1. The current issue and full text archive of this journal is available at
www.emeraldinsight.com/0888-045X.htm
Maximizing an
Maximizing an economic economic
recession through strategic recession
organizational repositioning
13
Adam Murray
University Libraries, Murray State University, Murray, Kentucky, USA Received 16 June 2010
Accepted 20 July 2010
Abstract
Purpose – The objective of this paper is to demonstrate the possibilities for strategically and
politically repositioning a library, despite economic hardships, for stronger relations with
administration, local government, and user communities.
Design/methodology/approach – The paper presents a case study of Murray State University
Libraries’ efforts to seize the current recession to conduct capital construction planning, donor
development, and political positioning for a new library facility. Additionally, the case study details
some of the activities undertaken during the recession to implement a pay-per-view journal article
process and value-added reference services.
Findings – This case study finds that strategically repositioning a library with administration, local
government, or the user community can be undertaken on either larger or smaller scales, depending on
the particular circumstances in which a library operates.
Originality/value – While the literature is rife with papers urging libraries and librarians to
undertake strategic and political repositioning efforts during economic recessions, this paper provides
a holistic case study of a library successfully doing just that.
Keywords Academic libraries, Public libraries, Information services, Value added,
Organizational planning, Partnership
Paper type Case study
To be completely subservient to the budget [. . .] has been compared to driving down the road
by looking at the rear view mirror. It is difficult to make progress and virtually impossible to
take a new road. Accounting rules and financial methods have their own logic and purpose,
and innovation is normally welcomed only when cost savings can be realized. Budgets are
historical, specialized, incremental, non-programmatic, sequential, and repetitive (Marcum,
2007).
1. Introduction
While the quote above is an excellent way to launch an article on making the best of
difficult economic conditions, perhaps Dickens said it best in his oft-repeated phrase “It
was the best of times; it was the worst of times”. It is certainly no secret that libraries,
along with many other types of institutions, are currently facing difficult budgets, staff The Bottom Line: Managing Library
shortages, layoffs, hiring freezes, and reductions in services. At the same time, libraries Finances
Vol. 24 No. 1, 2011
typically experience surges in use during difficult financial times. These surges serve pp. 13-23
as an indicator of the possibilities for libraries that arise during a troubled economy. q Emerald Group Publishing Limited
0888-045X
Such possibilities include improving the library’s position (politically, financially, and DOI 10.1108/08880451111142006
2. BL otherwise), building partnerships, and investigating new or altered services to best
24,1 meet user needs. Success is often rewarded with opportunities for more success, and
while a turbulent economy may prove difficult to navigate, it certainly should not
hamper the innovations and services that make libraries a critical part of their user
communities.
This case study takes just such a perspective. While the literature is full of articles
14 and editorials urging libraries to think strategically and creatively during economic
downturns, holistic case studies of libraries that are successful do not predominate.
This case study examines the efforts, initiatives, and services undertaken by the
Murray State University Libraries during the current economic situation to reposition
itself politically through capital construction planning, piloting a pay-per-view
program for journal article acquisition, and implementing value-added reference
services. Readers should see practical evidence for making the best of the times, in
spite of the economic climate.
2. Literature review
A review of library literature reveals three major trends concerning the economy and
libraries. Perhaps the most prevalent are editorials on the current state of the economy,
its impact on libraries, and the opportunities presented during such times. Fialkoff
(2008, 2010) pointed out the greater need for libraries in times of economic recession, as
people return to libraries as a source of information, programming, and learning. In
another editorial, Kenney (2009) discussed the shared impact of economic recessions, as
cuts in services at some libraries may result in increased demand at others. Arising out
of this interconnectivity, Kenney urged public advocacy with a single voice and
message: that of the importance of library services, particularly in times of economic
instability. Just such unification is examined by Keresztury (2009), who described the
advocacy planning and efforts put into place by various library agencies and consortia
in New Jersey as a result of state budget cuts, particularly a task force comprised of
representatives from the various types of libraries in the state. Marcum (2007)
discussed the ways in which a politically saavy library director may use political
capital and the creation of an organizational image of change or value to attract
additional operating funds from the parent institution. Much like the current article,
Marcum (2007) suggested that those initiatives that are truly important find funding
somehow, and that a stance against improving library services because of a lack of
funding increases is misplaced and unproductive. In another viewpoint article,
Marcum (2008) pointed out that innovation is central for libraries if they hope to do
more than simply survive, and that partnerships can help libraries accomplish
significant projects that otherwise would have been unattainable alone.
