AARHUS UNIVERSITY STAFF MEETING The Main Hall, 9 November 2010

Aarhus University's budgetary framework Current university policy issues Vision plan for physical development Status of the academic development process Presentation of new deans

Aarhus University's budgetary framework Satisfactory financial result anticipated for 2010 Although the 2011 Budget has not yet been adopted by the Danish Parliament, a political accord on the allocation of globalisation funds for 2011 was reached on 30 October and for the 2011 Budget on 8 November: Basic research funding: new DKK 270 million pool for distribution among Danish universities Matching funds: DKK 100 million to match private subsidies Reduction on education and ’other purposes’: DKK 225 million Prognosis for AU's 2011 budget: continued growth, but at a slightly lower level than in previous years

Aarhus University's budgetary framework Globalisation funds from the government's globalisation pool are an important element in AU's finances Over 0.5 billion kroner in 2011 alone received in the form of basic research funding - nearly 10% of the total budget Also a significant proportion of competitive funding (external subsidies) New challenge: funding from globalisation pool runs out after 2012 Aarhus University's budget proposal for 2011 will be presented to the University Board for approval on 16 December The nine main academic areas have submitted independent budget proposals which will form the basis of the budgets for the four new main academic areas in the 2011 budget. Aarhus University's 2011 budget is projected to be approx. DKK 5.9 billion.

Administrative costs The Danish Assocation of Masters and PhDs (DM) held the conference 'Follow the Money' and presented a report claiming to document dramatic increases in administrative costs Universities Denmark and individual universities strongly disagree with the report's conclusions A difficult question of interpretation: Which areas and functions are administrative, and which are not? Many mergers in the period 2005-2009 Administrative costs have increased in this period as a result of a necessary process of modernisation as well as increased administrative burdens related to government requirements.

The development of total costs 2005-09 Aarhus University’s total costs 2005-2009 allocated on activities - 2010-level, mio. kr. Aarhus University 2005 2006 2007 2008 2009 Education 999 1,036 1,109 1,177 1,211 proportion of total costs 29.2% 29.1% 23.2% 22.9% 22.6% Research 1,393 1,462 2,180 2,188 2,214 40.8% 41.1% 45.5% 42.6% 41.3% Knowledge dissemination 159 196 131 161 168 4.7% 5.5% 2.7% 3.1% Consultancy - 259 279 310 5.4% 5.8% Generel management,administration and service 209 211 330 409 435 6.1% 5.9% 6.9% 8.0% 8.1% Buildings 656 652 781 916 1,022 19.2% 18.3% 16.3% 17.9% 19.1% Total 3,415 3,556 4,790 5,131 5,360

The development of administrative costs Primary explanation for increased administrative costs: the modernisation and professionalisation of the university's administrative processes and structures. AU still below average for university sector Approx. DKK 50 million in annual merger-related costs Strategic initiatives such as increased internationalisation and research support Growth in governmental requirements, for example the accreditation process and the demand for more complex reporting on activities General management, administration and service 2005 and 2009: proportion of total costs   2005 2009 All Danish universities 6.8% 8.4% Aarhus University 6.1% 8.1% Total management and administration (incl. departmental): proportion of total costs 14.3% 16.5% 12.9% 13.6% 7

Aarhus University's budgetary framework Current university policy issues Vision plan for physical development Status of the academic development process Presentation of new deans

Financing higher education: a necessary debate Universities in the international elite cannot be created through public sector investment alone The quality of education is crucial for Denmark's international competitiveness, growth and welfare Higher education in Denmark is underfinanced by over DKK 1.5 billion An additional DKK 2.9 billion will be required over the next decade to enable universities to accommodate an increase in the size of the student body and to meet the government's ’50% goal' A serious debate on alternative sources of funding which well might challenge conventional Danish standpoints and principles is necessary.

The debate on 'small subjects' Main issues at stake in the debate Financing The taxameter system makes it difficult to finance 'small' but academically significant programs. Societal considerations More politicians and business leaders now acknowledge that the 'small subjects' are indispensable. Knowledge of a broad spectrum of languages and cultures is necessary, whether we are doing business, outsourcing jobs, or discussing democracy. Continual development of the AU profile Development of Aarhus Faculty of Arts Including a focus on education – for ’small subjects’ as well.

