Comparing Adoption of Rapid e-learning Development Tools by Key U.S. Industries

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1 Comparing Adoption of Rapid e-learning Development Tools by Key U.S. Industries David Mallon, Principal Analyst January 2011 BERSIN & ASSOCIATES RESEARCH REPORT v.1.0 Licensed to Adobe Systems for Distribution Only.

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3 Adoption of Rapid e-learning Development Tools 3 TABLE OF CONTENTS Introduction 4 Defining Rapid e-learning 8 Comparing Strategic Business Drivers for Rapid e-learning Keeping up with Business Needs Improving the Development Process Capturing and Retaining Regulatory and Compliance Training Results Increasing Speed to Proficiency Capturing and Retaining Expert Knowledge 24 Summary 27 Appendix I: About This Research 30 Methodology 30 Appendix II: Table of Figures 34 About Us 35 About This Research 35

4 Adoption of Rapid e-learning Development Tools 4 Introduction Rapid e-learning tools have become indispensable for organizations delivering online learning content and are considered critical for keeping up with business needs, while keeping down training costs. Our research shows that, in the U.S., online delivery of training now accounts for one-third of total training hours and most of the content for those hours is created using rapid e-learning tools. In fact, of those organizations delivering online training, 74 percent use rapid e-learning tools to create online training content. Any gap between the use of rapid e-learning tools and other authoring tools for developing content seems to be negligible. Figure 1: Usage of Rapid e-learning Tools 2006 to 2009 U.S % % % % 0% 20% 40% 60% 80% 100% Source: Bersin & Associates, Organizations adopt rapid e-learning tools for a variety of reasons. Being able to easily track courses in a learning management system (LMS) is one key reason. Speed, support for multimedia training and reaching a distributed workforce are others. We found that organizations are confident that their use of rapid e-learning tools is delivering benefits to their organizations and they feel the tools are meeting their expectations.

5 Adoption of Rapid e-learning Development Tools 5 Figure 2: Adoption of Rapid e-learning Development Tools (greatest importance) By Industry Manufacturing 33% 46% 46% 54% 54% Technology 57% 57% 64% 71% 86% Healthcare 43% 38% 43% 57% 62% Government 40% 40% 50% 70% 70% Financial Services 41% 48% 52% 56% 70% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Reach More Employees Reach Distributed Workforce Reduce Costs Track Completions in LMS Keep up with Business Needs While rapid e-learning tools are both ubiquitous and critical in organizations, rapid e-learning tools often get a bum rap. This may be so, since the tools make it easy to create the legendary death by PowerPoint courses that are slide-based and text-heavy. At best, these courses are called lecture / presentations and, at worst, page turners or even just plain boring. Maybe rapid e-learning gets a bum rap because nearly anyone can use these tools to create e-learning courses. Trained learning and development (L&D) professionals have been known to decry the practice of subject matter experts (SMEs) (who may lack knowledge in instructional design and adult learning theory) creating their own training materials. But smart L&D organizations have recognized that rapid e-learning is here to stay and have, instead, created templates and guidelines to help non-developers make the most of their rapid e-learning content. This puts e-learning professionals in a coaching and standards-setting role, ensuring that the rapid

6 Adoption of Rapid e-learning Development Tools 6 e-learning programs are effective and integrate into the company technology architecture. KEY POINT Our research shows that, in the U.S., online delivery of training now accounts for one-third of total training hours and most of the content for those hours is created using rapid e-learning tools. That is not to say e-learning specialists and instructional designers still do not struggle with this double-edged sword; while the tools enable them to create more training content faster and cheaper (because anyone can use them), quality can sometimes suffer at the hand of untrained SMEs, even with standards and templates. The tool is only as good as the person who is using it. Our interviews with organizations indicate that many of the challenges L&D professionals face are related to this dichotomy. What can you do? The first thing is to develop a new mindset. This means you need to look at what the tools have to offer the business versus looking at the tools as simply a way by which to create content. So, perhaps part of the quality problem is L&D. Could it be that organizations have not been getting enough (or helping others get enough) from rapid e-learning tools? Could it be that organizations are not using the tools to solve the right problems? Could it be that organizations have not followed through on our initial reasons for adopting rapid e-learning development tools? Let us start by taking a look at some of the challenges e-learning professionals say they experience when creating content with rapid e-learning development tools. 1. How can I best create and maintain quality content? 2. How can I best provide support to those creating rapid e-learning content? 3. How can I get the maximum benefit from our rapid e-learning tools? 4. How can I best keep track of course completions, testing and assessment results? 5. How do I know I m using the right tools for the right content? Organizations can begin to solve these problems and move their rapid e-learning tools toward meeting the organization s most critical objectives. Doing this means focusing on answering strategic questions (instead of just tactical ones) like the following.

