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Harvard Case - The School of Management: Handling Admission Leakage

"The School of Management: Handling Admission Leakage" Harvard business case study is written by Sourabh Bhattacharya, Kalyan C. Chejarla. It deals with the challenges in the field of General Management. The case study is 9 page(s) long and it was first published on : Dec 1, 2022

At Fern Fort University, we recommend implementing a comprehensive strategy to address the issue of admission leakage. This strategy involves a multi-pronged approach, focusing on improving the applicant experience, enhancing marketing and communication efforts, leveraging technology and analytics, and fostering a culture of continuous improvement.

2. Background

Fern Fort University, a highly regarded institution, faces the challenge of 'admission leakage' ' a significant number of qualified applicants who are admitted but ultimately choose not to enroll. This phenomenon poses a threat to the university's enrollment goals and financial stability. The case study highlights the university's efforts to understand the reasons behind this leakage and implement solutions.

The main protagonists of the case study are:

  • The Dean of Admissions: Concerned about the declining enrollment numbers and the financial implications of admission leakage.
  • The Admissions Committee: Responsible for evaluating applicants and making admission decisions.
  • The Marketing Department: Responsible for promoting the university and attracting prospective students.
  • The Student Affairs Office: Responsible for supporting students throughout their academic journey.

3. Analysis of the Case Study

The case study highlights several key factors contributing to admission leakage:

  • Competition: The university faces intense competition from other institutions, both within the state and nationally.
  • Financial Aid: The university's financial aid packages may not be competitive enough to attract students who are offered more generous aid elsewhere.
  • Student Experience: Some students may be turned off by the university's perceived lack of personalized attention and support.
  • Marketing and Communication: The university's marketing efforts may not be effectively reaching the target audience.
  • Lack of Data Analysis: The university is not effectively using data to understand the reasons behind admission leakage and identify potential solutions.

To analyze the situation further, we can utilize frameworks like Porter's Five Forces and a SWOT analysis:

Porter's Five Forces:

  • Threat of New Entrants: High - The education sector is relatively easy to enter, with new online universities and specialized institutions emerging.
  • Bargaining Power of Buyers: High - Students have many options and are increasingly price-sensitive, demanding value for their investment.
  • Threat of Substitute Products: High - Online learning platforms and alternative educational pathways are gaining popularity.
  • Bargaining Power of Suppliers: Low - Universities have a relatively large pool of potential faculty and staff.
  • Rivalry Among Existing Competitors: High - Universities compete fiercely for students, resources, and reputation.

SWOT Analysis:

Strengths:

  • Strong academic reputation
  • Experienced faculty
  • Diverse student body
  • Strong alumni network

Weaknesses:

  • High tuition fees
  • Limited financial aid options
  • Lack of personalized student support
  • Ineffective marketing and communication

Opportunities:

  • Growing demand for online education
  • Increasing focus on career-oriented programs
  • Partnerships with industry leaders
  • Leverage technology and data analytics

Threats:

  • Intense competition from other institutions
  • Economic recession
  • Changing demographics
  • Negative media coverage

4. Recommendations

To address the issue of admission leakage, Fern Fort University should implement the following recommendations:

1. Enhance the Applicant Experience:

  • Personalized Communication: Develop a personalized communication strategy that engages applicants throughout the admission process. This can include targeted emails, personalized web portals, and regular communication from faculty and current students.
  • Virtual Tours and Events: Offer virtual tours of the campus and host online events to showcase the university's facilities, programs, and student life.
  • Streamlined Application Process: Simplify the application process and make it more user-friendly.
  • Financial Aid Support: Review and improve the university's financial aid packages to make them more competitive.
  • Student Support Services: Invest in resources and programs that provide personalized support to students throughout their academic journey.

2. Optimize Marketing and Communication:

  • Target Audience Research: Conduct thorough research to identify the university's target audience and their needs.
  • Multi-Channel Marketing: Utilize a multi-channel marketing approach, including digital marketing, social media, print advertising, and public relations.
  • Content Marketing: Create high-quality content that showcases the university's strengths and attracts potential students.
  • Student Ambassador Program: Develop a student ambassador program to leverage the enthusiasm and insights of current students.

3. Leverage Technology and Analytics:

  • Data-Driven Decision Making: Implement a data-driven approach to understand the reasons behind admission leakage and identify potential solutions.
  • CRM System: Invest in a customer relationship management (CRM) system to track applicant interactions and personalize communication.
  • AI-Powered Chatbots: Utilize AI-powered chatbots to provide instant answers to applicant queries.
  • Predictive Analytics: Use predictive analytics to identify potential applicants who are most likely to enroll.

4. Foster a Culture of Continuous Improvement:

  • Regular Performance Evaluation: Conduct regular performance evaluations of the admissions process and identify areas for improvement.
  • Employee Incentives: Implement employee incentives to encourage staff to go above and beyond in attracting and retaining students.
  • Collaboration and Communication: Foster a culture of collaboration and communication among different departments to ensure a seamless applicant experience.

5. Basis of Recommendations

These recommendations are based on the following considerations:

  • Core competencies and consistency with mission: The recommendations align with the university's mission to provide a high-quality education and support student success.
  • External customers and internal clients: The recommendations address the needs of both external customers (prospective students) and internal clients (faculty, staff, and current students).
  • Competitors: The recommendations consider the competitive landscape and aim to position the university favorably against its competitors.
  • Attractiveness ' quantitative measures if applicable: The recommendations are expected to improve enrollment numbers and generate a positive return on investment.
  • Assumptions: The recommendations assume that the university is willing to invest in technology, data analytics, and staff development.

6. Conclusion

By implementing these recommendations, Fern Fort University can effectively address the issue of admission leakage and achieve its enrollment goals. This comprehensive strategy will enhance the applicant experience, optimize marketing and communication efforts, leverage technology and analytics, and foster a culture of continuous improvement.

7. Discussion

  • Other Alternatives: Other alternatives include reducing tuition fees, offering more scholarships, and expanding online program offerings. However, these alternatives may not be feasible or sustainable in the long term.
  • Risks: The risks associated with these recommendations include the cost of implementing new technology and the potential for resistance from staff.
  • Key Assumptions: The key assumption is that the university is committed to improving its admission process and attracting more students.

8. Next Steps

  • Implementation Timeline: The implementation of these recommendations should be phased in over a period of 12-18 months.
  • Key Milestones:
    • Phase 1 (3 months): Conduct a comprehensive review of the current admission process and identify areas for improvement.
    • Phase 2 (6 months): Implement new technology and data analytics tools.
    • Phase 3 (9 months): Develop and implement a new marketing and communication strategy.
    • Phase 4 (12 months): Evaluate the effectiveness of the new strategy and make adjustments as needed.

By taking a proactive approach and implementing these recommendations, Fern Fort University can overcome the challenge of admission leakage and ensure its continued success.

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Case Description

In 2021, the chair of the admissions committee at The School of Management in Gandhinagar, India, had only three months to prepare for the start of the school's next master of business administration program. During these three months, prospective students who had received admission offers could decide to decline offers, even though some had already paid relevant fees. Understanding the uncertainty of those decisions was critical to estimate the number of additional offers to send out to other candidates. If the final number of prospective students joining the program was lower than the school's available capacity, The School of Management would lose contributions toward its fixed business costs and potential profit. It would also mean that the school's resources would be underused. On the other hand, denying admission to students who had received offers to join the program, due to a lack of space, could adversely affect the school's brand image and future admissions. Understanding the decision-making process of prospective students was critical over the long term to develop appropriate retention strategies and encourage all candidates to accept their admission offers.

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