SCHOOL OF THOUGHT: A. Gabriel Esteban has Seton Hall University growing in size and stature ... and he's just getting started The Interview Issue
By Tom Bergeron,
Dr. A. Gabriel Esteban, president, Seton Hall University. - (PHOTO BY AARON HOUSTON)
Seton Hall University President Dr. A. Gabriel Esteban knows about all the issues facing higher education institutions today.
Fewer students. Rising costs. A basic business model that many feel doesn’t work anymore. And then there are the issues that can come up at any time for any reason.
“Let’s face it, in this job, there are going to be decisions that are going to be controversial and wish you could take back, but sometimes you have to fly by the seat of your pants,” he said.
Esteban clearly is flying right.
Since taking over at Seton Hall in 2011, he has helped the school grow its already high academic profile and overseen a boom in building. All while assuring the school is one of the most financially sound institutions in the state and in the country.
And while keeping a pulse on his campus.
“I meet with small groups of 6-8 students and faculty every few weeks just so I can see what’s happening on campus,” he said. “I meet with student government to see what they think.”
It has been rave reviews for some time now.
NJBIZ recently sat down with Esteban to get his take on Seton Hall and higher ed.
DR. A. GABRIEL ESTEBAN
Organization: Seton Hall University
Position: President
School ties: University of the Philippines (B.S. in mathematics; MBA); Chaminade University (M.S. in Japanese business studies); University of California-Irvine (Ph.D. from graduate school of management)
Family tree: Wife, Josephine; daughter, Ysabella (in medical school)
Just Jersey
Favorite place to go/vacation: Anywhere near the water.
Favorite restaurant: Depends on type of food and where I am; too many to choose one.
Bruce, Bon Jovi, Sinatra or Whitney: Sinatra
Sopranos, Jersey Shore or Housewives of NJ: Sopranos
All you
What you wanted to be when you were 6: A medical doctor
Historical figure you’d like to meet: Jesus
Worst job you ever had: None, really; I found something to like in every job I have had.
Something about you your co-workers don’t know: I studied Taekwando, Muay Thai (kickboxing) and a little Tai-Chi as an adult.
NJBIZ: Seton Hall was at a bit of a crossroads about the time you took over as president in January 2011. It has really surged since the implementation of the strategic plan, ‘From Strength to Strength,’ in 2010. Talk about how that has worked.
A. Gabriel Esteban: The big question was where we were going to focus. Typically, there are two ways you can compete: price or product. Either you charge less and people see that you charge less than anyone else, or you offer something which is of extreme value to the prospective student.
Even though we were in the beginning of the recession, we thought it was going to be tough to compete on the basis of price long-term as long as public higher ed receives some sort of assistance from the state. So we decided to compete on the basis of what we have to offer: our educational experience.
NJBIZ: Everyone wants to do that — how do you get the right message out to the right market?
AGE: We are a very strong academic institution, one that offers a small, personalized environment — you get to know the faculty and your adviser here. We recognize it’s not for everyone. Some people like the large classes and like being quasi-anonymous at other institutions. Some people like all the things that a campus with 30,000 or 40,000 students will bring. That’s fine. Those students may have a difficult time adjusting here. We need to make sure that the message that’s sent is consistent with what they will experience here because then it starts to impact your retention. We felt if we got the messaging right, the students would come.
NJBIZ: And they have. It appears that talk of a drop in enrollment was unfounded.
AGE: In five out of the last six years, not only have we exceeded our target freshman enrollment, this year’s freshman class has 1,406 students who have higher GPAs and test scores than ever before. These classes represent our largest freshman classes since 1982. We felt if we could identify top students, whether it’s on campus visits or at open houses, and we could give them the right message, they would like what they saw at Seton Hall.
NJBIZ: That’s easy to see. Seton Hall was founded more than 150 years ago, but it’s hard to walk around and find many things that are old. Talk about that building growth?
AGE: In the past five years, we have invested $134 million in the campus. We have expanded a residence hall to include an additional 166 new beds; built a new classroom building; renovated the student recreation center; built a new fitness center; and added a new parking deck. We’re remaking a large part of the campus and we have proposed another $170 million in campus projects. Our initial undertaking will be to consolidate admissions into a new facility.
NJBIZ: Of course, one of the biggest problems in higher ed today is debt — not just student loans, but campus improvements. Has all this building brought huge debt?