7 Adoption of Rapid e-learning Development Tools 7 1. How can we align rapid e-learning content across the organization? 2. How can we use rapid e-learning tools to capture and get the most advantage from our expert s knowledge? 3. How can we leverage our rapid e-learning tools to get the most from our LMS? 4. How do we best position rapid e-learning tools to support our most critical business needs? 5. How can we use rapid e-learning tools to enable better performance more quickly? 6. How can we use rapid e-learning tools to effectively scale, both geographically and functionally? KEY POINT Smart L&D organizations have created templates and guidelines to help non-developers make the most of their rapid e-learning content. Answering these questions requires a different approach to rapid e-learning. It requires thinking less about using technology as a means of simply creating training content and thinking more about placing emphasis on the strategic value of the content created. The purpose of this report is two-fold. First, we share research on rapid e-learning adoption across these five vertical markets: Manufacturing; Technology; Healthcare; Government; and, Financial services. Second, we provide real examples from organizations that can help your organization address some common challenges associated with rapid e-learning development and act strategically, placing emphasis on the value of your organization s learning content. Because people define rapid e-learning in different ways, it is good to start with a definition of rapid e-learning and rapid e-learning development tools.

8 Adoption of Rapid e-learning Development Tools 8 Defining Rapid e-learning The term rapid e-learning is used to describe the rapid development process that seeks to increase the speed by which training content is developed and delivered to a learner. Rapid e-learning can also be viewed in terms of rapid consumption to provide a low-cost, rapid response to an urgent business need; to provide rapid updates; or, to easily deal with short-lived content. KEY POINT One-third of organizations using rapid e-learning tools use them to convert materials (usually in PowerPoint) into online training. Often, as an industry, we think of rapid e-learning development tools as tools used to convert materials (usually in PowerPoint) into online training. While a fair amount of content falls into that category (onethird of organizations using rapid e-learning tools use them for that purpose), what constitutes a course created with rapid e-learning development tools today has expanded to include rapid creation of many different types of content including: Software / application simulation (one-quarter of organizations using rapid e-learning tools use them for that purpose); Business-based simulation; Multimedia training solutions; Instructional games; Testing and assessments; and, Combinations of these types, as well as of others. The short definition of rapid e-learning tools is as follows. An e-learning authoring tool enables one to rapidly create e-learning content in a template-based environment that requires no author programming skills. This raises another element of rapid e-learning development tools who uses them and what are the skills required to use them. Rapid e-learning development tools are used to create a variety of content. Introductory and knowledge-building courses, compliance and mandatory training, and software and application training are frequently the purpose, although there are some unique uses based on industry. For example, testing and assessments in the government sector (the

9 Adoption of Rapid e-learning Development Tools 9 government is highly regulated), product demonstrations / marketing in the technology industry (the technology industry frequently gives demonstrations and product training to employees, customers and partners), and orientation training in the manufacturing sector (to cover fundamentals, like equipment safety) all illustrate specific uses based on the type of business, product and skills needed by employees. Let us look at some real examples from organizations that act strategically by placing emphasis on the value of their organization s rapid e-learning content, along with snapshots of the five industries that we studied for this report.

