Launching New Universities in Emerging Economies

In emerging economies where many new universities are being developed, launch-critical aspects are under-recognized in the planning stages. New universities that are successfully launched and are sustainable have common characteristics right from the time that serious planning begins: a) clarity of vision and purpose, b) good governance, c) sound understanding of the market, d) early hiring of an experienced academic leader, e) a detailed faculty recruitment plan, f) academic policies in place before students matriculate and g) a formal (if) transitional organizational structure. (full article)

Emerging middle classes in the countries booming from economic reform and new national wealth derived from natural resources are driving strong growth in demand for access to high-quality education.  While the wealthiest families from those communities will continue to seek placement for their children in established Western institutions, new universities are springing up in the Middle East, former Soviet Union countries and across Asia.

Some of the impetus for these developments emanates from the private sector where investors and developers see opportunities at the same time as they are responding to real social demand.  In many cases, the desire to launch a university is part of a larger comprehensive development that involves broad community, commercial or industrial developments.  In other cases, governments , such as Saudi Arabia and UAE, are responding to societal pressures for public investment in higher education.  In these cases, investment comes either directly from the public purse through Education or Health Ministries, sovereign funds or sometimes redirected credit offset resources.

There are several models that have been used for developing new universities in emerging economies, including:

  • attracting an established foreign university to franchise their brand and operational expertise into a new international setting (e.g., Monash University Sunway campus, Malaysia) ;
  • twinning with an established international university for a first phase of development (e.g., Nazarbayev University in Kazakhstan);
  • focusing on one discipline at inception, often a professional degree program (e.g., Singapore Management University);
  • staged start with restricted academic offerings, staggered launch of programs and gradual increase in class size (e.g. Al Faisal University in KSA);
  • construction of larger scale comprehensive universities (Princess Nora University in Riyadh).

Despite the complexity that launching a new University entails, success and sustainability appear to be predicated on a number of key aspects during early planning.  Among the crucial factors are:

  • A clear vision of the purpose of the new institution – which disciplines to be taught?, will the focus be on research or education etc.;
  • A formalized governance structure (e.g. Board of Directors or Trustees) from inception made up of individuals with a blend of skills including experience in business, large project development and higher education.  It is important that the Board have an individual who understands and can guide the evolving need for balance between corporate and academic governance as the university grows;
  • Detailed market analyses so that demand is understood with particular attention to competition in the region (both for existing and emerging or planned universities),
  • A sound fiscal plan with careful attention to the capacity and willingness to of fee-paying students to pay;
  • Early hiring of core senior staff led by an individual with hands-on experience in higher education at a senior level – this should ideally happen before buildings are planned and constructed;
  • A faculty recruitment plan with focus on leaders for the launch disciplines and a small core of faculty development and curriculum planning experts who can work with discipline leaders;
  • Recognition that before students matriculate, a set of academic policies regarding all aspects of academic programs and student life must be in place – a very substantial undertaking;
  • A formal transitional organizational structure under the President or Provost so that the many moving parts of a complex development can be managed in a correctly phased and orderly manner.