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Harvard Case - Hyper Island: A Creative Business School's Disruptive Maneuvers to Hold its Ground in the Education Landscape (A)

"Hyper Island: A Creative Business School's Disruptive Maneuvers to Hold its Ground in the Education Landscape (A)" Harvard business case study is written by Saumya Sindhwani, Lakshmi Appasamy. It deals with the challenges in the field of General Management. The case study is 6 page(s) long and it was first published on : Aug 2, 2022

At Fern Fort University, we recommend Hyper Island adopt a multi-pronged strategy to maintain its competitive edge in the rapidly evolving education landscape. This strategy involves:

  • Embracing Digital Transformation: Leveraging technology to enhance the learning experience, expand reach, and optimize operations.
  • Strengthening its Brand: Focusing on its unique value proposition, fostering a strong brand identity, and building a loyal community of alumni.
  • Expanding its Global Footprint: Targeting emerging markets and strategic partnerships to increase its international presence.
  • Adapting its Curriculum: Continuously evolving its programs to stay relevant to the changing needs of the industry and future workforce.

2. Background

Hyper Island is a leading creative business school that has carved a niche for itself by offering innovative and experiential learning programs. However, the school faces challenges from traditional universities, online learning platforms, and the increasing demand for specialized skills in the digital age. The case study focuses on Hyper Island's efforts to adapt its business model and maintain its relevance in a competitive landscape.

The main protagonists are:

  • Johan Hallen, CEO of Hyper Island, who is tasked with navigating the school's strategic direction.
  • The Hyper Island team, who are responsible for developing and implementing innovative solutions to maintain the school's competitive advantage.
  • The students, who are the primary beneficiaries of the school's programs and represent the future of the creative industry.

3. Analysis of the Case Study

This case study can be analyzed using a SWOT analysis framework to understand Hyper Island's strengths, weaknesses, opportunities, and threats:

Strengths:

  • Strong Brand Reputation: Hyper Island is known for its innovative and experiential learning approach, attracting a diverse and talented student body.
  • Experienced Faculty: The school boasts a team of experienced professionals and industry experts who bring real-world knowledge to the classroom.
  • Global Network: Hyper Island has a strong international network of alumni, partners, and collaborators.
  • Focus on Digital Skills: The school's curriculum is well-aligned with the growing demand for digital skills in the creative industry.

Weaknesses:

  • Limited Physical Infrastructure: Hyper Island operates from a limited number of campuses, potentially limiting its reach and scalability.
  • High Tuition Fees: The school's tuition fees can be a barrier for some potential students.
  • Competition from Traditional Universities: Hyper Island faces competition from traditional universities that are increasingly offering digital and creative programs.
  • Limited Online Presence: The school's online presence could be further enhanced to reach a wider audience.

Opportunities:

  • Growing Demand for Digital Skills: The global demand for digital skills continues to grow, creating a significant opportunity for Hyper Island.
  • Expansion into Emerging Markets: Hyper Island can tap into the growing demand for creative education in emerging markets.
  • Strategic Partnerships: The school can form strategic partnerships with companies and organizations to offer specialized programs and enhance its brand reputation.
  • Leveraging Technology: Hyper Island can leverage technology to improve its learning experience, expand its reach, and optimize its operations.

Threats:

  • Economic Downturn: An economic downturn could impact student enrollment and funding for education.
  • Competition from Online Learning Platforms: Online learning platforms are becoming increasingly popular, posing a threat to traditional educational institutions.
  • Changing Industry Needs: The creative industry is constantly evolving, requiring Hyper Island to adapt its curriculum to stay relevant.
  • Technological Disruption: Rapid technological advancements could disrupt the education sector, requiring Hyper Island to innovate and adapt.

4. Recommendations

1. Embrace Digital Transformation:

  • Develop a robust online learning platform: Offer a mix of live online classes, self-paced courses, and interactive learning modules.
  • Invest in technology and analytics: Use data-driven decision making to personalize learning experiences and improve program effectiveness.
  • Explore virtual reality and augmented reality: Enhance the learning experience by incorporating immersive technologies.
  • Develop a strong online community: Foster interaction and collaboration among students, faculty, and alumni through online forums and social media platforms.

2. Strengthen its Brand:

  • Define a clear value proposition: Articulate Hyper Island's unique selling points and differentiate itself from competitors.
  • Develop a consistent brand identity: Create a strong visual identity, messaging, and tone of voice across all channels.
  • Build a loyal community of alumni: Engage alumni through networking events, mentorship programs, and career support services.
  • Invest in public relations and marketing: Promote Hyper Island's programs and brand through targeted marketing campaigns and media outreach.

