UNIVERSITY SYSTEM OF MARYLAND INSTITUTION PROPOSAL FOR. Substantial Expansion/Major Modification. Cooperative Degree Program

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1 UNIVERSITY SYSTEM OF MARYLAND INSTITUTION PROPOSAL FOR New Instructional Program X Substantial Expansion/Major Modification Cooperative Degree Program Within Existing Resources, or Requiring New Resources Salisbury University Institution Submitting Proposal MBA (online) Title of Proposed Program MBA Award to be Offered Fall2014 Projected Implementation Date Proposed HEGIS Code Proposed CIP Code Perdue School of Business Department in which program will be located Bob Wood Department Contact Contact Phone Number Contact Address. --~a_:'-'-'-"ett=-~...' signature of President or Designee!DLI.d.,._-.UL-.J...J...J_)_j Date

2 Mission: A central tenet of Salisbury University's mission is to "empower our students with the knowledge, skills, and core values that contribute to active citizenship, gainful employment, and life-long learning in a democratic society and interdependent world." Although much of our focus is on providing exceptional undergraduate programs, Salisbury University also offers high quality graduate programs that further our overall mission. The Perdue School of Business is an AACSB accredited business school that currently offers an MBA in a traditional face-to-face format; while the program has been successful and we intend to continue offering a face-to-face option, graduate students are increasingly requesting more flexible delivery options for their degree programs. In this proposal we are requesting a substantial modification to an existing program to offer our MBA in an online format. The online curriculum will be the same as the face-to-face version and will meet the same rigorous academic standards. Alignment with University's Strategic goals: Offering the MBA in an online format clearly aligns with multiple strategic goals for the University, including the goal to offer "academic programs that are aligned with an increasingly competitive, global, and knowledge-based economy." The MBA is already recognized as a highly desirable degree in a knowledge-based economy, and offering in a more flexible format will allow the university to meet the needs of a greater number of students. While Salisbury University will remain primarily a face-to-face university, we also have a strategic goal to "create additional distance learning programs in appropriate areas of study that will serve a new market of students." We believe adding the online option will be attractive for local professionals in the Delmarva region who cannot currently attend face-to-face sessions. Adequacy of curriculum design and delivery to related learning outcomes: The courses will be duplicates of the existing MBA curriculum: ACCT 666 Accounting Concepts and Applications ECON 601 Business Economics FINA 626 Corporate Financial Management INFO 602 Decision Making in the Supply Chain INFO 620 Enterprise Systems and Business Process Integration MGMT 624 High-Performance Work Systems MKTG 614 Strategic Marketing Applications MKTG 663 Business Intelligence/Analytical Customer Relationship Management {CRM) 4Capstone Courses {6 credits)

3 BUAD 695 Project Consulting MGMT 628 Managing Strategically Educational objectives and intended student learning outcomes: The goal of the Perdue School of Business M.B.A. program is to prepare aspiring and practicing managers with the skills to succeed as business executives and leaders. The curriculum encourages students to think clearly, show sound judgment, communicate effectively, and develop interpersonal and decision-making skills. Students earning an M.B.A. are able to: 1. Integrate knowledge and skills of the functional areas of business (e.g. accounting, economics, finance, management and marketing) to implement business decisions. 2. Identify and analyze problems and apply critical thinking skills to solve problems. 3. Assess the long-term social, legal and ethical implications of management initiatives. 4. Interpret the role of internationalization on business strategy. 5. Apply technology for the purposes of decision-making and increasing efficiency and competitiveness in an organization. 6. Develop leadership and teamwork skills critical to the improvement of organizational performance. General education requirements: N/A Specialized accreditation or graduate certification requirements: None. Contracting with another institution or non-collegiate organization: There are no contracts with other institutions or organizations. Adequacy of provisions for evaluation of program (as outlined in COMAR ). The Franklin P. Perdue School of Business joined an elite group of educational institutions when AACSB International accredited both its baccalaureate and masters programs in Accreditation by AACSB International, the premiere accrediting agency for business schools, affirms that the Perdue School demonstrates a distinguished level of performance in its graduate and undergraduate programs. As part of the accreditation, the school must be evaluated every five years to maintain the accreditation. The MBA is part of the evaluation process, so the curriculum will be routinely evaluated. In addition, faculty members are evaluated by the department chair on an annual basis. Consistency with the State's minority student achievement goals (as outlined in COMAR and in the State Plan for Postsecondary Education).

