PUC DBA PROGRAM: STRATEGIES AND ACTION PLANS

PUC DBA PROGRAM: STRATEGIES AND ACTION PLANS I. Introduction The DBA Program of Pannasastra University of Cambodia envision to contribute to the advancement of management profession and to the expansion of knowledge guided by humanistic and ethical values. It’s mission objective is to meet the needs of professional managers and business leaders with emphasis on practitioner-oriented scholar model. II. Facts of the Case A survey was conducted among PUC graduate students last May 11-18, 2004. Sixty students responded to the survey questionnaire. 13 out of 60 are females and 47 out of 60 are males. Eighty percent (80%) of those who responded are presently employed. One of the questions asked is “ Will you take up further study in DBA or Ph.D, program? If yes, what are your reason(s) for taking the course? “ Primary data gathered are as follows: A. Plan to take Doctoral Program (DBA/PhD) Frequency Percent No Yes Not sure 21 32 7 35.0 53.3 11.7 Total 60 100 B. Reasons for taking DBA/PhD Reasons Frequency Percent No response Depending on economic situation If given a chance Business competency Higher learning It’s a dream No time Boring Good life. society & country Be a consultant 19 12 5 1 7 1 5 2 5 3 31.7 20.0 8.3 1.7 11.7 1.7 8.3 3.3 8.3 5.0 Total 60 100 III. Situational Analysis Using the above preliminary information, the MBA senior students of Strategic Management & Electronic Commerce conducted a SWOT analysis considering their experiences in the University and their assessment of the cultural, socio-economic, political and competitive environment of the educational system in Cambodia. A detailed evaluation and matching of external and internal factors of PUC’s strengths, weaknesses, opportunities and threats are conducted. The SWOT matrix is outlined below with twelve (12) strategic options identified. SWOT MATRIX STRENGTHS Good English-based educational program & curriculum Convenient/Good location Qualified 7 quality professors/teachers [Providing] exchange program Providing discount for family [with more than one student enrolled] Have support funds from donors Good management structure WEAKNESSES Too long, time constraint & boring program Small building, [inadequate ] laboratory & small library compared to competitors Poor management of curriculum poor administrative performance High/expensive [tuition fees]/price [Do] not [have] enough professors Poor internal communications OPPORTUNITIES Demand for Business Competency Growing economy [in Cambodia] Support from international community (World Bank & US universities) Demand for international relationship with overseas universities More MBA graduate students[ intend to take DBA], 53.3% on survey SO Strategies [ Using Strengths to take advantage of Opportunities] Continue strengthening English-based education Provide/Develop good DBA/doctoral program & curriculum for business competency Provide high quality standard to meet needs for higher education Pursue linkages with universities abroad for exchange of PUC students WO Strategies [Overcome Weaknesses by taking advantage of Opportunities] 1.Open an evening/weekend classes for higher education for business competency 2. Use high technology to provide online learning 3. Use higher quality of standard to overcome high [tuition fees]/price 4. look for sources of funds from outside organization (WB..) to [partly finance] decrease high fees/price THREATS Political/headed by political party many competitors [are] internationally accredited – BBU, NIM. Government regulations High unemployment Language [barriers] ST Strategies [Use Strengths to avoid Threats] Provide qualified teachers to improve language Build up Human Resources [on teaching profession] WT Strategies [Minimize Weaknesses to avoid Threats] Lower [tuition fees] to minimize competition Improve management of curriculum & administrative performance A. Competitive environment There are about forty-nine (49) private institutions operating in Cambodia today. Twenty-seven (27) are universities and colleges out of thirty six (36) who are registered institutions. The major thrust of PUC is in Business and Economics where 60-70% of its students are enrolled in the MBA program. This bias is in response to market demand for business and economics courses compared to student’s interests in science and technology courses. Limited information are known with regards to DBA program in Cambodia. Only two universities are known actively promoting their DBA programs, Build Bright University(BBU) and National Institute of Management (NIM). The latter, NIM, is reportedly to introduce their DBA Program in partnership with De La Salle Graduate School of Business from the Philippines. The Program is to be partly financed by CIDA of Canada, from reliable source. The successful launch of NIM’s DBA program for this term, starting June 2004, is mainly due to it’s partnership with DLSU-GSB Manila and the grant provided by CIDA. DLSU-GSB Manila will provide initial faculty for the DBA program. An entrance examination and interviews are conducted by representatives of DLSU last May 15-16, 2004 where 30 students mostly faculty of NIM are admitted to the program. The Institute (NIM) provides 50% financial grant to the first batch of DBA students. Comparative information gathered are as follows: BBU AUH* NIM PUC Total Enrollment (as of May 2004) >10,000 >200 <10,000 @4,000 Estimated DBA Enrollment >100 <50 @30 10 (prospects) Tuition Fee ( 2 terms/year) $1,020/year $2000 per program US $5000/program US $1,040/term Total