Putting students and families at the center of strategy will optimize resources and improve academic outcomes. Photo via Getty Images

It’s no secret: K-12 public schools in the U.S. face major challenges. Resources are shrinking. Costs are climbing. Teachers are battling burnout. Student outcomes are declining.

There are many areas of concern.

Some difficulties are intangible, inescapable and made worse by crises like the COVID-19 pandemic. Some can be fixed or alleviated by wisely allocating resources. And others — like a lack of strategic focus — can be avoided altogether.

It’s this final area, strategic focus, that researchers Vikas Mittal (Rice Business) and Jihye Jung (UT-San Antonio) address in a groundbreaking study. According to Mittal and Jung, superintendents and principals misallocate vast amounts of time and resources trying to appease their many stakeholders — students, parents, teachers, board trustees, community leaders, state evaluators, college recruiters, potential employers, etc.

Instead, Mittal and Jung show, administrators need to put their entire focus on one key stakeholder — the “customer,” i.e. students and families.

It may sound strange to call students and families “customers” in the context of public education. After all, 5th-period Spanish isn’t like buying an iPhone or fast food. The classroom is not transactional. Students and caregivers are part of a broader relational context that most directly involves teachers and peers. And students are expected to contribute to that context.

But K-12 public funds are tied to enrollment and attendance numbers. This means the success or failure of a school or school district ultimately comes down to “customer” satisfaction.

Beware the Stakeholder Appeasement Trap

Here’s what happens when students and families become dissatisfied with their school:

As conditions deteriorate, families (who can afford to) may choose to homeschool or move their children to private or better-performing public schools. As a result, enrollment revenue decreases, which forces administrators to cut costs. Cut costs lead to worsened performance and lower satisfaction among students and families. Lower satisfaction leads to further enrollment loss, which leads to more cost-cutting. And so on. (Schools need about 500-600 students to break even.)

It’s a vicious downward spiral, and it’s not unusual for schools to become trapped in it. To avoid this vortex, administrators end up adopting a “spray and pray” or “adopt and hope” approach, pursuing various stakeholder agendas in hopes that one of them will be the key to institutional success. Group A wants stronger security. Group B wants improved internet access. Group C wants better facilities. Group D wants to expand athletics.

It’s an understandable impulse to make everyone happy. However, Mittal and Jung find that the “stakeholder appeasement” approach dilutes strategic focus, wastes resources and creates a bloat of ineffective initiatives.

Initiative bloat isn't a benign problem. The labor of implementing programs inevitably falls on teachers and frontline staff, which can result in mediocre performance and burnout. As initiatives multiple over time, communication lines become strained and, distracted by the administration's efforts to please everyone, teachers and frontline staff fail to satisfy students and families.

Pay Attention to Lift Potential

Using data from administrator interviews and more than 10,000 parent surveys, Mittal and Jung find that students and families only value a few strategic areas. By far the most important is family and community engagement, followed by academics and teachers. The least important, somewhat surprisingly, is extracurriculars like athletics programs.

The assumption that athletics would be high on the list of student and family priorities raises a crucial point in the study. Mittal and Jung note that it’s a serious error to assume that the more a strategic area is mentioned the more it drives customer value.

“Conflating the two — salience and lift potential — is the single biggest factor that can mislead strategy planning,” the researchers say.

A customer-focused strategy prioritizes lift potential — meaning it allocates budgets, people and time to the areas that have the highest capacity to increase customer value, as measured by customer satisfaction. If family and community engagement is the most important strategic area, then savvy administrators will invest in the “execution levers” that improve it.

For instance, Mittal and Jung find that allowing input on school policies is the most effective lever for demonstrating family and community engagement. Another important strategic area is improving the quality of teachers, and one of the most effective ways of doing this is to emphasize their academic qualifications.

Just as important as instituting effective customer-focused initiatives is de-emphasizing those that are ineffective. It can be a difficult process to stop and de-emphasize initiatives, however ineffective. But ultimately, the benefit is that teachers and frontline staff will be able to concentrate on the execution levers that matter.

This strategic transformation can’t happen overnight. Developing the framework will require a school district 18 to 24 months, Mittal and Jung estimate. Embedding it into practice can take an additional 12 to 18 months. For example, it would involve changing the way senior administrators, school principals and teachers are held accountable. Instead of emphasizing standardized test scores, which do not add to customer satisfaction, it’s more effective to concentrate on input factors that directly impact the quality of academics and learning.

