If your institution is facing internal financial aid processing challenges beyond the expertise and sophistication of your team, leveraging best-practice back office services provides an optimal solution. This strategic choice yields proven returns through cost savings, improved student service, and rock-solid compliance. Outsourcing allows financial aid staff to shift their focus from administrative burdens to student counseling and engagement. It also allows colleges to implement new levels of automation that eliminate manual steps and enhance accuracy.
Scalability
While automation can reduce the staff required to process student applications, institutions should also consider leveraging predictive analytics to identify applicants most needing assistance. It can streamline the application and review process while helping ensure scholarships are awarded to genuinely needy students. To do this, institutions should select financial aid processing services that are flexible and configurable. It allows them to implement automation and create personalized workflows without sacrificing their unique processes. The availability of student support services can determine whether a student completes their degree program. These services include tutoring, childcare, financial aid, student health services, and more. These programs can help students overcome barriers to graduation, such as financial concerns, family issues, and mental health challenges. To maximize enrollment, institutions should promote these student services to prospective and current students. They can also encourage students to apply for financial aid by publishing regional and national scholarship opportunities on their websites.
Flexibility
Institutions must offer competitive financial aid packages to attract students and meet enrollment goals. However, reducing the complexity of the application and ensuring that aid packages are clear and attractive is a complex task. Research shows that lack of information and the complexity of financial aid processes are significant barriers to college access for low-income and first-generation students. Streamlining the application process and offering more information can help.
In addition, the earlier applicants are notified of their offers, the more time they will have to select an institution and enroll before deadlines. ML and AI systems can help to automate repetitive tasks (packaging, RT24, aid reconciliation) and reduce human error (audit prevention, over-awarding, email). Additionally, they can personalize offers based on individual student data, providing greater flexibility while ensuring that all students are treated fairly. It’s essential as the education industry evolves into more personalized and competency-based models.
Analytics
For students, access to higher education is a powerful tool for social mobility. It also empowers individuals with the skills and opportunities to drive innovation and economic growth. However, financial barriers impede the pursuit of knowledge for many. That’s why financial aid is so important. In a time of limited resources, it is critical to balance maximizing access with ensuring that the limited funds are used wisely. For example, shifting focus from need-based grants to merit-based scholarships may have unintended consequences on expanding access by favoring those who would attend college anyway.
Data analytics allows for a nuanced approach to scholarship distribution, ensuring that students are awarded the most appropriate and equitable assistance. In addition, it can help institutions identify at-risk students early so they can provide timely interventions. It is vital as the pandemic continues to impact enrollment rates. Streamlining the process and providing more precise communication is one way to increase student engagement and retention and reduce the number of students who still need to complete their degree programs.
Automation
For financial aid programs to have the most significant possible impact, institutions need to be flexible enough to respond to the changing needs of their student body. They must also be able to reduce time spent on administrative tasks through automation. For example, an AI system can help with packaging and RT24 and aid reconciliation by automating repetitive processes and reducing human error. Students often need to learn about the many resources and services that are available to them on campus. They may feel embarrassed about asking for support or fear judgment from faculty and staff. Some may even miss deadlines due to insufficient communication from their institution.
Student affairs teams can improve communications by using two-way texting to reach out to students proactively. This tool can reduce barriers to student engagement by allowing students to text questions, book meetings, and receive information in the medium they are most comfortable with. Staff members dealing with student affairs can also concentrate on more profound and more intricate exchanges.