Proposal for a Master of Business Administration (MBA) Degree Program

EXPEDITED PROGRAM APPROVAL

SUBMITTED TO THE

MASSACHUSETTS BOARD OF HIGHER EDUCATION

Submission Date: August 17, 2006

FRAMINGHAM STATE COLLEGE

100 STATE STREET

FRAMINGHAM, MASSACHUSETTS

The most compelling evidence of student demand for a Framingham State College MBA program – and of the need for expedited approval – comes from our current student body.

1. During the 2005/2006 academic year there were 110 students enrolled in the existing graduate program, which uses the curriculum herein described.
2. During the 2005/2006 academic year there were 36 applicants to the existing program.
3. In the Fall of 2005, 25 students in their final semester of graduate study in administration petitioned the Dean to obtain the MBA degree. The Petition has been scanned and reproduced as Appendix I.
4. A survey of 117 Framingham State College alumni was conducted in March 2006 - refer to Appendix J which contains the survey instrument and a summary of the results. Of the 35 graduates responding to the survey:
• 97.1 percent indicated that the College is on the right track in developing an MBA degree program;
• 82.4 percent indicated that there is sufficient demand in the MetroWest for an affordable alternative to programs offered by other colleges and universities;
• 94.1 percent stated that they would recommend the MBA program to a colleague or friend over other graduate programs offered in the region.
5. General exit surveys of approximately 100 alumni who obtained the master’s in administration between 2002 and 2005 revealed a preference for the MBA degree.
6. Prospective graduate business students attending college information sessions and general advising sessions often report that they choose not to enroll in Framingham State College because the school does not offer an MBA program.
7. With an MBA in place, future demand is expected to increase from the College’s own graduates, particularly those who complete undergraduate business programs, including a new major in Business and Information Technology. Business is the most popular major in the College’s day and evening divisions, graduating approximately 100 students per year. These programs would serve as a feeder to the MBA program after students graduate and join the workforce for a few years.

A new part-time MBA program at Framingham State College (FSC) would uniquely serve student needs as the only public MBA program in the region, and the only MBA program offered on a main college campus within a 12-mile radius of Framingham. With tuition at roughly 15% of the cost of private institutions, Framingham State College’s program is one of the least expensive in the State.

The overall Commonwealth of Massachusetts employment breakdown also supports the student need for an MBA degree program at Framingham State College. Massachusetts has a higher than average concentration of firms in high technology, finance, and health care. A greater proportion of jobs here are in professional and technical occupations, as compared to the United States as a whole. The MBA would provide students with excellent preparation for these employment opportunities. The MetroWest breakdown is a follows:

According to MERC total average employment in the MetroWest region in the third quarter of 2005 was 99,885 - refer to Exhibit 16. Of these jobs Professional and Business Services accounted for 21.5% (20,996 and 26.7% of payroll); Trade Transportation and Utilities for 20.8% (20,794); Manufacturing for 7.5% (7,446 and 9.4% or payroll); Information for 4.9% (4,874) and Finance for 2.0% (2,011). The table given as Appendix K presents a detailed breakdown.

Exhibit 16 - MetroWest Region Employment

Framingham State College is ideally suited to serve the demand of the student and business community. The program will enrich not only the lives of students and their families, but the program’s MBA graduates will become the catalysts for growing the state economy.

The demand for part-time MBA programs has been well-documented on the national level. The 2005 Applications Trends Survey of Graduate Management Admission Council® (GMAT®) points out that part-time master’s programs in business nationally have experienced their best year since 2001. “More part-time programs are reporting increased application volume in 2005 than in either of the previous two years; the number one reason why part-time students choose their program is that it allows them to continuing working.” Part-time students generally have to juggle responsibilities to their families and employers. They seek convenient classes and readily applicable, current knowledge and skills, including advanced technology. The proposed MBA program meets the needs of working students because the campus is conveniently located for attending traditional courses, and also includes courses offered online or as hybrid classes that meet online and on campus.

As the largest city in the MetroWest region, Framingham is home to thousands of small and large businesses. As a state institution, Framingham State College serves an integral role in providing higher educational opportunities to students who live and/or work in the region. For generations, our graduates have gone on to shape the thriving business community in this area. Building on our strengths and unique competencies, we have developed a part-time MBA program to enhance the academic knowledge, the professional skills, and the networking capacity of graduate students who are pursuing careers in mid- to upper-level management, all at a good value and at a convenient location.

The evidence that employers in the MetroWest region identify value and demand for MBA degrees comes from:

1. Letters of endorsement from key business leaders, elected government officials and chambers of commerce - see Appendix L.
2. Responses to surveys of Human Resource managers in the region - see Appendix M.
3. Economic data provided by MERC and other sources.

