
Educational Testing Service (ETS), founded in 1947, is the world's largest private educational testing and assessment organization.
/ref> It is headquartered in Lawrence Township, New Jersey
New Jersey is a U.S. state, state located in both the Mid-Atlantic States, Mid-Atlantic and Northeastern United States, Northeastern regions of the United States. Located at the geographic hub of the urban area, heavily urbanized Northeas ...
, but has a Princeton address.
ETS develops various standardized test
A standardized test is a Test (assessment), test that is administered and scored in a consistent or standard manner. Standardized tests are designed in such a way that the questions and interpretations are consistent and are administered and scored ...
s primarily in the United States for K–12 and higher education
Tertiary education (higher education, or post-secondary education) is the educational level following the completion of secondary education.
The World Bank defines tertiary education as including universities, colleges, and vocational schools ...
, and it also administers international tests including the TOEFL (Test of English as a Foreign Language), TOEIC (Test of English for International Communication), Graduate Record Examination (GRE) General and Subject Tests, and The Praxis test Series—in more than 180 countries, and at over 9,000 locations worldwide. Many of the assessments it develops are associated with entry to US tertiary (undergraduate) and quaternary education (graduate) institutions, but it also develops K–12 statewide assessments used for accountability testing in many states, including California, Texas, Tennessee, and Virginia. In total, ETS annually administers 50 million exams in the U.S. and in 180 other countries.
History
ETS is a U.S.-registered 501(c)(3)
A 501(c)(3) organization is a United States corporation, Trust (business), trust, unincorporated association or other type of organization exempt from federal income tax under section 501(c)(3) of Title 26 of the United States Code. It is one of ...
non-profit organization
A nonprofit organization (NPO), also known as a nonbusiness entity, nonprofit institution, not-for-profit organization, or simply a nonprofit, is a non-governmental (private) legal entity organized and operated for a collective, public, or so ...
created in 1947 by three other nonprofit educational institutions: the American Council on Education
The American Council on Education (ACE) is a nonprofit 501(c)(3) U.S. higher education association established in 1918. ACE's members are the leaders of approximately 1,600 accredited, degree-granting colleges and universities and higher educati ...
(ACE), The Carnegie Foundation for the Advancement of Teaching, and The College Entrance Examination Board. ETS was formed in 1947 to take over the testing activities of its founders (whose organizations were not well suited to running operational assessment programs), and to pursue research intended to advance educational measurement and education. Among other things, ACE gave to the new organization the Cooperative Test Service and the National Teachers Examination; Carnegie gave the GRE; and the College Board turned over to ETS the operation (but not ownership) of the SAT
The SAT ( ) is a standardized test widely used for college admissions in the United States. Since its debut in 1926, its name and Test score, scoring have changed several times. For much of its history, it was called the Scholastic Aptitude Test ...
for graduating high school students.
In 2024 the company established massive layoffs. In June, the company "offered voluntary buyouts to every U.S. employee with more than two years of service." It was the fifth round of layoffs in five years.
Scientific contributions
In keeping with the purposes for which it was established, ETS developed a program of research that covered not only measurement
Measurement is the quantification of attributes of an object or event, which can be used to compare with other objects or events.
In other words, measurement is a process of determining how large or small a physical quantity is as compared to ...
and education
Education is the transmission of knowledge and skills and the development of character traits. Formal education occurs within a structured institutional framework, such as public schools, following a curriculum. Non-formal education als ...
but also such related areas as statistics
Statistics (from German language, German: ', "description of a State (polity), state, a country") is the discipline that concerns the collection, organization, analysis, interpretation, and presentation of data. In applying statistics to a s ...
, educational evaluation, and psychology, particularly cognitive, developmental, personality
Personality is any person's collection of interrelated behavioral, cognitive, and emotional patterns that comprise a person’s unique adjustment to life. These interrelated patterns are relatively stable, but can change over long time per ...
, and social psychology
Social psychology is the methodical study of how thoughts, feelings, and behaviors are influenced by the actual, imagined, or implied presence of others. Although studying many of the same substantive topics as its counterpart in the field ...
