self
 sustained
 Entrepreneurial university– pros and cons??




             Chulalongkorn University
Autonomy from the state
 Freedom from state governance
 Self-governance for
  • Academic freedom
  • Autonomy from government rules and
    regulations in the use of funds and personnel
    management
 Good governance- compulsory
  • Transparency and accountability
  • Public participation
 Public funding
               Chulalongkorn University
University autonomy in Thailand

 Thai universities in general
 Autonomous universities in Thailand
  • Existing autonomous universities: lessons
    to be learned
  • Trend for future autonomous universities



             Chulalongkorn University
Thai Universities in general
 78 public universities and around 50 private
 universities
 6 autonomous universities: 5 new and one from
 public university
 Increasing domestic demand for HE
  •   Undergraduate level: still increasing high schools
      graduates for the next 4-5 years
  •   Graduate level: both from new graduates and workforce
 National standard on operation requirements of
 degree programs


                   Chulalongkorn University
Thai Universities in general                (cont.)

 Quality assurance enforced
 Diversity in characteristics and status of HE
 institutions:
  • research, teaching or both
  • quality of faculty and students
  • closed and open universities
  • face to face and e-learning
  • etc
 Limited research funds


                 Chulalongkorn University
Thai Universities in general            (cont.)

 Diversified revenue
 Change in budget allocation system for
 public u.
 More collaboration with national research
 institutes and private sectors
 Different level of internationalization




             Chulalongkorn University
Autonomous universities in
Thailand
 6 universities (2 are for Buddhist monks)
 Still belong to state but not state agencies
 Lump sum budget provided by government
 Self-governance in terms of personnel
 management and using of fund
 Academic freedom --normally no problem in
 general


              Chulalongkorn University
Impact of decrease in funding
Government in many countries around the world
tends to decrease overall funding for public
higher education
New regulations and allocation schemes –
performance based
Demand on quality of education– world class
universities




             Chulalongkorn University
Funding: higher education dilemma

Demand for higher quality–world class
universities– needs more funding
Basic research needs large funding
Decreasing public funding means university will
have to be more self sustained in finance
How to be financially self-sustained ?




              Chulalongkorn University
How to be more financially self
sustained?
 Sources of university revenue
 • Tuition and fees
 • Academic services and training
 • Continuing education services
 • Grants
 • Donation
 • commercialized Intellectual property from
   research
 • etc
             Chulalongkorn University
Academic services

 Trend of Academic services: aims to cater to
 market demand
 • Training in public and private organizations
 • Many degree programs offered to fulfill the needs of
   customers more than academic excellence
 Market demand vs academic excellence
 For faculty members: research or service?
 How far should one go?


                Chulalongkorn University
Autonomy from the market
Independence from market force on both demand and
supply for
•   graduates
•   Research
•   Academic services
Independence from market interference in decision
making and operation of university in
•   Academic
•   Financial
•   Administrative affairs
University has to consider market demand but not to be
governed by market demand
                     Chulalongkorn University
Autonomy from the state vs
autonomy from the market
University desires autonomy from the state in order to
have
•   academic freedom-- to be able to decide what is best
    academically for the public: what programs to offer, how to offer,
    what teaching and learning methods to be used, what are the
    standards of teaching and learning and research, etc
•   Personnel management– to be able to have one’s own
    personnel management system that assures the recruitment,
    retention, development and performance of personnel able to
    deliver the desired academic outcome
•   Financial management– to be able to administer the use of
    fund in order to efficiently and effectively attain the desired
    academic outcome
                    Chulalongkorn University
Autonomy from the state vs
autonomy from the market
University desires autonomy from the market in order to
have as main objective
•   academic freedom-- to be able to decide what is best
    academically for the public: what programs to offer, how to offer,
    what teaching and learning methods to be used, what are the
    standards of teaching and learning and research, etc
With academic freedom, university can aim towards
•  creating knowledge
•  disseminating knowledge
•  educating the next generation of graduates
in a way deemed suitable to serve its own vision and mission

                      Chulalongkorn University
Autonomy from the state vs
autonomy from the market
With insufficient funding, university now face a
very difficult situation–
 • Market demand may not go in line with academic
     excellence or the mission of the university
 •   Increasing revenue is necessary for the sustainability
     of the university
 •   How to balance between quality and serving market
     demand?
 •   How far should one travel the path of entrepreneurial
     university?


                  Chulalongkorn University
Final remarks
Autonomy from the state is the trend in many
countries, including Thailand, aiming for academic
freedom and self governance in personnel and
financial affairs
Trend in public funding is decreasing
Public funding is a key factor to determine autonomy
from the market
If university depends too much on the market for
revenue, it is losing autonomy from the market
Without autonomy from the market, academic freedom
is affected


              Chulalongkorn University
Final remarks
Therefore, autonomy from the state and
autonomy from the market are both desired by
university
However, autonomy from the state should not
come with less public funding
Financial independence is necessary for
obtaining autonomy from the market



            Chulalongkorn University
Chulalongkorn University

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Balancing Autonomy from State and Market in Higher Education

