Latent Variable Analysis: A New Approach to University Ranking

This study applies a Bayesian latent variable analysis to the task of determining rankings of universities in the UK and US, on the basis of a set of quality‐related measures. It estimates the degree of uncertainty in the rankings and permits the assessment of statistically significant differences across universities. It also provides a methodology for determining the weighting of various measures that is based on the patterns embedded in the data and compares the latent variable rankings with traditional weight‐and‐sum rankings. Overall, the methodology contributes to a better understanding of ranking efforts and illustrates the need for caution in interpreting distinctions published in traditional ranking systems.