EMBASSY OF DENMARK, SEOUL E-LEARNING IN KOREA OVERVIEW OF E-LEARNING SECTOR IN KOREA A PARTNERSHIP BETWEEN THE MINISTRY OF HIGHER EDUCATION AND SCIENCE AND THE MINISTRY OF FOREIGN AFFAIRS OF DENMARK
1. Background Korea s Education System 4 1-1. Policy and Trends 1-2. Infrastructure 2. Market 8 3. Key Players 9 4. Opportunities for Danish Partners 11 Appendix 13 A PARTNERSHIP BETWEEN THE MINISTRY OF HIGHER EDUCATION AND SCIENCE AND THE MINISTRY OF FOREIGN AFFAIRS OF DENMARK 3
1. Background Korea s Education System Education in Korea is divided by regular curriculum and extra curriculum. 1 The regular curriculum covers from K-12 to college education. Within K-12, Primary and Middle school education are mandatory. (See Exhibit 1.) Exhibit 1 Regular Education System in Korea K-12 Primary School K1-K6 Middle School K7-K9 High School K10-K12 Compulsory Appx. 5,384 schools Compulsory Appx. 2,809 schools General Industrial (vocational) Special (science, foreign language, art, etc.) College/ University CSAT and/or high school GPA are required to enter college 358 higher education institutes (189 regular univ., 137 junior colleges, 20 cyber univ. 10 edu univ., 2 industrial univ.) (Majority is private) (Source: Korean Educational Statistics Service 2014) 2 The extra curriculum is called Hagwon, which includes private after-school activities such as any school subjects including art and sports. From middle school level, a large majority of Korean children attend Hagwon after normal school hours. Hagwon is especially important for high school students to receive good GPAs, and to prepare for the College Scholastic Ability Test (CSAT). 60.2% of K-12 students in Korea participate in Hagwon and expenses are estimated to be KRW 18.6 trillion (USD 18.6 billion). (Source: National Education Report 2013) Furthermore, parents in Korea are estimated to spend 14% out of their wage on their children s education whereas almost 7 times more than American parents spend 2.1% (Source: Korea Development Institute 2013) Due to the education market highly driven by CSAT, tremendous Hagwon expenses are paid by students parents. This has favoured an excessive tendency to children from rich families receiving good grades whereas 1 K 12 is a term for the sum of primary and secondary education. The expression is a shortening of kindergarten (K) for 4-to-6-year-olds through 12th grade for 17-to-19-year-olds. 2 Hagwon is a term for places and/or activities for extra classes in various subjects and study aid. It is estimated that there are around 100,000 Hagwon institutes/schools throughout Korea. 4
children from low-income families are receiving low grades. Elitism is thus being extremely encouraged in the school system. Therefore, the Korean government took a national initiative to reduce the private educational cost and to solve inequality in educational opportunities by establishing the Educational Broadcasting Station (EBS). EBS offers various programmes and e-learning services to assist students, and has proven to be widely used. The EBS is seen as a unique educational system showing the new IT era with the convergence of the internet and broadcasting communication technology. Whether the elitism tendencies in the school systems are being corrected through EBS remains to be seen, but the EBS is one way of addressing the issue from the government side. 1-1. Policies and Trends Korea s e-learning industry is rapidly growing and consolidating on-offline business units as well as focusing on overseas markets. Along with the competitive CSAT-driven education market, recession and unemployment rate increase the demand for self-development. e.g. improving resume/cv for future employers, learning new languages, hobbies, etc. e-learning is considered an ideal solution to meet these demands not only in primary and secondary education but also in adult education. Taking into account Korea s internet use rate and education expenditures, it is estimated that the e-learning market will be constantly growing in the coming years. e-learning development in Korea is characterized by focusing on three aspects: Culture, Policy and Technology with culture focusing on increasing knowledge throughout the society; Policy measures deal with school and teaching systems; Technology focuses on improving technical skills and infrastructure, and use hereof. (See Exhibit 2.) Exhibit 2 e-learning Development Culture Open Learning Share & Collaboration Smart Learning Device Policy Education Welfare Future School Emerging Tech-based Video System Technology Web 2.0:Social Media, Mash-up Expanded Senses: 3D/AR Remote Education Emerging Products & Services Customised & Personalised Education (Source: Overview: Korea s e-learning Industry 2013 by NIPA) 5
e-learning has been recognized as a major tool for educating and training human resources. The utilization of e-learning has been expanded with numerous government projects: EBS e-learning Project for CSAT, Cyber Home Learning System, e-campus Vision, Sejong Initiative in e-learning, e- Learning Development Act and many others. e-learning Industry Development Act (See Exhibit 3.) was enacted in 2005 to promote the Korean e-learning industry with a legal frame-work along with The 1st basic Plan for e-learning (2006-2010), which was the master plan for e-learning industry development, following deliberation by the Committee of e-learning Industry Development. Exhibit 3 Overview of e-learning Industry Development Act Vision Goal Policy Strategy Smart Learning, Smart Korea Budget: KRW 2.1 tril. ($2.1bil.) in 2009 KRW 3.5 tril. ($3.5bil.) planned in 2015 23,000 jobs in 2009 37,000 jobs expected in 2015 Strengthen e-learning Industry Ecosystem Improve Technical Competence & Creative HRD Promote e-learning Utilization Expand Global Network Quantitative Growth Qualitative Growth