4 Goal #3 of the State Plan is to "Ensure equal opportunity for Maryland's diverse citizenry." The proposed program is consistent with and promotes this plan in several ways. The state plan notes that a "key to this endeavor as well is the cultivation, education, recruitment, and retention of more minority faculty and professional staff throughout Statewsupported higher education." The courses will be taught by a diverse group offaculty members in the Perdue School, providing an example of the power of diversity in action. The plan also states that to "best serve the needs of these individuals who often require flexible class schedules and locations and nonwtraditional ways of interacting with their peers and faculty, Maryland's postsecondary institutions will need to offer their academic programs and support services using innovative instructional approaches and a variety of delivery formats." The online delivery of the MBA clearly furthers this goal. Relationship to low productivity programs identified by the Commission: The proposed program is not directly related to an identified low productivity program. Critical and compelling regional or statewide need as identified in the State Plan: Goal #1 of the State Plan is to "Maintain and strengthen a system of postsecondary education institutions recognized nationally for academic excellence and effectiveness in fulfilling the educational needs of students and the economic and societal development needs of the state and the nation." The online MBA will help do this by providing a high-quality program that allows individuals to "expand their knowledge base and their ability to grapple with difficult issues and provides opportunities for people...to be prepared for rewarding employment, and to develop into effective, engaged citizens." This program is specifically designed to meet the needs of working professionals in the Delmarva region looking to advance in their careers. Goal #5 of the State Plan is to "Promote economic growth and vitality through the advancement of research and the development of a highly qualified workforce." The proposed program will expand the number of highly qualified individuals, particularly on the Eastern Shore of Maryland. As described in the Maryland State Plan for Postsecondary Education, "The expansion of a highly trained workforce is essential to Maryland's economic vitality, especially in times of economic and environmental change. An educated citizenry that has the ability to adapt to the changes in the global market has become the number one resource in attracting new businesses and in maintaining a healthy economy." We believe offering this more flexible program will be attractive to anyone looking to start new businesses in the region. Quantifiable & reliable evidence and documentation of market supply & demand In the region and State: After a number of years of flat growth in demand due to the economic downturn, the market for employees with an MBA is looking strong in the coming years. Nationally, the expectation Is for jobs to rise 16% in the immediate future (http://www.topmba.com/jobs/careehrends/risemba-jobswasia-lead-wav-global-demand-grows-14). The demand for MBA graduates is especially strong in the Northeastern US and in the Washington D.C area in particular (http://www.gmac. com/~/med ia/files/gmac/research/e mployment%200utlook/crs hiring-report-ol.pdf). Graduates of SU's Perdue School of Business MBA program have an outstanding record of successful employment and we expect that will continue in this online version.

5 The demand for the online option became clear during an overall assessment of Salisbury University's MBA program and curriculum revision in As part of this process, an Ad Hoc Committee was involved to help identify areas for improvement in the MBA program and focus groups were held with community stakeholders and alumni. Two recurring comments are most relevant to this request for substantial modification. Focus group members requested that SU's MBA develop: 1) A "virtual" team environment. Participants noted that such an environment would teach many relevant job skills for today's market, and that these types of collaboration happen often in the workplace (working across time zones and countries). 2) Flexibility. Hybrid class formats and fully on-line class formats. Clearly, an online MBA option would fulfill both of these requests and would position SU to serve our alumni as well as local and regional demand. Reasonableness of program duplication: Although many Maryland institutions offer the MBA (Frostburg State University, Morgan State University, Towson University, University of Baltimore, University of Maryland College Park), our request is intended to make our existing program more flexible for today's graduate students. This is the trend nationally and we must also make the change to remain relevant. We will market the program specifically to our alumni and working professionals in the Delmarva region. Relevance to Historically Black Institutions (HBis): The University of Maryland Eastern Shore (UMES) has undergraduate business degrees and a graduate Master's in Teaching degree with a business track, but does not offer the MBA. We do not anticipate any conflict with their programs. As UMES has stated in recent proposals for new programs in business that are similar to SU's, the universities are serving two different student constituencies and there is certainly capacity for both. If proposing a distance education program, please provide evidence of the Principles of Good Practice (as outlined in COMAR 13B C). The proposed online MBA is in compliance with the Principles of Good Practice for distance learning. The curriculum is the same as the existing face-to-face program, and all courses will be taught by highly qualified full-time faculty in the Perdue School of Business. The program will have an ID&D designer assigned to work with faculty on curriculum and transforming the courses into an online environment. All courses will meet the Quality Matters requirements for best practices in distance learning and will be peer reviewed to assure they are of the highest standard. Principles of Good Practice for Distance Education: A. Curriculum and Instruction:

