07 2011 Plan University)

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Business Plan

2007-11


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BUSINESS PLAN2 0 0 7 2 0 1 1


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With the same level o energy that I tackled

Olympic sport, I worked toward my university

degree through distance education at Athabasca

University while I was competing.

Christian Farstad, BGSCEO, Bobsleigh Canada Skeleton

Two-time Bobsleigh OlympianVancouver, British Columbia


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STATEMENT OF ACCOUNTABILITYThis business plan or the our-year period beginning April 1, 2007, was preparedunder the direction o Athabasca University Governing Council in accordance with

the Government Accountability Act and directions provided by Alberta AdvancedEducation. All material economic and scal data, as o March 31, 2007, o whichwe are aware have been considered in preparing this plan. I key assumptionsmaterially change, this business plan may be revised.

Athabasca Universitys priorities, as outlined in this business plan, weredeveloped in the context o Alberta Advanced Educations business and scalplanning guidelines.

Athabasca University is committed to achieving the planned results presented inthis document.

Respect ully submitted on behal o the Athabasca University Governing Counci

Joy Romero, P.Eng., MBAChairAthabasca University Governing Council

Athabasca University Governing Council 2006-07

Front row (le t to right): Jody Hunt, Joy Romero (Chair), Vikki Bellerose, Shawn WaselSecond row: Barry Walker, Ron Cherlet, Jill Matthew, Judi Malone, John Tre anenkoBack row: Brian Curial, Tim Nerenz, Bruce Spencer, John Ollerenshaw, Frits PannekoekMissing rom photo: Marilyn Kane (Vice-Chair), Lisa Priebe, Lonita Fraser


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My accounting designation de nitely allowed me to assume seniornancial roles, but it was my MBA rom Athabasca University that

gave me the ability and con dence to launch my career beyond theworld o nance.

Elizabeth Lindsay, MBAVice-President, Operations and AdministrationMerchant BankingBMO Capital Markets

Toronto, Ontario


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CONTENTS

9 Executive Summary

10 Institutional ContextOur MissionOur MandateOur ValuesSituation OverviewOpportunities and Challenges

21 Strategic Goals and Per ormance MeasuresStrategic GoalsPer ormance Measures

30 Priorities and Support NeedsPriorities or 2007-11Support Needs

35 Accessibility/Enrolment PlanEnrolmentAccess Funded ProgramsNew Programs

37 Financial In ormation

41 Capital ProjectsFacilities ProjectsTechnology ProjectsEquipment ProjectsLibrary and Art Collections

Capital ForecastTen Year Capital Plan

47 Tuition Projections


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EXECUTIVE SUMMARY

Having completed an extensive and broadly ocused consultative process leading to the approval, in J

2006, o its Strategic University Plan 2006-11, Athabasca University now stands ready to move orto realize the goals articulated in that seminal document. This Business Plan 2007-11 is in large measa roadmap plotting the route to be ollowed to reach the destination set or the university in the StratUniversity Plan.

Athabasca Universitys mission, recon rmed in the strategic planning process, commits the institutto promoting access to university education or all learners and to achieving excellence in teachingresearch and scholarship and in service to the community. The student experience is the universitys oThe universitys exceptional growth, in terms o enrolment, o number o courses and programs oo research and publications and o development and promotion o student services, is a testament tdedication to this mission and its success in achieving it.

Many o the challenges acing the university, however, also stem rom that same remarkable reo steady growth. The technological and physical in rastructure o the university has not expanda rate comparable to that o its student body or that o the sta needed to serve that student boConsequently, the university nds itsel today acing critical shortages o space and technoloresources. These shortages not only constrain current university operations but restrict opportunities growing enrolment, or introducing and expanding research projects and or developing and expanacademic programs. Addressing these de ciencies is, there ore, a primary ocus or Athabasca Univ

as it moves orward to actualize its Strategic University Plan.

Athabasca University will continue to build on its strong base o programs and services, its networpartnerships and its national and international reputation or excellence in online and distance learniThe universitys priorities at the present time, as detailed in this plan, are as ollows:

to secure unding or urgently needed teaching, learning and research acilities in Athabasca, GrEdmonton and Calgary and to maintain and expand the universitys technological in rastructureto expand opportunities or research and publication through the creation o new research instituand an open access Athabasca University Press

to develop new academic programs and courses, particularly in pro essional and graduate areas, ato provide the support needed to maintain quality in rapidly growing programsto enhance marketing strategies and nancial supports in order to attract in greater numbers thmembers o under-represented groups (e.g., lower income students, young working men, immigrarural Albertans, Aboriginal Albertans), both to make post-secondary education accessible to thesectors o society and to advance the universitys enrolment to the level which, research suggestssustainable open and distance university requires


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INSTITUTIONAL CONTEXT

Our Mission

Athabasca University, Canadas Open University, is dedicated to the removal o barriers that restrictaccess to and success in university-level studies and to increasing equality o educational opportunity

or adult learners worldwide.

We are committed to excellence in teaching, research and scholarship and to being o service to thegeneral public.

Our MandateAthabasca University is a board-governed open university committed, through distance education, toincreasing accessibility in Alberta, throughout Canada and internationally to university-level study andto meeting the educational needs o the workplace.

At the undergraduate level, the university is mandated to o er degree programs and university trans ecourses in the natural and pure sciences, humanities, social sciences, interdisciplinary studies,administrative studies, commerce, nursing and allied pro essional elds. Credit-based universitycerti cates are o ered within the structure o the universitys undergraduate degree programs. Asa partner in Campus Alberta, Athabasca University o ers its courses and educational services tostudents registered in Alberta post-secondary institutions. Working with these and out-o -provinceinstitutions, Athabasca University also provides degree completion opportunities or university trans estudents and diploma graduates. Non-credit continuing education courses are also o ered.

At the graduate level, the university o ers degree programs in distance education, health studies andbusiness administration. Credit-based university graduate diploma programs are o ered within the

structure o the universitys graduate degree programs.To the bene t o students, Athabasca University is committed to excellence in individualized distanceeducation, co-ordination o credit and credit trans er, assessment o prior learning and associated

orms o learning accreditation.

Dedicated to research and scholarship in various disciplines, with a particular ocus on distanceeducation and associated learning technologies, Athabasca University provides internationalleadership in individualized distance education methods and technologies.

Approved by the Minister of Advanced Education, April 1999.


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Our Values

The students, aculty and sta o Athabasca University pro ess a set o complementary values that aundamental to the universitys identity and provide the oundation or its practices.

We value excellence.The search or excellence is the hallmark o all o our endeavours.

We value learning.Student learning and satis action are measures o our success.

We value scholarly research.We engage in refective practice through the scholarship o discovery and the scholarship oteaching.

We value the ree exchange o ideas.A respect ul climate or open discourse promotes innovation, discovery and social responsibility.

We value openness and fexibility.Reducing barriers to education enhances access and social equity.

We value diversity and inclusiveness.Diversity and inclusiveness enhance the quality both o learning and o the workplace.

We value our employees.The commitment, innovation, creativity and continuous learning o every employee contribute toour success.

We value accountability.We are accountable to our students, to each other and to the public.


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Situation Overvie

Now in its thirty-seventh year, Athabasca University, Canadas Open University,

stands out as one othe worlds oremost and astest growing online and distance education specialists, serving 37,000students worldwide. The university o ers over 700 courses in more than 60 undergraduate andgraduate degree, diploma and certi cate programs.

Athabasca Universitys primary ocus is serving students. The university is dedicated to providing thbest learning experience or students. Increasing equality o educational opportunity or adult learneris certainly central to its institutional mission, but achieving this goal also drives the universitys day-to-day operations. By removing geographical, nancial, social and cultural barriers that traditionallylimit access to post-secondary achievement, Athabasca University trans orms lives. The universitysstudents have access to quality post-secondary education through distance delivery using a varietyo technologies and media. In many programs, students have the choice o studying through either a

highly fexible individualized study method or a more traditional grouped study method. The fexibilityo the universitys distance and online learning programs allows students to obtain a quality post-secondary education.

At the same time, this fexibility supports students in achieving their personal goals and managingother aspects o their lives: 81 per cent o Athabasca University students (67 per cent o whom arewomen) work while they study, and 63 per cent o graduates support dependents. The averageAthabasca University undergraduate student is 29; the average graduate student is 40. Over 90 percent o students study year-round, balancing their studies with other li e commitments.

