The Employability GapFive Ways to Improve Employability Outcomes in Higher EdMichael A. BettersworthAssociate Vice Chancel...
Class of 2012                 Sources:Yen, H. “Half of new grads are jobless or underemployed.” MSNBC. April 24, 2012; Cla...
Class of 2012                                        /Undere mployed                         r Grads Jobless            54...
Class of 2012                                       /Undere mployed                        r Grads Jobless            54 %...
Class of 2012                                        /Undere mployed                        r Grads  Jobless            54...
Student Loan Debt Now Exceeds Credit Card Debt                           Source: “What Caused the Student Loan Bubble”
“There is a growing sense among the public that  higher education might be overpriced and              under-delivering.” ...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
The Soaring Cost of Higher Ed Tuition               Source: Berry. “How bad is the student loan situation?” CollegView. We...
Tuition Rising Faster Than Other Indices                                      Source: MyBudget360
College Costs Expected to Continue Increase                                 The cost of one year in college               ...
Appropriations Down, Tuition Up              Annual Percentage Changes in State Appropriations for Higher             Educ...
May 8, 2012: Student Loan Debt Reaches $1 Trillion                      Student Loan Debt Increased                    $66...
Funded by Unprecedented Gov’t Student Loan Lending                               Source: Federal Reserve Data
Consumer Credit Growth Largely in Student Loans                Source: Federal Reserve Bank of New York Consumer Panel/Equ...
Consumer Credit Growth Largely in Student Loans                                        Rolling 12-Month Change            ...
Student Loan Delinquencies Also Increasing Steadily                 Source: New York Federal Reserve, Quarterly Report on ...
Student Loan Delinquencies Also Increasing Steadily                 Source: New York Federal Reserve, Quarterly Report on ...
“Official” Student Loan Default Rates from DOE     “The cohort default rate is the percentage of borrowers who enter repaym...
Lifetime Student Loan Default Rates—Much, Much Higher   “According to unpublished data obtained by The Chronicle,      one...
You Can Run, But You Can’t Hide      The Government Can:      •   Garnish up to 15% of take-home pay.      •   Intercept i...
You Can Run, But You Can’t Hide      The Government Can:      •   Garnish up to 15% of take-home pay.      •   Intercept i...
17 Million Underemployed in US  Over 317,000 waiters and waitresses have college degrees  (over 8,000 of them have doctora...
The Higher Ed Bubble   Since 2000, in real terms college costs are now up by 23%   Since 2000, in real terms real pay for ...
The colleges that most studentsattend "need to streamlinetheir programs, so theyemphasize employability.”                 ...
“At the post-secondary level,we need a concerted effort tolink work and learning byproviding far moreopportunities for wor...
“I believe that oureducation systemshould make a shiftto one that ismarket-driven andtakes into accountthe skills needed b...
“Today, a seriousimbalance isemerging betweenthe demand forskilled workersand the state’sability to supplythem.”Susan Comb...
Role of Texas Two-Year Colleges Continues Move Towards Academic Prep                     TexasCommunity&TechnicalCollegeCo...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
Awareness: Market AnalysisReal-Time Labor Market Analysis
Awareness: Market AnalysisReal-Time Labor Market Analysis                  Student*Labor*Market*Outcomes**                ...
Awareness: Market AnalysisReal-Time Labor Market Analysis                      Student*Labor*Market*Outcomes**            ...
Awareness: Market AnalysisApplications of Real-Time Labor Market Analysis Tools        PLACEMENT)                        C...
Awareness: Market AnalysisExample: Real-Time Labor Market Analysis
Awareness: Market AnalysisEmerging Skills Research available at www.forecasting.tstc.edu
Awareness: Market AnalysisEmerging Skills Research available at www.forecasting.tstc.edu
Awareness: Market AnalysisReal-Time Labor Market Analysis Vendors
Awareness: Market AnalysisReal-Time Labor Market Analysis Vendors                   Labor/Insight™
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills”  • hard tec...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills”  • hard tec...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills”            ...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills”            ...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills”            ...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills”            ...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills”            ...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills”            ...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities                                      ...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities                    Program)          ...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities                    Program)          ...
Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities                      Program)        ...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
Process: Talent Pipeline Development (one example)Standard Talent Pipeline                                                ...
Process: Talent Pipeline Development (one example)Standard Talent Pipeline                                                ...
Process: Talent Pipeline Development (one example)Improved Talent Pipeline                             Early              ...
Process: Talent Pipeline Development (one example)Extended Talent Pipeline                           Early            Scho...
Process: Talent Pipeline Development (one example)Advanced Talent Pipeline                                            Scho...
Process: Talent Pipeline Development (one example)Sponsorship Model Talent Pipeline                                 Schola...
Process: Talent Pipeline Development (one example)Capacity Building Talent PipelineCollege            Advisory      Intern...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
What’s Measured    Enrollments   Demographics  Contact HoursCourse Completion     GraduatesNumbers of Awards   Award Level...
