Leadership and Strategic Management: keys to institutional priorities and planning*

Allocating and managing resources have always been important cornerstones of institutional leadership. Institutional resources include financial, physical and human components. Even in the best of times, it is a challenge to do this effectively. In times of diminished and shrinking resources, distributing these precious commodities across the institutions in the most equitable and productive manner is fraught with complications. As higher education funding streams expand and present more options, they also create new challenges. Leaders today must be well‐versed in the emerging realms of philanthropy and entrepreneurialism. Beyond monetary resources, leaders and senior managers must monitor and understand the external environment in order to make discerning decisions about the viability of further infrastructure investments because of changing student demographics or the complexities of personnel within the dynamic culture of social organisations. This article will stress the need for leadership and an institutional planning process as essential prerequisites to effective resource allocations. Portugal will also be discussed as a case study.