International Journal of Business and Social Science

ISSN 2219-1933 (Print), 2219-6021 (Online) DOI: 10.30845/ijbss

The Optimal Allocation of Faculty in a College Of Business
Joe McGarrity

Aims: This paper seeks to find the optimal allocation of tenure track faculty across the disciplines in a College of Business. Method: This paper uses a Cobb Douglas Utility Function to derive the general solution to the allocation problem. The University of Central Arkansas is used as a case study. Data from this school is used to derive the parameters in the utility function. The optimal allocation of faculty members across disciplines is compared to the actual allocation. Results: This paper finds the optimal number of faculty in a discipline will increase with: 1) the number of students taught in a discipline, 2) the salaries graduates receive with a major in the discipline, and 3) the college budget. The optimal number of faculty in a discipline will decrease with faculty salary in that discipline. Conclusions: In this case study, the college should hire more economists and scale back their Marketing and Management Information Systems programs. The approach taken in this case study can be readily applied at any College of Business.

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