Red Balloon Resources

"Pulling for Better E-Textbook Prices January 18, 2012 - 4:50am By Steve Kolowich In a session at the 2011 Educause conference in October, Bradley Wheeler, the chief information officer at Indiana University, issued a challenge to his colleagues. Unless universities assert their power as customers, the vendors that sell them products and services will continue squeezing those institutions for cash while dictating the terms under which they go digital. That conversation revolved around expensive, institution-level investments such as learning-management platforms and enterprise resource planning software. Now Wheeler and his colleagues are looking to apply the same principles of "aggregated demand" to help students save money on electronic textbooks. Internet2, a consortium of 221 colleges and universities, which last year brokered landmark deals with Box.com and Hewlett-Packard that gave its members discounts on cloud computing services, announced today that it had entered into a contract with McGraw-Hill, a major textbook publisher, aimed at creating similar discounts for students on digital course materials. Students have less ability than universities to pool their power as consumers, says Wheeler. The ascendance of e-textbooks means, among other things, that the secondary market for used books -- the one area where students can exercise power over textbook pricing -- could soon disappear. Universities would do well by their students to exercise leverage on their students' behalf, Wheeler says. "If somebody [does not] speak up for students in the move from print to digital, the students [are] going to get killed," he says. Beginning this month, five major universities - the University of Wisconsin at Madison, the University of Minnesota-Twin Cities, the University of Virginia, Cornell University, and the University of California at Berkeley -- will start a pilot program in which certain courses will use only electronic texts. The texts will be a

"Tenured Professor Departs Stanford U., Hoping to Teach 500,000 Students at Online Start-Up January 23, 2012, 4:53 pm By Nick DeSantis The Stanford University professor who taught an online artificial intelligence course to more than 160,000 students has abandoned his tenured position to aim for an even bigger audience. Sebastian Thrun, a professor of computer science at Stanford, revealed today that he has departed the institution to found Udacity, a start-up offering low-cost online classes. He made the surprising announcement during a presentation at the Digital - Life - Design conference in Munich, Germany. The development was first reported earlier today by Reuters. During his talk, Mr. Thrun explored the origins of his popular online course at Stanford, which initially featured videos produced with nothing more than "a camera, a pen and a napkin." Despite the low production quality, many of the 200 Stanford students taking the course in the classroom flocked to the videos because they could absorb the lectures at their own pace. Eventually, the 200 students taking the course in person dwindled to a group of 30. Meanwhile, the course's popularity exploded online, drawing students from around the world. The experience taught the professor that he could craft a course with the interactive tools of the Web that recreated the intimacy of one-on-one tutoring, he said. Mr. Thrun told the crowd his move was motivated in part by teaching practices that evolved too slowly to be effective. During the era when universities were born, "the lecture was the most effective way to convey information. We had the industrialization, we had the invention of celluloid, of digitial media, and, miraculously, professors today teach exactly the same way they taught a thousand years ago," he said. He concluded by telling the crowd that he couldn't continue teaching in a traditional setting. "Having done this, I can't teach at Stanford again," he said. One o

"Big Data's Arrival February 1, 2012 - 3:00am By Paul Fain New students are more likely to drop out of online colleges if they take full courseloads than if they enroll part time, according to findings from a research project that is challenging conventional wisdom about student success. But perhaps more important than that potentially game-changing nugget, researchers said, is how the project has chipped away at skepticism in higher education about the power of "big data." Researchers have created a database that measures 33 variables for the online coursework of 640,000 students - a whopping 3 million course-level records. While the work is far from complete, the variables help track student performance and retention across a broad range of demographic factors. The data can show what works at a specific type of institution, and what doesn't. That sort of predictive analytics has long been embraced by corporations, but not so much by the academy. The ongoing data-mining effort, which was kicked off last year with a $1 million grant from the Bill and Melinda Gates Foundation, is being led by WCET, the WICHE Cooperative for Educational Technologies. Project Participants American Public University System Community College System of Colorado Rio Salado College University of Hawaii System University of Illinois-Springfield University of Phoenix A broad range of institutions (see factbox) are participating. Six major for-profits, research universities and community colleges -- the sort of group that doesn't always play nice -- are sharing the vault of information and tips on how to put the data to work. "Having the University of Phoenix and American Public University, it's huge," said Dan Huston, coordinator of strategic systems at Rio Salado College, a participant. According to early findings from the research, at-risk students do better if they ease into online education with a small number of courses, which flies in the face of widely-he

