Independent University Newspaper
Copenhagen Business School

Popular searches:

Independent University Newspaper

Copenhagen Business School

DKK 80 million surplus: CBS is in the pink due to coronavirus

CBS on pink

(Photo by Anna Holte)

Corona restrictions put the brakes on traveling and recruitment in 2020, and it shows in CBS’ annual result, which ended with a surplus of DKK 80 million, as opposed to the DKK 22 million surplus projected. Part of the surplus will be spent on postponed activities, explains CBS’ University Director, who also expects lockdown learnings to influence future travel behavior.

News |   27. Apr 2021

Anne Thora Lykkegaard

Journalist

It is probably safe to say that the annual results for 2020, whether we are looking at businesses, organizations, higher education institutions or hospitals, are likely to diverge from their budgets at the beginning of the year.

CBS’s annual result is no exception.

“CBS has left 2020 with a higher result than anticipated. And that is due mainly to the effects of corona,” writes Kirsten Winther Jørgensen, University Director at CBS, in an email to CBS WIRE.

CBS ended with a surplus of DKK 80 million as opposed to the DKK 22 million surplus projected at the beginning of 2020. CBS’ costs in 2020 dipped DKK 62 million below budget, while its realized income was DKK 4 million below the forecast at the beginning of the year, leaving CBS with a surplus of DKK 58 million.

Especially the expenses for traveling and conference activities and recruitment are the key explanations for CBS’ annual results, explains Kirsten Winther Jørgensen.

“We have had to cancel, postpone or down-size a range of activities due to the coronavirus restrictions. Especially participation in research conferences has been hard hit. Consequently, we have had fewer expenses, but also fewer activities in this area,” she writes.

At the beginning of the year, CBS had hoped to recruit new employees – both VIP and TAP. CBS had budgeted on spending DKK 470 and DKK 380 million on VIP and TAP staff, respectively, but ended up with salary costs that were DKK 19 million lower than projected.

“We have not been able to recruit new employees at the pace we had set, which is why recruiting expenses were lower,” says Kirsten Winther Jørgensen.

In fact, the University Director expects the coronavirus effects to stay for a while. She explains that the budget for 2021 has already been adjusted to reflect the situation.

“In the 2021 budget, we expect January through August to be marked by coronavirus, so that, for example, travel and conference participation will remain at an absolute minimum, while we assume the situation from September and onwards will normalize somewhat. Time will tell if this assumption is right,” she writes.

Looking even further ahead, Kirsten Winther Jørgensen expects employees’ travel patterns to change.

“The lockdowns have showed that we can do far more online than, at least I myself, thought was possible at the beginning of 2020. Long journeys for short meeting are likely to be replaced by online meetings. But we also have activities that cannot be moved to the virtual space cost free. For example, field work and research conferences cannot always be conducted online, and those are the things I look forward to reopening. Also at CBS, as they are essential for the research conducted here,” she writes.

According to Kirsten Winther Jørgensen, the surplus CBS has generated this year will be spent on carrying out some of the many activities that have been postponed due to the coronavirus, as well as on strategic initiatives in the coming years.

“We plan for significant strategic investments in the coming years, and some of the money will go into the budgeting process,” she writes.

You can read the full annual result here.

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

DKK 80 million surplus: CBS is in the pink due to coronavirusby

  • News

    Snapshots: CBS staff busy preparing for a new semester

    For the staff at CBS, the weeks and sometimes even months leading up to study start are spent busily preparing for new and returning students and a brand-new semester.

  • Guide

    Those odd little words

    Some words of advice from CBS WIRE’s proofreader Helen Dyrbye, a British expat who has lived in Denmark for decades. Here she explains a few tiny words that can occasionally spell BIG trouble.

  • News

    Community is key for study start 2023

    This year, showing both new and returning students the concept of ‘community’ at CBS is a top priority. There is room for everyone, and you can find others that share the same interests as you. Those are the key messages from the Student Communications team. This is highlighted by two campaigns, during the introduction week and at the Bachelor Kick Off.

  • News

    CBS at Copenhagen Pride – in photos

    2023 is the first year for the new organisation Colorful CBS to organise the participation in Copenhagen Pride Parade.

  • News

    Cutbacks lead to reduction of 60-70 fulltime staff

    It’s been ‘welcome back’ from the summer holidays for a few weeks now – and soon goodbye to some with a message many had anticipated with dread: a reduction totalling at least the equivalent of 60-70 full-time staff members.

  • News

    It actually is rocket science! CBS student competences wanted at student rocketry association DanSTAR

    DanSTAR – a successful student rocketry association based at DTU – wants to enlist CBS students and their competences. CBS WIRE followed along on an excursion to the rocket garage.

  • Gif of the week

Follow CBS students studying abroad

CBS WIRE collaborates with Videnskab.dk

Stay connected

Close