The Next UW-Madison Chancellor... Tommy Thompson?

The search for a new chancellor of UW-Madison is now underway.  This is a critical search for our community, as changes on multiple fronts threaten to destroy the aspects of Madison that makes it such a wonderful place to teach and learn.

It's absolutely imperative that YOU get involved.  Start by attending one of the upcoming sessions on campus, hosted by the search and screen committee.  Think about nontraditional candidates-- consider those who've worked hard to take leadership roles as faculty in public higher education, for example, but not yet worked as a high-level administrator.  Think outside the typical research university model.  Think outside of the usual corporate models.

Sift and winnow.  Others already are.  Word reached me late last week that some people are thinking "nontraditional" indeed, and seeking to follow the lead of Indiana by bringing this guy into the mix.  Does Tommy meet your definition of a top-notch UW-Madison chancellor? If not, what do you plan to do about it?

Think. Act. Get involved. Don't sit still and wait for it to simply "happen" to us. Please.

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Five Ways to Enhance the Effectiveness of HR Design

This fall marks my ninth academic year at UW–Madison. During my time here I’ve experienced our human resources system in many ways—as a new mother seeking a maternity leave (twice), as a temporarily disabled employee in need of a leave, as a frustrated faculty member seeking a raise, and multiple times as the director of a large research project trying to hire and retain qualified classified and academic staff. I know firsthand that the system needs to change in order to realize our campus goals of equity, efficiency, and effectiveness.

That is why I have taken seriously the HR Design team’s request for input from shared governance units, spending significant time studying the plan, and commenting on it in multiple venues. I think further adjustments to the current plan are required, because my own knowledge of higher education reform efforts and the scholarly literature on work and organizations suggests that as currently formulated it will have significant unintended consequences, eroding some of what we value most about our university. Therefore, I am providing five recommendations for revising the plan so that UW–Madison’s approach to the management of human resources continues to reflect an ethos that prioritizes egalitarianism over ego, and recognizes that our greatest resource is our communal passion for and commitment to our work, rather than the competitive yet aimless striving for prestige that has overcome many of our peer institutions.

Recommendation 1:Expand the plan’s current living wage provisions to include workers at businesses receiving university contracts of $5,000 or more and student hourly employees.

The current plan calls for the implementation of a living wage policy that omits two groups: student hourly workers and contracted employees. Including contracted employees would bring the policy in line with the City of Madison’s living wage provisions. Their exclusion creates an incentive for the university to outsource more functions, which may increase efficiency but will also erode job security. In addition, providing a living wage to contractors and students helps ensure at least a modicum of equity among all people working in our community.

           

Recommendation 2: Revise the compensation philosophy guiding the plan to make internal equity and collective performance the primary, rather than secondary, compensation drivers.

The current plan repeatedly emphasizes enhancing “individual potential, opportunity, and achievement,” which, while important, overlooks the critical role played by teamwork in providing high-quality learning experiences and producing innovative research. The 21^st century research university increasingly requires collaboration across disciplines and units, creating work environments where people trained in different disciplines (and who are thus part of different labor markets) work alongside each other. The plan briefly acknowledges this, but the compensation strategies it outlines focus first on the role of market competitiveness (noting that it will be a factor in establishing compensation) and only secondly (and far less frequently) on internal equity. The roles of these factors should be reversed in each section. After all, the compensation work team (which, as an aside, did not include any non-administrator faculty members) recommended that market value be considered in setting wages but said nothing about de-valuing or de-emphasizing equity (although it appears the committee did not consider alternative, equity-focused models of compensation at all). It is reasonable that the committee wanted to add market-based pay to the mix of compensation drivers. However, the extent to which this driver should be emphasized, and how to assess cross-departmental collaborations taking into account diverse disciplinary “markets,” are very complex questions deserving a more careful work.

Recommendation 3: Require mandatory training for all managers tasked with setting employee compensation and/or benefits.

