Summer Training Project Report

A SUMMER TRAINING PROJECT REPORT

ON

“A Market Analysis of

A virtual classroom coaching by eAge Software Services ” SUBMITTED IN THE PARTIAL FULFILLMENT FOR THE AWARD OF DEGREE OF MASTER IN BUSINESS ADMINISTRATION 2008-10 UNDER THE GUIDANCE OF: MRS. KIRAN VASHISHTHA FACULTY, RDIAS SUBMITTED BY: ROHIT DEY ROLL NO.01415903909 MBA

III SEM

SECTION

A

RUKMINI DEVI INSTITUTE OF ADVANCED STUDIES (Approved by AICTE, HRD Ministry, Govt. of India) Affiliated to Guru Gobind Singh Indraprastha University, Delhi 2A & 2B, Madhuban Chowk, Outer Ring Road, Phase-1, Delhi

Table of CONTENTS Student declaration..........................................................................................................................i Certificate from Company/Organization…………………………………………………………………ii Certificate from Guide……………………………………………………………………………………..iii Acknowledgement…………………………………………………………………………………………..iv Executive Summary…………………………………………………………………………………………v List of Tables……………………………………………………………………………………………….vi List of Charts………………………………………………………………………………………………vii

CHAPTER SCHEME

CHAPTER 1- INTRODUCTION

1.1 Purpose of Study…………………………………………………………………………. 1.2 Research Objective of Study……………………………………………………………..22 1.3 Review of Literature……………………………………………………………………..23 1.4 Research Methodology 1.4.1 Research Design………………………………………………………………..25 1.4.2 Data Collection…………………………...........................................................25 1.4.3 Sample Design…………………………………………………………………26 •

Sample Size

•

Sample Population

•

Sampling Method

1.4.4 Duration of research……………………………………………………………27 Limitations………………………………………………………………… …..27

1.4.5

CHAPTER 2- REVIEW OF LITERATURE

CHAPTER 3- INDUSTRY AND COMPANY PROFILE

3.1 Industry Profile…………………………………………………………………………... 2

3.2 Company Profile…………………………………………………………………………..9

3.3 SWOT Analysis………………………………………………………………………….12

3.4 Major Competitors……………………………………………………………………….14

CHAPTER 4- CONCEPTUAL DISCUSSION.....……………………………………………………...47

CHAPTER 5- ANALYSIS AND INTERPRETATION….………………………………………………77

CHAPTER 6- FINDINGS…………………………………………………………………………………..

CHAPTER 6- RECOMMENDATIONS AND CONCLUSION………………………………………80

BIBLIOGRAPHY

ANNEXURES

STUDENT DECLARATION

This is to certify that I have completed the Project titled “A Market Analysis of Gurumantra: a virtual classroom coaching by eAge Software Services” under the guidance of “Mrs. Kiran Vashishtha” in the partial fulfillment of the requirement for the award of the degree of “Masters in Business Administration” from “Rukmini Devi Institute Of Advanced Studies, New Delhi.” This is an original work and I have not submitted it earlier elsewhere.

……………………. (Rohit Dey) Enrollment No. – 01415903909 (MBA, 3rd Sem, Sec-A)

i

CERTIFICATE

This is to certify that the project titled “A Market Analysis of Gurumantra: A virtual classroom coaching by eAge Software Services” is an academic work done by ROHIT DEY submitted in the partial fulfillment of the requirement for the award of the degree of Masters in Business Administration from Rukmini Devi Institute of Advanced Studies, New Delhi. under my guidance and direction. To the best of my knowledge and belief the data and information presented by him in the project has not been submitted earlier elsewhere.

…………………….... Mrs. Kiran Vashishtha Faculty,RDIAS (Project Guide)

ii

iii

ACKNOWLEDGEMENT

"Gratitude is not a thing of expression; it is more matter of feeling." There is always a sense of gratitude which one express towards others for their help and supervision in achieving the goals. This formal piece of acknowledgement is an attempt to express the feeling of gratitude towards people who helpful me in successfully completing of my training.

I would like to express my deep gratitude to Mr. Rahul Sharma my training coordinator for their constant co-operation. He was always there with his competent guidance and valuable suggestion through out the pursuance of this research project. Special thanks to Mrs. Kiran Vashishtha who guided me to work honestly and to give valuable suggestion for improving my work Last but not least I would also like to place of appreciation to all the respondents whose responses were of utmost importance for the project.

Above all no words can express my feelings to my parents, friends all those persons who supported me during my project. I am also thankful to all the respondents whose cooperation & support has helped me a lot in collecting necessary information.

I would also like to thank almighty God for his blessings showered on me during the completion of project report. iv

EXECUTIVE SUMMARY

"And then the whining school-boy, with his satchel and shining morning face, creeping like snail unwillingly to school". -

Shakespeare, As You Like It, 1599

Shakespeare identified the core problem with most learning experiences; a failure to engage and harness our intrinsic motivation to learn. In a connected world, technology is fundamentally challenging traditional models of education and training, empowering us to learn in a more fluid and natural way than ever before, at our own pace and place. The learners are taking control. India’s education and training sector offers private institutions an estimated US$40bn market, with a potential 16% five-year Cagr. With 142 million of the 361 million school-age children not attending classes, the system’s shortcomings are well documented. However, the opportunities for organized private-sector involvement do not enjoy such recognition. Turning education into a profitable, high-growth business is a long-term investment theme. Corporate initiatives are beginning to address the needs of India’s youth by tapping into the propensity of the middle class to spend more on education. In this report I have studied the E-learning industry in India, its size and growth potential. Since e-learning is at a very nascent stage in India, I have done a Market analysis for a virtual classroom coaching/ online tutoring service ‘Gurumantra’, by eAge Software Services. I have done a SWOT analysis for eAge and identified its major competitors.

v

I have shown the marketing mix for Gurumantra and also interpreted the various Environmental factors influencing e-learning. I have also conducted a survey on the consumer perception towards elearning to highlight the shift in consumer’s perspective from traditional to online learning. I concluded that there are significant opportunities to tap for an online tutoring service like ‘GURUMANTRA’, both in the Government schools and Private schools businesses.

LIST OF TABLES 1. Table

1.1………………………………………………………………… ……………….7

2. Table

4.1………………………………………………………………… ………………53

3. Table

4.2………………………………………………………………… ………………58

4. Table

4.3………………………………………………………………… ………………60

5. Table

4.4………………………………………………………………… ………………61

vi

6. Table

4.5………………………………………………………………… ………………62

7. Table

4.6………………………………………………………………… ………………64

8. Table

4.7………………………………………………………………… ………………66

9. Table

4.8………………………………………………………………… ………………68

10. Table

4.9………………………………………………………………… ………………70

11. Table

4.10……………………………………………………………… ………………..72

12. Table

4.11……………………………………………………………… ………………..74

vii

LIST OF CHARTS

1. Chart

1.1………………………………………………………… ………………6

2. Chart

4.1………………………………………………………… ………………48

3. Chart

4.2………………………………………………………… ………………49

4. Chart

4.3………………………………………………………… ………………58

5. Chart

4.4………………………………………………………… ………………60

6. Chart

4.5………………………………………………………… ………………61

7. Chart

4.6………………………………………………………… ………………62

viii

8. Chart

4.7………………………………………………………… ………………64

9. Chart

4.8………………………………………………………… ………………66

10. Chart

4.9………………………………………………………… ………………68

11. Chart

4.10……………………………………………………… ………………..70

12. Chart

4.11……………………………………………………… ………………..72

13. Chart

4.12……………………………………………………… ………………..74

ix

x

CHAPTER-1

INTRODUCTION

xi

1.1 Purpose of the Study

The purpose of the study is to get an overview of the Indian elearning industry, its growth trends, future prospects and opportunities available. The project is an extensive study of the marketing mix of an e-learning product known as Gurumantra: A virtual classroom coaching by eAge Software Services as well as on the consumer perception towards e-learning.

1.2 Research objective of Study

•

Primary Objective The primary objective of this research is to know the market potential of Gurumantra in the e-learning industry and to suggest a marketing mix for the product on the basis of the research

•

Secondary Objectives

•

Study of Online education market, both in India and globally

•

Evaluate the consumers’ perception towards e-learning

xii

•

To study the marketing strategies of the leading competitors in the Indian e\online education market.

1.3 Research Methodology

The research methodology is the framework or blueprint for conducting the research. It includes the following:

1.4.1 Research Design

The research design used by me for the research is Descriptive research. The main reason for the same is that information needed for the research is clearly defined. As a researcher, I had prior knowledge about the problem situation. Therefore my research was preplanned and structured.

