Monica G. Williams, PhD Proposal Defense, Dr. William Allan Kritsonis, Dissertation Chair

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A dissertation proposal presentation byMonica Williams

September 26, 2008

Engagement Levels of Historically Black College and University Leaders in

Entrepreneurialism throughFundraising

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DISSERTATION COMMITTEE MEMBERS

Dr. William Allan Kritsonis, Dissertation Chair

Dr. David Herrington, Committee Member

Dr. Ronald Howard, Committee Member

Dr. Michael McFrazier, Committee Member

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CHAPTER 1

INTRODUCTION

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Introduction

• Shrinking revenues at the state and federal level has significantly affected the financial state of public higher education (Riggs, 2005).

• Public Historically Black College and University (HBCU) leaders have the challenge of identifying private philanthropists to support their institutions.

• With decreasing endowments due to decreasing economic forces, it is a matter of survival that Black colleges increase their giving rates (Gasman, 2003).

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Background of the Problem

• Disparities in private philanthropy between HBCUs and Predominantly White Institutions (PWIs) can be seen as high as 50% (Riggs, 2005).

• PWIs have alumni giving rates that range between 20-60%, whereas, HBCU alumni giving rates typically fall below 10% (Williams & Kritsonis, 2006).

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Statement of the Problem

• Tindall (2007) asserts that fundraising efforts of both private and public HBCUs linger significantly behind the established fundraising programs at PWIs.

• There are 105 HBCUs across the nation, yet few of these institution’s leaders have devoted time and effort to understanding the complexities and challenges associated with fundraising at these institutions.

• Public HBCU institutional leaders face a growing dilemma – how to strengthen university resources in a climate that has historically relied almost wholly on public funding.

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Research Questions

RQ1 Is there a relationship between the Historically Black College and University leaders’ entrepreneurial orientation and the financial stability of their institution?

RQ2 To what extent do Historically Black College and University leaders value and carry out entrepreneurial activities?

RQ3 At Historically Black Colleges and Universities, what factors are associated with best practices in fundraising?

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Research Questions

RQ4 How do the institutions’ development practices influence entrepreneurial activities in both the president’s and advancement offices?

RQ5 What is the perception of the entrepreneurial orientation of the president’s role by the president and his/her chief development officer?

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Null Hypothesis

HO1 There is no relationship between the Historically Black College and University leaders’ entrepreneurial orientation and the financial stability of their institution.

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Purpose of the Study

The purpose of the study will be to determine the entrepreneurial orientation of public HBCU leaders and to determine if those orientations are related to the revenue-generating activities of their institutions and the institutions’ financial stability.

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Significance of the Study

• Since there is minimal research on fundraising at HBCUs, this study will add to the existing body of literature and probe significant issues surrounding entrepreneurial orientation and revenue generation at these specialized institutions.

• Results of the study will help university presidents to employ a rational approach to developing and implementing a comprehensive fundraising program.

• Identifying institutional needs, developing plans for achieving those needs, beginning to implement those plans, and actually executing fund development will be critical to the survival of these institutions.

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Theoretical Framework

According to Clark (1998), entrepreneurial activities comprise third-stream income sources that include:– innovative and profit-based, self-supporting

operations that go beyond traditional sources, such as business development activities and innovative retail sales operations;

– activities that develop and enhance traditional income streams such as endowment and tuition; and

– activities that involve both traditional and nontraditional aspects, such as distance learning, which uses nontraditional methods of teaching to gain tuition, a traditional source of income.

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CHAPTER II

REVIEW OF THE LITERATURE

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Studies that Address Fundraising as Educational

Entrepreneurialism• Cohen (2006) “Black College Alumni Giving: A Study of

the Perceptions, Attitudes, and Giving Behaviors of Alumni Donors at Selected Historically Black Colleges and Universities”

• Dingfelder (2007) “Exploring the Dimensions of Entrepreneurial Community Colleges”

• Reaves (2006) “African-American Alumni Perceptions Regarding Giving to Historically Black Colleges and Universities”

• Riggs (2005) “Entrepreneurial Activities in Independent College and University Presidents: A View from the Top”

• Scott (2000) “A Description of Successful Fund-raising Units at Public Historically Black Colleges and Universities “

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History of Educational Fundraising

• The establishment of land grant institutions paved the way for the creation of some specialized public institutions, namely HBCUs.