A second trend, moving beyond editorials, describes the impact of the economy on
libraries through various historical or economic perspectives. Examples of this trend
include Bullington and Lee (2009), Dougherty (2009), and Stearns (2009). Bullington
and Lee (2009) described the economic hardships facing educational institutions in
Wyoming and Colorado, demonstrating that these issues are common across the USA.
Decreasing state tax revenues, limited access to federal financial stimulus funds, and
restrictions on tuition increases combine with what Bullington and Lee (2009) describe
as a “perfect storm” of educational reform requirements arising from the decreasing
3. educational attainment of younger generations and the impact of technology on Maximizing an
pedagogy. These challenges lead libraries to strategic collaboration, taking the form of economic
collective purchasing and reference services.
From the perspective of transparency, Dougherty (2009) gave an overview of the
recession
many steps taken in libraries, particularly academic libraries, in the face of budget
cuts. These include freezing vacant positions or professional development funding,
closing branches or limiting hours, combining or eliminating service points, and 15
reducing acquisitions budgets. Depending on the political climate in which the library
operates and the perception of its services, Dougherty recommended transparency and
the solicitation of user feedback when considering the reduction of services that affect
the public.
Using an economic downturn as a vehicle for change is the subject of Stearns’ (2009)
article on marketing a library during a recession. The article opened with the quote
“never waste a crisis”, and outlined ways in which libraries can use targeted marketing
practices to strengthen existing services, build partnerships, and raise funds for
smaller projects while under tight budget scenarios.
A final major trend regarding the impact of the current economic downturn on
libraries relates to fundraising, with a particular focus on donor development. DiMattia
(2008) outlined the different fundraising scenarios typical of public, academic, and
school libraries. DiMattia also bulleted the many “What’s in it for me?” questions that
might come up during the process of seeking external support, and how libraries might
prepare for those questions.
Miller (2010) reported on the Library Journal’s Directors’ Summit, held in November
2009. A central topic of the summit was the state of library budgets in general, and
specifically on fundraising during the economic downturn. Key questions included
whether private funds should be used to “turn on the lights” and other basic services,
and how library budgets can be realigned to support core services so that private funds
may be used for special projects. Whatever the process, Miller (2010) reported that a
theme of the summit was the utilization of fundraising efforts to build long-term
relationships, rather than for just the immediate support of library services.
Goldberg (2008) described the impact of the economic crisis on the endowments that
support many libraries and library initiatives, ranging from acquisitions budgets to
endowed chair or director positions. Even as interest rates plummet, donors are
proving less likely to give as their ability to fund philanthropic endeavors becomes
more restricted. Despite these overwhelming troubles Goldberg (2008) suggested, like
many others, that the economic downturn gives libraries the perfect opportunity to
cement their importance to the community that turns to them in their need.
Silverman (2009a, b) highlighted the ways in which inexpensive or free resources
can be used to efficiently and effectively spread information about library initiatives in
order to cultivate donors or as stewardship of existing donors. These include mailings,
the use of social networking tools to virally distribute information, and revisiting the
traditional newsletter. Likewise, using these media to broadcast a message of
desperation in difficult financial times has a tendency to drive away potential donors.
To quote Silverman, “library donors, like sports fans, want to back a winning team”
(Silverman, 2009b). Telling success stories, and showing a responsiveness to user
4. BL needs, creates opportunities to match donors’ desire to help with the needs of the
24,1 library.
Not all articles in this trend deal with donor development; an example of those that
focus on external funding through grant opportunities is provided by Gerding (2008).
Gerding (2008) provides definitions of the six primary sources of grants funding
(federal, state, local, foundation, corporate, professional/trade association), URLs of
16 websites that distribute information about library grant opportunities, and tips for how
to search for grants. The article concludes with the “eight essential ps” that those
applying for grant funds should keep in mind during the grant application process.
