oer and the economies of sale - macs 2014
DESCRIPTION
This presentation, given to the 2014 fall meeting of the Michigan Association of College Stores, provides an overview of the argument for Open Educational Resources and how college stores can participate.TRANSCRIPT
www.opendoorsgroup.org
MACS 2014 Fall Meeting
Charles Key
The Economies of SaleThe Emerging Market for OER
October 13, 2014Open Doors Group
Except where otherwise noted, this work is licensed under:http://creativecommons.org/licenses/by/4.0/
http://creativecommons.org/
Charles KeyOpen Doors Group
Director of Adoptions, College Open Textbooks, and Grants
http://www.opendoorsgroup.orghttp://www.collegeopentextbooks.org
Open Doors Group (ODG) is a not-for-profit organization that seeks toIncrease access to education by lowering barriers for all learners. We are active in a wide range of activities, including our major projects:• College Open Textbooks• Communities• MOOCs• ODG Consulting
College Open Textbooks (COT)• Online ‘referatory’ of over 750 open and affordable textbooks,
primarily for two-year college level courses• Active online community of over 1500 members• Twenty Communities of Practice organized around specific academic
disciplines or interests.
We advocate for the adoption of OER as well as Affordable CARR
The Point Is…
• Higher ed is in a “cost crisis”
• Digital technology has changed the equation for creating, storing, and communicating information
• OER are an increasingly important part of the solution
• Campus stores can thrive in this environment
The Rising Cost of Everything
Source: US Bureau of Labor Statistics
OMG!
Source: US Bureau of Labor Statistics
Student Loan Debt Soaring
Textbook Cost as a % of Tuition
http://money.cnn.com/2011/10/26/pf/college/college_tuition_costhttp://www.studentpirgs.org/campaigns/sp/make-textbooks-affordable
https://bigfuture.collegeboard.org/pay-for-college/college-costs/college-costs-faqshttps://www.collegedata.com/cs/content/content_payarticle_tmpl.jhtml?articleId=10064
Average annual cost of tuition and fees• Public two-year college (in state): ~$3000• Public four-year college (in state): ~$8500
Average annual cost of books and supplies• Public college: ~$1200
The Cost Disparity at 2-Year Colleges: Take 2
Community college in-state tuition: $46/unitCost of two 4-unit courses: $368Organic Chemistry by Janice Smith: $195Study Guide & Solutions Manual: $126
Students tell College Open Textbooks:It’s not uncommon for the cost of textbooks to double the cost of tuition at the 2-year college level.
Calsidyrose by Curiosities CC BYhttp://www.flickr.com/photos/calsidyrose/4686098399/in/photostream/
The Effect
60%+ do not purchase textbooks at some point due to cost
35% take fewer courses due to textbook cost
31% choose not to register for a course due to textbook cost
23% regularly go without textbooks due to cost
14% have dropped a course due to textbook cost
10% have withdrawn from a course due to textbook cost Source: 2012 student survey by Florida Virtual
Campuswww.projectkaleidoscope.org
There are no winners
The Response
Entrepreneurs view market inefficiencies as opportunities. The convergence of the cost crisis,
the digital revolution and new technologies is causing a fundamental shift in the way we view
and provide education.
OER
MOOCs
GovernmentalPolicy
Ed SpaceStartups
Open Data
State-WideRepositories
Entrepreneurship is Exploding
What are Open Educational Resources?
“OER are teaching, learning, and research resources that reside in the public domain or have been released under an intellectual property license that permits their free use and re-purposing by others.
Open educational resources include full courses, course materials, modules, textbooks, streaming videos, tests, software, and any other tools, materials, or techniques used to support access to knowledge."
The William and Flora Hewlett Foundation
The 5-R’s Framework
David Wiley/Lumen LearningNicole Allen/SPARC
http://opencontent.org/definition/
There is an inherent cost to produce and maintain content.
This is independent of whether the producer charges the consumer for its use.
5 Reasons Why OER Aren’t Going Away
1.Savings2.Improving Quality3.Technology4.Governmental Policy5.Licensing Infrastructure
How Much Can Be Saved?
Higher Ed Savings Estimates
$116.60 (Tacoma Community College 2013)$107.34 (Student PIRGs 2010)$101.69 (Student PIRGs 2011)$95.95 (Student PIRGs 2013)$90.61 (Project Kaleidoscope 2013)
https://docs.google.com/document/d/1YikQJFigkv_AMmOw0C_E6i53UQ8UbAuDxnsZrIzfiFU/edit http://www.studentpirgs.org/reports/cover-cover-solution
http://www.studentpirgs.org/resources/cost-analysis-open-course-libraryhttp://www.studentpirgs.org/resources/updated-cost-analysis-open-course-library to be published
Average Savings: $100/student/class
How Much Has Been Saved in Higher Ed?
Total students served: 771,263Total potential savings: $75M+
http://www.slideshare.net/txtbks/billion-dollar-keynote
Students Served
The Quality Issue
People intuitively feel that the more you pay for something, the higher its quality (“You get what you pay for”)
There’s a growing body of evidence that learning outcomes are as good or better when using OER than when using traditional
commercial materials.
Studies Suggest…
CMU Open Learning InitiativeA 2011 independent study of an OLI statistics course showed that OLI students performed as well or better than students in traditional instructor-led classes.