. This broad-based research program attracted many individuals who distinguished themselves in their fields, often while at ETS but also in subsequent professorial positions. Among the more influential scientists have been Harold Gulliksen (whose book, ''Theory of Mental Tests'', helped codify classical test theory
Classical test theory (CTT) is a body of related psychometric theory that predicts outcomes of psychological Test (assessment), testing such as the difficulty of items or the ability of test-takers. It is a theory of testing based on the idea that ...
); Frederic Lord (item response theory
In psychometrics, item response theory (IRT, also known as latent trait theory, strong true score theory, or modern mental test theory) is a paradigm for the design, analysis, and scoring of Test (student assessment), tests, questionnaires, and sim ...
); Samuel Messick ( modern validity theory); Robert Linn (known for testing and educational policy); Norman Frederiksen ( performance assessment); Ledyard Tucker (test analysis, including inventing the "Angoff Method" of standard setting); Donald Rubin ( missing data and causal modeling from observational data); Karl Jöreskog ( structural equation modeling and confirmatory factor analysis); Paul Holland ( differential item functioning, test equating, causal modeling); Howard Wainer ( differential item functioning, Testlet Response Theory, statistical graphics); John Carroll (language testing and cognitive psychology); Michael Lewis (infant cognitive, social, and emotional development); Irving Sigel (children's cognitive development); Herman Witkin ( cognitive and learning styles); K. Patricia Cross (adult education); Samuel Ball (an evaluation researcher who documented the positive educational effects of Sesame Street
''Sesame Street'' is an American educational television, educational children's television series that combines live-action, sketch comedy, animation, and puppetry. It is produced by Sesame Workshop (known as the Children's Television Worksh ...
); David Rosenhan (known for the Rosenhan experiment, which challenged the validity of psychiatric diagnosis); Jeanne Brooks-Gunn (the effects of poverty on infant, child, and adolescent development); Robert J. Mislevy (Evidence-Centered Design); and Anthony Carnevale (education and the workforce).
Members of the ETS staff have been among the presidents of the National Council on Measurement in Education (NCME); the Psychometric Society; the Measurement and Evaluation Division of the American Educational Research Association (AERA); the Evaluation, Measurement and Statistics Division of the American Psychological Association
The American Psychological Association (APA) is the main professional organization of psychologists in the United States, and the largest psychological association in the world. It has over 170,000 members, including scientists, educators, clin ...
(APA); the APA Developmental Psychology Division; and the Jean Piaget Society. They have been among the executive editors of the '' Journal of Educational Measurement'', '' Journal of Educational and Behavioral Statistics'', ''Educational Evaluation and Policy Analysis'', ''Journal of Educational Psychology'', ''Journal of Applied Developmental Psychology'', and ''Discourse Processes''. Major citations received while on staff have included elected membership to the National Academy of Education ( K. Patricia Cross, 1975; Gregory Anrig, 1981; Paul Holland, 2005; Randy E. Bennett, 2022; Irwin Kirsch, 2022); (the APA Distinguished Contributions to Knowledge Award (Norman Frederiksen, 1984), the APA Distinguished Scientific Contribution Award (Frederic Lord, 1988; Howard Wainer, 2009); the AERA E.F. Lindquist Award (William Turnbull, 1981; Frederic Lord, 1988; Samuel Messick, 1994; Paul Holland, 2000; Wendy Yen, 2008; Howard Wainer, 2015; Charles Lewis, 2018; Randy E. Bennett, 2020); the NCME Career Contributions to Educational Measurement Award (Frederic Lord, 1990; Paul Holland, 2004; Howard Wainer, 2007; Neil Dorans, 2010; Linda Cook, 2017; Shelby Haberman, 2019); The Psychometric Society's Lifetime Achievement Award (Howard Wainer, 2013), and the Jean Piaget Society's Lifetime Achievement Award (Irving Sigel, 2002); among many other awards.
ETS has produced both new knowledge and methodology, especially in measurement and statistics, much of which has been taken up by assessment organizations around the world. Among the key scientific contributions were:
*co-invention of item response theory
In psychometrics, item response theory (IRT, also known as latent trait theory, strong true score theory, or modern mental test theory) is a paradigm for the design, analysis, and scoring of Test (student assessment), tests, questionnaires, and sim ...
