Raising The Stakes

Improving higher ed’s value proposition

Like many higher education institutions, Vincennes University (VU) has made significant investments in recent years to upgrade its IT infrastructure to support both remote and hybrid teaching and learning. The acceleration of the university’s “bring your own device” future was critical to ensuring that all VU students have access to the technology they need no matter their socioeconomic status.

The investment was one of a number of initiatives Vincennes continues to make to help reinforce the unique benefits the college experience offers—an experience that includes fostering innovation in curriculum design, embracing hybrid learning models and emphasizing the holistic growth opportunities that universities offer beyond academics.

Take VU’s CircleIn program, which promotes student engagement and interaction by reaching students where they spend much if not most of their waking hours—on their devices. An early adopter of the CircleIn program, Provost Laura Treanor, Ed.D., viewed it as a way to help students engage through and after the pandemic. “We saw an almost immediate correlation between the adoption and use of CircleIn and more positive student retention and performance outcomes,” says VU President Chuck Johnson, Ph.D.

Finding initiatives and strategies to complement rather than compete with traditional education programs continues to be the way forward for today’s higher education leaders. For example, while VU has yet to harness artificial intelligence (AI) in how it teaches, Dr. Johnson sees how the technology can be integrated into much of what it does in the foreseeable future. “Areas we have begun to explore include assisting students with advising and degree mapping and potentially with supplemental instruction. Because much of what we do in our programs is hands-on teaching and learning, VU may be somewhat more insulated from completely replacing the manner in which we teach and our students learn with AI.”

Dr. Johnson, like many of his colleagues around the higher education landscape, understands the importance of addressing the continual skepticism around the value of a college degree today. The first step may be in redefining what people mean when they say “college degree.” Too often, the term “college degree” and “bachelor’s degree” are used interchangeably.

“I understand where this criticism comes from,” Dr. Johnson says. “Over the past 40 to 50 years, we oversold the idea that getting a bachelor’s degree was the only path to the middle class. That translated into the idea that a bachelor’s degree—no matter what field it’s in and, to some degree, no matter the cost—would pay off. I doubt that was ever true, but it certainly has become less true as the cost of higher education increases and student borrowing along with it.”

“Over the past 40 to 50 years, we oversold the idea that getting a bachelor’s degree was the only path to the middle class.”

— Chuck Johnson, Ph.D., President, Vincennes University

The key lies in acknowledging that there are different college degrees, including the associate degrees offered by scores of colleges and universities around the country that also are college degrees. Given their focus on career development and lower cost tuition, most associate degrees avoid the same criticisms leveled by those who believe a bachelor’s degree’s return on investment (ROI) is questionable.

“We’ve also romanticized getting into a ‘dream school’ as the only path to achieving life goals,” Dr. Johnson says. “Research by Krueger and Dale at Princeton showed that where one went to college wasn’t as important to longer-term career success as other factors such as intelligence, hard work and ambition. Their findings suggest there are any number of institutions where someone can achieve their goals. We must ensure that students have appropriate on and off-ramps to achieve their higher education goals. One way we can reduce skepticism is by creating a better understanding that the decision about where to go to college and what to study is an economic decision. It is about maximizing return on investment, which should start with minimizing the investment.”

The need to innovate

This much we know: In response to changing student demographics and workforce demands, today’s traditional campus experience is evolving rapidly. Recent enrollment trends show shifting patterns in how students engage with higher education, particularly among traditional-age freshmen.

In turn, institutions are responding by creating more flexible learning environments that blend in-person and remote experiences, implementing smart campus technologies, and expanding mental health and wellness services. AI-powered personalization is enhancing student services and support, while predictive analytics are improving academic outcomes and student retention.

Laura Ipsen, President and CEO of Ellucian, says that with significant workforce changes projected over the coming years, colleges and universities are developing more adaptable educational pathways, which includes stackable credentials aligned with industry needs, seamless transfer opportunities between institutions and integration of micro-credentials with traditional degrees. System-wide approaches are emerging that allow students to move between institutions while accumulating credits and credentials, maintaining the value of traditional degrees while expanding access for diverse student populations.

“The skepticism around college degrees reflects a crucial conversation about educational value and workforce preparation,” Ipsen says. “While data consistently shows that degree holders earn significantly more over their lifetimes, we must acknowledge that the traditional model needs evolution to meet today’s challenges. Our research, including a recent survey of 1,500 students, reveals that financial concerns are paramount—60% of students consider dropping out due to costs, while 78% report that financial stress impacts their mental health. This isn’t just about tuition; it’s about creating sustainable pathways to career success.”

More than ever, college affordability remains a critical challenge. Ellucian’s recent “Student Voice Survey” shows that 76% of students say financial aid significantly influenced their college choice, and that 44% would switch their top choice school for just $5,000 more in aid.

“For families navigating these challenges, I recommend starting financial planning early in the college search process, completing FAFSA as soon as possible after Oct. 1, and thoroughly researching institutional merit matrices and aid policies,” Ipsen says. “Understanding the difference between sticker price and net price is crucial, as is exploring all forms of financial assistance, including merit-based scholarships, need-based grants, work-study opportunities, and state-specific aid programs.”

“Understanding the difference between sticker price and net price is crucial, as is exploring all forms of financial assistance, including merit-based scholarships, need-based grants, work-study opportunities, and state-specific aid programs.” 

— Laura Ipsen, President & CEO, Ellucian

One of the strategies that works is finding alternative pathways such as community college transfer agreements, 2+2 programs with state universities and early college/dual enrollment opportunities. Ipsen recommends that when evaluating total cost of attendance, families should compare institutional aid packages comprehensively, factoring in additional costs beyond tuition and researching career outcomes by program.

“Engage directly with financial aid offices to learn about additional institutional scholarships, payment plans, and financial counseling,” Ipsen says. “The key is to view college as an investment while being realistic about financial capacity—many institutions offer significant aid that isn’t immediately visible in their published costs, making quality higher education more accessible than families might initially assume.”

In today’s ever-evolving landscape, colleges and universities must continually adapt to meet the expectations of students, employers and communities. By raising the stakes and reimagining its value proposition, the higher ed community can ensure its relevance and impact for generations to come.

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SIDEBAR

4 ways to address innovation in higher ed

The value of higher education extends beyond immediate job preparation—it develops critical thinking, adaptability and leadership skills crucial for long-term career success. As higher education institutions innovate, they’re not replacing the degree’s value, but enhancing it to better serve today’s students and tomorrow’s workforce needs. Laura Ipsen, President and CEO of Ellucian, offers four ways innovation in higher ed is addressing the following concerns:

1. Flexible Learning Models – New formats like accelerated degrees and hybrid programs help students balance education with work and life demands.
2. Skills-Based Integration – Institutions are embedding industry-relevant skills within traditional degree programs, ensuring students graduate with both theoretical knowledge and practical capabilities.
3. Career-Connected Learning – Partnerships with employers create direct pathways from education to employment, demonstrating immediate value.
4. Financial Accessibility – Technology-enabled solutions streamline financial aid processes and provide clearer information about costs and outcomes.