Report of the ICDE Working Group on The Present and Future of Alternative Digital Credentials (ADCs) January 2019 Report of the ICDE Working Group on The Present and Future of Alternative Digital Credentials (ADCs) Table of Contents 1. Executive Summary and Structure of the Report 3 2. Charge and Acknowledgements 6 3. Introduction 8 4. Definitions: What are ADCs? 9 5. Rationale: Why are ADCs an Institutional Imperative? 12 6. Employer Acceptance: Issues and Evidence 20 7. Criteria: What Guidelines Should be Used for the Issuance of ADCs? 24 8. Implementation: How Should an ADC be Implemented? 26 9. ADC Alternative Pathways for Adoption 31 10. Recommendations 32 11. Conclusion 34 12. Addendum: A Snapshot of Blockchain 35 13. References 40 14. Attachments 1. Predictions 43 2. Glossary 44 3. Universities Experimenting with ADCs Across the Globe 46 4. Badge Examples 48 5. Current ADC Providers 50 6. Blockchain Pilot Projects by Institution 52 7. Institutions to First Adopt Blockchain 53 8. Blockchain Providers Across the Globe 54 Report of the ICDE Working Group on The Present and Future of Alternative Digital Credentials (ADCs) Executive Summary and Structure of Report Introduction. these challenges, including from non-higher education providers, a treatment of these Alternative Digital Credentials (ADCs) will challenges is beyond the scope of this report. significantly transform the relationship between ICDE member institutions and Definitions. their students—and ultimately between higher education and society. By providing a Early in the emergence of any new digital, information-rich record of workplace- technology or use, there is confusion of terms. relevant skills and competencies, attributed The Working Group defined “alternative” as to an individual, ADCs will challenge the certifications rather than what institutions relevance of traditional university transcripts. are already issuing, usually in the form of These alternative forms of verification will transcripts. “Digital” refers to the form of create a new and dynamic ecosystem for presentation, dissemination, and storage the evaluation of applied learning in the of certification using digital technology. workplace. ADCs will “unbundle” learning “Credential” is a general term describing the acquisition, verification, and documentation attestation of learning or competency. ADCs which will disrupt higher education’s are distinguished from other terms such traditional advantage and allow non-higher as “badges,” a general term under which education institutions to be active in the ADCs reside, and micro credentials which credentialing process. In addition, students, may or may not be digital. A major decision rather than institutions, will be the owners of required of ICDE members has to do with learning certifications in the form of ADCs, distinguishing competency-based ADCs breaking the lock institutions have had on the from learning-accomplishment ADCs, —an dissemination of certifications. By focusing on issue that is described in depth in the report. workforce needs, ADCs will help institutions Another issue has to do with the digitization create greater alignment between theory and of transcripts and how that relates to the practice in what they teach, and, at the same issuance of ADCs. time, by providing separate certifications, help protect the traditional values of theory and Rationale. inquiry in the teaching/learning process. ICDE members should seriously consider It is important to note that while ADCs and implementing ADCs for many reasons. 1) this report challenge the workplace efficacy of ADCs and their non-university equivalents traditional transcripts, they do not challenge are already widely offered. 2) Traditional the value of earning of a degree for economic transcripts are not serving students and or personal advancement. Such challenges the workforce because they do not connect are coming from many directions, and while student’s capabilities with workforce needs. ICDE institutions may face disruptions from 3) Accrediting agencies and governments 3 are focusing on learning outcomes and what the marketplace and devaluing ADCs. A students are able to achieve after graduation. critical distinction is between competency- 4) Young adults are demanding shorter and based credentials and learning-achievement more workplace relevant learning. 5) The credentials. Institutions are likely to want to large volume of open education available issue both kinds of ADCs but the distinction to people, including MOOCs, calls for some between them will create confusion. Ten form of ADC-like certification. 6) Employer separate criteria are proposed and frame hiring practices are increasingly dependent the decisions ICDE members must make on digital searches and ADCs more easily regarding what they will attest. expose the relevant metadata for the purpose of discovery. 7) Finally, an ADC ecosystem is Implementation. beginning to develop with governments and foundations creating repositories, standards, This report lists several elements in the and new technology make ADCs more useful implementation process that all ICDE and accessible. members will face in moving forward with ADCs. The selection of an institutional set of Employer Acceptance. icons is a deceptively difficult process, which brings into play many significant decisions. A common excuse for institutions not entering The amount and nature of the “metadata” the ADC movement is that employers do (or explanatory content) of an ADC is also a not understand or recognize ADCs. The significant decision, as is the option to include Working Group concludes that there is student work in the digital representation of clear evidence that, while current employer the ADC. A generic implementation process is recognition has been slow to develop, described in the implementation section. there is clear evidence that employers are using ADCs now in limited fashion and that Alternative Pathways. recognition will increase rapidly. A number of corporations including Oracle and IBM issuing Three (among many) alternatives are ADCs. Major governments, including New proposed for the way ICDE members Zealand, Australia and Mexico, are creating might approach the ADC movement. First, policies that promote the use of ADCs in delay implementation. The advantage workforce training. Companies, including is to not involve resources prematurely, the CRM giant Salesforce, are collaborating wait until the technology and processes with universities to issue ADCs. The lack of have become more refined. The main employer recognition should not be a factor in disadvantage is that the member may fall deciding whether to adopt ADCs—employer behind and loose a competitive advantage. recognition will rapidly increase. Second, is the addition of ADC issuance to existing certification processes. This can be Criteria/Guidelines. accomplished by choosing a badging utility and starting to issue ADCs. The disadvantage A central contribution of this report are of this approach is that it tends to preserve the proposed criteria and guidelines for the status quo, and, without due consideration, issuance of ADCs. Without such guidelines, no change will result. The advantage is that an institution will not be able to determine the member “gets into the game” and may outcomes that should be credentialed and gain competitive advantage. Third, members those that should not, thereby confusing should create a fully digitized transcript. 4 ADC issuing processes should cover all Conclusion. competency and learning assessment. The disadvantage is that this is a major enterprise- The report concludes with a call for action by wide effort with high cost and some risk. The ICDE members to embrace and implement advantage is the possibility of gaining of a ADCs soon or fall behind. ADCs are highly functional competitive advantage. clearly going to be an important part of the higher education landscape for the future Recommendations. and will define the relationship between ICDE members and a wide range of their Based on this report the ICDE Working group patrons—government, industry, students, and recommends the following. ICDE members parents. ADCs will have an influence beyond should certification at the heart of the institution—with the ability to teach and engage students in a 1. Seriously consider the implications of an meaningful learning process. ADC infrastructure and set of services at your institution. Blockchain Technology. 2. Secure support from the senior This report also includes an addendum administration and academic leadership that describes and discusses Blockchain for the adoption of an ADC service technology and its application to ADCs. system. This rapidly evolving technology, upon 3. Assure uniform standards, administration, which Bitcoin is based, is a highly secure and oversight of ADC issuance. and “unhackable” technology to verify and record transactions, including the issuance 4. Resolve basic early decisions about of ADCs. It remains one possible choice for criteria for issuance, relationship to digital ICDE members to consider. However, it is transcripts, competencies. Learning just now emerging and while it promises to achievement, metadata content, icon be the underlying technology of ADCs, it is design, and quality oversight. not yet refined enough for immediate use. However, ICDE members should be aware of 5. Establish an implementation plan that its potential. includes sufficient resources (human and financial) to support the success of