New VP for finance & operations/COO talks profession, budgets and the long-term outlook for UND
Editor’s notice: In July, Karla Mongeon-Stewart was named by President Andy Armacost to be UND’s vp for finance & operations/COO. Just lately, UND In the present day talked with Mongeon-Stewart about her new place and her ideas about higher-education financing and UND. The interview has been frivolously edited for readability.
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Let’s begin by speaking about your background. What led you to the world of finance and in the end to working for UND?
Effectively, I used to be at all times good at science and math rising up – that was of specific curiosity to me. Then I took an accounting class in highschool, and I liked it. I assumed, “That is one thing I’d get pleasure from doing.” From that class, I made a decision to main in accounting, went to school and liked the courses. I made a decision that was the trail I wished to take.
Once I graduated from NDSU, I bought a job as a finance director trainee for what was then Lutheran Well being Programs, which had an enormous presence in Fargo and all through the Midwest. I actually credit score them for the success that I’ve had, as a result of, at a really younger age, I bought to leap into finance management. I had the mentoring and the coaching that I wanted to achieve success in that realm.
After a number of years of working in healthcare, I took a job at Bismarck State School serving as their director of finance and operations. That’s what began my profession in greater ed, and I labored there for about 5 years. I additionally labored at my alma mater NDSU for a time, in addition to at establishments as distant as in Brownsville, Texas. So I gained expertise at establishments starting from a small, non-public liberal-arts faculty to a number of state universities. I used to be pleased to deliver that have to UND.
I got here to UND seven years in the past because the affiliate vp for finance. We made Grand Forks our residence, and I’m so blessed to have had the chance to develop, be taught and be mentored by some superb friends. Alice Brekke and Jed Shivers, my predecessors, have been phenomenal mentors who included me in decision-making and gave me alternatives to make use of my abilities and talents and hone abilities that I wanted to develop. I feel that basically ready me for this function. That’s my journey to this place!
So, in transitioning into the vp function, what have you ever loved about adjusting to this govt place on campus?
I’d say the chance to be concerned early within the strategic imaginative and prescient of the college and the place we wish to go, in addition to serving to educate folks on how finance and operations contribute to that strategic planning – how vital that piece is.
I actually view this vp function as being a monetary skilled who wants to speak successfully. It’s about getting on the market; working with folks; serving to others perceive how finance and operations performs a task in enterprise choices; what we will do to assist; how issues will be structured; why we will’t do issues generally; additionally providing different methods we will do issues – being artistic and considerate to assist UND transfer ahead.
What are your ideas on UND’s total monetary well being?
I feel, total, UND is financially positioned very properly. Increased schooling, as an trade, is in a difficult time with the general, nationwide lower in college-ready or college-aged, conventional college students. We’re additionally in an surroundings the place we have to pivot shortly and alter to satisfy the wants of society and of our college students.
Public greater schooling is historically slow-moving. I take a look at us as like a giant blue whale; we don’t flip shortly, we’re regular. However to thrive within the new greater schooling surroundings, we’re going to need to learn to pivot extra shortly and assume extra concerning the unknown, and the way we will reinvent ourselves for the wants of our college students and our world.
Careers are altering, college students are altering, and scholar wants are altering. If we’re going to be related sooner or later, we have to work out how we will adapt shortly and apply our assets in ways in which actually profit our college students and society as a complete.
The place does the college get its cash to function?
Our major income is tuition and costs, which represents about 36% of our working finances. Then grants and contracts make up about 28%, and state appropriations present 21%.
We even have native assets from our auxiliaries, such housing and eating and athletics ticket revenues, revenues that we get from offering companies to the group.
Inflation and the financial system are making headlines and affecting markets. How do these results attain UND? The place do you see impacts in your function?
It’s multifaceted. My major concern is retaining the workforce that we’ve, as a result of inflation, on the finish of the day, is impacting our households, the households of our staff. How can we keep aggressive in a market in order that these staff don’t transfer on and go elsewhere?
Once more, as a state company, we’re not historically in a position to reply as shortly because the non-public sector in addressing inflation by means of growing costs, and so on., to extend our salaries. That’s as a result of lots of occasions our tuition charges are knowledgeable by the state legislature and State Board of Increased Schooling. Our state appropriation is designated by the state legislature each two years, which creates obstacles in addressing inflation in a well timed method.
