Universities are becoming more efficient but less reflective

Alaa Garad argues the sector's crisis is really about a failure to learn about itself and sets out what universities would need to do to fix that

Alaa Garad is a Professor of Strategic Learning and Business Excellence and President of the Stirling Centre for Strategic Learning and Innovation

In 1997, Peter Drucker made a remark that felt provocative at the time but increasingly sounds like an observation rather than a prediction: “Universities won’t survive…the future is outside the traditional campus.”

What he was pointing to was not the end of learning, but the slow unravelling of a model that had become overly tied to place, structure, and habit.

Around the same time, Bill Readings, in The University in Ruins, argued that universities were losing their cultural and philosophical centre, held together instead by systems, procedures, and an unexamined pursuit of “excellence.”

Ronald Barnett later offered a more measured warning: universities may not disappear, but without serious reimagining, they risk becoming increasingly irrelevant to the world they claim to serve.

These were not attacks on universities. They were acts of care.

Today, particularly in the UK, higher education finds itself under extraordinary pressure, financially, politically, and socially. Universities are expected to educate, to lead learning, to drive innovation, to support local economies, and to prepare graduates for an uncertain future. And yet, many institutions appear to struggle with learning about themselves.

I write this not as an external critic, but as someone who has been part of the system for most of his life – as a student, researcher, academic, external examiner, and senior executive, across 11 universities. What continues to strike me is not a lack of intelligence or commitment, but a shared institutional stiffness. There is an unspoken consensus across the sector: bureaucracy has become heavy, and change has become difficult.

As a quality and organisational learning professional, I fully appreciate the importance of governance, academic integrity, and reputational protection. These matter. But when governance becomes primarily about avoiding risk rather than enabling learning, something vital is lost.

Universities begin to operate on autopilot, efficient perhaps, but no longer reflective.

The customer is sometimes right

One example illustrates this tension clearly.

Many senior leaders resist referring to students as “customers,” fearing a slide into crude marketisation. The concern is understandable. But denying the term does not remove the reality that students invest significant time, money, and trust in their institutions. The real question is not whether students are customers, but whether universities are genuinely listening to them.

Similarly, management tools such as balanced scorecards or international standards are often dismissed as “commercial” and therefore unsuitable for academia. But universities are organisations operating in a competitive environment. The issue is not the tools themselves, it’s how thoughtfully they are used.

When designed around purpose rather than control, such tools can support learning rather than undermine it. The current financial crisis facing UK universities has further exposed a deeper mindset issue. Faced with pressure, many institutions have turned first to cost-cutting and sometimes in ways that feel symbolically small but culturally significant.

Reducing student support or staff wellbeing may balance a spreadsheet, but it rarely builds trust or long-term resilience. Growth, diversification, and innovation are harder conversations, but they are ultimately the more responsible ones.

If universities are serious about learning, then their governance systems must also learn. That means listening to feedback, benchmarking beyond the sector, and ensuring that leadership accountability is about capability and contribution, not tenure.

It also means moving beyond ceremonial governance, where decisions are routinely approved but rarely challenged.

Constructive foot forward

So what might a constructive way forward look like?

It begins by recognising that the current crisis is not simply a funding problem, but a learning problem.

Many universities are struggling not because they lack expertise, but because their systems are poorly designed to learn, adapt, and reconfigure themselves in response to change.

This is where the concept of the Learning‑Driven Organisation (LDO), developed by Garad and Gold, becomes particularly relevant. The LDO reframes learning not as a support activity or cultural aspiration, but as the primary strategic engine through which organisations achieve innovation, foresight, and sustainable excellence.

In this view, learning is not something universities do, it’s how they survive.

UK universities already excel at disciplinary and individual learning. What they often lack, however, is enterprise-level organisational learning – the capacity to understand themselves as complex systems.

Becoming truly learning-driven requires institutions to embed learning explicitly within strategy, governance, and performance management, rather than assuming it will emerge organically from academic activity.

This involves articulating a shared institutional learning vision, aligned with public purpose, financial sustainability, and societal impact. It also requires governing bodies and executive teams to treat learning as a board-level responsibility, supported by structured reflection, feedback loops, and evidence-based decision-making.

Building a learning ecosystem

In times of crisis, universities often respond with isolated measures: restructures, new programmes, or efficiency drives.

By contrast, learning-focused institutions take a broader approach. They cultivate coherent learning ecosystems where people, processes, technology, and partnerships continuously reinforce one another, creating sustainable and mutually supportive growth.

The Organisational Learning Standard (OLS), which builds on the LDO model, provides a practical framework for doing this. It integrates culture, policies, infrastructure, innovation, people, measurement, and future readiness into a single learning system.

For universities, this means aligning academic development, professional services learning, student feedback, digital capability, and external partnerships into a shared architecture, rather than treating them as separate domains.

The financial pressures facing UK universities have pushed many institutions toward short-term cost-cutting that risks undermining long‑term capability. A learning‑driven approach reframes productivity not as “doing more with less,” but as learning how to create more value with what already exists.

This includes redesigning academic work to focus on learning impact rather than volume, using digital and AI-enabled tools to enhance feedback and assessment, and enabling cross-functional collaboration that reduces duplication and institutional silos.

Productivity, in this sense, becomes an outcome of better learning design, not austerity.

Embedding crystal ball thinking

One of the most damaging aspects of the current crisis is how many universities were surprised by it.

Learning‑driven institutions institutionalise foresight – the structured exploration of future scenarios – as a normal part of strategic learning.

Horizon scanning, scenario planning, and futures literacy enable universities to anticipate shifts in demographics, regulation, technology, and labour markets, and to adapt their learning portfolios and business models before crises emerge. Foresight, in the LDO and OLS frameworks, is not an add-on but a natural extension of learning maturity.

Let’s get (un)comfortable

Finally, universities must overcome their discomfort with measurement.

Avoiding metrics does not protect academic values, it obscures learning. Learning‑driven institutions measure not only financial results, but learning performance, innovation outcomes, staff engagement, student experience, and societal contribution.

Crucially, measurement should serve learning, not control. Balanced scorecards, learning indicators, and feedback systems become tools for reflection and improvement – helping universities understand what is working, what is not, and why.

Universities still matter deeply. But caring about their future requires honesty about their present. The choice is not between tradition and change, it’s between reflection and drift.

In an era of profound uncertainty, the most sustainable university will not be the largest or the most prestigious, but the one that learns fastest and most honestly. And universities, of all institutions, should understand the value of learning.

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