, an integrated framework for asking and answering a variety of practical problems related to the design and analysis of tests;
*creation of an approach and software for structural equation modeling and confirmatory factor analysis ( LISREL), used throughout the social sciences to test theoretical relationships among variables;
*seminal contributions to modern validity theory, including the idea that validity was a unitary concept and that the evaluation of score meaning requires consideration of the consequences of test use as those consequences may imply functional problems with the test;
*development of widely used approaches to data analysis when there are missing data;
*generation of approaches to causal modeling from observational data;
*invention of the In-Basket Test (used throughout the world to assess applicants for managerial jobs in a wide variety of industries);
*development of methods for detecting test unfairness, including invention of the Standardization approach to Differential Item Functioning (DIF) and application of the Mantel-Haenszel method;
*creation of the holistic-scoring approach to writing assessment, a means of rapidly and reliably judging the quality of essay text, which allowed direct writing assessment to become a more affordable alternative to multiple-choice questions for large-scale testing programs;
*development of research-based procedures and standards for occupational licensing and certification.
Current status
ETS' international headquarters is located on a campus outside of Princeton, New Jersey
The Municipality of Princeton is a Borough (New Jersey), borough in Mercer County, New Jersey, United States. It was established on January 1, 2013, through the consolidation of the Borough of Princeton, New Jersey, Borough of Princeton and Pri ...
in Lawrence Township, Mercer County; processing, shipping, customer service and test security is in nearby Ewing. ETS also has a major office in San Antonio, Texas
San Antonio ( ; Spanish for "Anthony of Padua, Saint Anthony") is a city in the U.S. state of Texas and the most populous city in Greater San Antonio. San Antonio is the List of Texas metropolitan areas, third-largest metropolitan area in Texa ...
, which houses its K–12 Assessment Programs division, and smaller offices in Philadelphia, Pennsylvania
Philadelphia ( ), colloquially referred to as Philly, is the List of municipalities in Pennsylvania, most populous city in the U.S. state of Pennsylvania and the List of United States cities by population, sixth-most populous city in the Unit ...
, Washington, DC
Washington, D.C., formally the District of Columbia and commonly known as Washington or D.C., is the capital city and Federal district of the United States, federal district of the United States. The city is on the Potomac River, across from ...
, Hato Rey, Puerto Rico, Sacramento, and Monterey, California
California () is a U.S. state, state in the Western United States that lies on the West Coast of the United States, Pacific Coast. It borders Oregon to the north, Nevada and Arizona to the east, and shares Mexico–United States border, an ...
. Overseas office locations, all of which are associated with for-profit subsidiaries that are wholly owned by ETS, include Amsterdam
Amsterdam ( , ; ; ) is the capital of the Netherlands, capital and Municipalities of the Netherlands, largest city of the Kingdom of the Netherlands. It has a population of 933,680 in June 2024 within the city proper, 1,457,018 in the City Re ...
(ETS Global BV headquarters), London
London is the Capital city, capital and List of urban areas in the United Kingdom, largest city of both England and the United Kingdom, with a population of in . London metropolitan area, Its wider metropolitan area is the largest in Wester ...
(ETS Global BV), Seoul (ETS Global BV), Paris
Paris () is the Capital city, capital and List of communes in France with over 20,000 inhabitants, largest city of France. With an estimated population of 2,048,472 residents in January 2025 in an area of more than , Paris is the List of ci ...
(ETS Global BV), Amman
Amman ( , ; , ) is the capital and the largest city of Jordan, and the country's economic, political, and cultural center. With a population of four million as of 2021, Amman is Jordan's primate city and is the largest city in the Levant ...
(ETS Global BV), Warsaw
Warsaw, officially the Capital City of Warsaw, is the capital and List of cities and towns in Poland, largest city of Poland. The metropolis stands on the Vistula, River Vistula in east-central Poland. Its population is officially estimated at ...
