Consultancy as a means of income generation for universities

In terms of a University´s total annual turnover the income from nonmainstream activities rarely accounts for more than 5% of that revenue stream of which consultancy is unlikely to be the major contributor. Whilst it is clear that many staff indulge in consultancy, whether this activity is reported and recorded is an entirely different matter depending on among others the contractural requirements and the established custom and practice. From the University´s perspective consultancy work although a very small part of the total business is important and if handled professionally can create new commercial opportunities. It also helps update academic staff, brings them into contact with the real world thereby contributing to their teaching and research output. With the gradual 14% reduction in funding council grant over the next 4 years which may turn out to be between 25 and 35% in real terms depending on inflation there is an incentive for Universities to bring consultancy work within a more formalised system so that the University as well as its staff are the beneficiaries