DEPARTMENT BASED ASSESSMENT

FINANCE DEPARTMENT

COLLEGE OF BUSINESS

The Finance Department of the College of Business has continued working on the assessment process. We have completely examined our major including curriculum, courses, outcomes, as well as assessment techniques and devices. The macro priorities of the Finance Department are derived from our mission statement (Attachment One). This document commits us to a process of continuous improvement, but does not detail programs, outcomes and assessment processes. To achieve the specific outcomes and assess the results of the departments efforts involved the following six steps.

1. Faculty conversations, meetings, discussions and suggestions.

2. Input from student advisory groups.

3. Input from the "Finance Major Advisory" group and other industry professionals.

4. Faculty development of a plan of action, processes and procedures.

5. Faculty adoption of the plan.

6. Implementation activities and deadlines.

The conclusions reached during steps one through three were not particularly comforting. We decided that our major lacked sufficient focus, was not internally consistent with realistic educational objectives and lacked clear outcomes for the major or the specific courses offered. Steps four, five and six are completed. There are opportunities for improvement still remaining that must be addressed. These opportunities will be addressed through refinements as the processes are applied on a consistent basis.

Attachment Two summarizes our goals and the assessment process. In order to implement an assessment process, one must have generally accepted goals/outcomes and a clear perspective on what and where material will be covered. The first significant change was the decision that the requirements to graduate as a "Finance Major" were deficient. A student had only to take one required four hour course and any other five finance classes (twenty hours) to complete the requirements. This does not provide a consistent, focused major that produces an identifiable student product with uniform skills and competencies. Based on consultation with outside professionals, students, and faculty, a decision was reached to require three specific finance courses as part of the 24 hour major. These three courses will each have substantial critical thinking expectations. While most Finance courses contain "critical thinking" components, our advisors suggested, and the faculty agreed, that these three would provide not only a common body of knowledge, but also help integrate the curriculum better compared to other Finance courses which are considered to be more "content" based.

Within the context of the different finance courses, a study was undertaken to identify specific competencies for undergraduate finance majors. Attachment Three indicates the outcome areas and where in the core course, major courses, or specialized courses responsibilities for insuring that these competencies are developed. This document is an operating guideline for faculty teaching these courses.

Attachment Four is an outline of our assessment guidelines. This item illustrates some of the steps and efforts we investigated in our internal efforts to achieve an assessment and continuous improvement process.

The end product of the faculty activities detailed above was the adoption of comprehensive goals and assessment strategies in each Finance Class. Attachment Five contains the summary of goals and assessment strategies for the core class required for all business students and for the three required Finance courses for majors. In effect, the goals listed for the undergraduate service course and for the three required courses represent the minimum goals for our students. Similar goals and assessment strategies have been developed for all finance courses.

A final assessment step will be a multiple choice/short answer exam that will be administered in the capstone finance course (461). A test bank for each Finance course has been assembled. Graduating seniors will take this exam, which will entail ten randomly selected questions from each Finance class they have taken. For example, all will eventually have taken the core course and the three required classes plus at least three additional Finance classes. Thus each student, near the end of their senior year will take at least a seventy question quiz. This will provide feedback and an assessment of their finance program. Attachment Six is a sample of this exam.

Evidence of goal accomplishment is limited because of the time and effort committed to evaluation of the curriculum and outcomes development. The results we have to offer is faculty agreement and support for a completely revised major with mutual support for the outcomes to be obtained and to achieve meaningful assessment. Attachments Three, five and six reflect these accomplishments. Other activities include a careful demand analysis and teaching plan to insure that the "new" required courses are available for our majors. Attachment Seven provides some of the results of this effort. Further modification of the teaching plan will be necessary since our capacity for 1997-98 will likely be 52 sections.

The most significant change/activity for the next academic year is the application and continued improvement of the "new" major, outcomes, and assessment strategies during the 1997/1998 academic year.

We will need much work in the assessment area. A test, quiz, or "course embedded" technique in the capstone course may work. At least the feedback on material retention will be useful and help identify areas for further work. However, there are likely other assessment methods that may be more useful. Specifically student portfolios or similar devices may be better. Our goals and objectives seem relatively firm, but the methods used to measure results are less clear.

The Finance Department has made significant progress this past year. Evaluation of our major and recognizing (or admitting) weaknesses is a large step in the right direction. Developing a new curriculum with outcomes and assessment strategies for each course and an exit test or assessment device are a major accomplishments. While we have met the basic charge of establishing department based assessment, continued improvement is necessary. The academic year 1997-1998 will be a year of refinement of our process.

Attachment One

FINANCE DEPARTMENT

Mission Statement

The Finance Department is dedicated to providing a quality educational component to Finance majors, other College of Business students and to non-business students from other colleges at Ohio University. This involves providing adequate numbers of spaces in basic finance classes to meet CoB core requirements and non-CoB student interests as well as sufficient advanced courses to prepare finance majors for a changing and global environment. The department also accepts responsibility for outreach programs in which the College of Business has obligations. These include regional campus and international programs.

The Finance area is one of gradual change and modification. While orientation and market factors are evolving, many principals and concepts remain in place for relatively long periods of time. The challenge facing the Finance faculty is to continuously review course offerings and add innovations, new courses, and shift orientation in a timely fashion. While improvements in course and curriculum aspects are occurring, the department is also committed to increasing the level of student orientation and service.

