Through a glass darkly Measuring the social value of universities

13.16 The diverse nature of the UK university system means that different universities operatein different segments of the market and are already seeking to differentiate themselves throughspecialisation of one kind or another. They are already making choices and ‘trade-offs,’ whether implicitlyor explicitly, in their internal resource allocations. This can relate to being selective in what disciplinesthey operate, the types of students they wish to attract and the other types of business in which theywish to engage. However, the SMEV would provide a robust framework to inform internal decisions,making the ‘trade-offs’ more transparent and hence better inform institutional management.13.17 A University with a mission focussed on the local community, for example, can devise its ownweights that place a higher premium on community focussed activities. The results of these weightsapplied to the economic valuation could be used to inform its own planning and internal resourceallocation process.13.18 In working with other external partners and donors, the University can apply the donor’spreference weights to the economic valuation and the results would help the donor see how far theirinvestment in the university would generate the ‘donor value’ that they want.13.19 To summarise, the measurement of economic value remains constant, but the measurementof social and public value created can change to reflect different social preferences. But the creationof social and public value is being ‘grounded’ within a methodologically rigorous and holistic economicanalysis – and the choices being made and the ‘trade-offs ‘are clear. This gives the robust theoreticalunderpinning needed for sectoral social value generation to be taken seriously at a policy level, as well asproviding the fine ‘grainedness’ and flexibility necessary for individual institutional analysis.34