Data Driven Decision Making in the School Business Office

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By: 
Steven G. Ezikian, MSBO Board Member, Associate Superintendent, Wayne County RESA

For the past decade and a half the big push in educational research and improvement has often revolved around phrases like “Data Driven Decision Making”, or “Informing Instruction through Data”. You may have been part of discussions about disaggregating data by student sub-groups or the importance of longitudinal data. All of this refers to an effort to increase the efficacy and improve the outcome of instructional strategies. The goal is to further student achievement through the use of specific data points that correlate the inputs of instruction to the outputs (or achievement) over an extended period of time. In the world of instruction this means the collection and analysis of tests and assessments results, along with educational and demographic information about students, in order to focus the instructional effort and maximize its impact.

As you sit alongside your instructional specialists in this endeavor, you understand that it is really easier said than done. Many of your districts have, are or will be implementing data management systems to make this correlated, longitudinal data available in a form that allows for fluidity in instruction in order to meet the individual needs of students in a timely fashion. While all of this activity has been focused in the classroom, we have almost ignored the opportunity to use similar strategies and systems to make better informed decisions in the business office.

I am quickly closing in on thirty years of working in the school business environment either as an auditor or a practitioner. As I reflect on that experience, I marvel at the number of extremely competent business professionals that I have encountered. They practice the craft of school business management with the same finesse and artistry that one would expect from an accomplished musician. They know their work, their district and their industry. The day- to- day decision making becomes more of an instinct rather than a awkward task. They have developed intuitiveness about their budgets and cash flow and the impact of legislation or collective bargaining. This has come with being steeped in the transactional world of the business office, being perpetually understaffed, and the jack-of-all school business trades.

It is surely an understatement to say that these past few years have been unprecedented in the amount of pressure to change how we do school business. From how, what and how much instruction is delivered, to how and by who support services are provided, to the atrophy of available revenue, we have been forced into a situation where big district-wide decisions need to be made quickly and accurately. These decisions are subject to unparalleled scrutiny by all of our stake holders and are clouded by tradition, emotions and politics. The school business office needs to facilitate appropriate and timely decision making by taking the lead in providing objective and relevant data.

Here is an example that demonstrates this thinking. Do you know what the operational cost per square foot of your buildings compared to your neighbors and other districts across the state or country? And, more importantly, why it is different? Do you have the data that will allow you to ask informed questions to find out about why it is different? Here’s another example. What are the costs of processing a purchase order in your district? Finding out why the district on the other side of your county can do it for half the cost could lead to decisions about policy, procedures, systems and staffing that save significant time and cost in this function. But not having ready access to relevant data prevents us from asking strategic questions that help make better decisions. These are a couple of simple examples For more sophisticated examples of the use of data in the business environment, type in “case study data driven decisions in business” in your favorite search engine, get a strong cup of coffee and start reading.

If you read some of the research, you will quickly realize that there are endless combinations of data associations that can be used to analyze business performance and you may begin to consider this to be an overwhelming task. I would suggest it does not have to be complicated. Most school financial systems have enough sophistication and flexibility for you to strategically identify a handful of data points or data associations that you want to keep your eye on. Initially you will spend some time identifying those and setting up some reporting templates. But once that is done, upkeep becomes almost clerical in nature and that relevant data is now accessible and objective.

From the perspective of organizational decision making, this kind of tool helps to form the basis for rational decisions. They are not opinion led, less vulnerable to bias, and will be a means to help your organization more effectively make appropriate decisions in a timely way in a fast changing business environment.