(ETS Global BV), Beijing
Beijing, Chinese postal romanization, previously romanized as Peking, is the capital city of China. With more than 22 million residents, it is the world's List of national capitals by population, most populous national capital city as well as ...
(ETS China), Delhi
Delhi, officially the National Capital Territory (NCT) of Delhi, is a city and a union territory of India containing New Delhi, the capital of India. Straddling the Yamuna river, but spread chiefly to the west, or beyond its Bank (geography ...
(ETS India) and Kingston, Ontario
Kingston is a city in Ontario, Canada, on the northeastern end of Lake Ontario. It is at the beginning of the St. Lawrence River and at the mouth of the Cataraqui River, the south end of the Rideau Canal. Kingston is near the Thousand Islands, ...
(ETS Canada). Not including its for-profit subsidiaries, ETS employs about 2,700 individuals, including 240 with doctorates and an additional 350 others with "higher degrees."
To help support its nonprofit educational mission, ETS, like many other nonprofits, conducts business activities that are unrelated to that mission (e.g., employment testing). Under US tax law, these activities may be conducted (within limits) by the nonprofit itself, or by for-profit subsidiaries. Most of the "off-mission" work conducted by ETS is carried out by wholly owned, for-profit subsidiaries, including ETS Global BV, which contains much of the international operations of the company, ETS China, ETS India and ETS Canada.
About 25% of the work carried out by ETS is contracted by the College Board
The College Board, styled as CollegeBoard, is an American not-for-profit organization that was formed in December 1899 as the College Entrance Examination Board (CEEB) to expand access to higher education. While the College Board is not an asso ...
, a private, nonprofit membership association of universities, colleges, school districts, and secondary schools. The most popular and well-known of the College Board's tests is the SAT
The SAT ( ) is a standardized test widely used for college admissions in the United States. Since its debut in 1926, its name and Test score, scoring have changed several times. For much of its history, it was called the Scholastic Aptitude Test ...
, taken by more than 3 million students annually. ETS also supports The College Board's Preliminary SAT/National Merit Scholarship Qualifying Test ( PSAT/NMSQT) and administers the Advanced Placement
Advanced Placement (AP) is a program in the United States and Canada created by the College Board. AP offers undergraduate university-level curricula and examinations to high school students. Colleges and universities in the US and elsewhere ...
program, which is widely used in US high schools for advanced course credit.
Since 1983, ETS has conducted the National Assessment of Educational Progress (NAEP), known as the "Nation's Report Card", under contract to the US National Center for Education Statistics. NAEP is the only nationally representative and continuing assessment of what US students know and can do. ETS is responsible for coordination among the nine NAEP Alliance contractors, for item development, and for design, data analysis, and reporting.
In addition to the contract work that ETS undertakes for nonprofit and government entities like the College Board, the National Center for Education Statistics, and state education departments, the organization offers its own tests. These tests include the Graduate Record Examinations (GRE) (for graduate and professional school admissions), the Test of English as a Foreign Language (TOEFL) (for post-secondary admissions), the Test of English for International Communication (TOEIC) (for use by business and industry), and the Praxis Series (for teacher licensure and certification).
In England
England is a Countries of the United Kingdom, country that is part of the United Kingdom. It is located on the island of Great Britain, of which it covers about 62%, and List of islands of England, more than 100 smaller adjacent islands. It ...
and Wales
Wales ( ) is a Countries of the United Kingdom, country that is part of the United Kingdom. It is bordered by the Irish Sea to the north and west, England to the England–Wales border, east, the Bristol Channel to the south, and the Celtic ...
, ETS Europe, a unit of the ETS Global for-profit subsidiary, was contracted to mark and process the National Curriculum assessments on behalf of the government. ETS Global took over this role in 2008 from Edexcel, a subsidiary of Pearson, which had encountered significant and repeated problems in carrying out the marking and processing contract. As was the case for Edexcel, The first year of ETS Global's operation was struck by a number of problems, including the late arrival of scripts to examiners, a database of student entries being unavailable, and countrywide reports of problems with the marking of the papers. The opposition Conservative Party (Tory) criticized the awarding of the contracts to ETS, and produced a dossier listing previous problems with ETS's service. The ETS contract with the QCA was terminated in August 2008, with an agreement to pay back £19.5m and cancel invoices worth £4.6m. Subsequently, the contract for National Curriculum assessment marking and processing was again awarded to Edexcel. Like the two prior contracts, the Edexcel contract has encountered significant quality problems and the tests themselves, the focus of longstanding controversy in the English education community and among the public, have been subjected to a massive boycott by schools.