6 (i) A distance education program shall be established and overseen by qualified faculty. All of the courses for the online MBA have been (and will continue to be) taught face-to-face and have well established standards for curriculum and instruction. Full-time faculty in the Perdue School will be directly involved in the design of the courses and will be teaching in the online program. In addition to SU's general requirements for all courses, the programs in the Perdue School of Business are subject to additional scrutiny under the AACSB accreditation. (ii) A program's curriculum shall be coherent, cohesive, and comparable in academic rigor to programs offered in traditional instructional formats. The courses and curriculum are the same as those offered face-to-face, and will be subject to the same oversight as all SU academic programs. Faculty teaching online will go through the Quality Matters program of continuous peer review to assure that the courses are meeting the same rigorous standards as the face-to-face versions. (iii) A program shall result in learning outcomes appropriate to the rigor and breadth ofthe program. The learning outcomes for the online MBA are the same as those in the previously approved face-to-face MBA program, and are consistent with the high standards demanded in AACSB accreditation. (iv) A program shall provide for appropriate real-time or delayed interaction between faculty and students. The courses will be offered in an asynchronous LMS (SU currently uses MyCiasses) and individual classes will be capped at 25 to allow for frequent interactions between faculty and students. (v) Faculty members in appropriate disciplines in collaboration with other institutional personnel shall participate in the design of courses offered through a distance education program. Faculty in the Perdue School of Business designed the original face-to-face versions of the MBA courses, and will work directly with an ID&D professional assigned to the program to revise their courses for online delivery. All online courses are subject to the same curriculum approval process as face-to-face courses and must be reviewed by faculty members on the Perdue Curriculum Committee and the University Curriculum Committee. B. Role and Mission. (i) A distance education program shall be consistent with the institution's mission. Salisbury University's mission is to "empower our students with the knowledge, skills, and core values that contribute to active citizenship, gainful employment, and life-long learning in a democratic society and interdependent world." The institution's mission includes offering select graduate programs such as the MBA, which we already offer. The MBA is a high demand degree that is an increasingly important credential in the business world, and the online format is

7 particularly desirable for working professionals who need flexibility in order to continue their academic careers. (ii) Review and approval processes shall ensure the appropriateness ofthe technology being used to meet a program's objectives. Faculty working with ID&&D professionals will work to assure that the technology is appropriate for the program. All courses in the program will be designed with the assistance of an Instructional Designer and will meet the Quality Matters standards for online courses. Quality Matters is a faculty peer-based continuous review system that allows for frequent feedback and assessment of online courses. Courses will be subject to student evaluations which will include an assessment of the course design and delivery, including the technology behind the courses. In addition, the online version ofthe MBA will be subject to the same comprehensive reviews as the face-to-face version and will be required to demonstrate that its students are meeting the overall program objectives. (c) Faculty Support. (i) An institution shall provide for training for faculty who teach with the use of technology in a distance education format, including training in the learning management system and the pedagogy of distance education. Salisbury University has developed a faculty development program for professors who intend to offer online or hybrid courses. Soaring with Online Learning (Soaring) is a four week program led by the Office of Instructional Design and Delivery to prepare Salisbury University faculty to design, develop and deliver courses in a fully online or hybrid environment through the campus course management system, MyCiasses. The Soaring program includes modules on pedagogy of distance learning, technology, Quality Matters standards, and the technology of MyCiasses. (ii) Principles of best practice for teaching in a distance education format shall be developed and maintained by the faculty. SU is a participant in Quality Matters, a faculty-based peer review system for identifying and disseminating best practices in online teaching. Additionally, faculty are involved in every level of curriculum assessment and approval in face-to-face as well as online courses. (iii) An institution shall provide faculty support services specifically related to teaching through a distance education format. Support for the online MBA will come through the Office of Instructional Design and Delivery as well as the individual instructional designer hired to work specifically on this program. SU has a number of design and instructional technology specialists who will work closely with the department both to design the program and to support it once it is launched. (d) An institution shall ensure that appropriate learning resources are available to students including appropriate and adequate library services and resources. Blackwell Library has the resources required to support the program, and has developed a webpage specifically for students in distance learning courses (.!J.t.ill;lLwww.salisbury.edu/library/distancelearners/index.html). Included on this page is a 30

