Resignation Is Latest Change In Finance Post

The resignation of Vice President for Finance Allen J. Proctor'74 is just the latest change in what have been three turbulent years for that post.

Proctor's replacement will be the fourth person to occupy that position since President Neil L. Rudenstine took office five years ago.

Proctor said he is leaving the post because the massively decentralized Harvard bureaucracy made the job "no fun." He was appointed less than 18 months ago after Harvard conducted a search to fill the post that took nearly as long as Proctor was in office.

The job, it seems, has been difficult to fill. A source close to the administration said the Proctor search dragged on so long because Harvard was turned down by two or three candidates before it was able to hire Proctor.

The source also said that one of Proctor's predecessors, Robert H. Scott, also resigned from the position because of frustration with Rudenstine's indecisiveness.

Even though Proctor said he was enthusiastic to work with Harvard's administrative structure when he came to the University and has achieved a number of his goals here, he said he was just not able to stay with a job he doesn't like.

Frustration

Even after years as New York City's budget guru and then as a budgetary adviser for New York State, Proctor described the consensus-building requirements of crafting a budget at Harvard as overwhelming.

He said he didn't have the temperament or patience to deal with a process devoid of a centralized bureaucratic structure. Instead of one agency with strong central budgetary control over the entire University, each of Harvard's schools is largely financially autonomous with its own procedures, concerns and administrators.

"In New York I knew my position and where everyone stood and I could work out what was needed," Proctor said. "Here it's like for one decision I have to work with the Georgia Legislature and for the next with the Iowa Legislature."

Provost Albert Carnesale said Harvard is, like most universities, far more decentralized than the average corporation and is even more decentralized than the rest of the universities in the nation.

Carnesale said Harvard's structure would probably make for a difficult transition for someone accustomed to a highly structured environment but said the system has its advantages.

"As with any system there are trade-offs here," Carnesale said. "We believe this system is more likely to lead to better decisions even thought it is not as effective as a hierarchical organization. I do believe it leads to better results overall."

A Replacement?

Carnesale will spearhead the search for a replacement for Proctor.

Even though the Proctor search took more than a year, Vice President of Government, Community and Public Affairs James H. Rowe III'73 said he expects the University will fill the position by the start of the next academic year.

Though Proctor will leave his post in less than three weeks, he will stay on until the end of this school year as a special adviser to the president in order to ease the transition.

Carnesale said the search will start where the last one left off, focusing on other candidates who were interested in the position two years ago. The search will be somewhat different this time, though, as the University now has a better idea of the traits necessary to succeed in this position, he said.

In the past, Harvard presidents have spearheaded the selection team for their vice presidents. Even Rudenstine ran the first four vice presidential searches of his administration.

The search for Proctor's successor, however, reflects a shifting of responsibilities between Rudenstine and Carnesale that gives the provost more control over the University's finances and in selecting administrators to deal with them, Proctor said.

"Carnesale is moving toward being the primary person the vice presidents deal with," Proctor said. "I spent most of my time dealing with Carnesale."

He Made His Mark

In spite of a great deal of frustration with Harvard's system, Proctor certainly made his mark during his short tenure.

In 17 months, Proctor established a reputation as a relentless budget-cutter throughout the University.

This budget-cutting drew criticism from some members of his staff, but Proctor said he is proud of the decisions he made.

"I have no apologies for that. It's something I would claim credit for," he said.

"Did it make people unhappy? Yes. Budget cuts are supposed to," Proctor continued. "Did it have a positive result? Yes."

Proctor also claimed credit for helping create a unified budgeting process for the schools that for the first time holds them accountable for expenditures and incomes.

"No one had ever laid income next to expense before," Proctor said. "Now it's can you pay your bills, yes or no?"

While he admits that such changes have been disruptive, he said he thinks most people have come to accept them as necessary.

"Is it disruptive? Yes. Does it have good long-term consequences? Yes. Does it not allow people to do everything they want? Yes. That's what a budget is and that's what I was hired to do," Proctor said.

Proctor has also been instrumental in the early stages of the Administrative Data Project, a massive effort to unify Harvard's accounting systems. According to Carnesale, Proctor's resignation will not affect the multi-year project as his part of the effort has been largely completed

Though Proctor will leave his post in less than three weeks, he will stay on until the end of this school year as a special adviser to the president in order to ease the transition.

Carnesale said the search will start where the last one left off, focusing on other candidates who were interested in the position two years ago. The search will be somewhat different this time, though, as the University now has a better idea of the traits necessary to succeed in this position, he said.

In the past, Harvard presidents have spearheaded the selection team for their vice presidents. Even Rudenstine ran the first four vice presidential searches of his administration.

The search for Proctor's successor, however, reflects a shifting of responsibilities between Rudenstine and Carnesale that gives the provost more control over the University's finances and in selecting administrators to deal with them, Proctor said.

"Carnesale is moving toward being the primary person the vice presidents deal with," Proctor said. "I spent most of my time dealing with Carnesale."

He Made His Mark

In spite of a great deal of frustration with Harvard's system, Proctor certainly made his mark during his short tenure.

In 17 months, Proctor established a reputation as a relentless budget-cutter throughout the University.

This budget-cutting drew criticism from some members of his staff, but Proctor said he is proud of the decisions he made.

"I have no apologies for that. It's something I would claim credit for," he said.

"Did it make people unhappy? Yes. Budget cuts are supposed to," Proctor continued. "Did it have a positive result? Yes."

Proctor also claimed credit for helping create a unified budgeting process for the schools that for the first time holds them accountable for expenditures and incomes.

"No one had ever laid income next to expense before," Proctor said. "Now it's can you pay your bills, yes or no?"

While he admits that such changes have been disruptive, he said he thinks most people have come to accept them as necessary.

"Is it disruptive? Yes. Does it have good long-term consequences? Yes. Does it not allow people to do everything they want? Yes. That's what a budget is and that's what I was hired to do," Proctor said.

Proctor has also been instrumental in the early stages of the Administrative Data Project, a massive effort to unify Harvard's accounting systems. According to Carnesale, Proctor's resignation will not affect the multi-year project as his part of the effort has been largely completed