These essentials are:
(1) planning;
(2) passion;
(3) persuasion;
(4) purpose;
(5) precision;
(6) partnerships;
(7) positivity; and
(8) people.
A review of relevant professional literature finds the field of librarianship dominated
by three large trends related to the current economic climate. The first trend is
comprised of editorial-type articles urging action and unification in the face of budget
cuts, branch closings, hiring freezes, and layoffs. A second trend describes these
impacts and library reactions in a more analytical light. The final large trend focuses
on fundraising, particularly through the cultivation of donors in spite of the economy.
While articles in each of these trends posit the notion of using an economic downturn to
a strategic advantage, this review of the literature reveals that there is little reported by
libraries that do just that. This perceived void in reporting (not necessarily due to a
lack of action) can be filled by case studies of libraries that have successfully
repositioned themselves on either a large or small scale.
3. Case study and background
This case study is holistic in nature and examines the efforts, large and small,
undertaken at Murray State University during an economic downturn to reposition
itself strategically and politically. These efforts include capital construction
planning/marketing, developing and nurturing partnerships/donors to expand
services, and the strategic utilization of technology for targeted acquisitions and
value-added reference services. As was found in the review above, such holistic case
studies of maximizing economic recessions are rare in the professional literature.
Murray State University (MSU) is a mid-major regional comprehensive university
located in Western Kentucky. Enrollment at the university is approximately 10,000
students. These are mostly traditional residential undergraduates. MSU is, however,
placing a growing emphasis on recruiting international students and non-traditional
students through distance education options. Murray State University has received
5. continual recognition by US News & World Report and Kiplinger’s for the quality and Maximizing an
affordability of its education. As a regional comprehensive university, it has a focus on economic
liberal arts education, but also provides degrees in agriculture, nursing,
telecommunications (a noted program of distinction), and is the only university in recession
the nation to offer both undergraduate and graduate accredited degrees in occupational
safety and health. The University Libraries are comprised of three locations housed
within two buildings. They employ ten faculty and approximately 25 staff. As the 17
university utilizes “block budgeting” (vacant positions are allowed to stay within the
budget unit, allowing the Dean to determine the use of funds within those vacant lines;
unexpended funds from one fiscal year are allowed to carry forward into the next), the
Dean of University Libraries is afforded the freedom to budget for projects with larger
costs.
Starting in the 2007-2008 fiscal year, Murray State University was subjected to a
series of budget cuts in state appropriations, accompanied by mid-year rescissions in
previously allocated state funds. Starting with a mid-year rescission in 2007-2008 of
$1.6m, followed by an additional cut of $1.4m, the university’s state appropriations
were reduced by 5.6 percent. This was followed by another mid-year rescission of
roughly 2 percent, or just over $1m. Overall, Murray State University lost just over 7.5
percent of its state appropriations in two years, with the strong probability of
continued cuts in future years. The state of Kentucky operates on a biennial budget
system, and projections for the fiscal years of 2010-2011 and 2011-2012 call for
additional cuts to institutions of higher education, particularly as federal stimulus
funding is exhausted.
The financial freedom traditionally given to budget units such as the library began
to change in 2007 as the result of the reductions in state appropriations. While not
implementing a hiring freeze, the university became much more selective in which
faculty and professional staff positions to advertise. The university budget was
scrubbed of “low hanging fruit” – budget items that simply did not make sense to
maintain in a faltering economy. Carry-forward funds were held in abeyance in order to
counter mid-year rescissions without damaging core university operations. The
University Libraries’ acquisitions budget was cut by 8.4 percent. Despite these
situations, the University Libraries identified several keys ways to reposition
themselves and their services during the down economy. These steps included
planning efforts for a new library facility, the nurturing of partnerships with
non-library units across campus, and the utilization of technology to bolster
acquisitions flexibility and reference service delivery.
3.1 History of the new library project
In the midst of rescissions and budget reductions, Murray State University began
significant planning work for a new library facility. First mentioned by incoming
President Randy Dunn during his inaugural speech in early 2007, a new library for the
university would be intended to replace the existing building, which was originally a
student center renovated in 1977 to become a library. Starting in October 2008, a task
force of representatives from various academic units, student life offices, student
government/student volunteers, facilities, and development began conceptualizing a
library building with a learning commons at its center. These meetings began with a
6. BL very abstract focus, simply observing student behavior in the existing building,
24,1 making observations about the strengths and flaws of the existing facilities, and
brainstorming services or methods of access. Members of the task force were told to
“think pie in the sky” while developing notions for services to be included in a learning
commons. As these services were identified, the author (who served as the chair of the
task force) contacted units on campus responsible for the services being envisioned in
18 the library to solicit further feedback.