So, a priority I’d have is with the ability to reply shortly with wage changes to be able to keep aggressive out there and never lose worthwhile college and workers.
We additionally need to acknowledge the function hybrid and distant work performs in at the moment’s surroundings. We might probably lose vital workers and school experience if staff select to remain in Grand Forks however work at a job in a special metropolis as a result of availability of distant or hybrid work.
Nevertheless, I additionally view it as a constructive. We at the moment are in a position to recruit expertise that we wouldn’t in any other case be capable of as a result of the market can now be opened to the entire nation, even when they’re unable to relocate to Grand Forks. So, I feel the truth that we did such a great job throughout COVID at increasing our know-how and our capabilities is a power for UND.
From an operations perspective, I fear about provide prices and the way we will hold our budgets in line with out making vital will increase in working budgets or decreases in high quality. Can we get what we’d like in a well timed trend? Are we holding stock readily available for these must-have gadgets? Can we get what we’d like?
From a building viewpoint, there was vital inflation that may and can influence budgets. With among the capital initiatives that we wish to proceed with, are we going to have the {dollars} wanted to pursue these initiatives on the high quality that we want?
What’s your sense of the largest monetary challenges for UND over the following few years? In different phrases, what retains you up at evening?
I alluded to this earlier, nevertheless it’s extra the enrollment and holding us aggressive for college students in order that we proceed to have a supply to attract from for future enrollments. I feel that’s going to be achieved by setting ourselves other than different establishments. What’s it that we offer that they’re not going to get elsewhere?
Alongside these traces, the beautification of campus in recent times has been phenomenal. And I feel that’s going to assist enhance recruitment and retention of our college students.
On the finish of the day, it’s all about college students. UND must be targeted on balancing the wants of our college students with our monetary assets to maintain greater schooling inexpensive and a high-quality expertise. If college students aren’t selecting us, it doesn’t matter what we do.
On the on the flip facet, what do you see as a few of UND’s largest strengths? What helps you sleep simply?
I feel we’ve a beautiful chief in President Armacost. He has a great sense of what the wants of the establishment are, could be very collaborative and works to incorporate a number of opinions in making choices. I feel that’s vital. You don’t solely need the individuals who agree with you. You wish to just be sure you have a well-rounded dialogue concerning the choices which are shifting the College ahead.
So, I feel that management is a big power.
The workers and school listed here are dedicated; they love UND. You don’t see that all over the place.
And we’ve a comparatively robust monetary place. So, we’re in a position to do issues that different establishments gained’t be capable of do.
In July, you talked to President Armacost, and one of many matters was the upcoming legislative session. Do you could have any updates as to how UND is getting ready for that?
The president and I discuss it weekly. Our management staff attends occasions which are affiliated with the session and course of to make it possible for we’re networking with folks, understanding what the problems are and getting a great sense of what the Legislature is anticipating from us – understanding the wants and needs of the communities and the people who we serve.
I feel an vital piece of getting ready for the session is doing this work, connecting with folks. That approach, the primary time they see us just isn’t once we’re asking for one thing, however once we’re assembly with lawmakers and group members, listening to them about their needs and wishes in connection to greater schooling.
Earlier, you touched on retaining college and workers. What’s your sense of how the North Dakota College System will strategy the problems of retention and wage will increase for college workers and school?
I feel the State Board of Increased Schooling could be very conscious of the problems and considerations, and so they’re going to combat laborious for us through the legislative session. A part of getting funding for something is telling your story. We have to have details to again up what we’re saying. So, we, as a management staff, have been components corresponding to turnover, or what number of searches have we had which have failed? What number of occasions have we had our primary candidate decline a place resulting from wage? These are vital information to assist inform our story.
You’ve been with the College for seven years. This legislative session gained’t be your first. How will your function change now that you just’re a vp, in comparison with previous periods wherein you’ve taken half?
As I discussed earlier, Jed and Alice have been fantastic mentors. They included me within the legislative course of in earlier years, so I really feel ready and poised to serve on this new function as a result of I’ve that have.
Additionally, I labored for BSC and NDSU, so I really feel educated about state politics and what goes on in different establishments. I feel that’s a profit, in my place.