Number of Units on the DBA Program (# of years to finish) N/A N/A 36 units (3 years) 54 units (4 years) * Lost court case in Hawaii; students demanded refund of tuition fees. The above table confirmed major weakness of PUCs doctoral programs – “High/expensive (tuition fees)/price.” At $1,040 per term, the DBA program of PUC costs $8,320 to finish compared to NIM’s $5000, BBU’s $3,060 and AUH’s $2000. the high cost of education and low barrier to entry of “mushroom universities” are disadvantageous to PUC competitively. All of the above institutions provide English-based DBA program, hence, no distinct competitive advantage on the part of PUC-DBA program. B. Competitive Strategies and Strategic Options Theoretical framework based on the “Generic Strategy Model” of Michael Porter showed that PUC can very well adopt any two combination of the three available strategies for PUC’s entry in the DBA market to be competitive. The framework has the following strategic options: Option 1. Cost leadership [If there is broad market, price as determinant factor, competitive pricing] Option 2. Differentiation [If there is distinct characteristic, unique selling proposition that competitor cannot match] Option 3. Focus [identified market niche] Initially FOCUS on our graduate students and faculty and be a COST LEADER , through fellowship and discounting without necessarily reducing current published tuition fee of $1,040 per term, best fit PUC’s DBA Program in its introductory stage. C. Strategic Options ( From the SWOT Matrix) The following strategic options are the perceptions of PUC’s MBA graduating students based on their situational analysis of PUC’s academic programs. Option 1. Continue strengthening English-based education Option 2. Provide and develop good DBA doctoral program Option 3. Provide high quality standard of education Option 4. Provide qualified teachers to improve language Option 5. Build human resources on teaching profession Option 6. Open evening/weekend classes for higher learning Option 7. Use high tech for online learning Option 8. Use higher quality of standards to offset high price Option 9. Look for source of funds Option 10. Lower tuition fees to minimize competition Option 11. Improve management of curriculum Option 12. Pursue linkages with universities abroad for exchange Options 1 to 6 are being addressed by PUC management ( that students may not be aware of). Opening weekend classes are well taken and maybe considered for DBA Program. BBU is offering Saturdays and Sundays classes for their doctorate program. Options 7 to 12 are given consideration in this report with recommended actions/programs outlined below. IV. Recommendations A. Short Term Plan ( 1-2 years) 1. TO ADDRESS ISSUES ON HIGH TUITION FEES AND COMPETITIVE PRICING, ADOPT THE LOW COST, FOCUS STRATEGY TARGETING OUR OWN FACULTY AND STUDENTS. THE PUBLISHED TUITION FEES ( $1,040 PER TERM) SHALL BE MAINTAINED, HOWEVER, AS PIONEERS IN THE DBA PROGRAM, THE FOLLOWING EXEMPTIONS ARE RECOMMENDED: a. Provide Graduate Fellowship ** b. Provide 50% discount to PUC faculty c. Provide 20% discount to PUC MBA/MA graduates who passed the qualifying exam (AVAILABLE ONLY FOR THE FIRST TERM) ** This Graduate Fellowship (GF) is an opportunity for very promising graduate students to pursue full-time studies in the university to accelerate their graduate education. It allows a grantee at least more units every term and to engage in teaching assistantship or research assistantship as specified by the Faculty of Graduate Studies. [Policy to be drafted to include How can student avail of the GF?; What are the benefits of a graduate fellow?; What are expected from a graduate fellow?] 2. ON MARKETING AND PROMOTIONAL ACTIVITIES: Considering that a focused market is identified, mass market strategies like the traditional Print and Media advertisements are deemed less effective and expensive. Non-traditional marketing approaches are recommended such as: a. Direct marketing or mail campaign using brochures/flyers b. The DBA Program Office to conduct free seminars on Research Design Methodologies for CEOs and/or Strategic Management/Corporate Planning Seminars for Top Level Executives c. Three (3) streamers announcing exclusively the offering of the DBA Program (distribution limited to the three PUC campuses only) d. Sustaining advertisement (taking advantage of the ongoing quarterly advertisement of school undertakings in “The Cambodia Daily” B. Medium Term Plan ( 3-4 years) 1. EXPLORE STUDY GRANTS FROM INTERNATIONAL INSTITUTION LIKE CIDA TO FUND DBA PROGRAM, ESPECIALLY FOR THE SALARIES OF FACULTY AND RESEARCH AND DEVELOPMENT. 2. The DBA Program Office to initiate publication of research studies conducted by thesis and non-thesis graduate students. All publications must be reviewed and refereed by a “ Committee of Faculty Members “ handling DBA courses. 3. CONTINUE LINKAGES PROGRAM TO INCLUDE EXCHANGE WITH FUTURE DBA STUDENTS OF PUC. C. Long Term Plan ( 4-5 years) 1. EXPLORE ONLINE PHD/DBA ACCREDITATION PROGRAM IN CONJUNCTION WITH PRESTIGIOUS INTERNATIONAL UNIVERSITIES IN USA AND/OR EUROPE . Example: The American City University USA), Schillers University (London) and Sydney University have ongoing online MBA/DBA/Ph.D program with an institution in Manila. ` 2. PUC TO TAKE THE LEAD IN THE ORGANIZATION OF “MANAGEMENT ASSOCIATION OF CAMBODIA”, A PRIVATE-ACADEME FORUM FOR BUSINESS MANAGEMENT PRACTITIONERS IN CAMBODIA. V. Timetable Implementation Date: July 1st, 2004. http://puc.edu.kh/weekend%20program_%20DBA/DBA%20Study%20&%20Recommendation.htm