Executive Summary Fiscal 2010 presented the most difficult challenge for states' financial management since the Great Depression and fiscal 2011 is expected to present states with similar challenges. The severe national recession that most likely ended in the second half of calendar year 2009 has drastically reduced tax revenues from every revenue source. As state revenue collections historically lag behind any national economic recovery, state revenues will remain sluggish throughout fiscal years 2011 and 2012. State general fund spending has been so negatively affected by this recession that both fiscal 2009 and fiscal 2010 saw declines in state spending. This two year decline is unprecedented and is only the second time that state general fund spending has declined in the history of the Fiscal Survey. Forty states decreased their general fund expenditures in fiscal 2010 compared to fiscal 2009. According to governor's recommended budgets for fiscal 2011, 13 states recommended lower general fund expenditures compared to fiscal 2010. In total, 44 states estimate that they will have lower general fund expenditures in fiscal 2010 compared to fiscal 2008. In fiscal 2011, 39 states recommended lower spending than in fiscal 2008. Fiscal 2008 serves as a baseline as it the last fiscal year on record in which states were not significantly affected by the national recession.

"Apparently, there's a company that employs people in India with graduate degrees to grade papers for American professors. For twelve bucks a paper, they'll give not just a letter grade, but comments. The idea is to free up faculty to focus on instruction (or, more accurately, research), rather than grading. It also saves the university money, since outsourcing the grading allows you to run classes at much larger sizes. From the comments to the article, you'd think that this had never been done before. You'd think that professors have always done their own grading, and that the grading was a form of deep examination of each student's soul, resulting in unparalleled insight and bonding. Um, no. And I have the scantron invoice to prove it."

In the last years of the nineteenth century, Charles Dow created an index of 12 leading industrial companies. Almost none of them exist today. While General Electric remains an industrial giant, the U.S. Leather Company, American Cotton Oil, and others have long since disappeared into bankruptcy or consolidation.

"A Disrupted Higher-Ed System January 26, 2012, 2:40 pm By Jeff Selingo The "disruption" of the higher-ed market is a popular refrain these days. Rising tuition prices and student debt have left many wondering if the current model is indeed broken and whether those like Harvard's Clay Christensen are right when they say that innovations in course delivery will eventually displace established players. What exactly those innovations will look like remains a matter of debate. One view from Sheryl Sandberg, chief operating officer of Facebook, envisions a future in which every industry will be disrupted and "rebuilt with people at the center." In this recent interview with The Wall Street Journal, Sandberg talked specifically about the gaming industry, which has been upended by the popularity of social-gaming venues, such as Words With Friends and Farmville. But what if we applied her people-centered vision to higher ed? While amenities and services on campuses have been redesigned in the last decade with students clearly at the center, the core of the academic experience for students today is almost exactly the same as it was for their parents decades ago. While other industries have been able to find productivity gains without sacrificing quality, on most college campuses we still have professors at the front of a room or at a table with an average of 16 students in front of them. We all know that's one of the key drivers of rising college costs. Higher ed is people intensive, and for many prospective students and their parents, the professor-centered academic experience is well worth the high price and will be for a long time. It's one reason why high-quality institutions really have little to worry about. But we also know that the traditional academic experience isn't for everyone these days. The students we used to call "nontraditional" are now a majority, yet we have way too many colleges chasing after high-achieving 18-to-24-year-olds

"A Bottom-Line Approach That Looks Beyond the Bottom Line For several years, a cadre of some of the savviest executives in higher education have been practically begging university administrators and trustees for the chance to advise them on a "strategic finance" approach to restructuring and planning. Until recently, they had a tough time getting college leaders even to set aside the time for a presentation on the topic-a free one at that. When you're preoccupied with the immediate demands for budget slashing, or perhaps still hoping that the state cutbacks and declines in donations are just another cyclical bump in the road, it is certainly understandable that you might duck a major reconsideration of the university's very financing model and mission. But with stimulus money drying up and signs of a full recovery still distant, the case for thoughtful reinvention becomes more compelling. Ellen Earle Chaffee, a former college president who heads up a Lumina Foundation for Education-backed project on strategic finance for the Association of Governing Boards of Universities and Colleges, says she is seeing more colleges "facing the monster" of their financial challenges. "People understand that we all need to get a grip here and figure out what we're going to do," Ms. Chaffee says. She spoke from her home in North Dakota last week, fresh from a meeting of college trustees where several more boards had signed up for the workshop. Simply put, strategic finance is an approach to planning and budgeting that involves rigorously identifying the full expenses of programs to gain a complete picture of their costs-including indirect costs (like utilities and marketing) that are rarely quantified to that scale. With that information, an institution or system can better identify where costs might be out of line and where to invest to take advantage of new opportunities, untapped demand, and, in the best tradition of the academic mission, societal need. Large public i

