Realistic assessment of foreign universities coming to India by a Rutgers University Dean

April 2nd, 2010

I fully agree with this article by David Finegold in Indian Express. Following are some excerpts.

Unfortunately, the proposed legislation to encourage the leading universities from around the world to set up campuses in India is unlikely to achieve the desired objectives. Below are 10 reasons why these top universities are not likely to come in the numbers projected, one possible exception to this scenario, and a suggested alternative approach to reform that could meet the desired objective more quickly.

The timing of the bill could not have been worse for encouraging the world’s best universities to invest in creating new campuses.

When Sibal toured the US in the fall of 2009 to recruit the leading private universities, part of his pitch was they should follow the lead of IT and business service multinationals and come to India because it offers a source of high-quality, low-cost talent. The problem with this analogy is that leading universities are not driven by a desire to lower labour costs or increase profits;Rather, India should appeal to their desire to attract the world’s most able students,

The bill likewise misunderstands the motives of many of the Indian students now travelling abroad to obtain their degrees. … This ignores the reality that, even with the huge growth in opportunities in the Indian economy, an equal or greater part of students’ motivation for studying abroad is the chance to get a job in that country after graduation.

With a few notable exceptions — e.g. Wharton’s decision to create a small campus in Silicon Valley, the recent forays into Dubai and Singapore — most of the universities that India is seeking to recruit have resisted the temptation to grow for centuries, …

As a subset of these universities looks to establish foreign campuses, they are likely to be most attracted to those countries which offer them generous incentives that both reduce upfront costs and the risks associated with global expansion. … India is not proposing any such financial inducements.

those who opt for a PhD and are able to publish in the top academic journals in their field — the talent pool that would interest leading foreign universities — are in demand in a global labour market that enables them to work anywhere in the world. Attracting them or their peers from other countries to campuses in India would mean paying competitive salaries that would erase India’s cost advantage.

The combined effect of the above factors is that those institutions which are most likely to be attracted to the Indian market are those that the Indian government least wants: the lower-quality providers that treat higher education as a way to make money, rather than focusing on world-class research and the quality of the learning experience.

... One attractive option for a few of the leading foreign universities might be the endowment of an Indian campus by a wealthy individual (perhaps one of their alumni) and/or corporation. This was the way in which many of India’s most respected private higher education institutions were first created — i.e. the Tata Institutes in different disciplines and The Indian School of Business — and how many of the leading private US universities (Stanford, Carnegie Mellon, University of Chicago, Duke) came into being. A key element that enabled these institutions to become and remain world-class, however, was that the founding individual/family gave the resources with relatively few strings attached, and allowed the university to govern itself, rather than the much more hands-on approach of many of the universities created more recently by Indian industrialists.

However, an alternative strategy is already working. It promises to expand the quality and quantity of Indian higher education and provide greater benefits to the foreign universities. This strategy encourages the formation of more dual- or joint-degree partnerships between Indian and foreign institutions.

The writer is dean of the School of Management and Labor Relations at Rutgers University. He and colleagues are conducting research for a book on “Developing the Skills of the 21st Century Workforce: Comparing the Education and Training Systems of India and China.”

The part in red is close to (but not 100%) what Vedanta University seems to be about. Unfortunately many in Odisha do not understand it.

The underlined part is already happening. One major instances is the partnership between Asian Institute of Public Health in Bhubaneswar and University of Maryland Medical school in Baltimore.

Entry Filed under: Asian Institute of Public Health Bhubaneswar,Foreign Universities in India,Universities of Innovation,University of Innovation Bhubaneswar,Vedanta University, Puri

3 Writeup

  • 1. stingidea  |  April 2nd, 2010 at 10:29 am

    As more time passes and as the voices against Vedanta’s aluminium project in Orissa get shriller, the Vedanta University will fade further into the background. It is unfortunate but hard reality. If I had to place a bet on whether the university will be built in the next 5 years I would say the answer is no. Though I would love to be proved wrong.

  • 2. Durga  |  April 2nd, 2010 at 11:20 pm

    None of the universities in India is an independent entity with pragmatic people in it. They are either private or government control. Therefore, it is difficult for many in India to understand the concept of world-class university, which are evolved over long period of time. It will take some time.

  • 3. R.K. Ghosh  |  April 3rd, 2010 at 10:16 am

    I think the assessment of Dr. Finegold carries a lot of sense. I have not heard of countries any where across the globe going for FDI in education sector in a big way. The question which should have given proponents of the idea a food for thought is that if such initiatives have not succeeded in other countries why a similar initiative will work in India? But taking advantage of this route Kaplan, Sylvan and many such USA base institutions or Universities from Australia may possibly try to set up legitimate campuses in India cities. I think in the long run it will hurt well administered private educational institutions in the country. It will not do any good to Indian educational sector.


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