Transforming the Role of Business in Education

Sir Michael Barber FSG, Shared Value Initiative and Stanford Social Innovation Review Palo Alto 29 October 2014

A New Agenda for Business: "Demonstrating Outcomes for the ‘Show-Me’

Generation

@michaelbarber9

Education is a big problem

THEME 1:

By 2020, employers will need c40m more workers with tertiary education

SOURCE: The World at Work, Jobs, Pay and Skills for 3.5b people, McKinsey Global Institute (2012)

Global demand for higher education will expand from 97m students in 2000

to 262m students in 2025

SOURCE: World Conference on Higher Education, UNESCO (2009)

Globally, almost 290m young people (aged 15-24) are neither

working nor studying

SOURCE: Generation Jobless, Economist (2013)

Globally, 781m adults lack basic reading and writing skills

SOURCE: United Nations, www.un.org/millenniumgoals/education.shtml

Illiteracy costs the world $1.19 trillion per year.

SOURCE: The Economic and Social Cost of Illiteracy, World literacy Foundation (2012)

Delivering results in the public sector

THEME 2:

Three paradigms of reform

Quasi- markets

Devolution and transparency

Command and control

Community engagement and mobilization

9 9

GREAT

Committing

GOOD

Staying

Grumbling

ADEQUATE

Exiting

AWFUL

You can mandate adequacy… greatness has to be unleashed

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How can public and private combine?

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PUBLIC PRIVATE

Funding

Regulation

Provision

Traditionally school systems were entirely public

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PUBLIC PRIVATE

Funding

Regulation

Provision

✔

✔

✔

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PUBLIC PRIVATE

Funding

Regulation

Provision

✔

✔

✔

✔

Some now involve private providers in the system

PUBLIC PRIVATE

Funding

Regulation

Provision

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✔

✔

✔

✔

✔

At higher education level funding as well as provision are mixed

Demanding educational outcomes

THEME 3:

Beyond access: the need for improving educational outcomes

SOURCE: The Learning Challenge, Acasus (2014)

Primary school-aged children (globally)

100%

Will attend some schooling

96% In school now 91%

Delivery gap

Will reach a basic level of learning literacy and

numeracy 37%

The evidence strongly suggests that improving education at all levels

reduces political violence"

SOURCE: Education and Civil Conflict, UNESCO (2011)

Matching current Singaporean skill level in the USA school population would result in a $160 trillion gain

in GDP by 2093

SOURCE: Hanushek, Peterson, and Woessmann

The “Show Me” Generation

Willingness to pay (taxes)

Delivery gap

Expectations Citizens and consumers are making more demands of business and government alike.

SOURCE: Governor Martin O’Malley, Institute for Government, 18 September 2014

System Change

Technology

Pedagogy

Learner

Source: Michael Fullan

Successful innovation will be essential

Shared value, efficacy and education

THEME 4:

Shared Value and Efficacy

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Social progress

EFFICACY

Company success

Shared Value and Efficacy

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Social progress

EFFICACY

Company success

Starting from outcomes

The learner access and experience

The standard of achievement or level of competence

The timeliness of completion

Learner progression

Access

Achievement

Completion

Progression

Utility

Usage rhythm as designed

Competencies and skills achieved

‘Door unlocked’

Level of aspiration and value

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Efficacy Framework: Assessing the Likelihood of Impact

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Product efficacy

Profitability

Success

Failure Refine business model

Improve outcomes

Combining efficacy and business success

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Impact on Learners

Impacting products and

services Reviews, Studies, Product Lifecycle

Impacting people and

culture Staffing, Training,

KPIs and evaluations

Impacting the public

conversation Reporting and

auditing (2014-2018), engaging the

research community

Operationalising Efficacy to Impact Learners

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@michaelbarber9

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