Given the highly decentralized nature of the plan, managers will almost always be faculty members, and yet most would acknowledge that they are not trained for or comfortable with performing human resources functions. The compensation work group noted this among its concerns, stating, “Another concern is that not all faculty and staff supervisors will assume responsibility to fairly, objectively and consistently implement formal performance evaluation processes.” This is too important a role to be left to the untrained, but the efficacy of this plan relies exclusively on their responsible participation in the training. It is especially important to give managers guidance about how to conduct and utilize market analyses in departments and units where scholars from different disciplines work side by side (thus creating much potential for internal inequity), and also to train them in assessing the comparable worth of similar yet unequal tasks. The current plan notes that a lack of training for managers was named as a problem in the listening sessions and mentions the training of hiring managers, but says nothing about rigorously training those who set compensation.

Recommendation 4: Alter the recommendation in the plan associated with shared governance to focus on joint decision making rather than advice and input.

The recommendations on shared governance, particularly with respect to development of the compensation pay plan and changes in benefits (leave, insurances, etc.) stress that the shared governance institutions, specifically that of the newly created University Staff, provide advice and input to the administration afterthe plan is developed. This is not indicative of a collaborative or shared governance model. While at many institutions shared governance merely requires the involvement of faculty, staff, and students as listeners and occasional speakers, this is not the historic practice at Madison and shared decision-making responsibilities should not be eroded through changes to language in specific plans like these.

Recommendation 5: Require mandatory performance reporting and accountability metrics for the new HR System.

At minimum, the plan should explain which reports should be produced and what consequences will be associated with performance. For example, public annual reports should assess changes in internal equity (between faculty and staff, among groups with regard to gender and race), faculty and staff turnover, and the absolute and relative number of positions that are university employees versus contractors. These reports should be presented to both the Faculty Senate and the Academic Staff Assembly (and the shared governance body of the University Staff), and the senior leadership council should describe what responses to the plan will take place should inequity, turnover, outsourcing, or other negative unintended consequences of the new HR design emerge or worsen.

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More Questions on HR Design

In advance of this afternoon's meeting, I received this very helpful document from the Wisconsin University Union, which summarizes the HR Design plan elements and how they compare to current practice, while raising some critical questions about each element.

Here are some questions that I think are especially deserving of response:

• Will the university staff assembly, created by HR Design, preempt or potentially undermine the re-establishment of unions?  
• Why aren’t all contractors (over $5K) included in the living wage provisions, consistent with the City of Madison policy? UW has shifted to using contractors for custodial and food-service positions, and currently pays custodians just $8/hour. 
• What provisions prevent a hiring authority from defining the “employing unit” as so limited as to “force” a layoff? 
• What is the evaluation plan to assess the impacts of these radical changes?

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Concrete Suggestions to Improve HR Design

This evening my colleague Bruce Thomadsen, professor of medical physics at UW-Madison, shared several concrete recommendations for improving the HR Design plan.  I think highly of his suggestions, and thus with permission I am summarizing the most critical ones here:

