1. Mission to 2024 -------Yi Meng

2. Changing Environment organization fields are always subsystems, being affected by the presence of neighboring fields, and subsumed under and influenced by forces emanating from broader societal--and trans societal-- systems: social, economic, and political. -----------W. Richard Scott

3. Financial Crisis Increasing wealthy gap e.g. In 2012, the gap between the richest 1 percent and the remaining 99 percent was the widest it's been since the 1920s. Incomes of the wealthiest 1 percent rose nearly 20 percent, whereas the income of the remaining 99 percent rose 1 percent in comparison. Pessimistic employment rate e.g. In March 2014, the number of unemployed persons was essentially unchanged at 10.5 million, and the unemployment rate held at 6.7 percent. Challenged academic integrity e.g. “Inside Job”

4. Shifting Policies Budget retrenchment Between 2007 and 2012, 15 states have experienced declines in higher-education funding per full-time student of nearly 30% or more, according to a report on higher-education financing put out by the State Higher Education Executive Officers Association earlier in 2013. Since the recession, 48 states have cut state appropriations while just two have increased funding. Suggestion effect on innovation Though debated for her business metaphors and language, U.S. Education Secretary Margaret Spelling has pointed out that fewer U.S. adults are completing post-high school degrees; that the cost of attending college are rising faster than inflation; that employers report hiring college graduates unprepared for the workplace in her 2006 report of her commission on the future of higher education.

5. Social Factors Mass participation in Higher Education For-profit organizations sprung up International competition

6. What are the problems? Accountability Affordability

7. What are the possible solutions? Disruptive innovation an innovation that helps create a new market and value network, and eventually disrupts an existing market and value network displacing an earlier technology. Sustaining innovation only evolves existing ones with better value, allowing the firms within to compete against each other's sustaining improvements.

8. Disruptive innovation While the industry leaders focus on better serving their most prized customers and matching their toughest things are likely to be occurring there. One is growth in the number of would-be consumers who cannot afford the continuously enhanced offerings and thus become non consumers. The other is the emergence of technologies that will, in the right hands, allow new competitors to serve this disenfranchised group of non consumers. --------Clay Christensen& Henry J. Eyring

9. Past Immunity The power of prestige in the higher education marketplace, where the quality of the product is hard to measure. The barrier to disruptive innovation created by accreditation, a process by which representatives of established universities periodically participate in judging the fitness of established institutions and would-be newcomers. Higher Education has been the absence of a disruptive technology.

10. What’s different? Hard time for private universities without national recognition and large endowments and even prestigious public universities Costs have risen to unprecedented heights New competitors are emerging. Disruptive learning format, such as MOOCs,online learning, prior learning assessment are at work. Disruptive technology, such as online learning software, chat forum, Skype, adobe live, Google doc., Innovated way of accreditation standards (competency- based education, badges and micro credit) that play to their strengths in demonstrating student learning outcomes.

11. How will that work? More complexity and diversity in Higher Education Industry; (catering different interest groups) Less mega universities; more clear functional division (high efficiency) Increasing share of technical institutions and community colleges combine with online innovations; (more competency based training flipped classroom format and lowering costs) (MOOCs& OER) More cooperation among academic field and real world. “Liberal art universities” will face more adult learners; (popularization of life long learning and prior learning assessment) Unified qualification standard (eg.5 out of 7) in every subjects (standard CBE). Research and Comprehensive University shrink in numbers, but refine in functions; (more academic freedom; blind funds system buffer interest bias)

12. Possible concerns Outside foundation e.g. Gates foundation and Lumina foundation International competition e.g. resources and reputations Government regulation e.g. national standard CBE test The legitimacy of for-profit organizations

13. References http://classifications.carnegiefoundation.org/descriptions/size_setting.php http://en.wikipedia.org/wiki/Demographics_of_the_United_States http://www.bls.gov/news.release/empsit.nr0.htm http://en.wikipedia.org/wiki/Disruptive_innovation http://en.wikipedia.org/wiki/Income_inequality_in_the_United_States http://horizon.wiki.nmc.org/Challenges