In June, the Institute of Education Sciences (IES) announced two new awards to technology firms to develop web-based tools that inform student decision making in postsecondary education. The projects will focus on generating a measure of the return of investment (ROI) for different educational training programs and careers so that high school and college students have access to data-driven information to guide their decisions.
The awards were made through a special topic offered by the IES Small Business Innovation Research (known as ED/IES SBIR) program, which funds the research and development of commercially viable education technology. (For information on the 21 awards made through the IES 2019 standard solicitation, read here.)
Background and Awards
While websites like College Scorecard and CareerOneStop provide information to explore training programs in colleges and occupations of interest, there is no tool that helps students understand the costs and benefits of individual postsecondary programs in an integrated, customizable, and user-friendly manner.
The special topic SBIR solicitation requested proposals from small businesses to develop new ROI tools that would combine information on fees, time to complete, and projected earnings so that students can easily compare college and career pathways. The IES-funded ROI tools aim to improve student program completion rates, with higher employment and earnings, less education-related debt, and more satisfaction with their selected paths. The special topic SBIR solicitation offered up to $200,000 for firms to develop and evaluate a prototype of their ROI tool.
Two awards were made through this special topic:
- Illinois-based BrightHive, Inc. is developing a prototype of the Training, Education, and Apprenticeship Program Outcomes Toolkit (TEAPOT). Designed to inform student training and educational decision making over a variety of potential pathways, TEAPOT will improve the flow and accuracy of data resulting in improved estimates of the ROI for different postsecondary education pathways. The team will develop a data interoperability system and simplified toolkit for states and local postsecondary and workforce development organizations. The toolkit will provide more high quality, consistent, and granular information on postsecondary outcomes. The prototype will calculate ROI using student information, programmatic information (with an emphasis on net program costs to allow for variations by program type at the same institution), and access to wage and employment data sets.
- Virginia-based Vantage Point Consultants is developing a prototype of a user-contextualized ROI tool that prospective students will use to make meaning of lifetime costs and opportunity tradeoffs associated with different degree programs offered by postsecondary institutions. The ROI tool will incorporate information on student goals and academic, professional, and personal characteristics. The prototype will include an interface to present information to guide decision making based on an ROI calculation that discounts earning cash-flows under current and future state career and education assumptions, while subtracting college cost. In the first phase of work, the project will use information from data partners including Burning Glass Technologies and from public sources at the Department of Labor and Department of Education.
After developing prototypes, researchers will analyze whether the tools function as intended and are feasible for students to use. Research will also test if the tool shows promise for producing a meaningful and accurate measure of ROI. Both firms are eligible to apply for additional funding to complete the full-scale development of the ROI tool, including developing an interface to improve user experience and conducting additional validation research.
Stay tuned for updates on Twitter (@IESResearch) as IES projects drive innovative forms of technology.
Written by Edward Metz, program manager, ED/IES SBIR