As the envisioning process became more concrete, the task force decided to conduct
student surveys and interviews, and to visit facilities similar to what was being
proposed for Murray State. At this point, it was determined to hire an architectural
firm to consult on the development of a “conceptual rendering” of the facility. This
rendering would help determine adjacencies within the building and convey to the
campus the philosophy underlying a learning commons. Both of these actions required
funding. The author put together a proposal for site visit locations and worked with the
Director of Facilities to identify a suitable consultant available on state contract (and
therefore not requiring a bid process). This proposal was submitted to the President of
MSU, who after approving, forwarded to the University’s foundation for funding. After
a short defense of the proposal to the Foundation Director, the actions proposed were
funded.
With funding available, the task force completed the site visits with the consultants
present. These site visits allowed the task force to begin determining a more concrete
vision for Murray State, identifying which services and facilities should be located near
each other for the most efficiency. After several debriefing sessions, the architects
visited Murray for an all-day consultation and information gathering meeting, to which
all members of the task force, as well as representatives from various campus units,
were invited. From this meeting, which occurred in May 2009, the architects were able
to put together a conceptual rendering and preliminary floor plan of a new library
building.
3.2 Marketing, faculty response, and board approval
In September 2009, the MSU Board of Regents met to approve the capital construction
priorities for the university. Prior to this meeting, the members of the New Library
Task Force had engaged in a campus-wide marketing campaign to spread information
about the philosophy and vision of a new library. This marketing push had three main
objectives: to inform students/faculty of the vision for a new library; to counter
negative faculty response from a minority within faculty senate; and to bolster support
for the new library plans leading up to the Board’s vote on its ranking within the
capital construction priorities. Input from faculty about a new library was gathered
through a faculty survey conducted by the faculty regent; the survey found a negative
response to the possibility of a new library was a minority, although a larger
percentage of faculty expressed ambivalence about the construction of a “book
warehouse”,
The marketing campaign put into place by the task force included:
.
the production of brochures containing frequently asked questions and the
results of the student survey;
7. .
the creation of a website linked off of the main Murray State website for Maximizing an
distributing information about the task force, including images of the proposed economic
building and photos from site visits;
recession
.
an article on the new library within an MSU alumni/community publication;
.
special appearances and reports in local radio and news venues and the campus
newspaper;
19
.
the distribution of a glossy annual report containing the conceptual renderings;
and
.
hosting faculty events to showcase problems in the existing building.
The FAQ and survey results were distributed across a broad range of campus groups,
including a packet at each place-setting during the faculty and staff luncheons in
August 2009. The annual report highlighting the libraries’ many successes and the
rendering of the proposed building was distributed to the Board of Regents, and
individual conversations took place with several of the regents seeking more
information from the author. Presentations on the philosophy and preliminary floor
plan were made by the author at a campus-wide administrators meeting, student
government meetings, with the heads of the residential colleges, staff congress, faculty
senate, and others. A high-profile campus visit was arranged for the State Librarian
and Commissioner of the Department of Libraries and Archives, including a reception
at the President’s house for strategic leaders on campus who remained on the fence
about the project. A faculty-only “coffee with the President” event was hosted in the
lobby of the existing building to give faculty face-time with the President and to
showcase problems with the facility.
While each of these events and initiatives took considerable amount of planning and
effort (but not a lot of funding) to make a reality, the pay-off was readily apparent.
Faculty response to a new library changed from “why” to “when”. The minority within
the Faculty Senate reduced their attacks, and the Board of Regents voted the new
library as the campus’s number two capital construction priority.
3.3 Partnerships nurtured
Done right, however, [fundraising] can do so much more than mitigate current budget woes; it
can foster the relationships that will anchor the library well into the future (Miller, 2010).
