WEEKEND READING: Should Universities Build or Buy Their Online Education Capability?

Why It Matters

Building internal online‑education capability can give universities greater control over student data, brand, and innovation, positioning them to meet government lifelong‑learning mandates and improve financial resilience, while OPM reliance may limit insight into customer behavior and long‑term margins.

Summary

University of the Arts London (UAL) has chosen to build an internal online‑education startup rather than partner with an external Online Programme Management (OPM) provider, investing in new commercial, production and systems teams despite a multi‑year path to breakeven. The blog contrasts this “build” model with the more common UK university practice of OPM partnerships, which offer revenue‑share services such as market research, design, marketing and student support, appealing to financially strained institutions. It argues that in‑house capability not only supports UAL’s strategic goal of widening access and lifelong learning but also cultivates broader institutional agility, data‑driven decision‑making and higher‑quality digital learning experiences. The author outlines five criteria—executive backing, strategic priority, financial appetite, willingness to redesign processes, and internal capacity—that universities must meet before attempting a similar build‑in‑house approach.