Disciplining University Spend

Key Insights

This study examines the critical priority of reducing outside spend by working with faculty and purchasing departments to achieve greater efficiency in a difficult university operating environment.

Recent efficiency and effectiveness audits of university cost structures indicate that the decentralized nature of universities combined with other structural aspects of the university (shared governance model, decentralized budget authority, outdated state laws, etc.) combine to create a difficult operating environment for university purchasing staff. As universities seek to become more efficient, working with faculty and purchasing departments to reduce outside spend has become a critical priority.