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University governance in Finland: recent developments and

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University governance in Finland: recent
developments and challenges
Anita Lehikoinen,
director of the Education and Science Policy Department,
Ministry of Education, Finland
29 October, 2010
Minister of Education and Science
State Secretary
Internal Audit
Minister of Culture and Sport
State Secretary
Permanent Secretary
Communications and Public Relations
International Relations
Department for Education and
Science policy
Department for Cultural,
Sport and Youth policy
Administration Department
• Department Office
• Division for Cultural Legislation and
Finance
• General Administration Division
• Division for Art Policy
Cultural Export and Exchange Unit
• Financial Planning Division
• Division for Cultural Policy
Copyright Unit
• Information Management Division
• General Education Division
• Vocational Education Division
• Division for Higher Education and
Science
Higher Education
Research
• Sports Division
• Youth Policy Division
May 2010
• Human Resources Division
• Financial Administration Division
Themes of the Presentation
•
•
•
•
•
Higher Education system in Finland
Structural Development of Higher Education
University Reform
Steering and Funding of Higher Education Institutions
Science Policy
The Finnish Higher Education System
• The Finnish higher education system comprises two parallel sectors:
– University sector
• 16 research universities, including 4 Universities of Arts
• Student enrollment 140 500
• All institutions run by the state
– Polytechnic sector (established in the mid-1990s)
• 25 institutions
• Student enrollment 113 400
• Institutions partly funded by the state, partly by municipalities
• Regional development tasks
• Bachelor degrees (vocational and professional degrees)
• (Professional) Master’s degrees in selected fields
• The whole HE system provides study places for 65-70% of an age
group
• Annual intake of students approximately 56 000
• Annual number of senior high school graduates 33 000
Key Features of the Finnish Higher Education
System
• "Open and equal access" for all
• An extensive network of HE institutions covering the whole country
– Regional equality
• Tuition free system
– HEIs can, however, arrange made-to-order degree education to citizens of
non-EU/EEA countries
– In addition, there will be a fixed-term trial of charging tuition fees to citizens of
non-EU/EEA countries in master's programmes taught in foreign languages in
universities and polytechnics
• Provisions concerning university degree programmes will be enacted by a
Ministry of Education Decree.
• Tuition fees are conditional on a scholarship scheme.
HEIs and
Sectoral
Research
Institutes
Universities (blue)
Polytechnics (green)
Sectoral research
institutes (red)
Cohorts entering (upper) secondary education and
the first cycle of tertiary education in 2007 - 2025
68000
66000
64000
62000
60000
58000
56000
54000
52000
2007
2008
2009
2010
2011
2012
2013
2014
2015
Cohort, 19-21years
2016
2017
2018
2019
2020
2021
2022
Cohort, 16-18 years
2023
2024
2025
Themes of the Presentation
•
•
•
•
Higher Education System in Finland
Structural Development of Higher Education
University Reform
Steering and Funding of Higher Education
Institutions
• Science Policy
Structural Development of Higher
Education
• Government Programme stresses the importance to continue
structural development of HEIs
– To enhance the HE network in order to create more prominent institutions with
higher standards
– To ensure the quality and effectiveness of HEIs' research and teaching
– To allocate resources to top-level research and strategic priority areas
• The reform forms part of the European higher education reform
– Communication of the European Commission "Delivering on the Modernisation
Agenda for Universities: Education, Research, Innovation" of May 2006
• Development targets for higher education recommended in the
thematic OECD review
– Internationalisation, clearer institutional missions and positions, and
diversification of the funding structure
Aims and measures
•
•
In terms of full-time students, the target size for a university is 3,000,
for a polytechnic 2,500 and for a strategic alliance 8,000.
The target intake in a degree programme is 40 at the minimum.
–
•
Important special fields will adopt a system of admission in alternate years
The department structure will be reformed with the aim of
departments/units of at least five professors.
