Ninety-eight percent of all businesses plan to use eLearning by 2020, per Small Business Trends. “According to data compiled by e-Learning platform Zeqr, by 2022 the global learning management system market will be valued at 19.05 billion.” Clearly, just about every company is utilizing online learning, and many are delivering it with a learning management system (LMS).
5 Benefits of an LMS for Businesses
There’s a reason the LMS market is booming. It’s because learning management systems can be extremely beneficial for businesses. Here are a few business benefits of an LMS:
- It gives administrators the tools they need to create effective online training courses that cover a variety of topics.
- It provides unlimited, 24/7 access to online training materials via mobile device.
- It reduces training costs.
- It engages employees with training.
- It tracks learner progress and performance.
Once your company has implemented an LMS, you can use it to help your company reach its business goals this year.
Tips for Driving Business Goals with an LMS
Is your company climbing toward the business goals it set for 2019, or do they seem out of reach? Either way, an LMS can help by:
1. Promoting training — Almost all companies prioritize employee training and strategize ways to make it more effective. If your business has a training goal, an LMS can help the organization meet and even exceed it.
L&D programs created with LMS authoring tools and delivered with a learning management system are often well-received. Employees tend to adopt an LMS and online training quickly because many prefer to train online rather than in-person.
Also, an LMS makes it possible for employees to access training directly from their mobile devices, at home or on the go. This encourages participation in training and ensures costly training is actually used and retained.
2. Cutting training costs — Learning management systems can be considerable financial investments. However, over time they tend to cut training costs by eliminating the need for training-related travel and live instructors’ salaries. According to eLearning Industry, after switching to online learning…
— “Dow Chemical reduced its training costs to just $11 per learner…. This is a staggering cut in costs, considering that its previous traditional classroom training expenditures were $95 per learner.
— Ernst and Young reduced its costs by 35%.
— IBM actually cut its costs by roughly $200 million, which was approximately one-third of its previous training budget.”
Cost saving is a common business goal, and it can be achieved with a learning management system.
3. Onboarding new hires — Onboarding is critical for companies that want to reach their business goals. The manner in which new hires are onboarded sometimes dictates how well they perform at their company, and how long they stay.
According to eLearning Logic, LMS onboarding:
- Creates a sense of belonging and drive to succeed in new hires.
- Gives new hires the freedom to review material and move on at their own pace.
- Easily brands your company from day one of training.
- Creates quizzes and assessments to track training mastery
- Integrates incentives into the training courses for rewarding, successful completions.
Additionally, using an LMS for onboarding and training in general can decrease time to productivity. For example, eLearning Industry noted that after switching to eLearning, “Ernst and Young…reduced its training time by about 52%.” This means new hires were ready to start working in half the time it would have taken with traditional training.
Could Your Company Benefit from an LMS?
Most companies benefit from a learning management system. Using an LMS to promote training, cut costs, and onboard new hires will help your company successfully reach its business goals this year.
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