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eLearning: Are We Making Money?
7/21/2005
Relationship to the Academic Units
The faculty and deans at each of these institutions are heavily involved in the launch, design, development, and delivery of online programs. David Gray, CEO of UMassOnline, believes one reason for that program’s success is that “we have built the structure inside the university, not as an appendage outside the university.” This means that courses are taught predominantly by regular permanent faculty, and that adjuncts, when used, are under the supervision of the regular faculty. In this model, the deans and faculty are partners with the UMassOnline center.
Still, there are exceptions, and differences between academic degrees such as the master’s and professional degrees and those programs designed for certification and skill-focused programs. The financial planning program at BU is self-paced, facilitated by grad students with access to a subject-matter tutor. These subject-matter facilitators provide a personalized support system for learners. (www.edpath.com, 10-04 issue)
When they participate in online programs, traditional college deans and faculty benefit from the revenue-sharing with the colleges. Most online institutions retain a portion of the tuition for the shared services such as the delivery infrastructure, student support, and marketing. Revenue-sharing helps to provide a common incentive among all program partners, particularly as university budgets are stretched.
Programmatic Notes
The majority of successful online programs target career professionals who are searching for degrees and certificates to further their careers. In response to these needs, online programs in areas such as business, health professions, engineering, agriculture, criminal justice, information studies, and technology are abundant. But, institutions are now branching out into surprising areas—the “lifelong learning” areas that we predicted in the first boom of online learning. The University of Florida, for one, offers a master’s degree in Latin which is currently at capacity, and in 2004, U of I Online announced a program leading to a BA in Philosophy.eLearning as a Business
The similarities between a start-up business and these online institutions are hard to miss: The need for start-up and reserve capital, partners, outsourcing, and contracted expertise and services are typical economic success criteria. The next phase of growth? Extensions to the global market. The University of Florida may be the most progressive in this area, partnering with Brazil, Germany, Peru, Ecuador, Thailand, Scotland, and Australia for programs in pharmacology, forensic sciences, and audiology.
Are we making money yet in online learning in higher education? “Yes” may not be appropriate, but in certain pockets and in certain programs, the answer is a cautiously optimistic “Absolutely!” Sustaining the revenue over the long term, and over the range of programs needed by learners for careers and life-long learning, are challenges to come.
Judith V. Boettcher (judith@designingforlearning.info) is an independent consultant specializing
in distance learning and the applications of new media.
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