Education Revolution: Nuno Fernandes of American Public University System On Innovative Approaches That Are Transforming Education

An interview with Eden Gold

Take risks and be bold. If it doesn’t work out, it often leads to something better.

The landscape of education is undergoing a profound transformation, propelled by technological advancements, pedagogical innovations, and a deepened understanding of learning diversities. Traditional classrooms are evolving, and new modes of teaching and learning are emerging to better prepare students for the complexities of the modern world. This series explores groundbreaking initiatives reshaping education globally. As part of this series, we had the pleasure of interviewing Nuno Fernandes.

APUS President Nuno Fernandes is a visionary leader who has successfully made online higher education more affordable and accessible while delivering top-quality education and favorable student outcomes. As the fifth President of APUS, he is focused on a global digital journey that integrates personalized, collaborative, technology-driven learning experiences to prepare students for tomorrow’s challenges and opportunities.

Thank you so much for doing this with us! Our readers would love to “get to know you” a bit better. Can you share the “backstory” behind what brought you to this particular career path?

I was born in Portugal into a small family. My grandparents lived in a tiny Portuguese village with 200 residents, and this is where I spent the early years of my life. They worked as farmers and did not know how to read or write; my parents were the first in the family to obtain a college education. They moved to a larger city (Porto, Portugal); my father became a lawyer, and my mother a university teacher, instilling in me the values of education, hard work, and determination. Their access to higher education transformed not only their lives but also our family’s future.

This is a major reason I am so committed to our mission at American Public University System (APUS). We offer affordable and accessible high-quality education to everyone who wishes to improve their lives and the lives of their families.

From an early age, I always wanted to travel the world and learn about other cultures. After graduating, I started working for a large German enterprise, Bosch. During my professional career, I had the opportunity to work and live in various parts of the world. I have spent time in the UK, Spain, Germany, Brazil, Mexico, Panama, Colombia, and about 15 years ago, I moved to the US as the SVP of Marketing and Product Management of one of the Bosch divisions.

In 2013, an executive recruiter approached me because he was looking for a CMO for a global education company, Ilumno. Until that point, I had never considered education as a service that could be marketed or promoted. While I always had a great appreciation for education, I had never imagined being professionally involved in the field. But then I started reflecting on my family’s history, how education had changed it, and I became attracted to the idea of helping other people and families achieve that same transformation.

I accepted the role of CMO and eventually became the President and CEO of the company, which grew to become one of the largest Online Program Managers in the world (in terms of managed students). At its peak, Ilumno served almost 300,000 students and pioneered online education in several countries, including Colombia, Panama, Argentina, Chile, El Salvador, Costa Rica, and later in South Africa, Kenya, Greece, and others. During this period, I developed a powerful sense of commitment to expanding access to high-quality education. While I have attended countless graduation ceremonies, each one feels like the first. Seeing the students walk across the stage, ready to embark on the next chapter of their lives, is always incredibly gratifying and emotional.

After nearly 10 years with Ilumno, in September 2022, I joined APUS, accepting an offer to become the university’s President.

Can you share the most interesting story that happened to you since you started your career? Can you tell us what lesson you learned from that?

I am always fascinated by the concept of the butterfly effect, which suggests that small, seemingly insignificant events can lead to significant, unforeseen outcomes.

Shortly after graduating, I arranged a lunch with a former professor whom I greatly respected. He asked me to meet him at a specific location at the university where he was working that day. I arrived on time, but he was a few minutes late, so I began browsing the job board (back then, everything was printed and posted on a wall). While waiting, I noticed an ad from Bosch listing open positions. I noted the phone number and email and went on to lunch. That afternoon, I decided to write to the company and apply for one of the jobs. I got the job, which took me to several countries around the world and eventually brought me to the US, where I met the mother of my son, and where my son was born.

But let’s consider for a moment what might have happened if:

• We had decided to meet somewhere else.
• I had been distracted and missed the job ad on the wall.
• I had pursued a different academic degree and never met that professor.
• I had taken the same degree but didn’t take his class.
• He had not been late to meet me.
• The bus I took that day had broken down, preventing me from arriving on time.

