August 18, 2010 SHRM Poll: Hiring Practices and Attitudes: Traditional vs. Online Degree Credentials Commissioned by:

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Definitions  All colleges and universities discussed in this survey, whether online or traditional, are assumed to be accredited institutions.  Online degrees: The majority (80% or more) of the courses to complete degree requirements are taken online.  Traditional degrees: The majority of the courses (80% or more) to complete degree requirements are taken at a brick-and-mortar campus, with face-to-face instruction in a physical classroom. Types of accredited institutions that offer online degrees: 1)The online degree is offered by a traditional brick-and-mortar educational institution: Public brick-and-mortar universities that also offer online education (e.g., UMass Online, Penn State Online, Bowling Green State University, etc.) Private, for-profit brick-and-mortar universities that also offer online education (e.g., University of Phoenix, Grand Canyon University, Ashford University, etc.) Private, not-for-profit brick-and-mortar universities that also offer online education (e.g., Saint Leo University, Drexel University Online, Bellevue University, etc.) 2) Only an online degree is offered, no traditional brick-and-mortar educational institution exists: 100% distance learning universities (no physical classrooms or campuses) (e.g., Walden University, Capella University, California Coast University, etc.) 2

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Key Findings More than one-third of organizations (34%) reported that job candidates who have obtained their degrees online were viewed as favorably as job applicants with traditional degrees (i.e., brick-and-mortar). More than one-half of organizations (55%) indicated that if two job applicants with the same job experience were applying for a job, it would not make a difference whether the job candidate’s degree was obtained through an online or traditional (i.e., brick-and-mortar) degree program. The higher the position in the organization, the less acceptable the online degree credentials. Four out of 10 organizations (43%) indicated that an online degree credential is acceptable for a job applicant seeking an entry-level position, but only 15% of organizations indicated that an online degree is acceptable for a job applicant seeking an executive-level position. Only 11% of organizations stated that job candidates frequently or always identified on their resumes whether their degrees were obtained through an online degree program. 79% of organizations indicated that they had hired a job applicant with an online degree in the last 12 months. 3

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 How strongly do you agree or disagree with the following statements about accredited online courses and/or degree programs versus accredited traditional (i.e., brick-and-mortar) courses and/or degree programs? 4

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 How strongly do you agree with the following statements about accredited online courses and/or degree programs versus accredited traditional (i.e., brick-and-mortar) courses and/or degree programs? Compared With 2009 Note: Figure represents “agree” and “strongly agree” responses. *This option was not available in 2009.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 The current economic recession has led to an increase in the number of job applicants with online university degrees (by operations): Organizations with U.S.-based operations were more likely than organizations with multinational operations to agree that the current economic recession has led to an increase in the number of job applicants with online university degrees. Online degree programs are equally credible to traditional degree programs (by union status): Organizations with unionized employees (53%) were more likely than non-unionized (39%) organizations to agree that online degree programs are equally credible to traditional degree programs. 6 Comparison by Organization’s Operations and Union Status How strongly do you agree with the following statements about accredited online courses and/or degree programs versus accredited traditional (i.e., brick-and-mortar) courses and/or degree programs?

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Are job candidates who have obtained their degrees online viewed more favorably or less favorably than job applicants with traditional degrees (i.e., brick-and-mortar)? 7 Note: n = 446. Percentages do not total 100% due to rounding.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 In your experience, how often do job applicants identify on their resumes whether their degrees are obtained through an online degree program? 8 Note: “Not sure” responses were excluded from this analysis.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Generally speaking, as an HR professional, how do you assess whether a university degree identified on a job applicant’s resume has been acquired through an online degree program? 9 Note: n = 423. Percentages do not total 100% due to rounding.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Generally speaking, how acceptable is an online degree credential for a job applicant seeking… 10 Note: Percentages may not total 100% due to rounding.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 If two job applicants with the same job experience were applying for the same job at your organization, what type of educational credential, if any, would tip the balance in one candidate’s favor? 11 Note: n = 376. Percentages do not total 100% due to rounding.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 When evaluating the educational credentials of job applicants, how favorably or unfavorably do you view the degrees obtained from each of the following types of online educational institutions viewed compared with degrees obtained through a traditional degree program? 12 Note: Percentages may not total 100% due to rounding.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Applicant with an associate’s degree 13 Note: n = 404. Percentages do not total 100% due to rounding. If job applicants with the same job experience and same level of education were applying for the same job at your organization, what type of educational credential, if any, would tip the balance in one candidate’s favor?