What’s Measured        What Counts    Enrollments          Placement Rate   Demographics              Earnings  Contact Ho...
Scorecard: Performance Metrics  Gainful Employment Disclosures (still in effect)As of July 11, 2011, each program that fal...
Scorecard: Performance Metrics TSTC System 2005-2006 Cohort Top 15 AAS Degrees, 4-Year Average Earnings                   ...
Scorecard: Performance Metrics                TSTC$System$2005-06$Cohort$Top$15$4-Year$Average$CERT$Earnings$       TSTC S...
Scorecard: Performance MetricsHigher Education Performance Business Analytics (Powered by Tableau)                        ...
Scorecard: Performance MetricsTop Earning 2011 UT Austin Bachelors Degrees and TSTC Associate and Certificates             ...
Scorecard: Performance MetricsTableau Live Demo (Time Permitting)                            CONFIDENTIAL DRAFT. INCOMPLET...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
It’s not about getting students in...
Incentive: Value-Based FundingAttributes of Value-Based Funding Model  • Rewards activity through contact hour funding.  •...
Incentive: Value-Based FundingAttributes of Value0-Based Funding Model  • Rewards output not activity.  • Incentivizes inn...
$    HS   AAS   BA   MA
$    ------------     HS   AAS   BA   MA
$         STEM    ------------     HS   AAS    BA   MA
$         STEM    ------------     HS   AAS    BA   MA
$   Value   STEM    Add    ------------      HS    AAS    BA   MA
Funding Based on Return   45% of TSTC’s state funding will be based on     earnings of TSTC exiters--not seat time.
Funding Based on Return   45% of TSTC’s state funding will be based on     earnings of TSTC exiters--not seat time.
Funding Based on Return   45% of TSTC’s state funding will be based on     earnings of TSTC exiters--not seat time.       ...
Funding Based on Return   45% of TSTC’s state funding will be based on     earnings of TSTC exiters--not seat time.       ...
Funding Based on Return   45% of TSTC’s state funding will be based on     earnings of TSTC exiters--not seat time.       ...
Funding Based on Return   45% of TSTC’s state funding will be based on     earnings of TSTC exiters--not seat time.       ...
“If you cant makepeople employable,they are not goingto participate fullyin the life of theirtimes in thissystem.”        ...
HIRED                                               HIRED                                                               HI...
The Employability GapFive Ways Improve Employability Outcomes in Higher Ed       Context: The Higher Ed Bubble       Aware...
The Employability GapFive Ways to Improve Employability Outcomes in Higher EdMichael A. BettersworthAssociate Vice Chancel...
The Employability Gap: Five Ways to Improve Employability Outcomes in Higher Ed
The Employability Gap: Five Ways to Improve Employability Outcomes in Higher Ed
The Employability Gap: Five Ways to Improve Employability Outcomes in Higher Ed
The Employability Gap: Five Ways to Improve Employability Outcomes in Higher Ed
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The Employability Gap: Five Ways to Improve Employability Outcomes in Higher Ed

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Colleges are rewarded for enrollment numbers and there is increasing attention on graduation rates, yet very little if any attention is paid to student placement and earnings. Considering the massive investment required for higher education, aren't these valuable measures as well? In this session, Michael Bettersworth makes the case why degrees increasingly matter less, competencies are the real currency, and student success is about much more than enrollment numbers or graduation rates. It's also about getting a job.

Michael Bettersworth is the associate vice chancellor for technology advancement at the Texas State Technical College System. Shortly after joining TSTC in 2002, Michael founded TSTC Forecasting to identify and analyze new technical competencies needed by employers. The core purpose of this work is to improve student employability through curriculum alignment with market demand. TSTC Forecasting has published over 28 studies on emerging technologies and occupations leading to new college curriculum in nanotechnology, biotechnology, energy, video games, manufacturing, healthcare among other topics. New studies are currently underway in big data, unmanned aerial systems, and social media. Michael's current work focuses on the development of a new higher education funding model based on exiter earnings, the use of real-time labor market data for curriculum alignment, college program evaluations using placement and earnings data, and curriculum development through a common skills language in partnership with the Texas Workforce Commission. Michael is an unconventional thinker, an informed speaker, and a staunch advocate for the important role of education in our nation's shared prosperity.

