Universities would likely find that larger class

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Successful Project Management
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Chapter 1 / Exercise 6
Successful Project Management
Clements/Gido
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Universities would likely find that larger class sizes would be a useful strategyto increase income. The fix costs associated with teaching in a classroom wouldbe evenly distributed across the number of students in the class. Theprofessor’s salary would remain constant if they are teaching 5 students or 50.The cost to heat the room and provide lights would also remain the same.Books can be ordered in bulk then sold in the book store at a higher profitmargin. The university would enjoy additional profits for each student in theclass.Diseconomies of scale happen when capacity increases to the point where long­run average costs begin to increase due to increasing complexity. As class sizeincreases the quality of teaching and learning will decrease. Students who havequestions for the professor may not be able to receive answers during classtime. The professor will end up spending additional time to grade papers andissue homework. A teacher’s aid would be hired to help out so the professorcould focus on lesson plans. If class size continues (perhaps 1000 students) toincrease additional aids will be needed; students would be referred toclassroom assistance instead of the professor for help understanding concepts.To handle different requests special aids would be hired; one to handle studentinquires on grades, one for homework help, one for help understandingconcepts, one for class attendance issues, one to schedule tests and quizzes.These aids would of course cost the university and lower the average long­runcosts.Christopher Holder
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Successful Project Management
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Chapter 1 / Exercise 6
Successful Project Management
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2/21/2016Collection – MBA675­T303 Operations & Logistics in the (...27/32(Post is Read)Thread:Chris Holder Q12Post:RE: Chris Holder Q12Author:Posted Date:January 17, 2016 12:52 PMStatus:Published(Post is Read)Great example. Regarding the universities and larger class sizes, I can also seewhere increasing the number of online courses could increase income. Thecollege would not need to provide physical space for the students to attend on­campus, although additional costs may go into any online course expenses.Further, instructors may see a greater workload.Jenna BuettnerThread:Chris Holder Q12Post:RE: Chris Holder Q12Author:Posted Date:January 18, 2016 6:50 PMStatus:Published(Post is Read)This is an interesting example and very well thought out on all of the costsassociated with conducting the class. Beyond simply having to higher moreaides, there is proabaly also a capacity tipping point where it would benecessary to have multiple class offerings for the same course and, potentially,the necessity to hire more instructors. This would increase the cost and almoststart the scale over based upon the expansion.Also, it is possible, with such a massive increase in workload for grading andsimply the time it takes to address students issues, the instructors may demandmore compensation in order to compensate for increased expenditure of time.

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