–
In addition, universities and research institutes to create joint departments
• The number of higher education institutions will fall.
• The new higher education institutions to be larger and stronger.
• Sufficient size of higher education institutions to boost crossdisciplinary education and research, generate new innovations and
improve student services.
• Close cooperation and partnerships will bring added value to
education and research and open new opportunities for students.
Aims and measures
• Measures are taken to make sure that the higher education
system covers the whole country.
• With a view to better quality of education and research, activities will
be assembled into the main campuses.
• High quality of operations will strengthen the impact of higher
education institutions on society and on regions.
• Only strong HEI units are attractive as cooperation partners to other
higher education institutions and players in the innovation system.
Steps to this end
• The HEIs to determinate their strategies, profiles and priority areas
in their renewed strategies by 2010
– Clearer profiles and clearer institutional missions
– between higher education institutions
– between universities and polytechnics
– within universities and polytechnics
Vision 2020
• Maximum of 18 polytechnics
–
–
–
–
Intake in youth education of 22,500 students (in 2009 ~26 500)
Flexible and profiled higher education units and structures
Strong and dynamic interaction with the region and its employers
Well-established, high-quality R&D in priority areas
• Maximum of 15 universities
– Intake of 17 500 students (in 2009 ~19 500)
– Strong units and profiles; clear priorities in research
– Internationalisation and world-class research
• Four to five strategic university-polytechnic alliances
– Secured access to education and diverse education provision in the area
– Joint R&D and stronger (regional) impact
Themes of the Presentation
•
•
•
•
Higher Education system in Finland
Structural Development of Higher Education
University Reform
Steering and Funding of Higher Education
Institutions
• Science Policy
The New Universities Act (558/2009)
• The Universities Act includes
–
–
–
–
–
–
provisions on the mission,
administration,
operational funding and steering of universities,
and matters relating to research and education,
students and
personnel.
• The reform took effect on 1 August 2009.
– The public universities started to set up the new organs of the legal person.
• The operations of universities as state accounting offices stopped on
31 December 2009.
• The personnel and students transferred to the new universities
on 1 January 2010.
Means of the university reform in a nutshell
Status as legal persons
• 1.1.2010 universities became legal persons separate from the State,
either as corporations under public law or foundations under the
Foundations Act.
• Corporation under public law (public university)
– A legal person under the Universities Act whose organs and their functions are
laid down in legislation.
• Foundation under private law (foundation university)
– A legal person under the Foundations Act which is assigned the university
mission in the Universities Act.
• The government will continue to be responsible for funding the
public duties of the universities even though the universities
are no longer within the State budget economy.
• The Ministry of Education will ensure by means of steering that
university activities conform to the higher education policy aims set
by Parliament and the Government.
Aims of the university reform in a nutshell
Aims of the university reform
• Universities used to be organised as State accounting offices
• To give the universities a stronger financial and administrative
status, they were made independent legal persons and supplied
with sufficient capital.
• As legal persons, the universities will be better able to operate with
the surrounding society.
– Having their own capital, the universities will have more scope for operating
based on their own decisions.
• Efforts will be made to gain the commitment of other actors in
society to support the universities' mission.
• Measures will be taken to ensure continued international
competitiveness of the university system.
The Universities Act will change...
•
•
•
•
•
•
•
Autonomy will strengthen: universities will have an independent legal status
Universities will take the place of the State as employers: civil-service
employment relationships will become contractual employment relationships
Community relations will strengthen:
– At least 40% of the members of the board of a public university (incl. the
chairman) must be external to the university community
• The "external" members are elected by the university collegiate body, which
may also decide to have an external majority on the board, if it so wishes.
– The board of a foundation university has 7 members, three of whom are
nominated by the founding members of the university foundation
• The board is appointed by the multi-member administrative body of the
university.