"Experts Ponder the Future of the American University By Karin Fischer and Ian Wilhelm Washington American universities have long set a global standard for higher education. But U.S. institutions will have to change, an international panel of experts said Monday, if they want to retain their edge and help the country in an economy ever more dependent on knowledge and innovation. "The American model is beginning to creak and groan, and it may not be the model the rest of the world wants to emulate," said James J. Duderstadt, president emeritus of the University of Michigan at Ann Arbor and one of the speakers on a panel assembled by the Woodrow Wilson International Center for Scholars here to discuss the university of the future and the future of the university. The other panel members largely agreed with Mr. Duderstadt's assertion that higher education could be among the next economic sectors to "undergo a massive restructuring," like the banking industry has seen. Among the factors that could lead to change, they said, are the globalization of commerce and culture, the accessibility of information and communication technologies, and the shift in demographics in developed countries that will result in the need to educate greater numbers of working adults. One model of a new approach to education could be the for-profit University of Phoenix, whose president, William J. Pepicello, also spoke at the Wilson Center forum. He argued that higher education must be more responsive to and tailor the curriculum to students' needs. Web sites like Google and Yahoo take note of users' preferences to give them information more attuned to their needs, he noted, adding, "Is there any reason why a higher-education platform shouldn't be able to adapt?"

Most colleges want to do more with less. The University of Southern Maine had to. The institution has been facing dual crises: a deficit and a six-year graduation rate of 34 percent for first-time, full-time students, compared with 56 percent nationally. "We're hemorrhaging students each year," said Selma Botman, president of Southern Maine. So the university took a hard look at support for its almost 8,000 undergraduates. "We found that we had lots of stuff, but not much of it was coordinated in any way," said Susan M. Campbell, associate vice president for academic affairs. She led a major reorganization. On its three campuses, the university eliminated offices of academic advising, career services, and early student success, and laid off 21 employees. At the same time, it created a student-success center on each campus, in Gorham, Lewiston, and Portland, rehiring 11 people to run the one-stop shops. "The question was, Can we achieve savings through an integrated model?" Ms. Campbell said. The short answer: yes. The university has saved almost $370,000 in base salaries over all. But that move had another price: six age-discrimination complaints, still pending, from former employees who were not rehired.

Michael Wesch has been on the lecture circuit for years touting new models of active teaching with technology. The associate professor of cultural anthropology at Kansas State University has given TED talks. Wired magazine gave him a Rave Award. The Carnegie Foundation for the Advancement of Teaching once named him a national professor of the year.

At the U. of North Texas at Dallas, 'disruptive innovation' raises hopes and fears The University of North Texas at Dallas was conceived 10 years ago as a public institution along tried-and-true lines-a comprehensive metropolitan university meant to serve a diverse student population and to improve the economic outlook of a part of the city that prosperity has left behind.

"INDIANAPOLIS - State leaders Friday launched an online only university designed to help adults who live in rural areas or whose work schedules make attending regular classes impossible to obtain bachelor's and master's degrees. Western Governors University Indiana, the first state branch of the nationwide Internet-based school, has established offices in Indiana and will begin enrolling students in July for classes that can begin as early as August. Gov. Mitch Daniels, who signed an executive order for the creation of WGU Indiana on Friday, said it will provide a convenient and affordable option - tuition is $5,800 per year, and students never have to make an in-person visit - to an underserved population. "

"University of the People (UoPeople) is the world's first tuition free online university dedicated to the global advancement and democratization of higher education. This tuition free university embraces the worldwide presence of the Internet and dropping technology costs to bring tuition free and university-level studies within reach to millions of people across the world. With the support of respected academics, humanitarians and other visionaries, this student body will benefit from tuition free university and represent a new wave in global education"

What's so special about a diploma? With the advent of Massive Open Online Courses and other online programs offering informal credentials, the race is on for alternative forms of certification that would be widely accepted by employers. "Who needs a university anymore?"