Visit www.forecasting.tstc.edu for Forecasts and follow Michael @bettersworth

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  • \n
  • Un or Underemployed, median wage, 3 of 30: http://www.msnbc.msn.com/id/47141463/ns/business-stocks_and_economy/#.T7_GqplYtEh\nStudent Loan Debt: http://money.cnn.com/2012/05/23/pf/college/debt-repayment.moneymag/\nMore: http://www.epi.org/publication/bp340-labor-market-young-graduates/\n
  • Un or Underemployed, median wage, 3 of 30: http://www.msnbc.msn.com/id/47141463/ns/business-stocks_and_economy/#.T7_GqplYtEh\nStudent Loan Debt: http://money.cnn.com/2012/05/23/pf/college/debt-repayment.moneymag/\nMore: http://www.epi.org/publication/bp340-labor-market-young-graduates/\n
  • Un or Underemployed, median wage, 3 of 30: http://www.msnbc.msn.com/id/47141463/ns/business-stocks_and_economy/#.T7_GqplYtEh\nStudent Loan Debt: http://money.cnn.com/2012/05/23/pf/college/debt-repayment.moneymag/\nMore: http://www.epi.org/publication/bp340-labor-market-young-graduates/\n
  • http://weakonomics.com/2012/06/20/what-caused-the-student-loan-bubble/\n
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  • http://www.collegeview.com/admit/?p=2517\n
  • http://www.mybudget360.com/student-loan-bubble-next-massive-debt-bubble-to-crush-the-economy-student-debt-higher-edudation-bubble-bust-crash-credit-markets/\n
  • http://www.mybudget360.com/college-education-predators-lounge-for-wall-street-and-government-college-cost-up-college-grad-earnings-down/\n
  • http://trends.collegeboard.org/?excmpid=MTG1-PR-1-pr\n
  • http://money.cnn.com/2012/05/31/news/economy/fed-student-loans/index.htm\n
  • http://www.mybudget360.com/student-loan-shark-industry-total-revolving-debt-contracts-during-recession-while-student-loan-debt-increases-by-a-stunning-80-percent-student-loan-debt/\n\n
  • The Federal Reserve tracks federally backed student loan debt and the figures are astounding.  The only sector of household debt that has expanded in manic fashion during this recession is with student loans. Every sector has taken a hit including:\n-Home equity revolving debt\n-Automobile loans\n-Credit card debt\n-Other debt\n\nhttp://www.mybudget360.com/crossing-student-debt-point-of-no-return-for-profit-colleges-default-rates-subprime-student-loan-debt-1-trillion-dollars-in-2011/\n
  • http://weakonomics.com/2012/06/20/what-caused-the-student-loan-bubble/\n
  • http://advisoranalyst.com/glablog/2012/05/28/the-consumer-is-back-consumer-credit-positive-even-excluding-student-loans/\n
  • “The graph below zooms in on the change in loan delinquencies since 2009, at the trough of the recession, highlighting the seriousness of the problem: while students have less money than ever to pay for college, demand for higher education has only grown. Loans are the only available option for most students, even though they are finding them harder and harder to pay back.”\n\nhttp://botc.tcf.org/2011/10/graph-of-the-day-household-credit-market-recovering-but-student-debt-soars.html\n\n\n
  • Bucking the deleveraging trend, total student loan debt has multiplied fivefold in the last ten years, from just $120 billion in 2001 to around $550 billion today—and shows no signs of stopping. The graph below zooms in on the change in loan delinquencies since 2009, at the trough of the recession, highlighting the seriousness of the problem: while students have less money than ever to pay for college, demand for higher education has only grown. Loans are the only available option for most students, even though they are finding them harder and harder to pay back.\n\nhttp://botc.tcf.org/2011/10/graph-of-the-day-household-credit-market-recovering-but-student-debt-soars.html\n\n
  • http://www2.ed.gov/offices/OSFAP/defaultmanagement/defaultrates.html\n
  • http://chronicle.com/article/Many-More-Students-Are/66223/\n
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  • http://chronicle.com/blogs/innovations/why-did-17-million-students-go-to-college/27634\n
  • http://www.mybudget360.com/college-education-predators-lounge-for-wall-street-and-government-college-cost-up-college-grad-earnings-down/\n\n\n
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  • As you know, it’s true ... It’s no longer about getting in... and Enrollment is not the end game -- \nWe are actively working with the The Texas Higher Education CoBoard, Comptroller, and Texas Workforce Commission on a Value Added Funding Formula to be acted upon by the next legislative session\n\nIn a nutshell... here’s how it’s going to work...\n\n
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  • \n\nSOURCE NOTES:\nMedian Earnings\nThe median earnings of AAS degree earners in STEM areas, is MORE than a BA degree ... and when the BA is in STEM... that trend continues.\n\nNOTE: STEM includes credentials awarded in computer science and technology, architecture and engineering, mathematics and statistics, and biological and life sciences.\n *“Some college, but no degree” was used as a proxy for median earnings of certificate holders.\nSource: Kelley, P., The dreaded “P” word: an examination of productivity in public postsecondary education., July 2009.\n\n