Athabasca University at a Glance

At present, Athabasca University

serves 37,000 students (68,000 course registrations)o ers over 700 courses in more than 60 undergraduate and graduateprogramsemploys over 1,100 aculty and sta membersgenerates over $2 million annually in research activitiesmaintains 256 collaborative agreements with other Canadian educationalinstitutions and First Nations groups

Athabasca University is uncompromising in its commitment to excellence in academic standards, ininstructional design, in sta recruitment and development, in research and in student services. Thiscommitment to excellence and rapid growth in enrolment (a 268 per cent increase in the past nineyears) have been driving both technological innovation and ongoing recruitment o academic andsupport sta . The universitys sta complement has increased by 37 per cent in the past ve yearalone. These growth trends are expected to continue: annual student enrolment is projected to reach100,000 by 2015.

To support this projected growth, Athabasca University there ore plans to add, over the next veyears, a substantial new building to its main campus in Athabasca and to expand its acilities in the


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Edmonton-St. Albert and Calgary regions. In the next 10 years, a research park and con erence centrewill also be added to the main campus. Meeting the capital requirements o this planned expansion isnow a priority or Athabasca University.

Teac ing and Learning

One o Albertas our established universities, Athabasca University provides post-secondary learninopportunities to the provinces citizens. It is unique, however, in guaranteeing access to university-level study to a broad range o non-traditional university students:

those who are seeking an alternative to a conventional, campus-based experiencethose who wish to continue their careers while they augment their educationthose who have ongoing amily or community responsibilitiesthose living in rural, northern and remote areasthose who cannot nd a place in residential institutionsthose with non-standard academic backgroundsthose whose amily lacks a tradition o ormal academic study: 72 per cent o AthabascaUniversity graduates are rst-generation university learners.

Athabasca Universitys students stand out or their dedication to their personal goals and or theircommitment to advanced learning, to their communities and to the wider world community. Throughthe e orts and achievements o its students, Athabasca University will continue to stand out as aprovider o high quality post-secondary education.

Athabasca University ocuses on providing excellent programs and courses, on fexibility o access andon providing students with the means o achieving success. It o ers conventional distance coursesbut also supports online access. For example, the university recently enhanced the online componento 175 o its highest-enrolment courses to urther its commitment to anywhere, anytime delivery ancontinues to adopt leading edge content management so tware. It was one o the rst large universitiesto adopt Moodle, an open source course delivery so tware, designed on sound pedagogical principles,which allows educators to create e ective online learning communities.

Because Athabasca University is a distance university, the planning and writing o courses and theprovision o course materials are undertaken more deliberately than they are at traditional universities.Courses are written by members o aculty and other subject matter experts. All individual studystudents and some grouped study students are taught online or through other media and technologies

and are individually supported by tutors. In some contexts, particularly those involving collaborativepartnerships with other post-secondary institutions, grouped study students take courses inclassrooms.

This combination o excellence in course content and design and delivery through leading edgetechnologies continues to yield success. For example, Athabasca Universitys MBA program, oundein 1994 as the rst online program o its kind, has once again been ranked by theFinancial Times oLondon as one o the top 100 MBA programs in the world. The universitys Master o Arts IntegrateStudies program, with over 2,000 students, is Canadas largest graduate program, and its nursingprogram is also one o the largest in Canada, graduating over 300 nurses each year.


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Researc and Sc olars ip

Since 1999, research activity at the university has increased signi cantly. Students working at boththe undergraduate and graduate levels are actively involved in research.

Mission critical research in the scholarship o teaching and learning in open and distance environmentshas had particular prominence. For example, the search or better ways to remove barriers to educationand, more particularly, to provide increased opportunities or participation in education in oil sandswork camps and other remote and rural communities in orms a major research initiative that is nowbeing undertaken in partnership with the private sector and northern communities.

Athabasca University also actively supports and maintains high standards in discipline based research.For example, at the present time,

Dr. Martin Connors, Canada Research Chair in Space Science, Instrumentation and Networking, withnancial support rom the Canadian Space Agency, is developing a northern astronomy course with

a Canadian ocus. The course, which will involve the creation o multimedia content, will emphasizsky phenomena unique to high latitudes, including the northern lights, and northern weather systems,northern seasons and aspects o space research that are relevant to Canadians.

Dr. Mike Gismondi, in collaboration with the Canadian Centre or Community Renewal and otheco-applicants and partners rom British Columbia and Alberta, has received approval or theBritish Columbia and Alberta Social Economy Research Alliance (BALTA). BALTA establishesregional partnership among our universities and six social economy organizations, plus three

ederal agencies and a number o innovative municipalities. Over the next ve years, acultmembers, practitioners and students will collaborate on a series o research initiatives aimedat better understanding and improving the entire range o activities that make up the socialeconomy and its in rastructure in the region.

Dr. Janice Thomas, program director or the MBA in Project Management, continues work onher project, Understanding the Value o Implementing Project Management, a $2.5 million (U.S.investigation unded in part by the Project Management Institute (PMI) and one which brings togethera wide range o experts rom around the world. The project is expected to conclude in 2008.

Dr. Kam Jugdev in the Centre or Innovative Management continues to work on ProjectManagement as a Source o Competitive Advantage, an SSHRC unded study which ocuses oidenti ying strategic assets that can be sources o an organizations competitive advantage. Since2006, Jugdev has been gathering data rom organizations across North America, with a speci cemphasis on those in the energy sector.

Dr. Fuhua (Oscar) Lin in the School o Computing and In ormation Systems is concluding hNSERC unded research on Knowledge Modeling or Adaptive Course Generation and DeliveryDistributed Learning. The project highlights new methodology, models and tools or modeling andmanaging knowledge or adaptive web-based course generation and delivery.

Student Support

In recent years, the university has signi cantly expanded its comprehensive network o supports orstudents. Student services include in ormation, admission, registration, trans er accreditation, prior


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learning assessment, advising, counselling, technical support, library and writing support services aswell as services or students with disabilities.

Alberta students high degree o satis action with Athabascas programs and services is evident in the2005-06 results o provincial student and graduate surveys:

97.5 per cent o Athabasca University students say that they are satis ed with their overalluniversity experience.

95 per cent o Athabasca University graduates say that they would recommend AthabascaUniversity to others.

However, students across Canada and around the world, in all Canadian provinces and territoriesand in 87 oreign countries, draw equally upon Athabasca Universitys network o supports. Theuniversitys recently achieved status as the rst Canadian University to be ormally accredited in theUnited States, through the Middle States Commission on Higher Education (MSCHE), and as the rsCanadian public post-secondary institution to be ully authorized to operate in both Alberta and BritishColumbia has served to underline its national and international reach.

In 2006, the U.S. based Center or Trans orming Student Services (CENTSS) selected AthabascUniversitys AskAU, an online requently asked questions (FAQ) system that provides answers, througnatural language searches, to students most common questions, as one o 10 best practices in onlinestudent services in higher education.

Collaborations

The diversity o Albertas educational institutions provides learners with fexibility o choice, and

because o its open admission practices, its fexible learning methods and its long-standing historyo working collaboratively with other institutions, Athabasca University plays a pivotal role in theprovinces post-secondary learning system.

Students registered in other Alberta post-secondary institutions make extensive use o AthabascaUniversitys courses and educational services to help them complete their degrees. This accessibilityaccounts or a large percentage o students enrolled at the university: 23 per cent o AthabascaUniversity undergraduates are visiting rom other Alberta post-secondary institutions. For example,in the past year, 1,483 students rom the University o Alberta and the University o Calgary tooAthabasca University courses or degree completion.

To create pathways to degree completion or students who hold college diplomas, Athabasca Universityhas entered into hundreds o agreements and partnerships with colleges and technical institutes inAlberta, across Canada and abroad. Last year, or example, 1,686 Alberta college graduates wereenrolled in Athabasca University degree completion programs.

The university also has longstanding collaborative arrangements or providing post-secondary learningin Aboriginal communities and is a ounding member o Alberta-North, a partnership o post-secondainstitutions bringing courses and programs to students in northern Alberta, Nunavut, the Yukon andthe Northwest Territories. In addition, Athabasca University is a ounding member o Canadian VirtuUniversity, a consortium o over 20 leading Canadian universities with an interest in e-learning.


