The priority for every school is to offer high-quality education and, at the same time, remain profitable. Notably, operational costs will pile up without profitability, and your school may not survive in the long run. In that case, administrators should look for ways to boost their financial performance and generate sufficient revenue.
Here are some steps to follow to transform into a more profitable school:
- Adopt Efficient Energy Management Solutions
Energy bills are one of the utility costs that can significantly increase your school’s operating expenses and ultimately lower your profit margin. Ideally, when expenses are high, revenue is pulled downwards. Therefore, with the soaring energy prices, you’d want to adopt efficient energy management solutions to cut energy costs and optimize revenue. Here are some ways to achieve energy efficiency in schools:
- Use energy-efficient light bulbs such as LEDs. They use less energy to provide the same amount of lighting as other traditional incandescent bulbs.
- Install programmable controls to improve the efficiency of your energy systems. This automates control based on your working patterns. For example, an automatic timer system can turn your equipment off at the end of a working day or when people aren’t in the room.
- Perform regular maintenance to ensure your energy systems run efficiently. Ideally, inadequate maintenance may result in faulty systems with defects such as air leakages, pressure variability, and poor moisture control which can increase energy consumption. Therefore, your systems can produce and distribute energy more effectively by building a better maintenance strategy.
- Upgrade outdated or energy-intensive appliances. Also, you can encourage your workers to install energy-saving features such as auto shut-off on machines.
- Consider using renewable sources of energy like solar. While you may incur high installation costs initially, the free energy generated will save you more money in the long run.
Most importantly, aside from these tips, it’s best to partner with reputable energy-efficiency companies that can provide energy-efficient solutions to help you save energy and realize more savings.
- Embrace Technology
Streamlining specific back-office processes with technology can significantly reduce material and labor costs. Fortunately, there are advanced digital tools specifically designed for schools. For example, an automated admission system can help you automate and streamline your school’s admission process. Aside from this, below are other school processes you can digitize:
- Tests and Exams: Smart testing or Computer Based Testing (CBT) enables you to offer exams or tests online. Also, it allows automatic marking and grading so students can receive their results immediately.
- Payment System: Fee payments are the primary source of revenue for most learning institutions. Without a dedicated online fee management system, the process can be time-consuming and error-prone, especially if you’re dealing with many students. Fortunately, with an online payment system, you can simplify tuition fee payments, tracking, and management and ensure consistent and predictable cash flow every month.
- Attendance Tracking: Teachers are usually required to maintain an attendance record for classes, whether it’s in person or remote learning. So, instead of using registers and notebooks, you can automate this task by creating a digital attendance tracking system and then sharing it online for students to fill out themselves.
- Teacher Evaluation: Schools conduct teacher reviews to assess classroom performance and encourage staff members to improve. With this, you can use digital forms for classroom evaluations to save money and time.
- Audits and Compliance: Most educational institutions are required to comply with many regulations. You can automate such audits and compliances using an end-to-end online audit solution. And since it utilizes cloud-based technology, your staff can securely access audit data from anywhere, work on on-field audits, and collaborate with other team members in real time.
Generally, leveraging digital tools saves you money by eliminating expenses such as paper or manual labor and freeing up more resources for other high-impact tasks. Also, it boosts productivity since you can execute more projects and tasks promptly without sacrificing quality. Thus, increased productivity leads to more profits.
- Maximize Student Admission
As stated earlier, student fees are your school’s primary income source. Therefore, maximizing your institution’s student admission is vital to increase this revenue. One way to do that is by implementing an effective marketing strategy to promote your school and attract potential students. Here are some marketing ideas to consider:
- Leverage Search Engine Optimization (SEO) to boost organic search visibility. This way, your school will more likely appear on the first page of search engine results when potential customers search for the best school in the area.
- Grow your school website. Ideally, your website is your most vital representative in the online community. Therefore, it should be responsive, easy to navigate, engaging, and visually appealing. Also, it should integrate outstanding functionalities such as a portal for parents to receive feedback and make inquiries, apply for admission, or pay fees.
- Have an active social media presence to engage with prospective customers, announce upcoming events, and share your success stories. For example, you make posts and blogs to share your school values. Also, encourage other parents, alumni, and school stakeholders to post their opinions about your institution through social media or your website. It creates a constant buzz online and can attract more students or parents to enroll their children.
- Tell people more about your school by advertising in local magazines and newspapers.
With the above promotion strategies, you can expand reach, increase enrollment, and eventually achieve customer loyalty and increased revenue.
- Explore New Income Streams
Budgetary pressures are common in learning institutions, particularly as the demands of increased student numbers go high. Therefore, you’d want to consider other means of income generation to boost your profit margins. The following are some ideas for generating additional income for your school:
- Rent parking space, mainly during school holidays when it’s rarely used
- Hire out your sporting facilities in non-school time
- Provide printing services
- Build on-site cafes or canteens to sell foods and drinks to students during break times
- Offer tutoring services or summer classes
- Offer school grounds for rent
Even so, remember not to cross ethical lines when offering these value-added services. For instance, you should not compel parents or students to purchase the items you’re selling.
- Review Your Suppliers
You’d want to review your current suppliers to identify if they still meet your standards when it comes to product quality or price. If not, it’s best to partner with other vendors who can provide the same products for a better deal. Generally, sourcing from warehouse stores or online suppliers for bulk school supplies like stationery, computers, textbooks, or laboratory equipment is advisable. That’s because they’ll more likely sell to you at a discount and thus provide savings.
Profitability should be a vital concern for school administrators. Ideally, as a school owner, you should be able to meet your operating costs while still generating considerable profit. Therefore, consider applying the above tips to make your institution more profitable. Also, ensure you better manage your resources to cut costs and make more money.