• Black colleges supported by Whites were generally regarded as more prestigious than those colleges supported by Blacks (Cohen, 2006).

• Cohen (2006) confirms that between 1865 and 1915, Blacks contributed $25 million toward their own educational efforts, almost half that contributed by Whites.

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History of African-American Philanthropy

• Philanthropy among African-Americans can be witnessed in the Black Church throughout American History (Ellison, 1991).

• African-Americans understand that the role of the Black Church – especially in the area of fundraising – is legendary (Carson, 2001).

• Cohen (2006) points out that as Blacks became better educated and their churches grew in numbers and strength, their conviction began to be expressed through the notion that Blacks ought to have schools under their own management and control.

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Entrepreneurialism in Higher Education

• Riggs (2005) posits that for most American institutions of higher education, traditional academic ideology held that the institution had no business in the marketplace. Today, these institutions are expected to enter the marketplace, survive in the competitive market, and adapt the practices of their for-profit counterparts.

• In the last two decades, the public funding landscape has changed drastically, causing public institutions of higher education to embrace the entrance of private corporations into the business of higher education (Cook, 1997).

• Changes in the historical roles and responsibilities of college presidents have presupposed that these leaders possess entrepreneurial characteristics. A business-like orientation focused on efficiency, accountability, and productivity is reshaping the management of higher education (Dingfelder, 2007).

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Entrepreneurialism in Higher Education

• George C. Wright, President at Prairie View A&M University, notes that the Booker T. Washington administration at Tuskeegee and Dr. Johnetta Cole’s leadership at both Spelman College and Bennett College demonstrated evidence of entrepreneurialism through their extraordinary fundraising results.

• H. Patrick Swygert’s entrepreneurial attributes moved Howard to an unprecedented level, elevating Howard to its ranking among the 136 institutions asked by the United States Finance Committee how they spend their endowments. Swygert, a Howard alumnus, personally gave $2 million to the institution in a recent campaign that raised $275 million, the largest amount raised to-date by any HBCU (Masterson, 2008).

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CHAPTER III

METHODS

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Research Design

In this mixed-methods study, • quantitative variables will be used to

examine the relationship between HBCU leaders’ entrepreneurial orientation and the financial stability of their universities; and

• qualitative variables will be used to explore the extent to which HBCU leaders value and carry out entrepreneurial activities, the factors associated with fundraising best practices, and the influence development practices have on entrepreneurial activities.

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Research Design

• Descriptive research methods will also be used in this study.

• Quantitative research will generate numerical data to represent the variables, and statistical methods will be used to analyze the data.

• The qualitative research method will be used to analyze the results of the open-ended questionnaire.

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Population and Sample

The Thurgood Marshall College Fund’s (TMCF) 47 member schools will be asked to participate in this study. More than 80% of students attending HBCUs are enrolled in a TMCF college or university (Thurgood Marshall College Fund, 2007).

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Instrumentation

• A 15-item instrument including background/demographic information, philanthropic cultivation activities, and philanthropy results will be used to determine the engagement levels of entrepreneurialism through fundraising among the specified population.

• Participants will be asked to sign the Participant Letter of Consent Form.

• Confidentiality will be maintained and guaranteed. Glense (1992) encourages researchers to provide participants with complete access to the research and interview materials at all times which will give subjects more power over documents and reports that may contain information related to them.

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Pilot Study

• A pilot study will be conducted with 5% of the 47 TMCF member schools’ leaders. The survey will be reliable and valid through recordkeeping accuracy that will authenticate the findings of the researcher.

• Upon completion of the pilot study, the instrument will be sent electronically to the remaining TMCF member schools’ presidents and chief development officers.

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Procedures

• Presidents and chief development officers at each TMCF school will receive the Interview Questions for Participants through an electronic mail link.

• Participants will be encouraged to complete open-ended survey online.

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Statistical Analysis

Research Question 1

Is there a relationship between the Historically Black College and University leaders’ entrepreneurial orientation and the financial stability of their

institution?

Corresponding Interview Question

6. Please circle the following words you feel best describe you: (RQ 1)

innovativerisk takerproactivecreativechange agentpersuasiveteam buildercompetitiveopportunistvisionary

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Research Question 1

Is there a relationship between the Historically Black College and University leaders’ entrepreneurial orientation and the financial stability of their

institution?