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Opportunities and C allengesAthabasca University aces a number o challenges, many o which are related to opportunities ogrowth and development. These challenges and opportunities may be grouped under general headingsas ollows:

unding and a ordability in rastructure de cits enrolment and emerging markets collaboration and competition recruitment and retention o sta

Funding and A ordability

Athabasca Universitys 2007-08 operating budget plans or total expenditures o $116 million. Nearly 6per cent o this budget consists o salaries and bene ts. The university expects to receive approximately$34 million rom the Government o Alberta, $53 million through tuition, $2 million as research granand contracts and $14 million through learning resources and advancement activities.

Student registrations have, on average, increased by nearly 10 per cent annually. During the past year,Athabasca Universitys overall undergraduate growth was just over 12 per cent. This growth and theassociated growth in tuition, particularly rom out-o -province students, has helped the university tomeet its budget targets.

The Government o Alberta still provides signi cant operating revenue. The government has indicatedthat it will provide a six per cent per year increase in base unding in each o the next three years anda grant to subsidize tuition increases or Alberta students. Although this level o unding has allowethe university to meet a number o challenges, maintaining the quality o programs while keeping

ees competitive will remain a challenge. A provincial tuition rebate, which has kept tuition ees atthe 2004-05 level during 2005-06 and 2006-07, has been discontinued or 2007-08, and under the newTuition Fee Policy, the universitys undergraduate ee increases are limited to 3.2 per cent rather thanseven per cent as expected. The uncertainty o Alberta government grants continues to be an issue ostrategic importance to the university.

Program costs are a major barrier to education or some prospective students. A 2003-04 Albertagovernment survey reported that only hal o respondents believed post-secondary education is withinthe means o most Albertans. Providing opportunities or Albertans to access university educationregardless o geographic location, culture, race, ethnicity, income, disability or educational backgroundis undamental to the identity and mandate o Canadas Open University and is explicitly endorsed inthe Alberta governments Strategic Business Plan o March 2006.

In this context, maintaining a ordable tuition ees is a serious responsibility or the provinces possecondary institutions. An additional challenge or Athabasca University, however, is the variability intuition ee rates and policies among the provinces. The tuition costs aced by out-o -province studentin their home provinces are ar more important to Athabasca Universitys nancial planning than theyare to that o the provinces residential universities.


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In rastructure Defcits

As a distance university, Athabasca University requires signi cantly less physical in rastructure thanresidential universities; nevertheless, it requires space to house its aculty and sta , its library, itstechnological assets and its course materials production units.

Since 2001, when the universitys Course Materials Production unit moved into the newly renovatedTim Byrne Centre, sta numbers at Athabasca University have increased by 37 per cent. Because othis growth and an unchanged inventory o physical plant, the university is experiencing a severespace shortage. In order to continue to provide quality academic programs to students and to carry outthe research that supports that teaching e ort, sta and aculty urgently require new in rastructure

Residential universities maintain a signi cant physical in rastructure in the orm o campus buildingWhile Athabasca University also has a need or buildings, technology is the primary means by

which the university connects with its students. Without a sizeable investment in its technologicalin rastructure, the university will be unable to maintain its learning environment, especially giventhe rate o technological change. Consequently, in ormation and communication technology is andwill remain a crucial component o the universitys capital plan. An $80 million investment, beyondthe universitys $10 million restricted in ormation technology reserve, is required over 10 years. Oneaspect o the technological challenge is the need to scale the universitys systems to accommodateincreased numbers o students without compromising quality. The university will also be challengedto balance the need to keep its technological in rastructure up to date with the need to keep costsreasonable.

Gro t

Athabasca Universitys Strategic University Plan targets 100,000 students by 2015. Research suggeststhat open and distance universities are most e ective at delivering programs and that economies oscale are reached when enrolment exceeds 100,000 students. Care ul planning will be required to reachthis enrolment goal. In 2006-07, Athabasca University served about 37,000 students. The universitywill need to adopt an e ective expansion strategy, one which encompasses taking advantage oopportunities or substantial growth beyond the borders o Alberta

Today, the majority o Athabasca Universitys Alberta students live in urban areas, particularly Calgarand Edmonton. While the university will continue to concentrate on these important primary markets,it will also strengthen its ocus on providing opportunities or students in rural and remote areas, inAboriginal communities and among immigrant populations.

Immigration and Migration In the context o the provinces energetic economy, Albertas position in the global marketplace isbeing challenged by increased competition or highly skilled workers, whose contribution makes oureconomic growth possible. The importance o new Albertans cannot be over-estimated.

To address labour market requirements, the province relies heavily on workers migrating rom otherprovinces. By virtue o its signi cant out-o -province student population, Athabasca University is a position, unique among the provinces universities, to create virtual Albertans, that is, to establishconnections with prospective migrants.


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Immigrants rom abroad are also needed to meet the labour demand. Immigration to Alberta is growing,and the majority o immigrants are highly skilled. However, they ace additional challenges in ndinwork in their area o specialization. Their credentials are o ten not recognized in Canada, some aclanguage barriers to success ul employment and others lack work experience in Alberta. As a result,many are unable to use their education and training.

Athabasca University o ers two opportunities to new Canadians. Firstly, the university will establish apresence in the local immigrant population by working with communities and other institutions to o eculturally sensitive university-level programs and to develop a better and more comprehensive systemo assessing prior learning and experience. Secondly, and perhaps more strategically, the universitywill investigate the easibility o providing online, open and distance education to prospectiveimmigrants in their home countries, with particular attention to countries that are generating highnumbers o immigrants.

Rural and Remote Communities

Over the past 50 years, the percentage o Albertans living in rural areas has dropped rom over 50 percent to below 20 per cent. Rural communities continue to lose young people and skilled pro essionals,even though about one-quarter o the provinces gross domestic product comes rom oil, gas, orestrand agricultural industries, which are primarily located in rural and northern areas. Rural participationrates in post-secondary education are there ore a concern.

Athabasca University is uniquely well-positioned to provide access to high-quality post-secondaryprograms or rural Albertans by means o online, open and distance learning. In pursuit o thiobjective, the university will strengthen its relationships through community partnerships with localgovernments, businesses and public institutions within these communities. One such initiative is the

Learning Communities project. Funded by a private donation, this project will provide groundbreakinresearch on the learning needs o rural, remote and Aboriginal communities in Albertas north.

Aboriginal Communities

Aboriginal people are moving o reserves to take advantage o employment opportunities. In 200however, the unemployment rate or Aboriginal people living o reserves was 6.7 per cent, well abovthe provincial average. Unemployment rates on reserves are much higher. Since the average age oAboriginal people is lower than that o Canadians as a whole, Albertas uture success will depend inpart on the provinces ability to tap into the human resource potential that the Aboriginal populationrepresents. More needs to be done to increase this groups participation in post-secondary learning.Today, only one third o Albertas Aboriginal people obtain a post-secondary education.

Athabasca Universitys longstanding collaborative agreements with First Nations colleges and councilshave helped to promote equality o access. The universitys Centre or World Indigenous Knowledgand Research has undertaken outreach initiatives, and the university has worked directly with theYellowhead Tribal Council, Blue Quills First Nations, Red Crow College and the Sunrise Project aNorthern Lakes College to develop and implement programs and services.

The provincial governments strategy o encouraging a stronger collaboration between Aboriginalcommunities and post-secondary education (and industry) is also an important strategy or AthabascaUniversity.


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Collaboration and Competition

Athabasca University recognizes its responsibility to maximize opportunities or all learners by providinfexible and accessible education through collaborative partnerships. While these relationshipsare complex, the university has made a strategic decision to orm collaborative relationships withresidential universities in order to provide the utmost fexibility in the learning system as a whole.Integrating Athabasca University courses into programs at residential universities increases thecapacity o the educational system as a whole and reduces the need to invest in parallel distance anddistributed learning systems.

The scheduling and course availability constraints aced by students in residential universities aresigni cant. Many students cannot carry a ull course load because o the need to work or because o

amily or community commitments. Many undergraduate students, both in Alberta and across Canada,use Athabasca University courses to meet some o their degree requirements at other universities and

colleges.

To urther encourage these highly cost-e ective collaborations, the university needs to expand servicethrough learning links and pathways at other universities. These relationships will be strengthenedduring the li e o this plan. For example, this year, a new learning link will be opened on the Universito Alberta campus in Edmonton to better serve students taking Athabasca University courses.