1. Affirm the continuation of genuine shared governance, a pillar of UW, in this plan.  The language implies that employees will advise on the implementation of benefits programs, but this is far weaker than the current status of shared governance at our university.  Decision-making must be shard.
2. Amend the plan to clearly state that academic staff have the right to due process with respect to all University actions detrimental to their jobs. This is not currently clear, especially with regard to layoffs.
3. Provide much more detail on the implementation of the layoff procedures. In particular, explain how the new system will increase, rather than decrease, job security.
4. The plan says that hiring managers will set salaries.  Clarify how this will be accomplished, and be specific about the types of information that will be considered and in particular the role that market studies will play.
5. The plan discusses the challenges of creating a system of job titles and compensation levels that match the titles. The difficulties and process are listed, but it is not clear that the results will eliminate the problems encountered frequently in providing adequate compensation for long-time, experienced employees, where only by changing a job title (and, therefore the job description) can increased compensation be provided. Often, such changes are not possible or allowed. The solution is to uncouple the job title from compensation to give flexibility and establish compensation based on qualifications and performance. This would eliminate the problem of adjusting the compensation for persons at the top of their job classification’s pay range. 
6. The Guiding Principles for HR Design aimed to eliminate the disparity where 12-month faculty receive 22 leave days immediately upon hire while university staff start with a low number and work up to this through seniority and promotion. Instead, all employees should start with the full number of leave days. But this plan apparently lowers the beginning leave days for new faculty, moving in the opposite of the intended direction. To fix this, change the plan: all full-time University employees should have 22 vacation and personal leave days, with leave for employees with 9-month appointments prorated by ¾.
7. Under this plan, it is not clear what will happen to the conversion of accrued sick leave at retirement. Clarify this, leaving sick leave separate from other vacation and personal leave, and the current sick-leave accrual policy unchanged.
8. Eliminate the provisions to change rules regarding transferring positions. The plan eliminates the current right for employees to return to their original positions if a transfer to a different position does not work. The report states, “Also, by reducing the risk associated with accepting a new position, the current policy also reduces the incentive for both the employee and the hiring manager/supervisor to do effective onboarding and work together to address any challenges in the probationary period.” This opinion neglects to consider that the transferring employee wants to make the change and therefore has a stake in making the new situation work. The hiring manager’s incentive would likely try hard to fit the transferring employee into the working environment to avoid repeating the hiring process.

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Share the Wonderful -- But Keep Hope Alive

UW-Madison has a new fundraising campaign called "Share the Wonderful," which I first learned about through the alumni magazine On Wisconsin.  In a time of fiscal austerity, all creative efforts to improve the university's resources are welcome and laudable.  Moreover, I understand that the relatively low rate of giving among Madison's alumni (10%) frustrates some people.  (Although, please note that last year Madison ranked 15th in the nation in total dollars from alumni--down from 2006 but not shabby.)

But I think we should also consider how "Share the Wonderful" relates to UW System and UW-Madison's other goals and aims, such as improving the relationship with the legislature and the people of the state, and moving towards reinvigorated state financial support.  Nearly every action has an unintended consequence or two, and this one isn't likely an exception.

Despite frequent and vehement proclamations to the contrary, the future of state support for higher education, and explanations for its decline, is not a settled matter.  Treating it as such only serves to cut off public debate and end the sifting and winnowing for better answers, for which UW is rightly famous.  

Yes, some people believe the ship has sailed, and there is no way the state will find reason to do anything but continue to cut investments in UW System and Madison.  The reasons, they say, are clear: the state's tax base is weak, the populace views the universities as elitest and unproductive, and the model of state supported institutions is simply "old" and done. The On Wisconsin article suggests that UW Foundation President Mike Knetter embraces this perspective.

On the other hand, many analysts (including members of the faculty, students, and community members) note that while the state's economy is indeed weak, its residents pay substantial taxes, and the issue of university funding is really about how that tax revenue is allocated. It is clear that Wisconsin has money for its priorities, and that higher education is losing out to competing priorities like prisons. Moreover, there is evidence (including from Kathy Cramer Walsh, as cited in the On Wisconsin article), that the attitudes of Wisconsin residents towards their universities are shaped by the degree to which they are engaged and served by those schools.  The current situation, in this view, is a political choice and a construction resulting from current practices, and thus is amenable to change.

Unfortunately, the case that "Share the Wonderful" seems to make (based on what I read in On Wisconsin and online) rests on the assertion that it's time to accept facts, recognize the crisis in funding, and donate to show the legislature and Wisconsin residents that alumni believe Madison is a wonderful institution and are willing to sustain it.  This language has echoes of the New Badger Partnership campaign, and is typical of moral persuasion techniques used by higher education administrators who embrace the perspectives of business professors like Clayton Christianson, who urge them to think "rationally"about their fiscal problems, and operate as corporations do to protect their bottom line.

