budgeting, financing, and sustaining cbe programs faculty development model - competency-based...

National Center for Higher Education Management Systems 3035 Center Green Drive, Suite 150 Boulder, Colorado 80301

Creating Sustainable Competency-Based Education Programs

Presented to: CBE4CC

June 5, 2015

Design Principles for Competency-Based Education Programs (CBE)

•  The degree reflects robust and valid competencies •  Students are able to learn at a variable pace and are

supported in their learning •  Effective learning resources are available anytime and

are reusable •  The process for mapping competencies to courses,

learning outcomes, and assessments is explicit •  Assessments are secure and reliable

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Requirements for Sustainability

$

Number of Students

Development Renewal Costs

Delivery Costs

Revenues

Overhead (tax)

Sustainable

When Creating a Sustainable Business Model, Consider:

1.  On-going source of program development/renewal funding –  Generated from Program revenues –  Not dependent on one-time funding after start-up phase

2.  Ability to align expenditure patterns with revenue streams –  Ultimate test – can expenditures be managed in a way that lets them

be aligned with subscription-type revenue models and open entry/open exit admissions

–  The more compromises that have to be made to this ideal, the less attractive to students

3.  Flexibility in utilizing human resources –  The ability to allocate human resources to activities in non-traditional

ways is central to •  Flexibility •  Scaling •  And ultimately, sustainability

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4.  The very different infrastructure requirements for CBE to link to those systems that are in place to support the institution’s traditional offerings –  Student-centered enrollment, academic progress, and

completion data – not term/time based –  Student financial aid –  Human resources and compensation

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When Creating a Sustainable Business Model, Consider:

Characteristics of Sustainable Models

1.  Sustainability sought at the program – not course – level 2.  Operating revenues exceed operating expenses 3.  They are operated in such a way that costs of serving each student

are kept low –  Fixed costs are either

•  Very low, or •  Spread over many students so that the cost/student is low

–  Variable costs are •  Linear rather than a step function •  Low on a per student basis

–  One-time funds, if any, used for “asset” creation only, i.e., content and assessment development

–  Within 3 years, operating surpluses replace one-time funds as the source of investment capital/development resources

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Characteristics of Sustainable Models 4.  Cost factors are aligned with revenue determinants

a)  If tuition paid on a per-course basis, then cost drivers – especially personnel costs – can be on course-basis

b)  If tuition is paid on a time/subscription base, then cost drivers are best on •  A time basis •  A per student basis

c)  Assessment costs are the unpredictable element •  Price separately, or •  Limit the number of assessments covered by tuition

•  Data analysis reduces unpredictability

5.  The infrastructure is in place to support CBE a)  Data systems

•  Student records •  Finance •  HR

b)  Student Financial Aid

6.  A reminder – retention increases are revenue enhancers

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A Framework for the Cost Calculation

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Activities by Provider(s) of that Activity

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Type of Provider -‐-‐> Full-‐%me Faculty

Adjunct Faculty

Non-‐Faculty Staff

Students Technology Open Source/

External Contract

Type of Ac1vity

Design course specifica1ons

Create learning materials

Select learning materials

Delivery of course content

Academic assistance/tutoring

Facilita1on of student group ac1vi1es

Design/ select assessments

Administer assessments

Evaluate/ grade assessments

Activities by Provider(s) of that Activity (continued)

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Adjunct Faculty



External Contract

Type of Ac1vity

Monitor student engagement and progress

Interven1on/referral for at-‐risk students

Ins1tu1onal academic support resources for at-‐risk students (Wri1ng Center, Math Lab, etc.)

Academic advising/coaching

Technical support Program admissions / selec1on

Career counseling Orienta1on

Activities by Provider(s) of that Activity An example: Traditional Face to Face Instruction

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Adjunct Faculty



External Contract

Type of Ac1vity

Design course specifica1ons X

Create learning materials X

Select learning materials X

Delivery of course content X


X X


X

Design/ select assessments X

Administer assessments X


X

Activities by Provider(s) of that Activity An Alternative Example

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Adjunct Faculty



External Contract

Type of Ac1vity

Design course specifica1ons X

Create learning materials X

Select learning materials X

Delivery of course content X


X X


X

Design/ select assessments X

Administer assessments X


X

For More Information Contact:

Dennis Jones

[email protected] 303-497-0301

National Center for Higher Education Management Systems