Greater latitude with finances: donations, income from capital and business activities
New universities: Aalto university (HUT, HSE, UIAH), University of Eastern
Finland (universities of Kuopio & Joensuu) and the new Turku University
(University of Turku, Turku School of Economics)
Performance agreement procedure between MoE and universities will be lighter
Charging of tuition fees on a trial basis for separate Master’s programmes from
students from outside the EU/EEA
The Universities Act won't change...
• The freedom of research, art and education
• Self-government and academic decision-making
• Research and higher education remain as the main tasks of the
universities
• The State will guarantee core funding, taking into account the
development of costs
• Education leading to a degree will continue to be free of charge
Further information
www.minedu.fi > Education > Education Policy > University reform
Themes of the Presentation
•
•
•
•
Higher Education System in Finland
Structural Development of Higher Education
University Reform
Steering and Funding of Higher Education
Institutions
• Science Policy
Steering and funding of HEIs
• State funding for HEIs
Universities € 1,7 bn
Polytechnics € 0,9 bn
+ Public research funding (Academy of Finland & Tekes) € 0,3 bn
• External funding for universities
Academy of Finland
Finnish Funding Agency
for Technology and
Innovation, Tekes
Finnish enterprises
Other Finnish sources
EU funding
Foreign enterprises
Other international sources
Total
1 000 euro
% of the
external
funding
% of the total
university
budget
174 748
21,2
7,2
105
104
316
93
14
14
824
12,8
12,7
38,4
11,3
1,7
1,8
100
4,4
4,3
13,1
3,9
0,6
0,6
34,2
635
709
990
604
093
987
766
(2009, expenses)
Allocation framework
• Legal basis of the university funding
– Universites Act (558/2009) 49 § sets the framework
– MoE Decree (771/2009) elaborates details
• Legal basis of the polytechnics funding
– Part of the Government subsidy system - linked to municipality funding
– Decree on the Financing of the Provision of Education and Culture
(806/1998 + amendments)
• Public research funding to be allocated through competition
Performance Agreements Between MoE and HEIs
2010-2012
Structure of the agreement:
1. Aims Common to Higher Education System
–
–
Verbal goals incl. statutory university/polytechnic missions, internationalization, student & HR
issues as well as cost-efficiency and effectivness of operations
Societal impact a priority in all universities' operational targets
2. Mission, Profile and Focus Areas of the HEI
–
–
–
–
To reflect university's overall strategic plan as well as national HE and science policy goals
To set appropriate strategic targets = to condense a message of the strategy into the essential
To set university / field specific quantitative goals (7)
Indicators (13)
3. Foremost Development Targets
–
1-5 projects per university linked to the implementation of the HEI's strategy
4. Financing
–
The government funding in total
5. Monitoring and Evaluation
Quantitative targets for universities 20102012
UNIVERSITIES
Bachelor degrees
Actual
number
2007
Actual
number
2008
Target
20072009
University
Offer 2/09
20102012
Target
20102012
5 879
13 876
10 170
13 904
13 815
13 884
21 825
14 518
15 244
14 893
PhDs
1 526
1 526
1 594
1 755
1 624
Number of pupils at the schools for
practice of teachers
7 848
7 833
7 900
8 026
7 920
ECTS completed under teacher
training guidance at the schools for
practice
41 352
38 273
42 318
34 8901)
42 020
7 921
8 245
8 950
11 325
11 615
11 200
Master degrees
Foreign degree students
5 897
Exchange students (incoming &
outgoing, > 3 months)
9 254
9 799
Quantitative targets for polytechnics 20102012
POLYTECHNICS
Polytechnic degrees
Actual
numbers
2007
Actual
numbers
2008
Polytech.