This effort may well succeed in generating more alumni donations.  But it may also lead alumni to continue their mostly apathetic stance toward public funding for UW-Madison, and to think that alternative approaches often taken by alumni elsewhere-- e.g. using their considerable influence in lobbying business leaders and legislators-- are no longer needed.  Moreover, their demonstration of support could lead taxpayers to abdicate their responsibility as well, as it has in Virginia, where UVA's powerful alumni network is widely viewed as more than capable of meeting that university's needs.  What this effectively does is reinforce the perception of a UW education as a private benefit accruing mainly to individuals, who are thus responsible for its costs.  Sure, that's one way to look at things, but here is another:  alumni are people who already paid tuition in exchange for that private benefit, and now they are taxpayers and voters contributing greatly to the public good in Wisconsin--and we are asking them to pay again.  One could argue that such a responsibility is not theirs alone and should be shared, and yet that emphasis on shared responsibility is lost in a campaign framed by a declaration that state support is going away.  If alumni are not sufficiently activated to protect public higher education, the sharing will be between current students and families paying tuition, and alumni -- period.  With that, the university will cease to have any explicit incentive to serve the public good, and will be solidly and squarely working for individual benefits.

Fundraising among alumni is inevitable and healthy.  But in my view it would be more productive in the current setting if "Share the Wonderful" were explicitly linked to a campaign to revive the public investment, and overt advertisement of collective and social goods produced by the university: its research, community service, public spaces, stimulation of difficult conversation, etc.  In one sense, "Share the Wonderful" is doing this, by working to increase unrestricted gifts, those that can be used for more than specific individual purposes-- that's excellent. And, there is a section on the fun website about the university's "impact on the world."  But that page mainly highlights important moments in UW-Madison's life, and the degrees it awards (private benefits). It would be terrific to augment this with actual evidence of how the activities stimulated changes in the state's landscape, health, and flourishing.  More importantly, given that the marketing research done by UW suggests alumni aren't inspired to give more when threatened with the fallout from state support, provide opportunities for them to do more -- beyond money-- to protect the institution. For example, when a alumni seeks to "amplify" his or her donation-- or can't afford to make a donation--why shouldn't the Foundation provide information about how to communicate with community members and legislators regarding the need to support the university.  For example, at the bare minimum, mention or link to this page at the Wisconsin Alumni Association. Better yet, involve people like Kathy Cramer Walsh and others who work with the people of Wisconsin to improve that page (and ones like it) to provide real, effective options for opening such conversations.

So yes, "Share the Wonderful." But please, don't frame our solicitations by quashing hope for turning the tide in public higher education.  Ensuring the future of Madison means turning more alumni into activists, as well as donors.  Every monetary donation should be accompanied by a letter to Wisconsin's leaders and legislators, putting them on notice.  We will hold them accountable for their role in providing postsecondary education and all of its benefits to Wisconsin residents, and our memories are long.

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The Continued Marketization of UW-Madison

Last year, I wrote extensively about efforts led by former Chancellor Biddy Martin and her administration, donors, and alumni to privatize (or at least semi-privatize) the University of Wisconsin-Madison.  That effort was partially successful, for while Martin and colleagues failed to separate Madison from the rest of the UW System, or gain authority over tuition setting, they did succeed in getting Madison the authority to redesign its human resources system.  This new "flexibility" was praised by many on campus, including staff, faculty, and students, who recognize that the current bureaucracy is not working, especially for those outside of administration.

So, this year the Human Resource Design Project has been advertised as a tremendous opportunity, hard won, and far better than the alternative -- the status quo.  Perhaps.  But few reforms are without consequence, and the recommendations recently offered by the working teams in HR Design suggest this case is no exception.  In fact, the potential long-term effects of this redesign process may result in an very different university culture, one that is far less progressive than Madison has historically been known for.  Instead, the recommendations will likely aggressively speed-up Madison's transformation (I'd say descent) into a market-driven institution focused first and foremost on serving its paying customers.

