10.11.11 acct meeting

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Deck on technogolies ability to transform higher education

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  • Noted technology author and Fast Company reporter, Anya Kamenetz, in her best selling book, DIYU : Edupunks, Edupreneurs and the Coming Transformation of Higher Education , provides a practical point view of on what colleges actually do that can be helpful in solving this affordability/value puzzle. She argues that while “higher education is not just an industry….from the students’ point of view colleges do provide a bundle of services. You crack a book or go to a lecture and learn about the world ; you go to labs, complete problem sets, and write papers, building a skill set ; you form relationships with classmates and teachers and learn about yourself ; and you get a diploma so that world can learn about you. Knowledge (in a field of study), practical skills, socialization, and accreditation.” [i ] [i] DIYU, Anya Kamenetz
  • Disruptive Innovation plugged into new business models Allows organization to serve a job to be done in the lives of customers at this new lower price point or In a new way, far more convenient fashion without extra cost Plugging a disruptive innovation into an existing business model never results in transformation of the model; instead, the existing model co-opts the innovation to sustain how it operates. Important note: This means that the disruption of higher ed at public universities will need to happen at the level of state systems of higher education, not at the level of the individual institutions, which struggle to evolve.
  • Di Questions college; Its processes where it happens What are its goals Assumptions Prestige goes to institutions that accept best students and do the best research Knowledge was scarce during the rise of America’s top universities and colleges which implied that research and teaching should be tightly coupled Online learning can allow learning to happen in various contexts, locations and times. Tightly structured program could add to success of those traditionally underserved Escape from policies that focus on credit hours and seat time to one that ties progression to competency and mastery. Onlinelearning can easily be embedded acationable assessments and allow student to accelerate past concepts and skills they understand and have mastered and instead focus their time where they most need help at the leove most appropriate for them.
  • No incumbent has ever remained dominant in a market that has been disrupted.
  • 10.11.11 acct meeting

    1. 1. <ul><li>Disruptive Innovation: </li></ul><ul><li>A Different Way to View Higher Education Change </li></ul><ul><li>ACCT </li></ul><ul><li>Symposium on Student Success </li></ul><ul><li>Generating A Policy Agenda </li></ul><ul><li>October 11, 2011 </li></ul><ul><li>Louis Soares </li></ul><ul><li>Director - Postsecondary Education Program </li></ul><ul><li>Center for American Progress </li></ul>
    2. 2. What Students/Society Want from College? <ul><li>Content </li></ul><ul><li>Skills </li></ul><ul><li>Socialization </li></ul><ul><li>Credentials </li></ul>Do these deliverables need to be done in the same place at the same time? Or Can they be unbundled?
    3. 3. Unbundling College: Service By Service <ul><li>Instruction delivery </li></ul><ul><li>learning content publishing and library services </li></ul><ul><li>career and educational management services </li></ul><ul><li>tutoring/mentoring and test-prep services </li></ul><ul><li>academic and technical standards </li></ul><ul><li>assessment, and certification services </li></ul><ul><li>learning management </li></ul><ul><li>enterprise platform services </li></ul><ul><li>quality assurance services </li></ul>
    4. 4. <ul><li>Disruptive Innovation Process </li></ul><ul><li>Non-consumption </li></ul><ul><li>Functionality </li></ul><ul><li>Reliability </li></ul><ul><li>Simplicity </li></ul><ul><li>Cost Reduction </li></ul>
    5. 5. <ul><li>Process Of Disruptive Innovation </li></ul><ul><li>Sophisticated customers not interested </li></ul><ul><li>New Customers, less complex needs, expectations </li></ul><ul><li>Move up market without replicating cost structure </li></ul>
    6. 6. Enablers of Disruptive Innovation <ul><li>Technology Enabler </li></ul><ul><li>Business Model </li></ul>
    7. 7. Technology Enabler – Online Education 2003 – 10 % 2014 – 50 %
    8. 8. 2009 37% of all courses
    9. 9. Business Models – How Value is Delivered
    10. 10. Three Basic Type of Business Models <ul><li>Solution Shops </li></ul><ul><ul><li>diagnose and solve unstructured problems </li></ul></ul><ul><ul><li>consulting firms, advertising agencies, hospital diagnoses </li></ul></ul><ul><ul><li>Deliver value through people they employ </li></ul></ul><ul><ul><li>Revenue - fee for service </li></ul></ul><ul><ul><li>Research in Universities </li></ul></ul><ul><li>Value Adding Process businesses </li></ul><ul><ul><li>organize inputs that are incomplete and turn them into outputs of higher value </li></ul></ul><ul><ul><li>Manufacturing, restaurants, retailing </li></ul></ul><ul><ul><li>Revenue – outputs of their work </li></ul></ul><ul><ul><li>Most Teaching in K12 and Universities </li></ul></ul><ul><li>Facilitated user networks </li></ul><ul><ul><li>Enterprise in which participants exchange things with each other </li></ul></ul><ul><ul><li>Mutual insurance companies, telecommunications </li></ul></ul><ul><ul><li>Fee for membership, fee for use </li></ul></ul>
    11. 11. <ul><li>Historical Business Models </li></ul><ul><li>Knowledge Creation (research) </li></ul><ul><li>Knowledge Proliferation (teaching) </li></ul><ul><li>Preparation for Life and Careers </li></ul><ul><li>Disruptive Innovation </li></ul><ul><li>Online Education </li></ul><ul><li>Focused on teaching and learning </li></ul><ul><li>Highly structured delivery </li></ul><ul><li>Learning Analytics </li></ul><ul><li>Target on prep for careers </li></ul><ul><li>Competency-based </li></ul>
    12. 12. Policy Makers Should <ul><li>Eliminate barriers that block disruptive innovations and partner with the innovators to provide better educational opportunities </li></ul><ul><li>Remove barriers that judge institutions based on their inputs such as seat time, credit hours, and student faculty ratios </li></ul><ul><li>Not focus on degree attainment as the sole measure of success </li></ul><ul><li>Fund higher education with aim of increasing quality and decreasing cost </li></ul><ul><li>Recognize the continued importance of research institutions </li></ul>
    13. 13. Existing Institutions <ul><li>Apply the correct business model for the task </li></ul><ul><li>Drive the disruptive innovation </li></ul><ul><li>Develop a strategy of focus </li></ul><ul><li>Frame online learning as a sustaining innovation </li></ul>
    14. 14. <ul><li>Thank You! </li></ul><ul><li>Questions? </li></ul>
    15. 15. Disruption Across Industries Merrill Lynch Charles Schwab Web-based financial transactions Financial Services ? ? ? Higher Education Most newspapers (except NY Times) Craigslist, Google Web-enabled markets Newspapers ATT, Ma Bell Sprint, Nokia Cell phones Telecommunications Travel Agents Expedia, Kayak Web-based booking Travel Incumbent Disruptor Technology Industry
    16. 16. Disruptive Innovation is the Process by which <ul><li>A Sector That ……. </li></ul><ul><li>with complicated products services… </li></ul><ul><li>that were expensive and inaccessible…. </li></ul><ul><li>And served only a limited few sophisticated customers…… </li></ul><ul><li>Is transformed into one which… </li></ul><ul><li>Offers products and services that… </li></ul><ul><li>Are simple, affordable and convenient serving…. </li></ul><ul><li>Many…no matter their wealth and expertise </li></ul><ul><li>How? </li></ul><ul><li>Redefines quality in a simple often disparaged application </li></ul><ul><li>Slowly improves taking for market share by taking on complicated problems </li></ul><ul><li>Without replicating cost structure </li></ul>

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