they explain their criteria here:
http://www.timeshighered...alysis-methodology.html
A lot of weight is in citations and publications, which is understandable to some extent with higher education, but it also reinforces the "publish or perish" kind of attitude in academia, which isnt necessarily a sign of good education. Also it relies way too much on very specific details such as numbers (of publications, of people from this or that place, of phds, whatever) and very little if any qualitative aspects (degree of satisfaction of students/teachers, for example), or considering innovative creative projects, investment in entrepreneur spirit of students, or other important aspects such as level of sustainability of the campus/university, etc.
My current university is somewhere in the middle of the list, which I guess should be good in their terms.. I dont really care though, as I said I think a university might be good or not depending on a lot of other factors that werent taken in account