"We have to rethink our tuition policy given current market conditions and our competitors' tuition levels," Todd writes in a strategic note sent out to HEC staff and alumni. Todd intends to bring in an additional €14 million per year by 2020 in order to land HEC a spot among the top ten business schools worldwide.
HEC's MBA and Grande Ecole Master's programs will see enrollment fees rise by six to eight percent over the next five years. Next year, tuition for the 3-year-long Grande Ecole program will rise from €41,700 to between €44,200 and €45,000. The goal is to generate €7 million a year in additional revenue by 2020. This will cover half of the new funds needed to carry out HEC's development plans.
Fundraising for the Future
Todd aims to use his fundraising expertise to increase HEC's budget by €8 to €12 million in order to provide "sustainable funding" for the school. In order to motivate "as many alumni and corporate donors as possible," the school will need to develop "concrete projects." HEC also hopes to bring in a net margin of €5 million per year through its executive education programs, which will focus on customization, digital and Qatar, Africa and China.
Funds will go toward HEC's goal of building a faculty of 160 professors, including 125 teacher-researchers, up from the current faculty of 138 professors, including 105 teacher-researchers. Attracting the best academics from abroad also comes at a cost. Other projects include improved staff evaluations and merit-based raises. Todd says, "In 2017, we will allocate 1% of total payroll to individual raises with the goal of reaching 3% in time."
International Ambitions
In order to strengthen its reputation abroad, HEC will develop some of its 120 university partnerships. One such model is the Global MBA Trium, a dual degree program with the London School of Economics and the New York University Stern School of Business.
Lastly, HEC will cultivate its relationships with international employers. Todd notes, "Currently 90% of our MBA students and 40% of our Master's degree students come from abroad. Guaranteeing them excellent professional opportunities worldwide is a top priority."