Online Learning Smart Learning Supplied-centred User-centred Domestic Market Global Market (Source: e-learning Report 2013 by NIPA) In line with the e-learning Act, the Korean government has drawn up the The 2nd Master Plan for e-learning (2011-2015) to promote fair market competition and to enhance R&D investment. The use of e-learning in education in South Korea has been driven by a strong cooperation among the five government key players: Ministry of Trade, Industry and Energy (MOTIE), Ministry of Education (MOE), Ministry of Culture, Sports & Tourism (MSCT), Ministry of Security & Public Administration (MOSPA), and Ministry of Employment & Labor (MOEL). MOTIE has played a major role to bridge with other agencies and promoting activities with National IT Industry Promotion Agency (NIPA). Furthermore, Korea Education and Research Information Service (KERIS) has an exclusive role in planning implementation of the national ICT policy. (See Exhibit 4.) 6
Exhibit 4 Related Government Bodies (Source: e-learning White Paper 2013) NIPA is a government agency that works for national economy development & knowledge-based economic society as well as for promoting competitiveness of overall industries by increasing IT usage and advancing the IT industry. (See Exhibit 5.) Exhibit 5 Roles of NIPA (in terms of e-learning) Policy Development International Collaboration Standard /Technology Foundation Establish e-learning quality certification system Support the overseas expansion of e-learning industry Develop standard and technology Support e-learning enterprises foundations (Source: NIPA website) NIPA has agreed on MOUs with a number of institutions, universities and business companies. Their main focus includes: 1. ICT Strategic Planning; 2. ICT Industrial Growth; 3. SW Competitiveness; 4. ICT Convergence and Application; 5. SW Engineering Centre; 6. Smart Technology & Service. KeLIA is a not-for-profit industry association to promote and to develop e- Learning programmes. Their major business is to research e-learningrelated laws and technology, to support projects for development and infrastructures, and to promote the market within the KeLIA members. Currently, KeLIA is associated with 124 members including 75 corporate members. KeLIA cooperates closely with NIPA. (See Exhibit 6.) 7
Exhibit 6 Roles of KeLIA Policy and Research Market Promotion Public Relations Membership Improve of laws and regulations to help the progress of the e-learning industry and market Support the introduction of e-learning pro-grams by small and medium-sized business Build international cooperation network Consolidate international recognition of KeLIA Establish subcommittee operation system Discover outstanding e-learning companies by holding seminars for cooperative projects with venture capitals (Source: KeLIA website) 1-2. Infrastructure South Korea has built a world-class IT infrastructure and internet facilities nationwide over the last decade. The majority of the population in Korea is able to access the internet anywhere and anytime: 82.7% of Koreans use the internet, and 78.5% of the population is on smartphones. (Source: CNN report 2014) Ultra-fast LTE network (4G) is accessible in most of Korea, making the country one of the most connected countries in the world. In September 2014, the European Union and South Korea agreed to cooperate on developing ultra-fast fifth-generation wireless communications networks, i.e. 5G. The agreement covers government, research and educational institutes and private companies, and aims to forge a consensus on key functionalities for the new standard by the end of 2015. At the ITU conference which took place end of October in Korea, the big telecommunications companies and the Korean government agreed on a roll-out plan for 5G network starting from 2017. Thus, the infrastructure is available for an increasing demand for online, flexible and high-quality education. 2. Market e-learning consumers are divided by individuals (B2C); business (B2B), including general education institutions; and government agencies (B2G). In 2013, the total e-learning expenses are estimated at KRW 2.86 trillion (USD 2.86 billion) with an increase of 9.9% compared with the previous year which was estimated at KRW 2.6 trillion (USD 2.6 million). 8
Business area (B2B) and individuals are the biggest consumers in e-learning with 88.8%. Business market (B2B) took up the highest expenders with KRW 1.28 trillion (USD 1.28 million) with 44.9%. Individuals spent KRW 1.26 trillion (USD 1.26 million) with 43.9%, followed by government agencies/ public organisations and educational institutions who account for 6.2% and 5% of the total expenditure, respectively. e-learning supplier industry has been developed in 3 different business areas: Content, Solution and Service. (See Exhibit 7.) The supply amount of e-learning in 2013 totalled KRW 2.9 trillion (USD 2.9 billion) with an increase of 7.3% compared with the previous year. (See Exhibit 8.) Exhibit 7 Definition of e-learning Supplier Content Provider Solution Provider Service Provider Create educational content such as digital textbooks, CDs, videos Develop SaaS-based LMS and authoring tools, manufacture, process, and distribute hardware for educational information (e-black/white board, e-desk) Service Provider Distribute content to users (B2B, B2C, B2G), provide education, training, and learning online to individuals, firms, and agencies via ICT networks as well as consultation concerning the e-learning business such as e-learning and its system construction Exhibit 8 e-learning Expenditure in 2013 Amount Ratio Total Individual Business Edu Inst. (Unit: USD, %) Govn t 2.86 bil. 1.26 bil. 1.28 bil. 0.14 bil. 0.18 bil. 100.0 43.9 44.9 5.0 6.2 (Source: Survey of Korean e-learning Industry 2013 by MOTIE & NIPA) 3. Key Players South Korea has hosted several e-learning events including the e-learning Asia Conference and e-learning Expo Korea. More than 20,000 Korean and international visitors participated in the e-learning Expo; the conference is attended by more than 2,000 visitors each year. (Source: UNESCO report 2013) 9
