Karl Engkvist Senior Vice President Pearson Asia Pacific. elearning Forum Asia 2013 Hong Kong Baptist University May 2013

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1 Karl Engkvist Senior Vice President Pearson Asia Pacific elearning Forum Asia 2013 Hong Kong Baptist University May 2013

2 An Avalanche is Coming to Higher Education Right now, the snow-covered mountainside looks solid, but underneath, changes are taking place Globalization and technology are transforming education Competition for students and research funding is increasing High-quality educational content is accessible online for free The functions of higher education are being supplied by non-academic providers Rising costs have students, parents and employers asking: Is a university education a good value? 2

3 In the path of an avalanche, the one thing you CANNOT do is stand still.

4 The 20 th Century University Paradigm is Coming under Pressure Knowledge is ubiquitous and free Public funding for education is being replaced by private funding Students can shop globally for the best higher education offerings Pace of innovation in the workplace is accelerating Graduate unemployment is high, yet employers can t find qualified candidates In 2011, Chinese university graduates aged 21 to 25 had an unemployment rate of 16.4%, four times the rate for those who left education after elementary school Unemployment rate of UK University Grads vs leavers 4

5 The Link between Cost and Quality is Breaking The cost of higher education is increasing while the value of a university degree is falling 5

6 6 Information is Now Available for Free to Anyone, Anywhere

7 Universities Face Tough New Competitors World-class universities outside Europe and N America Thiel Fellowship, [E]nstitute University of Phoenix 600,000 in 2010 Korea National Open University Project 4050 MOOCs Coursera, EdX StraighterLine 2U Non-university providers General Assemb.ly New models of higher education are improving quality, increasing market share and lowering cost the way new competitors traditionally unseat complacent incumbents. 7

8 Barriers to Entry Afford Temporary Protection Governments still decide who can award a degree and have been reluctant to extend that power to new entrants University rankings favor established institutions History counts students still want a degree from a prestigious, traditional university But how long can these barriers hold back the avalanche? 8

9 What Innovative Education Systems Look Like Society values and supports education not just financially pouring resources into a system does not guarantee stronger student outcomes. Value accountability the system sets clear goals and expectations Education is future-oriented Leading systems look at what skills will be needed for the future and adjust. Attract and continuously train good teachers while taking steps to elevate the status of the teaching profession The one conclusion The Learning Curve has found: There is no one right way to deliver quality education

10 The Two Most Successful Education Systems Share almost Nothing in Common Korea Finland Test driven, rigid curriculum, emphasis on rote-learning 22% HHI is spent on education Majority of students study at hagwons Accountability is exam-driven Education is seen by society as a means to equality, social justice Less rote learning, more emphasis on application and problem-solving Shorter school hours, no homework Very little private, after-hours education Accountability is peer-driven Education is seen by society as a means to individual and economic advancement Teachers are esteemed and quality of instruction is high Foster a high level of ambition for student achievement Strong sense of accountability Society supports the school system and education itself Education is centered around a moral purpose seen as a public good

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12 Components of the Successful 20 th Century University are threatened by the upcoming avalanche. Almost all of OUTPUTS PEOPLE PROGRAMME these elements Research Degrees City Prosperity Faculty Students Governance and Administration Curriculum Teaching and Learning Students Experience Journal publications, reports, citations and patents Verification of time spent at institution and exams passed Brand value Economic and social development of city and/or region Professors and other faculty Full-time and part-time students, often between the ages of 18 and 22 University leadership and board Admissions, fundraising, alumni services, maintenance and facilities Individual subject-based courses adding up to a 3- or 4-year programme Course content and syllabus prepared by faculty Textbooks and reading materials Lectures, tutorials, seminars Exams within and at the end of courses Dissertations at the end of a programme Student organisations Co-curricular activities (such as debating, research competitions) Extracurricular (drama, sports) Work experience (internships, volunteering)

13 The Traditional University is Being Unbundled Universities must group elements into more attractive offerings that increase efficiency and reduce costs Research is increasingly cross-discipline and done in partnership with other universities and commercial partners Awarding degrees remains the province of universities but for how long? Cities will continue to seek the presence of institutions that can help drive innovation and economic growth Fostering Global Competence through Cross National Discussions Faculty can teach from anywhere and they don t have to be academics Students can learn from anywhere A Jigsaw-Based Cooperative Learning Approach Curriculum is a commodity Universities need to look at ways to innovative how faculty use their time and how they interact with students leveraging technology for efficiency and added value. 13

14 Model Universities of the Future The Mass University The Elite University The Niche University The Local University The Lifelong Learning Mechanism 14

15 The Elite University Global brand Strong endowment Stellar track record A long history and stock of famous alumni Attracts the best of best students and faculty globally Takes lion s share of prestigious research grants Global expansion through local institutions and remote campuses that replicate the original Prosper through technology such as enhancing MOOC content 15

16 The Mass University Adapt globally developed content Use predominantly online or blended approaches Cater to large volumes of students Will emerge as universities in the developed world shut their physical doors and move entirely online Students will customize and build their learning throughout their careers Vocational Some for-profit 16

17 The Niche University Caters to an elite niche market, online or traditional model Include classic US liberal arts colleges New College of the Humanities, offers a broader liberal arts curriculum with significantly more content than a standard undergraduate degree Minerva University - deliver high-quality education online from top professors at half the price of traditional schools Highly personalized learning High comparative tuition 17

18 The Local University Feed talent to the local corporate and business sector Feed engineering and technology talent locally Not prestigious in global ranking, but play vital role in local economy Meet need for hands-on learning e.g. Medical schools Vocational institutes focused on training technicians and engineers for local industry 18

19 The Lifelong Learning Mechanism Unbundling the classic offering Badge-learning Learn through a series of modules from different academic institutions globally and online Alternative accreditation that combines courses as a degree 19

20 Universities Must Distinguish Themselves Content alone has no value. Universities need to compete by offering something special: Unique themes, subjects, styles or approaches Quality of mentorship Discovery and Innovation as Learning Outcomes in Business Nature of the student experience Relationship of the university to its location Find a niche and create offerings that will appeal to that niche Learning and work are becoming inseparable offer opportunities for experiential learning and future employment Full-time, four-year degrees are no longer standard -- students want rapid skill development and lifelong learning Location matters -- leverage where you are Break the link between cost and quality Find an answer to the question: What s so special about your university?

21 What does this mean at Pearson? Next Generation Learning Content and Solutions The Learner Direct Delivery Pearson Inside Assessment and Certification 21

22 Conclusion Deep, radical and urgent transformation is required in higher education. The biggest risk is that as a result of complacency, caution or anxiety the pace of change is too slow and the nature of change is too incremental. 22

23 Thank 23

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