Department of Finance, Robinson College of Business, Georgia State University

Undergraduate Program Assessment

 Master of Science Program Assessment

Master of Business Administration

Doctoral of Philosophy

 September, 2004

Programmatic structure and goals

The goal of the undergraduate finance program is to prepare graduates to succeed in entry-level positions in finance and elsewhere in business. The faculty believes that to achieve this goal students should have proficiency in three general areas. The first is communication skills. Graduates should be able to write business reports of a financial perspective and give presentations that are concise, identify key issues, evaluate the issues, flow logically, and reach a supported conclusion. A second skill, which is supportive of the first, is that graduates should be able to think critically. The third area is to have technical knowledge of finance. The following enumerates what each student should be able to do at graduation.

1. Explain the role of finance within the organizational structure of a modern firm, including international dimensions;
2. Describe the nature of and reasons for the changing character of domestic and international financial markets.
3. Accurately use the tools of financial analysis (cash flow statements, common-size statements, financial ratios, cash budgets, pro forma statements, sustainable growth analysis);
4. Evaluate the financial health of a business, identify its funding needs, and design a simple capital structure;
5. Evaluate business decisions through the use of time value of money concepts and calculations;
6. Evaluate and make decisions regarding capital investment expenditures;
7. Value equities using basic valuation models;
8. Value fixed income assets without embedded options;
9. Describe and calculate the effect of interest dynamics on fixed income prices;
10. Value basic contingent claims;
11. Do basic foreign exchange calculations for the spot and forward markets; and
12. Demonstrate advanced knowledge in one area of finance;

 

The Department operates within the overall Robinson College of Business BBA program. Consequently, some of the requisite communication and critical thinking skills will be developed outside the finance department. Recognizing this together with the knowledge that the Undergraduate Program Council monitors the non-major portion of the BBA program, the Department of Finance’s assessment plan focuses on the finance curriculum.

Finance majors take eighteen hours of 4000-level finance courses. Half of the amount is required and the other half elective. In addition, Finance majors are required to take ACCT 4210, an upper level course in cost and managerial accounting. The beginning point for the undergraduate finance curriculum is FI 4000, “Fundamentals of Finance.” Finance majors must take this six hour course prior to any other 4000-level courses with the exception of FI 4020. Electives beyond FI 4000 are in the three areas of corporate finance, investments, and financial institutions.

 

Assessment methods

1. Assessment by faculty

• First, in each course the instructor uses the appropriate set of problem sets, quizzes, class evaluation, papers, and exams for that course.
• A second level of faculty assessment occurs via course coordinators for FI 3300, FI 4000, corporate finance electives, investment electives, and financial institutions electives. The general role of the coordinators is to ensure commonality across sections of the same course, identify curriculum problems, lead course revision and development, and generally monitor the course or courses.
• A third level is feedback from faculty teaching elective courses. This is especially critical for assessment of FI 4000. FI 4000 serves a dual role. It presents some material that will not be further developed in the electives, but mostly FI 4000 teaches financial topics that are prerequisite knowledge for the electives. Elective course faculty is therefore in an excellent position to assess whether the FI 4000 learning outcomes have been achieved. As an example, if a faculty member teaching real options in a corporate finance elective finds that students are having difficulty with binomial valuation (a foundation for real option analysis and a learning outcome for FI 4000) this is communicated to the FI 4000 faculty so that the FI 4000 faculty can take corrective action.

2. Assessment within the University but outside of the Department

• All BBA students take the capstone course BUSA 4980, “Strategic Management,” in their senior year. Both grade and instructor feedback from this course provides assessment within the RCB but outside the Department.
• BBA students also take the Educational Testing Service Major Field Test that evaluates performance of each student across all major areas in the BBA program. The Department monitors performance of Finance BBAs in the finance area as well as the other disciplines.