Some specifics of the recommendations have been discussed over at Sifting and Winnowing and so I direct you to read the details there.  For example, the recommendations include combining the currently unionized classified staff and academic staff into one.  As severals members of the HR working teams point out, this has significant implications for the protections held by unionized workers: "If the state legislature does not amend these statutes, the combining formerly classified staff–the custodians, the office secretaries, financial specialists–into the employee category academic staff will take away the few remaining collective bargaining rights that they have fought and bargained for about 50 years."  Both the classified staff and the academic staff object to this recommendation.

Another recommendation focuses on the distribution of employee pay based on labor market analyses. As members of the Wisconsin University Union point out, this can mean many things-- some resulting in even lower pay for UW-Madison workers.  "There is no standard labor market for any group or individual occupations (with the exception of building trades). There are often valid arguments to be made for or against choosing one group over another. However, choice of a particular labor market as the standard will frequently determine the result."  Crucially, the current recommendations say nothing about providing cost of living increases to all employees, nor is there any consideration of years of experience with good performance.

Furthermore, the proper implementation of these recommendations will likely grow the size of central administration -- not reduce it.  National studies indicate that growth in central administrations are the source of much of the increasing costs of college attendance, so we need to pay special attention here.  According to Joel Rogers, professor of Sociology, “Done properly, the task of specifying the real human capital requirements of hundreds of UW job titles; identifying jobs with the same requirements in external labor markets; collecting all relevant data on their compensation from private employers; and doing all this continuously enough to capture relevant changes, job titles, compensation practices, and labor market boundaries and participants is a massive amount of work."

Finally, despite promises to the contrary, these recommendations involve cuts to employee compensation.  Specifically, academic staff will see their vacation benefits reduced.  As ASEC has pointed out, "newly employed academic staff will lose nearly 52 hours of vacation/personal time under this proposal. Children attending MMSD have 16 days of vacation that do not coincide with the UW’s current holiday schedule, which means a single parent would have four days of vacation left (after caring for her/his child when local schools are not in session)."  And yet UW claims that employees will not move backwards under the new Design?

Now, to UW's credit, this has been a somewhat transparent process.  Many public forums have been held, and there are many ways to provide input.  The 11 working groups on this effort involved many people-- however, a closer look indicates that the vast majority (perhaps 2/3rds) are people currently in HR in the administration--in other words there were not many faculty or union-represented workers involved.  Furthermore, participation among those on the work groups has been reportedly hampered by meeting times occurring early in the morning (e.g. before childcare begins) and during work hours.

Moreover, there has also been a continuation of last spring's approach in communicating with campus members-- administrators tell us what's "important" and "smart" without providing hard facts about the evidence on why.  Where does this proposed structure of titles come from? Where is the data regarding the effects of this sort of market-driven approach versus alternatives?  There is very little data given anywhere to back up the contentions in the recommendations, despite the very expensive contributions made by the Huron Consulting firm, hired under Martin to assist with this work.  The rhetorical approach is led by Robert Lavigna, who speaks about the importance of ensuring that the new system can attract and retain "the best talent."  He utilizes the language of "flexibility", "efficiency," and "effective."  He promises a "greater connection between compensation and performance."  In other words he talks a lot like Biddy Martin, and others like her who are bringing business practices to education.

Thus, one key thing that the new HR Design highlights is that the neoliberal politics embodied in Biddy Martin were not hers alone, and that her efforts were indicative of a broader market-driven culture amongst those who surrounded and hired her, which continues to prevail in today's UW-Madison (and indeed globally).  These recommendations were issued, and are being systematically advanced, despite her departure.  That is something we all must pay close attention to, as these political maneuverings will likely continue to shape the next stages in Madison's development- especially the upcoming chancellor search.  Who will be in charge there? What "facts" will we be provided? What role will faculty, staff, and students play, relative to the roles played by WARF, donors, alumni, and administrators?

