1. IS THIS PROGRAM WORTH IT? HOW TO DETERMINE ROI LORI ALEXANDER CENTRAL PIEDMONT COMMUNITY COLLEGE

2. Reasons for the Study Help prioritize allocated budget resources during tough economic times Assist with tactical enrollment growth strategies (where to add sections) Help make the case for additional money from external sources Help evaluate the performance of our programs Assist with strategic program planning

3. Factors utilized in the Study Actual budget dollars expended by divisions in FY09- 10 (data from Budgets) All FTE students enrolled by pre-fix and course for 2008-2009 and 2009-2010 (data from ICR Reports) Division administrative costs were pro-rated across programs based on a % of FTE’s A calculation resulting in credit hour generated A cost per credit hour generated was created to compare programs over a three-year period The CPCC cost per credit hour was also compared to the State reimbursement rate to determine ROI

4. Task #1: Plot Programs using FTE and Program Cost Data

5. Results of the Study Portfolio of Curriculum Programs

6. Results Compared to Last Study 2007-2008 Study – 64 programs 2009-2010 Study – 85 programs

7. 75% of programs grew in FTE between 2008-09 and 2009-10

8. Results Compared to Last Study 2007-2008 Study – 64 Programs2009-2010 Study – 85 Programs

9. Observations about FTE Growth Enrollment increases were largely due to:  introduction of new programs  addition of high-demand sections  increases in class cap sizes  growing number of online classes  convenience of six strategically located campuses  retention efforts

10. 68% of Programs Generated a Positive ROI in FY 2009-2010

11. Results Compared to Last Study Return on Investment

12. Observations about Program Costs Program costs are most impacted by faculty salaries, equipment, technology, and class size. Programs with large class sizes and faculty hired within the last several years have the lowest cost per credit hour generated. Programs taught mostly by PT faculty have lower costs per credit hour generated. Programs with smaller class sizes (due to accreditation requirements and more tenured faculty) have higher costs per credit hour.

13. Task #2: Assign Objectives Subsidize. Seek industry support and funding to help underwrite costs. Revitalize. Identify and invest resources selectively. Consolidate. Reduce costs by creating efficiencies. Divest. Divert resources where they can be better used elsewhere.

14. For Example Programs of Focus in 2007-2008: High Cost

15. 2007-2008 Objectives and Results Subsidize. Seek industry support and funding to help underwrite costs. Recognizing that many of the programs that fell into the High Growth/High Cost category were Healthcare Career Programs and strongly aligned with occupations in demand, a fund- raising campaign spearheaded by the CPCC Foundation was targeted towards the two major hospital systems in the Charlotte region resulting in over $500,000 in cash gifts and pledges, plus equipment and supplies. Consolidate. Reduce costs by creating efficiencies. Due to high program costs and inefficiencies in the statewide Information Technology (IT) curriculum, CPCC created a new Computer Technology Integration (CTI) degree in collaboration with Stanly Community College. It is a flexible curriculum that can be customized to meet the needs of the local IT Industry. For CPCC, this one degree will eventually replace five of the current IT degrees.

16. Next Steps Programs of Focus in 2011-12: Declining Enrollments and High Cost

17. 2011-2012 Objectives Subsidize. Seek industry support and funding to help underwrite start-up costs for new healthcare programs.  Pharmacy Technology  Occupational Therapy Assistant  Ophthalmic Medical Assistant Diploma

18. 2011-2012 Objectives Cont’d Consolidate. Reduce costs by creating efficiencies.  Business Administration Umbrella Degree  Math Consolidation  Mechatronics Consortium  Super CIP

19. COMMENTS OR QUESTIONS? THANK YOU FOR YOUR TIME! Learning Unit Updated Program Cost/ROI Study Fall 2011