These seemingly insignificant variations could have completely altered the course of my life.

Nearly 25 years after that lunch, I can clearly say that if I had not seen that ad on the wall, I would most certainly not be the President of APUS today, and my son would not exist.

You never know what effects will unfold, good or bad, from seemingly routine and innocent events. This principle also applies to education: each decision and opportunity, however minor it may seem, can have significant impacts on a student’s future.

This concept frequently gets wrongly confused with luck. Luck is winning the lottery, but even for that, you need to buy the ticket. Pure luck does not exist, but there are moments in life that open wonderful doors for you, and you need to be prepared at all times to walk through those doors.

It’s about being always prepared and ready to act when opportunity knocks.

Can you briefly share with our readers why you are an authority in the education field?

I don’t consider myself an authority; it’s not a term I would use to describe myself. My passion lies in education because I am deeply engaged, curious, and believe profoundly in its transformative power. I’ve witnessed firsthand how education can correlate with economic success, whether for individuals or nations. My professional goal is to positively impact as many families as possible through the power of education.

My profile is not the typical one for a university president. I don’t say this to imply it is better or worse; it’s just different. I spent the first half of my career working for a Fortune 500 company, managing branding, marketing, sales, and product management teams in the highly competitive global consumer goods industry. I learned many things, but the most important lesson was that branding and marketing are two different things. Nurturing and improving the value of a brand is strategic, while marketing tends to be more tactical. Both are necessary, but I am a big fan of building paths to continuously improve brand trust. No matter the industry, product, customer, or country, a company’s brand is its single most important asset. Robert Bosch, the founder of Bosch, once said, ‘I would rather lose money than trust.’ The way to build that trust is to value quality over profits because if you offer high quality to your customers, the business will flourish.

In the second half of my career, I worked in higher education around the world, pioneering online education in many countries. I developed a deep interest in how technology could improve the quality and accessibility of education while reducing delivery costs. Since 2014, I have believed that technology will significantly transform higher education. We are getting closer to witnessing that transformation, and I always strive to stay abreast of technology trends and new initiatives that could benefit both students and faculty at APUS.

Exposure to global markets has given me a broad perspective on innovation, trends, and initiatives in higher education, enabling me to quickly adapt successful ideas from one country to another. I believe learning through simple observation is powerful. For example, in the US, we are now beginning to discuss the “college in 3” model (90-credit bachelor’s degrees), which reduces the completion time from 4 years to 3 years. Some pilot programs are currently running across the country, and this concept is likely to become popular because it allows students a faster time to market and requires a lower investment. However, the same idea has been implemented in Europe for more than 20 years. My point is that we can, and should, always have an open mind and learn from others while continuously striving to improve the quality of our programs and services.

Can you identify some areas of the US education system that are going really great?

Higher education is frequently criticized in the media, but there are significant strengths that often get overlooked. Here are six positive aspects that highlight the enduring value of higher education:

