
HOW INSTITUTIONS TRANSFORM
Core Institutional Capacities
What are Core Institutional Capacities?
Transformation isn’t just about what institutions do—it’s about how they’re equipped to do it. Core institutional capacities are the core operational elements that enable effective, equity-driven change—spanning leadership, finance, data use, and institutional culture.
To make change stick, institutions need the foundational capabilities to lead, implement, and sustain it. These capacities are what make transformation possible.
Strong, integrated capacity across these areas is essential for putting reforms into practice and keeping them aligned over time. Without it, even the most well-intentioned efforts can stall.
Institutions committed to transformation focus on building the capabilities that make change not only possible—but durable and sustainable.

Student-Centered Mission
A clearly defined and widely communicated mission provides the foundation for lasting transformation. Institutions that lead with a student-centered mission are more likely to align strategies, structures, and decisions in ways that drive equitable outcomes.
This capacity reflects how well an institution’s mission translates into daily practice—and how consistently student success is prioritized across policies, systems, and roles.
What it Looks Like:
- A shared, campus-wide definition of student success that informs strategy, planning, and policy.
- Emphasis on long-term educational pathways that connect students to degrees, transfer and career plans—not just course enrollment.
- Regular review of institutional policies and procedures to identify and remove equity barriers.
- Operating models intentionally designed to deliver efficient, integrated, student-centered support.
Strategic Finance
Strategic finance ensures that financial resources—people, time, and money—are aligned with the institution’s vision for equitable student success.
It’s not just about balancing budgets; it’s about making intentional, value-driven decisions that enable transformation.
This capacity reflects how institutions use financial strategy to build trust, respond quickly to emerging needs, and invest in what matters most—especially when scaling change efforts or addressing student support gaps.
What it looks like:
- Budgets aligned with strategic goals for equity and student success.
- Transparent processes for directing resources toward high-impact priorities.
- Flexibility to invest in capacity-building (e.g., IT, advising, IR, professional development).
- Clear criteria for evaluating return on investment—especially for student-facing reforms.
- Financial decisions that reflect long-term vision, not just short-term constraints.
Other Capacities
In addition to core capacities like leadership, finance, and data, a range of cross-cutting institutional functions also play a vital role in transformation. These enterprise-wide capabilities shape how institutions operate and how students experience support.
When aligned around equity and student success, these capacities amplify reform efforts, improve daily operations, and drive stronger outcomes.
What it looks like:
- Information Technology (IT)
IT systems enable transformation by powering critical functions like early alerts, degree planning, and real-time data analysis. They also support collaboration across academic and student affairs to streamline student support. - Institutional Research (IR)
IR teams are strategic partners in transformation driving data-informed decision-making, surfacing equity gaps, and producing evidence that guides institutional priorities and practice. - Leadership & Culture
Stable, values-driven leadership and a collaborative, equity-centered culture provide the foundation for institutional transformation. Leaders model alignment, build trust, and foster a shared commitment to student success. - Communications & Engagement
Clear, strategic, and phased communication, paired with intentional change management, helps build shared understanding and mobilize stakeholders across the institution. - Talent
Transformation depends on people. Institutions invest in developing, managing, and empowering faculty and staff to lead change, scale impact, and sustain momentum over time. - Strategic Partnerships
Institutions collaborate with K–12 systems, workforce partners, and community organizations to extend student support, improve transitions, and align education with long-term outcomes. - Policy
Institutional and state-level policies are aligned and updated to advance equity, embed effective practices, and sustain transformation. Leaders also engage with policymakers to shape broader reforms that enable change across the field.
Related Components of How Institutions Transform
HOW INSTITUTIONS TRANSFORM
Evidence-Based Practices
Student success starts with what students experience every day. This section introduces the student-facing reforms that make transformation visible—and shows how institutions focus their efforts where it matters most.
HOW INSTITUTIONS TRANSFORM
Continuous Improvement Process
Lasting change doesn’t happen all at once. It’s built through cycles of reflection, action, and learning—powered by people across the institution. This section explores how colleges use structured routines like PRPAM and student-centered frameworks to empower teams, embed improvement into daily work, and align strategy with long-term goals.