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Understanding Program Economics 

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Learn How To Calculate Margins for Academic Programs

A complex web of cross-subsidies underlies the academic program portfolio of higher education institutions.  Low-cost liberal arts programs may subsidize expensive lab programs; large programs may help pay for smaller, specialized programs; and programs that attract full-pay students may subsidize other heavily-discounted programs. 

Understanding this web of subsidies is critical, but rare.  Gray's Program Economics Platform (PEP), a SaaS application,  enables schools to track program economics, including revenue, instructional cost, and margins.  PEP enables users to drill down to see financial results by program, course, location, and student segment.  

It has helped our clients make better, faster decisions on which programs to Start, Stop, Sustain or Grow.  It has also helped colleges improve program profitability, for example, they have identified and rescheduled courses with low enrollment.

Please sign up for our case study to learn how Gray and PEP can help you increase growth, reduce costs, and improve operating margins.

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