HOUSTON COMMUNITY COLLEGE

HCC TRANSFORMATIONPHASE 2

Transformation Team Update

December 4, 2015

Eight Steps to Transformation

1 Establish a Sense of Urgencyo Examine market and competitive realitieso Identify potential crises, challenges

2 Form Guiding Coalitiono Commission influential groupo Lead to form team environment

3 Create a Visiono Clarify directiono Develop strategy to achieve vision

4 Communicate the Visiono Use every method possibleo Teach new behaviors for teaming

5 Empower Others to Acto Get rid of obstacles to changeo Change structures that undermine

6 Plan for Short Term Winso Have visible improvementso Communicate the wins

7 Consolidate Improvementso Redesign policies and practiceso New projects and themes

8 Institutionalize the HCC Wayo Link success to the HCC Wayo Develop new leaders

Leading Change: Why Transformation Efforts Fail, John P. Kotter, 2007.

HCC Vision

HCCwillbealeaderinprovidinghighquality,innovativeeducationleadingtostudentsuccessandcompletionofworkforceandacademicprograms.

Wewillberesponsivetocommunityneedsanddriveeconomicdevelopment

inthecommunitiesweserve.

Multiple Stakeholder Constituencies

Learning and Growth ContextTo achieve our vision, how must we learn, communicate and collaborate

Internal ContextTo satisfy our customers and

donors, and mission, what business processes must we excel at?

Fiduciary ContextWhen we succeed, how will we look

to our taxpayers and donors?

Customer ContextTo achieve our vision, how must we

look to our students?

Mission

Time (years)

Stakeholder Value

($)

Long-Term Growth inStakeholder Value

GoodCitizenProduct

Innovation

CustomerManagement

Operational Effectiveness

Short-wave Long-waveMid-wave

12-18 months 12-36 months 24-54 months

Customer ManagementProcesses

Operations ManagementProcesses

InnovationProcesses

SocialProcesses

1 2 3 4 5

Operations Management Processes

Organizational Resource Channels

• Improve cost structureo Reduce costo Improve yields

• Increase asset utilizationo Manage capacityo Incremental improvements

Customer Management Processes• Improve value proposition

o Programs for high paying jobso Accelerate completion

• Improve relationshipso Customer focusedo Form partnership

Innovation Processes• Opportunity sweeps

o Cross unit synergieso Idea incubation

• Portfolio managemento Manage implementationo Incremental improvements

Social Processes• Improve environment

o Relevant community partnershipso Employee wellness

• Talent acquisition/developmento Best in class employment practiceso Employ

Outcomes

• Increasestudentsuccess

• Increaseourcapacity toservethecommunitywithtechnicalandacademicprograms

• Increase ourfacilityutilization rates

• Decrease the costofthedeliveryofinstructionandsupport services

• Increaseproductivity ofhumancapital

• Increaseaccountability atalllevelsoftheorganization

• Increaseexternalfundingopportunities throughindustry,grants,andothernon-traditional sources

• Increaseconsistencyandqualityofstudentexperience

Shared Services and Core Resources (HCC Divisions)

INSTRUCTIONSTUDENT

SERVICES & COLLEGES

FINANCE & ADMINISTRATION

SUSTAINABILITY LEGAL & COMPLIANCE COMMUNICATION

Functional Responsibilities

CEO Rationale, goals, status

Presidents Visible reinforcement, specific plan

Vice Chan Operationalize, coordinate support

COO, Deans Operationalize, execute plans

Dir, Chairs Daily oversight

Faculty, staff Understand and apply

Position Role

Presidents

Operations Management Processes• Operational uniformity• Enrollment management, COEs

Customer Management Processes• Quality student experience• Student retention and completion

Innovation Processes• COE partnerships• Sustainable COE resources

Social Processes• COE reps to industry• Community relations

Vice Chancellors

Operations Management Processes• Coordinating efforts• Shared services leadership

Customer Management Processes• New program development• COE support

Innovation Processes• Shared best practices• State-of-the-art technology

Social Processes• Hiring and evaluation• Campus safety

Cabinet

Operations Management Processes• Fiscal health• Academic integrity

Customer Management Processes• Foster culture of student success• Quality student experience