A thoughtful approach to considering the desirability of the marketization of Madison requires our entire community think about (1) What are the full set of alternative options under consideration? (2) What evidence is being presented about the likely intended and unintended consequences of each option? and (3) Who exactly stands to benefit, and in what ways, from each option?

Notably, these are not the kinds of questions Huron (our highly-paid consultant) is known for asking and answering. Instead, Huron emphasizes a one-directional model in which administration directs the activities of faculty and staff.  Laura Yaeger, VP at Huron, has said that "universities are getting a better understanding of what activities add value to students and stakeholders while  providing clearer guidelines for staff and faculty about which programs and activities should be supported."   Does that sound like shared governance to you?  Who are those stakeholders?

We are repeatedly being told that our backs are against the wall, and this is our only choice.  Don't listen to talk like that-- you are too smart.  This new Design is neoliberalism at its finest, justifying marketization as a form of self-defense, redefining all interactions within the educational institution as essentially business relationships. We, the faculty and staff and our traditional protections, are being identified as the obstacle to market-based efficiencies.  The ultimate goal is to make UW-Madison less dependent on us.  This gives private investors greater opportunities to profit from state expenditures, while influencing the form and content of education. And it makes business and university administrators the main partnership, redefining student-professor relations.

It is imperative that educators and students across UW-Madison begin to understand and draw attention to how funding priorities, public-private partnerships, tuition and fees, cost-benefit analysis, performance indicators, curriculum changes, and new technologies change the content of academic work and learning, and how they collectively arise from global efforts to discipline academic labor for capital. The changes to Madison's human resources system, and to its operations more broadly, are intimately linked to employment opportunities in Dane County and elsewhere, and to the kinds of education and services we deliver to the state.  If we are going to be market-driven in how we educate and serve Wisconsin, what we provide will be undoubtedly more unequally distributed.  Everyone should have something to say about that. As Lavigna has said "This system will affect everyone on this campus."  He's serious. You need to pay attention.

PLEASE: Send your feedback on HR Design to hrdesign@news.wisc.edu

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Our Students Aren't Customers

At Monday's Faculty Senate meeting, I'll deliver the annual report from the Committee for Undergraduate Recruitment, Admissions, and Financial Aid (CURAFA). I have chaired that committee for several years, and while it is not usually something I discuss on this blog, I want to address a comment I made at the last meeting.

At that meeting, my colleague Adam Gamoran delivered a report from the committee on faculty compensation, and as part of that report suggested that the university raise more funds to pay faculty by increasing the overall number of undergraduates from out-of-state (OOS). He was not suggesting we decrease the number of in-state (IS) students, but rather that we grow the total number of undergraduates by enrolling more OOS students.

As CURAFA had not been told this suggestion was forthcoming, and I had not read his committee's entire report for the meeting (my fault), this took me by surprise.  In keeping with my scholarly work on higher education policy, I was aware of the likely reaction from students and the public to a proposal that could easily be read as an effort to put on onus on students and families to fund salary increases. Of course, Adam meant that this was needed only because the state wasn't doing its job of funding the university, but it was also clear right away that this wasn't the media message that would carry.  Further, the idea of increasing enrollment among OOS students was something CURAFA had discussed several times with the Office of Admissions, and it was clear from those conversations that this strategy was much easier said than done.