Offer
2010-2012
Target set
(MoE)
2010-2012
20 276
20 951
22 588
21 650
1 397
1 519
1 544
1 530
362
681
1 798
1 808
Foreign degree students
5 299
6 294
7 412
8 500
Exchange students (incoming
& outgoing, > 3 months)
7 182
7 473
8 705
8 800
Vocational teacher education
Polytechnic Masters
Performance indicators 1(2)
Education
• Students (FTE) / teaching and research personnel
• Masters' degrees/ teaching and research personnel
• Doctoral degrees/ professors
• Percentage of graduation after seven years studies
• Percentage of students who have passed more than 45 study
credits
• Percentage of graduates compared to drop-out
Performance indicators 2(2)
Research
• International publications / teaching and research personnel
• Scientific publications (not including int. publ.)/ teaching and
research personnel
• Percentage of national competive funding from the university total
funding
• Percentage of international research funding from the university total
funding
Internationality
• Staff international mobility / teaching and research personnel
Societal interaction/impact
• Percentage of complementory funding from the university total
funding
• Percentage of employed from graduates
Core funding for universities from 2010
Government funding EUR 1.7 billion
Formula-based core funding based on the
quality, extent and impact 75%
Research and researcher
education 45%
Education 55%
Other education
and science
policy
considerations
25%
Strategic
development 25%
Education and
discipline structure
75%
Quality and effectiveness
25%
Extent of activities
75%
Quality and
effectiveness
15%
Extent of activities
85%
Core funding for universities – Education
Education
Quantity of
operations
85%
Quality and
efficacy
15%
Number of Bachelor
and Master's
degrees awarded by
tthe university
35%
Target number of
Bachelor and
Master's degrees set
in the MoE-University
agreement
35%
Calculated number
of students
30%
Quality of education and efficiency
of study processes (80%)
-The Centres of Excellence in education
(300 000 euro annually / centre)
-Percentage(%) of degree students who
complete at least of 45 ECTS in a year
- % of degree students graduating
(Master's) within 7 years of enrolment
Internationalisation (20%)
-Student mobility from and to Finland
(>3 months in duration)
- Nr of credits completed in foreign
language instruction&earned abroad
- Nr of international degree students
Core funding for universities - Researcher training
and research
Research and researcher education
Quality and
impact
25%
Extent of activities
75%
Number of PhD
degrees
25%
Teaching and
research personyears
50%
Target number of
PhD degrees set in
the MoE-university
agreement
25%
Nationally competed research
funding (60%)
- Academy of Finland funding
- AoF funding for Research Centres of
Excellence
- Tekes funding
Scientific publications (20%)
- Number of refereed international
publication
- Number of other scientific publications
Internationalization (20%)
- Internationally competed research
funding
- Extent of teacher and researcher
mobility (incoming+outgoing, min. 2 wks)
Core funding for universities – Other education and
science policy considerations
Other education and science policy considerations
Education and discipline
structure 75%
Strategic
development 25%
Strategy of the university
- Disciplinary structure
- Special national duties
- Teacher training schools
- Graduate schools
- National Library of Finland
-national education and science
policy aims
- concrete development goals,
measures for attaining them, and
means of monitoring
implementation of the strategy
-2010-2012 key development targets
are internationalisation and
development of researcher career
path
Funding formula of polytechnics
State funding comprises approximately 60% of polytechnic funding. Additional 40% is
allocated by municipalities to the polytechnic's operations.