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Applicant with an undergraduate degree 14 Note: n = 402. Percentages may not total 100% due to rounding. If job applicants with the same job experience and same level of education were applying for the same job at your organization, what type of educational credential, if any, would tip the balance in one candidate’s favor?

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Applicant with an undergraduate and a master’s degree 15 If job applicants with the same job experience and same level of education were applying for the same job at your organization, what type of educational credential, if any, would tip the balance in one candidate’s favor?

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Generally speaking, how strongly do you agree or disagree with the following statements about accredited online degree programs and accredited traditional degree programs? Strongly Disagree DisagreeAgree Strongly Agree Graduates of online degree programs have greater self-discipline than students who graduated from traditional degree programs (n = 281) 6%59%21%14% Graduates of traditional degree programs have greater self-discipline than students who graduated from online degree programs (n = 272) 3%67%24%6% Graduates of traditional degree programs communicate more effectively than students who graduated from online degree programs (n = 272) 2%41%42%14% Graduates of online degree programs communicate more effectively than students who graduated from traditional degree programs (n = 287) 15%73%8%4% Graduates of online degree programs have better time management skills than students who graduated from traditional degree programs (n = 269) 7%64%19%10% Graduates of traditional degree programs have better time management skills than students who graduated from online degree programs (n = 252) 4%66%24%5% Online education is easier than traditional, face-to-face education (n = 317)12%48%31%10% Traditional, face-to-face education is easier than online education (n = 322)13%69%17%2% Online education is lower in quality than traditional, face-to-face education (n = 312)13%44%35%9% Traditional, face-to-face education is lower in quality than online education (n = 337)25%72%2%1% Graduates of traditional degree programs are more motivated than students who graduated from online degree programs.(n = 273) 4%62%27%7% Graduates of online degree programs are more motivated than students who graduated from traditional degree programs (n = 272) 8%70%15%7% Even if an online degree credential is from a reputable institution with name recognition, if it was earned online, it will be considered less credible (n = 327) 11%51%35%4% 16 Note: Percentages may not total 100% due to rounding. “Not sure” responses were excluded from this analysis.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 In the last 12 months, has a job applicant with an online degree applied for a position at your organization? 17 Note: n = 254. “Not sure” responses were excluded from this analysis.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 In the last 12 months, did your organization hire a job applicant with an online degree? 18 Note: n = 151. “Not sure” responses were excluded from this analysis. Only organizations where a job applicant with an online degree applied for a position in the last 12 months were included in this analysis.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Demographics: Organization Industry Industry Manufacturing—other14% Health care, social assistance (e.g., nursing homes, EAP providers)11% Services—professional, scientific, technical, legal, engineering11% Educational services/education7% Financial services (e.g., banking)6% Other services (e.g., nonprofit, church/religious organizations)5% Government/public administration—federal, state/local, tribal4% Retail/wholesale trade4% Manufacturing—auto/auto-related4% 19 Note: n = 379. Percentages do not total 100% due to rounding.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Demographics: Organization Industry (continued) Industry Insurance3% Construction, mining, oil and gas3% High-tech3% Consulting3% Services—accommodation, food and drinking places3% Arts, entertainment, recreation3% Telecommunications2% Transportation, warehousing (e.g., distribution)2% Biotech2% Publishing, broadcasting, other media2% Real estate, rental, leasing2% Utilities1% Association—professional/trade1% Pharmaceutical1% Other4% 20 Note: n = 379. Percentages do not total 100% due to rounding.

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Demographics: Organization Sector 21 Note: n = 377

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Demographics: Organization Staff Size 22 Note: n = 249

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 Demographics: Other 23 Note: n = 384 U.S.-based operations70% Multinational operations30% Single-unit company: Companies in which the location and the company are one and the same. 30% Multi-unit company: Companies that have more than one location. 70% Multi-unit headquarters determines HR policies and practices 46% Each work location determines HR policies and practices 5% A combination of both the work location and the multi-unit headquarters determine HR policies and practices 49% Is organization a single-unit company or a multi- unit company? Are HR policies and practices determined by the multi-unit corporate headquarters, by each work location or both? Does organization have U.S.-based operations (business units) only or does it operate multinationally? Note: n = 378 Note: n = % of organizations indicated that employees at their work location were unionized. Note: n = 374

Hiring Practices and Attitudes – Traditional vs. Online Degree Credentials| Commissioned by eLearners.com ©SHRM 2010 SHRM Poll: Hiring Practices and Attitudes: Traditional vs. Online Degree Credentials Response rate = 17% Sample comprised of 449 randomly selected HR professionals from SHRM’s membership Margin of error is +/- 5% Survey fielded July 27–August 6, Methodology For more poll findings, visit: Follow us on Twitter: