Harvard Case - EducationSuperHighway 2.0
"EducationSuperHighway 2.0" Harvard business case study is written by William A. Sahlman, Allison M. Ciechanover, Emily Grandjean. It deals with the challenges in the field of Entrepreneurship. The case study is 35 page(s) long and it was first published on : Oct 4, 2022
At Fern Fort University, we recommend that EducationSuperHighway (ESH) pursue a strategic growth strategy focused on expanding its reach and impact through a combination of organic growth, strategic partnerships, and targeted acquisitions. This strategy will leverage ESH?s existing strengths in technology and analytics, policy advocacy, and network building while addressing the evolving needs of the education landscape.
2. Background
EducationSuperHighway (ESH) was a non-profit organization founded in 2013 with the mission of closing the digital divide in education. The organization successfully leveraged its expertise in technology and analytics to advocate for and implement broadband infrastructure improvements in schools across the United States. The case study focuses on ESH?s transition under new CEO, Evan Marwell, who sought to expand the organization?s impact by developing a new growth strategy and exploring various avenues for business model innovation.
The main protagonists of the case study are:
- Evan Marwell: The new CEO of ESH, responsible for developing the organization?s future direction.
- The ESH Board: The governing body responsible for overseeing the organization?s strategy and operations.
- The ESH Team: The dedicated staff responsible for implementing ESH?s mission.
3. Analysis of the Case Study
Strategic Analysis:
- SWOT Analysis: ESH possesses significant strengths, including its strong track record, established network, and expertise in technology and policy. However, the organization faces challenges in terms of funding, competition, and the evolving needs of the education sector.
- Porter?s Five Forces: The education technology sector is characterized by high competition, with numerous players vying for funding and market share. The threat of new entrants is also significant, as the sector is attracting increasing investment.
- Industry Life Cycle: The education technology sector is in a growth phase, with increasing demand for innovative solutions and digital learning tools.
Financial Analysis:
- Revenue Model: ESH?s current revenue model relies heavily on grants and donations. The organization needs to explore alternative revenue streams to achieve sustainable growth.
- Cost Structure: ESH?s cost structure is largely driven by its staff and operational expenses. The organization needs to optimize its cost structure to ensure financial sustainability.
Marketing Analysis:
- Target Market: ESH?s target market includes school districts, state education agencies, and policymakers. The organization needs to develop a targeted marketing strategy to reach these stakeholders.
- Value Proposition: ESH?s value proposition is based on its ability to improve education outcomes by providing access to high-quality broadband infrastructure. The organization needs to clearly articulate this value proposition to its target market.
Operational Analysis:
- Organizational Structure: ESH?s organizational structure needs to be flexible and adaptable to support its growth strategy.
- Technology Infrastructure: ESH needs to invest in its technology infrastructure to support its operations and data analytics capabilities.
4. Recommendations
ESH should pursue a strategic growth strategy focused on three key pillars:
1. Organic Growth:
- Expand Service Offerings: ESH can expand its service offerings beyond broadband infrastructure to include digital learning tools, professional development, and technical support for educators.
- Geographic Expansion: ESH can expand its geographic reach to include new states and regions, focusing on areas with high concentrations of underserved schools.
- Strengthen Policy Advocacy: ESH can continue to advocate for policies that support broadband access and digital learning in schools.
2. Strategic Partnerships:
- Collaborate with Technology Providers: ESH can partner with technology companies to develop and deploy innovative digital learning solutions.
- Engage with Philanthropic Organizations: ESH can partner with foundations and other philanthropic organizations to secure funding for its initiatives.
- Form Strategic Alliances with Education Organizations: ESH can collaborate with education organizations to leverage their expertise and reach.
3. Targeted Acquisitions:
- Acquire Complementary Organizations: ESH can acquire organizations that complement its existing capabilities, such as companies specializing in digital learning content or software development.
- Consolidate the Market: ESH can acquire smaller organizations to gain market share and consolidate its position in the education technology sector.
5. Basis of Recommendations
These recommendations are based on the following considerations:
- Core Competencies: ESH?s expertise in technology, analytics, and policy advocacy provides a strong foundation for growth.
- External Customers: The recommendations address the needs of school districts, state education agencies, and policymakers, ESH?s primary target market.
- Competitors: The recommendations position ESH to compete effectively in the dynamic education technology sector.
- Attractiveness: The recommendations have the potential to generate significant social impact and financial returns.
6. Conclusion
By pursuing a strategic growth strategy focused on organic growth, strategic partnerships, and targeted acquisitions, ESH can achieve its mission of closing the digital divide in education and become a leading force in the education technology sector.
7. Discussion
Alternatives:
- Focusing solely on organic growth: This approach would be slower and less impactful than a strategy that includes partnerships and acquisitions.
- Merging with a larger organization: This could provide access to resources and expertise but might compromise ESH?s independence and mission.
Risks:
- Competition: The education technology sector is highly competitive, and ESH may face challenges in attracting funding and securing partnerships.
- Market Volatility: The education technology market is subject to rapid change, and ESH needs to be agile and adaptable to stay ahead of the curve.
Key Assumptions:
- ESH will be able to secure sufficient funding to support its growth strategy.
- ESH will be able to attract and retain talented staff.
- The education technology sector will continue to grow and evolve.
8. Next Steps
- Develop a detailed strategic plan outlining ESH?s growth strategy, including specific goals, timelines, and resource requirements.
- Conduct market research to identify potential acquisition targets and strategic partners.
- Build a strong team with the skills and experience necessary to execute the growth strategy.
- Secure funding to support ESH?s growth initiatives.
- Implement a robust marketing and communications strategy to build awareness and engagement with ESH?s target market.
By taking these steps, ESH can position itself for continued success and make a lasting impact on the future of education.
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Case Description
In 2012, Evan Marwell launched EducationSuperHighway (ESH) to address a major problem: though most public K-12 schools in the US had access to the Internet, only roughly 30% had true broadband access that would enable every student to have high speed connectivity. Marwell and his team raised philanthropic capital and worked with schools, telecommunications companies, and local, state, and federal government officials to meet that challenge. By 2019, over 99% of the public schools in the US had true broadband access. Marwell and his team had begun the process of winding down activities at ESH when the pandemic erupted. Students were working from home, not physically at school. They decided to try to help 18 million households with 47 million people to have affordable broadband access at home. In 2020, Marwell and Jessica Reid Sliwerski also launched a program to tackle a pernicious problem in education; by third grade, only about one in three US children were reading at grade level. Ignite! Reading offered students access to an individual science of reading tutor for 15 minutes a day over Zoom while at school. Early evidence suggested that for every week working with an Ignite tutor, kids gained over 2 weeks of reading comprehension. Ignite was organized as a public benefit corporation.
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