Iberoamerican Business Journal

Vol 5 N° 1 | Julio 2021 pp.38 - 48

ISSN:2521-5817 DOI: http://dx.doi.org/10.22451/5817.ibj2021.vol5.1.11051

Escuela de Postgrado Neumann

División de Negocios, Universidad Anáhuac Mayab, México.

ORCID ID

https://orcid.org/0000-0002-2035-2113

E-mail:

francisco.barroso@anahuac.mx

Enhancing student retention. A study in private higher education

institutions in the South East of México

Fomentando la retención estudiantil. Un estudio en instituciones de educación

superior privada en el sureste de México

Dr. Francisco G. Barroso-Tanoira

Recepción: 06/03/2021. Aceptación: 15/04/20021. Publicación: 30/07/2021

Enhancing student retention. A study in private higher education institutions in the South East of México

Escuela de Postgrado Neumann

In a study I conducted in local

private higher education institutions, it

was observed that the most important

reasons

for

student

retention

are

outstanding personalized attention by

tutors, school authorities, staff and

professors, followed by the economic

factor and academic achievement. So,

quality in attention is the first step for

creating a positive learning environment

for students to engage in their own

learning, making schools become places

where talent and opportunities meet.

Then, more than thinking in retaining

students through financial strategies,

marketing efforts or trying to amaze them

with impressive buildings and facilities,

there must be better academic tutoring

and vocational orientation, less students

per tutor and more effectiveness for

solving their problems, also eliminating

useless remedial courses. Close and

frequent relation with school authorities is

very important for enhancing confidence.

KEYWORDS: school dropout, higher

education institutions, customer service,

private education, school administration.

In my experience as a business

consultant and a university business

administration professor, I have asked

three specific questions to different

audiences. The first one is about the main

purpose of a business enterprise. Most

people will answer that it is making

money, earning profits and fulfilling

investors’ expectations. However, those

answers are incorrect because the main

purpose of any enterprise (a business

one, a school, a church or even a sports

team,

for

example)

satisfying

customers’ needs and expectations with

value. So, for a business enterprise,

making money is just a result of a well

done job, although money could be the

most important purpose for the owners.

Then, the way in which enterprises are

seen must change from money makers to

problem

solvers

and

satisfaction

achievers. This is consistent with Nevins

(2019), who referred a change in

perception issued by an organization

called “The Business Roundtable”, in

which

the

main

purpose

any

organization is balancing the needs and

commitments

all

shareholders

(employees, customers, suppliers, local

ABSTRACT

INTRODUCCIÓN

Francisco G. Barroso-Tanoira

Escuela de Postgrado Neumann

communities), instead of shareholders

expectations, as it was thought before.

Another question generally asked

is if business enterprises live from their

satisfied customers. Again, the answer is

no…they don´t live from satisfied

customers, but from loyal customers.

Achieving satisfaction is not enough!

There´s no guarantee that a satisfied

customer will come back, but if they get

satisfied every time they are in contact

with the organization, he

could become

loyal. Pareto´s law is present in all of this

in many business organizations: about

20% of their customers, who are the loyal

ones, represent up to 80% of the profits.

And trying to get a former loyal customer

back could cost up to five times more

than keeping him satisfied. But monetary

reasons must not prevail over the most

important: customers are humans, they

have dignity and the right to be treated

with courtesy and value. Building loyalty

is essential for any organization because

it´s a combination of attitude and behavior

which

will

make

customers

keep

operations with the same company

In this document, “he”, “his” and “him” also refer to

“she”, “her” and “her” respectively.

regardless of outside factors (Suchánek &

Králová, 2019)

There´s a third question. Which is the

reason for business enterprise success?

There could be many answers, but there

are three main ones:

1) Technology. This will depend on

the kind of enterprise, from those

which

are

too

technologically

operated, to the simple ones which

just need a few things. However,

as an average, we could say that

business success depends only

20% on technology.

2) Certifications

and

accreditations. It´s important to

be certified (for processes) or

accredited

(for

schools

and

programs). However, it represents

only 30% of business success.

3) Employees. Yes. Having the

correct people is at least 50% of

any

organization

success.

Besides, human resources are

difficult to imitate, so employees

are a source of competitive

advantage. At this stage, it is

important to avoid confusions

Enhancing student retention. A study in private higher education institutions in the South East of México

Escuela de Postgrado Neumann

between

employees,

human

resources and human capital (Noe,

Hollenbeck, Gerhart and Wright,

2019). Human resources are not

the employees, but everything the

employees give the company for

achieving

organizational

goals

(time,

production,

motivation,

knowledge, etc.). Human

capital is

not the employees, but the value of

intellectual

assets

called

competencies

(knowledge

abilities + attitudes).

