A new year begins and I, like all of you, reflect on the past and plan for the future. Less than 10 years ago was truly a golden age for independent schools. Most were thriving financially, and tuition, staffing and enrollment were all headed upward. Everything changed in 2008, and what then-NAIS President Pat Bassett dubbed the “new normal” became and remains our reality. To this day you can rarely find a head of school, trustee or business officer who doesn’t interject “financial sustainability,” “affordability” or “non-tuition revenue” into every serious conversation about their school’s future.
The new normal demands leaders who can think strategically about their school’s business and financial operations, serve as valuable partners with their board of trustees and head of school, and inextricably link their oversight to their school’s mission. A few data points in the 2014–2015 NBOA Business Office Survey Report suggest that job titles are finally catching up with such responsibility. For instance, whereas “business manager” was the norm in previous years, less than one-fifth of schools surveyed use that title today. By comparison, you are more likely to be “chief financial officer” (30 percent) or “director, finance, operations and business” (33 percent). Titles are correlated with compensation, too. The survey found that individuals with the title “assistant/associate head of school” received the highest compensation, followed by “chief financial officer.” Those with the title business manager were compensated at the lowest end of the pay scale, on average.
This issue of Net Assets is largely dedicated to human resources. No doubt, your job will not be any easier in 2016, so I ask you to find opportunities to energize, support and manage your most important human resource—yourself.
Be an active leader in your school community. It is incumbent upon you to understand all facets of the enterprise. Take the time to attend programs and events, sit in on faculty meetings and have lunch with students. When you demonstrate that you understand the importance of your school’s programs, others will return the favor by seeking to understand the importance of your school’s financial health. Imagine how much easier conversations could be regarding budgets, financial aid and revenue sources when your colleagues witness firsthand your commitment to your school’s mission.
Access resources to ensure your success and the success of your school. Professional development is very important for faculty and staff—and for business officers as well. Who else will take ownership of complexities involving the Affordable Care Act, or salary requirements for non-exempt staff, or updating trustees on new financial reporting requirements? All of these issues are subject to change in the year ahead, requiring you to take the time to educate yourself and your staff about their requirements for your school. (Hint: NBOA can assist you with all of them!)
Stay connected with your peers. You may feel like the only person at your school who speaks in financial terms, but you’re not alone. Whether you attend the 2016 NBOA Annual Meeting or participate in NBOA Connect, you’ll find help and inspiration from more than 1,200 business officers. One thing that has not changed about the independent school business officer community is its collegiality. Don’t try to re-invent the wheel in 2016.
While the new normal introduced many new challenges to independent schools, it also signaled a new era for business officers. This is your time. Here’s wishing you a prosperous and successful 2016.
