This brief report summarizes a longer document with the same title. It reviews the need to better manage higher education expenses in light of budget cuts and reductions in appropriations and other public services. It is noted that tuition, although increasing, has been increasing at a slower rate since 1981. Also, faculty salaries have not increased sufficiently to compensate for losses attributed to inflation, administration costs have risen as much as two percentage points over the past decade, greater pressures have been brought to bear on institutions to fund student aid, and endowment earnings are at their lowest in a decade. Institutions of higher education caught in the revenue/cost squeeze now have a variety of cost control management options open to them, some of which have already been adopted. The diversity, although great, suggests some common themes as part of a cost management strategy. These include specifying the mission of the institution; setting priorities among the programs and building a data base of trends and projections about revenues and costs; and applying break-even analysis to determine which programs are financially self-supporting, which are breaking even, and which require subsidies. Contains 7 references. (GLR)