And I’m a North Dakota native. I perceive the politics of North Dakota and what it takes to get issues carried out.
In earlier periods, I used to be at all times behind the scenes, getting ready testimony and spreadsheets and determining how we should always inform the story. Now, I’ll be the presenter. That’s going to be the largest change for me – being that individual out entrance telling our story and getting buy-in from others on our wants and why they’re vital.
How do you and your staff plan to maintain UND knowledgeable about monetary and operational developments that influence what occurs on campus?
I feel that is an space wherein UND has grown tremendously within the seven years that I’ve been right here. We actually take a look at this as an all-encompassing, campus-wide activity. We meet quarterly with each division to speak about the place they’ve been, the place they’re at, the place they’re going and what they’re going to wish to get there.
We additionally take a look at their struggles, areas for progress and efforts the place they could have to infuse one-time funding. It is a rather more clear course of than it’s ever been, traditionally. I feel these conferences present a possibility for us to unravel issues as a staff, not in silos, which I feel is a big profit to UND.
I feel we’re going to make higher strategic choices as a College as a result of we’re involving much more folks on the entrance finish of strategic planning, imaginative and prescient and monetary investments. I feel that’s going to assist set us up for fulfillment sooner or later.
Was that extra open course of led to by the monetary downturn North Dakota skilled early up to now decade, which shifted the College’s funds and operations?
Sure, and I feel our finances mannequin, which is both lovingly or malevolently known as MIRA [Model for Incentive-based Resource Allocation], has offered us these alternatives to be clear and to have open and trustworthy discussions about the place our cash goes and why. The MIRA mannequin is only a mannequin that’s used to research the inflows and outflows of revenues and bills to the College. Nevertheless, it’s only a mannequin, and the management of the College use the mannequin to assist inform choices. The mannequin itself just isn’t a decision-maker.
In a historic mannequin, all the cash is centralized, after which the president and vice presidents allocate the assets how they see match. On this mannequin, the income follows the era of that income, whether or not by means of tuition era, credit-hour era or auxiliary revenues generated by means of offering items and companies. The deans and administrators play a a lot bigger function in the place our assets are spent. They perceive their packages not solely of their high quality, however which packages generate earnings for his or her Faculties. They usually perceive their bills. In addition they perceive the centralized bills of operating a college.
In a historic mannequin, these bills are primarily “taken off the highest.” Within the MIRA mannequin, bills are allotted out of the Faculties and items primarily based on metrics that make sense for the kind of expense being allotted. For instance, Services bills are allotted to the items primarily based on sq. toes. These centralized bills have at all times existed. However, within the mannequin, these bills are extra clear, and items perceive the companies offered by the central items in addition to the budgets related to offering these companies.
There are execs and cons with our mannequin, as there are with any finances mannequin, however I’d say the largest profit has been transparency and creating an surroundings the place all of us work collectively to unravel issues.
It’s vital to reiterate that the fiscal influence of any challenge, program or initiative is just one side that we take a look at once we determine if one thing has worth. Cash isn’t the one factor, and I feel generally folks fear that that’s the one factor we take a look at.
I consider that the finances mannequin has created rather more knowledgeable decision-making and transparency, as a result of we perceive the details. With that data, we’re in a position to make higher choices.
Turning again to your division, particularly, do you envision any main organizational adjustments within the close to future?
I don’t. Finance has been my major background, so my purpose over the following six to 12 months is digging deeper in areas the place I haven’t had as a lot expertise, corresponding to Services, Security, Title IX and EEO, HR and Payroll, in addition to the Chester Fritz Auditorium.
So, I’ve no plans to vary something, however I wish to take the chance to be taught. Then, after I’ve carried out that evaluation, I can maybe present some suggestions for adjustments or enhancements. However I’ve no plans presently to make any adjustments.
Is there the rest you wish to deal with?
I’ve labored at lots of locations. That is my fifth college. And I’ve by no means labored wherever the place I’ve felt so strongly that I could make a distinction, that my enter issues, and that I’m supported as not solely a member of the UND staff, however as a complete individual: a mother, spouse and good friend.
I feel UND has an surroundings that treats folks as a complete individual. That has actually been my expertise, and, having labored at many various locations, I feel it’s one thing we ought to be actually pleased with.