  • \n\nSOURCE NOTES:\nMedian Earnings\nThe median earnings of AAS degree earners in STEM areas, is MORE than a BA degree ... and when the BA is in STEM... that trend continues.\n\nNOTE: STEM includes credentials awarded in computer science and technology, architecture and engineering, mathematics and statistics, and biological and life sciences.\n *“Some college, but no degree” was used as a proxy for median earnings of certificate holders.\nSource: Kelley, P., The dreaded “P” word: an examination of productivity in public postsecondary education., July 2009.\n\n
  • \n\nSOURCE NOTES:\nMedian Earnings\nThe median earnings of AAS degree earners in STEM areas, is MORE than a BA degree ... and when the BA is in STEM... that trend continues.\n\nNOTE: STEM includes credentials awarded in computer science and technology, architecture and engineering, mathematics and statistics, and biological and life sciences.\n *“Some college, but no degree” was used as a proxy for median earnings of certificate holders.\nSource: Kelley, P., The dreaded “P” word: an examination of productivity in public postsecondary education., July 2009.\n\n
  • \n\nSOURCE NOTES:\nMedian Earnings\nThe median earnings of AAS degree earners in STEM areas, is MORE than a BA degree ... and when the BA is in STEM... that trend continues.\n\nNOTE: STEM includes credentials awarded in computer science and technology, architecture and engineering, mathematics and statistics, and biological and life sciences.\n *“Some college, but no degree” was used as a proxy for median earnings of certificate holders.\nSource: Kelley, P., The dreaded “P” word: an examination of productivity in public postsecondary education., July 2009.\n\n
  • \n\nSOURCE NOTES:\nMedian Earnings\nThe median earnings of AAS degree earners in STEM areas, is MORE than a BA degree ... and when the BA is in STEM... that trend continues.\n\nNOTE: STEM includes credentials awarded in computer science and technology, architecture and engineering, mathematics and statistics, and biological and life sciences.\n *“Some college, but no degree” was used as a proxy for median earnings of certificate holders.\nSource: Kelley, P., The dreaded “P” word: an examination of productivity in public postsecondary education., July 2009.\n\n
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  • Transcript of "The Employability Gap: Five Ways to Improve Employability Outcomes in Higher Ed"

    1. 1. The Employability GapFive Ways to Improve Employability Outcomes in Higher EdMichael A. BettersworthAssociate Vice Chancellor for Technology AdvancementTexas State Technical CollegeFollow @bettersworth Presented to the Division of Continuing and Innovative Education at The University of Texas at Austin July 18, 2012
    2. 2. Class of 2012 Sources:Yen, H. “Half of new grads are jobless or underemployed.” MSNBC. April 24, 2012; Clark, K. “Help free your grad from debt.” CNN Money, May 23, 2012; Shierholz, Sabadish, and Wething. “The Class of 2012: Labor market for young graduates remains grim.” Economic Policy Institute. May 3, 2012
    3. 3. Class of 2012 /Undere mployed r Grads Jobless 54% of 4-Y Sources:Yen, H. “Half of new grads are jobless or underemployed.” MSNBC. April 24, 2012; Clark, K. “Help free your grad from debt.” CNN Money, May 23, 2012; Shierholz, Sabadish, and Wething. “The Class of 2012: Labor market for young graduates remains grim.” Economic Policy Institute. May 3, 2012
    4. 4. Class of 2012 /Undere mployed r Grads Jobless 54 % of 4-Y n Wages Year Low Media 10- Sources:Yen, H. “Half of new grads are jobless or underemployed.” MSNBC. April 24, 2012; Clark, K. “Help free your grad from debt.” CNN Money, May 23, 2012; Shierholz, Sabadish, and Wething. “The Class of 2012: Labor market for young graduates remains grim.” Economic Policy Institute. May 3, 2012
    5. 5. Class of 2012 /Undere mployed r Grads Jobless 54 % of 4-Y n Wages Year Low Media n Debt 10- age Stud ent Loa $28,700 Aver Sources:Yen, H. “Half of new grads are jobless or underemployed.” MSNBC. April 24, 2012; Clark, K. “Help free your grad from debt.” CNN Money, May 23, 2012; Shierholz, Sabadish, and Wething. “The Class of 2012: Labor market for young graduates remains grim.” Economic Policy Institute. May 3, 2012
    6. 6. Student Loan Debt Now Exceeds Credit Card Debt Source: “What Caused the Student Loan Bubble”
    7. 7. “There is a growing sense among the public that higher education might be overpriced and under-delivering.” Source: Cronin, Joseph & Horton, Howard. Will higher education be the next bubble to burst? The Chronicle of Higher Education. May 22, 2009.
    8. 8. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    9. 9. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    10. 10. The Soaring Cost of Higher Ed Tuition Source: Berry. “How bad is the student loan situation?” CollegView. Web May 2012. Data from inflationdata.com
    11. 11. Tuition Rising Faster Than Other Indices Source: MyBudget360
    12. 12. College Costs Expected to Continue Increase The cost of one year in college if your child begins… Source: College Board
    13. 13. Appropriations Down, Tuition Up Annual Percentage Changes in State Appropriations for Higher Education per Full-Time Equivalent (FTE) Student and Changes in Inflation-Adjusted Tuition and Fees at Public Four-Year Institutions, 1980 81 to 2010 11 Source: College Board, Trends in College Pricing 2011, Figure 10A
    14. 14. May 8, 2012: Student Loan Debt Reaches $1 Trillion Student Loan Debt Increased $663,000,000,000 Over 10 Years Source: “Fed: Student loans soar 275% over past decade.” CNN Money. Web May 31, 2012.
