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Thought Leadership

The Challenges Facing Higher Education in 2025

Shaun Walsh
Shaun Walsh
04.02.2025  |  7 MIN
Shaun Walsh and Kristy Dean presenting at Leeds Digital Fest 2024

Universities are navigating an increasingly complex landscape that demands strategic and innovative solutions. Financial pressures are intensifying due to rising operational costs, a heavy reliance on international student fees, and reductions in government funding through tuition caps and budget changes. Beyond these financial hurdles, institutions must extract meaningful insights from vast data pools, bolster cybersecurity, consolidate core business systems, and modernise outdated technologies. They are also tasked with meeting sustainability targets, enhancing user experiences to attract and retain students, and effectively managing extensive physical estates… all while consistently delivering educational excellence.

Global trends compound these challenges facing higher education: declining birth rates are affecting enrolment numbers, mental health issues among students are on the rise, and there’s an increasing demand for personalised and flexible learning experiences. Addressing these multifaceted issues is crucial for higher education institutions to remain relevant and effective.

Embracing Change: The Fusion of AI, Technology, and Business Transformation

At the heart of any successful business and technical change are the people who drive and adapt to it. In the rapidly evolving landscape of higher education, integrating artificial intelligence (AI), modern technology, and innovative business processes offers immense possibilities – but only when approached with a people-centric mindset.

Many universities find themselves data-rich but insight-poor, burdened by technical debt. They possess vast amounts of data yet lack the means to extract meaningful insights due to outdated systems and fragmented technologies. This technical debt hinders innovation, efficiency, and the ability to make strategic, data-driven decisions.

Universities are faced with a pivotal question: Do we train the horse to go faster or build a car? This metaphor encapsulates the choice between incrementally improving existing systems and processes or embracing transformative innovations that redefine the way education is delivered and managed. The reality is, often, both.

 

Universities are faced with a pivotal question: Do we train the horse to go faster or build a car?

 

The Human-Centred Approach to Technological Innovation

Technology alone doesn’t create change; it’s the people who implement and utilise it effectively that make the difference. AI and advanced technologies have the potential to revolutionise higher education by:

  • Enhancing Learning Experiences: Personalising education through AI-driven platforms that adapt to individual student needs, improving engagement and outcomes.
  • Streamlining Operations: Automating administrative tasks to increase efficiency, reduce costs, and allow staff to focus on strategic initiatives.
  • Enabling Data-Driven Decisions: Leveraging analytics to inform policy, improve resource allocation, and anticipate future trends.

However, without the active involvement and support of educators, administrators, and students, these technological advancements can fail to deliver their full potential or, worse, drain money and set the institution back.

Integrating AI with Business Change

Successful integration of AI into higher education requires aligning technological innovation with business transformation:

  • Strategic Alignment: Ensuring that AI initiatives support the university’s mission and objectives, enhancing competitiveness and sustainability.
  • Process Optimisation: Re-engineering business processes to maximise the benefits of new technologies, eliminating redundancies, and improving service delivery.
  • Cultural Adaptation: Fostering a culture that embraces change, encourages innovation, and mitigates resistance through transparent communication and involvement.

Ethical Adoption and Iterative Integration

Ethical considerations are paramount in adopting AI and driving business change.

Universities must:

  • Protect Data Privacy: Implement robust security measures to safeguard sensitive information.
  • Ensure Fairness and Inclusivity: Deploy AI systems that are free from bias and accessible to all students and staff.
  • Promote Transparency: Maintain openness about how AI and new technologies are used, building trust within the university community.

An iterative approach allows institutions to:

  • Learn and Adapt: Pilot and Proof of Concept (PoC) programs and phased rollouts enable continuous improvement based on feedback.
  • Manage Risks: Mitigate risks early, minimising disruptions.
  • Engage Stakeholders: Involve people at all levels to foster ownership and acceptance.

AWS and Perform Partners Delivery Migration for The University of SheffieldAWS and Perform Partners Delivery Migration for The University of Sheffield

Delivering People-Centric Change

We understand that people are at the core of any successful transformation. Our expertise lies in seamlessly blending technology, and business change, always keeping the human element at the forefront; taking the following approach;

  • Holistic Change Management: We approach transformation with a comprehensive strategy that integrates technology with business processes and people. By aligning AI and technological initiatives with organisational goals and culture, we ensure that change is effective and sustainable.
  • People-First Methodology: Our methodologies prioritise stakeholder engagement, recognising that success depends on the buy-in and participation of those affected by change. We facilitate workshops, training, and open dialogues to empower staff and students, easing transitions and fostering a culture of innovation.
  • Ethical and Responsible Implementation: Committed to ethical practices in all our projects. Our solutions are designed with data privacy, fairness, and transparency in mind. We help universities navigate the complexities of ethical AI adoption, ensuring compliance and building trust.
  • Expertise in Technology and Business Processes: With extensive experience across the public and private sectors, we bring a wealth of knowledge in modernising technology infrastructures and optimising business processes. Our team can identify and implement the right technologies to enhance operational efficiency and student experiences.
  • Iterative and Adaptive Approach: Recognising that transformation is a journey, we employ iterative methodologies allowing flexibility and continuous improvement. We work closely with institutions to monitor progress, gather feedback, and adjust strategies as needed.

“I have two young children who will begin their higher education journeys in about ten years. By then, I hope challenges like data delays, security issues, outdated systems, and fragmented technologies will no longer be part of a student’s experience. Addressing the technical debt that higher education institutions currently face can overcome these obstacles now.

We are eager to share our partner ecosystem and decades of expertise to help universities transition from merely maintaining operations to thriving through effective integration of AI, modern technology, and business transformation, all centred around people.

We’re passionate about supporting educators by sharing our extensive knowledge from both the private and public sectors. It’s about doing great work with great people. We recognise that technology’s true potential is realised only when integrated thoughtfully and ethically, focusing on those who bring it to life.

Universities work tirelessly to shape a better future. We’re here to help them achieve their goals effectively and responsibly, ensuring a better journey for future generations.”

Shaun Walsh, Co-founding Director, Perform Partners

 

The Future Landscape in Higher Education

The future of higher education hinges on the successful fusion of AI, technology, and business transformation, driven by and for the people involved. Universities face significant challenges, from financial pressures to cultural resistance to change, but these can be overcome with the right strategies that place people at the heart of innovation.

Perform Partners orchestrates effective change by integrating technological advancements with human-centric business processes. Our expertise ensures that new technologies and ways of working are not just implemented but embraced, leading to sustainable improvements in efficiency, student experiences, and institutional success.

Let’s navigate the complexities of modernisation, transforming challenges into opportunities. We are committed to helping universities become more innovative and prepared for the demands of a rapidly changing world, all while upholding the highest ethical standards and keeping people at the core of everything we do.

Discover how we support Higher Education institutions in modernising legacy IT, streamlining operations, and driving impactful transformation, with award-winning expertise recognised as the Best Cloud Native Product 2023.

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