1.4.2 Sources of Data Collection

For the purpose of data collection both the Primary and Secondary Sources have been employed. Primary Data Collection xiii

Different tools have been used to collect the Primary data, which are: 

Survey: A survey was conducted to know the consumer perception towards e-learning. A questionnaire has been designed to collect the primary data. Considering the purpose of this study, nature of the investigated population and time constraint, it was decided to use only closeended questions in the questionnaire. The questionnaire contains 11 questions and was structured for both teachers and students.



Interviewing: Employees of eAge were interviewed about the features of product ‘Gurumantra’, its pricing, delivery etc.



Observation Method: Traffic analysis on eAge portal.

Secondary Data Collection For secondary data collection Internet, research studies, newsgroups, magazines, journals, various reports, surveys, etc. have been studied. •

Quantitative - Education sector reports by CLSA and Angel Broking

•

Qualitative- Case studies and research papers on e-learning xiv

1.4.3 Sample Design

1.4.3.1.

Population

The sample population comprises of respondents from schools, colleges and corporate who use some form of e-learning tools. All respondents were above 18 years age group.

1.4.3.2.

Sample Size The sample size was 100 respondents.

1.4.3.3.

Sampling Method The sampling method used was Judgmental Sampling. The main reason for using Judgmental sampling was that the sample chosen was representative of the population and was most likely to give accurate results since the elements were chosen on the judgment of researcher.

1.4.4 Duration of Research

Duration of the summer training research project was 6 weeks which is bifurcated in different phases as under: xv

 Phase – I (15th June’10 to 23rd June’10) –

Understood about the education industry, the company – eAge software services, its competitors and also performed SWOT analysis.

 Phase – II ( 24th June’10 to 30th June’10) –

Decided project objectives – primary and secondary- on the basis of the area of interest and planned and designed the research methodology for the same.

 Phase – III (1st July’10 to 20-th July’10) – Visited

various colleges and institutes to conduct the survey and gather information.

 Phase – IV (21st July’10 to 30th July’10) -

Analyzed the information gathered.

1.4.5 Limitations

For Primary Data: 1. Comprehension potential of the respondents is a

major issue. xvi

2.

Time constraints may have led to biasness by the respondent.

3.

Respondent may not have provided with completely accurate information.

For Secondary Data: 1.

May not be very accurate.

2.

May have been collected for some other

purpose.

xvii

CHAPTER-2

REVIEW OF LITERATURE

xviii

Review of Literature

The biggest asset of any country is its people. India has a population if 108cr, the second-largest in the world. However, India's literacy rate is just 61% and it ranks a disappointing 172nd in the world on this front. Thus, there is a short supply of educated manpower in India. Organised private initiatives are gaining momentum in India’s lucrative education market. The total education market is worth US$40bn, with the estimation of Kindergarten to Grade 12 (K-12) segment at US$20bn, private professional colleges at US$7bn and tutoring at US$5bn. Other meaningful and fast-growing areas include vocational training at US$1.4bn, test preparation at US$1.7bn and preschools at US$1bn. The combined market capitalisation of listed education companies in India is only about US$2.6bn, on 2008 revenue of US$450m. A large part of a student’s time is spent at post-school mentoring institutions, as large class sizes in private schools hamper teachers from giving individual attention to students. This consumes a lot of time, effort and money. Companies like Educomp, Transwebtutors and Everonn have introduced innovative products to get a slice of this market. These products enjoy a distinct advantage over the current ones on account of being available 24/7 and the student not being required to travel to the location where the classes are held.

xix

The experience of younger learners with television, video games and computers, with a corresponding reduction in the amount of time spent reading, means that they actually think differently. The technology of e-learning, because it resembles the media familiar to younger learners, demands that they get actively involved in the learning experience. The resulting shift is a change from receptive learning to active learning. The pressure of networked digital communications technology to move learning from passive or receptive modes of learning to active inquiring modes of learning is in opposition to the tendency of formal schooling to convert “dynamic knowledge into static information”. Schooling is often about learning “facts” and not about learning about “life” or integrating all of one’s experiences into an illuminating and generative world view. Generally, interactivity in e-learning consists of turning pages through clicking on hyperlinks. True interactivity is based on feedback loops, whereby the action of one participant, the learner, results in an action by the other participant, the computer, in a back-and-forth exchange. With feedback, learners reflect on what is happened by seeing the results of their actions or decisions. We also learn by being challenged or questioned on our decisions.

xx

CHAPTER-3

INDUSTRY AND COMPANY PROFILE

xxi

3.1Industry Profile

•

Educating India's population - A humungous task

India has the largest student population in the world with over 13.5cr pupils in primary education followed by China at over 12.1cr pupils at this level. India has the second-largest population in the world of over 110cr people (1.1bn), with a literacy rate of 61% and ranks a disappointing 172nd on this front. Educating such a large population is not only an expensive task but also a very difficult one. This task is being handled primarily by the government through its school infrastructure and large Budgetary outlays. In the last five years, the government has been focusing on the Education Sector through increased fund allocations. In the current year also, the government has increased the allocation by 20% from Rs28,674cr to Rs34,400cr. This amount would be spent under various schemes like the Sarva Shiksha Abhiyan (SSA), the Mid-day meal scheme, Kasturba Gandhi Balika Vidyalaya and teacher's education. The allocation for SSA is Rs13,100cr, the Mid-day meal scheme would be provided Rs8,000cr and Rs4,554cr would be allocated to secondary education. In the current Five-Year Plan period, the focus of SSA would shift from access and infrastructure to enhancing retention and improving the quality of learning. (Source: Statistics from Nationmaster and Union Budget 2008-09)

xxii

•

E-learning Industry-Worldwide

The world market for e-learning is expected to exceed $52.6 billion by 2010, according to a new report by Global Industry Analysts. Rapid changes in training and the workforce means that information and communication technologies will increase their role dramatically in terms of teaching and learning, while pressures to stay competitive drive companies to increasingly focus on the latest technologies, including e-learning E-learning has emerged as the second most popular method for organizational teaching, in terms of hours spent, and is quickly increasing in use among primary, secondary and higher education centers. The choice of learning systems is growing, but broader choice from a greater number of offerings and content, service, and technology providers have produced obstacles to interoperability, according to Global Industry Analysts. The United States is the largest e-learning market globally and revenues here are expected to surpass $17.5 billion in 2007,

xxiii

according to the report. Europe and Japan offer prospects for growth, but they lag behind because of smaller markets. Globalization could drive faster adoption in Asian market, which experts predict will register an average annual growth rate ranging between 25% and 30% through 2010. The overall e-learning market at the global and regional levels is expected to grow at rates ranging between 15% and 30%. The US retains its dominance in the corporate eLearning market with a share of over 60%. Europe is the second largest market with a share of less than 15%.

xxiv

•

Indian E-learning industry

Till last decade, India was known as the rich country of poor peoples. But, this Indian image has now been changed due to emergence of Information Technology in India. Though, India is one of the giant in IT industry, this technology has not reached to the common people effectively. We have not changed our mind to use Information Technology as the learning media. Several organizations are trying to introduce Information Technology in learning. But, this process is not that much fast. Engineering education institutes, boards and councils has taken initiative to learn via process of E – Learning. Due to the growing population of India, there is a vast scope for E – Learning methodologies. They can be implemented effectively. New businesses are emerging within e-learning, tutoring and teacher training. E-learning has focused on augmenting classroom study with revision modules on the Internet (for K-12). Some portals such as Studyplaces.com and Pragati Infosoft are functioning as information exchanges for Indian education. 100percentile.com provides online examinations and analysis, while mathguru.com has solved questions on the CBSE Mathematics curriculum. The e-learning market in India is by our estimates worth about US$15m each for retail and corporate. We see e-learning as a suitable force multiplier in a package of educational products, while the segment as a whole will take some years to emerge in scale.

xxv

E-learning’s growth is linked to broadband penetration. By end2007, India had about 3mn broadband subscribers, and was adding 0.25mn per quarter. At this rate, the Indian market would become scalable for e-learning only after at least three-to-five years, when the user base reaches 8-10mn. As of now, e-learning models are likely to target the upper-most segment of India’s student population. Is this meaningful? Recall that: •

90mn children study in India’s private schools.

•

18mn study in private schools with monthly fee above Rs1,250.

•

Assuming only those above Grade 6 use e-learning in any meaningful way, the broader market is about 9mn students.

•

A 10% penetration into this segment would yield 900,000 e-learning subscribers. If each of these pay Rs15,000 annually for e-learning, the market can grow to US$300-350mn at the upper end.

•

We are assuming the e-learning for the retail segment grows to less than half this number, or about US$150mn, by 2012. This corresponds to a 5% penetration in the Grade 6 and above, or about 500,000 students. This implies the largest company’s revenue in e-learning, five years out, would be limited to US$30-50mn, depending on levels of consolidation.

