Cross-strategy indicators – Tertiary Education Strategy monitoring 2009

9. Tertiary education organisations

Size and contribution of sub-sectors

This section provides information on the relative size and contribution of sub-sectors. Student numbers have been used in the first indicator to provide a comparable measure across provider-based and work-based training.

The largest sub-sectors by learner numbers are institutes of technology and polytechnics and the industry training sector.

Numbers at universities have remained steady for the last eight years, as have numbers at private training establishments. Funding for private training establishments was capped in 2003.

However, when students are looked at in equivalent full-time terms, the largest amount of provision is at universities.

Figure 9.1: Number of students enrolled by sub-sector

Note: Colleges of education are included with universities

The proportion of provision at bachelors-degree level and above provides a rough indicator of the different focus areas of each sub-sector.

Nearly all provision in universities is at degree level and above. At institutes of technology and polytechnics, the proportion at degree level and above decreased in the period to 2004 and has remained stable since.

The proportions at degree level and above in private training establishments and wānanga have been fairly stable.

Figure 9.2: Percent of EFTS at bachelors degree level and above by sub-sector

Internationalisation

The number of international students enrolled in New Zealand tertiary education providers grew rapidly until 2004.

Numbers decreased from 2004 to 2007, as a result of a number of factors relating to international developments. However, New Zealand retains the second highest proportion worldwide of international students, after Australia.

The number of doctorate students has increased over the last two years due to funding changes aimed at encouraging participation at this level.

Figure 9.3: Number of international students enrolled in New Zealand tertiary education providers

Nearly half of New Zealand students studying abroad study in Australia. Around a quarter study in the United States and about one in eight in the United Kingdom. The remainder are mostly spread across Europe, Japan and Korea.

Figure 9.4: Distribution of New Zealand students studying abroad 2006

Source: Organisation for Economic Cooperation and Development, Education at a glance 2008.
 

Sustainability and viability of providers

From 2000 to 2003, financial surpluses across public providers were increasing. Financial surpluses decreased in the period to 2006 as funding policies were tightened.

There was some recovery in 2007 as the government reinvested in quality provision. Some of this may also have been funded by reducing liquid assets.

Figure 9.5: Key financial performance indicators for TEIs

Source: Ministry of Education and Tertiary Education Commission.
Note: In order to compare indicators on differing scales, the percentage for each indicator has been transformed into an index, where 100 represents the Tertiary Education Commission’s recommended threshold for the indicator.
 

The volatility in financial surpluses has been mainly influenced by the wānanga and polytechnic sub-sectors. These sub-sectors had strong financial performance up to 2003 and then went into deficit overall. In 2006, eight out of the 20 polytechnics and two out of the three wānanga were in financial deficit. In 2007 this reduced to four and one respectively. Some of this has been achieved through a programme of reinvesting money to support quality provision.

The university sub-sector has maintained a steady level of surplus over this same period, with only one or two institutions running a deficit in any one year.

Figure 9.6: Surplus before abnormals by sub-sector

Source: Ministry of Education and Tertiary Education Commission.