14. In the last three years, how much money has been raised from private philanthropic sources? (RQ1)

15. When was the last time your institution engaged in a capital campaign? (RQ1)

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Research Question 2

To what extent do Historically Black College and University leaders value and carry out entrepreneurial activities?


13. What general differences do you perceive between your role as a university leader/executive and the role of traditional business executives? (RQ2)

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Research Question 3

At Historically Black Colleges and Universities, what factors are associated with best practices in fundraising?


12. What strategies would you like to employ to seek resources from private philanthropists but are unable to do so because of forces outside your locus of control (i.e. financial constraints, policy restraints, etc.)? (RQ3)

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Research Question 4

How do the institutions’ development practices influence entrepreneurial activities in both the president’s and advancement offices?


10. How does private philanthropy impact institutional initiatives? (RQ4)

11. What strategies do you employ to seek resources from private philanthropists? (RQ4)

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Research Question 5

What is the perception of the entrepreneurial orientation of the president’s role by the president and his/her chief development officer?


8. What is your philosophy of fund development? (RQ 5)

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Conclusion

• Bowen and Shapiro (1998) suggest that if public HBCUs do not become aggressive about their fundraising practices and engage in entrepreneurial practices to increase institutional revenue, they may not survive.

• Waddell (1992) confirms that “empirical research is limited with respect to fund-raising in public colleges and universities, particularly public black institutions” (p. 3).

• In Scott’s (2000) study on successful fundraising units at public historically black colleges and universities, there are several references to the lack of research conducted related to fundraising at HBCUs. In retrospect, adding to the current scarce body of literature regarding HBCU fundraising is much needed and the primary intent of this study.

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Bowen, W. & Shapirio, H. (1998). Universities and their leadership. Princeton, NJ: Princeton University Press. Carson, E. D. (2001). Giving strength: Understanding philanthropy in the Black community. Philanthropy

Matters, 2, 4.Clark, B. R. (1998). Creating entrepreneurial universities: Organizational pathways of transformation. Oxford,

UK: Pergamon Press.Cohen, R. T. (2006). Black college alumni giving: A study of the perceptions, attitudes, and giving behaviors of

alumni donors at selected historically black colleges and universities. Retrieved April 15, 2008, from ProQuest Information and Learning Company http://www.lib.umi.com/dissertations/search.

Cook, W. B. (1997). Fundraising and the college presidency in an era of uncertainty: From 1975 to the present. Journal of Higher Education, 1/1/1997.

Dingfelder, D. C. (2007). Exploring the dimensions of entrepreneurial community colleges. Retrieved May 9, 2008, from ProQuest Information and Learning Company http://www.lib.umi.com/dissertations/search.

Ellison, C. G. (1991). Identification and separatism: Religious involvement and racial orientation of Black Americans. Sociological Quarterly, 32, 4.

Gasman, M. (2003). Fund raising from Black-College alumni: Successful strategies for supporting alma mater. Council for the Advancement and Support of Education, 22.

Glesne, C. & Peshkin, A. (1992). Becoming qualitative researchers: An introduction. White Plains, NY: Longman.

History of Thurgood Marshall College Fund. Retrieved June 10, 2007, from Thurgood Marshall College Fund Web site: http://thurgoodmarshallfund.org

References

http://www.lib.umi.com/dissertations/search




http://thurgoodmarshallfund.org/

http://thurgoodmarshallfund.org/

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Reaves, N. (2006). African-American alumni perceptions regarding giving to historically Black colleges and universities. Retrieved January 21, 2007, from ProQuest Information and Learning Company http://www.lib.umi.com/dissertations/search.

Riggs, D. G. (2005). Entrepreneurial activities in independent college and university presidents: A view from the top. Retrieved May 5, 2006, from ProQuest Information and Learning Company http://www.lib.umi.com/dissertations/search.

Scott, L. V. (2000). A description of successful fund-raising units at public historically black colleges and universities. Retrieved December 12, 2007, from ProQuest Information and Learning Company http://www.lib.umi.com/dissertations/search.

Tindall, N. T. J. (2007). Fund-raising models at public historically Black colleges and universities. Public Relations Review 33 (2): 201-5.

WaddellWilliams, M. G. & Kritsonis, W. A. (2006). Raising more money at the nation’s

historically black colleges and universities. National Journal for Publishing and Mentoring Doctoral Student Research 3 (1).

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