The key financial issues facing governors emerge from a consideration of four basic questions:
The CUC Guide notes that “the governing body plays a key role in the strategic development of the institution” and should be involved in the development and approval of the strategic plan.
The strategic plan should be supported by a number of other strategies and plans, including a robust and credible financial plan. The content of all strategies is important as is the level of consistency. Governing bodies should expect to see an annual budget, and operating plan each summer, with longer term forecasts and analyses of risks.
HEFCE has produced a guide Financial Strategy in Higher Education Institutions - A Business Approach, which may be a useful stimulus for debate.
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