10 Adoption of Rapid e-learning Development Tools 10 Comparing Strategic Business Drivers for Rapid e-learning 1. Keeping up with Business Needs (support critical needs) KEY POINT Organizations consistently rate keeping up with business needs as a key reason for adopting rapid e-learning tools. It would be an understatement to say organizations face an unparalleled rate of change. However, that is why one of the quickest ways to become insignificant today is to fall behind. Successful L&D departments know that their organizations must continually innovate to seize new business opportunities, achieve key objectives, and execute with reduced cost and risk. This is why lengthy design and development cycles for e-learning, as well as bottlenecks associated with the delivery of content, will ultimately fail. It will come as no surprise, then, that organizations consistently rate keeping up with business needs as a key reason for adopting rapid e-learning tools (rated most important by the financial services and healthcare industries). Consider this example, from a technology company (see Figure 3). Figure 3: A Technology Company Using Rapid e-learning Tools Industry: Problem Before Technology The company found that it needed to completely retrain its workforce every 12 to 18 months (due to rapid changes and new products) and could not keep up with the demand for more e-learning. This company was using high-quality, video-based training courses that took about three months to complete which took too long. The company needed to deliver courses in three weeks, not three months. The company found that its employees were more interested in speed of delivery versus quality of production. It began using a combination of several rapid e-learning development tools to: 1. Address the need for speed-to-delivery ; and, 2. Get more ownership from SMEs, so that they could better address the high demand.

11 Adoption of Rapid e-learning Development Tools 11 Figure 3: Technology Company Using Rapid e-learning Tools (Cont d) Industry: After Technology The company has shrunk the length of their courses and the length of time spent developing them by utilizing rapid e-learning development tools. Courses have gone from two to four hours to one hour, to 30 to 45 minutes and now the company shoots for eight minutes. This way, the company is able to create more courses in a shorter amount of time, which helped it keep up with critical business needs. Eighty-five percent of its e-learning is now created using rapid e-learning development tools. The company has found that a higher number of shorter courses helps it to better keep up with the continual changes. In addition to rapid change, challenges developers face in the technology industry include: Difficulty integrating multiple tools for a single project; Inconsistent internal standards for usage; Lack of team collaboration in developing content; and, Product-related concerns around vendor support, functionality and upgrades. These challenges are all indicative of the maturity of rapid e-learning tools in the technology market. Snapshot of the Technology Industry and Its Use of Rapid e-learning Tools From our research, we noticed that the technology industry uses rapid e-learning tools more frequently than any of the other vertical industries we studied and has been using them for a longer period of time. The type of products and services sold explains the technology industry uses the tools frequently for software and application training, as well as for product demonstrations and marketing. More so than the other vertical markets studied, we found that the technology industry uses advanced authoring tools for simulations and gaming, and for training that utilizes multimedia. This can likely

12 Adoption of Rapid e-learning Development Tools 12 be attributed to both the length of time this industry has been using e-learning and the technology-oriented nature of the business. Due to the rapid changes of products, the speed and reliability of the tools are very important. As well, the technology industry needs rapid e-learning tools that integrate and are interoperable with an LMS (45 percent of technology firms use an LMS and, of those, 62 percent are hosted externally 1 ). L&D is moving toward creating shorter e-learning courses and short snippets sent to mobile devices. The technology industry can be seen as an early adopter in that regard. Figure 4: Use of e-learning Tools Technology Industry Technology Industry Percentage of Mix: e-learning and Rapid e-learning Length of Time Using Rapid e-learning Development Tools Types of Training Created using Rapid e-learning Development Tools Forty-three percent of technology industry respondents said e-learning accounts for more than 50 percent of their total learning mix. They use these tools more frequently than the other vertical industries studied. When it comes to rapid e-learning, 64 percent of organizations say rapid e-learning accounts for more than 60 percent of their total e-learning mix. Twenty-one percent of technology industry respondents have been using rapid e-learning tools for more than 10 years, while another 36 percent have been using them between four and 10 years. Twenty-nine percent have been using the tools between one and three years, while just 14 percent have been using the tools for less than 12 months. They have been using the tools for a longer period of time than the other vertical industries studied. The types of courses most frequently created using rapid e-learning tools are: Introductory content (nearly all respondents reported using rapid e-learning tools for this purpose); Software and application training (86 percent using for this purpose); Product demonstrations / marketing (79 percent); Technical training (71percent); Testing and assessment (64 percent); Compliance / mandatory training (57 percent); and, Orientation training (36 percent). 1 For more information, The Corporate Learning Factbook 2010: Benchmarks, Trends and Analysis of the U.S. Corporate Training Market, Bersin & Associates / Karen O Leonard, January Available to research members at or for purchase at

