Analytics Institute of Australia Pty Ltd: Registration and Accreditation 30 March 2022
Report on registration of Analytics Institute of Australia Pty Ltd
On 30 March 2022, TEQSA:
- granted, under section 21 of the Tertiary Education Quality and Standards Agency Act 2011 (TEQSA Act), the application by Analytics Institute of Australia Pty Ltd (AIA) for registration in the category of Institute of Higher Education, for a period of five years until 30 March 2027.
- accredited, under section 49 of the TEQSA Act, the applications by AIA for accreditation of the following courses for a period of five years until 30 March 2027:
- Bachelor of Analytics
- Bachelor of Business Transformation.
- imposed, under section 32 of the TEQSA Act, the following condition on the registration of AIA as an Institute of Higher Education:
Condition 1: Corporate Monitoring and Accountability
For the first 3 years after registration, AIA must report to TEQSA if any of the following events occur, based on board accepted management accounts for 30 June and 31 December:
- The Current Ratio, defined as Current Assets divided by Current Liabilities (excluding related party transactions), is less than 1.0
- The Net Operating Cash Flow is less than it was projected to be in the sensitised forecast of AIA's finances (as defined below) by a margin of 10 per cent or greater
- EBITDA, defined as Earnings Before Interest Tax Depreciation and Amortisation, are less than what they were projected to be in the sensitised forecast of AIA's finances by a margin of 10 per cent or greater.
The reporting, if any of these events occur, must be within 60 days of 30 June or 31 December respectively, based on the board accepted management accounts.
Content of reports
In respect of any event, the report must be based on AIA's board accepted management accounts (which must be provided to TEQSA) and otherwise include a business plan, revised financial projections and all actions and short timeframes planned for correcting negative elements.
Definition of the sensitised forecast
For this condition, the sensitised forecast is the forecast contained in the Statement of Reasons report provided with the Notice of Decision. The midyear projections are to be based on AIA's detailed modelling for the sensitised forecast.
AIA applied to TEQSA for registration in the category of Institute of Higher Education and for the accreditation of two courses:
- Bachelor of Business Transformation
- Bachelor of Analytics
TEQSA considered AIA's applications and provided a summary of identified concerns with details of the assessment of AIA's applications by the responsible assessment team. TEQSA's Commission considered AIA's response to TEQSA's identified concerns and made the decision to approve AIA's application for registration on 30 March 2022 on the basis that it was satisfied that AIA meets the Higher Education Standards Framework (Threshold Standards) 2021 (HES Framework). One condition was imposed on the registration of AIA.
Main reasons for the decision
TEQSA made these decisions on the basis that it was satisfied that AIA meets the Provider Registration Standards and Provider Course Accreditation Standards of the HES Framework. However, TEQSA considered that there remained a risk related to AIA's capacity to meet the Threshold Standards in the future.
On this basis, TEQSA decided that it was appropriate to register AIA for a period of five years until 30 March 2027, and to accredit AIA's Bachelor of Business Transformation and Bachelor of Analytics courses for the same period. The five-year period of registration and accreditation is consistent with the basic principles of regulation and reflects risks associated with an applicant for initial registration intending to offer higher education courses, but having no history in the provision of higher education.
TEQSA also decided it was appropriate to impose one condition on AIA's registration.
Application to withdraw conditions
In accordance with section 32 of the TEQSA Act, TEQSA may vary or revoke a condition imposed on the registration of a higher education provider, either on its own initiative or upon application by the provider for variation or revocation.