3. Assessment by students

• Upon the completion if each course, students evaluate faculty and the course when the students complete the Student Evaluation of Instructor (SEIP). These data are used by both faculty and the Department chair to monitor performance and seek ways for instructional improvement.
• Once a year, in the spring term, the Department will survey all existing Finance majors. The instrument will be the one used by the University Office of Institutional Research (OIR) in academic program review. While departments typically use this survey when doing their formal program reviews, it is possible to use the survey on an ongoing basis. The Office of Institutional Research is developing a database of survey results across the entire University. With this database, the Department will be able to annually compare responses on learning outcomes and satisfaction to more general University results.
• After each term all graduates in that term will be surveyed. This instrument, administered by the University Office of Institutional Research, focuses on learning outcomes, student engagement, academic program satisfaction, and employment status. The high frequency (three times per year) and the ongoing yearly cycle provide continuous program feedback. The frequency also permits time series analysis of program change.
• Each year the University Office of Institutional Research will conduct a focus group of a cross-section of eight to fifteen undergraduate students. The Department together with Institutional Research will develop the focus group questioning structure. The focus group will provide more depth than the exit surveys and will elicit feedback that is not possible in a structured questionnaire environment.
• The exit surveys are followed up three years later with surveys of alumni. The passage of time permits the graduates to provide perspective from their employment to give insight on the finance curriculum and its effectiveness for their jobs. This survey instrument will also be administered by the Office of Institutional Research and will be done every three years.

4. Assessment by external constituencies

• Discussions with actual and potential employers of Finance BBA graduates not only gives the Department feedback about the achievement of the learning outcomes but also identifies new learning outcomes that should be added to the Departments program. This includes potential employers who have chosen not to hire our graduates.
• Feedback from sponsors of student internships is another channel of assessment. Willingness to take additional interns in an important signal as well as detailed comments about specific strengths and weaknesses.

5. Assessment oversight and program improvement

• A committee composed of the course coordinators for FI 4000, corporate finance electives, investments electives, and financial institution electives along with the Department Chair will meet periodically to review the results of all assessment methods.  Currently, the individuals that will comprise this committee include Gerald Gay (Chair), Craig Ruff (FI 4000), Jason Greene (Investments), Peter Eisemann (Financial Institutions) and Alfred Mettler (Corporate Finance) include. This committee will work to identify areas needing change and then work with the entire Finance faculty to effect that change.

Operational Details of Assessment Plan

 

OIR academic program review survey of all Finance majors

• Frequency: Once per year in spring
• Timing: Third week of the semester
• Paper based (electronic under development)
• No flexibility on questions
• There is one open-ended question
• Department business manager uses University database to print two sets of mailing labels to permit a second mailing to non-respondents.
• Department delivers labels to Office of Institutional Research
• Office of Institutional Research administers survey and provides results.
• 12-week cycle

 

OIR exit survey of Finance graduates

• Frequency: Every term
• Timing: After completion of term and graduation
• Paper based (electronic under development)
• No flexibility on questions
• There is one open-ended question
• Office of Institutional Research does all parts of this survey from mailing lists to sending questionnaires to data analysis
• 12-week cycle

 

OIR focus group of selected Finance majors

• Frequency: Once per year in Fall
• Timing: Between mid-terms and final exams
• Department develops key issues to be probed
• Meet with Office of Institutional Research to further develop focus group questions
• Department must secure the focus group
• 10-12 students optimal but between 8-15 works
• Some need to over-invite because of no-shows
• Faculty members provide signup sheets and times
• Department determines the best time and arranges for that group of students
• Meet in classroom rather than Department area
• Lunch with food often improves ability to get participants
• Office of Institutional Research will use computer program to map data

 

Alumni survey

• Frequency: Once every three years
• Timing: Not determined
• Alumni: Three years after graduation
• Department must go to Alumni Association and obtain addresses for alumni
• Excel file permits electronic execution
• If mailing labels, two are needed to permit follow-up survey
• Survey instrument can be the University standard questionnaire or Department developed
• 12-week cycle

 

Departmental Review and Continuous Improvement

• Dept. Assessment Review Committee convenes annually and reviews findings
• Recommendations developed for improvement
• Recommendations taken to faculty
• Recommendations implemented