Heads & Managers Forum Income Generation Update

Income Generation - Progress Update 2 Context Strategic Plan & Challenge Income Generation development & Targets Current Position Risks Barriers Next Steps

Income Generation - Context 3 Continual reduction in all exchequer funding sources State Grants have fallen from €94.6m in 2008/9 to €55.4m forecast for this year Amount of Core Grant per student down from €4,440 to €1,569 over same period Further reductions in exchequer funding envisaged in line with recovery of national finances – Core Grant forecast €31m 2016/17 While Student contribution continues to increase - No benefit to UCC’s bottom line as tuition fee pro-rata reduced Trend internationally – states withdrawing from funding higher education

Income & Expenditure Overview – 08/9 to 12/13 4

Strategic Plan to Financial Plan underpinning Strategic Plan Reflects expected reduction in exchequer funding sources Built from Colleges/Central areas own plans – Reflects planned increases in FTE and FTE mix changes Higher Pay costs in plan to match increased FTE to avoid further deterioration of SSR However – additional income from FTE changes not enough to compensate for expected exchequer reductions – net deficit for each year of plan Focus would be on income generation to bring back to balance

Scale of challenge 6

Group established by President in 2012 chaired by E Sweeney Report approved 2012 Focus on 5 main areas – Non EU FTE, PG, Advancement, CPD, E – Learning Implementation Plans and targets developed for 5 areas Responsibility assigned for delivery Investment and funding model approved Feb 2013 for inclusion in 2013/14 budget Oversight Group ( IGOG) established to primarily monitor performance versus target Income Generation – 2012/13 activity 7

Income Generation - Targets 8 Income Generation Income Targets €'mYear 1 Year 2 Year 3 Year 4 Year 5 Total E - Learning PG FTE Non EU FTE CPD Advancement Total

Targets may be aspirational and not achieved Exchequer position may deteriorate even greater than expected Recession burden on existing EU UG recruitment Investment in advance of return – exposes University to potential deficits if return not subsequently achieved Non EU FTE dependency on international perception of Ireland, price, rankings Competition Fatigue & Inertia UCC internal barriers Risks & Exposures 9

Taken all of outputs from June H & M Forum Currently collated across Academic, HR, Finance, Organisational/Structural etc Enables easier allocation of responsibility to put in place solution Consistency across various outputs from the different groups Many are related to internal polices, procedures and how we do our business Majority not dependent on outside support to resolve Resolution to issues around incentives, workload, IEO, promotion criteria, awareness will make a real difference beyond the financial return Barriers must be removed - At risk is not just the incremental income – existing level of non Exchequer funding may also not be achieved Barriers & Incentives 10

Non EU & PG FTE- Each college developing multi - annual targets by programme, market & year of strategic plan, ISG established, with support for 6 working groups E- Learning – Launching 6 programmes in 2013/14, further call in Jan and team exploring developing 3 rd party support for E-learning IT platform and market engagement Advancement – Agreed Projects and Themes under review by CUF board for targeted fund raising over next 5 years CPD Hub – Governance model established, CPD launch in Waterford and MoU underway with institute of Training & Development IGOG - Developing indicators to assess performance and activity - Monitoring actual performance to target - reassessing investment if targets slip to minimise exposure Bringing forward series of recommendations based on H & M outputs to remove barriers and put in place incentives to give every opportunity for targets to be achieved Progress since June & Immediate Next Steps 11

In current environment of ; continued reduction to exchequer funding for the foreseeable future No real changes to funding model UCC must take every opportunity to grow non exchequer income to avoid the cycle off continued cuts to budget, further damaging quality of offering to students & damaging long term sustainability of UCC Conclusion 12