13 Adoption of Rapid e-learning Development Tools 13 Figure 4: Use of e-learning Tools Technology Industry (Cont d) Technology Industry Greatest Importance in the Decision to Adopt Rapid e-learning Tools Most Important Features in a Rapid e-learning Development Tool Creators of Content Challenges Unique to the Technology Industry The top responses were as follows: Reducing costs (86 percent rated this as most important); Keeping up with business needs (71 percent); Reaching a distributed workforce (64 percent); Tracking course completions in an LMS (57 percent); and, Reaching more employees (57 percent). The most important features in a rapid e-learning tool were a follows: Integration with an LMS (79 percent rated this as most important); Support for multimedia (also 79 percent); Rapid development (57 percent); Efficient review / collaboration (57 percent); and, Testing and assessment (50 percent). e-learning specialists and instructional designers create most of the rapid e-learning content, followed by SMEs, and L&D generalists and trainers. Sixty-nine percent of e-learning specialists and instructional designers create between 50 percent and 100 percent of rapid e-learning content. Challenges faced by developers in this industry include: Difficulty integrating multiple tools for a single project; Inconsistent internal standards for usage; Lack of team collaboration in developing content; and, Product-related concerns around vendor support, functionality and upgrades. More than the other vertical market studied, the technology industry uses more advanced authoring tools for simulations and gaming, as well as for training that utilizes multimedia. This can be attributed to both the length of time this industry has been using e-learning and the technology nature of the business. Due to the nature of the products, the technology industry also uses rapid e-learning development tools to train employees on product updates, as well as in training customers and partners ( extended enterprise learning ), more so than the other vertical markets. 2. Improving the Development Process (aligning content) Many of the challenges associated with creating e-learning content involve creating and maintaining content, supporting those who do

14 Adoption of Rapid e-learning Development Tools 14 create content, collaborating in developing content, and product-related challenges (such as upgrades and versioning). Rapid e-learning tools with web-based collaborative options can be an ideal way to support these needs. During our research interviews, we noticed that there seems to be an element of we don t know what we don t know when it comes to web-based options for collaborative authoring. Challenges faced by developers, along with the high adoption rate of SaaS and hosted LMS solutions in most of the industries we studied, suggest that web-based authoring options would be a welcome advance. Figure 5 is a typical case of not knowing what options are available or how to fully utilize the features of the tool. Figure 5: A Financial Services Company Using Rapid e-learning Tools Industry: Problem Before After Financial Services I wish there was a way I could share developing courses with colleagues in other locations. Wouldn t it be neat if there was a way I could start working on a program here and then say, for example, one of my colleagues could work on it at the same time? So I do my part and they do theirs without having to buy individual licenses and exchange files. Individual desktop authoring tools were installed on this individual s desktop. Different versions and upgrades were handled inconsistently. Project management and collaboration were cumbersome. No one knew on what other groups were working. The company is researching tools that have web-based collaboration options. This is part of its strategy to align content across desktops and improve its overall development process. In our research, we noticed that the average number of authoring tools that an organization had was three. Some of the tools had overlapping features. One has to wonder if the full capabilities of the tools are being used.

15 Adoption of Rapid e-learning Development Tools 15 Snapshot of the Financial Services Industry and Its Use of Rapid e-learning Tools The financial services industry has been using rapid e-learning development tools nearly as long as the technology industry. Lingering mistrust of the financial services sector by the American population and renewed scrutiny on the handling of things (like foreclosures amid a housing-market crisis) seem to indicate that things will get worse before they get better. This means L&D groups will be focusing more on the most necessary training, which will likely include more basic training, mandatory and compliance training, and software and application training as dictated by new regulatory requirements. The LMS will continue to be critical in tracking this information. Because the financial services sector is in rebuild mode, a strong focus on innovation, while beneficial, is not critical to adoption of rapid e-learning tools, especially when there is organizational support in place and a culture that recognizes the value in e-learning. The focus now is on getting the most from what is on-hand and finding ways to reduce costs, so that there can be a return to profitability. Figure 6: Use of e-learning Tools Financial Services Industry Financial Services Industry Percentage of Mix: e-learning and Rapid e-learning Length of Time Using Rapid e-learning Development Tools Types of Training Created using Rapid e-learning Development Tools Just under 40 percent of organizations say e-learning accounts for more than 50 percent of their total learning mix. They use the tools less frequently than the other vertical industries studied. Thirty-eight percent say rapid e-learning accounts for more than 50 percent of their total e-learning mix. Forty-one percent of organizations have been using rapid e-learning tools for between four and 10 years, while another 41 percent have been using the tools between one and three years. Eighteen percent have been using the tools for less than 12 months. The types of courses most frequently created using rapid e-learning tools are: Introductory content (89 percent report using rapid e-learning tools for this purpose); Compliance / mandatory training (85 percent); Software and application training (74 percent); Orientation training, technical training and product demonstrations / marketing (all 70percent); and, Testing and assessment (63 percent).

