For-Profit Education

For-Profit Education
For-Profit education has been present for many years however has recently become a popular commodity. The for-profit educational world has been gaining popularity for a number of reasons. These include such aspects as access, student population, financial cost, etc. This paper will explore For-Profit education, a brief history, the students these institutions aim to serve, the intended focus of For-Profits and quality, the impact on higher education, and the roles of student affairs professionals within For-Profits.
For-Profit Education and Historical Development Before examining the development of For-Profits, it is important to define this type of education. Morey (2004) defines For-Profit education as “major providers
of entry-level skill training beyond the secondary school level. They offer occupationally oriented certificates and sometimes even associate and bachelor's degrees”(p.133). For-Profit institutions provide education to make money, while traditional colleges accept money to provide an education (Morey, 2004). Although gaining more recent attention, For-Profit education has been present since the 1800s. These schools first provided training in industrial skills such as accounting (Floyd, 2005). In the early to mid-1900s, these schools became marginalized as inexpensive public higher education grew in popularity. However, by the later 1900s, For-Profits found there way back to popularity due to such things as the baby boomer generation, and the 1972 reauthorization of the higher education act which allowed For-Profit institutions to be eligible for financial aid and federal grants (Floyd, 2005). The globalization of education combined with the needs for non-traditional students, and rising tuition of traditional colleges has given way for the For-Profits booming industry. This has greatly affected higher education, especially in regards to the competition that For-Profits have created for traditional colleges and universities.
Student Population
According to Kinser (2006), For-Profits serve a high proportion of students that come from less well-prepared academic backgrounds, adult students, students of color, and students who either study part-time or have family or work obligations. It is obvious that this type of education caters to the historically non-traditional student and provides access to students who are looking for less expensive, more specific training, and flexible schedule.
Focus and Quality There are a few main factors to consider in regards to the quality of For-Profit education.
However first it is important to understand the focus of For-Profits. In his research, Floyd (2005) indicates that For-Profit institutions focus primarily on student learning and in-class engagement (Floyd, 2005). As in-class student learning and engagement are a key focus, the quality of this education should primarily rest in the hands of faculty and educators. It has been noted that For-Profit education has used both full time and part time professors. An interesting model that some For-Profit colleges use is called the disaggregated Faculty Model. This model relies on part-time faculty and these faculty must have earned at least a masters degree. In addition to teaching part-time, the faculty are also required to have a full-time job in the field of their degree (Floyd, 2005). Research has shown that For-Profit faculty say they teach for self-satisfaction and spend at least five to ten hours in preparation for class (Floyd, 2005). Although it seems as though these professors are professionally qualified, it is noted that there is a lack of research that address the teaching effectiveness of For-Profits, and this is something that needs to be further explored. Another indicator of the quality of this type of education is type of accreditation the institution receives. This determines the quality and prestige based upon the U.S. department of Education standards. Accreditation will
be examined in detail in the following section.
Impact on Higher Education: A Major Competitor It is important to be familiar with For-Profit higher education because these schools have become a major competitor for traditional colleges. This has happened for several reasons. First is the fact that these schools market and cater to non-traditional college students. In her article, Morey (2004) notes that today, students no longer fit into the 18-24 year old full-time, and live on campus student population. At least 60% of today’s students are working, and attend college part time and 45% are 24 years or older (Morey, 2004). Thus For-Profits can provide such things as flexible schedules, convenience, and not having to pay for services that many students will not use such as extra-curricular activities. Another benefit is that these schools do not have demanding admission requirements. Secondly, the rising costs for Non-Profits has become a major issue for many students. In her article, Morey (2004) notes that nonprofit schools will have “difficulty withstanding the cost-reduction competition” (Morey, 2004, p.145). She even notes that these Non-Profit colleges may be in danger of being bought out by For-Profit education seekers or even taken over. Another important aspect with the rising popularity of For-Profits is their increasing partnerships with Non-Profits. For example, Wisconsin University has an agreement with Lotus to sell their programs worldwide (Morey, 2004). It seems that one of the goals of For-Profit institutions is to monopolize the education industry. Lastly, and perhaps most importantly is the increasing number of For-Profits that are gaining regional accreditation.
Kinser (2006) notes that “while most for-profit institutions are accredited by national agencies, a growing number are becoming regionally accredited” (p.266). One reason it is important and a goal of many For-Profits to become regionally accredited is that “regional accreditors which accredit most traditional institutions of higher education are the longest standing accreditors and are considered to be the most prestigious of institutional accrediting organizations” (Floyd, 2005, p. 552). The Regional Accreditor’s also noted that the overall approach to accrediting For-Profits is not any different then the approach to accrediting public and private Non-Profits (Floyd, 2005). In his study, Kinser (2005) also found that many regionally accredited For-Profits have traditional academic roles. However it should also be noted that Kinser (2005) did find that many regionally accredited For-Profit institutions also market the opportunity to complete studies in a shorter amount of
time.
Role of Student Affairs Professionals With the growing popularity of For-Profit education, it is valuable to examine to role of Student Affairs Professionals. The main three goals are as follows: 1) A focus is placed on career development instead of student development (Kinser, 2006). It is noted that student affairs professionals working at For-Profits look to develop employable skills and make this career development a priority (Kinser, 2006). 2) As For-Profits focus on the academic and career building skills for students, student affairs professionals focus on being coordinators of the academic environment instead of out-of-class activities (Kinser, 2006). Thus For-Profits administrators will not heavily focus on such things like student activities or residential life. 3) A focus for student affairs professionals is based on revenue generation. As Kinser (2006) states, For-Profits are a “tuition-driven business,” and student affairs plays a key role within this mindset (p. 276). Examples include such aspects as the overly aggressive admission representatives. It is clear that For-Profit education has benefits and drawbacks. Although some may disagree with this type of education compared to nonprofits, it is a growing and extremely competitive field. Because this type of education exists, it is essential that the U.S. Department of Education and accreditation agencies regulate the focus, goals, and quality of this education.