Gender equality Background for the initiative (statistics from January 2010): The Danish University and Property Agency has granted AU permission to establish 10 associate professor positions: DKK 100,000 in research funding and transition postdoc salary funded by central AU pool 10 MSO professorships: difference between associate professor salary and MSO salary funded by central AU pool for 2 1/2 years

Gender equality initiatives Conditions: Both men and women eligible to apply Positions must go to best qualified applicants regardless of sex If the best qualified applicant is a woman, the AU pool provides funding Goals: To avoid loosing talented researchers To encourage more female applicants to associate professor and full professor positions Additional gender equality initiatives: Charter for more women in management, mentorship programme, action plans at faculty level, clearly marked career paths A management development programme and an employee development interview (MUS) concept are also on the way

Nobel Prize awarded to Niels Bohr professor at AU The 2010 Nobel Prize in Economic Sciences will be awarded to Professor Dale T. Mortensen on 10 December. Dr Mortensen took up a Niels Bohr professorship funded by the Danish National Research Foundation at Aarhus University in 2006. Dr Mortensen has collaborated with the Department of Economics since 1982 and has exercised a significant influence on the development of labour market research at AU. Dr Mortensen's term as Niels Bohr professorship expires next year; Aarhus University has extended his term by five years.

AU to host EUA Annual Conference 2011 EUA represents 800+ research institutions in 46 countries The conference marks the 10th anniversary of EUA Theme: Investing Today in Talent for Tomorrow Attracting research talent to Europe Career paths for young researchers Balancing elite and mass education International collaboration on researcher talent development 500 participants: university rectors, politicians, special interest organisations, researchers, students Concurrent PhD conference and business conference

Aarhus University's budgetary framework Current university policy issues Vision plan for physical development Status of the academic development process Presentation of new deans

University Park Campus Vision plan 2010-2028 The Katrinebjerg area The Lille Barnow Aarhus University will retain the main Aarhus campus and extend its campus in Emdrup Teaching facilities, research facilities and experimental stations will be retained in selected locations The Aarhus and Emdrup campuses will grow in coming years Possibilities for expansion in Aarhus: The Lille Barnow property The Katrinebjerg area The University Park campus The Aarhus Hospital property University Park Campus Aarhus Sygehus

Current and upcoming construction projects Five projects in progress: the iNANO building on Langelandsgade, the expansion of ASB on Fuglesangs Allé, the new IT building in Katrinebjerg, the conservatory in the Botanical Gardens and the expansion of AU-HIH in Herning (approx. 29,000 m 2) Two planned laboratory facilities for the natural sciences and health sciences on the University Park campus (approx. 16,000 m2) Furthermore: Buildings for Aarhus School of Engineering at the Katrinebjerg area and NAVITAS at the harbor (approx. 44,000 m2) Construction project on Lille Barnow property (up to 61,000 m2) Preparations for expansion in Katrinebjerg to accommodate agricultural sciences activities Preparation of Emdrup expansion

Aarhus University's budgetary framework Current university policy issues Vision plan for physical development Status of the academic development process Presentation of new deans

Status of the academic development process Design and implementation of new organisational structure with fewer main academic areas, departments and levels of administration Structure of new main academic areas: approved in June; to be implemented in January 2011 Departmental structure: Proposals submitted in December, decision in January 2011; implementation in the spring of 2011 Administrative structure: Proposals submitted in January2011; decision in February; implementation in the course of 2011 Geographical/physical infrastructure Vision plan for physical development 2010-2028 approved Establish a cohesive management with the resources to exercise strategic leadership New deans start on 1 November; assume duties as deans on 1 January 2011 New university management group a reality as of 1 January 2011 Interfaculty organisational functions: Appointment of vice deans in early 2011; interfaculty functions to be established hereafter New financial model under development; to be implemented in the course of 2011

Aarhus University's budgetary framework Current university policy issues Vision plan for physical development Status of the academic development process Presentation of new deans

Mette Thunø Dean of Aarhus Faculty of Arts Associate Dean for Research at the University of Copenhagen's Faculty of Humanities since 2006 Director of the European Centre for Chinese Studies at Peking University Board member for International Society for the Study of Chinese Overseas Member of the editorial board for Journal of Chinese Overseas

Brian Bech Nielsen Dean of Aarhus Faculty of Science and Technology Head of the Aarhus University Department of Physics and Astronomy since 2009 Deputy Director of iNANO, 2006-2009 Member of the Royal Danish Academy of Sciences and Letters since 2006

Svend Hylleberg Dean of Aarhus School of Business and Social Sciences Dean of the Aarhus University Faculty of Social Sciences since 2005 Member of the Advisory Board for Center for Research in Econometric Analysis of Time Series (CREATES) since 2007 Associate editor of The Scandinavian Journal of Economics since 1995 Associate editor of Macroeconomic Dynamics since 1997

Allan Flyvbjerg Dean of Aarhus Faculty of Health Sciences Professor at the Department of Endocrinology, Aarhus University Hospital since 2009 Recipient of numerous national and international awards for research and popular publications President of the Danish diabetes association Diabetesforeningen for ten years

Thank you for your attention And remember: there will be a reception to welcome the new deans on 6 January in Stakladen RECTOR LAURITZ B. HOLM-NIELSEN