To accomplish these tasks the Finance Department places high priority on the following factors:

• Review of existing courses by the Finance faculty. Each course will be reviewed at least biennial in terms of content, pedagogy, trends, and possible improvement. This effort is advisory to the faculty members teaching the class.
• Student evaluations are used in each class each quarter to provide student input.
• A high and increasing level of student services are necessary. This includes limiting close-outs, response to student questions/problems, and improved advising. Class scheduling will be accomplished with student need in mind as the primary goal.
• Faculty members are encouraged to attend professional meetings and continuously update their teaching and research skills and contribute to the intellectual body of knowledge.
• Faculty members are encouraged to engage in consulting, management development programs, and other business activities that add contemporary business experience.
• Activities that increase linkages between students and business practices are to be encouraged. This includes internships, externships and the Small Business Institute Programs.
• Teaching effectiveness and professional activities are the primary factors used in annual evaluations, promotion and tenure decisions, and annual salary adjustments.

These activities provide a system of information, review, and change that will ensure an environment of continuous improvement in the Finance Department.

Finance Department will provide The use of a hand held non-

scratch paper. programmable calculator is

permitted.

Directions: Read all of the instructions on the answer sheet carefully and then fill in all of the information asked for. Then finish reading these directions.

This test is based on a variety of textbooks and handout materials, not on a single course nor professor’s notes. Therefore, you should not be alarmed if there are questions on topics you have not studied. If you have prepared well in your coursework, you can expect to do well on this test even if you cannot answer some questions. However, there is no penalty for guessing. The Finance Department is using the results of this test to give it one indication of what its majors have learned and retained. From the results might come ideas for improving the course offerings or the content of a specific course. Through your cooperation we can possibly detect areas of strength and weakness in the preparation of our students. Therefore, we thank you for your time and cooperation in taking this examination.

There is no time limit on this test, so there is no need to hurry. Most students spend about two hours on the test, but you are free to take longer if you wish. As you go through the test, only answer questions in those courses you have taken. The questions are grouped by course. If you did not take a course, skip the items related to it and go to the next course items you have taken. Choose the best answer for each question. Following the number on the answer sheet corresponding to the question you are answering, completely fill in the one lettered space that agrees with your choice of answer for each question. This test booklet might be used again, so please do not write or mark on it unless you are given specific directions that it is OK to write on the test booklet. Open the test booklet when the proctor tells you to start the test. Good luck and thanks again for helping us to become better.

Example: Sample Answer:

Liquidity can be measured by which The correct answer is B.

of the following: Therefore, the space lettered

a. Acid test, debt ratio, leverage "B" on the sample answer

b. Current ratio, acid test and net working capital grid is filled in

c. Total asset turnover, current ratio and debt-

to-equity indexes

d. Current ratio, profit margin and inventory takeover.

e. None of the above is correct

You will be able to find out your relative performance on this assessment by calling the Finance office in approximately one (1) week. You may drop by Copeland 201 for more details about your performance.

(Course EMBEDDED)

All students who have completed Finance 325 (Managerial Finance) should answer Questions 1 through 20.

1.... 20

20 questions selected from 50 submitted by Finance 325 teachers (Pugh, Wright, etc.)

Students who have completed Finance 327 (Banking and Financial Systems) should answer questions 21 through 35

21. ..... 35.

15 questions selected from 40 submitted by Fin 327 teachers (Rangan, Chieffe, etc)

Students who have completed Finance 341 (Investments) should answer questions 36 through 50.

36......50

15 questions selected from 40 submitted by Fin 341 teachers (Manzi, Chieffe, etc)

Students who have completed or are taking Finance 461 (Problems in Finance) should answer Questions 51 through 65.

51.......65.

15 questions taken from 40 submitted by Fin 461 (Rangan, etc)

Students who have completed Finance 331 (Risk and Insurance) should answer questions 66 through 75)

66......75.

10 questions taken from 25 submitted by Fin 331 professors (Reynolds, Patterson, Chieffe, etc)

Students who have completed Finance 436 (Life Insurance) should answer questions 76 through 85.

76.......85.

10 questions from 25 submitted by Fin 436 professors (Reynolds, Snider, etc)

Students who have completed Fin 437 (Financial Planning) should answer questions 86 through 95.

86....95.

10 questions from 25 submitted by Fin 437 professors (Reynolds, Snider, etc)

Students who have completed Fin 439 should answer questions 96 through 105.

96......105.

10 questions from 25 submitted by Fin 439 professors (Reynolds, Snider, etc)

Students who have completed Fin 445 (Portfolio Management) should answer questions 106 through 115.

106......115.

10 questions from 25 submitted by Fin 445 professors (Manzi, Rangan, etc)

Students who have completed International Finance (Fin 455) should answer questions 116 through 125.

116....125

10 questions selected from 25 submitted by Fin 455 professors (Rangan, Mikhail, Chieffe, etc)

Students who have completed Credit and Lending (Fin 450) should answer questions 126 through 135.

126.....135.

10 questions selected from 25 submitted by Fin 450 professors (Rakes, etc)

Students who have completed Small Business Finance (Fin 452) should answer questions 136 through 145.

136.....145.

10 questions selected from 25 submitted by professor of Fin 452 (Pugh, etc)

Students who have completed Bank Regulations (Fin 269) should answer questions 146 through 155.

146.....155

10 items selected from 25 submitted by Fin 269 professors (Gray, etc)

Students who have completed Real Estate Finance (Fin 453) should answer questions 156 through 165.

156....165.

10 items selected from 25 submitted by Fin 453 professors (Mikhail, etc)

Thank you for your assistance.

We appreciate your efforts.

Faculty & Staff

Finance Department

G. Kaye Rakes, Chairperson

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