    15. 15. Funded by Unprecedented Gov’t Student Loan Lending Source: Federal Reserve Data
    16. 16. Consumer Credit Growth Largely in Student Loans Source: Federal Reserve Bank of New York Consumer Panel/Equifax. Credit: Weakonomics.com
    17. 17. Consumer Credit Growth Largely in Student Loans Rolling 12-Month Change Source: “The consumer is back…consumer credit positive.” AdvisorAnalyst.com Web May 29, 2012.
    18. 18. Student Loan Delinquencies Also Increasing Steadily Source: New York Federal Reserve, Quarterly Report on Household Debt & Credit, August 2011
    19. 19. Student Loan Delinquencies Also Increasing Steadily Source: New York Federal Reserve, Quarterly Report on Household Debt & Credit, August 2011
    20. 20. “Official” Student Loan Default Rates from DOE “The cohort default rate is the percentage of borrowers who enter repayment in a fiscal year and default by the end of the next fiscal year.” Source: US Department of Education. OSFAP
    21. 21. Lifetime Student Loan Default Rates—Much, Much Higher “According to unpublished data obtained by The Chronicle, one in every five government loans that entered repayment in 1995 has gone into default.” Source: Kelly Field. Chronicle of Higher Education. “Government Vastly Undercounts Defaults”. July 11, 2010
    22. 22. You Can Run, But You Can’t Hide The Government Can: • Garnish up to 15% of take-home pay. • Intercept income tax refunds and lottery winnings. • Offset 15% of Social Security benefit payments. • Place liens on back accounts and property. • Charge collection fees up to 30% of balance. • Revoke state-issued licenses. • No statute of limitations.
    23. 23. You Can Run, But You Can’t Hide The Government Can: • Garnish up to 15% of take-home pay. • Intercept income tax refunds and lottery winnings. • Offset 15% of Social Security benefit payments. • Place liens on back accounts and property. • Charge collection fees up to 30% of balance. • Revoke state-issued licenses. • No statute of limitations.FACTOID~72,000 federal student loan borrowers filed forbankruptcy in 2008. Only 29 (.04%) succeeded inobtaining a full or partial discharge of their loans.
    24. 24. 17 Million Underemployed in US Over 317,000 waiters and waitresses have college degrees (over 8,000 of them have doctoral or professional degrees), along with over 80,000 bartenders, and over 18,000 parking lot attendants. All told, some 17,000,000 Americans with college degrees are doing jobs that the BLS says require less than the skill levels associated with a bachelor’s degree. Source: Richard Vedder. Chronicle of Higher Education. “Why did 17 million students go to college”. October 20, 2010
    25. 25. The Higher Ed Bubble Since 2000, in real terms college costs are now up by 23% Since 2000, in real terms real pay for college graduates is down by 11% Ratio
    26. 26. The colleges that most studentsattend "need to streamlinetheir programs, so theyemphasize employability.” Anthony P. Carnevale Director, Georgetown Center Georgetown University
    27. 27. “At the post-secondary level,we need a concerted effort tolink work and learning byproviding far moreopportunities for work-basedlearning.” William C.  Symonds Director, Pathways to Prosperity Harvard Graduate School of Education
    28. 28. “I believe that oureducation systemshould make a shiftto one that ismarket-driven andtakes into accountthe skills needed byemployers.”Tom PaukenCommissionerTexas Workforce Commission
    29. 29. “Today, a seriousimbalance isemerging betweenthe demand forskilled workersand the state’sability to supplythem.”Susan CombsTexas Comptroller
    30. 30. Role of Texas Two-Year Colleges Continues Move Towards Academic Prep TexasCommunity&TechnicalCollegeContactHourDistribu9on Academic" Technical" 250"Millions 200" 150" 100" 50" 0" FY99" FY00" FY01" FY02" FY03" FY04" FY05" FY06" FY07" FY08" FY09" FY10"
    31. 31. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    32. 32. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    33. 33. Awareness: Market AnalysisReal-Time Labor Market Analysis
    34. 34. Awareness: Market AnalysisReal-Time Labor Market Analysis Student*Labor*Market*Outcomes** Tradi&onal*LMI* Data0driven* Decisions* Real0&me*LMI*
    35. 35. Awareness: Market AnalysisReal-Time Labor Market Analysis Student*Labor*Market*Outcomes** Tradi&onal*LMI* Data0driven* Decisions* Real0&me*LMI* Demand* •  Educaon*enrollees* •  Qualified*job*referrals* •  Educaon*completers* •  Improved*placements* •  Unemployed* •  New*hires** •  Improved*employer* •  Employed* •  Replacement*hires** relaonships* •  Improved*counseling* tools* Supply* Strategic* Alignment*
    36. 36. Awareness: Market AnalysisApplications of Real-Time Labor Market Analysis Tools PLACEMENT) CURRICULUM) FORECASTING) •  Iden/fy)Hiring)Employers) •  Iden/fy)Current)Skills) •  Iden/fy)Emerging)Skill)&) •  Find)Job)Openings) Needed)by)Industry) Occupa/ons) •  Connect)Students)to)Jobs) •  Compare)to)Exis/ng)TSTC) •  Find)Hiring)Employers) •  Analyze)Regional) Offerings) For)Interviews) Demand) •  Setup)New)Employer) •  Form)Recommenda/ons) •  Engage)Ac/ve)Employers) Capstones) Based)on)Market) •  Recruit)Hiring) Demand) •  Setup)Internships) Companies)to)Advisory) •  Drive)New)Curriculum) •  Obtain)Scholarships) CommiNees) Investments)
