Why Managing University Research Portfolios Matters for Institutional Success
Managing a university’s research portfolio is far more than allocating funds, it’s a strategic exercise that shapes an institution’s research identity, academic reputation, and financial sustainability. Universities face increasing complexity due to constrained government funding, competitive grant environments, evolving academic roles, and emerging global research priorities.
Understanding the challenges and strategies involved in managing research portfolios enables leaders to optimise resource allocation, support academic talent, and enhance research impact. Without effective management, institutions risk stagnation, inefficiency, and lost opportunities in both innovation and collaboration.
What Are the Core Challenges in Managing University Research Portfolios?
Professor Alan Pettigrew, former CEO of the National Health and Medical Research Council (NHMRC) and former Vice Chancellor of the University of New England, highlights key challenges:
Balancing Strength and Innovation
A critical challenge is identifying and maintaining areas of existing research strength while nurturing emerging innovative fields. Leaders must balance support between disciplines that consistently perform well and new areas with growth potential, maximising overall research output and institutional reputation.
Funding Complexities: The Role of Teaching Revenue and Grants
Competitive grants from bodies such as the Australian Research Council (ARC), NHMRC, and Medical Research Future Fund are highly competitive and insufficient to cover full research costs. Consequently, universities supplement funding through philanthropy, investment income, and importantly, teaching revenue.
Government policy changes, including the Job Ready Graduates reforms, have decoupled teaching funding from research support, increasing reliance on international student fees to subsidise research activities, an uncertain and politically sensitive financial landscape.
The Impact of COVID-19 and Changing Academic Roles
The pandemic accelerated trends toward teaching-only positions and specialised research roles. Staff with their own grants often hold research-only appointments, while teaching-focused academics engage in scholarship but may have reduced research output. This division requires nuanced management to maintain career pathways and academic balance.
How Do Universities Measure and Manage Research Performance?
Effective research portfolio management depends on clear performance metrics. Professor Pettigrew identifies essential indicators:
- Grant success rates: Reflecting competitiveness and funding acquisition
- Publication quantity and quality: Benchmarking scholarly output
- Commercialisation outcomes: Translating research into practical applications and industry partnerships
- Research impact and citation indices: Demonstrating influence and reach within academic and broader communities
While international research rankings remain prevalent, they often lack consistency. National frameworks like ERA (currently on hold) provide more reliable benchmarks aligned with Australian institutional priorities.
The Importance of Leadership and Governance in Research Portfolio Management
Strong leadership is critical to navigating competing priorities, mentoring academic staff, and fostering national and international collaborations. University leaders must:
- Oversee resource distribution transparently and strategically
- Balance teaching and research commitments across faculties
- Stay attuned to political and economic trends affecting research funding
- Champion interdisciplinary initiatives that enhance institutional strengths
International partnerships have become essential in expanding research impact and funding opportunities, requiring proactive governance and strategic foresight.
Case Examples: Strategic Approaches to Research Portfolio Management
- University of New England under Professor Pettigrew’s leadership emphasised balancing core research strengths with emerging interdisciplinary fields, supported by targeted resource allocation and mentorship.
- National Health and Medical Research Council modelled competitive grant funding with a focus on quality and impact, influencing institutional funding strategies.
- Universities increasingly adopt frameworks that integrate funding, performance metrics, and career development pathways to maintain research excellence amid shifting government policies.
Tools and Best Practices for Managing University Research Portfolios
Modern research management benefits from data-driven decision-making. Key practices include:
- Using integrated data systems to track grants, publications, and outcomes
- Applying research excellence frameworks to guide strategic investments
- Ensuring transparent communication of funding decisions and expectations
- Supporting flexible career pathways that recognise both teaching and research excellence
- Engaging stakeholders across faculties to align priorities and share best practices
Conclusion: Aligning Research Portfolio Management With University Mission
Managing university research portfolios is a complex, ongoing challenge that requires balancing financial constraints, academic aspirations, and policy shifts. Professor Alan Pettigrew’s insights underscore the importance of identifying institutional research strengths, supporting diverse academic roles, and utilising robust performance metrics to drive excellence.
As funding landscapes evolve, universities must embrace agile leadership and collaborative strategies to sustain and grow their research impact in a competitive global environment.