We could add a fourth one to

complement that list, an it is

resilience (Ayala & Manzano,

2014), which is the ability for facing

the uncertain future with creativity

and optimism, solving problems

and

overcoming

adverse

circumstances

All of the above is about business

enterprises. How is it possible to be

successful

higher

education

institution? There are reports of students

who drop out school, which leads to

demotivation and low self esteem, as well

as a waste of time and resources for

them, but also a loss for the school.

However, there are actions to be

taken to retain students, such as fostering

emotional wellbeing, mental capacity, aid

in case of financial problems, and social

belonging (Hurtado, Hunt & Gardner,

2019).

Nobody wins with dropping out.

(Barroso, 2014). Besides, most students

do not express the reason for dropping

out or changing school, so school

administrators

lack

information

for

designing effective strategies to avoid

losing students. So, the objective of this

research was to identify the reasons that

would make higher education institutions

retain students.

Why is it important to study student

dropout and retention?

Schools could be losing money

trying to retain students lowering tuition

fees, offering discounts or just investing in

improving buildings. There are some

institutions which increase marketing and

promotion efforts, but when the student

arrives, he could perceive that those

promises are not real. It is important for

institutions to invest in having the best

attention possible, so students feel as

part of it and not just as another number.

It is not retaining students just because

Francisco G. Barroso-Tanoira

Escuela de Postgrado Neumann

they pay a tuition, but because they

deserve to be taken in mind and the

confidence placed by their parents in the

institution.

The information presented

in this work will help school administrators

to make decisions for retaining students

and help them not to leave school, but

without the idea that schools are just

business units. Besides, the information

gathered here could also be helpful for

business

enterprises

and

other

organizations with the corresponding

changes and adaptations. In the South

East of México, more than 20 higher

education institutions could be benefited,

helping students stay, continue and

graduate.

A preliminary study. Why do students

quit?

In a study performed I directed

(Barroso,

2014)

with

124

dropout

students from private higher education

institutions in the South East of México,

the most frequent causes were: (1)

avoidable, or (2) unavoidable:



Unavoidable

causes:

there´s

nothing the student or the school

can do about them, such as

change of residence, disease,

family

problems

lack

adaptation to the environment (if

he´s foreign).



Avoidable causes: those are

causes able to be predicted and

solved before the problems arise

(proactive focus), like academic

problems,

family

economic

situation, relation with the school

tutor, problems with professors

and the relation with the Dean.

So, the correct Dean´s leadership

style is very important for creating

a confidence environment in which

the student could get identified

with

him,

enhancing

communication and help.

The most important reasons for

dropping

out

were

not

economic

problems, as it could be expected, but

academic ones. It refers to students with

lack of preparation for the university or

with problems in class. So, remedial

courses could help improve the academic

performance, followed by the contact with

mentors and the Dean. Having tutors (this

is, professors who give orientation to

students) is very important for helping

Enhancing student retention. A study in private higher education institutions in the South East of México

Escuela de Postgrado Neumann

students if there are problems, but

avoiding the student depend on them.

Tutors must be professors with a positive

attitude to the institution and a deep

knowledge about the programs, systems

and strategies for solving problems. In

some

institutions

they

are

called

“mentors”, so there´s a mentoring

program.

For keeping students at school,

Barroso (2014) indicates that institutions

must improve: (1) career aspects such as

curriculum, course availability, adequate

schedule,

personalized

attention,

organizational

environment;

(2)

accessible

tuition,

scholarships

and

payment plans are necessary, as well as

exchange

programs

with

foreign

universities; (3) quality of professors, and

(4) improve administrative processes,

which means getting rid of excessive

bureaucracy and increase efficiency.

This is consistent with Hurtado et al.

(2019) regarding the need for emotional

wellbeing, financial problem solution and

enhancing social belonging.

How to retain students?

I conducted another study in the

second semester of 2018 to find how to

retain students at school. The study was

quantitative, with a descriptive scope and

a non experimental (ex post facto) design

(Hernández-Sampieri & Mendoza, 2018).

The method was deductive with field work

and the gathering technique was a

survey,

with

the

corresponding

questionnaire.

The participants were 154,

from four private universities in Mérida,

Yucatán, México. In the sample, 86

(55.8%) are women and the average age

was 22 years old. As the study was

general, there was no division because of

the major studied. The four universities

have the same conditions in general and

are directed to the same socioeconomic

segment (high income), all of them with a

diversity of careers, exchange programs

and language centers. One of them has

more than four thousand students and is

part of an international institution system,

while the others have presence in the

country

and

the

campuses

are

approximately the same size, with about

two thousand students each. Two

institutions have catholic inspiration. The

instrument

was

questionnaire

designed and validated for the study,

which was implemented with the help of a

group of collaborators prepared for the

task.

