Strategic Planning and the HESF

Posted: 28/01/2025
by: Nicola Best

The term “strategic plan” (or planning) is not directly used in the Higher Education Standards Framework 2021 (HESF), yet it is one of the building blocks for providers to successfully meet their HESF requirements.

Let’s unpack this further.

HESF 6.2.1b (Corporate Monitoring and Accountability) requires providers to demonstrate, and for the corporate governing body to assure itself [emphasis added], that (inter alia):

“the provider’s future directions in higher education have been determined, realistic performance targets have been established, progress against targets is monitored and action is taken to correct underperformance”.

Other examples include HESF 6.1.3a (informed and competent decision-making and direction setting) and HESF 6.2.1c and HESF 6.2.1d (financial sustainability and reporting).

DVE’s experience is that providers would normally be expected to have the following plans at minimum (particularly those seeking initial registration):

  • Strategic Plan: sets out the provider’s vision, mission and values and provides the framework (goals, objectives and targets / key performance indicators (KPIs) against which other plans should align. A SWOT analysis (Strengths, Weaknesses, Opportunities and Threats) should underpin the thinking behind the Strategic Plan. A Strategic Plan Template prepared by DVE is available for you to download to start thinking about this process.
  • Business Plan: sets out the realistic sources, and the appropriate allocation of financial resources, staffing and assets to deliver on the Strategic Plan.
  • Workforce Plan: sets out what the provider needs to do ensure it has the right people with the right skills, in the right positions, to achieve its objectives and the requirements of the HESF (and the National Code 2018 in relation to delivery to international students).
  • Teaching and Learning Plan: sets out the goals, strategies and actions that guide a provider’s approach to teaching, learning and assessment for its student cohorts, including the contribution to strong graduate outcomes. It closely connects to the broader student experience.
  • Marketing and Recruitment Plan: sets out the rationale, goals and strategies in terms of the provider’s student marketing and recruitment activities (international and domestic students).
  • Capital Expenditure Plan:setting out the future capital expenditure needed to meet the Strategic Plan. This can be captured within the Business Plan.

As providers mature, more plans are required (for example, Research plans).

Some points about strategic planning:

All Plans need to align.

  • For example, the Strategic Plan sets the framework for the Teaching and Learning Plan (how we will teach our cohort of students), which in turn influences the Workforce Plan (who is going to teach and support our students). And the Business Plan needs to support these objectives (what resources do we need).

A good Strategic Plan should be future-orientated, normally with a 3 – 5 year horizon.

  • This is not a static document. It will – and should – evolve as the needs of the business or external driving factors change (such as legislative changes).

A beautifully written Strategic Plan with realistic KPIs does not, of itself fully address all components of HESF 6.2.1b.

  • The Corporate Board needs to monitor performance against the Strategic Plan (the strategic KPIs) and take action to address underperformance.
  • The strategic KPIs should be a set of KPIs that are functional, reasonable to report on regularly and challenges the business to improve.

This means having the evidence: the agendas and minutes that properly capture the discussion of the Corporate Board.

  • Note: TEQSA’s Initial Provider Registrations policy (29.01.2021) advises that it may seek additional targeted information (minutes and agendas) from new providers regarding the provider’s performance against their strategic plan (among other matters).

Strategic planning is not just about the strategic plan. In addition to the formal reporting to the Corporate Board, management should be monitoring performance more frequently.

  • This is usually done against a longer set of internal indicators / benchmarks aligned to different plans, portfolios or strategies.
  • Aligning this process to the start of the new academic (or financial) year is a useful way to keep on track and to ensure that the institution addresses its current relevant priorities.

Seven useful tips:

  • DO set your Strategic Plan for a 3 – 5 year horizon (5 years is preferred for new providers seeking initial registration).
  • DO involve relevant stakeholders. In addition to the Corporate Board and the CEO, this may involve groups such as shareholders, members of other governing bodies such as Academic Board, senior management, academic staff, other staff, students, and alumni.
  • DO set realistic KPIs: this is where a comprehensive SWOT analysis and professional Business Planning are critical.
  • DO schedule regular reporting to the Corporate Board on performance against the KPIs. Be clear about the action being taken to address under-performance.
  • Do recognise that a good plan can change and evolve as the needs of the business or external driving factors change.
  • DON’T overlook the importance of alignment with other plans including a robust Business Plan.
  • DON’T set and forget: Schedule in regular reporting and reviews of the Strategic Plan and other documents into the annual work-plans and calendars of the Corporate Board and other governing bodies.

DVE can work with you to develop a Strategic Plan whether you are a new provider seeking registration or an existing provider looking to review and refresh your suite of strategic planning documents. We have consultants who can bring their technical expertise in helping you prepare or review other plans including the Business Plan, Workforce Plan and Teaching and Learning Plan.

Our services can be adapted to meet your needs and to complement your existing resources. DVE provides support that is accurate, comprehensive and effective for your needs and expectations.

If you would like to chat to our team about how DVE can support you in the strategic planning processes, please contact us at info@dvesolutions.com.au and we will be happy to arrange an advisory session.

Recommended Resources:

TEQSA Guidance Note on Corporate Governance (Version 2.4: 26 August 2019)

TEQSA Guidance Note on Workforce Planning (Version 1.1: 3 April 2019)

TEQSA initial provider registrations policy (29 January 2021)

DVE Strategic Plan Template