building the business case for extended enterprise
TRANSCRIPT
Building the Business Case for Extended Enterprise Learning
12/2/14, 2014
John Leh
CEO, Lead Analyst
Talented Learning, LLC
Today’s 30-Minute Agenda
• Introduction
• Extended Enterprise Overview
• 5- Steps to Building a EE Business Case
• Q&A
• Extended enterprise (EE) learning news, research and consulting
• Founded in 2014 -- Independent analysts
• Experts on the business of training
• Research vendors, technology and best practices
• Weekly blog and webinar on all things EE Learning
Who is Talented Learning?
What is Extended Enterprise Learning?• Any training or learning targeted towards your non-employee audiences• Every industry globally• Combination of marketing and education• Voluntary nature of users• 5 Types of EE:
• Corporate• Member Organization• For Profit Training • Public Sector• Academic
• EE is extremely measurable
So What Do You Need for EE?
• Content• Existing proprietary content• eLearning Authoring Tool• Virtual Classroom Tool• Social Collaboration
• Learning Management System• Track users• House content• Provide reporting
What is an EE Business Case?
• A business case is the language of the executives with budget
• Used to obtain initial funding or incremental funding for EE
• Use data to provide you get more than you give
• Measures the current costs and efforts vs. cost of investing in EE
• Outlines the risk and cost of doing nothing
• Make money, save money, reduce cycle time Costs
Benefits
Step 1: Identify Your EE Audiences• Channel sales partners
• Dealers
• Franchises
• Organization customers
• Individual customers
• Global customers
• Members
• Contractors
Do this for all divisions and groups including T&D, sales,
marketing and operations!
Step 2: Document Current Efforts & Cost• For each audience document:
• How do you provide information and training• Do you have an informational portal, customer tutorials, training center, LMS?• How many trainers and what are the annual travel costs?• To provide the above what do you spend? • How many people do you train? What is the size of the potential audience?
• For each technology product document:• LMS, authoring tools, virtual tools, survey tools, video content management, marketing automation• Annual cost and reach of the tool – is there license limitations?• Duplication of tool sets you use virtual instructor led tools, eLearning, LMSs or a web portal? What costs
are associated in human resources, IT and vendor fees to subscribe or maintain those applications?
• Don’t‘ forget all the other training groups!• EE can be run by sales, marketing, channel program, customer service, training or even operations groups • How many of your customers do you reach? • What are the different types of customers?
Step 3: ID Measurable Impact Areas• Work with executives, accounting, marketing, customer service and determine what metrics they do or can
measure for example:
• Sales from channel partners
• Renewal rate of current customers
• Complimentary product sales for current customers
• Mentions on social media
• Customer support calls and tickets
• Product launch lead up
• No organization has access to everything, so don’t be picky!• Pull the available data and determine if you can group by customer, product and audience
Find metrics tied to the highest level business
goals
Step 4: Consolidate Data and Analyze• Put it all in a spreadsheet and calculate your total and audience costs to train all
extended enterprise.• Organizations are often surprised by the consolidated report because they are
not used to looking at that particular subset of data• Use this document as a base line for measurement and measure going forward –
daily. • Look for trends like:
• Cost per touch per media type• Cost per touch per audience type• Opportunities to use virtual training instead of instructor travel• Opportunities to use eLearning to the largest audiences• High frequency audiences
• Look for duplicity of systems • Consolidation of multiple LMSs for different external groups
• Multiple survey tools• Diversity of authoring tools
Step 5: Determine Impact• Compare trained vs. untrained groups – what is the difference in
below metrics?• Make Money
• Is there an increase in sales, cross sales, upgrades, renewals in groups that have went through training vs. those who have not.
• Can you sell premium content to start a new stream of revenue to your audiences. Can you turn it into a reoccurring revenue stream by implementing annual certifications or access to new content.
• Save Money• Are there opportunities for consolidation of LMSs, authoring tools,
maintenance, hosting, human resources?• Is there a relationship between customer support interactions in trained
vs. untrained groups• Consolidating systems allows for cheaper price per user on technology
• Reduce Cycle Time• Can you predict a difference in roll out time to certify new partners?• Can you measure the increase in sales by accelerating a new product
rollout?• Can you measure the savings decreasing the time to open and train a new
franchise or dealer location?
Conclusion• Rome wasn’t built in a day!
• EE Training is Measurable –You just have to prove it
• You can’t measure if you don’t have a baseline
• You can’t keep your head down in training and development
• Measure changes in audience behavior vs. how it impacts metrics you are tracking
• Improve, revise, measure, predict, rinse, repeat
Upcoming 2014 EE Webinars
www.TalentedLearning.com/Webinars
12/7: How to Trade in Your Current LMS12/16: Five Types of LMS Requirements12/23: Social Learning and the EE
Questions?
• [email protected]• Twitter: @JohnLeh• LinkedIn.com/in/JohnLeh• Join our EE Linked Group – Talented Learning• Follow our blog on TalentedLearning.com