Enrolment growth at Athabasca University has been steady. Even so, the university must acknowledgethat students today have more choices. A number o traditional campus-based institutions acrossCanada are now o ering university-level courses at a distance. In a ew instances, public unds arbeing used to replicate services that are already available through Athabasca University. While thedemand or some quali cations are real, requiring greater capacity, care must be exercised to ensure

that expanding capacity within the college sector does not simply result in increased competition andcost or scarce aculty and supervised placements in the pro essions.

Competition rom the or-pro t post-secondary sector, which is the astest-growing educational sectoworldwide, is also growing. Some oreign institutions are aggressively marketing to Albertans andother Canadians while operating within a protected environment in their home countries. As onlinelearning becomes ubiquitous, a ordable and more user- riendly, the university can and must maintaiits position in this area by implementing the strategies outlined in the Strategic University Plan andby securing government support at all levels to ensure a level policy playing eld in jurisdictionsabroad.

Recruitment and Retention o Sta

Athabasca University employees work at centres in Athabasca, Edmonton, Calgary and St. Albertand in home o ces throughout Alberta. On average, the number o ull-time equivalent sta hincreased by more than seven per cent per year over the past ve years. The university is projecting aneed or 944 ull-time equivalents to support teaching, learning and research to 2014-15 time horizonThis number excludes tutors, who are largely located in home o ces. Twenty-seven per cent o thesenew sta members will be based in the Greater Edmonton Area. The largest number, 64 per cent, arescheduled to be located at the main campus in Athabasca, provided the universitys capital plan issupported in a timely manner.

An increasingly limited pool o doctoral-level candidates is available to ll aculty positions. In th


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context o growing enrolments and a more and more complex curricular environment, this availabilityissue will represent a signi cant challenge. Like other post-secondary institutions in Alberta andacross Canada, Athabasca University is nding it progressively di cult to recruit and retain highlyskilled aculty members and researchers. This situation is somewhat exacerbated by the location othe main campus in Athabasca. More employees are needed to serve increasing numbers o students,yet the average age o university employees continues to rise. Many quali ed scholars are expectedto retire in the next decade, and many other universities will also be renewing their academic andsenior management sta . Consequently, it is extremely important to continue to attract and retainhighly quali ed and credible employees. Without them, the university will not be able to maintain its

rst-ranked status.

Athabasca University is nding creative solutions to critical sta shortages in the most rapidly growinprogram areas such as business, li e sciences, nursing and criminal justice. Other universities acrossthe country can o er inducements such as well developed doctoral programs, doctoral candidates andpost-doctoral sta and structured support or research initiatives. Athabasca University will continuto invest in similar opportunities or its aculty, with a ocus on strengthening its research and graduatelevel teaching. Recently approved graduate programs such as the Doctorate in Education and otherswhich are in the planning stages will strengthen the universitys appeal to scholars and researchers.


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STRATEGIC GOALS AND PERFORMANCE MEAS

Strategic GoalsAccomplishing the goals articulated in the Strategic University Plan 2006-11 will stand as a testamentto Athabasca Universitys values and represent a signi cant step toward ul lment o its mission andmandate. It will strengthen the universitys commitment to the principles o access, open and distancedelivery, research and excellence. Over the next ve years, there ore, the university will concentrate onachieving the ollowing Strategic University Plan goals:

ensuring quality in learningenhancing open access

ocusing on quality researchbuilding communitiesrecruiting and retaining excellent employeesallocating resources

The Alberta Government goals re erenced in the tables below are as ollows:

Goal 1: Alberta will have a diversi ed and prosperous economy.Goal 2: Albertans will be well prepared or li elong learning and work.Goal 7: The well-being and sel -reliance o Aboriginal communities and people will be improved.

The Alberta Advanced Education and Technology strategic priorities re erenced are as ollows:

Priority 1: building and educating tomorrows work orcePriority 2: access or all learnersPriority 3: a ordability or all learnersPriority 4: quality and innovation in the advanced learning systemPriority 5: post-secondary in rastructure


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Goal 1: to continue to ocus on the delivery o high quality open and distance education through a wide range

o programs and coursesGovernment

goalsMinistrypriorities

Strategic objectives Expected results

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Continue to strengthen the quality,accessibility and responsiveness oundergraduate and graduate courses andprograms.

Consistent student satis action ratings andimprovement in some areasImprovements in measures o student successUndergraduate and graduate enrolment targetsmetProgram reviews as per the Education ReviewPlan continuedIncrease in number o approved programs

4 Ensure that quality is enhanced and thataccess is not compromised as more coursematerials and learning activities move online.Adapt course development processes tothe demands o e-learning, and develop ITstrategies responsive to student learningneeds.

Number o available online courses increasedNew course development models consistent withadvancements in online learningA balanced curriculumImproved student satis action ratings

1 4 Continue to o er a high quality studentexperience at Athabasca University.

Student satis action ratings maintainedTrend in exceeding provincial average in studentsatis action ratings continuedImproved student supports, including technologyusageImprovements in measures o student success

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Continue to develop a digital and resourcelibrary that will meet the needs o studentsand researchers.

Increased digital collectionsImproved student in ormation literacy ratesIncreased use o digital materials


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Goal 2: to increase participation rates at Athabasca University and ensure accessibility or students rom

diverse regions and backgroundsGovernment



12

12

Recruit a diverse and wide-ranging group oundergraduate students rom all sectors andprovinces and abroad to major programs.

Increased undergraduate student registrationsSpeci ed undergraduate enrolment targetsmetEnhanced opportunities or rural/remotestudents

12

12

Recruit a diverse and wide-ranging group ograduate students rom all sectors and provincesand abroad to major graduate programs.

Increased graduate student registrationsSpeci ed graduate enrolment targets metEnhanced opportunities or rural/remotestudents

127

12

Increase opportunities or access to university-level education or students rom northern, rural,minority, Aboriginal and under-representedcommunities across Canada.

Increased enrolments rom rural/remote areasIncrease in partnerships and unding

12

24

Continue to be a major contributor to CampusAlberta, to build strong alliances with otherpost-secondary institutions and to increaseavailability o university-level educationprovincially, nationally and internationally.

Increase in number o partnerships andcollaborative arrangementsExisting partnerships maintained

12

12

Develop a more co-ordinated approach toaddressing learner needs and improving studentsuccess and better supports or students to

achieve their learning goals.

Increased use o student support servicesIncrease in number o learner supportinitiatives

Improved student satis action ratingsImproved completion rates

12

3 Improve nancial support or students to reducebarriers to post-secondary education.

Increased nancial aid through scholarshipsand bursaries

1 4 Provide a wide range o dynamic services thatsupport the diverse needs o students.

Increase in number o services critical tostudent successIncreased use o AskAU


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Goal 3: to oster and expand research and scholarship at Athabasca University

Governmentgoals

Ministrypriorities


1 4 Continue to provide and increase appropriatesupport or student and sta excellence inresearch and scholarship.

Increased research activity ( unding,publications, projects)

1 14

Enhance Athabasca Universitys internationalreputation in open and distance learningscholarship.

Increased international activityIncrease in number o research partnershipsand collaborative arrangementsIncrease in international registrations

1 4 Expand the research culture throughout theuniversity environment.

Increased research activity

12

24

Promote and expand the trans er o researchknowledge or the bene t o society.

Athabasca University Press establishedIncrease in number o publicationsIncreased media or research

12

24

Provide the widest possible access to theresearch created by researchers at AthabascaUniversity.

Increase in number o publicationsAU Press regarded as a leading open-accesspress

12

14

Increase research partnerships andcollaborations with other internationallyrecognized research institutions.

Increase in number o research partnershipsand collaborations

1 4 Develop a clear unding strategy to seek andallocate research unding.

Increase in amount o research undingreceived

Goal 4: to promote collaboration and oster leadership in the communities we serveGovernment



12

12

Raise the pro le o Athabasca Universityas Canadas Open University provincially,nationally and internationally so that students,employers and governments will see it as their

rst choice or meeting their educational needs.

Research pro le increased in line with that oother universitiesAwareness increased rom benchmark (2006)Increased student registrationsIncreased media coverage

12

2 Employ university resources in the communityto develop initiatives and collaborativepartnerships.

Increase in the number/extent o communitypartnershipsIncrease in the number o community events

12

1 Foster vital alliances with business and industryto advance mutually bene cial educational goals

or employment.

