Academia
After her service in the White House and her lapsed judicial nomination, Kagan returned to academia in 1999. She initially sought to return to the University of Chicago, but she had given up her tenured position during her extended stint in the Clinton Administration, and the school chose not to rehire her, reportedly due to doubts about her commitment to academia. Kagan quickly found a position as a visiting professor at Harvard Law School. While there, she authored a law review article on United States administrative law, focusing on the president's role in formulating and influencing federal administrative law. The article was honored as the year's top scholarly article by the American Bar Association's Section on Administrative Law and Regulatory Practice.
In 2001, Kagan was named a full professor at Harvard Law School and in 2003 she was named dean of the Law School by Harvard University President Lawrence Summers. She succeeded Robert C. Clark, who had served as dean for over a decade. The focus of her tenure was on improving student satisfaction. Efforts included constructing new facilities and reforming the first-year curriculum as well as aesthetic changes and creature comforts, such as free morning coffee. She has been credited for a consensus-building leadership style that defused the school's previous ideological discord.
As dean, Kagan inherited a $400 million capital campaign, "Setting the Standard," in 2003. It ended in 2008 with a record-breaking $476 million raised, 19% more than the original goal. Kagan made a number of prominent new hires, increasing the size of the faculty considerably. Her coups included hiring legal scholar Cass Sunstein away from the University of Chicago and Lawrence Lessig away from Stanford. She also made an effort to hire conservative scholars, such as former Bush administration official Jack Goldsmith, for the traditionally liberal-leaning faculty.
According to Kevin Washburn, then dean of the University of New Mexico School of Law, Kagan transformed Harvard Law School from a harsh environment for students to one that was much more student-focused.
During her deanship, Kagan upheld a decades-old policy barring military recruiters from the Office of Career Services because she felt the military's "Don't Ask, Don't Tell" policy discriminated against gays and lesbians. According to Campus Progress, As dean, Kagan supported a lawsuit intended to overturn the Solomon Amendment so military recruiters might be banned from the grounds of schools like Harvard. When a federal appeals court ruled The Pentagon could not withhold funds, she banned the military from Harvard's campus once again. The case was challenged in the Supreme Court, which ruled the military could indeed require schools to allow recruiters if they wanted to receive federal money. Kagan, though she allowed the military back, simultaneously urged students to demonstrate against Don't Ask, Don't Tell.
In October 2003, Kagan sent an email to students and faculty deploring that military recruiters had shown up on campus in violation of this policy. The email read in part, "This action causes me deep distress. I abhor the military's discriminatory recruitment policy". She also wrote that it was "a profound wrong—a moral injustice of the first order".
From 2005 to 2008, Kagan was a member of the Research Advisory Council of the Goldman Sachs Global Markets Institute. She received a $10,000 stipend for her service.
By early 2007, Kagan was a finalist for the presidency of Harvard University after Lawrence Summers's resignation the previous year. The position ultimately went to Drew Gilpin Faust instead. Kagan was reportedly disappointed, and law school students threw her a party to express their appreciation for her leadership.