Industry Futures. Presentation to ISSIP Education and Service SIG

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COE Forum

Industry Futures Presentation to ISSIP Education and Service SIG

April 2, 2014

Lisa Qing

Senior Research Analyst

[email protected]

Lisa Geraci

Research Consultant

[email protected]

©2013 The Advisory Board Company • eab.com

2

Creating T-Shaped

Professionals

Reboots for

Pre-Mid-Careers

Five Opportunities Worth Senior Attention

The News This Cycle

Where Can Colleges and Universities Do Well and Good?

Hyper-Stackable

Emerging Careers

Flexible Content for

Multiple Entry Points Enabling New

Industries

Building Brand

and Regional

Skills Base

Second

Bachelor’s

Degrees

Design Thinking

Business

Programs

Multi-Track

Cybersecurity

Pathways

Second

Careers in Aging

Services

Certificate

Degree

?

Liberal arts

Technic

al


3

Source: Neeta P Fogg and Paul Harrington, “The Employment and Mal-Employment Situation for Recent

College Graduates: An Update,” Center for Labor Markets and Policy, June 2012; Don Peck, “How a New

Jobless Era will Transform America,” The Atlantic, March 2010.

Underemployment’s Long Shadow

Failure to Land Strong First Job Depresses Earnings Throughout Career

Beneath the Headlines

Unemployment Masks Larger Problem

Labor Participation by Age Group, 2012

7.3%

40.7%

4.7%

31.5%

Unemployed

Mal-employed

Age 20-24 Age 25-29

Unemployed

Jobless, but available

to work and actively

seeking work

Underemployed

Working at a job that

does not require

college-level skills

Professor Lisa Kahn

Yale University

For every percentage

point in national

unemployment

Starting income drops

seven percent and

rarely catches up

across a career

Unemployment

Starting Income

Present Value of Lost Income

Lasting Consequences to A Slow Start

1%

- 7%

- $100K


4

Casualties of the Great Recession

Large Pool of Late-Twenties Grads Seeking Career Reboot

Source: Heidi Shierholz, Natalie Sabadish, and Nicholas Finio, “The Class of 2013:

Young Graduates Still Face Dim Job Prospects,” Economic Policy Institute, April 2013.

5%

10%

15%

20%

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Percent Unemployed Percent Underemployed

1.4M

The “Lost” Class

No to Baristadom

“Three years in, grads

who haven’t found steady

work realize they need a

different education to

open doors.”

Program Director,

Public Research University

college

graduates


5

Source: Morten T. Hansen, “IDEO CEO Tim Brown,” Chief Executive.net, January 2010; “Bolder by

Design: Strategic Framework for Advancing Michigan State University,” February 2013.

Wanted: T-Shaped Professionals

Employers Promote New, Measurable Rubric for Employee Quality

What’s Your T-Score?

Universal competencies in management,

empathy, cross-cultural experience

Entering University Parlance

Founders’ Day Address, 2013

“[We must] lead the nation in our reputation

for graduating T-shaped people whose

frame of reference and skills are a

combination of broad and deep—people

who are work-ready and highly sought after

in the new global, intensively technological,

data- and innovation-driven workplace.”

Lou Anna K. Simon

President, Michigan State University

Mastery of a

skill, process,

product, or

body of

knowledge

T-Top (for Collaboration)

T-Stem

(for Innovation)

IBM “road shows” in higher education

Developing rubric to “T-score” resume


6

National Online CS Post-Baccalaureate

Oregon State Launches Program Expressly to Meet Computing Workforce Needs

Start-Up Costs: $450,000

Seed funding from Associate

Provost; 20% of tuition revenue

returned to central budget

Tenured faculty paid $15,000 to

develop each course

10 teaching assistants and 1

advising FTE in first year

Flexible Program Structure

60 quarter-credits

1-year intensive and 2- to

4-year part-time tracks

15-minute online modules, mixed

in with summative activities

Minimal Marketing

Google keyword SEO,

perhaps hub airport ads

County workforce agencies

for financial aid assistance

Alumni notified in newsletters

and social media

Post-Baccalaureate B.S. in Computer Science

Source: “Professional Computer Science B.S. Degree – Future Students,” Oregon State

University; Education Advisory Board interviews and analysis.


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Source: “Professional Computer Science B.S. Degree – Future Students,” Oregon State

University; Education Advisory Board interviews and analysis.

Upside Surprises Across the Board

Post-Baccalaureate Reaches Graduates with Diverse Backgrounds

0

480

900

Launch 2013 2014E

Doubling Enrollment Expectations

CS Post-Baccalaureate Enrollment

Students with humanities or

social sciences backgrounds 40%

Appeal Beyond the Target Demographic

Student

Composition

Student

Outcomes

Students with STEM or

business backgrounds 60% Median student age (more

career changers than expected) 29 Percent of students working

20+ hours per week 50% Percent of students residing

outside Oregon 60%

Percent by which post-bac

students outperformed CS

undergrads on assessments 7%

Percent of post-bac graduates

seeking jobs who received offers 100%

Per-Credit Tuition: $461


8

Customer Intimacy = Innovation

Electronic Intimacy With Customers is Top Priority of Business Leaders

Innovate or Die…

Source: Brad Brown, Johnson Sykes, and Paul Willmott, “Bullish on Digital:

McKinsey Global Survey Results,” McKinsey & Company, August 2013; Tyler

Cowen, Average Is Over, Dutton: 2013.

