アビタス通信 Vol.59< Harvard Business School Online Feature Article >
The Future of Learning as Seen by HBS Online :
How Microcredentials Will Change Careers and Education

1. The Purpose of HBS Online and the Positioning of “microcredentials”

Certificates, Credentials, Credits and “Micro-Credentials”

Usaka : First, I would like to ask about Certificates, Credentials, and Credits. When I looked at the HBSO website, I saw Certificates, Credentials, and Credits listed, respectively. I understand that Certificates and Credentials are both broadly classified as “micro-credentials,” but is this a correct understanding? Also, could you explain the difference between them?

Kristen : HBS Online does not offer credits, so we focus primarily on certificates and credentials.

The certificate program is designed to cater to a range of learners at different stages in their careers, which is why there is no application process or final exam, although there are requirements to ensure full engagement with the content, such as completing all modules and answering all questions.

Credential programs, on the other hand, are more rigorous, long-term, and intensive. They have an application process to carefully determine whether you are a good fit for the program, and some sort of assessment process to complete the program. For example, the CORe program has a final exam, and the CLIMB (Credential of Leadership, Impact, and Management in Business) program requires a capstone project. The CLIMB program allows you to combine electives from HBS Online with courses that align with your professional interests and experience, and upon completion, you will earn a CLIMB certificate and four individual HBS Online certificates. Credential programs also have multiple assessment points, including teamwork, to ensure that you are achieving your learning outcomes.

HBS Online does not offer credits, but Harvard University’s Continuing Education Division offers online degrees and distance education programs. Harvard University’s Continuing Education Division rigorously reviews HBS Online programs and awards 8 credits for completing CORe. If you take this credit-accredited program, you will be registered as a Harvard University Continuing Education student, not an HBS Online student.

2. Why HBS Online Was Born:
The Background Behind HBS’s Introduction of Microcredentials

Given that Harvard Business School has a long and venerable MBA program, why did they decide to offer microcredentials?

Usaka : Why did Harvard Business School launch HBS Online? I’m curious as to why HBS, which already offers a world-renowned MBA program, decided to launch an online version of HBS Online. I think it may be related to the trend of reskilling and education in the United States. Could you tell me more about this?

Kristen : Actually, before HBS Online was launched, Nitin Nohria, who was the Harvard Business School Dean at the time, publicly stated that Harvard Business School would never introduce online education while he was Dean. He believed that the dialogue between HBS faculty and students was of paramount importance. Therefore, he made it clear that if the same learning experience as in face-to-face classes could not be achieved online, HBS should not do online education.
At that time, there were only MOOCs, and the concept of microcredentials did not exist, at least in the United States. In that situation, he asked, “what would online learning need to look like at HBS if we were to do it? “

What are the essential elements of learning at HBS? The discussions students have in the hallways before and after class are one example. Another essential element of learning at HBS is taking up problems faced by actual companies and managers and having them talk in their own words about how they dealt with them. People from various departments on campus gathered to exchange ideas about how to realize an online education while maintaining these elements of the HBS learning method. As a result of these discussions, HBS Online was born.

The HBS MBA program can only accept about 900 people each year due to limited classroom seating. The acceptance rate is also very narrow at about 12%. Therefore, even if people want to receive an education at HBS, many people do not have the opportunity to study here due to physical space and selection constraints. Behind the establishment of HBS Online was the vision to deliver education by HBS’s excellent professors to significantly more people. At the time we began, online education was predominantly a mode where professors delivered lectures in front of a camera, and only a fraction of the often large number of students who started a course, ultimately completed it. However, HBS Online is not like that, and aims to provide a rigorous and fulfilling learning experience with a high completion rate.

Usaka : Thank you. Unlike the MBA program, there are no admission requirements for HBS Online courses, which means it’s a very open program that anyone who wants to learn can take. As you mentioned a little earlier, how does the content and structure of the courses differ from MBA programs?

Kristen : Yes. As I mentioned earlier, we don’t have any admissions requirements for HBS Online certificate programs. This is because we want to make it accessible to as many people as possible. We want to provide an environment where people from different industries and at different stages in their careers can learn.

HBS Online courses are organized by topic, and the professors who teach in the MBA program are also in charge of teaching the online courses. However, they do not cover all of the required subjects in the MBA program. For example, there is currently no corresponding course in HBS Online for TOM (Technology Operations and Management), a required subject in the first year of the MBA. In addition, there are hundreds of elective courses in the second year of the MBA, and it is not possible to cover all of them. Therefore, the breadth and depth of learning offered by the MBA program cannot be reached by the approximately 30 courses in HBS Online.

