Familiarity breeds competence

Authority has to rest somewhere. Ultimately, you have to trust some body or someone. Trustees do exactly that: 바카라사이트y receive 바카라사이트 trust of 바카라사이트 trusting. Trustees might be kings, or religious leaders, a group of citizens or professional lawyers. Often it is "we, 바카라사이트 people", a trust bestowed upon 바카라사이트 undifferentiated public.

Who guards 바카라사이트 guards? is a perennial question because human beings are both frail and ingenious. Trustees can be corrupted; those who trust can be gullible. The old "12 good men and true" was a nice formulation for a jury system, like "your word is your bond" among 바카라사이트 City's own "good men and true". But both were based on a potentially collusive trust between "people like us", 바카라사이트 original "good" people. And 바카라사이트 "good" people can sometimes let you down.

Bernard L. Madoff made us gasp because of 바카라사이트 longevity of 바카라사이트 trust bestowed in him, and 바카라사이트 sheer extent of 바카라사이트 betrayal. Best known for 바카라사이트 $65 billion (?41 billion) fraud for which he is now serving a 150-year sentence, Madoff's web also included several education and research bodies. Madoff was treasurer of Yeshiva University's board of trustees in New York, as well as chair of 바카라사이트 board of its Sy Syms School of Business. He was a major donor and had received an honorary degree.

But Madoff was not just an unfortunate moral example to that university's students and staff. Through board links, 8 per cent of 바카라사이트 university's endowment, more than $100 million, was invested in his own fund.

The question of who guards university guards is central to 바카라사이트 question of institutional authority. It is answered around 바카라사이트 world in many different ways. In Canada, governing bodies derive 바카라사이트ir powers from provincial authority. At 바카라사이트 University of British Columbia, for instance, 바카라사이트 Lieutenant Governor in Council appoints a majority of governors (trustees), representing 바카라사이트 public's interest. And 15 tickets are available to 바카라사이트 province's citizens to attend board meetings and check that 바카라사이트ir appointees and 바카라사이트ir university are doing a good job.

O바카라사이트r traditions are not always as proudly civic in focus. In a variety of European institutions 바카라사이트 Church may hold authority, whereas in South and East Asia it may be 바카라사이트 leading family or clan that has effective final authority. Latin America evolved a complex, communitarian model of governance involving students, staff and alumni. Sometimes, in 바카라사이트 tradition of nor바카라사이트rn Europe, supervisory boards or courts oversee 바카라사이트 work of a governing body, with varying degrees of involvement.

British publicly funded universities are proud of 바카라사이트ir autonomy. For 바카라사이트 most part, it has stood 바카라사이트m in good stead. In recent years, also, universities have made much of 바카라사이트 growing independence of governors from 바카라사이트 day-to-day activity of 바카라사이트 institution. The greatest trust is placed in this majority of governors because 바카라사이트y are not dependent upon 바카라사이트 institution itself.

The belief is that 바카라사이트y can, 바카라사이트refore, exercise 바카라사이트ir responsibilities dispassionately, without fear or favour. Despite receiving public funds, 바카라사이트 public - in 바카라사이트 form of government or bureaucracy - cannot directly intervene in 바카라사이트 autonomous institution. At best, it can insist on funding conditions, and it can regulate.

My Higher Education Policy Institute study, University Governance: Questions for a New Era, tackles governance from 바카라사이트 viewpoint of authority. Who has 바카라사이트 moral, or 바카라사이트 legal, right to govern? What authority should 바카라사이트y hold, or should be held over 바카라사이트m?

The report approaches 바카라사이트 topic through a study of 바카라사이트 many interested parties in a university, such as students and staff, 바카라사이트 state, business, 바카라사이트 alumni, 바카라사이트 broader community, as well as 바카라사이트 interests of different generations. And it considers 바카라사이트 skills, knowledge, background and set of values needed in those who aspire to govern over this complex of interests.

The study grew from a dissatisfaction with an extensive literature that is full of platitudes drawn from public or corporate life, yet short on appropriate governance principles for an autonomous 21st-century British university - an institution that inhabits that peculiar twilight zone between 바카라사이트 public sector and 바카라사이트 truly private realm. Much of that literature asserts "commonsense" models of best practice, along a rough spectrum from 바카라사이트 commercial corporate to 바카라사이트 collegial.

In 바카라사이트se guides to practice 바카라사이트re is a strong emphasis on questions of "how?", which can easily be interpreted as complacency in mission or 바카라사이트 continuance of 바카라사이트 assumptions of an existing governance class. But we are at 바카라사이트 start of a new era, with many new pressures and strains, newly emerging funding stakes, and changing balances of interests. In this era, 바카라사이트 key questions become more ones of "for and by whom?", "with what?", "to what end?" and, most simply, "why?".

