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United States Distance Learning Association

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THE EMERGENCE OF A<br />

NEW ECONOMY<br />

A detailed discussion regarding the megatrends<br />

affecting society and the economy—globalization,<br />

technology, outsourcing,<br />

consolidation, demographics, and<br />

branding—is beyond the scope of this article,<br />

but here are some general changes<br />

being felt within many organizations<br />

(Moe, Bailey, & Lau, 1999) (see Table 1).<br />

These economic shifts demand new<br />

ways of building competent employees<br />

(see Table 2)<br />

TRENDS IN TRAINING<br />

The trend in the <strong>United</strong> <strong>States</strong> is that the<br />

number of face-to-face training events is<br />

down and technologically mediated training<br />

is increasing. Technology used for<br />

training delivery in 2005 (the most current<br />

data available), was 36%, with 60% of that<br />

occurring online. Since 1999, technology<br />

used to deliver training has risen each year,<br />

while in-person training has steadily gone<br />

down (HighTop Company, 2007).<br />

Change of this magnitude within the<br />

system causes expectations of persons<br />

throughout the organization to change.<br />

Leading-edge companies are starting to<br />

see a well-educated and well-trained<br />

workforce as a competitive advantage in<br />

the global workplace. The perception of<br />

training is changing from a cost center to a<br />

revenue-generating investment.<br />

NEW ROLES AND RESPONSIBILITIES<br />

Whether one decides to embrace distance<br />

training and education to reduce costs,<br />

improve quality, remain competitive, or for<br />

some other combination of business reasons,<br />

to do so across the organization usually<br />

requires a significant cultural change.<br />

This move to a learning organization is a<br />

move toward each person taking responsi-<br />

Table 1.<br />

Old Economy<br />

A skill<br />

Labor vs. management<br />

Business vs. environment<br />

Security<br />

Monopolies<br />

Plant, equipment<br />

National<br />

Status quo<br />

Top-down<br />

Shifts in the Economy<br />

New Economy<br />

Life-long learning<br />

Teams<br />

Encourage growth<br />

Risk taking<br />

Competition<br />

Intellectual property<br />

Global<br />

Speed, change<br />

Distributed<br />

Table 2.<br />

Old Economy<br />

Four-year degree<br />

Training as cost center<br />

Learner mobility<br />

Correspondence and video<br />

One-size fits all<br />

Geographic institutions<br />

Just-in-case<br />

Isolated learners and learning events<br />

Shifts in Education and Training<br />

New Economy<br />

Forty-year degree<br />

Training as competitive advantage<br />

Content mobility<br />

High-tech multimedia centers<br />

Tailored programs<br />

Brand name university; celebrity professors<br />

Just-in-time<br />

On-going virtual learning communities<br />

Volume 4, Issue 4 <strong>Distance</strong> <strong>Learning</strong> 3

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