Another difference between the MBA Program and HBS Online is the depth and breadth of learning. Each class in the MBA program meets multiple times per week over the course of a 15+ week semester. Each class dives into a single case, for which students have prepared an extensive analysis in advance. So over the course of the semester, the cases cover different industries, company stages, and types of business questions, leading to a broad perspective on the topic area.

Given that learners at HBS Online are often working full-time, part of another degree program, or juggling other professional and personal commitments, our courses are, on average, 30 hours of seat time. Given this time frame, we can’t go as deeply into each case study, but feel that highlighting around 4 to 6 different protagonists in a course helps illustrate the material and how it might apply in different countries, industries or companies.

There are several differences between HBS Online and the MBA program, but if I had to pick one, it would be something like this.

3. What Quality of Learning Does HBS Online Guarantee?

How do you ensure the quality of learning when it comes to “online learning” without the intervention of a teacher and “open courses” that anyone can take?

Usaka : Because HBS Online is an online learning format, there is no direct involvement of instructors, and there is no real-time interaction like in face-to-face classes. Furthermore, since it is an open format that anyone can take, I think it may be difficult to maintain the quality of learning. In particular, it seems that ensuring the quality and quantity of discussions between students is a challenge, so how do you ensure the quality of learning at HBS Online?

Kristen : First of all, all of the HBS Online courses are taught by a tenured faculty member of HBS. They are experts in their field with 20 to 30 years of experience, and HBS Online courses are designed based on the deep expertise of these professors. Even so, it takes a huge amount of time to develop a course. This is because we work backwards from “what knowledge students should ultimately gain” and design the learning process in detail to ensure that they acquire that knowledge. All of the professors who work with us are surprised at the complexity and difficulty of designing their online course, despite their expertise in both the topic area and in teaching a case discussion!

Second, we incorporate various learning elements into the course design. For example, we create mechanisms for students to actively learn by providing reflection assignments and using interactive content to help them visually understand course ideas (such as a demand curve in Economics for Managers). This ensures that each individual learning experience is rich and well-thought-out, even if there is little interaction with other students.

In addition, interaction between students is also an important factor. For example, let’s say I write a reflection and you read it. You and I may be in completely different industries or at different stages in our careers. Such differences in backgrounds allow us to have different perspectives on the same question, which leads to new realizations. In addition, HBS Online groups learners into cohorts of several hundred people, so no matter what industry or experience you have, you are sure to find stimulating opinions and discussions. In fact, HBS Online students have come from 201 countries around the world. The quality of learning is improved when students from diverse backgrounds learn from each other.

4. Can Microcredentials Replace Degrees?

Are microcredentials becoming an alternative to degree certification?

Usaka : Next, I would like to ask you about the characteristics of HBS Online compared to other so-called “microcredential programs” on the market. Specifically, the value of microcredentials.

Microcredentials have been rapidly gaining attention in Japan since last year and have become a very hot topic, but traditional degrees and certifications still hold great value, and microcredentials have not yet been widely adopted as a means of proving skills. However, interest is growing. Meanwhile, in the United States, it seems that major companies have recently started to remove degree requirements for hiring. In light of this trend, are microcredentials becoming a realistic option as a means of skill certification in place of degrees?

Kristen : I think it’s very mixed in the U.S. Certainly, some companies value micro-credentials, and certain roles, like coding, may value work experience or short-term specialized training over a degree.

However, it is true that many companies still value academic degrees and traditional career paths. To keep an eye on the impact that HBS Online has on our students, we survey them to see what changes have occurred after completing our courses. As a result, we have found that many people who have taken HBS Online courses have landed a new job, received a raise, or been promoted. Whether companies value microcredentials or not, it is certain that our courses do have an impact on students’ careers.

To give you some concrete data, 36% of students reported that they changed their careers after completing the course, 85% said that it strengthened their resumes, and 42% felt that they received more attention from recruiters.

Usaka : I see. So what makes HBS Online unique compared to microcredential programs offered by other universities and educational institutions?

Kristen : HBS is the school that created the case method. The classes at HBS are taught using the case method, and all HBS Online courses use this method, too. Other schools may use the case method in part, but it is generally used in conjunction with other formats, including lectures. But one of the features of the case method is that it places real business examples at the center of learning. We incorporate this approach into all of our courses. We send film crews around the world to interview real companies. We have filmed in various places such as Japan, India, and Europe, and introduced real-world examples of those companies to our students. This is one of the elements that makes the HBS Online learning experience special.

