doing business at penn: a view from the evp's office
DESCRIPTION
Doing Business at Penn: A View from the EVP's Office. Association of Business Administrators Meeting September 22, 2005. The EVP Division. Office of the Executive Vice President. EVP Support. Office of Budget & Management Analysis. Office of Audit and Compliance. Division of - PowerPoint PPT PresentationTRANSCRIPT
![Page 1: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/1.jpg)
Doing Business at Penn: A View from the EVP's Office
Association of Business Administrators Meeting
September 22, 2005
![Page 2: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/2.jpg)
The EVP DivisionOffice of the
Executive Vice President
Office of Budget & Management
Analysis
Office of Auditand
Compliance
Division ofBusinessServices
Division ofHuman
Resources
InformationSystems andComputing
Office of Investments
Division ofPublic Safety
Division of Finance and
Treasury
EVP Support
![Page 3: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/3.jpg)
Integration with the Penn Compact
EVP Division Serves as an Enabler
Engagement
IntegratedKnowledge
Access
![Page 4: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/4.jpg)
FY 2005 Accomplishments
Priority Themes
* Resource Creation
* Transparency
* Collaboration
![Page 5: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/5.jpg)
2005 Accomplishments
Resource Creation
• Benefit Contract Compliance yields $6 million• Driving Revenue Growth
– Total Bookstore retail sales up 12.6% – Inn at Penn revenue 14.5% over last year
• Penn becomes a loan consolidator• Refinancing of long term debt produces $11 million
of debt service savings
![Page 6: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/6.jpg)
2005 Accomplishments
Transparency
• Total Compensation Statement developed and mailed to employees
• Rollout of U@Penn• Advanced recommendations of Ad-Hoc
Committee on Safety in a Diverse Environment
![Page 7: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/7.jpg)
2005 Accomplishments
Collaboration
• Upgrades of Oracle general ledger, purchasing and Penn Marketplace systems
• Enhanced safety initiatives implemented in parking facilities
• Rollout of next phase of PennERA • Introduction of On-line Directory
![Page 8: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/8.jpg)
Challenges Facing Higher Education
![Page 9: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/9.jpg)
Projected Cost of Education
39,635
53,264
64,561
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
2005 2014 2014
2005 2014 2014
Key Implications:•Ability to maintain “need blind” admissions•Willingness to make educational investment•Public perception
3% Growth/Year 5% Growth/Year
![Page 10: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/10.jpg)
Sustained Federal Budget Deficits
Key Implications:•Poor environment for research funding•Likely to result in higher interest rates•Continued pressure on federal student aid programsSource: CBO, Washington Post
![Page 11: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/11.jpg)
Rising Employee Benefit Costs
Growth in Penn Medical Costs*
13.224.2 33.3
57.4
124.7
020406080
100120140
1988 1993 1998 2004 2008P
Active Medical
*Active employees only; excludes retiree medical
Key Implications:•Ability to sustain competitive compensation levels•Ability to offer current set of benefits
![Page 12: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/12.jpg)
Medical Expense Trends1988 - 2004
1988 1993 2004
Medical Expenses $ 13.2 M $ 24.3 M $ 57.4M
No. of enrollees 6,789 7,655 11,584
Cost per enrollee $1,944 $3,174 $4,953
During this period, the number of enrollees increased by 70%, but Penn has experienced a 154% increase in annual medical expenses.
![Page 13: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/13.jpg)
Management/Administrative Costs
0.09 0.09
0.065
0.095
0.076
0.00
0.02
0.04
0.06
0.08
0.10
Penn 1999 Penn 2004 Duke 2004 Stanford2004
Yale 2004
Source: Audited Financial Statements
Management & General Expenses/Total Operating Expenses
Key Implications:•Limited economies of scale as Penn grows•Need to understand institutional differences and develop benchmarks
![Page 14: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/14.jpg)
Emerging Challenges…
• Computer Security
• Management Issues
• Public Safety
![Page 15: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/15.jpg)
FY 2006 GoalsRevised format for Goals and Strategies in ‘06
1. Initiatives to Support the EVP Goals
2. Individual Division Goals
3. Personal Development Goals
4. Stretch Goals (personal and/or divisional)
![Page 16: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/16.jpg)
1. Initiatives to Support the EVP Goals
Create resources through effective, collaborative, and innovative approaches
Achieve productivity enhancements and cost avoidance and incremental resource generation equal to 5% of the aggregate cost of the EVP Division (approx. $5M)
Selected Examples:•Complete next milestones of the Advancement Project •Develop plan for Fixed Assets System •Complete review of revised retiree medical benefit plans•Pilot a “spend analysis” to identify cost savings
![Page 17: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/17.jpg)
1. Initiatives to Support the EVP Goals
Recruit, retain, and develop a diverse workforce
80% of EVP division personnel will complete some form of professional development or training over next 12 months
Selected examples:•Develop comprehensive diversity recruitment program•Initiate a management orientation program •Deliver a Sponsored Projects Certification program
![Page 18: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/18.jpg)
1. Initiatives to Support the EVP Goals
Enhance the quality of experiences for those who interact in the Penn community
Selected Examples:• Achieve the key milestones of PennERA / PennERS• Implement on-line Tuition Assistance application• Complete Student Borrowing Management System• Increase awareness about identity theft and privacy• Expand health and wellness programs and offerings• Reduce overall crime within Penn boundaries
![Page 19: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/19.jpg)
2. Individual Division Goals
Execute FY06 Risk-based Audit Plans
Conduct ComplianceAssessments and
Risk MitigationInitiatives
Execute Privacy FY06 Work Plan
Implement NewBudgeting System
Transform the Budget Process
Improve DataAccuracy andTransparency
Campus Development
Reinitiate MDP
Facilitate Economic Impact Study
Control Costs ofCentral Administration
OACP OBMA EVP
![Page 20: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/20.jpg)
2. Individual Division Goals
Online Tuition Assistance Application
Long-term careBenefit revisions
Labor negotiations
Family-friendlyPrograms / policies
Reduce Worker’s Comp Costs
Business ControlModel Implementation
TIF Policies
Increased training
Tuition DistributionReporting
Faculty Database
Enhance Security
Support BusinessContinuity
Human Resources Finance ISC
![Page 21: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/21.jpg)
2. Individual Division Goals
ContinuousImplementation of Ad-hoc CommitteeRecommendations
Supervisory and PatrolZone Initiatives
EmergencyPreparedness
PurchaseSpend Analysis
Break-even Analysis ofCertain Business
Units
Evaluate Expansionof PCC
Marketing andBrand Promotions
Improve on Endowment’s 5 and 10 year performance
Diversification strategy
Continue toDevelop Investment
Office
Public Safety Business Services Investments
![Page 22: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/22.jpg)
3. Personal Development
Check-Up On Yourself
1. Health (888) PENN-BEN
2. Financial (877) PENN-RET
3. Professional Development (215) 898-3400
![Page 23: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/23.jpg)
Effective Management
Reasons cited for success:
•Employs entire team
•Plays to people’s strengths
•Manages around weaknesses
![Page 24: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/24.jpg)
EVP
OGC FRES
President’sCenter
Provost’sOffice
Schools Centers
ThePenn
Compact
EVPDivision
The Long-Term Vision: A Truly Effective Organization
![Page 25: Doing Business at Penn: A View from the EVP's Office](https://reader035.vdocuments.us/reader035/viewer/2022070402/568137e9550346895d9f9c30/html5/thumbnails/25.jpg)
Questions and Discussion
1. What is working well?
2. What can be improved?
3. What’s on your mind?