Clearly, e-learning is interesting, but very much a market of the future. It seems that India is moving from Gurukul to Macaulay’s education system to the world of E – Learning.

xxvi

•

Size of Indian E-learning Industry and Growth Potential

The current Indian e-learning industry landscape looks something like this – •

Indian e-learning industry employs about 11,000 people and total revenue is estimated at $316 million

•

Domestic e-learning industry is about 10% of the total industry size and stands at around $30 million

•

Indian e-learning industry had been experiencing a healthy CAGR of approximately 30% over last 5 years.

To estimate growth potential and growth rates the following questions are considered – •

What is the current maturity level of Indian e-learning industry?

•

What is the global e-learning market size, and what’s India’s share in the same?

•

What are the growth opportunities in Indian market?

•

How does e-learning industry numbers compare with more established ‘Software & Related Services’ industry numbers?

To get answer to our first question, we looked at size of different e-learning organizations. Findings are summarized in the chart below -

xxvii

Chart 1.1

We now have over 30 organizations with 100+ employees, and there is also a significant activity happening at entry level. We thus have the foundation laid, but as we will see from numbers below, there is lot of work that needs to be done – we quickly need to move up the value chain, and we need to further strengthen the talent base to capitalize the potential. Let’s also look at a comparison between e-learning and ‘Software & Related Services’ industry segments that can help to estimate growth possibilities –

Table 1.1

Since all the factors that have worked in favour of ‘Software & Related Services’ industry (abundant talent, cost arbitrage, process maturity, adherence to standards, government support, and growing domestic market) are in place or are getting in place xxviii

for e-learning industry as well. In next decade or so, Indian elearning industry would carve out similar presence in global market as achieved by ‘Software and Related Services’ sector. Based on above comparison table and analysis of industry trends, the following would happen over next 4-5 years – 1. Organizations that have achieved certain scale would go

in for more and more direct presence in geographies which are big e-learning consumers. These organizations can be expected to grow at CAGR of 30 – 40% or more. 2. On domestic front, India is increasingly getting close to

the tipping point and it will experience aggressive growth for coming few years. 3. Now that Indian corporate sector has realized benefits of

e-learning, it can be expected to grow at 80-100% on yearly basis for next 5 years. 4. With renewed thrust on education and skill development

by Government of India and role of technology being imperative in realizing the goals being set, there are endless opportunities that are opening up in this sector. The scope is so wide that one would not even hazard a guess on what can be the growth percentages over here.

xxix

3.2

•

Company Profile

About eAge eAge Software Services is a technology start up and our mission is to develop online solutions in education and virtual meeting space, using advance technology of global standards. With presence in India and Singapore, eAge owns and supports the complete customer cycle, from conceptualization to implementation.

•

Vision of the Company To be the best-in-class portal to serve knowledge, infotainment and professional needs of GenX and to be a provider of technology solutions and services to address the training and development needs of existing education providers and corporates.

•

Business Model

xxx

eAge products, like all e-services, will be available on subscription to users. For companies using eAge platform for delivery of their own services to their clients, eAge offers product R&D services, on a turnkey basis, revenue-share and/or IP share basis.

•

Products eAge has a range of ready and under development products, including Gurumantra – a virtual classroom coaching that provides any time – anywhere post-class mentoring, as per user requirement. It facilitates a collaborative learning environment in a cost efficient manner and also provides a unique blend of mix & match of study groups and 1:1 student time with coaches and teachers. Question banks, practice papers and expert advice for parents and students are just some of the services available in this feature rich product.

•

Services eAge offers services in virtual training space for educational institutions and corporates. This includes content digitization, automation of school management processes and delivery of education to remote locations. eAge will create services and facilitate existing service providers in creating new revenue opportunities.

xxxi

•

Corporate Information eAge Founder Chander K. Madan – CEO and founder of eAge, he has over 23 years’ experience in General Management, Finance, Business and Operations, in reputed US and Indian organizations such as Hewlett-Packard and NIIT. In his last assignment at HP, as Vice President and General Manager for Commercial Systems unit, he built, managed and led significant Business Units for the Personal Systems Group in Asia Pacific and Japan. In this role, he was responsible for the overall business performance of the HP Business PC, workstations and remote client solutions product lines. He was instrumental in driving new business models like remote client solutions and thin clients in the Asia Pacific region. Prior to this, Chander served as VP Finance for Personal Systems group – Asia Pacific and Japan for 5 years. As VP finance, he was instrumental in helping to turn around the PSG business at the time of merger to record profit levels and growth well above market average. He also helped drive the emerging market growth plans of China/India from inception to reality. In the finance function he used the combination of functional knowledge with passion for IT to improve productivity andcost of operation. Before that, Chander served as the Financial Controller of HP's Imaging and Printing Systems' Asia-Pacific Operations. Chander joined HP in 1990. During his initial years with HP, he held various positions with the finance team in HP India xxxii

and was instrumental in setting up India-based finance team. He moved to Hong Kong in 1996 and supported regional finance activities for the medical business for an additional two years Chander holds a Bachelor of Commerce (Hons) from Delhi University and a CFA Charter from the Institute of Chartered Financial Analyst of India.

xxxiii

3.3SWOT Analysis

•

Strengths

 eAge is amongst the first Indian companies to build esolutions for the dissemination of coaching and tuition on the net. Its strength lies in our understanding of the ground realities and the gaps in this space.



‘Gurumantra’ is a student-centered customizable e-learning product. This form of blended learning provides a personalized and customized learning process that empowers the learner to take charge of the way they learn, with total control and flexibility

 Online tutoring is provided on a variety of subjects across all

kinds of curriculums.

 High-end technology is used for delivering e-learning content to students with proper monitoring and feedback.

•

Weaknesses  The company still has a very low presence in the e-learning market.

xxxiv



Little emphasis has been given to marketing of product ‘Gurumantra’.

 Advertising and promotional activities are not substantial.

•

Opportunities  E-learning industry is still at a nascent stage thereby there is a lot of growth potential  Rural markets can be tapped as secondary and higher education is quite insufficient in rural India.

 Research and development can be done to make the product ‘Gurumantra’ competitive in its existing market.

 A customized version of the product could be used for training and development in corporates.

•

Threats  Awareness about online tutoring is low in India. Parents still give preference to the traditional way of tutoring. xxxv

 Stiff competition from competitors like Educomp, NIIT, Tutorvista etc.

 Foreign players are also keen to exploit the untapped potential in this sector.

xxxvi

3.4Major Competitors

•

Educomp Solutions

Educomp Solutions, incorporated in 1994, has grown to become one of the largest technology-driven innovative education companies in India. With an employee base of over 3,000 professionals, Educomp currently serves approximately 6mn learners and educators across India, USA and Singapore. Educomp has 11 offices in India, 1 each in the US, Canada, Sri Lanka and Singapore. The company has a sales presence in over 57 locations. Educomp works closely with schools to implement innovative models to create and deliver content to enhance student learning experience. The company went public on January 13, 2006, with an Issue price of Rs125 per share and a total Issue size of 40lakh shares. Educomp is India's leading Kindergarten to class 12 (K-12) Education Company and has, over the years, pioneered various initiatives in the e-education space. Notable among them are the 'teacher-led'

content

system

called

SmartClass

that

has

dramatically improved learning effectiveness in classrooms, development of India's largest K-12 content library, with over 15,000 modules of rich 3D content that is aligned to Indian as well as international learning standards, India's first structured pre-school learning system, Roots 2 Wings, online learning initiatives like mathguru.com and pioneering Education Process

xxxvii

Outsourcing in India through the Learning Hour platform, which has emerged as a benchmark for many similar initiatives. Educomp has a track record of implementing large-scale PublicPrivate-Partnership (PPP) projects. The company works closely with various State and Central Government agencies, the IT and HRD Ministries and the governments of other countries. These educational programs also involve across-the-board education infrastructure implementation, teacher training and content development projects. The current client base of PPP projects is over 6,000 schools including large projects from the governments of Assam, Chattisgarh, Orissa, Karnataka, Uttar Pradesh, Tripura, Gujarat, and West Bengal. Educomp today works with over 7,000 schools across India, the US and Singapore. In the US, the company's presence is via its fully owned subsidiary, Edumatics Corporation, based in Ventura, California.

xxxviii

•

Everonn Systems

Everonn, incorporated in 1987, is one of the pioneers in computer education at schools and colleges, and has partnered various state governments to bridge the 'digital divide'. The company has set up Virtual and Interactive Learning classroom networks across India, delivering quality and affordable education. Everonn is a fully integrated Knowledge Management, Education and Training Company offering a range of services, including: •

Creating educational and training content that is globally relevant,

•

Designing and executing large learning initiatives, and

•

Setting up the needed infrastructure for learning and training.