16 Adoption of Rapid e-learning Development Tools 16 Figure 6: Use of e-learning Tools Financial Services Industry (Cont`d) Financial Services Industry Greatest Importance in the Decision to Adopt Rapid e-learning Tools Most Important Features in a Rapid e-learning Development Tool Creators of Content Challenges Unique to the Financial Services Industry The top responses were as follows: Track course completions in an LMS (62 percent rate this as most important); Keep up with business needs (57 percent); Reach a distributed workforce (43 percent); Reduce costs (43 percent); and, Reach more employees (38 percent). The most important features in a rapid e-learning tool were a follows: Integration with an LMS (81 percent rate this as most important); Rapid development (63 percent); Support for multimedia (56 percent); Testing and assessment (48 percent); and, Efficient review / collaboration (33 percent). e-learning specialists and instructional designers create most rapid e-learning content, followed by SMEs, and L&D generalists and trainers. Eighty percent of e-learning specialists and instructional designers create between 50 percent and 100 percent of rapid e-learning content. Challenges faced by developers in this industry include: Trying to keep up to date with new releases; Many different tools being used throughout the organization; Poor interoperability when using more than one tool (the average is three tools across all verticals); and, Poor communication among team members. In rebuild mode. Focusing more on the most necessary training (basic training, mandatory and compliance training, and software and application training). Focus is on getting the most from what is on-hand and finding ways to reduce costs, so that there can be a return to profitability. 3. Capturing and Retaining Regulatory and Compliance Training Results Organizations simply cannot tolerate product delays, safety issues, security issues or heavy fines for noncompliance of regulations. This is one of the reasons organizations rate tracking course completions in a learning management system so high among reasons for adopting rapid e-learning tools. In fact, tracking was rated more important than

17 Adoption of Rapid e-learning Development Tools 17 keeping up with business needs by the healthcare industry and was rated as important by the government sector. Keeping up with business needs was also rated very high by the financial services and technology industries. During our research, it became very clear that rapid e-learning tools are especially critical for creating mandatory and compliance training. Consider the example below (see Figure 7). Figure 7: A Healthcare Organization Using Rapid e-learning Tools Industry: Problem Before After Healthcare The healthcare organization, a system of hospitals, has to deliver a very large number of compliance courses that employees need to complete annually for accreditation. Faced with more compliance and mandatory training, it was difficult to support all of the organization s needs. L&D was not centralized (35 groups submit content to L&D), so mandatory training was inconsistent and results were not being recorded as they should. Prior to its use of rapid e-learning development tools in 2005, the organization relied on paper tests, workshops and DVDs. It had a large amount of compliance and mandatory training to deliver, and that was very inconsistent. A new enterprise resource planning (ERP) system, along with a user productivity kit (UPK) for content development, made it easier for SMEs to develop higher-quality rapid e-learning that is consistent. Completion of mandatory training courses is now being tracked in a new LMS. This has been a tremendous step forward from paper tests. Today, 90 percent of e-learning is currently compliance / mandatory training. Additionally, the organization s training content improved. Test scores are significantly better since the organization started providing interactive cartoonbased stories. The director of L&D has a fundamental belief that mandatory training doesn t have to be painful. Proper tracking relieves organizations of noncompliance issues. The use of an LMS or even a rapid authoring tool that tracks course completions on its own is ideal for this purpose.

