A framework for an affordable pricing strategy at the Central University of Technology, Free State

Thesis (D. Tech. (Cost and Management Accounting)) -- Central University of Technology, Free State, 2011The focus area of this research project is on the pricing function in an organisation. The discussion of the pricing function commences with a generic perspective and concludes with the pricing of academic programmes at a typical public higher education institution, namely the Central University of Technology, Free State. The following summary sets out the key issues addressed in this study: a) The pricing function b) The pricing plan c) Pricing and its effect on the affordability of public higher education The analyses conducted proved that a comprehensive pricing plan does not exist at the Central University of Technology, Free State for the pricing of the various academic programmes, and that higher education has, despite the increasing trend in government funding, become less affordable for students at the institution. The affordability issue at the Central University of Technology, Free State can be partly attributed to the lack of a comprehensive pricing plan with clear attainable pricing objectives, and a pricing strategy to accomplish the stated pricing objectives. Another contributing factor to the affordability issue is the lack of an integrated cost accounting system and costing policies that outline measures to address the cost efficiency of the institution. Implementation of the recommended pricing plan should assist management in determining tuition fees on a scientific basis, and will also enable the management of the Central University of Technology, Free State to explain to all relevant stakeholders how the tuition fees of the various academic programmes are calculated

An investigation into the allocation of resources to academia at the Central University of Technology, Free State

ThesisThe South African Government, as most governments in the world, is constantly confronted by the availability of funds for distribution to the various governmental, departments. Funding, to higher education institutions, by the Department of Education (DoE), will consequently be influenced by this situation. It is therefore imperative for higher education institutions to ensure that resources are allocated in such a way that maximum return on investment becomes a reality. A question often asked is: "How can a higher education institution best allocate limited resources to optimize returns to best meet the objectives of the institution?" This investigation was done at the Central University of Technology, Free State (CUT) and the objective of the study was to determine whether the resource inputs were sustainable, and the allocation of resources to academia viable. The study proofed that the CUT is a sustainable higher education institution, with sustainable sources of funding and revenue, and can therefore provide sustainable servIces. With regards to resource allocation, the main problem seemed to be the allocation of staff throughout the CUT. As the CUT did not reach the graduation rates of the Department of Education the conclusion was reached that the resource allocation at the CUT did not justify the return on investment in the academia. The contribution of this investigation is that the conclusions and recommendations clearly indicated that the CUT needs policies, procedures and guidelines for the allocation of staff to the different levels of services. A staff allocation model, with the emphasis on the academia, was proposed for implementation at the CUT

Lumpy species coexistence arises robustly in fluctuating resource environments

The effect of life-history traits on resource competition outcomes is well understood in the context of a constant resource supply. However, almost all natural systems are subject to fluctuations of resources driven by cyclical processes such as seasonality and tidal hydrology. To understand community composition, it is therefore imperative to study the impact of resource fluctuations on interspecies competition. We adapted a well-established resource-competition model to show that fluctuations in inflow concentrations of two limiting resources lead to the survival of species in clumps along the trait axis, consistent with observations of “lumpy coexistence” [Scheffer M, van Nes EH (2006) Proc Natl Acad Sci USA 103:6230–6235]. A complex dynamic pattern in the available ambient resources arose very early in the self-organization process and dictated the locations of clumps along the trait axis by creating niches that promoted the growth of species with specific traits. This dynamic pattern emerged as the combined result of fluctuations in the inflow of resources and their consumption by the most competitive species that accumulated the bulk of biomass early in assemblage organization. Clumps emerged robustly across a range of periodicities, phase differences, and amplitudes. Given the ubiquity in the real world of asynchronous fluctuations of limiting resources, our findings imply that assemblage organization in clumps should be a common feature in nature

Returns to Scale from Labor Specialization:Evidence from Asset Management Mergers

We study human capital synergies in asset management mergers that stem from the improved ability to assign fund managers to more specialized tasks in larger firms. More specialized task assignment allows rotated managers to focus on their investment expertise and leads to incremental $54 million of value added per deal per year on average. The effects are concentrated in mergers that lead to a large increase in firm size and in funds whose management appears less specialized prior to the merger. Our results provide direct evidence on the role of firms in the assignment of tasks to fund managers.</p

Returns to Scale from Labor Specialization:Evidence from Asset Management Mergers

We study human capital synergies in asset management mergers that stem from the improved ability to assign fund managers to more specialized tasks in larger firms. More specialized task assignment allows rotated managers to focus on their investment expertise and leads to incremental $54 million of value added per deal per year on average. The effects are concentrated in mergers that lead to a large increase in firm size and in funds whose management appears less specialized prior to the merger. Our results provide direct evidence on the role of firms in the assignment of tasks to fund managers.</p

Political ideology and international capital allocation

Does investors’ political ideology shape international capital allocation? We provide evidence from two settings—syndicated corporate loans and equity mutual funds—to show ideological alignment with foreign governments affects the cross-border capital allocation by U.S. institutional investors. Ideological alignment on both economic and social issues plays a role. Our empirical strategy ensures direct economic effects of foreign elections or government ties between countries are not driving the result. Ideological distance between countries also explains variation in bilateral investment. Combined, our findings imply ideological alignment is an important, omitted factor in models of international capital allocation.</p