The e-learning industry consists of approximately 1,649 companies including 382 content companies, 194 solution companies (hardware market included), and 1,073 service companies in Korea, which shows the solution area seems to be a slow growth whereas the service market has a steady rising tendency. According to MOTIE in 2013, 49 Korean companies have interest in international cooperation including conglomerates such as SK Telecom. This number is estimated to increase. Aside from private e-learning companies, the Korean Association of the University e-learning Center has been established by the government in a scheme called Establishment Plan for e-learning Support Center. The center reinforces activities for information-oriented universities, helps network between institutions and implementing content and infrastructure. The center has regional branches at 10 universities: Jeju Univ., Hanyang Univ., Inha Univ., Kangwon Univ., Chungnam National Univ., Cheongju Univ., Youngnam Univ., Kyungsang Univ., Chunbuk Univ. and Chunnam Univ. Furthermore, since 2010, ACE (Advanced College of Education) Initiative has been taken by Ministry of Education to fund and support universities in improving education quality, primarily through technology and digital tools. 27 universities in total were selected in 2014 and a budget of KRW 57.3 billion (USD 57.3 million) will be invested for the coming year. Exhibit 9 Key Players in e-learning in Korea (Source: e-learning White Paper 2013) 10
! e-learning in Korea is mainly directed at either K-12 or human resources development.! Public school system is closed and relies on Korean industry and suppliers. Threats! Time-consuming and demanding task to protect business and to develop infrastructure in the education sector which is seen as a conservative market, e.g. curriculum design, communication cov-erage, etc.! Although education is a big market, it is difficult to access public schools regulations need to be more flexible.! There is a tendency to fall into stagnation of ICT; e.g. Korea fell to 2nd place in global ICT rankings in 2014.! International cooperation is still new in the education market, good reference cases need to be built up. Opportunities! Korea s education market is extremely competitive; especially K-12 education is mainly CSAT-driven with a big expenditure.! University sector focuses increasingly on blended learning with digital/ e-learning as a major component.! Population of self-education for personal development is rapidly growing in Korea. Because of this, content development is active which will produce collaboration opportunities.! Digital learning is increasing which leads to requiring new teaching methods/didactics which is a stronghold of Denmark.! Relevant policies are actively being implemented through liaison and cooperation between organizations.! Hardware market is far advanced and vital. 12
Appendix 1. Cases Case 1. Digital Literacy in Korea The Future School 2030 Project was announced by the government in 2010, the President s Council on National ICT Strategies and Ministry of Education (formerly Ministry of Education, Science and Technology) collaborated to implement SMART education strategies. SMART education consists of the following goals: 1. Development for application for digital textbooks 2. Reinforcement of teachers capabilities 3. Security for high quality educational content and promotion of its availability 4. Development on teaching and learning models 5. Revitalization of online classes and establishment of online as-sessment system 6. Establishment of the foundation for a cloud-based education service 7. Reinforcement of education on ICT ethics to resolve ICT related side effects With the government support, Korea Education and Research Infor-mation Service (KERIS) is responsible for 4 different educational standard systems: EDUNET, primary and secondary education infor-mation service; RISS, research information sharing service; NEIS, regular curriculum information system; and Edufine, integrated educational finance system. (Source: Future School (future.keris.or.kr/eng) 13
Case 2. Kids Pad Tablet for Children LG Electronics Kids Pad 2 is a tablet composed of systematic contents helping children aged from 2 to 6 with their emotional and cognitive development, such as Disney Trilingual for learning Korean, English and Chinese simultaneously; Memory Game and Tangram helping improve memory skills and so on. With the Safety Alarm feature, parents/guardians are able to track their children s educational content use and performance while inter-acting with them through messaging service. It has a vicinity censoring feature that allows children to enjoy various outdoor activities as well. (Source: Korea IT News (etnews.com) 14
Case 3. ASEAN Cyber University Project Seoul Cyber University was nominated as the implementing partner in Korea for the AESAN Cyber University Project, an official development assistance initiative in the area of education. The project is supervised by the e- Learning Department of the Ministry of Education. They have been engaged in this project since 2012. The goal is to establish the world s first international higher education institution where the peoples of Korea and the ten ASEAN member-states can attend lectures, earn credits and receive degrees online. Seoul Cyber University is assigned to facilitate credit transfer, develop a high quality of educational content, and to create a collaborative framework for academic exchange. (Source: aseancu.org) 15