Getting Close to Customers

McKinsey Global Survey of CEOs, August 2013

15%

16%

19%

20%

31%

Automation

Digital Engagement of Employees

Big Data and Advanced Analytics

Digital Innovation of Products

Digital Engagement of Customers

Percent of surveyed CEOs who

consider digital engagement of

customers a top 10 priority

56%

Creativity at a Premium

Dr. Tyler Cowen

George Mason University

Marketing Is Everything

“Despite all the talk about STEM fields, I

see marketing as the seminal sector for

our future economy….The growing

importance of marketing integrates two

seemingly unrelated features of the

modern world: income inequality and

increasing pressures on our attention.”

From Average Is Over (2013)


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Source: LinkedIn; myblogyourmoney.com; Innovation Consultancy, Kaiser Permanente

Innovation Specialists Joining the C-Suite

Large Corporations Create Roles to Enrich Customer Experience

Companies with “Chief Innovation Officers”

Consumer Goods

Procter and Gamble

Kraft

Financial Services

Fidelity Investments

Bank of America

Health Care

Humana

Kaiser Permanente

Design Thinking Roles and Goals

Kraft: Senior Manager, Innovation

8 years’ experience; MBA preferred

Translate customer insights into business

opportunities

Direct rapid R&D and product testing; sell vision to

management

Bank of America’s Keep the Change

Debit card mimics change jar, automatically deposits

change from transaction into savings account

10 million new customers attributed to program

Kaiser Permanente’s Journey Home

Innovation team creates visual communication tool

based on pre- and post-natal interviews with new

mothers

Improves patient satisfaction and clinical revenue


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Source: Kathryn Roethel, “Stanford’s Design School Promotes Creativity,” SFGate,

November 2010; Education Advisory Board interviews and analysis.

Design Thinking Defined

Left and Right Brain Meet in the Studio

Design Typical Design Thinking Modules Business

Visual

Arts

Graphic

Design

User

Interface

Fine

Arts

Finance Operations

Strategy Marketing

Brain-

storming

User

Observation

Business

Constraints Prototyping

Visual

Communi-

cations

Game

Design

Highly Experiential: Collaborative studio

work in teams, capstone e-portfolios

Aspirational: Sustainability, extreme

affordability, social entrepreneurship

Artistic sensibilities

harnessed…

…for companies

and start-ups


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Source; “Design MBA Programs,” California College of the Arts; Education

Advisory Board interviews and analysis.

Design MBAs

Rebranding Business School for Designers

MBA in Design Strategy

Full-time, 2 years, hybrid

Business Courses

Blended

Design Thinking

In-Studio

Managerial Economics

Financial Accounting

Operations & Systems

Strategic Management

Innovation

Market Insight

Sustainability

Customer Experience

Why Hybrid?

Constrained studio space Greater geographic footprint

60 credits, $83,000

Fast Growth in an Underserved Market DMBA Enrollment 2012-14

?

Design Strategy New Specializations

Design

Background

(67%)

Non-Design

Background

(33%)

Public Policy Design

Strategic Foresight

120


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Source: “MBA Certificate in Design and Innovation Manangement,” Kendall College of Art and Design of

Ferris State University; “MOOC: Innovation and Design Thinking,” University of Cincinnati Distance

Learning & Outreach; Education Advisory Board interviews and analysis.

Short-Program Stacks

Letting Students Apply “First Trials” to MBAs

Design Thinking MBA Certificates Freemium MOOCs

KCAD–Ferris’ Design and Innovation Certificate Cincinnati’s Design Thinking MOOC2Degree

4 hybrid courses, 2 semesters

Design thinking, plus communication and leadership

In-person weekend sessions team-taught by Kendall College

of Art and Design faculty and industry practitioners

Credits apply toward Ferris State University’s MBA

Combines content from marketing and engineering courses

Launched with online enabler Academic Partnerships

Promoted through LinkedIn Innovation Groups, Twitter

Completers may apply course towards MBA and MEng

programs, saving $1,600

MBA Certificate Cohort

50% 50% Certificate

only

Enroll in

MBA

Design Thinking MOOC Participation

Enrolled in

course

2,550 Recently

logged in

880 Actively

engaged

320 Seeking

certificate

(credit eligible)

179

Industry Futures. Presentation to ISSIP Education and Service SIG

Presentations & Public Speaking

Transcript of Industry Futures. Presentation to ISSIP Education and Service SIG