Everonn develops integrated content for the Indian and global audience for schools, colleges, corporate and retail segments. It sets up the Computer Lab infrastructure in schools and colleges, and IT Education is imparted through well-trained Everonn faculty. Everonn has experience in bringing management programs from premier institutions like the IIMs, XLRI, IIT, LIBA, MICS and MAHE to working professionals and students all over the country through its well-developed and unique platform that uses V-SAT technology.

xxxix

In FY2007, the company accessed the capital markets with an IPO of Rs50cr.

•

NIIT Limited

NIIT Limited is India’s largest IT training company and has the largest network of centres (own and franchisee) across the country. The company provides IT education and training to students and professionals. Its training programmes cover the entire spectrum of learners, from youngsters learning computers for the first time, to students looking at pursuing IT as a career option to professionals looking to upgrade their IT skills to keep pace with the demands of a highly competitive working environment. NIIT’s business segments are fairly diverse and can be divided as follows: •

Individual Learning Solutions (ILS) – NIIT is the market leader in the Indian Retail IT training market, recording Net Revenues of Rs247cr in FY2007. This business is segregated into two parts – ‘Careers’ and ‘Non-careers’. In the ‘Careers’ segment, NIIT delivers IT training to graduates and under-graduates who are looking xl

to make a career in IT. Its flagship program, GNIIT, enables students to get up-to-date on the latest technologies and skill sets in the industry. In the ‘Non-careers’, or Re-skilling segment, NIIT trains professionals currently working in the industry and enables them to upgrade their skills to become more relevant in line with market requirements. The company trains over 5,00,000 learners each year, with an alumni base exceeding 3mn. At the end of 9MFY2008, NIIT’s ILS net revenues hit Rs234cr, clocking a strong yoy growth of 30%.

•

School Learning Solutions (SLS) - NIIT‘s SLS business segment caters to the computer education requirements of school children studying in government and private schools in India. There are 9,50,000 government schools and 50,000 private schools in the country catering to the education requirements of over 200mn students. Hence, the market size is fairly significant. In the government schools segment, through a tendering process the company bids for contracts and after securing a contract, it works with the concerned state governments towards setting up the infrastructure. NIIT also designs and develops the courseware and textbooks in many Indian languages. NIIT, at the end of 3QFY2008, was working with 3,828 government schools in its Government schools business. On the other hand, the estimated market size for private xli

schools is 50,000 schools. At the end of December 2007, NIIT served around 940 private schools. In 9MFY2008, SLS net revenues hit Rs63cr.

•

Corporate Learning Solutions (CLS) - NIIT provides content development, learning management solutions and training delivery services to its clients in its CLS business. The company has a strong focus on the US, which has further increased with the acquisition of Element-K, a leading provider of learning solutions in North America. Going ahead, spending on corporate training is expected to rise by around 7% per annum until 2010 as per IDC, with training outsourcing expected to grow by a considerably faster rate of nearly 25% per annum over the same period. In 9MFY2008, the CLS business clocked net revenues of Rs418cr, recording yoy growth of 43%, aided by

the

acquisition

of

Element-K.

This

contributed the maximum to NIIT’s net revenues.

xlii

business

•

Transwebtutors

TransWebTutors.com is the world leader with regard to online & collaborative learning processes and learning enhancement and educational

services

Founded by a group of ex-IITians (Indian Institute Of Technology), TransWebTutors.com has a team which is unparalleled and the best. It comprises academicians, professors, college teachers who have wide experience of teaching students, assessing them, authoring books and setting standards in schools and colleges across the world. Not only they form our core team but are actively involved in mentoring and counseling students all around the globe. In a couple of years we have evolved and devised the formula for successful online tutoring. This makes us unique and outstanding in performance. As soon as your ward starts working with us, you will feel that special touch and care which he needs from an educational institute and personalized attention that almost most educational institutes are negligent of. We encourage students to take responsibility for their own development. We concentrate on the child's overall development and growth rather than just spoon feeding the student for money. All our tutors are trained in our methodology and pattern of online tutoring which is to guide the student through the problems. We never believe in solving problems for them, rather we make them do the problems themselves. We make parents a part of this process and involve them simultaneously with the child. We provide recorded sessions to the parents so that they are informed of their wards progress. We provide you the option of xliii

changing a tutor if you are unhappy with his/her method of teaching. Our study methodology revolves around the initial assessment of the student's caliber, preparation of customized study plan, periodic tests and regular feedback regarding the progress to the parent. We at TransWebTutors.com understand that every student has a different requirement and we prepare our study plan keeping in mind the pace and the level at which the student will understand the most. All the E-Instructors working with TransWebTutors.com are highly qualified, experienced, trained and certified and understand the cultural knowledge, accent and course curriculum of different countries we cater to. All of them undergo a background check to make sure that all our students study in a volatile, safe and secure environment and that we deliver what we promise. Our methodology has helped the process of learning evolve a step further. We offer •

24X7 tutor availability

•

Well qualified, experienced and certified online tutors to handle all your tricky problems

•

Live one to one help through voice, text chat and virtual whiteboard

•

Skill assessment test and customization of course according to your need

•

K- 12 and college level help and exam preparation in Math, Physics, Chemistry, Biology, General Science

xliv

CHAPTER-4

CONCEPTUAL DISCUSSION

xlv

• What is E-learning?

Markus (2008) defines e-learning as follows: “E-learning is a learning process created by interaction with digitally delivered content, network-based services and tutoring support. This definition focuses on the revolutionary impact of network-enabled

technology.

Adding

more

details

on

methodology: e-learning is any technologically mediated learning using computers whether from a distance or in face to face classroom setting (computer assisted learning), it is a shift from traditional education or training to ICT-based personalized, flexible, individual, self-organized, collaborative learning based on a community of learners, teachers, facilitators, experts.”

Central in this definition are two aspects of e-learning: •

E-learning as computer assisted learning, and

•

E-learning

as

pedagogy

for

student-centered

and

collaborative learning. These aspects in fact summarize the development of e-learning in time. Early development in e-learning focused on computer assisted learning, where part or all of the learning content is delivered digitally. More recently the pedagogical dimension of e-learning has become prominent.

xlvi

•

Types of E-learning

E-learning is emerging as a solution for delivering online, hybrid, and synchronous learning regardless of physical location, time of day, or choice of digital reception/distribution device. E-learning programs are implemented in the following ways: •

The virtual classroom This model of e-learning continues to be the most familiar analogue for building e-learning programs. The intention of virtual classrooms is to extend the structure and services that accompany formal education programs from the campus or learning center to learners, wherever they are located. The virtual classroom is for learners who may be pursuing a distance education degree made up entirely of online lessons, and it may include campus-based courses, where students join in from a variety of on- and off-campus locations—in a realtime class session via the Internet.

•

Online learning

xlvii

This model of e-learning revolves around its dependence on courseware, delivered over the Internet to learners at a variety of locations where the primary interaction between the learner and the experiences of their learning occur via Networked Computer Technology.

•

Rapid e-learning This is a direct response to e-learning products that made it hard for nontechnical subject matter experts and learners to contribute and make use of multimedia learning content to the knowledge base.

•

Mobile learning

This type of learning builds on the availability of ubiquitous networks and portable digital devices, including laptop computers, PDAs, game consoles, MP3 players, and mobile phones, and it takes advantage of place-independent flexibility that comes from working away from the desktop. Mobile learning provides the opportunity to connect informal learning experiences that occur naturally throughout the day with formal learning experiences. Common tools for producing mobile learning content include Flash Professional, Flash Media Server, and Flash Lite.

xlviii

•

The Benefits and Drawbacks of e-Learning

The vast movement towards e-learning is clearly motivated by the many benefits it offers. However much e-learning is praised and innovated, computers will never completely eliminate human instructors and other forms of educational delivery. What is important is to know exactly what e-learning advantages exist and when these outweigh the limitations of the medium.

Features Unique to e-Learning Like no other training form, e-learning promises to provide a single experience that accommodates the three distinct learning styles of auditory learners, visual learners, and kinesthetic learners. Other unique opportunities created by the advent and development of e-learning are more efficient training of a globally dispersed audience; and reduced publishing and distribution costs as Web-based training becomes a standard.

xlix

E-learning also offers individualized instruction, which print media cannot provide, and instructor-led courses allow clumsily and at great cost. In conjunction with assessing needs, e-learning can target specific needs. And by using learning style tests, elearning can locate and target individual learning preferences. Additionally, synchronous e-learning is self-paced. Advanced learners are allowed to speed through or bypass instruction that is redundant while novices slow their own progress through content, eliminating frustration with themselves, their fellow learners, and the course. In these ways, e-learning is inclusive of a maximum number of participants with a maximum range of learning styles, preferences, and needs.

