Memorandum submitted by the University
of Hertfordshire (UH)
1. INTRODUCTION
1.1 The University of Hertfordshire (UH)
welcomes the opportunity to respond to the Education Committee's
inquiry into Higher Education: The future sustainability of the
higher education sector: purpose, funding and structures. In response
to the inquiry's terms of references, our submission will focus
on the crucial link between employers and higher education.
2. SETTING THE
SCENE—THE
NEED FOR
A "NEW
MODEL OF
A UNIVERSITY"
2.1 The UK has a wide mix of higher education
establishments. It hosts a leading group of research universities,
and an important group of universities focused on increasing access
to higher education. The missing ingredient is a group of universities
focussed on the needs of business—breaking down barriers
between commerce and academia.
2.2 The vision of UH is to help fill this
gap by leading on the development of a new model of business-facing
universities. Forging stronger links between universities and
businesses will not only provide significant benefits for both
sectors but will help drive up UK productivity and competitiveness.
2.3 Whilst our primary mission is the provision
of high quality learning and research opportunities for students,
UH's second mission is employer engagement and employability—in
one dimension, equipping students with professional skills they
need for employment and in another dimension, supporting innovation
in business through applied research. In the delivery of this
second mission, UH is one of only five universities nationwide
selected by HEFCE to deliver a unique £4 million project
aimed at driving employer engagement activity. The innovations
being driven by UH through this project will be replicable nationwide.
2.4 In recent years UH has developed groundbreaking
links with business, giving those businesses—especially
SMEs—access to the university's expertise and services.
In return, this has given UH access to business-owned resources,
insights and internships for students. Examples of recent collaboration
with business include:
— Huge growth in UH's incubator clusters:
— BioPark Hertfordshire—our new state-of-the-art
biotech incubator at Welwyn Garden City; and
— The Building Hub—our sustainable
construction incubator in collaboration with the Buildings Research
Establishment.
— Merger with Exemplas (Hertfordshire's
Business Link)—the merger has connected the University with
500,000 businesses across the East of England and London regions.
— Establishment of a Community Based
Law Clinic—UH has worked with local legal firms to establish
a law clinic that provides pro bono legal advice to those in need.
Students have derived substantial value from the real world experience
gained through working with legal professionals and clients.
Consultancy services across all subject areas—
drawing upon the expertise of our staff students and graduates.
3. LISTENING
TO BUSINESS:
RESEARCH ON
WHAT EMPLOYERS
WANT FROM
GRADUATES
3.1 Clearly, any policy aimed at fostering
sustainable and two-way links between business and universities
must be based on solid research. In line with UH's mission to
maximise the employability of its students, it recently commissioned
a survey by YouGov to establish what UK employers look for when
hiring graduates.
3.2 A full summary of this research is included
in Annex A. Key highlights include:
— A significant proportion of employers
considered relevant work experience as "crucially important"
when hiring graduates; 46% of employers regarded it as one of
the three most important factors when hiring graduates. This was
followed by having a "good work ethic" (43%) and having
the "right degree subject" (41%). Only 3% of employers
ranked A level results as one of the top three factors.
— In contrast, the biggest factor putting
employers off a graduate's CV was poor spelling and grammar (77%).
The next most significant factor scored 34%.
— In terms of building relationships
with their local university, 46% of respondents considered this
as important. However, the survey highlighted how in reality employers
overwhelmingly failed to build such relationships. There is a
gap between aspiration and reality.
3.3 Of course, engagement with employers
goes well beyond the employment of graduates. The wider economic
impact of Universities is a matter of significant interest. In
2005, UH published an independent research study into the University's
impact on the local and regional economy.
3.4 An extract of the report is included
in Annex B. Key facts include:
— 29% of local businesses with University
links had experienced a positive impact on business performance;
— Businesses employed 1,300 additional
staff as a result of links with the University (other than as
suppliers);
— The majority of businesses considered
the University to have contributed positively to local economic
development; and
— For young businesses and SMEs, student
placements were regarded as a valuable low cost/risk means of
achieving flexible growth.
4. DEVELOPING
A NEW
MODEL OF
"BUSINESS-FACING
UNIVERSITIES"
4.1 UH recommends a mix of policy recommendations
to encourage the development of a new model of "business-facing
universities".
4.1.1 Increase work experience placements
for both undergraduates and postgraduates, building a more experienced
and confident graduate workforce
Our research tells us that employers value graduates
who have relevant work experience. 75% of employers believe that
graduates who have undertaken a work placement as part of their
degree, or have relevant work experience, adjust to work life
more easily than those without work experience. However the national
trend in work placements offered by UK universities and businesses
is on the decline. The majority of students entering universities
have had little or no experience of working within the sector
they are studying in. Neither have they had experience of or developed
confidence in building working relationships. At UH work placements
are expanding against the national trend.
