ABSTRACT
Existing researches show that the development of multimedia online course demands huge staff efforts and results in
no significant difference in study outcomes. Besides, the dropout rates in online courses are usually higher than in
traditional education. At our faculty several researches were made to ascertain the most efficient way of e-learning in a
smaller educational environment, in which the number of students is smaller than in environments where existing e-
learning researches were made.
In this paper the results from our researches related to e-learning costs are presented. We found out that even if the
number of students is not as high that as in existing researches, introducing e-learning can be cost-efficient and that
students can also gain more knowledge in e-learning courses. At the first stage of the introduction of information and
communication technology (ICT) in education the institution needs to invest some time and money in quality tutor
training. The tutor’s role, normally played by an asistent, has in fact proved to be one of the factors of efficient e-learning
found in our research. After the tutors’ training, the courses can be developed and performed with lower costs and have
significant impact on study outcomes.
KEYWORDS
E-learning, blended learning, cost-efficiency, tutoring system.
1. INTRODUCTION
All institutions desire to reduce their operational costs. Changes in the learning delivery processes, like
the introduction of information and communication technology (ICT), influenced on teaching costs
significantly. For this reason a considerable amount of researches about cost-effectiveness of the introduction
of ICT in education was performed at the end of 60th and in the beginning of the 70th of the previous century
(Rumble 1997, 120). Since 1975 UNESCO also supports the researches in this field (UNESCO 2002). In the
USA the cost-effectiveness of radio and television usage in education was investigated in the 70th (Rumble
1997, 120). In the 1972 Wagner made a comparative research between Open University’s (OU) distance
education courses and courses carried out by traditional universities in the UK (ibidem). The recurrent costs
of equivalent undergraduate studies at traditional universities were 3.7 times higher than the cost of OU
distance education courses (at postgraduate level the ratio is 1.5 to 1 for traditional universities). The
differences arose from the basic differences between the OU and traditional universities. At OU students
mostly study part-time, while at traditional universities full-time students are in majority (ibidem, 122). In
addition to that traditional universities offer expensive courses such as medicine, which the OU does not. The
OU also has a different approach than traditional universities. The OU provides a credit transfer scheme
under which students’ previous educational qualifications are recognized as part of their study obligations
(ibidem, 124) thus making their study period shorter. The UK research indicated how important the
methodology used in such comparative researches is. Especially when different kinds of institutions are being
compared (Rumble 1997, 130 – 132).
The cost-effectiveness of ICT supported education depends on the technology used, the number of
students and of course extent (UNESCO 2002, 73 – 75, Rumble 2001, 76). The staff time needed to produce
an hour of student learning depends on media employed in the course (Rumble 1997, 79). Sparks (in Rumble
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1997, 79) reported that approximately 2 to 10 hours are needed to prepare one hour of traditional lecture and
up to 300 hours to prepare one hour of interactive video. When preparing interactive video additional support
staff is also needed. However, the course costs per student decrease with every course repetition. It is
common that a large number of students are enrolled in distance education courses, as it is the case at the OU.
The costs of online course also depend on the extent of student support. If groups supported by tutors are
small, the costs increase.
Russell reported no significant difference in study outcomes based on the mode of education delivery
(face-to-face or distance) (NSD). In addition to that, a group of authors reported that dropout rates of online
courses range from 10 % (Diaz 2002) to more than 70 % of students (Mungania 2004, Masie Center 2003,
Flood 2002, Dager and Wade 2004), who fail to successfully complete online courses. Simpson (2003) for
example reports that 35 % OU students leave the OU before they even take their first exam.
These research results are frightening. On one hand the development of multimedia online course
demands enormous staff efforts, while on the other hand there are no significant differences in study
outcomes and the dropout rates are higher than in traditional education. As a solution to these problems,
Tinto suggested there should be more student interaction and tighter integration with their schoolmates and
with their institution (in Tyler-Smith 2006).
As all researches made until now were focused on large institutions with large numbers of students. As
our faculty is a smaller institution with fewer students, we were interested in testing research findings from
researches made on a bigger scale. Therefore, our research focuses on finding the blended learning approach
that is the most appropriate for smaller educational institutions. Blended learning approaches combine
traditional learning performed in real classroom with student activities in an virtual e-classroom (online
activities). Our hypothesis is that courses with up to 100 students can be performed with a blended learning
approach at no significantly higher costs than the costs of a traditional course delivery and that there is an
increase in the gained knowledge because of the blended learning approach.