In addition, the HBS Online platform was developed from scratch. At the time that HBS Online was being started, the only other offerings were MOOCs. Given this, there was no platform on the market that could provide the learning experience we wanted, so we decided to build it ourselves. As a result, we were able to provide elements of social learning and an interactive learning environment where students actively engage with each other.

We also develop learning tools that are specialized for specific courses. For example, in our Financial Statement Analysis course, we incorporate interactive features that allow students to actually practice how each item on a financial statement should be organized. In this way, designing the platform to maximize the learning experience is also a major feature of HBS Online.

Usaka : That’s great, thank you very much. So what value does the microcredential skill certification provided by HBS Online have in helping students advance their careers, for example in terms of getting promoted or changing jobs? You mentioned earlier that many students said that it helped them change careers or strengthen their resumes. What do you think about that?

Kristen : Yes, we do see examples of our students getting promoted or changing jobs. Many students also report increased confidence in their skill set. In some cases, it’s an opportunity to learn and practice entirely new skills. For example, negotiation is something I never formally studied in school, but I’ve found it to be a very important skill as I’ve progressed in my career. So I think there’s a lot of value in having the opportunity to learn skills that you’ll need at a specific point in your career.

Another important thing is the HBS Online community. After completing their course, our participants can join the HBS Online community, and since we’ve served over 250,000 participants over the past 10 years, it’s a large one! . This community is where new companies are started, where people ask questions about business, and where people exchange ideas. Just as graduating from an MBA program creates a network that you can use for the rest of your life, students of HBS Online also gain a network that they can use for the long term.

Usaka : I see. The network you can get through HBS Online is extremely valuable. And it seems like the way you use a degree certificate and a microcredential will become even more important in building your career.

5. What Are Business People Around the World Trying to Learn Right Now?

About HBS Online Student Profiles

Usaka : I would like to ask you about the profile of HBS Online students. One of the features of online learning is that it can be accessed from anywhere in the world. You mentioned the number of countries from which students live, but how many students enroll in HBS Online programs annually?

Kristen : About 40,000 people.

Usaka : 40,000 people! What countries and regions do most of the students come from?

Kristen : Currently, all courses are offered in English, so we have a lot of students from the US, Canada, the UK, India, and other countries. However, I’ve checked and so far, we have had students from over 200 countries, so we can say that we are reaching a really wide range of people.

Usaka : That’s amazing. How many Japanese students do you have each year?

Kristen : It’s relatively small, about 2,000 people. I’d like to see more!

What courses are popular among students from each country?

Usaka : From the perspective of Japanese students, courses such as “Leadership Principles,” “Business Strategy,” and “Disruptive Strategy” seem to be particularly popular among Abitus students, but which courses at HBS Online in general attract the most students? Also, what kind of learning needs do global students have?

Kristen : Looking at the data from the past few years, the course with the most students is “Financial Accounting.” This course is one of the longest-running courses at HBS Online, and is also positioned as part of the Business Foundations program.

Other popular courses include “Negotiation Mastery,” “Strategy Execution” and “Leadership Principles.”

We focus on specific topic areas, so overall, courses in areas like business fundamentals, leadership and management, and strategy seem to be the most popular.

6. Corporate Adoption of HBS Online in the United States: A New Option for Human Resource Development

How is HBS Online being adopted by companies in the United States?

Usaka : In Japan, companies are increasingly showing interest in offering such programs as part of their employees’ self-improvement and skill development. What forms do partnerships with companies take in the United States?

Kristen : Every company has different formats and approaches, so I’ll talk at a summary level. First, some companies offer HBS Online as a reward or benefit to talented employees. Second, some companies introduce HBS Online to strengthen specific skills within the organization. This can be within a specific department or across multiple departments. Negotiation skills are a good example. They might provide negotiation skills training to the entire procurement department, or they might have someone take it when they are promoted to a financial manager, as they will need skills around negotiating contracts.

Also, rather than focusing on a specific course, some companies use HBS Online as part of their overall learning and development strategy so that individual employees can acquire the skills they need to advance in their careers. For example, what does Mr. A need for his next career step? Then, let’s have him take that course. In this way, employees at various levels within the organization can take courses individually.

Usaka : I see, so it is being widely adopted by companies in the United States as well. Thank you very much.