The government's plans to triple tuition fees are unnecessary, according to Rosslyn Analytics
London, November 11, 2010 - The UK government
could offset its plans to triple tuition fees by giving higher
education institutions the tools, resources and guidance to find
deeper savings and efficiencies, according to Rosslyn Analytics.
Rosslyn Analytics estimates universities and colleges could save
on average more than £9 million* through improved efficiency
procurement processes, including: better extraction, distribution
and use of information; managing contract and supplier
performance; and, enhanced collaborative procurement
To put this savings into perspective, £9 million saved by one
university through improved procurement efficiencies could easily
pay the current £3,290 tuition fee for 2,735 undergraduate
students or for 1,000 students if the fee triples to £9,000,
proposed by the government.
"The British government must do more to help universities and
colleges better manage their spending. In doing so,
institutions will be in a stronger financial position to
support the teaching of future students without increasing
tuition fees," stated Charles Clark, CEO of Rosslyn
Recommendations to the Government
Rosslyn Analytics believes the government's should channel more
money and effort into the University
Modernisation Fund, a £152 million scheme launched earlier
this year to support a sustained increase in student places at
universities and colleges in a period of economic recovery by
adopting greater savings and efficiencies. The government's
allocation of the fund:
- Contribute £132 million to support 10,000 extra student
places in 2010-11, 8,000 full time and 2,000 part-time.
- Provide £20 million to encourage universities and colleges to
adopt efficiencies and savings through shared services and other
At the moment,
57 institutions of the more than 300 UK higher education
institutions have signed up to the University Modernisation
Fund's "invest to save" measures.
Rosslyn Analytics proposes the government implement a four point
plan of action to re-energise its efforts to increase efficiency
and reduce costs in universities and colleges:
- For the Secretary of State for Higher Education to convene a
cross-industry, private-public forum to discuss and share best
practices in implementing innovative technology-enabled savings.
- The Department for Education to make it easier - and more
rewarding - for universities and colleges to join the University
- The Department for Education to serve as a role model for
universities and colleges by adopting new technologies, i.e.,
cloud-based services such as spend analytics, to identify and
deliver efficiency savings.
- The Department for Education to promote better collaborative
procurement among universities and colleges through existing
purchasing consortiums. Imperative to success is ensuring the
London Universities Purchasing Consortium, the North Eastern
Universities Purchasing Consortium and North Western
Universities Purchasing Consortium, and others, have access
to spend data.
"If universities deploy private sector-style management
practices, there is no reason why the cost of educating students
shouldn't decrease over time. At the end of the day, students are
in control because if they don't see value for money, they will
simply find a better performing university," Mr Clark added.
Notes to editor:
*This saving is based on a university with annual indirect spend
of £100 million achieving a savings target of nine percent.
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About Rosslyn Analytics
Rosslyn Analytics, the pioneer and leader of cloud
computing-based spend analysis, is changing the way organizations
obtain, use and share spend intelligence. Its award-winning
web-based automated spend analytics platform, RA.Pid®, priced as
a service, aligns and empowers ALL employees that can influence
spend by delivering accurate visibility of enterprise-wide spend
in minutes or days. Organizations can start with a free
self-service version of RA.Pid®, which gives users the ability to
run base spending reports and identify duplicate payments, for
example, within minutes of loading data into the platform. For
more information, please visit http://www.rosslynanalytics.com/.
Further information (external website)