How much does it cost? That’s often the first question people ask when you suggest a learning management system. The truth is the price of an LMS far undercuts that of sending your employees into the classroom. There are initial costs, of course, but in the long run you will save money, not waste it. One of the best thing you can do to keep your costs down is to read a lot of learning management system reviews.
Relieving the Financial Strain
Put simply, an LMS will cost your business thousands of dollars less than classroom training. Why? Instead of separate sessions of seminars, roleplay, questions and answers, and testing, an LMS can roll all four into one session. According to the article, Cost Comparison Between Online and In Person Training>, the four sessions aforementioned would cost a company $110,000 to train 2,000 personnel in five locations. The same four sessions rolled into one LMS, however, was estimated at only $37,000 for the same number of employees at the same five locations. Even if you add in the cost of the learning management system, which can have a start-up fee of between $500 and tens of thousands of dollars, according to LMS.org’s article, eLearning Industry Shows Continued Growth. If you add in the per user fee, often, up to $10, your first year’s cost for the LMs averages out to approximately $5,500. Consider that this means to train 2,000 personnel at five locations in the first year would top out at $42,000 and you can see how an LMS would quickly save your company thousands of dollars.
Connecting Globally Separated Employees
Most companies have at least a few personnel who live a long distance from the offices. Do you pay for them to travel and stay in a hotel while learning in a classroom? That is not the best solution available. Obtaining an LMS for your business will mean not having to pay travel expenses if a distant employee needs to come in for training. Also, if you have employees overseas that do not speak fluent English, an LMS can give him/her the training in the language s/he is most fluent in. This saves costs on hiring a translator. Finally, an LMS can provide live video chat for no extra charge, cutting out your company’s international call bills.
the bottom line
When it comes right down to it, an LMS is far less expensive to deploy than using a classroom system. The initial cost might seem steep, but comparing it to your company’s current costs for in-person training will help you determine whether an LMS is right for the job. You will only have to pay employees for one hour of training versus four hours of in-person. You will not have to pay for travel expenses to bring remote personnel in for classroom time. You will not have to pay for translators or international phone calls. Does it sound too good to be true? Do a cost analysis for your own company, and you will be pleasantly surprised at just how much you are missing out on.