To help schools develop and implement a customer-focused strategy, future research can focus on frameworks for guiding schools to maximize the areas of value that students and families care about most.

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This article originally ran on Rice Business Wisdom. For more, see Mittal and Jung, “Revitalizing educational institutions through customer focus.” Journal of the Academy of Marketing Science (2024): https://doi.org/10.1007/s11747-024-01007-y.

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Rice University launches AI initiative, plans to hire 75 faculty

ai expansion

Houston’s Rice University announced a university-wide artificial intelligence initiative this week that includes hiring 75 new AI-focused faculty. It also shared new details about its planned state-of-the-art facility, The Arc.

Fresh off the announcement of Rice’s new Master of Artificial Intelligence (MAI) coming next fall, the university shared that it plans to expand its AI-related courses and be a “global leader in advanced computing and responsible AI.”

Rice reports that it has already hired 35 faculty members to deepen expertise across schools and departments regarding AI, and plans to recruit 40 more across disciplines including engineering, computing, health, energy, environmental resilience, business, humanities and the arts.

Rice's schools and departments have identified the four cluster areas to guide its hiring:

  • Foundational AI
  • AI for Health
  • AI for Energy, the Environment and Resiliency
  • Responsible AI: Society and Ethics

“Hiring exceptional faculty is essential, but it is only one part of the equation,” Amy Dittmar, Rice’s Howard R. Hughes Provost and executive vice president for academic affairs, said in a news release. “We are building the people, places and partnerships needed to advance AI from foundational discovery to societal impact.”

Another major component of the effort is the planned 200,000-square-foot facility, The Arc, which Rice announced will break ground this fall. Rice will occupy nearly 80,000 square feet of office and laboratory space dedicated to topics including AI, data science, robotics, computational engineering and energy. The university previously announced that The Arc would be completed in Q1 2028.

The Arc will also house the AI Foundry, which is being developed as a collaborative space for industry partners, scientists and students.

“As Rice grows, we are being intentional about where we invest and how we build,” Rice President Reginald DesRoches added in the release. “By bringing together exceptional faculty, a strong interdisciplinary research community, world-class facilities and Houston’s extraordinary innovation ecosystem, Rice has an opportunity not simply to participate in the AI revolution but to help define its future.”

5 minority-founded startups shaping the future of Houston innovation

meet the finalists

Houston’s startup ecosystem reflects the diversity of the city itself.

As part of the 2026 Houston Innovation Awards, our Minority-founded Businesses category will honor an innovative Houston startup founded or co-founded by BIPOC or LGBTQ+ representation.

Five minority-founded businesses have been named finalists for the 2026 award. The finalists, selected by our esteemed panel of judges, range from an AI edtech startup to a company operating in the floating offshore energy infrastructure sector.

Read more about these innovative businesses, their initiatives, and their inspirational founders below. The 2026 winners will be announced on InnovationMap.com in mid-November.

AI Made Fun

Edtech startup AI Made Fun is working to close the gap in AI education by teaching K-12 students how to understand and responsibly use artificial intelligence. The company has developed a comprehensive AI literacy curriculum with 60 modules, animated videos, interactive activities, teacher guides and family resources. Its curriculum covers how AI works, misinformation, algorithmic bias, data privacy, online safety and academic integrity.

AI Made Fun was founded in 2025 by Devshree Golecha. It launched in classrooms this school year with five licensed schools serving more than 800 students. The company is pursuing partnerships with Houston-area school districts, including Houston ISD and Alief ISD, and has pledged free and subsidized access for underserved communities.

Deep Anchor Solutions

Offshore energy consulting and design company Deep Anchor Solutions wants to help scale floating offshore energy infrastructure by removing anchoring as a barrier. Its deeply embedded ring anchor (DERA) technology can be installed quietly without heavy-lift vessels, reducing anchor-related costs by up to 75 percent and lifecycle CO2 emissions by up to 80 percent.

