An examination of financing strategies for the digital transformation of universities in developed countries

Abstract

The purpose of this paper is to examine the efficient financing strategies for digital transformation in universities in developed countries based on existing research. In recent years, digital transformation has been a significant trend in universities worldwide with the adoption of digital tools and resources to improve teaching, learning, research, and administrative processes. There are several strategies for financing digital transformation, including government funding, public-private partnerships (PPPs), philanthropic donations, user fees, crowdfunding, bond financing, and leveraging existing assets. Government funding is a common strategy in developed countries, providing direct funding for digital infrastructure and university resources. PPPs can effectively finance digital transformation by leveraging the resources and expertise of both the public and private sectors. Philanthropic donations play an important role, with individuals, foundations, and corporations interested in supporting education and the development of digital infrastructure and resources. The author explores these strategies, analyzing the advantages and limitations of each approach, and offers recommendations for universities to effectively finance their digital transformation efforts. CZU: 336:[378:004.7](1-775),,.JEL: O33, I22. DOI: https://doi.org/10.53486/icspm2023.57