Increase in the number/extent o partnershipsand alliances


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Goal 6: to secure and steward the resources necessary or Athabasca University and its sta and students toachieve their potentialGovernment



12

34

Align institutional planning and re nemechanisms to assess the e ectiveness ouniversity planning, resource allocation andinstitutional renewal process.

Targeted investment budgets established

12

34

Increase existing and identi y new sources ounds to support research, teaching and service

at Athabasca University.

Increased research links with governmentagencies and the private sectorIncreased revenue rom research activityIncreased revenue rom advancementactivities (grants, donations, strategicpartnerships)

Goal 5: to recruit and retain the very best sta

Governmentgoals

Ministrypriorities


12

23

Create an environment that supports AthabascaUniversitys teaching and research priorities,increases recruitment and retention activitiesand ensures leadership succession.

Increased annual research production

1 4 Provide appropriate recognition and support orsta members in their role in the teaching andresearch mandate o Athabasca University.

Increase in the number o external recognitionawards, publications and internal successstories

12

24

Improve collaboration and oster open dialogue,interpersonal networking and communication atAthabasca University.

AU sta portal success ully implemented

1 4 Strengthen governance and organizationalstructures within Athabasca University.

Governance and organizational structuresreviewed and realigned in accordance withposition as an established university


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2

Per ormance Measures

Enrolment: Expected and Targeted Full-load E uivalents (FLEs)

Athabasca University has established the ollowing enrolment targets to aid its planning in supporto its goal o satis ying learners needs through open access to programs and courses. These targetsrefect the expectation to grow, on average, by 915 FLEs per year.

Graduate Satis action

In its value statements, Athabasca University indicates that student learning and satis action aremeasures o success. Very signi cantly, during a period o rapid growth, the university has maintainedhigh levels o student satis action with the quality o the educational experience.

Athabasca University consistently exceeds the provincial average level o satis action on theGovernment o Albertas university and college satis action and labour market experience surveysResults or the 2002, 2004 and 2006 surveys are provided below:

In 2006, 97.5 per cent o Athabasca Universitys students expressed satis action with the overallquality o their educational experience. This gure represents a substantial improvement over the93 per cent satis action ratings recorded in 2002 and 2004. It is our goal to continue to exceed theprovincial average and retain our reputation as the best in the province.

Student Group 2006-07(Expected)

2007-08(Targeted)

2008-09(Targeted)

2009-10(Targeted)

2010-11(Targeted)

Undergraduate 6, 139 6,822 7,595 8,322 9,122

Graduate 1,208 1,377 1,523 1,736 1,883

Total FLEs ( ull-loadequivalents)

7,347 8,199 9,118 10,058 11,005

Graduate Satisfaction with OverallQuality of Educational Experience

98

96

% 94

92

902002 2004 2006

Year Surveyed


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Graduate Employment Rate

Measures o student learning are embedded in the curriculum. That Athabasca Universitys graduatesconsistently enjoy a very high rate o participation in the labour orce is an indirect measure o the higquality o the universitys programs. The ollowing chart shows employment rates or participants iGovernment o Albertas university and college satis action and labour market experience surveys:

It is also important to note that a majority o Athabasca University students participate in the labourorce while completing their courses or programs: 81 per cent work while they study.

Student Consultation

The Athabasca University Executive meets regularly with the Athabasca University Students Union toreview the universitys proposed and projected ee increases. The last meeting was in January 2007.The Students Union is represented on the universitys Strategic Budget Committee, Academic Council,Finance Committee and Governing Council. A new Graduate Students Association is in the process obeing established, and a representative o this association will also sit on the committees listed above.

Researc Activities

Athabasca University is committed to excellence in teaching, research and scholarship. Throughdiscovery, dissemination and trans er o new knowledge, the university will continue to integrateresearch and creative activity with teaching, thereby in orming its curriculum and providing opportunitie

or highly quali ed graduates to promote innovation and to participate more ully in society.Historic successes at the undergraduate level, along with established and emerging graduate programs,provide the oundation or Athabasca University to become a recognized research university ocused oexcellence. A vibrant research community, in ormed teaching, and a supportive learning environmentwill, in turn, be refected in quality courses and programs and comprehensive student services and willassist Athabasca University in maintaining its current success and encourage uture growth.

Enhancing Athabasca Universitys reputation as a leader in open and distance learning is one meansby which the university aims to meet its growth targets in the coming years. Additional public relations

unding is needed to properly promote the university across Canada. With development planning or

98

97

96

% 95

94

93

92

Graduate Labour Force Experience

2002 2004 2006

Year Surveyed


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30

an e-learning research centre underway, the university is poised to expand its position as a worldleader in the research o distance and online learning (including m-learning and e-learning).

In addition, as issues concerning the environment and sustainable resources continue to grow,Athabasca University has positioned itsel to launch the Athabasca River Basin Research Centreaimed at addressing issues o sustainability, trans ormation and natural resources. From an ecologicalpoint o view, this multidisciplinary research centre will investigate the integration and accumulationo impacts on the hydrosphere, lithosphere, biosphere and atmosphere as well as the correspondingpolitical implications.

As a university with a growing graduate student population, now over 2,900, Athabasca Universitymust ensure that the research and publication records o academic sta are comparable to those oother public universities in Canada.

Research Impact All Sources (thousands of dollars)

A summary o all externally unded research at Athabasca University is provided in the ollowintable:

* Includes other ederal, provincial and industry unding rom sources such as the Canada Foundation or Innovation (CFI), Human Resources and SDevelopment Canada (HRSDC) and O ce o Learning Technologies (OLT).

In recent years, external unding rom the granting councils has been much higher than in previouyears.

Sponsored Research Revenue as a Percentage of Provincial Grants (thousands of dollars)

Sponsored research revenue as a percentage o provincial operating grants is summarized in theollowing table:

As the table shows, the percentage increase has changed signi cantly in recent years as unding romthe granting councils has varied and operating grants have increased substantially.

Types o Researc Support 2003-04 2004-05 2005-06 T ree-YearAverage 2003-05

T ree-YearAverage 2004-06

Total sponsored research revenues $1,543 $2,316 $1,849 $1,909 $1,903

Support rom council sources $442 $724 $709 $484 $625

Council support ratio (council sources/totalsponsored research revenue)

28.7% 31.3% 38.3% 25.4% 32.8%

Support rom community and industrysources*

$1,101 $1,592 $1,141 $1,425 $1,278

Community and industry support ratio(community and industry/total sponsoredresearch revenue)

71.4% 68.7% 61.7% 74.7% 67.2%

Types o Researc Support 2003-04 2004-05 2005-06 T ree-YearAverage 2003 -05


Total sponsored research revenues $1,543 $2,316 $1,849 $1,909 $1,903

Total Province o Alberta operatinggrants

$22,135 $25,452 $30,113 $22,782 $25,900

Sponsored research revenues as a % oprovincial operating grants

7.1% 9.1% 6.1% 8.4% 7.3%


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Research Council Success (thousands of dollars)

Athabasca Universitys success rate with its applications to the granting councils is summarized in theollowing table:

* Includes Social Sciences and Humanities Research Council o Canada (SSHRC), Natural Sciences and Engineering Research Council o Canada (NSERincluding graduate scholarships, and Canadian Institutes o Health Research (CIHR). Also includes Canada Research Chairs and indirect costs, but not CanadaFoundation or Innovation (CFI), Human Resources and Skills Development Canada (HRSDC), O ce o Learning Technologies (OLT), Industry Canada, etc

O note is the increase in the value o the awards being received.Research Publications and Other Creative Works

Athabasca University aculty and sta actively disseminate their research results through variouspublications and presentations. The ollowing table provides a summary o these activities (Note:Numbers or previous years have been amended to refect de nitions rom granting agencies.)

*Books authored or co-authored include chapters authored or co-authored. Re ereed articles include re ereed journals and con erence proceedings. Con erencpresentations include invited speaking engagements.** The number o ull-time teaching sta is as reported to Statistics Canada through the University Full-time Teaching Sta System or the period and inclteaching sta employed as o October 1 o the reporting year and research sta who have an academic rank and salary scale similar to teaching sta , appoinon a ull-time basis, whose term o appointment is not less than 12 months (including sta members on leave).