Policy recommendations:
(a) The Government should set a clear example
to industry by increasing significantly the number of internships
within the public sector. The central civil service, executive
agencies, local government and the broader public sector should
all be encouraged to offer more and varied internships—For
example, two month summer placements as well as year long opportunities
should be considered.
(b) Provide incentives for students to undertake
internships, perhaps by modernising inclusion bursaries. By linking
the provision of bursaries to a student's willingness to complete
a work place internship, students from less privileged backgrounds
will be encouraged to participate in training that will greatly
enhance their employment prospects.
(c) Nationwide roll out of the employer/student
employment and internship matching services. These services are
currently being developed by UH (the UHTalent initiative) and
enable students and companies to match the needs, skills and opportunities.
UHTalent aims to go beyond the traditional matching service. It
will provide ongoing skills development from graduates and internees,
ensuring that employers have confidence in the skills of their
employees.
UH believes that this scheme will be of particular
importance to SMEs, who often do not have formal graduate training
schemes, yet represent a sector of the economy which has the greatest
potential for growth and wealth generation.
4.1.2 Bridging the cultural gap between universities
and industry
As Richard Lambert pointed out in his 2003 report,
there is a culture gap between universities and businesses. Despite
a range of successful post-Lambert initiatives, many in academia
continue to demonstrate distrust for business involvement in universities.
Likewise many in business still misunderstand academia. The UK's
priority must be to bridge this gap.
Policy recommendation:
(a) The Government should do its utmost to
promote the recommendations of the Lambert Review, through highlighting
best practice. For example UH leads the way, through actively
engaging with business agencies such as CBI, IOD and Chambers
of Commerce to build and ongoing dialogue across the sectors.
The merger with Hertfordshire Business Link is also an initiative
which could be replicated elsewhere, providing as it does a direct
connection between Universities and local business.
4.1.3 Broadening the student experience
The Leitch Review's findings revealed how graduates
often lacked a suitable mix of both vocational and cultural skills
to prepare them for the life ahead of them—a point also
reflected in UH's own research (please see Annex A).
Policy recommendations:
(a) Universities should link with businesses
to offer "employability workshops", providing students
with advice from employers on how to prepare for working life.
To support this initiative, the Civil Service could set an example
by offering "working in the public sector" talks to
universities.
(b) Universities should do more to link with
international universities and businesses abroad, offering UK
students placements and experiences of overseas markets. This
will become increasingly important as global competition intensifies.
4.1.4 Support employer-led and employer-funded
learning
The traditional model of employer sponsored
learning—part time course and day release activities has
long been in decline as employers find it increasingly difficult
to release valuable staff at fixed times and to a fixed curriculum.
This diminishes opportunity for many—especially older students
and those from less privileged backgrounds—restricting the
supply of skills to UK plc.
In a 21st Century business environment, a new
model of employee learning is clearly necessary. Blended learning—the
combining of traditional teaching methods with on-line learning
techniques—brings the flexibility and usability that businesses
need to keep their employees at the top of the skills ladder.
The Government should actively seek to promote
new ways of encouraging employers to engage with high level learning
and skills development.
Policy recommendations:
(a) The Civil Service should set an example
by actively offering employees greater opportunities and support
to participate in new learning opportunities.
(b) The system of work and tax credits should
be reviewed to see how they can better support employers seeking
to engage with Universities to up-skill their workforce.
4.1.5 Encourage innovative business start
ups by supporting university-run business incubator facilities
Business incubator facilities—low commitment
accommodation with shared services and the availability of business
mentoring—have proved tremendously successful throughout
the country. With the skills, knowledge base and ready availability
of students, universities provide excellent business incubator
partners. The challenge is securing the capital to build the facilities.
Policy recommendations:
(a) The Government should consider establishing
a central or regional fund from which business orientated universities
can access capital to build business incubators.
(b) The Government should consider encouraging
greater commercial provision of business incubators via the planning
system.
4.1.6 Encourage greater knowledge transfer
between universities and SMEs
Much progress has been made with encouraging
knowledge transfer between businesses and universities, with the
Knowledge Transfer Programme (KTP) leading to significant increases
in engagement. However, there is a clear need to reduce the level
of bureaucracy and thresholds which exist for this type of scheme
to make it accessible to Sees as well as large corporate. In the
Eastern region, UH has piloted the KEEP project—a mini-KTP
scheme with shorter timescales, lower financial thresholds and
minimal form-filling. The project has been very successful and
UH believes that there is an opportunity to role it out nationally.
Policy recommendation:
(a) Review the KTP scheme to reduce bureaucracy
and thresholds, in turn increasing accessibility to SMEs.
(b) Promote other collaborative research
programmes both through the Technology Strategy Board and through
regional funding agencies.
Whilst much progress has been made in recent
years with enhancing links between academia and business, there
is still much to be done. To maintain our competitive strength—sectorally
and nationally, the University/business interface should be a
strong theme shaping the future of higher education. We hope that
this submission makes a useful contribution to the debate about
what, in practical terms, needs to be done.
December 2006
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