3. Expand its Global Footprint:

  • Target emerging markets: Identify countries with a growing demand for creative education and establish a presence through partnerships or new campuses.
  • Form strategic alliances: Collaborate with international universities, organizations, and companies to offer joint programs and expand reach.
  • Develop programs tailored to specific regions: Offer programs that address the unique needs and challenges of different markets.
  • Promote cultural diversity and inclusion: Create a welcoming and inclusive environment for students from diverse backgrounds.

4. Adapt its Curriculum:

  • Continuously monitor industry trends: Stay informed about the latest technologies, skills, and challenges in the creative industry.
  • Develop specialized programs: Offer programs that focus on specific areas of expertise, such as digital marketing, user experience design, and data visualization.
  • Incorporate emerging technologies: Integrate AI and machine learning into the curriculum to prepare students for the future of work.
  • Foster entrepreneurial thinking: Encourage students to develop their own ideas and launch their own ventures.

5. Basis of Recommendations

These recommendations are based on a comprehensive analysis of Hyper Island's strengths, weaknesses, opportunities, and threats. They are aligned with the school's mission to provide innovative and experiential learning programs that prepare students for successful careers in the creative industry.

  • Core competencies and consistency with mission: The recommendations focus on leveraging Hyper Island's existing strengths, such as its brand reputation, experienced faculty, and focus on digital skills. They also align with the school's mission to provide students with the skills and knowledge they need to thrive in the creative industry.
  • External customers and internal clients: The recommendations consider the needs of both students and industry partners. They aim to provide students with a high-quality learning experience and equip them with the skills that are in demand by employers.
  • Competitors: The recommendations acknowledge the competitive landscape and aim to differentiate Hyper Island from traditional universities and online learning platforms.
  • Attractiveness ' quantitative measures if applicable: While quantifying the impact of these recommendations is challenging, they are expected to lead to increased student enrollment, improved brand reputation, and greater financial stability.

6. Conclusion

Hyper Island is a leading creative business school with a strong reputation for innovation and excellence. By embracing digital transformation, strengthening its brand, expanding its global footprint, and adapting its curriculum, Hyper Island can continue to thrive in the evolving education landscape. The school's ability to adapt and innovate will be crucial to its long-term success.

7. Discussion

Alternative options include:

  • Merging with another educational institution: This could provide access to resources and a wider network but could also lead to loss of brand identity.
  • Focusing solely on online learning: This could expand reach but could also compromise the experiential learning experience.
  • Maintaining the status quo: This could lead to stagnation and a decline in market share.

Key assumptions include:

  • Continued growth in the demand for digital skills: If this trend reverses, the school's focus on digital skills could become less relevant.
  • Ability to effectively implement the recommended strategies: Success depends on the school's ability to secure funding, attract talented faculty, and adapt its operations.

8. Next Steps

  • Develop a detailed implementation plan: Outline specific actions, timelines, and resource allocation for each recommendation.
  • Secure funding: Identify sources of funding for technology upgrades, marketing campaigns, and global expansion.
  • Build a strong team: Recruit and retain talented faculty and staff who are passionate about innovation and education.
  • Monitor progress and make adjustments: Regularly assess the effectiveness of the implemented strategies and make adjustments as needed.

By taking these steps, Hyper Island can position itself for continued success in the rapidly evolving education landscape.

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Case Description

Set in two parts the case documents the manoeuvres of a creative digital business school, Hyper Island (HI). Part A is set in December 2019 and narrates the biased decisions HI to pursue a flawed business model. The case is discussed from the perspective of Melanie Cook, the Asia-Pacific Managing Director of HI in Singapore. Cook played a key role in HI's strategy team. In 2017, HI launched a consulting service to design and deliver bespoke learning journeys for its corporate clients to generate more revenue and create a unique competitive advantage. Since it overlooked the potential pitfalls due to prolonged sales cycles and resultant costs, HI landed in financial troubles. Cook and her team faced the dilemma of abandoning the consultancy business model and switching to a new business model that would shorten the sales cycle, slash costs, and bring in more revenue. Part B of the case documents how pivoting to a productized business model helped HI gain revenue growth and improve its bottom line. While the course correction saved HI from imminent financial failure, new challenges emerged. Cook had to find means of keeping the employees engaged and securing their buy-in to drive the productized business model.

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