Researc Publications* 2003-04 2004-05 2005-06 T ree-YearAverage 2003-05


Number o ull-time aculty** 106 111 142 107 120

Books authored or co-authored 55 44 61 47 53

Books edited or co-edited 6 7 8 5.8 7

Articles in re ereed publications 133 159 146 127 146

Non-re ereed publications 42 36 40 34 39

Con erence presentations 306 242 296 247 281

Granting Councils* 2003-04 2004-05 2005-06 T ree-YearAverage 2003-05


Number o applications 27 26 21 23 24

Number o awards 11 6 5 7 7

Total $ value o awards (in thousands odollars)

$442 $724 $709 $469 $625


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PRIORITIES AND SUPPORT NEEDS

Priorities or 2007-11

Athabasca University is advancing quickly. Student registrations continue to grow: rom April 2006to January 2007, registrations or individualized study courses increased by 11.6 per cent over thesame period the year be ore, with the largest increases in commerce and administration, legal studiesand science. Registrations in the MAIS graduate program increased by 20 per cent and in nursing by

ve per cent within the same period. For the 2007-08 year, undergraduate registration is targeted togrow by 11 per cent, with 68,000 registrations orecast. Graduate registration is targeted to rise by

ve per cent to 8,400 registrations. Strong growth is also anticipated in non-credential undergraduateenrolment, particularly in the number o students visiting rom other universities.

As mentioned above, this our-year business plan fows rom the universitys new Strategic UniversityPlan and the six priorities identi ed there: quality, access, people, community, research and resources.A progressive campus development plan, new programs and the introduction o new ways o accessing

online and distance material, including the Athabasca University Press, the only open access academicpress in Canada, are among recent developments that are positioning Athabasca University or the

uture. The Business Plan 2007-11 is there ore a plan both to consolidate recent gains in and tosigni cantly invest in the ollowing areas:

reducing barriers to accesstechnology and capital in rastructuremarketing and recruitmentnew program developmentresearchstudent support services

und development

The proposed strategies represent investments in instruments o growth that will position AthabascaUniversity or major change.

Investment to Reduce Barriers to Access

Athabasca University is a signi cant and respected leader among providers o open access universityeducation. Maintaining its leadership position in the Canadian distance education market, as well asits reputation or quality, will require care ul planning and managed growth.

One persistent barrier to university-level education is learners lack o knowledge o the opportunitieand supports available to them. Athabasca University intends to become more e ective in ensuringthat prospective students understand and use these supports. The need or enhanced marketing o theAthabasca University experience to under-represented groups (e.g., lower income students, young menworking in industry, immigrants, rural Albertans and Aboriginal Albertans) within the post-secondarysector is critical. Satis ying the needs o these groups will be an important strategy over the li e othis plan. The university has already begun working toward this goal by developing sound marketingand communication strategies that will reach out to these markets as well as to its primary market.Success in this endeavour will ensure a greater uptake o students rom under-represented groups andhigher completion rates or the post-secondary sector as a whole.

Increased budgets or marketing refect the need or additional exposure to under-represented groups


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through advertising (including online advertising), participation in recruitment airs, increased emphasion alumni services and activities, strategic alliances and increased e orts to make signi cant inroadsin corporate Canada. The universitys e orts to reach out to prospective students, particularly thosewho are members o underserved populations, is exempli ed by the Learning Communities projecmentioned earlier. Special attention will be given to partnership opportunities that improve access orlearners rom other post-secondary institutions, corporations and governments. The geographic ocuswill be on Alberta, Ontario and British Columbia, as well as on international markets in the UnitedStates, Asia and Mexico. The intention in these latter markets is to help students with an interest inAlberta employment readiness.

Fundraising is a core activity o all research-based universities. Athabasca University intends to raisea minimum o $30.5 million during the our-year li e o this business plan, and it expects these undsbe matched by Access to the Future unds. The unds raised will be used to support scholarships, newprogram initiatives and new research directions. The university intends to lever these unds alreadymatched by Access unds through oundation and other opportunities.

Investment in Course and Ne Program Development

Over the next our years, Athabasca University will move strongly toward the 100,000 enrolment targeset or 2015 by the Strategic University Plan, enrolling over 54,000 students by 2011. The enhancedrecruitment e orts described above will uel this growth, as will development o new undergraduatand graduate programs.

Signi cant investments in the maintenance and enhancement o course quality will be a priorityduring the course o this plan. The Educational Media Development unit is being restructured toachieve greater e ciencies in course development and delivery. Program review/restructuring, course

renumbering and website development are also underway.During the coming year, 32 new academic positions will support quality maintenance in speci cacademic units that are experiencing signi cant growth: integrated studies, nursing, health studies,business and state and legal studies are just a ew o those that will welcome new aculty members.Slower sta growth is anticipated during 2008-10 as the university consolidates its hiring o theprevious two years, but the need or accelerated hiring is anticipated to again arise in the 2010-13period.

New program development will ocus particularly on pro essional and graduate studies areas.Athabasca Universitys Doctorate in Education has just been approved, and the university will seekapproval to o er the rst online doctoral program in business administration and subsequently innursing. A new program in heritage resources management is under development, and through aground-breaking agreement with the Royal Architectural Institute o Canada, Athabasca Universitywill develop an undergraduate degree with specialization in architecture and a graduate diplomain architecture. One-time unds have also been secured to study the easibility o programs in lawengineering and education, disciplines to which market research shows a clear need or accessthrough distance education.

Investment in Researc

All Athabasca University aculty members are active in research. In recent years, research outputs and


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34

the number o research grants awarded to aculty members have increased signi cantly. This trendis expected to continue; as the university develops its graduate programs, research activity will alsoincrease.

As in any university, a healthy dialogue exists among researchers who are studying the same broadissues through di erent paradigms. This dialogue in orms all scholarly work, particularly graduatelevel teaching. The university has con rmed its commitment to graduate study by a rming in theStrategic University Plan its commitment to interdisciplinarity in research. Increasingly, university

aculty members and students will be working in interdisciplinary environments. Through the Masterso Arts Integrated Studies program, Athabasca University has become a leader among universitiesthat actively encourage interdisciplinary academic activity.

It must also be acknowledged that, in Canada, opportunities to disseminate peer-reviewed researchare somewhat constrained by limited access to the traditional journals and academic presses. To

address this concern, Athabasca University will be establishing the Athabasca University Press, anopen access, peer-reviewed press that will provide Canadian researchers with much readier accessto scholarly audiences.

The university will also continue to seek support or its proposals to create the Centre o Excellenceor Research in New Learning Technologies and the Athabasca River Basin Research Centre. These

centres will acilitate both mission-critical and discipline-based research. Matching unds rom theAccess to the Future Fund have been requested, and support rom several granting agencies and privatesector donors has been targeted. Additional research based centres, a Centre o Excellence in ProjectManagement within the Centre or Innovative Management, or example, are also being considered.

Investment in In rastructure

Capital

Expansion o Athabasca Universitys technological and administrative systems and o its physicaacilities have ailed to keep pace with the universitys remarkable growth in enrolment and program

development. Capital in rastructure investments are now urgently needed, and securing the undsto develop new teaching, learning and research acilities is a strategic priority. To meet the need

or additional capacity, the university plans, over the next ve years, to construct a substantial newbuilding on its main campus, in Athabasca, and to expand acilities in the Greater Edmonton Areaand in Calgary. These new and expanded acilities will provide work space or aculty and sta asupport the delivery o courses and programs to students. Over the next our years, $141 million instrategic capital investments is needed.

Technology and Student Supports

Students at an open university with e-delivery require support services that employ state-o -the-arttechnologies. All universities have embraced, to some extent, major changes in technology, but as adistance and online university, Athabasca University stands out or the centrality o technology to itsstudents experience.

In recent years, Athabasca University has produced a signi cant body o research in technologicallymediated learning, and given the universitys considerable expertise and acknowledged leadership in


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this eld, that trend will continue. Expanding and enriching online student services will remain a ocusor the duration o this plan.

In addition to the E-Learning Accelerator Project, the integration o Moodle as the university-widelearning management system has been one o the key outcomes o the acceptance o the institution-wide In ormation Technology Systems (ITS) plan. For example, to acilitate greater access, the Centr

or Nursing and Health Studies this year plans to convert 19 online undergraduate and 28 onlinegraduate courses rom WebCT to Moodle. The development o the myAU student portal is also nearincompletion.

