US college boards turn to business-style approach of leadership

June 28, 2012

The governing boards of colleges and universities in the US are increasingly demanding that their presidents perform like corporate CEOs, much to the chagrin of academics who say treating post-secondary schools as businesses does not fit the mission of PSE. Experts say the recent moves largely have been prompted by federal and state funding cutbacks. For example, this fiscal year, the University of Virginia -- whose governance issues were recently brought into the national spotlight -- expects just 10% of its operating budget to come from the state. Amid pressure to keep tuition down, uVA and other institutions are increasingly relying on private fundraising and big donations from wealthy benefactors, who often end up on the institution's board. Associated Press