That is because the percent of OOS who enroll at Madison after being accepted is quite low. That "yield rate" is just 22% for domestic non-residents (this excludes Minnesota) -- lower than the national averages for public universities.  The large gap between applications and enrollments among OOS students is a function of many things-- many students apply to large numbers of institutions to improve their odds of admissions or odds of getting multiple offers that can be negotiated, and also many OOS students expect to be offered a nice merit scholarship to induce their attendance.  Yield is thus a far better indicator than applications of how many students truly prefer UW-Madison and can afford to attend it without scholarships.  The latter shouldn't matter generally, but in the case of OOS students, if we have to heavily discount their costs then we will not generate enough revenue to fund the growth in compensation the faculty desire.  Recent trends indicate that discounting is beginning to fail as a mechanism for attracting students, more of whom seem put off by the higher tuition charged for OOS students at public institutions, and private institutions more generally.  Moreover, UW-Madison is unique is being among a handful of public universities bucking the trend of shifting most financial aid from need-based to merit-based-- giving out relatively few scholarships to freshmen (scholarships to upperclassmen are another matter).

A few more specifics. Over the last ten years, UW-Madison's yield rate among domestic non-residents dropped from 26%  to 22%, even as applications for that group doubled.  During the same period, the yield among international non-residents dropped from 37% to 20%, as applications for that group increased sixfold.  But during that time the yield among Wisconsin residents grew from 60 to 62%, while the number of applications remained steady.   That yield among Wisconsin residents is very high, much higher than the national average, and is likely indicative of demand for more seats among Wisconsin taxpayers.

So the punchline is this:  demand among OOS students for enrollment at UW-Madison simply isn't very strong. That's what I honestly intended to say to the Faculty Senate in my remarks. Accomplishing what Adam's committee was suggesting therefore requires shifting (a) the distribution of merit-based aid, and/or (b) the admissions standards for OOS students.  Right now admissions standards appear to be applied similarly for IS and OOS students, on average.  Unless merit-based aid is used to increase the yield substantially, and unless that discounting is actually successful, growing the number of OOS students would require accepting more OOS students-- and this likely means digging deeper into the application pool.  It is an open and important question as to whether UW-Madison, its faculty, and its constituents want to have differential admissions standards based on residency.  That discussion should be had upfront and publicly, and should not be secondary to (or disguised behind) questions about whether the strategy will generate money.  That has been my point all along, and one I am admittedly quite emotional about since it's my view that UW-Madison's greatest strength is its commitments to high-quality education and service to the state, and its longstanding tradition (including among faculty) of putting those things ahead of monetary concerns.   Ours is not a culture rife with showy displays of consumption; instead we dig in and we focus on our students and our research.

Sadly, I failed in my remarks to make these points.  Moved to respond quickly and without time to gather myself sufficiently, instead I erred in suggesting that the applicant pool of OOS students was weaker academically than that for in-state students. The publicly available evidence (presented in terms of group averages) does not show this to be true, and I regret that I was not better prepared to state my concerns about the yield rate better, or able to discuss why I have some reservations about the data we do have available.  In the future I hope CURAFA and committees making recommendations related to admissions and financial aid will communicate better, so that we can all be better equipped to respond on the spot to proposals and questions at Senate.

Now, I know that some will contend we can simply increase the yield of high-achieving students with better recruitment. I disagree, mainly because this will require substantial additional resources for our relatively small admissions office (eating up the projected revenues from the new students), our Badger Alumni are already doing yeomen work, and because we are losing high-achieving OOS students to places we simply cannot and arguably should not be competing with.  For this group, our yield is just 15% -- 35% go to private institutions like Northwestern, 23% end up staying in-state, and 19% go to another out-of-state institution.   To capture the latter two groups, we have to spend more money through effective discounting -- recruitment alone won't do it.