    37. 37. Awareness: Market AnalysisExample: Real-Time Labor Market Analysis
    38. 38. Awareness: Market AnalysisEmerging Skills Research available at www.forecasting.tstc.edu
    39. 39. Awareness: Market AnalysisEmerging Skills Research available at www.forecasting.tstc.edu
    40. 40. Awareness: Market AnalysisReal-Time Labor Market Analysis Vendors
    41. 41. Awareness: Market AnalysisReal-Time Labor Market Analysis Vendors Labor/Insight™
    42. 42. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    43. 43. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    44. 44. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills” • hard technical skills • workplace basics or soft skills • worker talents, characteristics or behaviors • learning objectives within curriculum Source: Froeschle, Richard. “Detailed work activities common language project: developing a skills-based talent management system.” Texas Workforce Commission. July 2012.
    45. 45. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills” • hard technical skills • workplace basics or soft skills • worker talents, characteristics or behaviors • learning objectives within curriculum Source: Froeschle, Richard. “Detailed work activities common language project: developing a skills-based talent management system.” Texas Workforce Commission. July 2012.
    46. 46. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills” Detailed Work • hard technical skills Activities: • workplace basics or soft skills • A classification in O*Net • worker talents, characteristics or behaviors • Broader than a task • learning objectives within curriculum • More specific than a competency • A common structure for skills Source: Froeschle, Richard. “Detailed work activities common language project: developing a skills-based talent management system.” Texas Workforce Commission. July 2012.
    47. 47. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills” Detailed Work • hard technical skills Activities: • workplace basics or soft skills • A classification in O*Net • worker talents, characteristics or behaviors • Broader than a task • learning objectives within curriculum • More specific than a competency • A common structure for skills Analyze engineering problems in electronics manufacturing. Source: Froeschle, Richard. “Detailed work activities common language project: developing a skills-based talent management system.” Texas Workforce Commission. July 2012.
    48. 48. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills” Detailed Work • hard technical skills Activities: • workplace basics or soft skills • A classification in O*Net • worker talents, characteristics or behaviors • Broader than a task • learning objectives within curriculum • More specific than a competency • A common structure for skills Analyze engineering problems in electronics manufacturing. Action Source: Froeschle, Richard. “Detailed work activities common language project: developing a skills-based talent management system.” Texas Workforce Commission. July 2012.
    49. 49. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills” Detailed Work • hard technical skills Activities: • workplace basics or soft skills • A classification in O*Net • worker talents, characteristics or behaviors • Broader than a task • learning objectives within curriculum • More specific than a competency • A common structure for skills Analyze engineering problems in electronics manufacturing. Object Action Modifier Source: Froeschle, Richard. “Detailed work activities common language project: developing a skills-based talent management system.” Texas Workforce Commission. July 2012.
    50. 50. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills” Detailed Work • hard technical skills Activities: • workplace basics or soft skills • A classification in O*Net • worker talents, characteristics or behaviors • Broader than a task • learning objectives within curriculum • More specific than a competency • A common structure for skills Analyze engineering problems in electronics manufacturing. Object Action Object Modifier Source: Froeschle, Richard. “Detailed work activities common language project: developing a skills-based talent management system.” Texas Workforce Commission. July 2012.
    51. 51. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities The Problem with “Skills” Detailed Work • hard technical skills Activities: • workplace basics or soft skills • A classification in O*Net • worker talents, characteristics or behaviors • Broader than a task • learning objectives within curriculum • More specific than a competency • A common structure for skills Analyze engineering problems in electronics manufacturing. Object Action Object Statement Modifier Modifier Source: Froeschle, Richard. “Detailed work activities common language project: developing a skills-based talent management system.” Texas Workforce Commission. July 2012.