  • 1. Autonomy from the State vs Autonomy from the Market Professor Khunying Suchada Kiranandana President, Chulalongkorn University president@chula.ac.th
  • 2. Magna Charta Universitatum “The university is an autonomous institution at the heart of societies.” “To meet the needs of the world around it, its research and teaching must be morally and intellectually independent of all political authority and economic power.”
  • 3. Autonomy from the State vs Autonomy from the Market Role of state in higher education Concept of autonomy Universities in the 21st century Autonomy from the state University autonomy in Thailand Trend of public funding Autonomy from the market Autonomy from the state vs autonomy from the market Chulalongkorn University
  • 4. Role of state in public higher education Ownership and support Guidance and goal setting Regulation and Governance Funding Chulalongkorn University
  • 5. Concept of autonomy Autonomy • Self-governance or independence in running and decision making of an organization • For university, particularly in • Academic affairs- academic freedom • Personnel affairs- independent personnel management system • Financial affairs- independence in financial management Chulalongkorn University
  • 6. University in the 21st century Globalization and free trade agreement Increase in demand for University education Advancement in knowledge and new ICT technology Change in government policy in University funding Chulalongkorn University
  • 7. Globalization and free trade agreement on education Borderless education- Mobility of • Workers (graduates) • Educational programs/ services • Cross border academic institutions and campuses • Students Chulalongkorn University
  • 8. Demand for University education Increase in Demand for University education in most countries Mass higher education increase in proportion of university educated population New target group of university education Life long learners/workers Cross border demand Chulalongkorn University
  • 9. Advancement in knowledge and ICT Speed and volume of new knowledge New technology: ICT new opportunity in teaching and learning Virtual campuses Chulalongkorn University
  • 10. Change in University funding Trend of decreasing public funding of University University has to be more financially self sustained Entrepreneurial university– pros and cons?? Chulalongkorn University
  • 11. Autonomy from the state Freedom from state governance Self-governance for • Academic freedom • Autonomy from government rules and regulations in the use of funds and personnel management Good governance- compulsory • Transparency and accountability • Public participation Public funding Chulalongkorn University
  • 12. University autonomy in Thailand Thai universities in general Autonomous universities in Thailand • Existing autonomous universities: lessons to be learned • Trend for future autonomous universities Chulalongkorn University
  • 13. Thai Universities in general 78 public universities and around 50 private universities 6 autonomous universities: 5 new and one from public university Increasing domestic demand for HE • Undergraduate level: still increasing high schools graduates for the next 4-5 years • Graduate level: both from new graduates and workforce National standard on operation requirements of degree programs Chulalongkorn University
  • 14. Thai Universities in general (cont.) Quality assurance enforced Diversity in characteristics and status of HE institutions: • research, teaching or both • quality of faculty and students • closed and open universities • face to face and e-learning • etc Limited research funds Chulalongkorn University
  • 15. Thai Universities in general (cont.) Diversified revenue Change in budget allocation system for public u. More collaboration with national research institutes and private sectors Different level of internationalization Chulalongkorn University
  • 16. Autonomous universities in Thailand 6 universities (2 are for Buddhist monks) Still belong to state but not state agencies Lump sum budget provided by government Self-governance in terms of personnel management and using of fund Academic freedom --normally no problem in general Chulalongkorn University
  • 17. Impact of decrease in funding Government in many countries around the world tends to decrease overall funding for public higher education New regulations and allocation schemes – performance based Demand on quality of education– world class universities Chulalongkorn University
  • 18. Funding: higher education dilemma Demand for higher quality–world class universities– needs more funding Basic research needs large funding Decreasing public funding means university will have to be more self sustained in finance How to be financially self-sustained ? Chulalongkorn University
  • 19. How to be more financially self sustained? Sources of university revenue • Tuition and fees • Academic services and training • Continuing education services • Grants • Donation • commercialized Intellectual property from research • etc Chulalongkorn University
  • 20. Academic services Trend of Academic services: aims to cater to market demand • Training in public and private organizations • Many degree programs offered to fulfill the needs of customers more than academic excellence Market demand vs academic excellence For faculty members: research or service? How far should one go? Chulalongkorn University
  • 21. Autonomy from the market Independence from market force on both demand and supply for • graduates • Research • Academic services Independence from market interference in decision making and operation of university in • Academic • Financial • Administrative affairs University has to consider market demand but not to be governed by market demand Chulalongkorn University
  • 22. Autonomy from the state vs autonomy from the market University desires autonomy from the state in order to have • academic freedom-- to be able to decide what is best academically for the public: what programs to offer, how to offer, what teaching and learning methods to be used, what are the standards of teaching and learning and research, etc • Personnel management– to be able to have one’s own personnel management system that assures the recruitment, retention, development and performance of personnel able to deliver the desired academic outcome • Financial management– to be able to administer the use of fund in order to efficiently and effectively attain the desired academic outcome Chulalongkorn University
  • 23. Autonomy from the state vs autonomy from the market University desires autonomy from the market in order to have as main objective • academic freedom-- to be able to decide what is best academically for the public: what programs to offer, how to offer, what teaching and learning methods to be used, what are the standards of teaching and learning and research, etc With academic freedom, university can aim towards • creating knowledge • disseminating knowledge • educating the next generation of graduates in a way deemed suitable to serve its own vision and mission Chulalongkorn University
  • 24. Autonomy from the state vs autonomy from the market With insufficient funding, university now face a very difficult situation– • Market demand may not go in line with academic excellence or the mission of the university • Increasing revenue is necessary for the sustainability of the university • How to balance between quality and serving market demand? • How far should one travel the path of entrepreneurial university? Chulalongkorn University
  • 25. Final remarks Autonomy from the state is the trend in many countries, including Thailand, aiming for academic freedom and self governance in personnel and financial affairs Trend in public funding is decreasing Public funding is a key factor to determine autonomy from the market If university depends too much on the market for revenue, it is losing autonomy from the market Without autonomy from the market, academic freedom is affected Chulalongkorn University
  • 26. Final remarks Therefore, autonomy from the state and autonomy from the market are both desired by university However, autonomy from the state should not come with less public funding Financial independence is necessary for obtaining autonomy from the market Chulalongkorn University