Trusteeship - March/April 2021 - 37

Paradigm
H

IGHER EDUCATION is facing multiple crises at this moment and
many believe the very business model is unsustainable. The AGB
2020 Trustee Index, which surveyed trustees during 2019, found
that 85 percent of trustees (up 12 percent from the prior year) are
concerned about the future of higher education over the next decade, with
financial sustainability and affordability as the drivers for that concern. The
path forward for higher education in the face of such significant challenges-
declining enrollments, shifting demographics, reduced public funding, eroding
public confidence, market disruption, and a social justice movement-requires
imagination and innovation. Trustees have a critical role to play in securing the
path to prosperity for their institutions and it starts by changing the way the
governing board thinks about risk.
Governing boards must reimagine risk as the spark to innovation rather
than as something that solely needs mitigation. The shift in the framing of risk
is akin to a new paradigm. The new risk paradigm in higher education requires
trustees to (1) have a vision that embraces risk, (2) understand and develop a
risk appetite, and (3) foster a culture of innovation.

Context
The convergence of seismic issues this year has accelerated the reckoning for
higher education. It is appropriate to characterize the environment colleges
and universities now operate in as one marked by volatility, uncertainty, complexity and ambiguity-a concept commonly known as VUCA. Challenges are
plentiful in a VUCA environment but so are opportunities. Capitalizing on the
opportunities presented in a VUCA environment requires governing boards
and university leaders to be bold and embrace risk.
Risk is any issue that has potential to affect an institution's ability to meet
its objectives. Risk is multidimensional, and can include financial, operational,
reputational, and compliance, as well as others. Yet the prevailing application
of risk is often narrow-focused on one type of risk at a time and solely on the
downside potential-in a manner that ignores the interplay of the risk categories and obscures the inherent opportunity. Each institution, and very likely
each individual trustee, will have their own understanding of, and comfort
with, risk. However, the common analogy of risk to cholesterol is instructive
here, because just as there is good cholesterol and bad cholesterol there is good
and bad risk. The new risk paradigm needed across higher education in these
uncertain and tumultuous times requires trustees to embrace good risks.

