Minutes of the HEA Board of Directors

Meeting:Higher Education Academy Board of Directors

Date:30 January 2013

Time:09:30

Venue:Cedar Court Grand Hotel and Spa, York

1.0Attendance

Directors

Mr Geoff Donnelly(Chair)

Mr Robert Barlow

Ms Rebecca Bunting

Mr Anthony Carey (By phone)

Professor Don Nutbeam

Professor Janice Kay

Mr Johnny Rich

Professor Mike Mannion

Observers

Mr Greg Wade, UUK

Ms Jayne Mitchell, QAA

Ms Judith Shaw, DELNI

Mr Mark Pegg, LFHE

Mr William Locke, HEFCE

In attendance

Professor Craig Mahoney, Chief Executive

Professor Stephanie Marshall, Deputy Chief Executive (Research and Policy)

Professor Duncan Lawson, Assistant Chief Executive

Professor Phil Levy, Deputy Chief Executive (Academic)

Heather Jackson, Assistant Chief Executive (Resources)

Caroline Thomas, Company Secretary

Hannah Purkis, Executive Support Manager

Cate Tracey, Head of Finance

Jeanne Keay, Assistant Director and Head of International Strategy

Andy Jackson, Head of Business Development

Olivia Fleming, Head of Consultancy

Helena Lim, Assistant Director and Head of Partnerships

Ms Jo Wood, University of Leicester

Apologies

Directors

Professor Sir Bob Burgess

Mr Rama Thirunamachandran

Professor Peter Lutzeier

Professor Tony chapman

Mr Liam Burns

Observers

Dr Cliona O’Neill, HEFCW

Ms Helen Bowles, GuildHE

Mr Brian Baverstock, SFC

2.0Chief Executive’s Update

2.1The Chief Executive reviewed the events from the previous day and the opportunity provided to Board members to meet staff across the organisation and explore areas of the HEA in a more informal setting.

2.2Reference was made a meeting that the Chair of the Board and Craig Mahoney had attended to discuss the issues relating to assessment particularly the use of a Grade Point Average (GPA) system with the Rt Hon David Willetts, MP. As a result the HEA had been formally invitedto lead a national debate in England. The HEA had been asked to submit a formal report to David Willetts, MP in July/August 2013. In response to questions it was acknowledged that there would be costs associated with the consultation and a temporary post would be created to oversee the project.

2.3The Board felt that there were a number of other areas that required further consideration and debate by the HEA within the sector including defining the concept of Students as Partners; the creation of Massive Online Open Courses (MOOCs) which had become a significant topic of discussion since the last meeting of the Board. A more detailed update on the scope of the work around the GPA, its controversial nature, and the resource implications and priority in the context of the HEA’s mission was requested at the next meeting.

3.0Staff Engagement Survey 2012

3.1Further discussions took place on the session Board members were involved in at the Board Away Day, particularly in relation to wellbeing and work-life balance following feedback from groups of staff. The Board was assured of on-going work and leadership in these areas and in particular noted the comments made in relation to the perception of unrealistic deadlines, combined with a staffing base that largely disparate and often part-time. The implementation of the recommended Joseph Rowntree Foundation minimum living way was noted and welcomed and in relation to other issues of pay and benefit, it was suggested that though be given to the introduction of a total reward statement that acknowledged the other benefits afforded to staff, including the USS pension, holidays and other staff benefits.

3.2The Board felt there notable absence of any reference to a more commercial or business like culture or a sense of all staff feeling part of the business development plan. It was noted that the next HEA Planning Day with all staff would focus on business development and enterprise from which further work on skill development would be undertaken in relation to mapping skills, utilising skills and staff development. The People Plan being developed in consultation with PwC would help facilitate this work.

3.3The Staff Survey would be undertaken again later this calendar year and the results and comparative trends reported to a future meeting of the Board.

RESOLVED (HEAB 01/13) – (a) The Board noted the progress made to date and the feedback from the sessions with Staff at the Board Away Day.

(b) The HEA would undertake another Staff Survey and the results would be reported at a future Board meeting.

4.0Business Development Plan

4.1At the Board meeting on 21 November 2012, the Board requested further detail and clarification on a number of issues. Further to its resolution the Head of Business Development gave a detailedpresentationof the Business Development plan aimed at providing clarification on all those key points and put the written plan and business model in the context of the Strategic Plan. Since the last meeting issues of risk management and ethical practice had been considered as part of the independent audit undertaken by PwC.It was noted that the Client Relationship Management (CRM) system would provide a support system that ensured processes are monitored and linkages are made between areas of work.