8 minute tutorial on library resources and functions, links to electronic resources, contact information for research assistance, and a wide array of library services for students who may be studying at a distance. (e) Students and Student Services. (i) A distance education program shall provide students with clear, complete, and timely information on the curriculum, course and degree requirements, nature of faculty/student interaction, assumptions about technology competence and skills, technical equipment requirements, learning management system, availability of academic support services and financial aid resources, and costs and payment policies. Salisbury University's website (www.salisburv.edu) includes detailed information about curriculum, course, and degree requirements as well as our expectations regarding student/faculty interaction. In addition, SU has a webpage dedicated to online learning (https://www.salisbury.edu/onlinelearning/) that includes an assessment tool for students to determine whether online learning is right for them based on their learning style. (ii) Enrolled students shall have reasonable and adequate access to the range of student services to support their distance education activities. In addition to the library's support of student research needs, the Writing Center and the Center for Student Achievement and Success offer services specifically designed for students in distance learning environments. Staff conduct special sessions for students enrolled in classes at a distance. (iii) Accepted students shall have the background, knowledge, and technical skills needed to undertake a distance education program. Students admitted to the online MBA program will be held to the same admissions criteria as the face-to-face version of the program. Prospective students will be able to take the online distance learning assessment (mentioned above) to determine whether their skills and learning style are appropriate for online courses. (iv) Advertising, recruiting, and admissions materials shall clearly and accurately represent the program and the services available. As is the case for the face-to-face MBA, all advertising, recruiting, and admissions materials for the online MBA will clearly and accurately represent the program. (f) Commitment to Support. (i) Policies for faculty evaluation shall include appropriate consideration of teaching and scholarly activities related to distance education programs. The faculty teaching in this program will be full-time faculty, who are regularly reviewed by the chair and dean. Their annual evaluations include reviews of professional development and scholarship, which could include activities related to distance education programs.

9 (ii) An institution shall demonstrate a commitment to ongoing support, both financial and technical, and to continuation of a program for a period sufficient to enable students to complete a degree or certificate. The university is committed to supporting the program with sufficient fiscal, technical, and human resources to enable students to complete a degree. We expect the online MBA will be fiscally solvent and self-supporting within the first year of operations. (g) Evaluation and Assessment. All SU programs are regularly assessed and evaluated to comply with MSCHE accreditation. Programs in the School of Business have an added layer of scrutiny under AASCSB accreditation. (i) An institution shall evaluate a distance education program's educational effectiveness, including assessments of student learning outcomes, student retention, student and faculty satisfaction, and cost-effectiveness. The program will be evaluated annually by the department chair and the dean to assure its effectiveness in each of these areas. (ii) An institution shall demonstrate an evidence-based approach to best online teaching practices. The SOARING training for faculty engaged in distance education at SU provides best practices training outlined by Quality Matters. (iii) An institution shall provide for assessment and documentation of student achievement of learning outcomes in a distance education program. The online MBA will co-exist with the face-to-face MBA, providing an excellent opportunity for assessment of student learning outcomes in a comparative context. The well-established learning outcomes for the existing MBA will be compared with the online version. Resources and Finance: Adequacy of faculty resources (as outlined in COMAR 13B ). The faculty who will teach in the online MBA are all highly qualified, full-time faculty members in the Perdue School of Business: Faculty Teaching On-line MBA Courses On-Line Fa cult~ TenureLTenure Full- Terminal Notes MBA Track timelpart- DegreeLField: Class Time ACCT666 Summers, Tenure FT Ph.D. George (Accounting) r" INFO 620 Cha, Tenure Track FT Ph.D. Hoon (Management

10 Information Systems) ECON Munemo, Tenure Track FT Ph.D. Tenure to be granted 601 Jonathan (Economics) Aug 20,2014 MKTG Passyn, Tenure FT Ph.D. 614 Kristen (Marketing) MGMT Calo, Tom Tenure FT Ed.D. (Human 624 and Organizational Learning) MGMT Shipper, Tenure FT Ph.D. 624 Frank (Organizational Behavior) MKTG Wright, Tenure FT Ph.D. 663 Kathy (Information Systems & Accountancy) MKTG LeBaron, Tenure Track FT Ph.D. 663 D. (Marketing) INFO 602 Hahn, Tenure FT Ph.D. Eugene (Management) FINA 626 Arvi, Tenure Track FT Ph.D. (Finance) Tenure to be granted Leonard Aug 20,2014 MGMT Street, Tenure FT Ph.D. (Strategic 628 Vera Management) BUAD Adams, Tenure FT Ph.D. (History) 695 Stephen Adequacy of library resources (as outlined in COMAR ). No new library resources are required for this program. Adequacy of physical facilities, infrastructure and instructional equipment (as outlined in COMAR ) No new facilities are required for the program. Adequacy of financial resources with documentation (as outlined in COMAR ) No new resources are required for the program after a modest reallocation in the first year, as we anticipate the revenue generated will exceed expenditures in the second year. We will hire an Instructional Designer to assist faculty in developing and maintaining the online courses, and will hire a half-time administrative assistant. The courses will be taught by full-time faculty members in the Perdue School of Business as overloads.