Extending beyond fundraising, times of economic trouble can be used to nurture
partnerships that (re)define library services and the library’s political and social
position on campus or in the community. As units or potential partners struggle to
maintain budgets or services, a library represents a burgeoning place of business,
particularly as library use spikes during economic turbulence. The University
Libraries at Murray State University have done just that over the range of years
starting with 2007.
The nurturing of partnerships with the MSU Libraries started with MSU’s Center
for Teaching Learning, and Technology (CTLT). This unit, which has a mission
similar to the University Libraries’, hosts a number of events targeted towards faculty,
pedagogy, and the use of technology in the classroom. Starting in 2007, the University
Libraries began partnering with CTLT to co-host these events within the main library.
8. BL For CTLT, this partnership brought additional personnel to work the event and a
24,1 larger space in which to operate. For the University Libraries, it associated the
organization with highly-attended technology and pedagogy expos, bringing faculty
that never use the library into the building – for the first time in years in many cases. It
also gives library faculty first pick at presentation slots for library-related services or
technology, increasing the libraries’ visibility with a segment of the population that
20 may have previously viewed the library as antiquated.
Beginning in Spring 2008, the author became aware of a series of relocations on
campus as the result of a push for donor funding of a “trading room” (a classroom
modeled on stock exchange trading rooms) to be housed in the College of Business. The
intended location for the trading room meant the relocation of several other services,
including MSU’s printing and publication service, called Copy Express. Copy Express
was previously housed in a building far from most of the academic facilities on
campus, with no easy access to parking. The services offered by Copy Express include
the preparation and sale of course packs, special printing jobs, passport photos, faxes,
and various other office services. In preparation for leading the New Library Task
Force, it became apparent that housing such a service within a new library would be
ideal. As part of a revitalization of poorly used space within the main library, the
author determined that the existing building could be renovated to serve the needs of
Copy Express, thereby building a relationship with a unit intended for the new library
building. Upon approaching the various individuals associated with cultivating donors
for the trading room with a possible solution, and upon receiving an expression of
interest from the manager of Copy Express, planning for the renovation and relocation
began in the summer of 2009. The author worked as a liaison with Facilities and Copy
Express to help design the new location and to provide supervision of the construction;
the cost of the renovation was born by the budget unit responsible for Copy Express
(not the library). Construction began in late fall of 2009, with Copy Express opening its
doors in a new location in January 2010. Student and faculty feedback to the move has
been very positive, with many indicating that it “only made sense” to house Copy
Express in a heavily visited library building at the center of campus.
The poorly used space that was renovated to house Copy Express had previously
been used as storage for the library’s media collection. Before Copy Express could
move into the main library building, the media collection had to be stored elsewhere.
The summer before the Copy Express renovation, the library undertook a compact
shelving renovation on the main floor, making the media collection much more
accessible to library users. This compact shelving project also freed up a significant
amount of space on the main floor, opening up the possibility of another partnership
that had been discussed in association with a new library building – a Writing Center.
Following the identification of a need for writing assistance in a new facility, the author
approached the chair of the English Department to determine whether there was an
interest in collaborating on such an initiative. While the discussion was initially
oriented at space needs in a new facility, the possibility of a “start-up” writing center in
the existing building quickly gained momentum. As the author and the chair discussed
possible sizes, locations, and available services for such a start-up center, it was
decided to bring a development officer (who happened to serve both the University
Libraries as well as the College of Humanities and Fine Arts, where the English
9. Department is housed) into the conversation. The development officer was able to Maximizing an
quickly match the vision for a writing center with the desires of a potential donor, economic
bringing in the funding for the renovations, equipment, and staffing necessary for such
a service. As of this writing, an oversight committee comprised of Reference recession
Librarians, library staff, English Department faculty, and the development officer is
developing policies for the operation of the Writing Center. Housing such a center
within the library will not only provide students with a valuable service through the 21
creation of a partnership, it positions the library as a key player in MSU’s Quality
Enhancement Plan (QEP) for the upcoming accreditation by the Southern Association
of Colleges and Schools (SACS) agency, particularly since writing skills was chosen by
a university vote as the focus of ongoing QEP efforts.