Advantages of e-Learning to the Trainer or Organization Some of the most outstanding advantages to the trainer or organization are: •

Reduced overall cost is the single most influential factor in adopting e-learning. The elimination of costs associated with instructor's salaries, meeting room rentals, and student travel, lodging, and meals are directly quantifiable. The reduction of time spent away from the job by employees may be the most positive offshoot.

•

Learning times reduced, an average of 40 to 60 percent, as found by Brandon Hall (Web-based Training Cookbook, 1997, p. 108).

l

•

Increased retention and application to the job averages an increase of 25 percent over traditional methods, according to an independent study by J.D. Fletcher (Multimedia Review, Spring 1991, pp.33-42).

•

Consistent delivery of content is possible with asynchronous, self-paced e-learning.

•

Expert knowledge is communicated, but more importantly captured, with good e-learning and knowledge management systems.

•

Proof of completion and certification, essential elements of training initiatives, can be automated.

Advantages to the Learner Along with the increased retention, reduced learning time, and other aforementioned benefits to students, particular advantages of e-learning include: •

On-demand availability enables students to complete training conveniently at off-hours or from home.

•

Self-pacing for slow or quick learners reduces stress and increases satisfaction.

•

Interactivity engages users, pushing them rather than pulling them through training.

•

Confidence that refresher or quick reference materials are available reduces burden of responsibility of mastery.

Disadvantages to the Trainer or Organization e-learning is not, however, the be all and end all to every training need. It does have limitations, among them: li

•

Up-front investment required of an e-learning solution is larger due to development costs. Budgets and cash flows will need to be negotiated.

•

Technology issues that play a factor include whether the existing technology infrastructure can accomplish the training goals, whether additional tech expenditures can be justified, and whether compatibility of all software and hardware can be achieved.

•

Inappropriate content for e-learning may exist according to some experts, though are limited in number. Even the acquisition of skills that involve complex physical/motor or emotional components (for example, juggling or mediation) can be augmented with e-learning.

•

Cultural acceptance is an issue in organizations where student demographics and psychographics may predispose them against using computers at all, let alone for e-learning.

Disadvantages to the Learner The ways in which e-learning may not excel over other training include: •

Technology issues of the learners are most commonly technophobia and unavailability of required technologies.

•

Portability of training has become a strength of e-learning with the proliferation of network linking points, notebook computers, PDAs, and mobile phones, but still does not rival that of printed workbooks or reference material.

•

Reduced social and cultural interaction can be a drawback. The

impersonality,

suppression lii

of

communication

mechanisms such as body language, and elimination of peerto-peer learning that are part of this potential disadvantage are lessening with advances in communications technologies. Do the Benefits Outweigh the Drawbacks? The pro's and con's of e-learning vary depending on program goals, target audience and organizational infrastructure and culture. But it is unarguable that e-learning is rapidly growing as form of training delivery and most are finding that the clear benefits to e-learning will guarantee it a role in their overall learning strategy.

liii

• E-learning Technology and the Infrastructure

The basis of e-learning is digital technology – computers and computer networks. The Internet allows one to reach out across town or

across continents to deliver e-learning courses.

Broadband computer networks allow vast quantities of data to be moved quickly and efficiently from computer to computer. Advances in computer software and hardware allow new and innovative approaches to teaching and learning. This can present problems as some parts of the globe do not have broadband Internet access and/or do not have dependable sources of electricity to run their computers. •

Internet When discussing e-learning technology, the Internet easily comes to mind. There is a trend among the Internet community to redesign the whole Internet system be one gigantic e-learning system. In most cases, the Internet offers the most efficient and cost effective method of conducting elearning. Beyond having the ability to interconnect computers is the need to have the interconnection in such a way that elearning can be effectively and efficiently managed. Special software for organizing e-learning (called platforms) can be used to manage e-learning. E-learning is, for the most part, dependent on the Internet. Broadband Internet access is necessary to use most e-learning liv

objects other than text documents. This can still be a problem in some parts of the world. E-learning is made simpler by the use of Learning Management Systems (LMS) which can create portals on the Internet through which students can easily find and access learning objects. These systems, often called e-learning platforms, are placed at the portals to allow instructors and administrators to organize and deliver educational courses.

•

Learning management systems E-learning platforms are software that organize and automate many of the activities associated with e-learning. These platforms can be organized in a variety of ways.E- learning platforms offer users a structure that can be easily adapted to multiple uses from augmentation of “brick and mortar” education to stand-alone training exercises. They allow easy organization of e-learning materials with relatively easy user interaction. Students may use them to work on group projects, take online quizzes and examinations, and turn in assignments (Markus, 2006). They can allow students to register for classes, pay for classes, and take classes all online. They can allow educators to present learning materials, monitor student activity and assess student learning (Australian Flexible Learning Community 2002). The platforms are commercially available (like WebCT, Blackboard) or Open Source (Moodle, etc.).

lv

Initially learning management systems were dominated by content, but over the last four to five years Web 2.0 features were added to facilitate communication and collaborative learning. Internet discussion boards and forums, chats, wikis and blogs are common collaborative learning tools integrated in the learning management systems. Discussion boards can be used both formally and informally in e-learning. Students are able to discuss their understanding of topics with other students and with instructors outside of the virtual classroom.

•

(Multi-media) software for course development There are literally thousands of software applications available for building and managing e-learning courses. Most of the conventional software applications used for learning and business, such as word processors, slide presentation software, video software and others can and have been adapted to create material for e-learning courses. A plethora of new software applications aimed directly at creating elearning courses and materials have also emerged. Companies like Adobe, Articulate, imc AG, Lectora, RapideL and SoftChalk, to name a few, make software specifically aimed at developing e-learning applications. The trend is towards open source and web-based learning. Online applications, such as Google Earth, that focus on geospatial information, are being designed for e-learning and are being incorporated into e-learning exercises.

lvi

•

Virtual libraries Repositories of digital information (virtual libraries) can be accessed to assist e-learning. Originally developed by converting brick and mortar library records to electronic form, they have expanded to include a vast array of digital information and data. Specialized virtual libraries contain electronic records specific to one or more related topics. FIG maintains a virtual library of papers presented at FIG workshops, annual working weeks and conferences. Virtual libraries are indexed databases of electronic educational materials. They are places where instructors, researchers and students go to find electronic publications on research, theory, history and other important aspects of a particular theme. In cases where the learning material is not in electronic form users may search and order or reserve copies of the materials. Most academic and national libraries have developed virtual capabilities where electronic copies library resources may be downloaded. Virtual libraries can contain digital copies of textbooks, audio, video, software, datasets and other resources that can be quickly accessed by people all over the world. Language will always be a barrier to some but virtual libraries are being developed in most of the World’s major languages. In addition to traditional libraries being put online in electronic format, new virtual libraries are being developed as repositories of learning and other materials. In the United States, as in many other countries, a national geospatial data lvii

clearing house has been established with links to various local, state and national geospatial data including survey, mapping, and GIS data. The sites are maintained primarily by government agencies and provide a wealth of geospatial information. These materials are being incorporated into many e-learning courses. Other new virtual libraries are being developed that are repositories of e-learning materials. Structure on the IEEE Learning Object model, they allow access to learning objects and learning object metadata. These libraries consist of elearning objects that can be accessed and reassembled to modify existing courses or to develop new courses. Access to virtual libraries may be free to all, free to subscribers or at some cost to subscribers. Subscribers may pay either a set periodic access fee or pay individually for each item they download. Good practices require that virtual libraries contain metadata of the learning materials available so that students and instructors can evaluate the usefulness of those materials for a particular need. The accessing the data need to know not only the content of the information and/or data but also any special data formatting or other characteristics that will allow them to evaluate whether they have the necessary software to take full advantage of the information and data. The role of the virtual library can not be underestimated in elearning in academic settings. Students can access the virtual library where and whenever they like; this is an advantage in traditional, blended and complete online courses. In particular lviii

e-learning courses focusing on participants from developing countries, access to online library resources is of vital importance and contributes highly to the success of these courses.

•

E-learning infrastructure The

learning

infrastructure

encompasses

the

culture,

processes, tools and other essences of learning. It is about creating learning environments that can develop tools and processes to improve teaching, lower costs, and provide greater access to learning. To fully realize the potential for elearning, students, educators and administrators must re-think the concepts of education. Students must become more selfreliant and self-motivated. Educators and administrators must become more innovative and flexible. As the Internet easily reaches across international boundaries, so does e-learning. E-learning has the ability to build capacity for developing nations with agreements with institutions in developed countries. Students in developing countries will be able to receive at least a part of their education while working or going to school within their home country. Alliances formed among e-learning software developers have the advantage of extending software use within the learning community. Few developers or vendors can offer more than a lix

few of the components needed to build a complex e-learning platform. Alliances allow vendors and developers to incorporate more and more capabilities into these systems.