South Florida CollegeStudents using OpenStax physics textbook saw scores on concept inventory tests rise 30% over scores from the previous five years.
Houston Community CollegeIn 2011, 690 psychology students using a free, online textbook had improved learning outcomes in three areas.
Scottsdale Community CollegeA 2012 study found that math students in classes using OER had comparable overall grades and completion rates to students from previous, non-OER classes.
http://oli.cmu.edu/get-to-know-oli/see-our-proven-results/http://chaos.open.ac.uk/evidence/impact-of-openstax-textbook-on-physics-students-south-florida-college/
http://www.tandfonline.com/doi/abs/10.1080/02680513.2012.716657#.UxQEqONdVuIhttp://www.irrodl.org/index.php/irrodl/article/view/1523/2652
Curated Repositories
Washington State Open Course LibraryFlorida Orange Grove
University of Minnesota Open Textbook LibraryBCcampus Collection
OpenStax CollegeCalifornia Digital Open Source Library
Technology
Digital Storage
Wideband Access and Delivery Channels
Devices• E-readers• Tablets• Cell Phones
Authoring Tools• OERCommons OpenAuthor• Connexions Authoring Platform• AcademicPub Textbook Creation Platform
How Technology Influences Cost
For One 250 Page Book
Cost to Copy• By hand: $1,000• By print-on-demand: $4.90• By computer: $0.00084•
Cost to Distribute• By mail: $5.20• By print-on-demand: $0• By internet: $0.00072
CC BY: David Wiley, BYU
Production of Quality Content is Within Anyone’s Reach
Music
Video
Social Media
Websites
Magazines
Books
Governmental Policy
Summary of Current and Proposed Policy InitiativesRelated to Open Education and Resources
Source: Creative Commons OER Policy Registry
48 Total Initiatives
http://wiki.creativecommons.org/OER_Policy_Registry
Licensing of Open Content
GNU General Public LicenseA free, copyleft license for software and other kinds of works.
Creative Commons LicensesA set of six licenses for creative works.
Lots of Others
http://creativecommons.org/licenses/https://www.gnu.org/copyleft/gpl.html
Creative Commons Licenses
http://www.slideshare.net/cgreen/keynote-ace-upcea-san-diego-sols14
Internationally Recognized
http://www.slideshare.net/cgreen/keynote-ace-upcea-san-diego-sols14
The Epitome of Open Content
Jimmy Wales, founder of Wikipedia, on Open Content:“…we’ve chosen the free licensing model because that empowers anybody to take our content and do anything they like with it…”
The English version contains nearly 4.5M articles
“Wikipedia comes close to Britannica in terms of the accuracy of its science entries, a Nature investigation finds. ”
http://www.nature.com/nature/journal/v438/n7070/full/438900a.htmlhttp://www.ted.com/talks/jimmy_wales_on_the_birth_of_wikipedia.html
http://en.wikipedia.org/wiki/File:Size_of_English_Wikipedia_in_August_2010_(L).svg
Business Models for OER
The early model: No-cost content, pay for services and upgrades• Special formats• Printed matter
Sustainability has been hard to come by• Flat World Knowledge, an early leader in professional-grade
open textbooks, has retreated and is now Affordable CARR• Boundless offers some no-cost content, but most is low-cost
The Wikipedia model hasn’t yet worked for OER
Prominent Models• Government/System Supported• For-Profit Publishers• College/Department• Individual Authors• Student Fees
New work by new digital-only providers with low overhead
• NACS reports that 77 cents of the textbook dollar goes to publisher overhead.
The software industry has shown that consumers are willing to pay for packaging and convenience
Business Models
There’s Money to be Made Selling Free Content
http://files.shareholder.com/downloads/RHAT/2991989334x0x657207/97DF4F83-606D-4AC5-9153-0B7B49C558CC/SEC-RHAT-1193125-13-173724.pdf
The content is free, the packaging and support is not.
Opportunities For Stores
ExpertisePartnerships
Print-On-Demand
So Many Options…
…So Little Information
Surveys consistently show that educators who want to explore OER don’t know where to go
• Wide range of sources, from individual authors to curated repositories
• No easy way to locate them• OER producers lack the marketing budgets to get the
information to consumers
Many interested educators don’t understand licensing issues
No database of adoptions data so that educators can find out what peers are using
Partnerships Will Be Key
Authors/Publishers
Information Providers
Students
Printers
Libraries Faculty
Administration
Stores
Print-On-Demand
75-80% of students still want a printed copy, even when digital media is available
Offers a tangible way to participate when OER is used
Solves a persistent problem for retailers: inventory control
Bonus: Interest in self-publishing is booming
Learn More About OER
• Follow the links in this presentation
• www.collegeopentextbooks.org
• Monthly webinars at CCCOER
http://oerconsortium.org/
College Open Textbooks Can Help
• COT Referatory• Over 750 Open and Affordable CARR titles
• The COT Community • http://collegeopentextbooks.ning.com/
• Adoption Resources & Information
• Consulting• Adoption Strategies• Business Models
Contact
Charles KeyOpen Doors Group
Director of Adoptions, College Open Textbooks, and Grants
http://www.opendoorsgroup.orghttp://www.collegeopentextbooks.org