The company was founded in 2023 by CEO Junho Lee and technical advisor Charles Aubeny. Lee earned his Ph.D. in geotechnical engineering from Texas A&M University, where Aubeny is a professor of civil and environmental engineering. The company has participated in numerous accelerators and incubators, including Greentown Labs, MassChallenge, EnergyTechNexus LiftOff and others. Lee was an Activate 2025 fellow.

HEXAspec

Rice University spinout HEXASpec is working to improve the sustainability and thermal conductivity of semiconductor chips. The company has developed breakthrough inorganic fillers that allow graphic processing units (GPUs) to use less water and electricity and generate less heat.

HEXASpec was founded in 2025 by CEO Tianshu Zhai, CTO Jing Zhang and chief product officer Chen-Yang Lin. It has raised $800,000 in pre-seed funding and another $1.5 million in non-dilutive grants, according to the company's application. The startup won the Liu Idea Lab for Innovation and Entrepreneurship's H. Albert Napier Rice Launch Challenge in 2024 and the 2025 Energy Venture Day and Pitch Competition during CERAWeek in the TEX-E student track in 2025. It was awarded a $500,000 National Science Foundation Partnership for Innovation grant last summer.

Prana Surgical

Health tech company Prana Surgical is developing a minimally invasive surgical platform for small, hard-to-reach lung nodules that may be cancerous. The company's Prana System cleared U.S. Food and Drug Administration (FDA) approval earlier this year.

Prana Surgical was originally founded as Prana Thoracic in 2022. It has participated in numerous accelerators, including the Texas Medical Center Innovation Accelerator in 2023 and the IGNITE Health accelerator in 2022. It raised $6 million in Series A funding rounds in 2023 and 2024 , with a Series B currently ongoing. The company said in its application that it is currently moving into the next stage of clinical validation and revenue generation in the U.S., in addition to preparing its manufacturing and commercial infrastructure for broader use.

Torres Orbital Mining Inc.

Space tech company Torres Orbital Mining is developing autonomous excavation and material preprocessing systems to move and process granular materials while reducing workers’ exposure to hazardous dust. The company is initially commercializing its technology for Earth-bound applications—including silica sand, recycled glass and mine tailings—though the technology is also designed to support future lunar mining operations. The company aims to accelerate a permanent and ethical human presence on the Moon.

CEO Luis Torres founded Torres Orbital Mining in 2025. The company is a member of Greentown Labs and has participated in accelerators like the ESRIC Space Resources Startup Program and Capital Factory All Access Fund. The company received a six-month, $225,000 SBIR Phase I contract from NASA in August.

Italian aerospace company sets up first U.S. office at Houston Spaceport

welcome to houston

Como, Italy-based aerospace company Involve Space recently made the Houston Spaceport the site of its first U.S. office.

Involve Space develops high-altitude balloon platforms for Earth observation, scientific research and hardware testing. The balloons carry instruments into the stratosphere (a layer of the upper atmosphere) to collect images and data, conduct experiments and test technology.

The company plans to launch its first commercial missions from Houston by the end of this year, according to a news release.

“Houston is the global center of aerospace, and our presence at Houston Spaceport strengthens our international growth trajectory,” Jonathan Polotto, founder and CEO of Involve Space, said in the release.

Founded in 2021, Involve Space incorporates aerospace hardware, AI and geospatial tools into its offerings. Its proprietary CLEAR platform uses conversational AI to help customers interpret data and support decision-making.

Located at Ellington Airport, the Houston Spaceport provides a base for Involve Space’s North American operations, including business development and partnerships with aerospace companies and researchers.

Other tenants at the Houston Spaceport include NASA, Axiom Space, Venus Aerospace and Intuitive Machines.

Involve Space’s relationship with the Houston Spaceport began in January 2025, when it conducted its first U.S. pilot launch. During the five-hour mission, the balloon reached an altitude of about 85,000 feet and traveled about 250 miles across Texas.

One of Involve Space’s first U.S. customers is Houston-based Rhodium Scientific, a space biotech company. Polotto and Rhodium Scientific founder and CEO Olivia Gamez Holzhaus signed a deal to conduct biotech experiments aboard Involve Space’s stratospheric balloon platforms before planned missions to orbit.

“The presence of innovative platforms like those developed by Involve strengthens the Spaceport’s role as a site for testing, validating, and deploying advanced technologies between aeronautics and space,” Jim Szczesniak, director of aviation for Houston Airports, added in the release.