Creating Sustainable Competitive Advantage in Institutions of Higher Learning: A Case of United States International University

A Project Proposal Submitted to the Chandaria School of Business in Partial Fulfillment of the Requirement for the Degree of Masters of Business Administration (MBA)The purpose of the study was to investigate how USIU can create and sustain a competitive advantage. The study was guided by three research questions: How can USIU differentiate its services to enable it create sustainable competitive advantage? How can cost leadership be used to create sustainable competitive advantage at USIU? How can USIU leverage on its human resources to create sustainable competitive advantage? The total population for this study comprised of both under graduate and post graduate USIU students. The population comprised of only those students who were registered and in session as per the registrar’s records, at the time that the study was carried out. The study adopted a descriptive research design. This design was appropriate for this study because it necessitated collection, organization and summarizing data from a sample for conclusions. The data analysis involved measures of central tendency and frequencies. The data was presented by bar graphs, pie charts and frequency tables. The study revealed that USIU has standardized and simple service delivery procedures that contribute towards ensuring that the institution provides services within the expected time frame. The institution has also scheduled the opening hours of administrative offices to ensure that they are convenient for the diverse population of students that includes both part time and full time students. The institution values feedback from students to improve service performance and implements the suggestions leading to better service delivery. There is also an efficient and effective e-learning platform that ensures that students can access information from anywhere in the world. The staff members also have good knowledge of the systems and procedures and are willing to assist the students with all their queries. With regard to cost leadership, majority of the students agree that the fees charged at the institution are reasonable. Due to the large number of students, the resulting economies of scale also make other rates for instance the school bus services affordable. USIU has focused on ensuring that it has a culture of efficiency and quality and consequently lower costs of doing things by embracing information technology. In addition by ensuring that available resources are used to their full capacity, the institution is able to keep costs at a minimum and transfer the same benefits to students. The study also revealed that the academic staff members at USIU show a sincere interest in solving student problems. They are positive minded and enthusiastic about their job which leads them to avail themselves for further consultation and assistance even outside the confines of the classroom. USIU regularly organizes workshops and trainings for her staff to ensure that they keep up to date with developments in their various fields and also to give them a chance to interact, share and learn from each other. This contributes towards the development of a strong team spirit among the staff members. In addition, USIU has a strong mentorship program that gives the opportunity for staff and students alike to help others grow as they themselves learn from those who are more experienced. In conclusion the study clearly shows that USIU has been able to create sustainable competitive advantage by differentiating its services. Offering quality and superior services has enabled the institution to distinguish itself from the rest and create a distinct advantage. A focus on cost leadership also endears the institution to many students who are interested in getting value for their money and also enables the institution to keep operating costs at a minimum. In addition, the institution invests heavily in its human resources ensuring that they are motivated and kept up to date with recent developments. As a result the staff members are enthusiastic and are ready to go the extra mile to see to the success of the institution. This provides a distinct source of competitive advantage that sets the university apart from the rest. The study therefore recommends that Kenyan Universities should consider adopting differentiation and low cost strategies to contribute towards a sustainable competitive advantage. Investing in human resources should also be given the weight it deserves as it is clearly an avenue for creating sustainable competitive advantage. The study also proposes that further research should be done to identify other factors that can contribute to sustainable competitive advantage in Kenyan Universities