AGE: For the projects we completed, we borrowed $36 million, but our debt decreased. We have less debt than we did five years ago. When we started, we had $36 million in deferred maintenance. We now have zero in deferred maintenance. It’s been controlled growth. We financed these projects primarily through cash flow and gifts.
We’ve been very conservative in how we budget. And when we find surplus funds we invest in one-time spending projects.
NJBIZ: Getting the business model right is tough; some feel many colleges and universities will not make it. Do you agree?
AGE: The current financial model for a number of institutions is not sustainable. A number of people have indicated that they expect a large number of higher ed institutions to have to merge or go under. And I have to say that I agree with that. I wouldn’t be surprised if a few mergers occur because of the big shift of demographics in this area. If you look at the number of 18-year-olds over the next decade, we are flat or declining.
And then there’s what happened in the last financial crisis; this area got hit harder than most. There has been a decline in the number of middle class families and with that large shrinkage, where do you get the students? This year, for the first time, 40 percent of our freshmen are from outside of New Jersey. Less than a decade ago, only 20 percent were from outside of New Jersey.
NJBIZ: Let’s talk about that out-of-state growth. Where is it coming from?
AGE: We have freshmen from Hawaii and over 50 freshmen from California. We have recruiters around the country. Seton Hall has a growing national reputation outside the state.
The farther away you get from New Jersey, the stronger our reputation is. We weren’t conveying that enough in the markets where we traditionally recruit.
NJBIZ: OK, recruit me: How are you selling Seton Hall?
AGE: The first would be academic programs. That covers the learning experience on campus, the mentorship/faculty advising and small class sizes that all fit under the grouping of academics. The second would be location and its impact on internships, its impact on experiential learning, its impact on student life.
The third would be our Catholic identity. When we were going through our strategic planning process, there were some who felt we should de-emphasize our Catholic mission and identity and the argument was and still is, if you de-emphasize that, you actually are changing the arena you are competing with. We are a Catholic institution. To me, and quite a few others, it wasn’t how do you de-emphasize, but, rather, how do you capitalize on your Catholic identity?
NJBIZ: So, how do you do that?
AGE: We latched onto a term we had used before and that was servant-leader. When we recruit, we talk about training and molding the next generation of servant-leaders, which fits in perfectly with our Catholic mission and identity.
By Tom Bergeron,
Dr. A. Gabriel Esteban, president, Seton Hall University. - (PHOTO BY AARON HOUSTON)
Seton Hall University President Dr. A. Gabriel Esteban knows about all the issues facing higher education institutions today.
Fewer students. Rising costs. A basic business model that many feel doesn’t work anymore. And then there are the issues that can come up at any time for any reason.
“Let’s face it, in this job, there are going to be decisions that are going to be controversial and wish you could take back, but sometimes you have to fly by the seat of your pants,” he said.
Esteban clearly is flying right.
Since taking over at Seton Hall in 2011, he has helped the school grow its already high academic profile and overseen a boom in building. All while assuring the school is one of the most financially sound institutions in the state and in the country.
And while keeping a pulse on his campus.
“I meet with small groups of 6-8 students and faculty every few weeks just so I can see what’s happening on campus,” he said. “I meet with student government to see what they think.”
It has been rave reviews for some time now.
NJBIZ recently sat down with Esteban to get his take on Seton Hall and higher ed.
DR. A. GABRIEL ESTEBAN
Organization: Seton Hall University
Position: President
School ties: University of the Philippines (B.S. in mathematics; MBA); Chaminade University (M.S. in Japanese business studies); University of California-Irvine (Ph.D. from graduate school of management)
Family tree: Wife, Josephine; daughter, Ysabella (in medical school)
Just Jersey
Favorite place to go/vacation: Anywhere near the water.
Favorite restaurant: Depends on type of food and where I am; too many to choose one.
Bruce, Bon Jovi, Sinatra or Whitney: Sinatra
Sopranos, Jersey Shore or Housewives of NJ: Sopranos
All you
What you wanted to be when you were 6: A medical doctor
Historical figure you’d like to meet: Jesus
Worst job you ever had: None, really; I found something to like in every job I have had.
Something about you your co-workers don’t know: I studied Taekwando, Muay Thai (kickboxing) and a little Tai-Chi as an adult.
NJBIZ: Seton Hall was at a bit of a crossroads about the time you took over as president in January 2011. It has really surged since the implementation of the strategic plan, ‘From Strength to Strength,’ in 2010. Talk about how that has worked.