Innovation Processes• Sustainable environment• Strategic execution

Social Processes• Quality Branding• Communication

Goals FY2016 – Domain 1: Participation

PARTICIPATION

1.1 2%increaseEnrollment

1.2 Integrate intostrategicplan

1.3 Establishtargetsacrossinstitution

1.4 Developanenrollmentmanagement strategy

Goals FY2016 – Domain 2: Success

SUCCESS2.1 2%Completers

2.2 3%Transfers

2.3 1%Persistence

2.4 Achievestabilityandbuildastrongstudent services team2.5 Streamline financialaidandregistrationprocesses

2.6 Ensureastudent friendlycourseschedule

2.7 Provideweekendcourses toaccommodateworkingstudents

Goals FY2016 – Domain 3: Fiscal & Facilities

FISCAL&FACILITIES

3.1 Presentbalancedendofyearbudgetandacleanauditreporteachyear.

3.2 Increase revenue byamutuallyagreedamountbyJanuary15,2016throughnewgrantsandpartnerships.

3.3 Achieveoperatingefficiencies inoperations (mutally definedbyJanuary15,2016).

3.4Ensureappropriate financial checksandbalances, supportingtheBoard'sfiduciary responsibilities, integrityofprocurementprocedures.

Goals FY2016 – Domain 4: External Relations

EXTERNALRELATIONS

4.1

Increase externalpartnerships. Provideassessment ofcurrentpartnerships andprovide relevant informationonnewpartnershipsbyprovidingspecificassessment ofbenefits toHCCS.Differentiaepartnerships bycategory.

4.2Increase visibilitystatewideTHECBandTEAcommittees thatimpactHCCfundingandoperationsanddemonstrate howvisibilitytranslates tobenefits forHC.

4.3 Increase stateandnationalrecognitionofHCCasrelated tostudentsuccessandcompletion.

4.4 PromotetheimageofHCCasacollegeof"firstchoice"

4.5 Continue toexpandfundraisingeffort inpartnershipwithHCCFoundationandestablishspecific fundraisinggoals.

4.6 WorkcollaborativelywiththeBoardandindividual trustees topromoteHCCthroughout theservice area.

4.7 ImprovemediarelationshipbypromotingHCC.

Goals FY2016 – Domain 5: Governance & Board Relations

GOVERNANCE&BOARDRELATIONS

5.1

Implementdashboardcontainingrelevantandaccuratedataforboardaccess tofacilitategreaterunderstandingandawareness ofinstitutionalaccomplishments.

5.2Improve thepresentation ofmaterialsandinformationtotheboardbyestablishingandadhering totimelinesandprovidingappropriate timeforreview.

5.3 Improvepublicrelations.

Organizational Alignment

INSTRUCTIONSTUDENT

SERVICES & COLLEGES

FINANCE & ADMINISTRATION

SUSTAINABILITY LEGAL & COMPLIANCE COMMUNICATION

Balanced Scorecard Template

Action PlanActivity College Instruction Student Svc Fin & Adm Comm Sustain Legal

1.1.1 SCH - Acad1.1.2 SCH - COE1.1.3 Dual Credit1.1.4 Online

Domain

1

Goal KPI/CPI Target Objectives Action Plan1.1 2% increase Enrollment Enrollment +2%1.2 Integrate into strategic plan1.3 Establish targets across institution1.4 Implement an enrollment management strategy

Scorecard KPIs

Grow by more granular targets

Communication PlanFY16 Q2 FY16 Q3 FY16 Q4 FY17 Q112/2015 01/2016 02/2016 03/2016 04/2016 05/2016 06/2016 07/2016 08/2016 09/2016 10/2016 11/2016

AA/SS CommitteeEstablish priorities XProgress reports X X X

Audit CommitteeEstablish priorities XProgress reports X X X

Board Governance CommitteeEstablish priorities XProgress reports X X X

External RelationsMedia Relations

Staff training XTrustee training X

Strategy presentation X

Progress reports X X XCommunity Engagement

Present plan XProgress reports X X

Legislative Establish priorities XProgress reports X XPublish legislative agenda X

Strategic Plan

Establish priorities XProgress reports X X X

HCC Stock Price – Basis?

NASDAQ index (^IXIC)

HOUSTON COMMUNITY COLLEGE

HCC TRANSFORMATIONPHASE 2

Transformation Team Update

December 4, 2015