"To address these changes, the Council of Australian University Directors of Information Technology (CAUDIT, http://www.caudit.edu.au/), the U.S.-based EDUCAUSE (http://www.educause.edu/), the United Kingdom's Joint Information Systems Committee (JISC, http://www.jisc.ac.uk/), and the Netherlands' SURFfoundation (http://www.surffoundation.nl/en/) undertook a collaborative visioning of the future of higher education. Although information technology is the focus of all four of these associations, the resulting white paper (from which this article is drawn) explores higher education overall, not just information technology.2 The value of information technology lies in the activities it supports, which span virtually every college and university system for managing finances, learning, research, security, sustainability, and more. IT professionals thus need to understand the larger issues faced by their institutions: the drivers of change and the enablers, themes, and questions for the future."

"Why Pay for Intro Textbooks? February 7, 2012 - 3:00am By Mitch Smith If ramen noodle sales spike at the start of every semester, here's one possible reason: textbooks can cost as much as a class itself; materials for an introductory physics course can easily top $300. Cost-conscious students can of course save money with used or online books and recoup some of their cash come buyback time. Still, it's a steep price for most 18-year-olds. But soon, introductory physics texts will have a new competitor, developed at Rice University. A free online physics book, peer-reviewed and designed to compete with major publishers' offerings, will debut next month through the non-profit publisher OpenStax College. Using Rice's Connexions platform, OpenStax will offer free course materials for five common introductory classes. The textbooks are open to classes anywhere and organizers believe the programs could save students $90 million in the next five years if the books capture 10 percent of the national market. OpenStax is funded by grants from the William and Flora Hewlett Foundation, the Bill & Melinda Gates Foundation, the 20 Million Minds Foundation and the Maxfield Foundation. Traditional publishers are quick to note that the new offerings will face competition. J. Bruce Hildebrand, executive director for higher education of the Association of American Publishers, said any textbook's use is ultimately determined by its academic value. "Free would appear to be difficult to compete with," Hildebrand said. "The issue always, however, is the quality of the materials and whether they enable students to learn, pass their course and get their degree. Nothing else really counts." In the past, open-source materials have failed to gain traction among some professors; their accuracy could be difficult to confirm because they hadn't been peer-reviewed, and supplementary materials were often nonexistent or lacking because they weren't organized for large-scale

In a recent survey by Pat Callan's group, more than half of Americans voiced the belief three years ago that colleges and universities are more interested in their bottom lines than in providing a good education for students. We have been even more surprised -- and dismayed -- to see that figure jump almost 10 percentage points in just three years.

"A Curricular Innovation, Examined December 16, 2010 It was the fall of 2010, and I was taking an introductory macroeconomics course. As I sat at my computer clicking through the lesson presentation for Chapter Eight: Basic Macroeconomic Relationships, my eye was caught by a "Real World Example": "Is the U.S. housing market out of equilibrium? For a current example of equilibrium in action, read 'Housing Bubble - or Bunk? Are home prices soaring unsustainably and due for plunge? A group of experts takes a look - and come to very different conclusions.' Keep the housing market in mind as you go through this topic, and use your new knowledge to draw your own conclusions." Few professors of economics would argue with the idea that it's important to relate the material in a macroeconomics course to events both current and historical. But what kind of professor would tie his class lessons to economic news more than five years out of date -- and now painfully ironic to boot? The answer, at least in this case, is no professor at all. I took my introductory economics class through StraighterLine, an online provider of higher education that has made numerous headlines over the past couple of years for its unusual business model. Students can take StraighterLine courses for an exceptionally low price, then receive college credit through one of StraighterLine's partner colleges, or through another institution that awards credit for courses evaluated by the American Council on Education's Credit Recommendation Service (ACE CREDIT recommends college credit for 15 of StraighterLine's courses, including the lab and non-lab versions of two science classes) -- StraighterLine itself is not accredited. "

Organizational change can be a daunting prospect, but when broken down into manageable chunks the key factors of successful continuous process improvement can be applied. The U.S. Army confronts this issue all the time and part of their knowledge library outlines the critical success factors in planning and implementing such change. This process can readily be applied in higher education with just a bit of tailoring.