The Co-Lab@UDI

Not If, But How: Redesigning the Future of Higher Education

Minu Ipe, Vice Chair and Managing Director, University Design Institute

July 29, 2025

Universities have never been static.

Time and again, they’ve reshaped themselves to meet the demands of a changing world. Empires have risen and fallen, governments have collapsed, and entire societies have transformed—yet universities have endured, often anchoring those shifts or rising despite them.

In the past, transformation was often sparked by singular disruptions—wars, empires, political revolutions. And while these transformations were bold, they were largely led by individual institutions responding to their national contexts. Today, the challenges we face are more expansive and more entangled, spanning continents, economies, technologies, and ecologies. Meeting this moment will require something far greater than incremental reform or institutional adaptation. It will require a collective, cross-sector redesign rooted in bold ideas and shared purpose.

By 2030, more than 120 million additional learners are expected to seek higher education¹. Meeting that demand will require a 48 percent increase in capacity of the higher education system, translating to the need for around 2,200 new universities to be built each year. At the same time, the global talent gap is projected to reach 85 million. As we face this staggering disconnect between demand and capacity, the question confronting us isn’t if higher education must change, but how.

Conversations with university leaders, government officials, business executives, and other stakeholders reveal a shared sense of urgency—an urgency echoed in the Future of Jobs Report 2025². Policymakers face pressure to accelerate human capital development. Employers lament the mismatch between graduate skills and workforce needs. Students struggle with outdated curricula, archaic teaching models, and learning environments that fail to address their financial realities and diverse learning needs. And higher education leaders face structural barriers, including underfunded institutions, rigid regulatory environments, and entrenched bureaucracies, that make the task of transformation daunting.

Universities have long demonstrated their capacity to evolve, but what defines this moment is a new imperative: to redesign.

The Role of Higher Education in Society

The vast majority of the 25,000 universities in the world are primarily teaching institutions, delivering degrees and educational programs. Only about 10% also have a significant focus on research. But universities are, and have the potential to be, so much more for their communities, their nations, and the world. They are foundational to social mobility, economic vitality, and national progress. When they function well, they:

Deliver on the hopes and dreams of millions of young people seeking meaningful careers and fulfilling lives.
Expand access and equity, turning education into a true gateway to opportunity.
Create intergenerational prosperity by breaking cycles of poverty and exclusion.
Catalyze regional development by aligning research and learning with community priorities.
Develop leaders across society, equipped to shape just, sustainable, and innovative futures.

But to fulfill this promise in today’s world, universities must embrace bold redesign.

From Problem-Solving to System Redesign

No single institution can tackle today’s complex challenges alone. As universities work to develop viable business models and stay relevant to their communities, the higher education system must shift from fragmented efforts to large-scale, collaborative, and design-led change at scale. That means:

System-level solutions: Building multi-sector coalitions—across education, industry, and government—to rethink structures like non-degree credentialing and quality assurance.
New delivery models: Leveraging digital platforms, AI capabilities, and university alliances focused on broadening and democratizing education, regionally and nationally.
Mission-aligned innovation: Designing initiatives that respond directly to urgent community needs, such as climate resilience, clean food and water, human and planetary health, and inclusive economic development.
Capacity building through collaboration: Forging new partnerships between universities, industry, and civic society to rapidly grow talent pipelines, expand doctoral training and faculty development (particularly in the global south), and strengthen research ecosystems.

This is not a moment for incrementalism. It is a moment for redesign.

Introducing The Co-Lab@UDI

To support these global efforts, Arizona State University’s University Design Institute is launching The Co-Lab, a new design space to accelerate higher education transformation globally.

The Co-Lab is designed to:

Design and prototype new institutional models, delivery approaches, and system structures by convening thoughtful experts and leaders across sectors in creatively curated sessions. These conversations will include the voices of youth and unconventional thinkers to spark fresh, transformative ideas.
Generate insights on global trends and emerging futures through The Co-Lab Brief and Co-Lab Library, and share innovative solutions and proven practices to equip institutional leaders with timely support for driving transformation.
Cultivate a global network of visionary leaders, institutions, and partners who will bring shared purpose, sustained momentum, and commitment to reimagining higher education.

The Co-Lab will be a home for bold ideas and practical design. It is where institutional innovation will intersect with global challenges, and where a diverse set of voices and perspectives will come together to shape a new future for higher education.

Works Cited:

¹Glass, Chris R., Kara A. Godwin, and Robin Matross Helms. Toward Greater Inclusion and Success: A New Compact for International Students. American Council on Education, 2021. https://www.acenet.edu/Documents/Intl-Students-Monograph.pdf.
²World Economic Forum. The Future of Jobs Report 2025. 7 Jan. 2025, https://www.weforum.org/publications/the-future-of-jobs-report-2025/digest/

Author:

Minu Ipe

Vice Chair and Managing Director

Location:

Global

Design Imperative:

University Mission Leaders and Culture Learner Experience Digital Solutions Partnerships and Financial Models Research and Discovery