•

End-to-end model for e-learning The end-to-end principle states that operations should occur at the end points of a system or as close to the end points as possible. In e-learning this concept would apply when knowledge is transferred from the instructor to the student. Students can access learning objects through a software platform that is located at a server site at the host University, agency or company. The nature of the end-to-end model for elearning is such that the instructor and student are seeing the same material, organization of material and sequencing of material regardless of the distance between the two or the computers that they are using. To achieve and end-to-end business process, e-learning must be scalable, adaptable, agile and must establish a brand. A service-oriented, business driven approach is needed. The focus should be on user needs. Educational organizations must learn to build ever more complex and flexible applications and products over time.

lx

• Current Trends in e-Learning Given that e-learning is here to stay, we need to examine some trends to help set the stage for 2004 and beyond. These trends help us to understand why and how eLearning will continue to become a driving force in business and industry, as well as in the arenas of education.

Trend Number 1: e-Learning as a Business Strategy Smart organisations know that e-learning is a strategic solution that must be deployed throughout their organisation. It is no longer a question of “if,” but “when.” e-learning is becoming and will continue to be a part of organisational infrastructure, similar to mail packages and other suites of products used to increase organisational productivity. Organisations deploying e-learning for one set of business reasons are finding it to be an integral part of their operating strategy. Deployments of enterprise-wide eLearning are used for increasing

sales

effectiveness,

improving

organisational

competency, and building richer customer relationships. Trend Number 2: Integrated e-Learning Suites The e-learning universe is large and diverse, consisting of three major categories: content, technology, and services. In many cases,

a

comprehensive

e-learning

solution

consists

of

components of each, integrated into eLearning "suites" aimed at

lxi

solving a particular business problem, such as sales or product training. Relative to content, think of the vertical areas where you would apply content, such as business skills, technical skills, soft skills, and specific areas related to various functions in your organisation. Also consider what format you can best deliver the information whether it is simulations, games, mentoring, or various other methods. In the area of technology, you need to think of your needs today and tomorrow for learning management, content management, knowledge

management,

content

distribution,

competency

management, collaboration, assessments, reporting, workflow and localisation. In the area of services you may need to think about change management,

customisation,

strategic

deployment,

project

management, and other areas related to the successful implementation and deployment of technology within your organisation. Trend Number 3: Blended Learning An emerging trend in eLearning involves blended learning programmes, designed to integrate eLearning with traditional training methods to increase overall effectiveness. No longer is one delivery method alone sufficient to handle enterprise-wide training needs. The construction of true blended learning programmes moves learning itself into a new age. Blended learning preserves the necessary consideration of how people learn, offers options for learning, improves learner lxii

retention, increases completion rates for learning programmes, and has been shown to produce measurable savings in learning offerings.

Trend Number 4: From Discrete to Integrated Learning If there is a trend towards blended learning, there is also a trend towards a seamless transition from one learning activity to another. Instead of point learning activities that stand alone, such as a physical classroom training session, or a Web-Based Training module, the trend is towards the integration of these activities or delivery mechanisms. Look for seamless transitions from live group activities to individual exercises, from self-paced learning activities to live and back again, from activities in smaller groups to activities in a larger learning community and back again. e-Learning makes this possible with great ease! Trend Number 5: The Disappearing LMS A few years ago organisations looked to Learning Management Systems (LMS) to solve their business problems. The LMS strategy was a reasonable one, but one that involved a corporate commitment in time, cost, resources, and energy that few organisations could afford or be successful at. Learning Management Systems were said to be able to "do it all" for the internal workings of an organisation. The fact is that no one product can do it all, and it is not reasonable to assume one would be able to do so. True knowledge delivery solutions need to work internally as well as internally. They need to connect suppliers, lxiii

business units within your organisation, and customers external to your organisation. They need to work in a world that joins your suppliers, your internal organisation and your customers in such a way that the knowledge and information needed by everyone in your supply chain is there for them when they need it. The LMS is only part of any solution. The trend is to look at the bigger picture of knowledge delivery solutions that address enterprisewide learning needs from the inside out.

In summary … These 5 trends in e-learning are intended to provide you with a framework to consider the e-learning needs of your organisation. In the months and years to come, smart organisations will bring together executive decision makers from all corners of their company to understand the corporate needs for e-learning and make purchase and buying decisions based on an understanding of today's business needs and tomorrow's requirements for growth and evolution. Finally, think about how your organisation will handle the change. Clearly, how your organisation will accept the new paradigm of eLearning is key. Make sure you work with suppliers who do more than just "drop the box at your door." Only work with vendors who speak to you up front about the changes your organisation may experience with e-learning and how it can be managed. Remember, if your employees don't know what to do with it, or can't or won't use it, even the best product, technology, or service won't provide the returns you are looking for.

lxiv

CHAPTER-5

ANALYSIS & INTERPRETATION

lxv

• Environmental Analysis (PEST Analysis) • Political From the use of satellite in the early 1970s to the present interest in a dedicated satellite for education (EDUSAT), India has considered education as a primary force for development of the nation. The Union Budget 2010-11 announced a major allocation increment of 16 per cent for school education from Rs 26,800 crore in 2009-10 to Rs 31,036 crore in 2010-11. This accounts for an increase of Rs 4,236 crore from the 2009-10 fiscal. In addition, states will have access to Rs 3,675 crore for elementary education under the 13th Finance Commission grant for 2010-11.

E-Learning Developments The real impetus for e-learning came from the National Task Force on Information Technology and Software Development constituted by the Prime Minister of India in 1998. The Task Force report presents the master plan that India has in place as a long term policy for capacity building of institutions, human resource development in IT related areas, and use of ICTs in education. The Indira Gandhi National Open University (IGNOU) responded to the recommendations of the Task Force with its Virtual Campus Initiatives (VCI) in 1999. Since then a number of such initiatives are in operation in the country. The lxvi

number here is not that important; what is important is the number of institutions that are considering the idea of going online or are being chased by private agencies/technology providers to start online operations.

• Economic

The Gross Domestic Product (GDP) in India expanded at an annual rate of 8.80 percent in the last reported quarter. From 2004 until 2010, India's average quarterly GDP Growth was 8.37 percent reaching an historical high of 10.10 percent in September of 2006 and a record low of 5.50 percent in December of 2004. India's diverse economy

encompasses

traditional

village

farming,

modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Services are the major source of economic growth, accounting for more than half of India's output with less than one third of its labor force. The economy has posted an average growth rate of more than 7% in the decade since 1997, reducing poverty by about 10 percentage points.

lxvii

Chart 4.1

Beneath the good growth numbers, lies a harsh and potentially lethal truth – the dismal condition of the country’s education system. Even as young Indians today are enjoying prosperity of an unprecedented magnitude, leading to increased consumerism, buying everything from FMCG products, consumer durables, cars, mobile services to financial services, it is the sustainability of this prosperity for future generations that is under a cloud. A strong grassroots-level educational infrastructure, which helps in the creation of a well-rounded human resource base, is important to sustain strong GDP growth rates going ahead. A resilient education system would facilitate a steady supply of high quality personnel who would join the workforce in future years. Thus, the educational system acts as the creator of a strong pipeline of talent, enabling sustainable and inclusive economic growth.

• Social

lxviii

India’s middle class households continue to spend a large part of its income to fund the education (with an eye on quality) of its children. Chart 4.2

Though virtual or online tutoring is still new in the Indian society, it is slowly making its way in replacing traditional way of private tutoring. With both the male and female counterparts following a corporate work life in metros such as Delhi, Bangalore and Mumbai, parents have slowly begin to realize the benefits of online tutoring where they can monitor the child’s progress while sitting at a PC in their office.

• Technological

lxix

The story of the phenomenal growth of India's Mobile Telecommunications Sector is well-known. However, in complete contrast to the Mobile Telephony Sector is the Broadband Sector. The growth of broadband internet access connections (access speeds in excess of 256kbps) has been pathetic, to say the least. The total number of broadband subscribers at the end of July 2010 stood at a mere 9.77mn, implying a broadband penetration of a miserable and pitiable 0.74% in spite of 104 telecom service providers providing broadband services. This poor growth has been on account of a number of reasons including the slow growth of personal computers (PCs) in the country leading to low PC penetration, greater affordability issues as compared with mobile phones and the reluctance of state-owned telcos to un bundle their last-mile access infrastructure and share it with private telcos. E-learning is heavily dependent on reliable high-speed Internet coverage. As a pre-requisite to expansion of online education services, it is essential that various parts of the country be connected with high speed Internet. As more and more cities in India are coming within the ambit of high speed cyber-network, the concept of eeducation, especially at higher levels should be viewed seriously. Most Indian Universities make little use of the Internet in improving administrative efficiency.

lxx

•

7P’s of ‘Gurumantra’ • Product

Gurumantra is online or eLearning which does not require a physical classroom attendance. Through the Internet, online tuitions are delivered to the user personally and effectively. Gurumantra is dedicated in helping our students excel in their subjects by providing tutorial classes at a convenient and best place the Home. Gurumantra has ignited the education revolution, making education easily accessible anytime, anywhere, thereby providing a flexible learner support tool. This form of blended learning provides a personalized and customized learning process that empowers the learner to take charge of the way they learn, with total control and flexibility. Gurumantra is a one stop service for online coaching on a variety of subjects across all kinds of curriculums.

