The Use of a Viability Index as a Better Measure of Departmental and Program Strength (2021)

This article by Andrew L. Luna, Sherry Kendrick, and Melissa Johnson from Austin Peay State University discusses the limitations of traditional performance metrics in higher education and introduces a viability index as a more comprehensive measure of departmental and program strength. The viability index combines various ratios to provide a nuanced understanding of academic and financial health.

Main Takeaways:

• Limitations of Traditional Metrics:

  • IPEDS Graduation Rates: The IPEDS 6-year graduation rate is commonly used but provides a limited view of institutional health, as it only includes first-time, full-time students and excludes a significant portion of the student body, such as part-time and transfer students.
  • Inadequate Indicators: Traditional metrics often fail to capture the complete picture of departmental viability, focusing too narrowly on graduation rates and neglecting other important factors like enrollment trends and credit hour production.

• Introduction of the Viability Index:

  • Comprehensive Metric: The viability index combines multiple ratios to assess the overall health of a department or program. It includes the ratio of majors to graduates (replacement ratio) and the ratio of departmental credit hours to institutional credit hours (production ratio).
  • Balanced Assessment: This index provides a balanced view by considering both the ability to replace graduates with new majors and the department's contribution to overall credit hour production.

• Components of the Viability Index:

  • Replacement Ratio: Measures the number of new majors relative to the number of graduates, indicating whether a department can sustain itself over time.
  • Production Ratio: Assesses the department's share of total institutional credit hours, reflecting its contribution to the institution's financial health through tuition revenue.

• Application and Benefits:

  • Decision-Making Tool: The viability index can guide strategic planning, program review, and resource allocation by providing a clearer picture of departmental strengths and weaknesses.
  • Longitudinal Analysis: By tracking these ratios over time, institutions can identify trends and make informed decisions about program sustainability and development.

• Case Studies and Examples:

  • Real-World Application: The article provides examples from a public university in the Southeast, demonstrating how the viability index can be used to evaluate and compare departments based on their index scores.
  • Viability Matrix: A matrix combining the replacement and production ratios offers a visual representation of departmental health, helping administrators quickly identify areas of strength and concern.

Policy and Practice Recommendations:

• Broader Adoption: Institutions are encouraged to adopt the viability index and related metrics to enhance their evaluation processes and make more informed decisions.
• Continuous Improvement: Regularly updating and refining these metrics can help institutions stay responsive to changes in student demographics, financial conditions, and academic trends.