Regional and statewide occupational outlooks further support the demand for graduate education in business. MERC has documented remarkable growth in employment and wages as well as major changes in the type and location of MetroWest industrial employment over the past two decades. Since 1980, the number of organizational employment units in the MetroWest CCSA has risen by 90.4%, from 3,200 to 6,700 separate places of employment. According to the Massachusetts Job Outlook through 2008, published by the Massachusetts Division of Unemployment Assistance “the demand for professional and technical workers should increase the fastest of all major occupational groups and generate the most new jobs.” The report concludes that “education and training will become even more important in the Massachusetts workplace as the economy becomes more integrated in the world economy. Due to replacement needs . . . workers with more education and training will have more options in the emerging economy and better prospects for rising up the career ladder and earning higher salaries.”

The Massachusetts Division of Unemployment Assistance predicted an average 11 per cent growth in employment in Management Occupations and an average 10 per cent growth in employment in Business and Financial Operations Occupations between 2000 and 2010. Even more significant in the context of training needs is the degree of churn with 50,600 replacement workers required in Management Occupations and 25,920 replacement workers required in Business and Financial Operations Occupations - see Exhibit 17 for details.

Exhibit 17 - Projected Employment and Job Openings in Massachusetts.

Exhibit 18 - Proportion of Job Vacancies Requiring an Associate's Degree or Higher by Massachusetts

The Massachusetts Department of Workforce Development demonstrated that, as shown in Exhibit 18, the Central Region of Massachusetts, in which Framingham is to be found, has, at 48% of all job vacancies, the highest proportion requiring an Associate's Degree or Higher. As such the region has the greatest need in the state for Undergraduate and Graduate education.

Exhibit 18 - Proportion of Job Vacancies Requiring an Associate's Degree or Higher by Massachusetts

Existing public and private colleges and universities offering a part-time MBA program in Massachusettsare summarized in Appendix N. Exhibit 19 gives a detailed comparison of MBA programs within 12 miles of Framingham.

Framingham State College is the only public college within a 12 mile radius of Framingham that offers a master’s degree in business on a main campus with day, evening and weekend access to a fully equipped campus community. Framingham State College, like other public Massachusetts state colleges, takes pride in serving the increased educational demands of students who want to successfully compete in its service region. This proposal recognizes Framingham State College's mission to provide a quality MBA program at a reasonable tuition, thereby filling a gap in educational opportunities in the MetroWest area.

The MBA program at Framingham State College has six characteristics that, in combination, distinguish it from other existing MBA programs: (1) strong relationships with MetroWest small, midsize and large businesses and non-profits, (2) a technology infrastructure that supports productivity tools, groupware and collaborative tools commonly used in business, (3) convenient location and class schedule for MetroWest residents and employees, (4) affordable tuition, (5) flexible part time program options and (6) availability of online and hybrid courses.

FSC enjoys long-standing relationships with many employers in the MetroWest region, including small, midsize and large businesses, and nonprofits. Many faculty in the program are well-known to local employers through involvement with MERC, Industry Advisory Boards for existing business programs, and/or consulting Individual FSC faculty regularly involve representatives from local businesses and non-profits in their undergraduate courses as guest speakers or project partners; these relationships can be expanded to the MBA program, as well.

The strong relationships with MetroWest businesses and non-profits will help the College shape the MBA to focus on skills development and research most relevant to local industries.

FSC has led the state colleges in the implementation of technology in the classroom, both on and off campus. The FSC campus has a wireless network that supports extensive use of laptops and Internet technology. The college uses Blackboard, a software system that can be used to supplement a traditional classroom environment or to conduct an entire course online. FSC provides advanced functionality in Blackboard, including groupware to support virtual teams, content management software to facilitate knowledge management techniques, and productivity software essential to business environments. The College regularly provides technology training to faculty through workshops and seminars, as well as providing additional professional development opportunities such as Teaching Excellence presentations and Teaching Circles. FSC has recently adopted an e-portfolio feature in Blackboard, which will be used as part of the MBA assessment process  Technology plays a major role in business operations and strategy; it is an important component to the MBA program. The FSC MBA program will use information technology to develop communication and collaborative skills necessary to business. For many students, the campus location and class schedule are important factors in choosing an MBA program. Many part time MBA students work full-time and wish to complete their degree requirements with minimal disruption to their jobs. The Framingham campus is conveniently located to people who work or live in the MetroWest area. Evening MBA classes are scheduled to meet at 6:00; for many students, this combination of a MetroWest campus location and class schedule is ideal. The cost to the student of the FSC MBA program is less than similar programs in the region. Comparisons are available in Exhibit 8. The FSC MBA program can be completed on a part time basis by attending classes in the evenings and/or online. These scheduling options are particularly attractive to the student who must continue working full time while pursuing the MBA. Many employers in the MetroWest region offer some limited tuition assistance to full time employees attending an MBA program. Many employees in this situation view a part time MBA as a means to advance their positions at their current employers, and seek a relatively low cost, conveniently accessible program. The combination of these factors; ties to local employers, use of technology, convenient location and class schedule, availability of online courses and relative low cost, make the FSC MBA program unique in the MetroWest region.

Exhibit 19 - MBA Programs within a 12 mile radius of Framingham.

We believe that Framingham State College is uniquely poised to be a premier MBA degree program in the MetroWest area as it builds on its commitment to be accessible to students; is fully supported on its main campus; is well integrated with its full-time faculty, and is both affordable and a good value.