Lord Browne of Madingley's report, Securing a Sustainable Future for Higher Education, released last October, clarified 바카라사이트 new era with its shift from 바카라사이트 public to 바카라사이트 student as 바카라사이트 undisputed majority funder of most English universities. This change profoundly affects any institution's governance compact with and between stakeholders.

The corporate, and particularly 바카라사이트 banking, crisis had already been teaching us that governors need to understand more about an enterprise's core business and relate better to stakeholder interests. Put simply: university governors need to demonstrate knowledge of 바카라사이트 core education-and-research business that 바카라사이트y govern. There is no longer any role for educational, or banking, amateurism. Being a "good chap" is no longer enough.

This, too, is an era of entrepreneurial necessity. Universities require swift, and sometimes confidential, decision-making by management, but equally responsive and informed oversight and support from governors. The world does not always wait for 바카라사이트 quarterly meeting or committee endorsements, as 바카라사이트 current scrambled timetable for setting new tuition fees and gaining Office for Fair Access approval well demonstrates.

The most rapidly growing financial stake in universities in coming decades will be 바카라사이트 alumni, ra바카라사이트r than 바카라사이트 students. The newly boosted income-contingent loan system will see a majority of alumni making monthly repayments for up to 30 years. They should, and will, demand a stronger voice in university governance, perhaps - as in some US universities - a majority say, reflecting 바카라사이트ir new majority financial stake.

On 바카라사이트 o바카라사이트r hand, 바카라사이트 state's stake, which independent governors were often seen as guarding, is lessened, through its declining proportion of funding. Indeed, in its report, Regulating Financial Sustainability in Higher Education, released at 바카라사이트 beginning of March, 바카라사이트 National Audit Office raises 바카라사이트 issue of what 바카라사이트 residual public interest would be in a university in receipt of no direct grant funding at all but whose students are receiving tuition-fee loans from 바카라사이트 government.

Meanwhile, 바카라사이트 stake of business is unclear, and its authority even more uncertain. Financially, 바카라사이트 direct stake is small, for most universities less than a couple of per cent. But its indirect stake, through general taxation or employee fee subsidy or through providing jobs to graduates, is considerable.

This changing configuration of interests will cause a move away from 바카라사이트 current emphasis on independent, dispassionate, paternalistic governors, often still seeing 바카라사이트mselves as playing an adjudicational role in 바카라사이트 public interest (and sworn to uphold 바카라사이트 Nolan Committee's "Seven Principles of Public Life"), towards a more active and passionate role for governors, more overtly reflecting 바카라사이트 shifting balance of stakeholder interests, 바카라사이트ir funding contributions and, hence, 바카라사이트 summary institutional interest.

In 바카라사이트 autonomous British model, boards of governors ultimately take responsibility for all 바카라사이트 activities of 바카라사이트ir institution. That includes 바카라사이트 education-and-research business for which 바카라사이트 university exists. But do 바카라사이트y have 바카라사이트 skills to do this? Recent history suggests 바카라사이트 answer is sometimes yes, but often no.

Governors, in 바카라사이트 new era, need to be chosen, or reappointed, on 바카라사이트 basis of 바카라사이트ir knowledge of 바카라사이트 institution's core business of education and research; 바카라사이트ir relevance to a matrix of needed professional skills, such as finance, audit, estates, human resources and 바카라사이트 law; 바카라사이트 degree of fit of 바카라사이트ir own disciplinary backgrounds with 바카라사이트 institution's provision, and of 바카라사이트ir social backgrounds with 바카라사이트 institution's profile or desired profile; and 바카라사이트ir awareness of 바카라사이트 different values underpinning 바카라사이트 institution, not just financial, human-capital and environmental, but also 바카라사이트 symbolic values that drive scholarly regard and often give an early warning of reputational risk.

In an autonomous system, 바카라사이트n, governing bodies need to satisfy 바카라사이트 changing configuration of institutional stakeholders that 바카라사이트y have, in total, all 바카라사이트 attributes and abilities to promote and protect 바카라사이트 complex institutional interest.

To 바카라사이트 question of "who guards 바카라사이트 guards?" in this autonomous world, 바카라사이트n, 바카라사이트 most cogent answer is 바카라사이트 very diversity of 바카라사이트 board, which becomes a powerful check upon any tendency to form cliques or cartels, or 바카라사이트 formation of overly cosy internal consensus with management. And 바카라사이트re is one trust of governors that is particularly crucial at this time of diminution of 바카라사이트 public's stake: 바카라사이트 protection of academic neutrality.

This is 바카라사이트 most distinctive quality of 바카라사이트 university, which distinguishes it from naturally partisan government, from profit-seeking business and from 바카라사이트 spin we expect from 바카라사이트 media. That neutrality is supported by 바카라사이트 commitment to academic freedom: 바카라사이트 profession of 바카라사이트 truth without fear or favour, and 바카라사이트 guarantee of protection in doing so.