Key Features of Gurumantra •

Gurumantra Platform enables an advanced learning process through latest and simple to use technology.

•

Accessible Any Time, Anywhere-As required, it's a Virtual Class room on your desktop.

•

No Time constraints, accessible across all time zones

lxxi

•

No Location constraints, accessible across all cities.

•

Cost effective and affordable.

•

Choice of group or individual sessions

•

Access to a varied pool of best experienced teachers.

•

Option for the Parents to monitor and observe the online sessions from any location.

•

Online tutorials are recorded for future reference

•

Option to re-play it as and when required

lxxii

• Price

Classes Offered and Fee Structure Here is a summary of the classes that are available and the fee structure. Table 4.1

Subject

VI

VII

VIII

IX

X

XI

XII

Accountancy

-

-

-

-

-

250

250

Biology

-

-

-

200

225

250

250

Biotechnolog y

-

-

-

-

-

250

250

Business Studies

-

-

-

-

-

250

250

Chemistry

-

-

-

200

225

250

250

Computer Science

-

200

200

200

225

250

250

Economics

-

-

-

200

225

250

250

English

200

200

200

200

225

-

-

English Elective

-

-

-

-

-

250

250

English Core

-

-

-

-

-

250

250

350

350

350

350

400

450

500

-

-

-

-

-

250

250

French Functional English

lxxiii

Hindi

200

200

200

200

225

250

250

-

200

200

200

225

250

250

200

200

200

200

225

250

250

Physics

-

-

-

200

225

250

250

Sanskrit

-

200

200

200

225

250

250

Science

200

200

200

-

-

-

-

Social Science

200

200

200

225

-

-

-

Tamil

200

200

200

200

225

250

250

History Mathematics

As the above table indicates, an hour of online tutoring for any subject and any class ranges between Rs.200 to Rs.250. Pricing strategy adopted by E-Age Software Services is competitive keeping in mind the prices offered by other players in the market.

lxxiv

• Place (Distribution Channel)

 Type

of Distribution: Since the product ‘Gurumantra’ is Accessible Any Time, Anywhere-As required, an intensive distribution is done and the product can be made available to anyone who has a PC and Internet connectivity. This includes people from:



Rural areas



Metropolitan cities



New and upcoming urban areas

 Channel

Intermediaries: eAge is the only intermediary involved in the distribution channel. eAge facilitates the online tutoring session by providing a Java platform to both the tutor as well as the learner. Following diagram illustrates the same.

Online Tutor

lxxv

Online Learner

• Promotion

Various promotional tools used by eAge include:

 Advertising – eAge advertises in all leading

newspapers such as The Times of India, Hindustan Times, Dainik Jagran, Apna Akhbaar, Rashtriya Swaroop, Amar Ujala, Rahat Times, Janshakti Samachar etc.

 Sales Promotion- Various sales promotion

techniques used by eAge are:



eAge offers attractive summer packages to the students.



eAge offers 1 Month Free Online Tuition to the students.



eAge sets up kiosks in schools during various functions where kids can interact and have fun by playing games and winning eAge freebies.

lxxvi

 Personal Selling- eAge representatives travel to

various schools in different cities across India to give presentations and demo about the product ‘Gurumantra’.

 Direct marketing- eAge online portal

www.eageyouth.com caters to all people who wish to know and purchase the product. Online payment facility is also available on the portal.

lxxvii

• People

Since the online tutor is the most important and critical to the success of ‘Gurumantra’, he/she is assessed through aptitude tests (technical and non-technical), behavioral tests and several rounds of interviews conducted by the top management of eAge. This ensures that eAge provides the highest quality of service to the e-learner.

• Process

The process of delivery of ‘Gurumantra’ has been kept simple keeping in mind that the target audience is between 10-17 years age group. The process can be described as: 1. The

user needs www.eageyouth.com

to

go

the

website

2. The user needs to login with his/her username and password. 3. The user needs to select the subject he/she wants to study. 4. Java technology on the background does the rest by providing an interactive session between the online tutor available and the user.

• Physical Evidence

lxxviii

eAge also ensures that the service being offered to the customer (the student) is the best. Several facilities are available to the student such recording of sessions, no time constraints, choice of group sessions etc.

•

Analysis of the Survey on “Consumer Perception Towards E-learning” 1. Respondent’s Age Table 4.2

Respondent's age 18-27 years 27-38 years 38-47 years over 47 years

lxxix

Number 76 9 13 2

Chart 2.3

Inference: This can be depicted/ understood/ observed/ seen/ from the pie-chart above that: •

76% people of the total population studied is of the age group 18-27years.

•

9% people of the total population studied is of the age group 28-37 years.

•

13% people of the total population studied is of the age group 38-47 years.

•

7% people of the total population studied is of the age group 47 years and above.

Findings: •

As main emphasis of the survey was on students, most no. of respondents is of the age group 18-27 years.

lxxx

•

The rest included teachers and students from Bschools and institutes who are using e-learning.

lxxxi

2. PC’s Ownership Table 4.3

PC Ownership Yes No

Number 95 5

Chart 4.4

Inference: This can be understood from the pie-chart above that: •

95% people of the total population studied have a personal computer in form of either desktops or laptops.

•

5% people of the total population studied did not have a personal computer. lxxxii

Findings: Since computer has become a basic necessity in urban and metropolitan areas, PC ownership is high. Almost every family has at least has a PC nowadays.

3. Situation of Internet access

Table 4.4

Access to Internet Yes No

Number 98 2

Chart 4.5

Inference: It can be studies from the pie chart above that: •

98% of the total population studied has an access to internet on their personal computers.

lxxxiii

•

2% of the total population studies did not have an internet connection.

Individual's Level of computer skills Low Medium High

Number 16 45 39

Findings: Most of the people have access to Internet from home that makes it easy for them to study, work and collaborate.

4. Individual’s level of computer skills

Table 4.5

lxxxiv

Chart 4.6

Inference:

It can be studies from the pie chart above that: •

80% of the total population studied has strong knowledge about computer skills.

•

62% of the total population studied has medium knowledge about computer skills.

•

4% of the total population studied has no or very little knowledge about computer skills.

Findings: Mostly respondents are well equipped with the knowledge about usage of computer and internet but very few are there who possess little of knowledge about the same.

lxxxv

5. Average time spent weekly over the Internet Average time spent weekly on Internet 0-5h 5-10h 10-15h 15-20h More than 20h

Number 7 14 42 27 10 Tab

le 4.6

Chart 4.7

Inference: lxxxvi

It can be studies from the pie chart above that: •

7% of the total population spends up to 5hrs. on internet weekly.

•

14 of the total population spend 5-10hrs. on internet weekly.

•

42% of the total population spends 10-15hrs. on internet weekly.

•

27% of the total population spends 10-15hrs on internet weekly.

•

10% of the total population spends more than 20hrs on internet weekly.

Findings: Average Internet usage by a respondent is 2-3h a day. This indicates an individual spends a considerable amount of time on the Internet for various purposes (checking e-mails, social networking, blogging etc.). This is a good indicator for growth prospects of elearning.

lxxxvii

6. Type of E-learning tools used Table 4.7

Type of E-learning tools used Instant messaging Training Video Conferencing Blogs Off-the shelf courseware/libraries Virtual classrooms/Online tutoring Online media sharing Social Networking Podcasting and webcasting Other Chart 4.8

Inference: It can be studies from the pie chart above that:

lxxxviii

Number 92% 35% 40% 21% 27% 23% 42% 96% 5% 15%

•

92% of the total population studied prefers studying through instant messaging.

•

96% of the population studied prefers studying though social networking for studying.

•

42% of the total population studied prefers online media sharing for studying.

•

40% of the total population studied prefers video conferencing for studying.

•

35% of the total population studied prefers training for studying.