Government core funding
(A unit price per student* x Number of
students)
849 M€ in 2009
70 % (594 M€)
•Calculated number of
students by polytechnic’s
different fields of education
•Based on the number of
study places and number of
students set in the MoEpolytechnic agreement
30 % (255 M€)
• Number of degrees
awarded by the
polytechnic
• Average of past two
years
Discretionary increase in unit price
*) unit prices are calculated every four years on the basis of actual costs
Discretionary
government
grant
22 M€ in 2009
Project funding
19 M€
Performance based
funding 3 M€
Polytechnics:
Unit prices by field of education
Calculated number of students
Field of education
Average
price of
field of
education
Average
price of
field of
study
youth
adults
total
in 2009
in 2008
1 Humanities and education
1 039,5
204,7
1 244,2
10 670,56
10 264,27
2 Culture
8 412,0
1 381,2
9 793,2
10 870,42
10 456,63
17 017,0
4 389,8
21 406,8
6 066,07
5 832,62
4 900,0
978,1
5 878,1
6 150,45
5 913,83
31 644,0
4 859,0
36 503,0
6 911,88
6 646,68
6 Natural resources and the
environment
3 104,0
687,9
3 791,9
8 407,78
8 086,43
7 Social services, health and
sport
20 555,5
5 815,4
26 370,9
7 714,53
7 419,20
5 435,5
1 224,0
6 659,5
6 876,75
6 612,87
3 Social sciences, business and
administration
4 Natural sciences
5 Technology, communication
and transport
8 Tourism, catering and domestic
services
Monitoring
•
•
•
•
From 2010 universities close the books according to the accounting legislation
– financial statement is a public document
The HEIs must provide the information requested by the Ministry for the purpose
of evaluation, development, statistics and other information needed for
monitoring and steering insofar as this information is not otherwise available.
The HEIs have to present correct information on their performance and finances
in a way that enables their progress be evaluated against the set goals.
– Development is annually monitored through indicators which gauge
effectiveness and quality
– The universities must manage their finances efficiently and use their
resources to good effect
The Ministry of Education gives feedback to the HEIs on their activities and
development needs during the agreement period. As a rule, more
comprehensive feedback is given during the intervening years between
negotiations.
– The feedback procedure is used to steer and monitor the implementation of
higher education policy objectives during the agreement period.
Evaluation
•
•
•
•
The HEIs are responsible for the quality of their education, research
and other activities, and for their continuous development and
utilisation.
The quality of performance is indirectly taken into account in the MoE
indicator targets and in the monitoring of their attainment.
Regular evaluations and external audits of quality assurance systems
are undertaken to enhance the quality and impact of the educational,
research and artistic activities of the universities. The findings of the
evaluations are published.
The evaluations are organised by the Finnish Higher Education
Evaluation Council (FINHEEC), and the Academy of Finland.
– The findings of the evaluations are published.
•
The HEIs, the National Union of University Students in Finland (SYL)
and the Ministry of Education are looking into possibilities for a
university student feedback system
External funding: Academy of Finland
•
•
•
Public financing and expert organisation for scientific
research
Competitive funding with external evaluation
Promotes
–
–
–
•
High-quality scientific research
Diversity and renewal of research
International co-operation
Research Councils within Academy of Finland
–
–
–
–
•
24.9.2014
Biosciences and Environment
Culture and Society
Natural Sciences and Engineering
Health
Budget 309 million euro (2009)
External funding: Tekes –
24.9.2014
Funding Agency for Technology and
Innovation
•
•
Public financing and expert organisation for
technological research
Promotes
–
•
Aims
–
–
–
•
To diversify production structures,
increase production and exports, and
create a foundation for employment and social wellbeing.
Finances
–
•
the competitiveness of Finnish industry and the service sector
R&D in companies, but also in research institutes and universities
Budget 650 million euro (2009)
Distribution of research funding in universities
Distribution
of external funding,
433 M€
Academy of Finland
32%
Budgetary
funding
439 M€
50 %
External
funding
433 M€
50 %
Total 872 M€ (2005)
Tekes, 18%
Other public, 17%
Finnish
Enterprises,
12%
EU, 9 %
Ow n funds, 3 %
Foundations, 5 %
Other foreign, 4 %
Source: Statistics
Finland
Breakdown of investment in R&D in 2006 by sector
(% of GDP)
Enterprises
Universities
Public Sector
Total
OECD
1.55
0.40
0.30
2.25
U.S.A.
1.85
0.35
0.40
2.60
EU-27
1.10
0.40
0.25
1.75
Japan
2.60
0.45
0.35
3.40
Canada
1.05
0.70
0.20
1.95
Finland
2.45
0.65
0.35
3.45
Source: OECD
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