Should employees be taught in the classroom, on the web, or both?
With one quarter of businesses introducing e-learning, what
opportunities does it hold for IT?
With its potential to cut costs and streamline staff training,
e-learning has obvious attractions for cost-conscious companies.
According to research company IDC, 25% of European businesses have
plans to introduce e-learning, and technology training is one of
the most widely implemented forms of e-learning.
Enthusiasm from the UK government has encouraged public sector
involvement. The Ministry of Defence, which spends £2.2bn a year on
training, aims to deliver 30% of training materials electronically
within two years, said Keith Scott, director of training at
LogicaCMG, one of the companies bidding for the contract.
The main selling point of e-learning is the potential for greater
efficiency. According to analyst firm Meta Group, e-learning can
provide 30% more learning content in 40% less time at a cost 30%
below traditional classroom-based learning.
Training budgets
However, e-learning still has a long way to go before it replaces
classroom-based training. According to an IDC report, only 6% of
corporate training budgets are currently being spent on e-learning,
compared to 70% on classroom-based learning.
Business has modified its expectations of e-learning since the boom
of the late 1990s. The naive conviction that every skill for every
employee could be delivered more cheaply and efficiently by
switching from the classroom to the PC meant many companies took a
big-bang approach.
Today, however, fewer businesses are investing huge sums to
implement in-house training platforms. Projects tend to be smaller
and focused on a particular training requirement.
E-learning encompasses many forms of technology-based training.
Content delivered through a dedicated software system for
delivering learning content and tracking employee progress is known
as a learning management system. Companies that write their own
training material use a learning content management system.
E-learning can also be done through a combination of conference
media such as instant messaging, company intranet sites and
face-to-face meetings.
Some of the bigger suppliers in the e-learning market include
Teknical, Saba and Docent and experts predict that leading
enterprise resource planning and customer relationship management
suppliers will offer their own e-learning products.
There are also plenty of companies bidding for the expanding
outsourcing business, about 50% of e-learning programmes are
outsourced to companies such as LogicaCMG and Thomson NETg.
Cost savings
Insurance firm Royal & SunAlliance is currently rolling out an
enterprise learning management system from Saba to 50,000 employees
worldwide. The benefits include cost savings and compliance with
regulations that stipulate a minimum level of training for each
employee.
"Our cost/benefit analysis shows clear gains where e-learning has
replaced the classroom in terms of opportunity cost, less need for
travel, accommodation and facilities and savings in course
development costs and materials," said Andy Wooler, manager of
learning management systems at Royal & SunAlliance.
When the systems are in place, the insurance giant plans to
gradually introduce other e-learning projects, ranging from
industry-specific skills such as underwriting and claims through to
broader skills such as desktop applications. With time the system
may be extended to deliver training to key brokers outside the
company.
More sophisticated e-learning content comprises video, sound or
games and is available on PCs, laptops, personal digital assistants
and 3G phones.
Warning bells
This will ring warning bells with the IT director, given the
capacity for extra devices placing unwanted strain on the network,
but upgrades may not be necessary and projects can be matched to
capacity, said Vaughan Waller, chairman at the eLearning Network,
an association for users of technology-based training.
Some subjects lend themselves better to e-learning and one subject
all experts put top is technology. Experts stress that online
learning works well where training is closely tied to the job. This
could mean guiding a call centre employee through the procedure for
taking a call while they are on the phone.
There is also the potential for more timely e-learning. Scott gives
the example of a bomb disposal expert using "just-in-time"
information from a PDA.
In order to be successful, e-learning schemes should also involve
the human factor. The key to successful online learning is that the
student wants to learn in a new way. It will not work if employees
suspect that "anytime anyplace" learning is a management plot to
get them to work in their spare time.
However, for some organisations, the classroom is still the
preferred option, particularly for communication-based skills such
as commercial negotiation.
But most experts are not convinced that either the classroom or
e-learning is better. They advise combining the two in "blended
learning". And nobody suggests that e-learning is easy. "E-learning
works best where customers do not expect miracles and where there
has been a lot of planning," said Waller.
Tips for e-learning success
An e-learning project is more likely to succeed if:
- Corporate management is committed
- Goals and timescales are practical
- There is careful planning of what will be provided and how it
should be delivered
- IT and the network infrastructure is up to the job - users
accessing course materials remotely will put additional strain on
systems
- The right technology is used from a supplier with a secure
future - many training providers have gone out of business in
recent times
- The content is well structured and targeted to your needs
- The cultural change from classroom-based training to
self-managed e-learning is carefully managed
- Students are keen to advance and ready to learn anytime,
anywhere
- E-learning is blended with traditional learning
- Training is built into the usual working day.