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The students – graduates and their knowledge (the output) are hardly measured in the terms of monetary
values (Levin 1995, 382). Therefore it is more suitable to talk about cost-effectiveness than economic
effectiveness and to measure the students’ effectiveness in another way – for example with the number of
students completing the program. We have measured students’ effectiveness by grades and by the student
perception of gained knowledge in the e-learning course as compared to traditional courses.
2.3 Methodology
Our research was based on the evaluation made in the academic year 2004/2005 in which we had an online
course with 105 students, who were supported by tutors. All costs related to the preparation and the delivery
of the course were accurately recorded and observed from the institutional and students’ point of view. We
found out that the costs in online course were 26.9 % higher from the institutional point of view and 25.2 %
lower from the students’ point of view when compared to the costs traditionally delivered courses. The entire
online course was, with two exceptions – two meetings organized in real classrooms, performed purely
online. Based on this evaluation we identified costs related to all participants of the e-learning process
(Figure 2).
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Basing on the encouraging results from the first year of using the blended learning approach, we extend
our efforts to introduce ICT at our faculty. Therefore we developed an online training course about online
teaching for teachers and tutors. The results of our effort were 10 undergraduate and 5 postgraduate courses
supported by a virtual learning environment (the e-classroom) in the academic year 2005/2006. In the
findings bellow we present the results from two different although connected researches:
• the research made among teachers about using ICT in their teaching and
• the research made among undergraduate students in which the factors of efficient blended learning
approach were investigated.
Both researches were made in the academic year 2005/2006. The research among teachers helped to
defined the blended learning efficiency. There were 79 teachers invited to fulfill the questionnaire. The
response was 31.4 %. Among respondents there were 66.7 % male and 33.3 % female respondents. An
average respondent was 38.3 years old with 13.8 years of work experiences. On average 8.7 years of work
experiences were gained in the educational sector, from which 3.9 years were at our faculty.
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Variables M
Workload invested in the development of the course. + 22.7 %
Workload invested in students’ support. + 17.7 %
The percentage of the course supported by the e-classroom. 32.8 %
The percentage of face-to-face meetings that can be substituted by the e-classroom. 37.1 %
The optimal percentage of face-to-face meetings in a course. 35.5 %
Table 1. The attitude of e-classroom usage among teachers
According to the teachers, the development of an e-course (course supported by the e-classroom)
demands on average 22.7 % more work and efforts than a course performed in a traditional way. More
workload is needed to support students as well (+17.7 %). The teachers used the e-classroom for 32.8 % of
their teaching, but thought that more than 37.1 % of face-to-face meetings could be easily substituted by
different study activities in the e-classroom. According to the teachers, only 35.5 % of a course should be
performed in real classrooms. In the context of our faculty this means that (according to our teachers) only 6
meetings in real classrooms ought to be organized for full-time students during a one-semester course.
The student opinion was that from 36.3 % (part-time students) to 41.5 % (full-time students) of
lectures/seminars should still take place in traditional classrooms, where they can meet with the teacher and
other students face-to-face . As we can see the percentage expressed by full-time students is a bit higher than
that of the teachers (37,1 %). But the opinion expressed by part-time students is closer to the teachers’
opinion. According to our four years experiences in using an e-classroom for joined-up performed courses 2
– 3 meetings have to be organized. The frequencies depend on the course subject and on the characteristics of
the students (level of education, students’ background, students’ expectations, students’ motivation, etc).
Changes caused
Traditional course E-course
Type of cost by ICT
(coefficients) (coefficients)
introduction
A. Institutional costs 1.00 1.02
1 Tutor training *
2 Infrastructure 0.25 –64.5 % 0.15
Traditional classrooms
E-classroom – installation and maintenance **
3 Course development 0.36 +22.7 % 0.44
4 Course delivery/student support 0.25 +17.7 % 0.29
5 Evaluation 0.14 – 0.14
B. Students’ costs 1.00 0.82
1 Attending face-to-face meetings/lectures 0.47 –64.5 % 0.29
2 Internet access 0.45 0.45
3 Printing 0.08 0.08
Legend:
* The costs depends on the availability of teachers/tutors – it is assessed that tutor training costs 130 € per
tutor.
