Purpose
The Budget Model Initiative is focused on developing a modern, transparent framework for allocating and understanding resources at Michigan Tech.
The goal is not to chase short-term outcomes or impose one-size-fits-all solutions, but to create a model that:
- Reflects Michigan Tech’s mission and culture
- Supports long-term institutional health
- Improves clarity around tradeoffs and incentives
- Strengthens planning and accountability
Why Now
Michigan Tech’s current budgeting practices have evolved over time in response to changing needs, constraints, and opportunities. While many elements work well, the overall framework has become difficult to explain, analyze, and adapt consistently.
This initiative provides an opportunity to:
- Step back and look holistically at how resources flow
- Clarify assumptions and roles
- Align budgeting practices with where the University is headed—not just where it has been
What We Are Building
The outcome of this work will be a budget model framework, including:
- Clearly defined revenue and cost categories
- Transparent “funds flow” logic
- A consistent structure for understanding unit-level finances
- Decision-support tools that allow leadership to test scenarios and evaluate tradeoffs
The model will be designed to evolve over time, with appropriate governance and documentation.
What This Initiative Is Not
- It is not a reorganization of academic programs
- It does not change academic decision-making authority or faculty governance
- It does not dictate curriculum, academic programs, research priorities, or instructional decisions
- It is not a short-term budget fix
Academic decision-making authority remains with provost, deans, department chairs, and faculty governance structures. The budget model is a tool to support academic leadership by improving transparency and understanding of resources—it does not make or direct academic decisions. The budget model supports decisions; it does not make them.