An LMS for Corporate Training and Consulting Revenue Opportunities
Updated: Apr 25, 2021
The corporate training market consists of the entire landscape of organizations that work to develop effective training technologies and services to enhance a business performance and address workforce challenges. The thousands of companies providing a variety of products and services, make the corporate training market a highly fragmented one that can be challenging for buyers to navigate.
As it stands today, the global corporate eLearning market size is estimated to be a roughly $38 billion market and is expected to grow at a year-over-year rate of 10.52% between the years 2020-2024. The size of the market and expected growth present a significant revenue opportunity for those organizations that can provide valuable products and services to support both internal employee and extended enterprise training.
Types of Corporate Training Programs
While corporate training can impact most every area of an organization, some of the most common training programs include:
New hire orientation and onboarding
Operations and application training
Sales and customer service training
Workplace culture and diversity
Learning Management Systems for Corporate Training and Consulting Engagements
As the need for effective corporate training has grown, more and more companies (especially smaller and mid-sized businesses) are looking to third-party training and consulting organizations to serve as outsourced providers of these services. And while in years past, the primary approach to delivering these programs was through classroom-based, in-person training, the evolution of cloud-based technologies combined with increasingly remote workforces (a trend that was in place even before COVID-19) has made online learning, or “eLearning” the preferred method for delivering training. And the core technology that supports all types of eLearning programs, including corporate training, is a learning management system, or “LMS”.
An LMS is the application that is used to build, deliver, and track corporate training programs. LMS technology is available with several options and delivery methods, but for third-party corporate training companies, there are two primary options to consider:
Cloud-Based v. On-Premises
An on-premises LMS is a deployment approach in which the company chooses to “stand up” the application on their own servers. While this deployment approach does allow for a great deal of flexibility, it also calls for a significant up-front investment in both software and hardware. On-premises deployment also requires a significant lag time in order to set up and configure the application and requires a substantial long-term investment in the ongoing management and maintenance of the system.
In contrast, a cloud-based LMS is an offering from a third-party organization that provides your company with all of the powerful benefits of a learning management system without the need for a large capital investment. Instead, the cloud vendor offers access to their application on a subscription basis, which allows you to efficiently scale up your use of the system as your corporate training program grows over time. And with a cloud-based offering, you are assured to always be accessing the “latest and greatest” in LMS technology.
Single Tenant v. Multi-Tenant
A more recent development in LMS technology is in the availability of multi-tenant architecture. Whereas a single tenant LMS dedicates the entire infrastructure to a single audience, a multi-tenant LMS is architected to allow you to “spin up” new, customizable instances of the application on-demand. This approach is well-suited for third-party training organizations as it allows you to launch a private eLearning environment for each of your corporate training clients. It also has the advantage of enhanced security as it separates client data across multiple databases.
LMS Portals for Corporate Training and Consulting Revenue Opportunities
LMS Portals provides our corporate training and consulting partners with a cloud-based, multi-tenant learning management system that allows them to launch and manage private eLearning environments (portals) for their clients on-demand. And each portal you launch can have its own unique branding and includes tools for user onboarding, messaging and collaboration, analytics, and more.
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