These descriptions of library partnerships in tight economic times are not
exhaustive, nor are partnerships limited to space allocations or uses within an existing
building. For example, the Murray State University Libraries partnered with five other
offices on campus, including the Institute for International Studies and the President’s
Office to acquire a web-based subscription to Rosetta Stone. The University Libraries
have forged or strengthened relations with other units on campus such as Dining
Services and the Honors Program. These partnerships allow for the expansion or
improvement of services, despite rescissions and budget cuts.
3.4 Value-added services
Thus far, this case study on how one university library system used economic
hardships as an opportunity to reposition itself strategically has focused on large
projects such as capital construction planning, the creation or strengthening of
long-term partnerships, and the cultivation of donors. In this section, the author shifts
direction to focus instead on three value-added services which Murray State University
Libraries put together to enhance service or access, without having to rely on
“permanent” additional funding.
The first such value-added service is a pay-per-view (user-driven acquisition)
program offered to MSU’s College of Science, Engineering, and Technology.
User-driven acquisition is a topic of much discussion in the realm of serials
acquisition and management, and in order to serve a lack of content created by a large
journal cancellation, the University Libraries diverted a portion of end-of-year
“one-time” money to the creation of an account with Science Direct. This account
allowed the University Libraries to put into place a pay-per-view program to serve the
faculty of the College of Science with instant access to the content of many journals
they otherwise would have to wait on interlibrary loan to provide. The program is
intended to run as a trial for three years, at which point usage will be examined for
further decisions on funding or the extension of the service to other subject areas.
Two other value-added services relate to Reference and the delivery of
subject-specific research assistance to library users. In collaboration with CTLT, the
libraries obtained a permanent link in each Blackboard course-shell (Blackboard is the
Learning Management System used by Murray State) to a service called “Library on
Bb”. Unlike many library links embedded within Blackboard, this link did not simply
direct students to the library’s website. Instead, students were presented with a subject
index, which allowed them to navigate to in-depth subject guides while remaining
10. BL within Blackboard. The university is in the process of aligning all authentication
24,1 systems so that eventually, anyone off campus logged into Blackboard will also
automatically be logged in to library resources. This simple project has grown into one
of the University Libraries’ most powerful tools, as subject-specific federated search
engines were embedded within each subject guide. More recently, LibGuides was
purchased as a means to transform the subject guide pages from static web pages to a
22 more dynamic model, with control and placement of the content resting with the
reference librarians.
Finally, the Murray State University Libraries recently added texting services as a
method of receiving reference questions from library users. Available through Mosio’s
“Text-a-Librarian” program for a very modest price, this service does not require the
University Libraries to maintain a cell phone plan, but instead allows reference
librarians to send answers to reference questions by computer to library users’ cell
phones. In place beginning in January 2010, this value-added service has seen steady
use since its inception. These and other value-added services allow the Murray State
University Libraries to continually improve the quality or accessibility of services
without waiting for new funding to do so.
4. Conclusion
Difficult economic conditions result in a set of challenges and uncertainties that while
unfortunate, present libraries with opportunities to re-position themselves strategically
and politically within their user communities. As this case study demonstrates, such
efforts can be large or small in nature, depending on the particular circumstances in
which the library operates. Large capital projects, planning, or donor cultivation do not
have to be put on hold because of tight financial constraints; in fact, the success
generated by increased library use during periods of economic recession can help prove
the need for such large activities. Likewise, value-added services can be investigated
and implemented without overly straining flat budgets or jeopardizing staff positions.
As the quote at the beginning of this article indicates, letting the historical budget drive
current and ongoing initiatives and services ignores the possibilities that turbulent
financial times present to libraries for reinventing themselves. For the saavy librarian,
the worst of times can sometimes be transformed into the best of times.
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About the author
Adam Murray completed his Master’s in Library and Information Studies from the University of
North Carolina at Greensboro in 2006. At the age of 27, he became Interim Dean of University
Libraries, a position he held for two years before his appointment as Dean in 2010. He has been
recognized by the American Library Association as an Emerging Leader in the class of 2009, a
distinguished alumnus (early career category) of UNCG, and is an alumnus of Vanderbilt
University’s Academic Library Leadership Institute. He is currently pursuing a doctoral degree
in Educational Leadership from Western Kentucky University. Adam Murray can be contacted
at: adam.murray@murraystate.edu
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