Governance structures and management traditions in public
higher education institutions in transition countries are characterised
by a lack of regulatory oversight. Academic freedom is frequently
mistaken for managerial independence, which, in turn, leads to a lack
of accountability for the use of resources and institutional performance,
and often, to corruption. In both sectors, with no boards of
trustees and limited external oversight, most faculty and administrators
believe that they control and direct the institution. Reliance
on performance indicators as management indicators and planning
tools is not common practice in such countries.
Governments should ensure that each institution declare its
nature and purpose and, in concert with an effective accreditation
system, ensure that institutions are meeting their purposes
and goals. Institutional differentiation is a logical response to the
increased specialisation and importance of knowledge. Both new
and reformed institutions in both sectors can best serve the public
interest by focusing on a well-defined set of goals for students. The
government has a role to provide information about educational
alternatives to help consumers make informed decisions, and to hold
providers accountable for their performance relative to educational
outcomes.
The executive director of the Center for Quality Assurance in
International Education, recently noted that people in all parts of the
world need to prepare for a global marketplace through higher
education and professional development (Lenn 2002). Linking higher
education with regional economic development means closer ties
between higher education and business and industry, and movements
in that direction occurred prior to the collapse of the Soviet Union
(Savalyev 1989).
Although private institutions do not face the same accountability
pressures as public institutions, there are common elements.
Governments ultimately are concerned about the degree to which
institutions contribute to public interests. The extent to which private
institutions contribute to access, educational quality, and productivity
are appropriate questions that the State should ask private
institutions. All institutions have an accountability role to assure that
the state is getting value for its public investment in the public
institutions, and that quality and equity standards are being met in
both sectors. Across both developed and developing countries,
quality is not determined by whether an institution is either public or
private, but on whether or not it adheres to standards established by voluntary accrediting agencies or appropriate governmental agencies
(Johnstone 2001).