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Comparison of Cost - Effectiveness of Traditional and Asynchronous Distance Learning Education Systems
Comparison of Cost - Effectiveness of Traditional and Asynchronous Distance Learning Education Systems
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Abstract
Nowadays the impact o f e-learning has irrupted not only life-bng learning but also the entire
system o f education from first degree to MSc and PhD degrees o f education in Universities
around the world.
By the mean "e-leaming" we define the learning which uses new technologies and comprises
cooperative education and interaction between students and teachers as well as between
students. The trainee usually has the control o f his rhythm o f learning and at the same time the
ability to the support o f his teacher, i f he wishes to.
In this paper we will examine and compare the cost-effectiveness between the traditional and
asynchronous e-leaming methods. We will fin d out i f it is worth to change from traditional
learning to asynchronous e-leaming not only from the point o f view o f the Universities but also
from the point o f view o f the students and teachers taking into account the costs fo r
implementing and supporting all the necessary components.
16.1 Introduction
After 1970 an enormous explosion existed in the establishment of Universities, faculties and
departments. Specialties broke to pieces. Today, there are more than twenty specialties in
pre-graduate level. It is obvious that HE faculties were created to help economic
development of the districts they are established, since university, unfortunately, is not
recognized, primarily, as a source of knowledge, but as an income for the regions.
In Greece, as it happened to the rest of Europe, he was split at one side University
education and at the other side Technological education, which in 1983 was upgraded from
after secondary to higher education, and in 2001 developed to the level of university
education. Technological education has now more than 150 departments dotted in most
towns of the country. These departments of HE are the heavy industry of the country, as
Following, we will present the system and the economic data of asynchronous electronic
learning that was used. The purpose of the program was to help learners acquire knowledge
and skills about word processing, internet services, exploitation of work spread-sheets
(Excel), creation of presentations, design and development of data-base systems (Access),
designing applications with multimedia, and applications on the world wide web. The
program also intended to facilitate the application of knowledge and skills acquired in
everyday life - both personal and professional.
The software which was selected in order to use for implementing our case study was
Moodle. Moodle is an open source free software under the authorization of GNU General
Public License. This platform has been appreciated as most reliable, most productive and
most effective and for this reason was selected.
We have estimated the costs for the e-leaming process through the last four years for the
education process. The estimated costs conclude the salaries and allowances, the
administrative costs, the cost for all the materials and supplies, the insurance costs, the
capital and variety costs as shown of the following table.
E-learning
2005 2006 2007 2008
Salaries and allowances €1,285,300 € 1,469,330 € 1,817,600 €1,976,440
Administrative Costs € 664,900 € 745,230 € 669,250 € 669,250
Materials and supplies € 23,200 € 27,200 € 34,700 € 25,600
Insurance costs € 43,500 € 56,950 €75,110 €75,100
Variety costs €112,500 € 133,040 €129,100 € 116,400
Capital costs € 796,400 € 75,040 € 76,250 € 47,350
Total Expenses € 2,925,800 € 2,506,790 € 2,802,010 €2,910,140
Number of Students 2,050 2,100 2,250 2,400
Cost per Student
per Year (€) 1427 1194 1245 1213
Also we have estimated the costs for the traditional learning process through the last four
years for the education process. The estimated costs conclude the salaries and allowances,
the administrative costs, the cost for all the materials and supplies, the insurance costs, the
capital and variety costs as shown of the following table.
Traditior al Learning
2005 2006 2007 2008
Salaries and allowances € 10,920,000 € 11,300,000 € 11,500,000 € 12,100,000
Administrative Costs € 4,000,000 € 4,000,000 € 4,000,000 € 4,000,000
Materials and supplies € 1,800,000 €1,800,000 € 1,800,000 €1,800,000
Insurance costs €1,747,200 € 1,808,000 € 1,840,000 € 1,936,000
Variety costs €4,142,300 € 4,009,000 €4,114,280 €3,193,200
Capital costs € 4,570,000 €4,710,880 € 4,400,850 € 4,206,820
Total Expenses €27,179,500 € 27,627,880 € 27,655,130 € 27,236,020
Number of Students 17500 17650 17800 18000
Cost per Student
per Year(€) 1553 1565 1554 1513
€ 14,000,000
€ 12,000,000
m Salaries and allowances
€ 10,000,000
€ 8,000,000 ■ Administrative Costs
€ 6 ,000,000 O Materials and supplies
€ 4,000,000
€ 2 ,000,000 □ Insurance costs
€0 ■ Variety costs
2005 2006 2007 2008
■ Capital costs
Traditional Learning
As we can see from the following tables the cost for implementing an e-learning system for
2050 students is about €2,925,800 and in the same time for the same number of students the
estimated cost for a traditional system of learning is €4,100,456 for one year each of them.
That means that can we can save about more than €500 per student per year.
Also we can see from the following tables that the cost for implementing a traditional
learning system for 17500 students is about €27,179,500 and in the same time for the same
number of students the estimated cost for an e-leaming system of learning is €17,489,700
for one year each of them. That means that can we can save about €10,000,000 which is
about €554 per student per year.
2000
1500
1000
500 m Cost per Student
0
LO CD I^AO O ID < i r - co per Year (€)
:o ο ο ο : o < • o o
Ο Ο Ο O 0 : < •o o
'M CM CM CM CM < I CM CM
E-learning jTraditional
E-learning Traditional
2005 Estimated 2005 Estimated
Salaries and allowances € 1,285,300 € 6,426,500 € 10,920,000 € 1,213,333
Administrative Costs € 664,900 €5,319,200 € 4,000,000 €444,444
Materials and supplies € 23,200 € 185,600 € 1,800,000 € 360,000
Insurance costs € 43.500 €217,500 € 1,747,200 € 194,133
Variety costs € 112,500 € 562,500 €4,142,300 € 1,380,767
Capital costs € 796,400 € 4,778,400 € 4,570,000 €507,778
Total Expenses € 2,925,800 € 17,489,700 €27,179,500 €4,100,456
2,050 17,500 17500 2,050
Cost per Student
per Year (€) 1427 999 1553 2000