Quality is one of the main issues of the institutional political agendas of higher education policies throuhout Europe. While funding is certainly a limit to their expansion, higher education is still growing with a transition process of Western societies towards technology-based economies and a need to mobilize human reseorces being visible (Neave/van Vught 1991). Nevertheless European universities have always tried to evaluate their activities by a way of examinations and published papers. In the early 19th century especially governments have been interested in the quality of higher education because of it is tighly linked to the financing, administration and legal framework of higher education (Neave 1988, p.8). The political context of most Western European higher education systems changed dramatically in the past which consequently affected quality control mechanisms in a significant way. In almost all nations quality assurance is regulated within national laws (Schwarz/Westerheijden 2004) and managed within the lines of academic disciplines (Becher/Trowler 2001, p.86). Quality assurance is linked to certain standards which are based on shared understanding (formal rules and regulations) (Luijten-Lub 2007, S.61). Different kind of monitoring procedures have been elaborated from the governmental processes for evaluating quality in terms of indicators (Harvey/Akling 2002, p.1). In the European context the call for more visibility, transparency and comparability of quality in higher education is tightly linked to the Bologna Declaration of the European Union Ministers of Education in 1999 and this tendency continues to be one of the central themes in the whole Bologna process (from Bologna to Leuven). The ongoning necessity of quality and quality assurance in the entire process also remains one of the main issues for European policy makers. The aim to create comparable systems to guarantee quality within higher education systems are the reasons for national developments and their eagerness to reform. The situation in two realtively small European countries, Austria and Finland, are in the centre of discussion and shall exemplify different ways to cope with international developments and the need to establish a comprehensive quality assurance system. How do these countries cope with the pressure to compete with the global higher education market? Is their system of quality assurance in line with the European mainstream to create a European Higher Education Area? The purpose of this paper is to give a broad view on these two quality assurance systems and to deal with current issues in national policies.

For the theoretical framework fundamental literature of known researchers and field studies of European networks in higher education (EUA, ENQA, ECA etc.) will be considered. The methodological approach is mainly concentrated on country reports of Finland and Austria. Further already existing comparative reports will be taken into account to make a comprehensive comparison of these two countries. I have been studying at the University of Tampere/Finland and took part in a programme on administration and management in higher education. As I have been working in an Austrian quality assurance agency I have had the possibility to get a deeper insight to the Austrian higher education system especially in terms of quality assurance. During my work and study experience I have participated at various conferences, workshops and projects at European level. In that regard I would suggest that I can give an internal view on developments of both countries.

The Bologna process implicates several changes in the whole higher education sector, such as a European and a natinal qualification framework, a new degree structure, learning outcomes orientation and employability focus (Davies et al. 200, p.48). In Finland and Austria policy discussions and reforms concerning quality assurance started qulite lately. While in Finland discussions on quality assurance and strategies date back to the mid-1980s in Austria they started not till the 1990s. Nevertheless both countries have taken great efforts in their educational sectors to make their population fit for future challenges and to develop and enhance their quality assurance systems continuously. Summaraizing int can be stated that both countries integrated Bologna related issues into their regular policy planning cycle (Wende 2001, p.436) although Finland can be seen as much more in line with these developments as Austria.