What does Higher Education Look Like in 2030?
Higher Education Ecosystem in 2030
Higher Education worldwide will experience unprecedented level of disruption for next 5 years. Recent Gartner research identified two key and independent driving forces that will be relevant in this time frame:
The impact of artificial intelligence (AI) on the future of work is expected to be profound. The range of possible impacts from an evolutionary, sustaining type of impact to a highly disruptive impact characterised, for example, by rapid and significant worker displacement.
The type of education credential that will dominate in the market emerged as the second driving force. It can range from a model similar to today, where formal credentials take many years to acquire and persist as the dominant education credential to a world where informal, smaller and stackable credentials with short half-lives become the norm.
Here Is How Universities Will Take Shape
Universities will continue to evolve and adapt. Changes across the entire higher education ecosystem will begin to segment postsecondary education and formal structures. Attributes such as scholarly activity patents, Nobel prize awards, workforce productivity, job placements and apprenticeship programs will become more common in classification categories. The type of education, training, verified experience or amount of funded research will become more discrete across institutions, creating market segmentation similar to that in the retail, automotive or hotel industries. Institutions will serve a variety of segments in order to survive and meet public demand; while others will become more niche-focused, serving limited segments.
Students
We will see a mix of students with a variety of educational goals and career objectives. Increased competition for students in most markets will require thoughtful and creative strategies for institutions to remain competitive and viable. Institutions not only need to focus on first-time “traditional” aged college students, but will also need to develop parallel business models that will address the current and noteworthy change in student demographics regarding the growing population of “nontraditional” students. These changing demographics will require further segmentation and specialisation from institutions. Some regions will be impacted more than others. Shifting population trends, changes in international policy and a changing workforce will demand that the higher education system will evolve and play a significant role in the business models and marketing strategies of universities.
Value Proposition
Obtaining a degree will be a worthwhile endeavour for students. The value of higher/further education will continue to be respected and viewed as prestigious in 2030. Questions linger about the costs and the time that extends from graduation to employment for some fields of study. However, employers across markets will find value in the education as employees with formal degrees continue to earn a wage premium over the course of their careers. Aside from higher wages, the workforce will recognise the value of these degrees, such as baccalaureate or higher. Those degree recipients will be more successful in supervisory and managerial roles, deeply interested in their work and satisfied in their jobs. It is also important to note that the growing market segmentation and distinct specialisation of some institutions will widen the division between training and education. For some institutions, their reputation in certain subjects and disciplines will improve and earn their graduates even higher wage premiums in some jobs and markets.