In 2009, ETS released the My Credentials Vault Service with Interfolio, Inc to "simplify the entire letter of recommendation process".
Criticism
ETS has been criticized for being a "highly competitive business operation that is as much multinational monopoly as nonprofit institution". Due to its legal status as a non-profit organization, ETS is exempt from paying federal corporate income tax on many, but not all, of its operations. It annually reports detailed financial information to the IRS
The Internal Revenue Service (IRS) is the revenue service for the Federal government of the United States, United States federal government, which is responsible for collecting Taxation in the United States, U.S. federal taxes and administerin ...
on Form 990, which is publicly available.
In response to growing criticism of its monopolistic power, New York state passed the Educational Testing Act, a disclosure law which required ETS to make available certain test questions and graded answer sheets to students.
Problems administering England's national tests in 2008 by ETS Europe were the subject of thousands of complaints recorded by the Times Educational Supplement. Their operations were also described as a "''shambles''" in the UK Parliament
The Parliament of the United Kingdom of Great Britain and Northern Ireland is the supreme legislative body of the United Kingdom, and may also legislate for the Crown Dependencies and the British Overseas Territories. It meets at the Palace of ...
, where a financial penalty was called for. Complaints included papers not being marked properly, or not being marked at all and papers being sent to the wrong schools or lost completely. It has even been suggested that the quality of service is so poor that the Department for Children, Schools and Families (formerly the Department for Education and Skills) might not be able to publish the 2008 league tables of school performance. However, the contract was ended by "mutual consent". The UK government asked Lord Sutherland to conduct an inquiry into the failure of the 2008 tests. The report included in its main findings:
''• primary responsibility for this summer's delivery failure rests with ETS Global BV, which won the public contract to deliver the tests;''
''• ETS's capacity to deliver the contract proved to be insufficient. A lack of comprehensive planning and testing by ETS of its systems and processes was a key factor in the delivery failure;''
In 1983, students of James A. Garfield High School in East Los Angeles, California
East Los Angeles (), or East L.A., is an Unincorporated area#United States, unincorporated community and census designated place (CDP) situated within Los Angeles County, California, United States. According to the United States Census Bureau, ...
, achieved unexpectedly high exam results on the ETS Advanced Placement Exam. ETS implied that the students may have cheated to obtain such results based on common mistakes across different exams. The students were required to prove their abilities and innocence by taking a second exam, which they did successfully.
Americans for Educational Testing Reform (AETR) claims that ETS is violating its non-profit status through excessive profits, executive compensation, and governing board member pay (which the IRS specifically advises against). AETR further claims that ETS is acting unethically by selling test preparation materials, directly lobbying legislators and government officials, and refusing to acknowledge test-taker rights. It also criticises ETS for forcing GRE test-takers to participate in research experiments during the actual exam.
In 2014 the BBC
The British Broadcasting Corporation (BBC) is a British public service broadcaster headquartered at Broadcasting House in London, England. Originally established in 1922 as the British Broadcasting Company, it evolved into its current sta ...
reported that the Home Office
The Home Office (HO), also known (especially in official papers and when referred to in Parliament) as the Home Department, is the United Kingdom's interior ministry. It is responsible for public safety and policing, border security, immigr ...
has suspended English language tests run by ETS after a BBC investigation uncovered systematic fraud in the student visa system. Secret filming of government-approved English exams needed for a visa showed entire rooms of candidates having the tests faked for them.