Athabasca University courses are signi cantly di erent rom campus-based e-learning coursesand the surest means o retaining students and maintaining high completion rates in a constantlychanging environment is to provide services that support students learning needs. In ormationand communication technology will remain a crucial component o the universitys capital plan. An

investment o at least $21 million over the duration o this plan and $80 million over the next decadebeyond the universitys $10 million allocation rom its systems development reserve, is required tosupport the needed investment in technology and system development.

Support NeedsIn a time o signi cant new investments in the provinces post-secondary system, AthabascaUniversity looks orward to working with government and others to secure appropriate unding or igraduate programs, its research programs (particularly those ocused on new learning technologies)and its technological and physical in rastructures. Working together, stakeholders in post-secondaryeducation can address the universitys most urgent problems to better serve Alberta students.

Athabasca University relies on out-o -province student ees to support its operations and thedelivery o programs to all students regardless o location. The university must continue to clariand strengthen its policies on serving students rom other jurisdictions and work to ensure that theprovincial government clearly understands both the importance o students rom other jurisdictionsto the nancial sustainability o the university and the investment the university is making in theeducational capital o Canada. Government policy to support this important revenue stream orAthabasca University in required.

Signi cant and progressive changes are also needed to the universitys capital unding model.Like other universities, Athabasca University has a large unmet need or capital and technologicalin rastructure. To address this de cit, priority capital projects include

construction o an academic and research building on the main campus in Athabascadevelopment o an integrated acility in the Greater Edmonton Area, including the acquisition oland on which to build this acilityparticipation in the Calgary Urban Campus partnership, a developer-led construction project ineast Calgary with a long-term leasing opportunityrenovation o the Tim Byrne Centre in Athabasca

These developments are long overdue, and their completion will create an appropriate capacity orgrowth. A detailed plan or the new academic and research acility in Athabasca has been submitted

or approval. Funding is required or unctional planning or the Greater Edmonton acility and


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36

Calgary Urban Campus. Acquisition o land in the Greater Edmonton area is also planned or the 20008 budget year.

Two additional projects will need uture support:

the proposed Centre o Excellence or Research in New Learning Technologiesthe proposed Athabasca River Basin Research Centre

Drawing on Athabasca Universitys recognized expertise in the eld o online and distance educationand bene ting rom the presence o Canada Research Chairs in e-learning and distance education, theCentre o Excellence or Research in New Learning Technologies will be an international leader in th

eld. This project will require $18 million to ully realize.

The Athabasca River Basin Research Centre will allow Athabasca University researchers to collaboratewith representatives o industry, government and the community to study the impact o developmenton the ecosystem o the Athabasca River Basin. This centre will conduct research, educate andcommunicate with respect to existing conditions within the river basin, sustainable environmentalpractices (e.g., bio-economy, water use and emissions) and challenges and opportunities or ruraldevelopment and the northern economy. Given its academic resources and location, AthabascaUniversity is well positioned to examine the challenges aced by the Athabasca River Basin and to

nd solutions to problems identi ed. Matching start-up unds have been requested rom the Accessto the Future Fund.

Equally pressing is the need or a unding ormula that recognizes that Athabasca Universitytechnological in rastructure is as integral to the learning environment o its students as thelaboratories and classrooms o campus-based institutions are to that o traditional students. Theinvestments that Athabasca University needs to sustain the capital value o its courses and deliverysystems alls outside the traditional unding categories. Last year, the province agreed that AthabascaUniversitys technology needs were capital. Over the next year, the direct capital portion o thetechnology in rastructure needed to enhance the administrative and learning support systems will beapproximately $4 million.

Athabasca University is appreciative o the work the Ministry o Advanced Education and Technologhas done over the last year on behal o the university and its students. Should the ministry continuethe enhancement o its post-secondary ramework to ensure the timeliness o program changes andother initiatives, it would allow the university to become even more responsive to the marketplace.

Athabasca University would also bene t rom the governments continued e ort to streamline andstandardize regulatory or policy rameworks. For example, a greater degree o inter-provincial co

operation would enhance inter-jurisdictional activities that und a signi cant part the universitysoperations. Government o Alberta support could advance initiatives aimed at achieving nationalalignment in the regulatory ramework or public educational institutions. The provinces successin brokering the Trade, Investment and Labour Mobility Agreement (TILMA) with British Columbrepresented a precedent-setting step in this area.


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ACCESSIBILITY/ENROLMENT PLAN

Enrolment

Athabasca University anticipates strong enrolment growth with an average 11 per cent year-over-year increase throughout the 2007-08 to 2010-11 planning period. A renewed ocus on marketing andtargeted recruitment will help to ensure this strong growth.

Increases are expected across-the-board in undergraduate and graduate enrolment. Strong growthis also anticipated among non-credential undergraduate students, particularly students visiting romother universities. The growth rate among this group o Athabasca University students has increasedby an average o seven per cent per year over the past ve years.

Out-o -province Students

In the last ew years, as Ontarios 2002-03 double cohort has worked its way through the system, the

proportion o Ontario students in the total Athabasca University population has increased: Ontariostudent enrolment has grown by an average o 17 per cent per year over the past ve years. Thoughthe double cohort anomaly has nearly run its course, growth rates are expected to continue to be verystrong among students rom all provinces.

Alberta Students

The number o Alberta residents taking courses through Athabasca University continues to rise,growing by eight per cent in the past year and targeted to grow by seven per cent per year or eacho the years o this plan.

Because Athabasca University students are, on average, older than students at Albertas residentialuniversities, the echo boom that has been swelling undergraduate populations at the residentialuniversities and colleges is likely to continue to a ect Athabasca Universitys population well a teenrolment has plateaued or declined at the provinces other universities.

The university will ocus on increasing participation rates o Alberta students over the next ouyears.

Alberta Students Taking Courses

20,000

15,000

10,000

5,000

0

2005-06 2006-07 2007-08 2008-09 2009-10 2010-11

Year


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3

Access Funded Programs

Athabasca Universitys accessibility plan includes meeting speci c targets or programs that havereceived conditional unding. The targets or each program are shown below. Programs are expectedto reach their maintenance targets within the period covered by this business plan.

Ne ProgramsOver the past ve years, Athabasca University has developed a number o new programs in responseto the demonstrated educational needs o Albertans. This growth in the curriculum is expected tocontinue.

In February 2007, the university received approval rom Alberta Advanced Education and Technologto o er a Doctorate in Education. This program, the universitys rst at the doctoral level, is expecteto open in 2008. A second doctoral program, in business administration, an important planned additionto the o erings o the Centre or Innovative Management, is currently under review. The universialso plans to introduce graduate diploma programs in legislative dra ting, instructional design,architectural studies and heritage resource management. Launch dates or these new programs willdepend on the approval mechanisms o Alberta Advanced Education and Technology and the CampuAlberta Quality Council.

In terms o undergraduate programs, the university expects, again in response labour market needand student demand, to expand its collaborative and credit co-ordinating activities to ul l its Campus

Alberta mandate. New major programs under development include environmental studies within theBachelor o Arts, Indigenous Nations organization within the Bachelor o Management and architecturastudies within the Bachelor o Science. New undergraduate certi cate programs under developmentinclude programs in heritage resources management, nancial services, e-commerce, marketing andenvironmental studies. In addition to developing these courses and programs, the university intends,within the next three years, to embark upon easibility studies or the development o new programsin law, engineering and education.

Program Year FirstFunded

Initial Target MaintenanceTarget

Bachelor o Arts at Mount Royal College 2001-02 15 45

Bachelor o Nursing at Mount Royal College 2001-02 3.2 28

Conjoint Nursing Program, Calgary 2001-02 9.1 80.5

Campus Alberta Applied Psychology: Counselling Initiative 2001-02 7 25

Bachelor o Management (B.Admin.) 2004-05 62 62

Bachelor o Pro essional Arts 2004-05 66 66Bachelor o Nursing: LPN 2005-06 17 47

Bachelor o Pro essional Arts: Criminal Justice 2006-07 16 50

Master o Nursing 2006-07 10 40

Campus Alberta Applied Psychology: Counselling Initiative 2006-07 16.7 16.7


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FINANCIAL INFORMATION

In preparing the 2007-08 budget and the planned statements o operations and nancial position or2007-08 to 2010-11, a number o complex actors had to be taken into account.

First and oremost, the budget is aligned with the Strategic University Plan. Over the period o thisplan, the university is positioned to invest in research, academic program development, course deliveryand student services, all o which are sta ng and technology intensive.

