Australia has had a mixed history in the way in which policy research has related to higher education policy. Recognising a history of policy-related research and to some extent research-informed policy-making, Australia has followed the trend of other New Public Management-driven systems of de-emphasising policy-oriented independent research. In the face of massive change that has been confronting the higher education sector and will continue to do so, it is argued that evaluative and forward-looking research into the key areas of system coordination and institutional management is needed. A research agenda focusing on institutional change is proposed.