When Terry retired from government service in 1965, he became vice president for Medical Affairs, as well as Professor of Medicine and Community Medicine, at the University of Pennsylvania. Terry was responsible for managing the University's health sciences schools, comprising some 40 percent of the University's budget, until he gave up the position of Vice President in 1971. He retained his professorial appointment until 1975, when he became Adjunct Professor, and then in 1981 Emeritus Professor. From 1970 to 1983, he also served as President of University Associates, a nonprofit consulting firm based in Washington, D.C.