I'll close with some final words about the overall strategy of using OOS students to increase revenues. It sounds too good to be true because it is.  Yes, it seems efficient and even equitable--if you support redistribution among students).  But as Christopher Newfield has pointed out, the "market-smart and mission centered" approach has a thin empirical evidentiary basis (in fact  more examples of market failures than market successes surround us these days) and brings with it some slippery-slope unintended consequences.  Here's one we are all familiar with: over time, UW-Madison has begun to feel more and more elite-- to both the faculty and to the state.  John Wiley spoke of this concern when he was chancellor, and commissioned a study to look at whether in fact family income among UW-Madison students was increasingly out-of-step with Wisconsin family incomes.  The answer in short is that the reason it feels this way is because of the increasingly high family incomes of OOS students.  The growing proportion of students from wealthier families on campus changes the feel of the place in ways both large and small-- they drive demand for more luxurious accommodations and services (witness Lucky!), enjoy clothing and other aspects of conspicuous consumption that make it harder than ever to "keep up with the Joneses,"and utilize their extensive networks and connections to take on powerful positions help lead votes to charge higher tuition and increase spending, so that UW-Madison will look like the private institutions where their friends attend.  Some even use the higher graduation rates of these more-advantaged OOS students to suggest (without any empirical evidence) that they graduate faster because they pay more.   Sure, they bring greater income and geographic "diversity" to some degree (though the real underrepresentation continues to be among students from below the poverty line) and some will say it broadens the horizons of all student-- but at the same time these changes make the flagship feel less and less like it's part of Wisconsin.  And therein lies the long-term problem.

Madison is not an island. It cannot hover into space, pulling apart from its land. Madison is Wisconsin.  And decisions about changing the degree to which it remains Wisconsin should be make democratically and discussed publicly, openly, and frequently and in arenas that separate these important questions about educational quality and climate from the ever-present, neo-liberalizing discussions about markets and revenue.  Treating our students as students, and not paying customers, is the very least we owe them.

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Think Outside Your Box

It is often said that access/diversity and affordability in higher education can only come at the expense of quality. Thus, it is all-too-common for critics to cast those in favor of broadening college access as socialists who simply want to destroy high-quality educational institutions. They promote a false dichotomy that has been kept alive for decades by the consistent retelling of the "tragedy of the commons." The tragedy, we're told, is that people will always strive to maximize their private benefits, and that eventually these will necessarily come at the expense of common goods.  Garrett Hardin famously laid this out for us in 1968.

Sadly, far too many people seem to think the tragedy of the commons is a problem that can't be solved. The "iron triangle" model dominating decision-making in higher education confirms this-- since "we know" that spending leads to quality (thus less spending leads to less quality), and that increased access (e.g. more people) requires more money, then it follows that more access means less quality. Right?
Well, no, not really.  First, the link between spending and quality is notoriously weak -- maybe because there's too little variation in spending and/or quality to detect an effect, but maybe not.  Second, just because money is spent on access does not mean that money isn't also creating more quality (especially if diversity is one measure of quality). And third, it's possible to spend less money on quality and yet produce more quality by increasing productivity.

But you can't produce more productivity without greater compensation since people will only respond only to cash, right?  You can't get hard work without inequality-- and inequality is good since a rising tide lifts all boats. Right?? Well, again, no.  It is possible to solicit great effort from humans with other motivators, including security, community, and self-esteem.  Higher education is terrible at distributing these things; it's a climate where professors are said to be "independent contractors," always trying to one-up each other, and it's the very rare administrator who takes time to commend or praise her faculty's hard work.  But places do exist, whole departments even, where people get along, and this keeps them content and productive even when they are not well-compensated according to "market value."

The current crisis in public higher education demands that we make it a priority to grow and nuture such places.  They have to be created by real leaders, and leadership is what's really lacking right now.  Higher education leaders that are educated and experienced in the areas in which they work (e.g. higher education policy), leaders that focus on goal-setting first, and policy development second, leaders that see nothing as inevitable and everything in education as a possibility-- these are so hard to come by.  We are surrounded by narrow-minded thinkers who can't imagine a world other than the one they live in now. But if we encourage and develop people who can think outside the box--the box created by a highly individualistic vision of higher education-- we will find a sustainable model.  We will, as a community, move beyond the tragedy of the commons.

I'm not alone in this vision.  Hear it again, directly from the first woman to win the Nobel Prize in Economics-- Elinor Olstrom.

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