18 Adoption of Rapid e-learning Development Tools 18 Snapshot of the Healthcare Industry and Its Use of Rapid e-learning Tools KEY POINT In our research, we found that testing and assessments are used more frequently by the healthcare industry, as compared with other industries. You may have heard someone say that the healthcare industry is somewhat recession-proof. However, higher unemployment rates mean more people are unable to pay for care. Operational costs continue to rise and, not surprisingly, the uses of rapid e-learning tools to keep down training costs continue to gain ground with more than one-half of the healthcare and medical industry using them. Healthcare reform in the U.S. has created a sense of urgency in the healthcare industry as it prepares to respond to new directives and regulations. An uptick in the number of mandatory and compliance training courses created is a given. This, along with the higher-than-average usage of testing and assessments, and post-work for ILT (instructor-led training), will further bolster LMS usage and, therefore, make interoperability and integration with an LMS essential attributes in rapid e-learning development tools. In our research, we found that testing and assessments are used more frequently by the healthcare industry (81 percent use rapid e-learning tools for this purpose), as compared with other industries most likely due to the highly regulated nature of the business and the need to become proficient in many areas of this industry s work. Along with testing and assessments, software and application training is used with great frequency (86 percent of respondents use rapid e-learning tools for this purpose) due to the high use of technology from patient check-in to monitoring care. Other types of training content rapid e-learning tools frequently support is orientation training. Without e-learning, it would be a challenge to deliver training to medical professionals who tend to work long hours, only having time for training before or after their work shifts. Consider the following example (see Figure 8).

19 Adoption of Rapid e-learning Development Tools 19 Figure 8: Use of e-learning Tools Healthcare Industry Industry: Percentage of Mix: e-learning and Rapid e-learning Length of Time Using Rapid e-learning Development Tools Types of Training Created using Rapid e-learning Development Tools Greatest Importance in the Decision to Adopt Rapid e-learning Tools Most Important Features in a Rapid e-learning Development Tool Creators of Content Healthcare Just under 40 percent of organizations say e-learning accounts for more than 50 percent of their total learning mix. They use the tools less frequently than the other vertical industries studied. Thirty-eight percent say rapid e-learning accounts for more than 50 percent of their total e-learning mix. Twenty-nine percent of organizations have been using rapid e-learning tools for between four and 10 years. Sixty-six percent have been using the tools between one and three years, while just five percent have been using the tools for less than 12 months. The types of courses most frequently created using rapid e-learning tools are: Introductory content (95 percent report using rapid e-learning tools for this purpose); Compliance / mandatory training (90 percent); Software and application training (86 percent); Testing and assessment (81 percent); Orientation training (81 percent); Technical training (62 percent); and, Product demonstrations / marketing (50 percent). The top responses were as follows: Track course completions in an LMS (62 percent rate this as most important); Keep up with business needs (57 percent); Reach a distributed workforce (43 percent); Reduce costs (43 percent); and, Reach more employees (38 percent). The most important features in a rapid e-learning tool were a follows: Integration with an LMS (80 percent rate this as most important); Support for multimedia (56 percent); Rapid development (50 percent); Efficient review / collaboration (50 percent); Testing and assessment (40 percent). e-learning specialists and instructional designers create most rapid e-learning content, followed by SMEs, and L&D generalists and trainers. Seventy-five percent of e-learning specialists and instructional designers create between 50 percent and 100 percent of rapid e-learning content.

20 Adoption of Rapid e-learning Development Tools 20 Figure 8: Use of e-learning Tools Healthcare Industry (Cont`d) Industry: Challenges Unique to the Healthcare Industry Creators of Content Healthcare Challenges faced by developers in this industry include: Cost justification for upgrades; End-user abilities; SME s mindset (e.g., push versus pull); Tool selection for different types of content; and, Working with system and tool limitations. Delivering training to medical professionals who tend to work long hours, only having time for training before or after their work shifts. Frequently changing regulations. Unknown impact of government healthcare reform. e-learning specialists and instructional designers create most rapid e-learning content, followed by SMEs, and L&D generalists and trainers. Seventy-five percent of e-learning specialists and instructional designers create between 50 percent and 100 percent of rapid e-learning content. 4. Increasing Speed to Proficiency (enabling better performance) One of the better ways to show the strategic value of learning content is to increase speed to proficiency. For instance, can we use rapid e-learning tools to create tests and assessments that will allow learners to test out of courses or portions of courses (if there are individual modules within a course)? Can we create pre-work or introductory content for face-to-face instructor-led training (blended learning) that will reduce the amount of time spent and costs associated with classroom instruction? Can we use rapid e-learning tools to begin the onboarding process earlier in the hiring cycle or to reduce the costs associated with onsite orientation, like travel expenses? Can we record software and application simulations that employees can take on-demand at the point of need versus waiting for training or taking an entire class? Consider the following example (see Figure 9).

