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Annual Report & Accounts 2007–08 Year to 31 July 2008

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Annual Report & Accounts 2007–08 year to 31 July 2008 Donors Mr Roger Ackling Mary Andrew Charitable Trust Mr Craig Anderson Maxwell Bruce Mr and Mrs Ian and Sheena Ballantyne Maxwell Maclaurin Solicitors The Barns-Graham Charitable Trust Mrs Sonja F McKay Mr Colin Barr / Heineken Mrs Joan M Milroy Battlefield Rest Mrs Elizabeth C Myerscough The Bellahouston Bequest Fund Mrs Hannah M Paterson Dr Nan and Mr Donald Blair Mr Philip Reeves Mrs Kirsty Bowie The Scottish Community Foundation Mr and Mrs Donald and Anthea Brown Mr Martin Shaw Lady Nancy Brown Mr Fred Shedden Buchanan & Ewing Bequests Sheppard Robson (Glasgow) Mrs Lydia Burnet Mr John Skinner Mrs Carol Campbell Strathmore City Inn Sylvia Aitken Charitable Trust Mrs Margaret Crosbie The Town House Company Cruden Foundation Ltd The Trades House of Glasgow d8 W M Mann Foundation Mr Michael J Dawson Mr Richard Weaver Dog Digital Whyte and Mackay Ms Roberta Doyle Mr and Mrs Raymond and Brenda Williamson Mr and Mrs Alex and Felicity Duncan Mrs Alma R Wolfson The DWT Cargill Fund The Worshipful Company Of Weavers Eastlake Group Ede & Ravenscroft Elphinstone Group Ltd Miss Eleanor Fazan Mr John S Forrest Friends of Glasgow School of Art Ms Christine Hamilton Mr and Mrs James and Phyllis Hamilton Ms Tamara Hedderwick Mrs Carol M Hewitt Mr Ronald Higgins Mr David Hill-Smith Mr and Mrs Risa and Samuel Horowitz Incorporation of Bonnetmakers & Dyers Incorporation of Hammermen Incorporation of Skinners Incorporation of Tailors Incorporation of Weavers The James Wood Bequest Fund The John Mather Charitable Trust Julie Claire Florist Keppie Design Mr Nick Kuenssberg The Leverhulme Trust Ms Rosemary Lucas Mr Alisdair Macdonald Macfarlane Group The MacRobert Trust A list of donors to the Mackintosh Conservation and Access project can be found on the rear inside cover ANNUAL REPORT AND ACCOUNTS YEAR ENDED 31 JULY 2008 Contents: Office Bearers and Governors 1 and 2 Chairman’s Statement 3 to 5 Operating and Financial Review 6 to 8 Corporate Governance 9 and 10 Governors’ Biographies 11 to 14 Responsibilities of the Governing Board 15 Independent Auditor’s Report 16 Income and Expenditure Account 17 Statement of Historical Cost Surpluses and Deficits 18 Statement of Total Recognised Gains and Losses 18 Balance Sheet 19 Cash Flow Statement 20 Statement of Principal Accounting Policies 21 to 22 Notes to Accounts 23 to 33 A COMPANY LIMITED BY GUARANTEE (Company Register No.SCO 2271) Patron H.R.H. The Prince of Wales, Duke of Rothesay Hon. President The Lord Macfarlane of Bearsden KT Hon. Vice President Professor Anthony Jones Hon. Vice President Emeritus Professor Andrew MacMillan Hon. Vice President Eleanor Taffner Chairman Professor Nick Kuenssberg OBE BA FCIS CCMI FIoD FRSA Vice Chairs Professor Janice M Kirkpatrick MA (Des) BA (Des) FRSA D& AD Fred Shedden MA LLB Director Professor Seona Reid CBE BA (Hons) D.Arts D.Litt FRSA Deputy Director Professor Allan Walker MA (Hons) Dip LA Director of Finance and Resources Eliot S Leviten BSc. (Hons) FCA Conveners of Committees Audit Alison Lefroy Brooks BA (Hons) ACA MCT Business Professor Nick Kuenssberg OBE BA FCIS CCMI FIoD FRSA Estates Fred Shedden MA LLB Human Resources Linda McTavish CBE Investment Fred Shedden MA LLB Museums & Archives Professor Pamela Robertson FRSE Nomination Professor Nick Kuenssberg OBE BA FCIS CCMI FIoD FRSA Remuneration Fred Shedden MA LLB Registered Office 167 Renfrew Street Glasgow G3 6RQ Solicitors McClure Naismith 292 St Vincent Street GLASGOW G2 5TQ External Auditor Grant Thornton UK LLP 95 Bothwell Street GLASGOW G2 7JZ Bankers Royal Bank of Scotland plc 393 Sauchiehall Street GLASGOW G2 3ND Registered Charity Number SCO 12490 Copies of these accounts can be obtained by contacting the registered office 1 Board of Governors & Directors Governors Ex Officiis E,B Professor Seona Reid CBE BA (Hons) D.Arts D.Litt FRSA Director of the School B,M Professor Allan Walker MA (Hons) Dip LA Deputy Director of the School Appointed by the Governing Board Sharon Bamford (appointed 8 October 2007)* A John A Batters LLB (Hons) NP (resigned 8 December 2008)* A,I Alison Lefroy Brooks BA (Hons) ACA MCT* Dr Janet Brown BSc PhD FRSE(appointed 14 April 2008)* H Katrina Brown MA (Hons) DipMus Gall Studs* Professor Sir Graeme Davies FREng FRSE (retired 16 June 2008)* B,N,R Roberta Doyle BA* E Thomas A Elder FRIAS* Christine Hamilton MA (Hons)* Blair Jenkins MA (appointed 8 December 2008)* Douglas Kinnaird CA (appointed 8 October 2007)* E Professor Janice M Kirkpatrick MA (Des) BA (Des) FRSA D&AD* B,E,I,N,R Professor Nick Kuenssberg OBE BA FCIS CCMI FIoD FRSA* E,B Eleanor McAlister OBE MA MSc FRSA* H Linda McTavish CBE (appointed 16 June 2008)* E Paul Mugnaioni BSc (Hons) Arch AA Dip MSc (Econ) * M Professor Pamela Robertson BA (Hons) FRSE FRSA* B,I,N,R David J B Shearer B Acc CA FRSA * A,B,E,I,N,R Fred