Findings:

E-learning tools are being mostly used for instant messaging and social networking. Corporates are using elearning tools for training and video conferencing. Only a small section of people use e-learning tools for online tutoring or virtual classroom coaching. This indicates that online tutoring are good growth prospects in the area.

lxxxix

7. Perception about link between IT and education

Table 4.8

Perception about link between IT and education Strong Moderate Weak

Chart 4.9

Inference: xc

Number 67 18 15

It can be studies from the pie chart above that: •

67% of the total population studied feels that e learning is a very useful tool and can help in day to day activities.

•

18% of the total population studied feels that e learning is still a developing tool in the education sector.

•

15% of the total population studied feels that e learning is of no use to them.

Findings:

Perception about e learning varies from people to people. Many felt that e learning was a useful tool for gaining knowledge when utilized properly where as others felt that it still needs to be developed in comparison to the traditional education system.

xci

8. Preferences regarding teaching method

T able 4.9

Preferences regarding teaching method Combined Traditional learning Online learning

Chart 4.10

xcii

Number 55 16 29

Inference: It can be studies from the pie chart above that: •

55% of the total population studied feels that combined learning method is more effective and preferable.

•

29% of the total population studied feels that online learning is better option for them.

•

16% of the total population studied feels that traditional learning is better.

Findings:

Perception about e learning varies from people to people. Many felt that having combined learning is more useful. Though most of the respondents are still used to the traditional form of tutoring, but the perspective is slowly shifting towards online learning.

xciii

9. Perception about online tutoring platform

Table 4.10

Perception about online tutoring platform Easy and accessible Hard, but can be managed Not understandable

Chart 4.11

Inference: It can be studies from the pie chart above that: xciv

Number 74 22 4

•

74% of the total population studied could easily access and take advantage of e learning platform.

•

22% of the total population studied found it hard but still managed to access the platform.

•

4% of the total population studied could not understand what they were to do and hence could not access it at all.

Findings: E learning platform is easily accessible if one knows how to go about working on it. Most of the respondents could easily work on it while very less no. of respondents found it difficult to access. This indicates that e-learning platform should be simple enough so that it can be used by all.

xcv

10. Problems in using e-learning

Table 4.11

Problems in using e-learning Don't have a prompt feedback Can't download the material Too many steps Difficult to find the required information Problems with connection

xcvi

Number 40 25 56 55 65

Chart 4.12

Inference: It can be studies from the pie chart above that: •

56% of the total population studied found the platform too time consuming with too many steps.

•

40% of the total population studied found the platform time consuming as it did not give them a prompt feedback to their query.

•

27% of the total population studied was unable to download the study material.

•

55% of the total population studied had difficulty in finding the required data.

•

65% of the total population studied had hardware or software problems.

Findings: xcvii

E-learning is still facing infrastructure problems. Elearning requires high speed Internet connection for facilitating a session. Not everyone has a high-speed Internet connection. Accessibility to platform is another major concern. Some people also feel that it involves too many complicated steps.

xcviii

CHAPTER-6

FINDINGS

xcix

FINDINGS The main findings of this research study are:

1. Since computer has become a basic necessity in urban and metropolitan areas, PC ownership is high. Almost every family has at least has a PC nowadays. Also, most of the people have access to Internet from home that makes it easy for them to study, work and collaborate. This is positive for facilitating e-learning.

2. Mostly respondents are well equipped with the knowledge about usage of computer and internet but very few are there who possess little of knowledge about the same.

3. Average Internet usage by a respondent is 2-3h a day. This indicates an individual spends a considerable amount of time on the Internet for various purposes (checking e-mails, social networking, blogging etc.). This is a good indicator for growth prospects of e-learning.

4. E-learning tools are being mostly used for instant messaging and social networking. Corporates are using e-learning tools for training and video conferencing. Only a small section of people c

use e-learning tools for online tutoring or virtual classroom coaching. This indicates that online tutoring are good growth prospects in the area.

5. Perception about e learning varies from people to people. Many felt that e learning was a useful tool for gaining knowledge when utilized properly where as others felt that it still needs to be developed in comparison to the traditional education system. Many felt that having combined learning is more useful. Though most of the respondents are still used to the traditional form of tutoring, but the perspective is slowly shifting towards online learning.

6. E learning platform is easily accessible if one knows how to go about working on it. Most of the respondents could easily work on it while very less no. of respondents found it difficult to access. This indicates that e-learning platform should be simple enough so that it can be used by all.

7. E-learning is still facing infrastructure problems. E-learning requires high speed Internet connection for facilitating a session. Not everyone has a high-speed Internet connection. Accessibility to platform is another major concern. Some people also feel that it involves too many complicated steps.

ci

CHAPTER-7

RECOMMENDATIONS AND CONCLUSION

cii

RECOMMENDATIONS

After this research study, I would give the following recommendations:

•

Gurumantra has great potential in the Indian e-learning market. A major section of this market is untapped. However, brand awareness needs to be created about the product so that people would go ahead and try the service.

•

Rural areas can be good market for Gurumantra since there are inadequate facilities of education. eAge can link up with Govt. bodies and NGO’s to initiate this.

•

Target market can be extended to students of graduation and postgraduation level.

•

With increase in broadband penetration, Gurumantra will be able to reach out to more people. The company should plan for its promotion strategies in this direction.

•

A customized version of Gurumantra can also be as online training module for corporates.

ciii

•

Gurumantra should also facilitate peer group learning so that students can collaborate and exchange their notes etc.

civ

CONCLUSION

With the strong growth expected in the Indian economy going ahead, it is clear that human resources will be the key competitive advantage that the country has to sustain this robust growth. Thus, a strong foundation in the form of a robust education system will be the cornerstone to leading India's growth over the next many years. With the Government showing a clear willingness to engage the private sector in accomplishing the daunting task of educating India's 13.5cr students, there are thus significant opportunities to tap for an online tutoring service like ‘GURUMANTRA’, both in the Government schools and Private schools businesses. With burgeoning demand for skilled human resources also in sectors like Financial Services, there exist significant opportunities for growth in the Corporate Training business as well. We remain positive on the Indian Education Sector and believe it is a multi-year growth story that will play out over the next many years and thus, are enthused about the growth prospects of companies serving this space.

cv

BIBLIOGRAPHY

•

Vajpayee,Bhavtosh; Joshi,Nimish :” CLSA Indian Educationsector outlook”, CLSA Asia Pacific markets, 14th March,2010

•

Shah,Harit; Agrawal,Sulabh : “Education India”, Angel Broking Limited, 5th June,2010

•

Tutunea, M.; Rus, R.V; Toader,V. : “Traditional Education vs. E-learning in the vision of Romanian business students”, International Journal of Education and Information Technologies, Issue 1, Volume 3, 2009

•

http://www.gc-solutions.net/blog/?p=41, 15th July2010 12 Noon, Manish Gupta,” Size of Indian e-learning industry and Growth Potential”

•

http://www.e-learningguru.com/articles/art1_3.htm, 1st August2010 6 P.M, Kevin Kruse, “The Benefits and Drawbacks of E-learning”

•

http://www.trainingreference.co.uk/e_learning/elearning_trends.h tm, 8th August 3P.M, Amy Finn, ”Trends in E-learning”

cvi

ANNEXURE-I

QUESTIONAIRE: Name: _________________________________ Occupation: _____________________________ 1. Age of the respondent ______________ 2. PC ownership a. Yes b. No 3. Situation of Internet access a. Yes b. No 4. Mention which of these you could do without any help. (multiplechoice) a. Launch programs on your computer(e.g. Microsoft Word, Internet Explorer, Windows Explorer) b. Work with files and folders (copy, save, move, rename , delete) c. Use Copy-Paste options in applications d. Use formulas in spreadsheet (e.g. Microsoft Excel) e. Compress files (Arching/Extracting) f. Use programming languages 5. Mention which of these operations on the Internet you could do without any help. (multiple-choice) a. Use search engines to find information (e.g. Yahoo, Google) b. Send email with attachments c. Use Internet to make phone calls d. Communicate with other people using chat, forum, and newsgroup. cvii

e. Use local networks for exchanging multimedia resources(torrents) f. Create a Web page

6. Average time spent over the internet a. 0-5hrs b. 5-10 hrs c. 10-15hrs d. 15-20hrs e. More than 20hrs 7. Which form of e learning method do you prefer?

a. b. c. d. e. f. g. h. i.

Instant messaging Training Video Conferencing Blogs Off the shelf courseware/ libraries Online media sharing Social Networking Podcasting/webcasting Other

8. Respondent’s perception about link between IT and education

a. Strong b. Moderate c. Weak 9. Student’s perception about teaching method: a. Combined b. Traditional learning c. Online learning 10. Student’s perception about online tutoring platform a. Easy and accessible b. Hard, but can be managed c. Not understandable 11. Problems faced by respondents in using e learning? a. Don’t have a prompt feedback b. Can’t download the material c. Too many steps involved d. Difficult to find the required information cviii

e. Problems with connection

cix