    52. 52. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities Go to www.skillspass.org
    53. 53. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities
    54. 54. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities Program) Occupa&on) (CIP)) (SOC))
    55. 55. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities Program) Occupa&on) (CIP)) (SOC)) Program$ Program$ Program$ Program$ Job$Title$ Job$Title$ Job$Title$ Job$Title$
    56. 56. Product: Curriculum AlignmentCommon Skills Language through Detailed Work Activities Program) Occupa&on) (CIP)) (SOC)) Program$ Program$ Program$ Program$ Job$Title$ Job$Title$ Job$Title$ Job$Title$ Learning( Learning( Learning( Learning( DWA(Skills( DWA(Skills( DWA(Skills( DWA(Skills( Outcome( Outcome( Outcome( Outcome( Learning( Learning( Learning( Learning( DWA(Skills( DWA(Skills( DWA(Skills( DWA(Skills( Outcome( Outcome( Outcome( Outcome( Learning( Learning( Learning( Learning( DWA(Skills( DWA(Skills( DWA(Skills( DWA(Skills( Outcome( Outcome( Outcome( Outcome(
    57. 57. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    58. 58. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    59. 59. Process: Talent Pipeline Development (one example)Standard Talent Pipeline Hire Position Full Time Interview Enroll College Career
    60. 60. Process: Talent Pipeline Development (one example)Standard Talent Pipeline Hire Position Full Time Interview Enroll College Career Quality assurance of new hire is limited. Retention can suffer if bad fit. Time to full productivity delayed. Stronger candidates have been cherry picked. Insufficient volume of candidates.
    61. 61. Process: Talent Pipeline Development (one example)Improved Talent Pipeline Early Advisory Position Interview Hire Full Time Look Enroll College Career Quality assurance of new hire is limited. Retention can suffer if bad fit. Time to full productivity delayed. Stronger candidates have been cherry picked. Insufficient volume of candidates.
    62. 62. Process: Talent Pipeline Development (one example)Extended Talent Pipeline Early Scholar- Advisory Intern Position Interview Hire Full Time Look ship Enroll College Career Quality assurance of new hire is limited. Retention can suffer if bad fit. Time to full productivity delayed. Stronger candidates have been cherry picked. Insufficient volume of candidates.
    63. 63. Process: Talent Pipeline Development (one example)Advanced Talent Pipeline Scholar- Hire ship Early Advisory Intern Position Co-Op Interview Full Time Look Enroll College Career Quality assurance of new hire is limited. Retention can suffer if bad fit. Time to full productivity delayed. Stronger candidates have been cherry picked. Insufficient volume of candidates.
    64. 64. Process: Talent Pipeline Development (one example)Sponsorship Model Talent Pipeline Scholar- ship Advisory Position Sponsor Co-Op Interview Hire Full Time Intern Enroll College Career Visits Part Time Employment Reimbursed Tuition Employment Pay Remaining Tuition Benefits, etc. Candidate Pays Tuition Performance 2 Year Contract Stronger candidates have been cherry picked. Insufficient volume of candidates.
    65. 65. Process: Talent Pipeline Development (one example)Capacity Building Talent PipelineCollege Advisory Intern Sponsor Co-Op Interview Hire Full Time College CareerSecondary Dual Career Tours Camps Enroll Credit Compete Certs Position Interview Scholar- ship Middle School High School
    66. 66. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    67. 67. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    68. 68. What’s Measured Enrollments Demographics Contact HoursCourse Completion GraduatesNumbers of Awards Award LevelsNational Benchmarks Activity
    69. 69. What’s Measured What Counts Enrollments Placement Rate Demographics Earnings Contact Hours Student SatisfactionCourse Completion Employer Satisfaction Graduates New CompaniesNumbers of Awards Return on Investment Award Levels Value to TaxpayerNational Benchmarks Efficiency Activity Performance
    70. 70. Scorecard: Performance Metrics Gainful Employment Disclosures (still in effect)As of July 11, 2011, each program that fallsunder these regulations is required to report:• Occupations, SOC codes, links to occupational profiles on O*NET • Costs – tuition/fees and books/supplies (may include additional costs)• On-time graduation (completion) rate for each program• Job placement rate for students completing each program (if currently required by state or accrediting body)• Median loan debt incurred by students as provided by ED (identified separately as Title IV loan debt and private educational loan debt)
    71. 71. Scorecard: Performance Metrics TSTC System 2005-2006 Cohort Top 15 AAS Degrees, 4-Year Average Earnings TSTC$System$2005-06$Cohort$Top$15$4-Year$Average$AAS$Earnings$$70,000" 100" 90"$60,000" 80"$50,000" 70" 60"$40,000" 50"$30,000" 40"$20,000" 30" 20"$10,000" 10" $0" 0" " g" " t" " g" y" " y" " " y" " y" y" on cs om cs st cs ns an og og in rin og og og ni ni ni o7 7o a7 d ec pl ol ol ol ie ol ol ha ee ha el b ica t er hn hn yg el hn hn hn en Ro W in ec ec w "T "H un ec ec ec ng ec ec m l "M "M Po g"& al l "T l "T l "T m ru l "T l "T l "E el I" nt ria m kin st ca ica ica ria ica ca es ra De coIn st p7 ni Di st ed or em ed rc du le ha du "O Ai w y"M om Te Ch In et ec r"& In Bi r"N nc M se ge te La er pu Em m Co CONFIDENTIAL DRAFT. INCOMPLETE DATA. FOR INTERNAL USE ONLY.
