Financial Sustainability & RCM Budget Modeling
OUR APPROACH:
For each of our clients, we develop a customized long-range financial model that accounts for changes in net tuition revenue and institutional expenses. For any of our forecasts and models, we identify how changes in demand and demographics, budget models, enrollment strategy and aid leveraging, and benefits offerings could affect institutional priorities and sustainability. In many cases, we work with institutions looking to simultaneously reduce expenses and improve enrollments and net tuition revenues.
Your Financial Strategy Starts with the Right Diagnosis
For institutions navigating uncertainty or preparing for larger-scale planning efforts, Kennedy & Company offers financial assessments that deliver fast, actionable insight. Focused on the most immediate drivers of cost and revenue—such as enrollment strategy, staffing levels, and academic offerings—our reviews surface areas for improvement without requiring a long-term engagement. We combine benchmarking, internal data analysis, and stakeholder input to identify high-impact opportunities that can inform near-term decision-making.
Financial Sustainability
Our work in this area includes:
Financial Sustainability Analysis- Revenue Optimization & Net Tuition Revenue Modeling
- Tuition Pricing & Structural Alternatives
- Cost Analysis & Management
- Budgeting Methodology Assessment & Strategy
- Institutional Resource Assessment & Strategy
- Tuition Price Assessment & Tuition Resets
- Academic Portfolio Reviews & Assessments
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Connect with Us
Boise State University
Boise State University began the transition to a Responsibility Center Management (RCM) style budget model in 2023 and hired Kennedy & Company to provide expertise, change management support, model development, and operationalization and governance planning. Kennedy & Company collaborated with Boise State on a best-in-class engagement structure that generated feedback from the entire campus community and fostered a level of support rarely seen in budget model transitions. Boise State is planning to implement the new budget model in July 2026.
University of South Carolina
Kennedy & Company has provided assistance to the University of South Carolina and the UofSC System in various capacities across the past 12 years, including projects involving: developing the initial cost allocation and budgeting template as the system moved towards RCM and manage and supported the model’s annual update for each of the first three years. We have also conducted financial modeling and forecasting to support the institution as a whole and individual academic or central service units with developing top and bottom line forecasts, accounting for these strategies' impact on the decentralized budget model.
College of Charleston
The College of Charleston ("CofC") engaged Kennedy & Company over an 18-month planning and change facilitation process to implement a hybridized Performance Based Budgeting (PBB) model that blends RCM and base budgeting elements. This model allows for academic units to financially benefit from credit hour growth or cost reductions (as in RCM) but maintains some central control (similar to a base budgeting model). The PBB went through its shadow year in FY24 and is currently active.