SHUTTERSTOCK/ MENTALMIND

MAR. APR. 2021 TRUSTEESHIP 37



Trusteeship - March/April 2021

Table of Contents for the Digital Edition of Trusteeship - March/April 2021

Contents
Trusteeship - March/April 2021 - BB1
Trusteeship - March/April 2021 - BB2
Trusteeship - March/April 2021 - Cover1
Trusteeship - March/April 2021 - Cover2
Trusteeship - March/April 2021 - Contents
Trusteeship - March/April 2021 - 2
Trusteeship - March/April 2021 - 3
Trusteeship - March/April 2021 - 4
Trusteeship - March/April 2021 - 5
Trusteeship - March/April 2021 - 6
Trusteeship - March/April 2021 - 7
Trusteeship - March/April 2021 - 8
Trusteeship - March/April 2021 - 9
Trusteeship - March/April 2021 - 10
Trusteeship - March/April 2021 - 11
Trusteeship - March/April 2021 - 12
Trusteeship - March/April 2021 - 13
Trusteeship - March/April 2021 - 14
Trusteeship - March/April 2021 - 15
Trusteeship - March/April 2021 - 16
Trusteeship - March/April 2021 - 17
Trusteeship - March/April 2021 - 18
Trusteeship - March/April 2021 - 19
Trusteeship - March/April 2021 - 20
Trusteeship - March/April 2021 - 21
Trusteeship - March/April 2021 - 22
Trusteeship - March/April 2021 - 23
Trusteeship - March/April 2021 - 24
Trusteeship - March/April 2021 - 25
Trusteeship - March/April 2021 - 26
Trusteeship - March/April 2021 - 27
Trusteeship - March/April 2021 - 28
Trusteeship - March/April 2021 - 29
Trusteeship - March/April 2021 - 30
Trusteeship - March/April 2021 - 31
Trusteeship - March/April 2021 - 32
Trusteeship - March/April 2021 - 33
Trusteeship - March/April 2021 - 34
Trusteeship - March/April 2021 - 35
Trusteeship - March/April 2021 - 36
Trusteeship - March/April 2021 - 37
Trusteeship - March/April 2021 - 38
Trusteeship - March/April 2021 - 39
Trusteeship - March/April 2021 - 40
Trusteeship - March/April 2021 - 41
Trusteeship - March/April 2021 - 42
Trusteeship - March/April 2021 - 43
Trusteeship - March/April 2021 - 44
Trusteeship - March/April 2021 - 45
Trusteeship - March/April 2021 - 46
Trusteeship - March/April 2021 - 47
Trusteeship - March/April 2021 - 48
Trusteeship - March/April 2021 - 49
Trusteeship - March/April 2021 - 50
Trusteeship - March/April 2021 - 51
Trusteeship - March/April 2021 - 52
Trusteeship - March/April 2021 - 53
Trusteeship - March/April 2021 - 54
Trusteeship - March/April 2021 - 55
Trusteeship - March/April 2021 - 56
Trusteeship - March/April 2021 - 57
Trusteeship - March/April 2021 - 58
Trusteeship - March/April 2021 - 59
Trusteeship - March/April 2021 - 60
Trusteeship - March/April 2021 - Cover3
Trusteeship - March/April 2021 - Cover4
Trusteeship - March/April 2021 - ABGCover1
Trusteeship - March/April 2021 - ABGCover2
Trusteeship - March/April 2021 - ABG1
Trusteeship - March/April 2021 - ABG2
Trusteeship - March/April 2021 - ABG3
Trusteeship - March/April 2021 - ABG4
Trusteeship - March/April 2021 - ABG5
Trusteeship - March/April 2021 - ABG6
Trusteeship - March/April 2021 - ABG7
Trusteeship - March/April 2021 - ABG8
Trusteeship - March/April 2021 - ABG9
Trusteeship - March/April 2021 - ABG10
Trusteeship - March/April 2021 - ABG11
Trusteeship - March/April 2021 - ABG12
Trusteeship - March/April 2021 - ABG13
Trusteeship - March/April 2021 - ABG14
Trusteeship - March/April 2021 - ABG15
Trusteeship - March/April 2021 - ABG16
Trusteeship - March/April 2021 - ABG17
Trusteeship - March/April 2021 - ABG18
Trusteeship - March/April 2021 - ABG19
Trusteeship - March/April 2021 - ABG20
Trusteeship - March/April 2021 - ABG21
Trusteeship - March/April 2021 - ABG22
Trusteeship - March/April 2021 - ABG23
Trusteeship - March/April 2021 - ABG24
Trusteeship - March/April 2021 - ABG25
Trusteeship - March/April 2021 - ABG26
Trusteeship - March/April 2021 - ABG27
Trusteeship - March/April 2021 - ABG28
Trusteeship - March/April 2021 - ABG29
Trusteeship - March/April 2021 - ABG30
Trusteeship - March/April 2021 - ABG31
Trusteeship - March/April 2021 - ABG32
Trusteeship - March/April 2021 - ABG33
Trusteeship - March/April 2021 - ABG34
Trusteeship - March/April 2021 - ABG35
Trusteeship - March/April 2021 - ABG36
Trusteeship - March/April 2021 - ABG37
Trusteeship - March/April 2021 - ABG38
Trusteeship - March/April 2021 - ABG39
Trusteeship - March/April 2021 - ABG40
Trusteeship - March/April 2021 - ABG41
Trusteeship - March/April 2021 - ABG42
Trusteeship - March/April 2021 - ABG43
Trusteeship - March/April 2021 - ABG44
Trusteeship - March/April 2021 - ABG45
Trusteeship - March/April 2021 - ABG46
Trusteeship - March/April 2021 - ABG47
Trusteeship - March/April 2021 - ABG48
Trusteeship - March/April 2021 - ABG49
https://www.nxtbookmedia.com