In 2007-08, substantial permanent sta ng increases are planned to position the university or growthand to add new academic programs and enhance student services. In contrast, in 2008-09, onlymoderate sta ng increases are planned, primarily to align with direct student service needs. Assalary increases are a key budget driver, by the end o this plan, salaries and bene ts will constitutenearly 70 per cent o all university expenditures.

Capital investments are desperately needed or acilities or sta and or in ormation technolodevelopment: $141 million in capital investments are planned over the next our years, o which $12million in external unding is needed.

The availability o nancial and physical resources is key to Athabasca Universitys development asa university. Strong registration growth is expected over the period o this plan, with 73 per centcumulative revenue growth (reaching $158 million) expected by 2010-11. Similar growth in expenditureis planned to prepare or and respond to this growth.

For each year, a six per cent Alberta operating grant increase together with the universitys shareo the Alberta A ordability Framework grant is planned so that tuition ees are kept a ordable Alberta students. Under the new Alberta Tuition Fee Policy, the maximum permissible tuition increase

or 2007-08 is 3.2 per cent, applied to the 2004-05 base tuition. Based on this policy, the maximumtuition ee increase is proposed. This increase is required or ongoing expenditures and needed major

investments.In 2007-08, initiatives to diversi y revenue are expanding, and $4 million in restricted donationsand endowments and a matching $1.2 million rom the Access to Future Fund are expected. Theseinitiatives are expected to raise $30.5 million in endowments and restricted donations over the li e othis plan.

Finally, net assets (reserves) generated rom previous year surpluses will be used to invest in newprogram development, technology, bridging to retirement and acilities. For example, $10 million iplanned or new program development and $4 million or bridging to retirement operating expendituresThese estimates require planning or de cits in the next our years. During these years, the universitywill manage commitments prudently.


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40

APPROVEDBUDGET2006-2007


Plan2008-2009

Plan2009-2010

Plan2010-2011

REVENUES

Operating grantsUndergraduate student ees

Graduate student eesSales o goods and services

Research and other grantsAmortization o DCC

InterestDonations

Other

$28,71133,64313,3919,9642,605

873

1,500350316

$34,48438,81714,261

14,572888

2,132

2,0282,000

143

$38,15245,23516,15313,450

5561,428

2,1323,500

181

$41,52451,45718,47213,952

5563,340

2.1777,000

220

$45,88958,54320,41714,447

5565,701

2,22310,000

220

91,353 109,325 120,787 138,698 157,996

EXPENSES(Note A)

Salaries and bene itsFees and purchased services

Materials and suppliesCommunications and travel

Amortization

Facilities costsScholarships

62,37713,0138,9245,3893,147

1,796305

76,05015,94610,3196,5514,783

1,858616

87,21615,17510,3006,7734,592

1,908593

96,84216,02310,7827,3536,336

1,952854

110,72517,00211,2418,1618,629

1,9961,085

$ 94,951 $ 116,123 $126,557 $140,142 $158,839

Excess o expense over revenue $ (3,598) $ (6,798) $ (5,770) $ (1,444) $

Athabasca University Business Plan 20072011Statement o OperationsFor the year ended March 31(in thousands o dollars)

FUNDING SOURCE FOR EXCESS

Excess o expense over revenuePlanned trans ers rom reserves

$ (3,598)3,598

(6,798)6,798

(5,770)5,770

(1,444)1,444

(843)843

Approved Plan - - - - -NET ASSETS: PLANNED INVESTMENTS

(EXPENDITURES)

CHANGES IN NET ASSETS (RESERVES)Balance, beginning o year

Forecast adjustments 2006-07(Note B)Excess o expense over revenue

Capital acquisitions

$ 25,2140

(3,598)(213)

21,4039,464

(6,798)(4,514)

19,5550

(5,770)0

13,7850

(1,444)0

12,3410

(843)0

Balance, end o t e year $21,403 $19,555 $13,785 $12,341 $11,49

A: Incudes expenditures related to planned investments rom restricted reservesB: Adjustments to 2006-07 or capital acquisitions $213, and orecasted operations variances o $6,663 or 2005-06 and $2,588 or 2004-05


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Athabasca University Business Plan 20072011Statement o Financial PositionFor the year ended March 31(in thousands o dollars)



Plan2008-2009

Plan2009-2010

Plan2010-2011

ASSET

CURRENTCash and short-term investments

Accounts receivableInventory o course materials

Prepaid expenses

NON-CURRENT INVESTMENTSCAPITAL ASSETS AND COLLECTIONS

$ 13,781

5,2795,333

60524,998

26,90026,970

$ 16,9955,9575,973

60829,533

27,80043,198

$ 15,303

6,8906,690

54729,430

27,80071,191

$ 17,8597,8497,359

49033,556

27,800125,178

$ 21,6258,8638,095

50539,088

27,800145,063

$ 78,868 $ 100,531 $ 128,421 $186,534 $211,95LIABILITIES AND NET ASSETS

CURRENTAccounts payable and accrualsSalaries and bene its payable

De erred revenueDe erred contributions

Due to joint venture

DEFERRED SALARIES AND BENEFITS PAYABLEDEFERRED CAPITAL CONTRIBUTIONS

NET ASSETSInvestment in capital assets

EndowmentsInternally restricted

Unrestricted

$ 2,8448,199

15,2781,653

287

28,2611,936

13,75243,949

12,2931,223

18,3533,050

34,919

$ 3,3499,996

17,6001,653

287

32,8852,068

17,46652,419

24,8073,750

19,555-

48,112

$ 3,29611,46419,7121,653

287

36,4122,208

46,50485,124

23,7625,750

13,785-

43,297

$ 3,48112,72921,6831,653

287

39,8332,358

100,966143,158

23,2867,750

12,3338

43,376

$ 3,70114,55423,8511,653

287

44,0462,519

120,686167,250

23,4529,750

11,47721

44,700

$ 78,868 $ 100,531 $ 128,421 $186,534 $211,951


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42



CASH PROVIDED FROM (USED IN) OPERATING ACTIVITIES

Excess o expense over revenue

Amortization o capital assets and de erred course development costs

Amortization o de erred capital and de erred couse development contributions

Other items not a ecting cash

CHANGE IN NON-CASH WORKING CAPITAL

Change in accounts receivable, inventory o course materials and prepaid expenses

Change in current liabilities, except current portion o obligation under capital lease

CASH PROVIDED FROM (USED IN) INVESTING AND FINANCING ACTIVITIES

Decrease (increase) in non-current investments, net

Capital asset and collection acquisitions, net

Endowment awards and contributions, net

De erred capital contributions

Capital contibutions or land

Capital lease payments

$ (3,598)

3,147

(873)

165

(1,159)

(941)

3,362

1,262

(20,500)

(7,926)

0

3,266

(53)

(25,213)

$ (6,798)

4,713

(2,062)

138

(4,009)

(1,328)

4,625

(712)

(900)

(20,941)

2,777

5,776

8,000

-

(5,288)

INCREASE (DECREASE) IN CASh AND ShORT-TERM INVESTMENTS(23,951) (6,000)

CASh AND ShORT-TERM INVESTMENTS, BEGINNING OF YEAR* 37,732 22,995

CASh AND ShORT-TERM INVESTMENTS, END OF YEAR $ 13,781

Athabasca University Business Plan 20072011Statement o Cash FlowsFor the year ended March 31(in thousands o dollars)

*Note: The beginning o year cash and short-term investments amount is projected based on orecasted operating results or the previous year. The 2007-08 amount varies rom tapproved budget amount or 2006-07 by the variances or 2005-06 and 2006-07.


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CAPITAL PROJECTS

Developing knowledge, technology and student services capacities is critical to Athabasca Universityssuccess. A number o major strategic capital planning activities, including the 25-year CampusDevelopment Plan, the 2006-11 Capital Plan, the In ormation System Development Plan 2006-09 another supporting capital business plans, were completed last year. These plans were submitted togovernment in June 2006.

The university is advancing quickly. To support its projected growth, it plans to add, over the next veyears, a substantial new building to its main campus in Athabasca, to expand existing acilities inthe Greater Edmonton Area and in Calgary and to make major investments in in ormation technologyMeeting the capital and technological requirements o these planned expansions is a priority. Overthe next our years, $141 million in strategic capital investment, as outlined below and in the attachedcapital expenditure projections, is

Documents

07 2011 Plan University)