Michael Hansen’s Post

It is an exciting day at Cengage Group: We have officially introduced our GenAI-Powered Student Assistant, which more than 5,000 higher ed students will have the opportunity to beta test this fall. 🎉   As I have shared previously, at Cengage, we are laser-focused on how advanced technologies like AI can address existing problems in education and offer an opportunity to enhance learning. This is why we have spent considerable time talking to students, educators and institutional leaders to ensure we were developing a solution that supports the learning experience and prioritizes academic integrity.    I am thrilled to get this tool directly into the hands of students this fall.    Read more in the press release: https://lnkd.in/gEXr_GqZ   #GenAI #HigherEd #Edtech

Last week, Cengage Group announced our Q1 Results for FY25. In the first quarter, we achieved 2% growth in cash revenue compared to the prior year, reaching $277 million and on a trailing 12-month basis, revenue grew by 4%. We remain well-positioned in the diverse and attractive education markets we serve and are delivering on our financial guidance. You can learn more about our results, and find the webcast on our investor page: https://lnkd.in/e74Je8CP #companyperformance #edtech

“People always expect technology to ‘change the way everything happens’… It is more realistic to expect that technology will improve learning by helping schools do better at what they have been doing for generations.”   This quote from The Economist’s Special Report on Artificial Intelligence and Education resonated with me.   The AI hype cycle across industries has created a rollercoaster of emotions for company leaders, workers, and consumers alike – from excitement to confusion and fear. But, as the Economist article rightly points out, this hype cycle is not new.   For every new technology, we are always told it is going to revolutionize everything, often overnight. However, history has taught us that this is not the case. I have seen this firsthand in education: lasting technological impact comes from thoughtful applications and solutions that aim to enhance the learning experience, not replace it.   GenAI is the next powerful tool that holds great promise to achieve this – helping personalize learning for students and driving improved outcomes for educators and learners alike.   At Cengage Group, this is our focus: exploring, testing, and implementing solutions that can have a tangible, positive impact on the overall learning experience. Here are the guiding principles and questions I am asking of our teams to bring this to fruition: 1️⃣ What is the problem we are trying to solve? 2️⃣ What is the size of the price? By that I mean, what amount of revenue can we generate/protect, or, what cost can we avoid? 3️⃣ Rigorously prioritize 4️⃣ Fail cheap, and fail quickly Read the full article here: https://lnkd.in/dsYgiv9V   What are your thoughts on GenAI’s impact? Share your insights in the comments below. #GenAI #education #edtech

The value of post-secondary education is experiencing a revival, with 73% of recent grads reporting they felt their education was a good investment, up from just 52% last year.   This is according to Cengage Group’s fourth annual Graduate Employability Report, released today. This report surveyed recent graduates (both with traditional 2-or 4-year degrees, as well as skills programs) and employers to better understand perceptions of how education is informing job readiness, and the broader trends impacting the workforce.    Some of the takeaways that stood out to me in this year's report:    ➡ The value of education is on the up: Earlier this Spring, I shared my cautious optimism as National Clearinghouse reported growth in college enrollments, and data from our Employability Report offers additional support that individuals are feeling a renewed sense of value in post-secondary education. We saw a significant increase in the number of grads who felt their education was a good investment, and, in fact, this figure was the most favorable it has been since we started asking this question in 2021. ➡ There is a growing focus (and need) for education that supports employability: 57% of grads believe their college or training program provided them with the skills needed to perform their first professional job, up from 41% in 2023, and 65% report institutions are teaching courses, curriculum and programs that align with the work they would be doing in their job. That said, there is still work to be done in connecting education to employment, with 39% of grads reporting they didn’t apply to entry-level positions because they felt underqualified and lacked some of the listed skills, this is up from 33% last year. ➡ AI is creating career doubt: The data reinforces what most of us are experiencing in the workplace today – GenAI is at the forefront of nearly every conversation. In fact, 51% of grads say the pace of technology is making them second guess their career choice, up from 33% in 2023. This omnipresence can create a great deal of uncertainty and fear, but it is important not to read too much into the sensationalism, and rather, find grounding in the opportunity. The data supports the growing need for GenAI training and skills development, with 69% saying they need more training in working with new technologies in their current roles. Given the rapid speed at which GenAI is evolving, the development of these skills must come from use, practice, and experimentation – both in the classroom and the workplace. We cannot live in fear of this technology, but rather, we must create environments where individuals can gain exposure to these tools and deepen their skillset in working alongside GenAI.    Learn more about the key findings in our press release here: https://lnkd.in/eHnCeB83   #employability #educationforemployment #GenAI