** The e-classroom installation and maintenance was assessed to 80 € per month.
Table 2. E-learning costs
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As can be seen from Table 2 the costs of the blended learning approach increased by 2 % (1.02) from the
institutional point of view and decreased by 18 % (0.82) from the students’ point of view when compared to
the costs of a traditional course. Total institutional and students’ costs are the sum of coefficients that
represent the portion of each type of costs. In the e-course the costs either decrease or increase due to the
changes that are brought by the introduction of ICT to the teaching process. The costs of real (physical)
classrooms decreased because of fewer face-to-face meetings (–64.5 %). Fewer face-to-face meetings also
decreased students’ costs, because students save money on traveling. However, staff costs increased – for
course development by +22.7 % and for student support by +17.7 %.
As mentioned before, in our blended learning model the tutor’s role is more important than ICT per se.
Therefore study materials in our e-classrooms are mostly in PDF format that can easily be printed (printing
costs in Table 2). Free Internet sources are used as well. Our courses did not include any self-produced
multimedia materials that would definitely increase the development costs.
Also, in our surveys both students and teachers agreed that students’ costs decrease with the use of an e-
classroom. They all had to assess the statement that the introduction of e-learning at our faculty decreases the
study cost. The student assessment on a five-degree scale ranged from the score 3.0 to 4.0 – the score 3.0 was
assigned by full-time students in the compulsory course, 3.5 by full-time students in the elective course and
4.0 by part-time students in the elective course. To understand these differences we need to stress that more
face-to-face meetings were organized for full-time students than for part-time students. The number of face-
to-face meeting full-time students attended was therefore closer to the number of face-to-face meeting they
usually attend in traditional courses, so their costs were closer to what they usually are (in traditional courses)
than for part-time students. The teachers assessed the costs from the institutional and from the students’ point
of view on the same scale. Their opinion was that with the introduction of e-learning the institutional costs
decrease more than students’ costs (for the institution M = 3.5, for the students M = 3.4).
The analysis showed that institutional costs increased due to the ICT introduction (Table 2). However,
when an e-classroom is introduced in teaching for the first time, the costs of tutor training also need to be
taken into consideration and for this reason we wanted to make additional cost analysis for the next years of
e-course delivery when tutor training costs are not a factor. We supposed that 3 tutors would be needed for a
group from 100 to 120 students, which means that additional 390 € need to be included in the calculation.
Our calculation was based on the parameters used to calculate the cost structure presented in Table 2. For a
course that lasts 8 weeks additional 160 € of costs will be caused by the installation and maintenance of the e-
classroom that is needed during that time. All the additional costs were included in the calculation,
transformed in coefficients, where the portions of single cost can be recognized and presented in Table 3.
The cost structure of a traditional course was the foundation for following additional costs caused by the
introduction of the e-classroom at our faculty.
In the first year of e-classroom usage the institutional costs increased by 9 % when compared to the
costs of traditional courses. In the second year of e-classroom usage the costs are lower by 4 % (when
compared to those of a traditional course – the coefficient is 0.96), but only after the third year the increased
costs (+9 %) from the first year will be covered. Because of that we suggest smaller faculties to deliver each
e-courses, at the same presumptions as we did, at least three times.
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4. CONCLUSION
The main researches of cost-efficiency of ICT supported learning – e. g. distance learning or e-learning,
were based on courses in which a large number of students was enrolled. Our research was made in a smaller
educational environment. We knew that e-learning costs are largely dependant on the course development
phase costs. Because of the faculty dimension and the course subjects of the ICT area that change on a daily
basis, we decided to use low cost study materials (PDF documents and free online materials). This decision
was supported by our previous research results as well. The tutor’s role and the way in which the courses
were delivered were found more important for e-learning efficiency than the ICT used in the courses. There
is another fact that worried us – the results of “no significant difference” study. However, in our previous
researches we found out that study outcomes can be improved if a suitable e-learning approach is used. By
connecting all these findings and putting them in the practice we found the model that leads to efficient
blended learning with no significantly higher teaching costs. The institutional costs increased for 9 % only at
the beginning of the introduction of the e-classroom. After that the course costs decrease for 4 % a year
(when compared to the costs of a traditional course. Our efficient blended learning model is based on the low
cost study materials, a tutor supported learning process and student activities performed throughout the entire
duration of the course.
As we can see, a moderate introduction of ICT in education can be employed even by smaller institutions
without significantly higher costs than those for traditional course delivery. The costs are only a bit higher at
the beginning due to the tutor training that is needed to improve study outcomes, which was also the case at
our faculty. Thus we can confirm our hypothesis that course up to 100 students can be performed with a
blended learning approach with no higher cost than the costs of a traditional course delivery and also that the
blended learning approach results in an increase of the gained knowledge.
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