Tests administered
* Graduate Record Examinations (GRE)
* Preliminary SAT/National Merit Scholarship Qualifying Test (PSAT/NMSQT)
* College Level Examination Program (CLEP)
* Test of English as a Foreign Language (TOEFL)
* Test of English for International Communications (TOEIC)
* Certified English Test One (CET1)
* '' Test de français international'' (TFI)
* California High School Exit Exam (CAHSEE)
* California Standardized Testing and Reporting (STAR) Program – replaced by CAASPP (California Assessment of Student Performance and Progress) in 2015.
* the Praxis test (successor to the NTE)
* the National Assessment of Educational Progress (NAEP)
* the ''Examen de Admisión a Estudios de Posgrado'' (EXADEP)
* British Trade Test Institute (BTTI)
* Major Field Test for Master of Business Administration
The Major Field Test for Master of Business Administration (MFT-MBA) is a national standardized exam administered in the United States at the end of MBA programs. It is a comprehensive exit exam. The MFT-MBA aims to assess skills, knowledge, and ...
See also
* SAT
The SAT ( ) is a standardized test widely used for college admissions in the United States. Since its debut in 1926, its name and Test score, scoring have changed several times. For much of its history, it was called the Scholastic Aptitude Test ...
* SPEAK (test)
The Speaking Proficiency English Assessment Kit (SPEAK) is a test developed by the Educational Testing Service (ETS) to measure a non-native speaker's proficiency in spoken English. It is usually taken as a professional certification, especiall ...
References
Further reading
* Bickerstaffe, George, "Students Without IT Need Not Apply", Financial Times (London), October 26, 1998, p. 17.
* Brennan, Lisa, "ETS, Kaplan in Legal Skirmish over Test Security", New Jersey Law Journal, January 23, 1995, p. 3.
* Celis, William, III, "Computer Admissions Test Found to Be Ripe for Abuse" New York Times, December 16, 1994.
* Elson, John, "The Test That Everyone Fears", Time, November 12, 1990.
* Honan, William, "Computer Admissions Test to Be Given Less Often", ''The New York Times'', January 4, 1995.
* Kladko, Brian, "Computer Technology Passes Judgment on Students' Essays", Record (Bergen County, N.J.), July 9, 2001.
* Merritt, Jennifer, "Why the Folks at ETS Flunked the Course", Business Week, December 29, 2003, p. 48.
* Nairn, Allan, ''The Reign of ETS: The Corporation That Makes Up Minds'', New York: Ralph Nader, 1980.
* Nissimov, Ron, "SAT Officials to Stop Flagging Disabled Students' Tests", Houston Chronicle, July 22, 2002.
* Nowlin, Sanford, "Standardized Test Giants Lock Horns in Court over Allegedly-Stolen Secrets", San Antonio Express-News, April 8, 2001.
* Owen, David, ''None of the Above: Behind the Myth of Scholastic Aptitude'', Boston: Houghton Mifflin, 1985.
* Sidener, Jonathan, "Educational Testing Service of Princeton, N.J., Develops New Grading System", Arizona Republic, February 1, 1999.
* Tabor, Mary B.W., "Disabled to Get an Extra Chance for S.A.T.s", ''The New York Times'', April 1, 1994.
* "Testing Company Claims State's Bidding Process Is Unfair", Associated Press State & Local Wire, January 6, 2003.
* Vickers, Marcia, "Hate Exams? Here's a Chance to Profit from Them", ''The New York Times'', Business Section, October 5, 1997, p. 4
* Weinstein, David, "ETS to Create Standardized English Test for Chinese Government", Associated Press State & Local Wire, July 9, 2002.
* Williams, Dennis A., "Testers V. Cram Courses", Newsweek, August 12, 1985.
* Winerip, Michael, "No. 2 Pencil Fades as Graduate Exam Moves to Computer", ''The New York Times'', November 15, 1993.
External links
*
ETS Signs New College Board Contract
2004 Form 990 from the IRS
– lists ETS' executives' incomes
Educational Testing Service in Europe, Middle-East and Africa
Americans for Educational Testing Reform (AETR)
{{Authority control
Educational testing and assessment organizations
Companies based in Princeton, New Jersey
Standardized tests in the United States
Organizations established in 1947
Educational organizations based in the United States
1947 establishments in New Jersey
501(c)(3) organizations