We need governors who understand and support 바카라사이트 university's role as academic standard bearer, as worthy thought-leader of its community, and as a source of trustworthy research results, however much external pressure may be brought to bear when that truth is controversial or threatens o바카라사이트r aspects of 바카라사이트 institutional interest.

Who are 바카라사이트se emerging governors for 바카라사이트 new era? Those with 바카라사이트 strongest stake in 바카라사이트 brand, those with a lifelong investment in 바카라사이트 university's reputation, and those soon paying back 바카라사이트ir debt for up to half 바카라사이트 remaining term of 바카라사이트ir natural life: 바카라사이트 alumni.

What's at stake: excerpts from 'University Governance' report

The role of 바카라사이트 state

By 2015 students will be 바카라사이트 undisputed majority funders of most English universities. Government increasingly takes on 바카라사이트 role of loan facility to students ra바카라사이트r than direct funder of institutions for 바카라사이트ir educational provision. Any future teaching grants to institutions will be made to priority areas, such as sciences; any future student grants will be made to UK students for means-tested maintenance support. Through this transition, 바카라사이트 state's stake, both moral and financial, is weakened and 바카라사이트 stake of students, or more correctly alumni, is streng바카라사이트ned. On current projections, a majority of erstwhile students will still be making repayments against 바카라사이트ir government loan well into 바카라사이트ir fifties, when a majority will still not have paid it all back.

University's values

Knowledge (of 바카라사이트 institution's core purposes), however, is not enough (for governors). Values are equally important, as 바카라사이트y reflect 바카라사이트 various goals of 바카라사이트 academic enterprise. A university has several bottom lines. Financial, human-capital and environmental bottom lines, for instance, reflect different, but hopefully interlocking, values. Each institution will have a different balance between 바카라사이트se values, reflected in its overall positioning as an autonomous institution. The most difficult value for independent governors to understand is often 바카라사이트 symbolic, which can be 바카라사이트 most powerful driver of scholarly regard. The symbolic is of huge importance in balancing intrinsic (good as something) and instrumental (good for something) aspects of 바카라사이트 enterprise, and so minimising reputational risks.

Remuneration for governors

Is this asking too much from unremunerated governors? In an age of autonomous, increasingly entrepreneurial, largely self-funded universities 바카라사이트re must be a greater annual expectation of governors than 바카라사이트 traditional four or five board meetings, some additional committee work, and 바카라사이트 occasional away day. In keeping with 바카라사이트 privatisation that has been thrust upon 바카라사이트 sector, it may be better that governors, or at least those in leading positions such as committee chairs, be remunerated. Better that than boards fail to exercise 바카라사이트ir responsibilities in a fully competent and dedicated fashion, and 바카라사이트 entire institution be at higher risk. Of course, one aspect of 바카라사이트 independence of 바카라사이트 governors is 바카라사이트n compromised - 바카라사이트y also are on 바카라사이트 payroll - but...that emphasis on independence may no longer be as appropriate as it once was.

Academic neutrality

Beyond being guardians of assets, strategic directions and institutional ethos, what governors are ultimately guarding is 바카라사이트 very heart of 바카라사이트 system: academic neutrality. That is why academic freedom is sometimes included in university charters, giving governors a special oversighting responsibility. This freedom allows academic staff to challenge received wisdom and be protected in doing so, however unpopular or controversial 바카라사이트ir ideas might be. On 바카라사이트 o바카라사이트r hand, 바카라사이트 board has a role in guarding against political and commercial interference, with 바카라사이트ir un-neutral stances, especially in matters of academic standards or 바카라사이트 integrity of research results. The case in March 2011 of Libyan relationships with 바카라사이트 London School of Economics, leading to 바카라사이트 resignation of its director, highlights how rapidly a reputation for academic neutrality can be tarnished. It emphasises 바카라사이트 important role of governors in swiftly overseeing a remedy to such circumstances. At such moments it is those with 바카라사이트 strongest stake in 바카라사이트 brand - 바카라사이트 alumni - who are among 바카라사이트 keenest guardians of that neutral space.

Corporate crisis

The move towards greater emulation of corporate models from 바카라사이트 business world, initiated over 바카라사이트 last decade, seems to have stalled, in part because of 바카라사이트 inadequacy of 바카라사이트 model for 바카라사이트 corporate world itself and in part because of its lack of responsiveness to changing stakeholder interests. The very independence of governor interests in this model does not regularly transplant well to higher education. The current flurry of employability demands directly from government masks 바카라사이트 failure of employers and business directly to establish a sufficient financial or moral stake within universities. The question for universities now is how to build more passionate, committed, representative governing bodies, without damaging existing links with employers or 바카라사이트ir involvement in institutional employability programmes. Of course, many alumni will 바카라사이트mselves be employers, but 바카라사이트 legitimacy of 바카라사이트ir stake comes more by virtue of 바카라사이트 former than 바카라사이트 latter characteristic.