4.2The three projected income scenarios were presented to the Board as well as the model for the establishment of a trading subsidiary at the appropriate breakeven point on the basis of an investment of £150,000 which would be paid back over a 10 year period.

4.3Discussion ensued on international subscribers and the subscription package. It was noted that since the initial creation of theBusiness Development Plan, the HEA had gained valuable knowledge relating to international subscribers requirements which particularly included fellowship and the UKPSF in order to gain portability and develop an international area of practice.

4.4The relationship between consultancy and subscriptions was considered and the business development team had been working with Partnerships and Academic Practice to develop linkages both internally and externally with other organisations. The HEA had been working closely with the International Development Officer at the University of York to systematically generate linkages. However, further consideration would also be required on sales lead generation.

4.5It was suggested that the responsibility of ethical approval was clearly set out in a statement which the Board would approve.

4.6Further discussions took place on the commercial mind set of the HEA’s culture and the utilisation of the People Plan to review the skills set of staff.

4.7The Board noted that the revised Business Development Plan was comprehensive, well thought out and addressed the issues raised at the previous meeting. The Board felt that in order for the Business Development Plan to be a success the HEA would need some freedom and flexibility to react to opportunities. However, further consideration would be given to the trading subsidiary and ethical approval processes internally. It was noted that regular updates would be provided to the Board.

RESOLVED (HEAB 02/13) – (a) That the Business Development Plan be approved.

(b) That the Executive be given the flexibility to continue to explore and develop business opportunities as a charitable organisation.

(d) The Board would receive a standing update on progress against targets as part of the Chief Executive’s report to each Board meeting and through F&GP and Audit Committee as appropriate so as to monitor the point at which the establishment of trading subsidiary was necessary. The Executive was advised not to underestimate the work involved in making those preparations and to consult and use the experience of Board colleagues as necessary.

5.0Independent Review of the HEA

5.1The Chief Executive explained that this is the second Independent Review of the HEA, the first in 2007 recommended that a review would be undertaken once the restructure had been embedded.

5.2HEFCE was the lead body and was in the processes of commissioning an independent review team. It was noted that the HEA would be funding the review at a cost of £110,000 which would be deducted from its respective grant funding for each funding body based on the Barnett formula.

5.3The Board was offered the opportunity to input in to the scope of the review and were assured that while there could be no guarantees of funding at the exiting level beyond 2013-14, it was not the purpose of the review to look to cut funding but rather to establish whether the restructured organisation was achieving the general priorities set by the funding bodies and its wider aims and objectives and analysing and assessing the strategic role, contribution and impact of the HEA on the sector.

5.4It was felt that the scope needed to be carefully considered and proportionate to the context of the development of the HEA over the last two years. The review team needed to have a detailed understanding of the context of the review and the current issues facing the sector in order to effectively review the impact of the HEA and the future shape of the organisation. The importance of the range of views that would be sought by the review team and the subsequent weight given to those views was highlighted. Further updates would be provided to future meetings.

6.0Update and key messages from Finance and General Purpose Committee

6.1The Company Secretary fed back to the Board from Finance and General Purpose Committee on 16January 2013 and explained that the meeting had a Human Resources (HR) focus. Helen Howard, Chair of the Staff Council also attended the meeting to present and discuss the Staff Council Annual Report.

6.2There were three key messages to report to the Board which were that the committee were pleased that there was a clear strategy with an operating plan; that the restructure of the HEA had gone well and it was in a strong position for the future; and that whilst the HEA needed to raise the profile of business development, the reputation of the HEA must be protected.

7.0Summary and actions from Away Day

7.2Staff engagement remained an area for development, however, there was an extreme feeling of good-will from both the individuals and other staff in recognition that the HEA making improvements.

7.1The Chief Executive summarised discussions from the Board Away Day and thanked the Board for their continued support and constructive comments and observations. It was noted that HEA appreciate the support and offers of guidance that Board members had offered and looked forward to working with colleagues. Particular thanks were made to Geoff Donnelly for chairing the meeting and Greg Wades contribution to the HEA Board as UUK observer, now that Fiona Hoburn has returned from maternity leave. Duncan Lawson, Assistant Chief Executive was thanked for his contribution to the HEA following his appointment to the position of PVC, Formative Education at Newman University College.

8.0Date of next meeting –24 April 2013, 10.30 – 13.00, Woburn House, London

The meeting concluded at approximately 11.30am.