    72. 72. Scorecard: Performance Metrics TSTC$System$2005-06$Cohort$Top$15$4-Year$Average$CERT$Earnings$ TSTC System 2005-2006 Cohort Top 15 Certificates, 4-Year Average Earnings $70,000" 300" $60,000" 250" $50,000" 200" $40,000" 150" $30,000" 100" $20,000" 50" $10,000" $0" 0" g" " g" " " " g" " " y" y" " y" y" ir" se cs cs cs cs ce st og og og in og rin rin pa ni ni ni ni ni ur an d ol ol ol ol hi ha ha ha ha ee ee Re el "N en hn hn hn hn ac W in in ec ec ec ec al &" nt M ec ec ec ec ng ng ;c "M l "M M "M n" ai l "T "T s"T r"T io "E "E ac I" "M el ile ria AC l on lis ica ra Pr te ca ;c es ob AC st ol HV rc c; " pu ni Di em bo ed m du /C HV Ai ha tru m Ro s to Ch dy In enec Co Au ns bo LicM Co to Au CONFIDENTIAL DRAFT. INCOMPLETE DATA. FOR INTERNAL USE ONLY.
    73. 73. Scorecard: Performance MetricsHigher Education Performance Business Analytics (Powered by Tableau) CONFIDENTIAL DRAFT. INCOMPLETE DATA. FOR INTERNAL USE ONLY.
    74. 74. Scorecard: Performance MetricsTop Earning 2011 UT Austin Bachelors Degrees and TSTC Associate and Certificates CONFIDENTIAL DRAFT. INCOMPLETE DATA. FOR INTERNAL USE ONLY.
    75. 75. Scorecard: Performance MetricsTableau Live Demo (Time Permitting) CONFIDENTIAL DRAFT. INCOMPLETE DATA. FOR INTERNAL USE ONLY.
    76. 76. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    77. 77. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    78. 78. It’s not about getting students in...
    79. 79. Incentive: Value-Based FundingAttributes of Value-Based Funding Model • Rewards activity through contact hour funding. • Rewards recruitment and retention over placement. • Encourages traditional (lengthy) programs. • One-sized fits all approach serves few well. • Performance metrics pay little attention to earnings. • On the positive side, it’s easy to count.
    80. 80. Incentive: Value-Based FundingAttributes of Value0-Based Funding Model • Rewards output not activity. • Incentivizes innovative training delivery strategies. • Central to the vested interests of the student. • Requires more thoughtful and engaged counseling. • Strengthens returns on taxpayer investment • Institution mission is centrally focused. • On the downside...
    81. 81. $ HS AAS BA MA
    82. 82. $ ------------ HS AAS BA MA
    83. 83. $ STEM ------------ HS AAS BA MA
    84. 84. $ STEM ------------ HS AAS BA MA
    85. 85. $ Value STEM Add ------------ HS AAS BA MA
    86. 86. Funding Based on Return 45% of TSTC’s state funding will be based on earnings of TSTC exiters--not seat time.
    87. 87. Funding Based on Return 45% of TSTC’s state funding will be based on earnings of TSTC exiters--not seat time.
    88. 88. Funding Based on Return 45% of TSTC’s state funding will be based on earnings of TSTC exiters--not seat time. More Skilled Talent
    89. 89. Funding Based on Return 45% of TSTC’s state funding will be based on earnings of TSTC exiters--not seat time. Placed in More High- Skilled Demand Talent Careers
    90. 90. Funding Based on Return 45% of TSTC’s state funding will be based on earnings of TSTC exiters--not seat time. Placed in More Earning High- Skilled Premium Demand Talent Wages Careers
    91. 91. Funding Based on Return 45% of TSTC’s state funding will be based on earnings of TSTC exiters--not seat time. Placed in Generates More Earning High- More Skilled Premium Demand Tax Talent Wages Careers Revenue
    92. 92. “If you cant makepeople employable,they are not goingto participate fullyin the life of theirtimes in thissystem.” Anthony P. Carnevale Director, Georgetown Center Georgetown University
    93. 93. HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIREDHIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRE HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIREDHIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIREDHIRED Promoted HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED HIRED Raise HIRED HIRED HIRE HIRED HIRED HIRED HIRED
    94. 94. The Employability GapFive Ways Improve Employability Outcomes in Higher Ed Context: The Higher Ed Bubble Awareness: Market Analysis Product: Curriculum Alignment Process: Talent Pipeline (example) Scorecard: Performance Metrics Incentive: Value-Based Funding Discussion
    95. 95. The Employability GapFive Ways to Improve Employability Outcomes in Higher EdMichael A. BettersworthAssociate Vice Chancellor for Technology AdvancementTexas State Technical CollegeFollow @bettersworth Presented to the Division of Continuing and Innovative Education at The University of Texas at Austin July 18, 2012

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