Shedden MA LLB * B,E,H Colin McKean BA (Hons) (re-appointed 1 August 2008) President Students’ Representative Council A Nicholas Oddy BA (Hons) PGDipDes MA(RCA) Elected by the full-time Academic Staff B,N Dr Tim Sharpe BSc BArch PhD ARIAS Appointed by the Academic Council (appointed 14 November 2008) B,N Paul Cosgrove BA(Hons) PGDip (Retired 16 June 2008) Appointed by the Academic Council A Kathy Molloy Elected by the full-time Support Staff Eliot S Leviten BSc (Hons) FCA Secretary to the Board of Governors A – Member of Audit Committee B – Member of Business Committee E – Member of Estates Committee H – Member of Human Resources Committee I – Member of Investment Committee M – Member of Museums & Archive Committee N – Member of Nominations Committee R – Member of Remuneration Committee * denotes Independent Board Members 2 Chairman’s Statement Summary 2007/8 has further reinforced the Glasgow School of Art’s standing as one of the UK’s leading higher education institutions for education and research in art, design and architecture. Our “secure” financial performance underpins another year of achievement in terms of high levels of applications, the acknowledged merits of our students, graduates and staff and the recognised contributions the School makes to the creative industries in Scotland and beyond. The real progress made in our estates redevelopment in plan, commitments and implementation provides an exciting platform for the long term future. Finance The accounts for the year ended 31July 2008 show revenue of £18.3m up by 5.1% (previous year £17.4m) with expenditure of £18.3m also up by 5.1%, (previous year £17.4m) largely caused by increased staff costs of 5.4% which will have an even greater influence in 2008/09 as the full impact of the national pay settlement becomes apparent . Careful management ensured a surplus on continuing operations of £33k (previous year £34k) which converts to a historical cost surplus of £411k (previous year £412k). The balance sheet has grown by 14.9% from £18.9m to £21.7m with cash balances increasing by 34.9% to £3.2m. Strategic Plan Academic year 2007/8 saw the development of our new four-year Strategic Plan (see www.gsafuture.com) Developed with input from staff, students and representatives of the creative industries, our aims for 2008-2012 are - • to provide innovative, fresh, externally engaged and relevant learning and teaching; • to achieve international excellence and recognition in research and knowledge transfer/exchange in key areas of strength; • to create active and responsible engagement with communities, industry, professional sectors, policy makers and the City; • to increase the diversity of the School in order to engender a dynamic creative environment and to support an egalitarian ethos; • to embed an international and intercultural ethos in all aspects of the School’s activities; and • to be a transparent, responsive, courageous, confident and well-resourced organisation able to change to achieve our objectives. The staff, ably led by our Director Professor Seona Reid, believe in the vision, values and aims and are committed to the delivery of this ambitious plan. Progress to date is encouraging. Student, Staff and Alumni Success Following the trend of recent years, 2007-8 saw continued success and achievement for GSA students and graduates. Cathy Wilkes was shortlisted for the Turner Prize. This means that since 2005, 25% of all shortlisted artists have been GSA graduates with Simon Starling winning in 2006 and Douglas Gordon in 1997. Martin Boyce was selected to represent Scotland at the 2009 Venice Biennale, another year in which GSA graduates predominated in Scotland’s presence at one of the world’s major art fairs. Venice was also the setting for a commission from Gareth Hoskins who was selected to design Scotland’s presence at the Architectural Biennale. His practice also won a British Construction Industry Award and was shortlisted, along with Gordon Murray and Alan Dunlop Architects for the World Architecture Awards. GSA graduates won a significant number of this year’s Scottish Design Awards including Stand taking Best Corporate Literature for their work with Maclay Murray Spens, Graven Images for best Interior Design for the BBC Scotland HQ on Pacific Quay and Emeritus Professor Andy McMillan received a lifetime achievement award. GSA graduates play key leading roles in many internationally recognised companies such as Dyson, Ford, Mazda and Gap. Ian Callum, Design Director at Jaguar Cars received international recognition for the new Jaguar XF, winning Car of the Year in 2008. Louise Gray won best New Talent Awards at the Scottish Fashion Awards and is one of several graduates of GSA making a stir in British Fashion. The International Herald Tribune proclaimed that Scotland is “having a fashion moment” listing five GSA graduates including Gray alongside Jonathan Saunders, Jamie Bruski Tetsill, Scott Ramsay Kyle and Mairi McNicol.
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