1. Increased Lifetime Earnings and Lower Unemployment Rates: Individuals with a higher education degree tend to earn substantially more over their lifetimes compared to those with just a high school diploma while also having lower unemployment rates. According to the US Bureau of Labor Statistics (BLS), in 2023, median weekly earnings for bachelor’s degree holders was $1,432, while high school graduates earned $853. Over a lifetime, this translates to approximately $1 million more for those with a bachelor’s degree, showcasing the strong financial value that higher education provides. BLS also highlights the job market’s higher valuation of degrees, leading to better job stability for graduates, reporting unemployment rates in 2023 as 1.1% for doctoral degree holders and 2.1% for those with a bachelor’s degree, compared to 5.4% for those without a high school diploma.
2. High Participation Rates: The US ranks among the top 10 countries worldwide for participation rates in higher education, reflecting broad access to advanced learning opportunities.
3. Extensive Online Education Options: The US has around 3,000 universities offering online courses, more than any other country. This provides students with the flexibility to pursue their studies regardless of their physical location, making education more accessible to a broader audience, including international students. This international appeal further enhances the learning environment and cultural exchange on campuses.
4. Diverse Higher Education Institutions: The diversity of higher education institutions in the US allows students to choose from state universities, private universities, and for-profit institutions, creating a competitive environment that drives quality and innovation. This variety ensures that students can find programs that best meet their needs and preferences.
5. Leadership in Academic Research: The US is at the forefront in academic research. In 2022, the US invested $679 billion in R&D, the highest globally. This commitment to research not only enhances the quality of higher education but also drives significant advancements and innovations across various fields.
6. Greater Transparency Around the ROI of Education: There is an increasing focus on transparency regarding the return on investment (ROI) of various degrees, allowing students to make more informed decisions about their education. This emphasis on ROI also motivates institutions to enhance their programs’ value and alignment with labor market demands, improving job placement rates and overall career readiness for graduates.

Can you identify the key areas of the US education system that should be prioritized for improvement? Can you explain why those are so critical?

The primary challenge facing US higher education today is the skyrocketing tuition. Over the past 20 years, tuition and fees have surged by approximately 300%, significantly outpacing inflation and wage growth. This rapid increase has made pursuing a degree prohibitively expensive for many students and their families, leading to growing skepticism about the value of higher education.

It is widely accepted that the US is the most expensive country in the world for higher education. Simultaneously, access to student credit remains remarkably easy, contributing to a collective student loan debt in the US that now exceeds $1.7 trillion and affects nearly 44 million borrowers. This easy access to credit creates an illusion of affordability where students can easily borrow money to finance their education, encouraging universities to continually hike costs. As universities spend more, these costs are oftentimes transferred to tuition, which students finance through loans, creating a cycle of escalating debt that I frequently call a university death spiral.

It’s a self-perpetuating cycle of decline that some institutions face, leading to significant challenges in sustainability and survival. This concept encapsulates a series of interconnected issues leading to enrollment declines that compound over time, making it increasingly difficult, or impossible, for an institution to recover. Factors that can lead to enrollment declines are a shift in demographics, increased competition, negative perception of the value, quality, or overall, the market relevance of higher education.

As a result, institutions naturally have a revenue shortfall because of the enrollment decline which then leads to the need for budget cuts which can contribute to decreased quality, a negative reputation, and potentially, institution closure.

Because of this spiral, two macro effects might happen:

1. Inability to Repay Loans: Many students find themselves unable to repay their student loans due to the overwhelming debt burden relative to their post-graduation earnings.
2. Decline in Higher Education Demand: As tuition becomes increasingly unaffordable, more potential students and their families may choose not to pursue higher education, fearing the financial risks. This decline in demand threatens the sustainability of many higher education institutions.

The late Clayton Christensen, a renowned professor at Harvard, predicted in 2013 that about 50% of colleges and universities in the United States would go bankrupt or shut down within 10 to 15 years. While his timing may have been off, the underlying concept remains valid: if current trends continue, many institutions could face severe financial difficulties as the demand for traditional higher education diminishes due to prohibitive costs.

At American Public University System, we are committed to maintaining high-quality programs while keeping tuition affordable. Over the last 20 years, our tuition has increased by about 15%, which is 20 times less than the average increase of 300% across the higher education sector during the same period. This approach reflects our dedication to providing value and accessibility to our students, aligning our financial strategies with the realities faced by today’s learners.

In what ways do you think your approach might shape the future of education? What evidence supports this?

While my team and I do not aim to shape the future of education broadly, we are laser-focused on the growth and excellence of the American Public University System (APUS). Our goal is to continuously improve our quality, services, accessibility, and affordability, working diligently to ensure APUS is globally recognized for delivering top-quality education at affordable tuition rates.

The essential question we must ask ourselves is: What comes next? Thirty years ago, the first fundamental change in higher education emerged with the creation of the online model, allowing access to higher education without the need for physical presence on a campus.

