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This systematic review examines 44 empirical studies from 2011 to 2024 on how learning analytics (LA) has been used to inform and evaluate instructional design practices in online and hybrid higher education courses. It explores the research methodologies, the extent to which formal Instructional Design frameworks are incorporated, and the pedagogical purposes of LA implementation. Barriers such as technical constraints, data literacy gaps related to LA for faculty, and the absence of interdisciplinary collaboration frequently constrain effective integration. The findings highlight a critical gap between data-driven insights and theory-informed instructional decision-making. This review calls for stronger alignment between LA and ID, supported by ethical practices, mixed-methods research, and faculty development to advance learner-centered, adaptive, and sustainable teaching practices.