I strongly believe that leadership starts with active listening: listening to other perspectives with a willingness to change your mind. This was central to the approach I took when I joined Cengage Group nearly twelve years ago, and it continues today. My First Friday sessions are one example of this in action. Each month I host a session with our employees to discuss a range of topics from business strategy to the employee experience and financial results. I usually invite a guest from within the business (and sometimes outside of) to join me, and my partner-in-crime, our Chief Communications Officer, Brooke Carey, helps me end each session with a live Q&A with employees.   Twice a year, as part of these sessions, I do what we have deemed an “Ask Michael Anything,” where we add an option for employees to ask anonymous questions, in addition to the normal named channels. For this session, there is no set topic, rather it is an open forum for employees to discuss what is on their minds. In the years we have done this, the questions have run the gamut – from detailed inquiries regarding our strategy, or changes we have made in the business, to light-hearted questions like what is my favorite pizza topping?   Often in speaking with my peers across a range of industries, I hear anxiety around this idea as it challenges conventional wisdom that a leader is supposed to know all the answers. However, communications, practiced correctly, is about finding the right answers by leveraging the insight, perspective and experiences of as many people in an organization as possible. That sometimes can be unstructured, improvised, and yes, uncomfortable. Authenticity, candor, and vulnerability build trust. And this is the foundation of a strong company culture. #companyculture #leadership #CEOadvice

We had a worthy celebration last month as my middle son Leo graduated from the University of Denver with his bachelor’s degree in Business Administration and Management. I am tremendously proud of Leo's accomplishments in the last four years. He started a position working in software sales earlier this month.   With two sons now eagerly exploring opportunities in the workforce, and my youngest a rising sophomore in college, I have had a front-row seat to the opportunities and challenges facing new grads; a few observations are at the forefront: ✅ AI is contributing to a reluctance to hire new talent. The rapid rise of GenAI has created pause for many companies in hiring new people, as they are thinking more critically about their needs and what can be done with AI vs. what still requires a human. ✅ For a large number of graduates, it is still exceedingly difficult to connect what they learned in the classroom to a job. We are seeing institutions and employers alike start to pay more attention to this need for education that links more directly to employment, but we still have a ways to go to close the gap. ✅ For this generation of job starters, much has changed about the workforce, but also, much has stayed the same. A great example is some of the norms we see now around remote/hybrid work. Even as the pandemic normalized hybrid and remote work for many companies (and workers), it is clear that for job starters, face-to-face interaction with co-workers and managers is still incredibly important. Recognizing that can pose challenges to employers and managers in how to balance that need with our new working norms.     #classof2024 #educationforemployment #futureofwork #employability     

It was a pleasure to join Joseph Fuller on Harvard Business Review’s Project on Managing the Future of Work to discuss the opportunities and challenges facing the education and workforce markets.    We tackled many salient trends dominating market conversations today, such as GenAI, workforce legislation and how to close the skills gap.    Listen to the full episode below. #education #GenAI #skillsgap

A recent report found that more than half of recent graduates with a bachelor’s degree remained underemployed a year after getting their diploma.   With the rapidly evolving job market, addressing the skills gap and fostering a well-rounded, adaptable workforce is crucial for both graduates and employers to thrive.   I dig into this topic in my latest article for Forbes. You can read the full piece here: https://lnkd.in/eJqUd9aD #employability #educationforemployment #skills

Fiscal 2024 was another strong year of growth for Cengage Group.   Yesterday, our CFO Bob Munro and I shared our Q4 and End-of-Year Results for FY 2024 with investors, and I am pleased to share we delivered on our guidance and have realized a third consecutive year of revenue and profitability growth.   Our portfolio strategy, focusing on education markets where we have differentiated content and product offerings, has allowed us to steadily grow our business, delivering predictable and sustainable financial performance.   You can learn more about our results, and find the webcast on our investor page: https://lnkd.in/e74Je8CP   #companyperformance #edtech #results 

I had the opportunity to speak with The Hill reporter Alexandra Lonas last week on the Spring enrollment figures.   While more data is needed, there are encouraging indicators in the latest numbers. In particular, it is interesting to note that community colleges are the driving force behind this enrollment spike, and that vocational programs at these schools are seeing a surge of interest.     Read more in the full article here: https://lnkd.in/erXpj4DQ   #highered #skills #educationforemployment