In many ways, higher education today remains similar to its form almost 1,000 years ago at the University of Bologna, the oldest university in Europe. Back then, education was characterized by the professor lecturing and “teaching” students, who were expected to demonstrate their understanding by repeating what the professor had taught. This model has persisted, where professors educate, whether in a classroom or online, and students listen, read, memorize, and take exams to prove that they have learned the material.

However, this model is ready to change. Students are ready for that change. AI is emerging to augment and transform teaching and learning methods. This presents an opportunity to revolutionize the educational landscape — to offer more personalized, adaptive, and interactive learning experiences that go beyond traditional paradigms.

AI and Artificial General Intelligence (AGI) can enable 24/7 support within the classroom, offer programs and services in any language, and create customized academic content that maximizes each student’s learning potential. AI-powered personal tutors will tailor learning experiences to individual needs, providing real-time feedback and personalized study plans, which will significantly enhance learning efficiency and student performance. AI can also help educators create low-cost but dynamic and interactive learning materials, from personalized textbooks to videos and gamification to automated assessments. Furthermore, AI-driven predictive analytics will analyze student data to anticipate challenges and recommend timely interventions, boosting student retention and success rates.

Over the next decade, I believe we’re going to see transformative changes in education driven by technology. We’re already seeing the integration of immersive Virtual Reality (VR) experiences, where students can virtually attend historical events, explore ancient civilizations, or even dissect organisms in 3D as well as Virtual Classrooms in the Metaverse, enabling global collaboration without the constraints of physical travel, making learning truly global and accessible.

Lastly, I believe there will be a shift towards Global Mega Universities. As predicted by Clayton Christensen, many traditional universities will need to adapt or face closure, leading to fewer but larger institutions that cater to a global student body. These changes will probably be resisted by many universities for as long as they can, but eventually, they will become the new norm because it will be the new expectation of the students.

What challenges have you faced in implementing your educational innovations, and how have you overcome them?

The main challenge with innovation is always the collective mindset. Change is the only constant in the universe, in the history of humanity, and in our lives, and despite this, humans inherently resist change.

But the world is changing rapidly. Today, the largest taxi company in the world, Uber, has no cars; the most valuable photo company, Instagram, sells no cameras; and the largest accommodations provider, Airbnb, owns no real estate. Who would have thought, just ten years ago, if someone had said that you would be able to airdrop photos and videos from one phone to another, or buy an electric car online that is faster than any combustion car and have it delivered to your house? And then the car would drive itself to any destination of your liking! Most likely, you would have thought that something perfectly possible today was impossible to achieve.

My message: don’t limit our vision by the status quo. Amplify it by what it could be. I believe that we have the privilege of living in an era of the greatest opportunities in history. The world has never been wealthier, never so advanced in terms of healthcare, technology, and education, and the speed of change will only accelerate. As educators, we have the privilege of living in a time where true transformation and innovation in higher education are possible.

How can academic leaders better prepare for this revolution?

1. Be Open About AI: It’s on us as academic leaders to take full responsibility and openly discuss what is possible. This means having a solid AI policy implemented for faculty and students so that rules are clear from the outset.
2. Ensure Agile Leadership Is in Place: If you want to excel and set yourself apart from the thousands of other universities, you must make sure that your peers and colleagues are excited about innovation. Talented provosts, deans, and department chairs aligned on important decisions is key to achieving success.
3. Walk, Don’t Run: Start with a pilot program before engaging in full adoption. You might consider test groups for rolling out technology in controlled environments, for example. Study what other universities are doing here — and then do it better yourself.

Keeping in mind the “Law of Unintended Consequences,” can you see any potential drawbacks of this innovation that people should think more deeply about?

First and foremost, there’s an ethical risk. AI systems can inadvertently perpetuate biases present in the data they are trained on, leading to recommendations or content that may not be fair or accurate. Ensuring transparency and rigorous bias detection measures is essential to mitigate these risks and to promote fairness and accountability in AI use. Data privacy and security are another major concern.

