Statement by the President of University College Dublin,
Dr Art Cosgrove to the Public Accounts Committee
Thursday 16, November 2000
The Report from the Comptroller & Auditor
General is based on information provided by the University. In the context
of the Report from the C&AG I would like to mention two developments �
the growth in demand for continuing education or what is now popularly
termed Life Long Learning and the increasing internationalisation of
universities, which means that an institution like UCD must aspire to be a
player on the world stage.
Since many of those who are interested in continuing
education are in employment and cannot attend on a full-time basis, courses
must be provided in a way that allows them to combine study with continuance
in employment. Thus we provide a Bachelor of Arts modular degree in the
evening, and courses for updating professional and business skills are
offered on a part-time basis with evening or week-end involvement, and last
week we had our first graduates in the Bachelor of Business Studies degree
in Trade Union Studies.
We have also expanded our role in international
education, particularly in the Faculties of Medicine and Commerce. Last May
the Minister for Education and Science and the Secretary General of the
Department attended the formal opening of the Medical College in Penang,
Malaysia. This is a joint venture between University College Dublin and the
Royal College of Surgeons in Ireland under which medical students spend the
first three years studying in Ireland and complete their medical training at
the college in Penang. They then receive degrees from the National
University of Ireland and licentiates from RCSI.
The Faculty of Commerce also conducts a number of
overseas programmes, again mainly in Asia. In undertaking such ventures we
were following the example of many universities in the USA, Australia, New
Zealand and the United Kingdom. These courses allowed staff to gain valuable
experience abroad and established contacts in Asia beneficial to the
university and, indeed, to the country since they were in line with the Asia
strategy adopted by the government. In his speech last June on the occasion
of the state visit of the Prime Minister of Singapore, the Taoiseach
expressed his satisfaction that the education links between Ireland and
Singapore were �being maintained by our universities�. The courses in
Medicine and Commerce also gained considerable revenue for the university.
A number of these courses at home and abroad have been
provided through a subsidiary company, Advanced Management Programmes UCD
Ltd (AMP Ltd).
The reason why my predecessor adopted the vehicle of a
subsidiary company in 1993 was to lessen any risk to the university should
the venture prove unprofitable. In fact, AMP Ltd has operated very
successfully, has made substantial surpluses and has given the taxpayer and
state great value for money.
Payments to staff have traditionally been made for
additional work such as examination correction and invigilation, the BA
modular degree, Adult Education programmes and courses under the aegis of
the University Industry Programme (UIP). Academic staff also received
payment for the additional work undertaken for courses run by AMP Ltd. All
payments made by AMP Ltd were properly subjected to PAYE/PRSI, a fact
confirmed by a recent revenue audit.
As the volume of activity grew in AMP Ltd the Finance
Committee of the University, under my chairmanship, sought a detailed review
of its operations. A report was commissioned from the auditors to the
Company, Chapman Flood Mazars, Chartered Accountants. The resulting report
was discussed in detail with the C&AG.
Arising therefrom it was decided to make all additional
payments subject to the approval of the Finance Committee once it had been
informed by the appropriate head of department that the payment was for work
outside normal duties. In taking this approach we were cognoscent, not only
of that particular report but also of a recent European Commission report on
increasing Lifelong Learning in European Higher Education. This latter
report recommended that universities should lay down "financial
rules making clear ... what is included in the normal workload of staff and
what rewards they should receive for additional work.".
With regard to overseas courses, a Dean of International
Affairs was appointed to take responsibility for all such courses and a code
of conduct to govern such courses, drawn up by him, was approved by the
Governing Authority in March 2000.
There is no indication that the involvement of the
Graduate Business School and the Faculty of Commerce in these courses at
home and abroad has done any damage to its reputation. Indeed, all the
evidence is to the contrary. In 1999 in the Financial Times survey of
Business Schools world-wide, the Graduate Business School was ranked ninth
in Europe for Top Business Schools and first in the world for Return on
Investment for MBA graduates. More recently, the Faculty of Commerce as a
whole was given international accreditation by the European Quality
Improvement System (EQUIS) organisation, the quality assurance arm of the
European Foundation for Management Development, the only Faculty of Commerce
in Ireland to receive such an accolade.
In keeping with the trend for greater transparency in the
business and commercial community in Ireland, the governance of higher
education establishments is evolving and taking shape. The Universities Act,
1997 was a significant step forward in that evolution. I welcome the
developments which have taken place to date and I look forward to continuing
the work with the Higher Education Authority and the C&AG to ensure that
UCD plays its full part as this important evolution continues.
Issued by the Office of Public Affairs, UCD.
16 November 2000
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