11 Resources and Expenditures Reallocated Funds: In linking the University's budget to its strategic plan, the University has set aside funds in its base allocation to support new initiatives and/or to enhance existing activities that support the strategic goals of the University. These funds are allocated on an annual basis and are not permanent allocations to the respective departments. This allows the University to support new initiatives without negatively impacting other services. Some of those funds will be used in FY 2014 and FY 2015 in support of the on-line MBA. Impact of reallocation on the existing academic program(s): The modest reallocation will not affect any other programs. As noted above, the money has already been set aside to support new academic initiatives. Manner in which the reallocation in consistent with the institution's strategic plan: The online MBA is consistent with SU's strategic plan, which states: "Additional distance learning programs should be developed in disciplines that are appropriate for this type of format. Such programs will help to enhance SU's enrollment in the future as the traditional market declines while also meeting sustainability goals and addressing the limits of current facilities." The Strategic Plan that is currently under review at the university also targets an increased graduate student enrollment to 10% of the student body. The online MBA will be an important part of this overall strategy.

12 TABLE 1: RESOURCES Resources Categories (Year 1) (Year 2) (Year 3) (Year 4) (Year 5) Reallocated Funds 1 $73,294 $0 $0 $0 $0 2. Tuition/Fee Revenue 2 $0 $483,750 $821,250 $1,012,500 $1,125,000 (c+g below) a. #F.T Students b. Annual Tuition/Fee $0 $22,500 $22,500 $22,500 $22,500 Rate c. Annual Full Time $0 $0 $0 $0 $0 Revenue (ax b) d.# Part Time Students e. Credit Hour Rate $750 $750 $750 $750 $750 f. Annual Credit Hours per student g. Total Part Time $0 $483,750 $821,250 $1,012,500 $1,125,000 Revenue (d x ex f) 3. Grants, Contracts, & $0 $0 $0 $0 $0 Other External Sources 3 4. Other Sources $0 $0 $0 $0 $0 TOTAL (Add 1-4) $73,294 $483,750 $821,250 $1,012,500 $1,125,000

13 TABLE 2: EXPENDITURES Expenditure Categories (Year 1} (Year 2} (Year 3} (Year 4} (Year 5} oi:1l 1liv u $0 $103,000 $143,500 $160,000 $170,000 (b + c below} a.# FTE (Off-load} $0 $0 $0 $0 $0 b. Total Salary $0 $103,000 $143,500 $160,000 $170,000 c. Total Benefits $0 $0 $0 $0 $0 2. Total Administrative $0 $0 $0 $0 $0 Staff Expenses (b +c below} a.# FTE $0 $0 $0 $0 $0 b. Total Salary $0 $0 $0 $0 $0 c. Total Benefits $0 $0 $0 $0 $0 3. Total Support Staff $13,844 $82,523 $82,523 $82,523 $82,523 Expenses (b + c below} a.# FTE (1 Full-time+ 1 Contingent 1} b. Total Salary $10,677 $63,523 $63,523 $63,523 $63,523 c. Total Benefits $3,167 $19,000 $19,000 $19,000 $19, Equipment $0 $0 $0 $0 $0 5. Library $0 $0 $0 $0 $0 6. New or Renovated Space $0 $0 $0 $0 $0 7. Other Expenses (Advertising) $59,450 $61,050 $61,050 $61,050 $61,050 TOTAL (Add 1-7) $73,294 $246,573 $287,073 $303,573 $313,573

~. CLttt- signature of President or Designee

~. CLttt- signature of President or Designee UNIVERSITY SYSTEM OF MARYLAND INSTITUTION PROPOSAL FOR New Instructional Program X Substantial Expansion/Major Modification Cooperative Degree Program Within Existing Resources, or Requiring New Resources

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