As AI and other technologies increasingly support students 24/7, the role of educators is evolving. Interestingly, I believe faculty roles will become more essential as AI allows them to focus on mentoring and coaching. This shift can enhance the human aspect of education, which remains essential. However, it requires that faculty adapt and embrace these new roles, supported by ongoing training and professional development.

Over-reliance on AI and technology also poses a risk. We must avoid a scenario where students become passive consumers of AI-generated content, which could stifle critical thinking, problem-solving, research, and idea generation skills. AI should be integrated in a way that complements traditional learning methods and encourages active engagement, questioning, and collaboration among students.

Lastly, we should be mindful of unintended behavioral changes. The integration of AI could influence student behavior and learning patterns, such as reduced attention spans or over-reliance on technology for problem-solving. It’s important to ensure that educational approaches remain balanced, promoting a holistic development that includes physical activities, social interactions, and traditional learning methods.

What are your “5 Things I Wish I Knew When I First Started”?

• Your greatest competition is yourself, not anyone else.
• Surround yourself with exceptionally talented people.
• Be discerning about whom you report to; it will significantly influence your career trajectory and how much fun you have along the way.
• Actions speak louder than words. Prioritize doers over dreamers.
• Take risks and be bold. If it doesn’t work out, it often leads to something better.

Can you please give us your favorite “Life Lesson Quote”? Can you share how that was relevant to you in your life?

“If you don’t like change, you’ll like irrelevance even less.” — Eric Shinseki

This quote profoundly resonates with me because it encapsulates the necessity of embracing change to avoid becoming obsolete.

Look at the top 10 jobs in 1900 and the top 10 jobs today. In 1900, it was probably unimaginable that blacksmiths and railroad workers would no longer be prevalent in the future. Yet, they are not, and the only job that appears on both lists is “teacher.”

Change is the only constant in the universe, throughout the history of humanity, and in life.

We are blessed that some of the biggest names in Business, VC funding, Sports, and Entertainment read this column. Is there a person in the world, or in the US, with whom you would love to have a private breakfast or lunch, and why? He or she might just see this if we tag them :-)

I am a big fan of Scott Galloway. I appreciate his ability to distill complex ideas into engaging and accessible narratives. His approach, which skillfully blends data-driven analysis with candid, often humorous commentary, resonates with my own background in marketing. I believe we both share a deep passion for enhancing access to quality education, and I frequently find myself in agreement with his views on technology, education, and society.

Galloway’s unique perspective on the evolution of technology and its role in shaping business strategies, consumer behavior, and societal trends offers a pragmatic view of the challenges and opportunities in the digital era. Some of his podcasts and collaborations on YouTube are also favorites of mine. I admire his straightforward, sometimes provocative approach, which challenges conventional thinking and encourages critical examination of the status quo. His focus on democratizing education, advocating for a more equitable economic system, and addressing the implications of technological disruption resonates deeply with me. Engaging in a dialogue with Galloway would be a tremendous opportunity to explore his perspectives further, though I suspect I’d be more inclined to listen and learn from his insights.

How can our readers further follow your work online?

I encourage readers to connect with me on LinkedIn here. Readers can also learn more about our vibrant University here and follow us on social media (a list of our channels is available on the website).

Thank you so much for these insights! This was so inspiring!

About The Interviewer: Eden Gold, is a youth speaker, keynote speaker, founder of the online program Life After High School, and host of the Real Life Adulting Podcast. Being America’s rising force for positive change, Eden is a catalyst for change in shaping the future of education. With a lifelong mission of impacting the lives of 1 billion young adults, Eden serves as a practical guide, aiding young adults in honing their self-confidence, challenging societal conventions, and crafting a strategic roadmap towards the fulfilling lives they envision.

Do you need a dynamic speaker, or want to learn more about Eden’s programs? Click here: https://bit.ly/EdenGold.