Francisco G. Barroso-Tanoira

Escuela de Postgrado Neumann

The results showed that the most

important reasons for students to stay at

the same school were related to

outstanding attention provided by the

academic tutor and professors, followed

school

authorities

and

the

administrative staff (see figure 1). This

means that schools must improve their

service quality and get rid of heavy

bureaucratic procedures. Attention by

tutors, professors and authorities is

academic

achievement

because many of the dropping out

reasons are avoidable, as it was stated in

my 2014 study.

Figure 1. Needs of outstanding attention

demanded by students (%)

Quality attention and service for

keeping students satisfied at school

Quality in attention is the first step

for

creating

positive

learning

environment for students to engage in

their own learning, making schools

become

places

where

talent

and

opportunities meet. And, according to the

study, the economic factor is important,

but it is not the most crucial because

students in private institutions already

know they have to pay a tuition fee.

More than attracting students

through financial strategies, discounts,

marketing

efforts

and

impressive

buildings and facilities, there must be a

better academic tutor (mentoring) system,

more effective vocational orientation, less

students per tutor (there are schools with

more than 50 per tutor!) and more

effectiveness

for

solving

students’

problems. All of this must be with good

academic level and eliminating useless

remedial courses.

Offering the best service possible

refers to meet and exceed students’ and

their

parents’ expectations, creating a

great environment, enhancing in students

a sense of belonging and confidence. It

is incredible to know that there are

schools in which students have never

seen their Dean, or they may have seen

him, but without contact. For that,

institutions

will

require

inspiring

leadership, easier procedures and a

The economic factor

School administrative…

Academic achievement

School authorities

Professors

Tutor

Enhancing student retention. A study in private higher education institutions in the South East of México

Escuela de Postgrado Neumann

closer and more frequent relation with

students, their parents and the most

relevant

members

society

(government, enterprises an education).

And for having the best professors there

must be constant training, effective

performance

reviews

and

acknowledgement. Being accredited to a

serious organization is also important, but

that is just a measure for quality, not a

synonym of it.

1) To

which

extent

are

your

students

satisfied

with

the

service

provided

your

school?

1= Not satisfied at all

2= Not satisfied

3= More or less satisfied

4= Satisfied

5= Totally satisfied

2) To which extent does your staff

offer the attention your students

(and parents) need?

1= Their attention is unacceptable

2= Their attention is poor

3= Their attention is just acceptable

4= Their attention is good

5= Their attention is outstanding

Now, use your answers as coordinates

and mark with an “x” the corresponding

square:

Staff attention: horizontal axis

Student´s satisfaction: vertical axis

Figure 2. Areas according to staff

attention and students’ satisfaction

Now, there´s the explanation to the figure

according to the areas. Identify your

area.

Area

deficient

attention,

low

satisfaction.

This is a negative situation at school, and

could be a reason for students to leave.

Staff attention

Stu

Area 1

Area 2

Area 3

Area 4

Francisco G. Barroso-Tanoira

Escuela de Postgrado Neumann

CONCLUSIONS

You must do something urgently for

improving your service to students.

Remember that student dropout is not

due only to low academic performance,

but as Hurtado et al. (2019) indicate,

emotional wellbeing could be a better

indicator than financial problems.

Area

good

attention,

low

satisfaction

Your school may be doing efforts for

giving a good service, but it may not be

the one required by your students (or

family parents). It seems to be too much

work towards an incorrect target. Even if

things have been good in the past, lack of

innovation leads to lo satisfaction.

Area

good

attention,

high

satisfaction.

This is the desirable stage. There is a

match between what the students (or

family parents) need and what the school

is giving them. It is time for maintaining

competitive advantages and develop new

ones. Opportunity for creating loyalty.

Area 4: deficient attention, high

satisfaction.

Lucky you! Even though service is not

good, students are satisfied. This could

be because you are the only school in the

area or because students (or parents) are

not exigent. But be careful and don´t stay

in a comfort zone because there could be

another school willing to settle down in

your area to catch your students. We

can´t say there´s loyalty to the school in

that condition.

As an important note, if you marked any

3, you are in the middle…and being in the

middle is dangerous because you haven´t

differentiated your school.

Many education institutions try to

enroll students just through marketing

efforts emphasizing modern facilities,

cafeteria, air conditioning or prices.

Professors are mentioned at the end of

the list. However, higher education

schools must invest more in their

teaching staff and improving service, so

students feel part of the institution and not

just another number. An important effort

must be made for enhancing a better

attention from tutors, professors and

Enhancing student retention. A study in private higher education institutions in the South East of México

Escuela de Postgrado Neumann

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administrative procedures easier. All of

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It is not retaining students just

because they pay a tuition, but because

they deserve to be taken in mind because

they are persons. For that, keeping the

best professors is a must.

As you could see, even though this

article is about school administration, the

exercise and conclusions could also be

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best enterprises are those which offer an

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