A. Gabriel Esteban: The big question was where we were going to focus. Typically, there are two ways you can compete: price or product. Either you charge less and people see that you charge less than anyone else, or you offer something which is of extreme value to the prospective student.
Even though we were in the beginning of the recession, we thought it was going to be tough to compete on the basis of price long-term as long as public higher ed receives some sort of assistance from the state. So we decided to compete on the basis of what we have to offer: our educational experience.
NJBIZ: Everyone wants to do that — how do you get the right message out to the right market?
AGE: We are a very strong academic institution, one that offers a small, personalized environment — you get to know the faculty and your adviser here. We recognize it’s not for everyone. Some people like the large classes and like being quasi-anonymous at other institutions. Some people like all the things that a campus with 30,000 or 40,000 students will bring. That’s fine. Those students may have a difficult time adjusting here. We need to make sure that the message that’s sent is consistent with what they will experience here because then it starts to impact your retention. We felt if we got the messaging right, the students would come.
NJBIZ: And they have. It appears that talk of a drop in enrollment was unfounded.
AGE: In five out of the last six years, not only have we exceeded our target freshman enrollment, this year’s freshman class has 1,406 students who have higher GPAs and test scores than ever before. These classes represent our largest freshman classes since 1982. We felt if we could identify top students, whether it’s on campus visits or at open houses, and we could give them the right message, they would like what they saw at Seton Hall.
NJBIZ: That’s easy to see. Seton Hall was founded more than 150 years ago, but it’s hard to walk around and find many things that are old. Talk about that building growth?
AGE: In the past five years, we have invested $134 million in the campus. We have expanded a residence hall to include an additional 166 new beds; built a new classroom building; renovated the student recreation center; built a new fitness center; and added a new parking deck. We’re remaking a large part of the campus and we have proposed another $170 million in campus projects. Our initial undertaking will be to consolidate admissions into a new facility.
NJBIZ: Of course, one of the biggest problems in higher ed today is debt — not just student loans, but campus improvements. Has all this building brought huge debt?
AGE: For the projects we completed, we borrowed $36 million, but our debt decreased. We have less debt than we did five years ago. When we started, we had $36 million in deferred maintenance. We now have zero in deferred maintenance. It’s been controlled growth. We financed these projects primarily through cash flow and gifts.
We’ve been very conservative in how we budget. And when we find surplus funds we invest in one-time spending projects.
NJBIZ: Getting the business model right is tough; some feel many colleges and universities will not make it. Do you agree?
AGE: The current financial model for a number of institutions is not sustainable. A number of people have indicated that they expect a large number of higher ed institutions to have to merge or go under. And I have to say that I agree with that. I wouldn’t be surprised if a few mergers occur because of the big shift of demographics in this area. If you look at the number of 18-year-olds over the next decade, we are flat or declining.
And then there’s what happened in the last financial crisis; this area got hit harder than most. There has been a decline in the number of middle class families and with that large shrinkage, where do you get the students? This year, for the first time, 40 percent of our freshmen are from outside of New Jersey. Less than a decade ago, only 20 percent were from outside of New Jersey.
NJBIZ: Let’s talk about that out-of-state growth. Where is it coming from?
AGE: We have freshmen from Hawaii and over 50 freshmen from California. We have recruiters around the country. Seton Hall has a growing national reputation outside the state.
The farther away you get from New Jersey, the stronger our reputation is. We weren’t conveying that enough in the markets where we traditionally recruit.
NJBIZ: OK, recruit me: How are you selling Seton Hall?
AGE: The first would be academic programs. That covers the learning experience on campus, the mentorship/faculty advising and small class sizes that all fit under the grouping of academics. The second would be location and its impact on internships, its impact on experiential learning, its impact on student life.
The third would be our Catholic identity. When we were going through our strategic planning process, there were some who felt we should de-emphasize our Catholic mission and identity and the argument was and still is, if you de-emphasize that, you actually are changing the arena you are competing with. We are a Catholic institution. To me, and quite a few others, it wasn’t how do you de-emphasize, but, rather, how do you capitalize on your Catholic identity?
NJBIZ: So, how do you do that?
AGE: We latched onto a term we had used before and that was servant-leader. When we recruit, we talk about training and molding the next generation of servant-leaders, which fits in perfectly with our Catholic mission and identity.