21 Adoption of Rapid e-learning Development Tools 21 Figure 9: A Biopharmaceutical Company Using Rapid e-learning Tools Industry: Problem Before After Biopharmaceutical There was no easy way for clinical research associates (CRAs), who travel often, up to speed quickly. A small staff (of one) was responsible for coordinating training for all CRAs who were located throughout the world. Prior to adopting rapid e-learning development tools, general training for CRAs was done face to face by a local third-party vendor and was costing approximately $2,500 for travel alone. It was inefficient and there was no way to easily track completions. Training was not harmonized. Rapid e-learning tools were used to develop content that addressed the need for CRAs to get a deep understanding quickly, and for certain therapeutic areas. Simple knowledge checks assess proficiency without the need to attend offsite, third-party ILT classes. Test-out options ensure CRAs only get the training they need. That enables better performance, quickly. CRAs no longer wait for training and training is now consistent. It took this company approximately three years to transition from primarily instructor-led training to e-learning for CRAs. A combination of rapid e-learning tools and virtual classroom 2 for training has made it possible to get new content to CRAs quickly and efficiently, improving speed to proficiency. Challenges still exist. A series of mergers and acquisitions has left the company with 16 LMSs. It is now implementing a single, enterprisewide LMS and having rapid e-learning tools that easily integrate with the new LMS has been essential for consistent tracking of course completions. Snapshot of the Government Sector and Its Use of Rapid e-learning Tools The same holds true for the government sector. Although this industry has been using rapid e-learning tools for a shorter amount of time as compared with the other vertical industries studied, it is transitioning from instructor-led training. 2 For more information, Virtual Classrooms: Facts, Practical Analysis, Trends and Provider Comparisons, Bersin & Associates / David Mallon, November Available to research members at or for purchase at

22 Adoption of Rapid e-learning Development Tools 22 We found that past reliance on ILT and some discomfort with technology have created moderate barriers to adoption, which have translated into a need for tools with a shorter learning curve. Cost reductions and keeping up with business needs play a key role in the decision to adopt rapid e-learning tools. As well, regulatory requirements and the human service nature of many government entities 3 (HR skills training is most often taught in the classroom and learned on the job) explain why rapid e-learning tools are used primarily for introductory content, and drill-and-practice-type compliance and mandatory training, testing and assessments. In turn, this explains the importance that this sector places on the ability of rapid e-learning tools to track course completions and to be interoperable with an LMS. Using rapid e-learning tools to reduce the amount of time spent in the classroom can increase speed to proficiency. Figure 10: Use of e-learning Tools Government Sector Government Sector Percentage of Mix: e-learning and Rapid e-learning Length of Time Using Rapid e-learning Development Tools Types of Training Created using Rapid e-learning Development Tools Thirty percent of organizations say e-learning accounts for more than 50 percent of their total learning mix. They use the tools less frequently than the other vertical industries studied. Fifty percent say rapid e-learning accounts for more than 50 percent of their total e-learning mix. Twenty-two percent of organizations have been using rapid e-learning tools for between four and 10 years. Fifty-six percent have been using the tools between one and three years, while 22 percent have been using the tools for less than 12 months. They have been using the tools for a shorter period of time than the other vertical industries studied. The types of courses most frequently created using rapid e-learning tools are: Introductory content (70 percent report using rapid e-learning tools for this purpose); Testing and assessment (70 percent); Compliance / mandatory training (57 percent); Software and application training (60 percent); Product demonstrations / marketing (50 percent); Orientation training (40 percent); and, Technical training (30 percent). 3 Includes local, state and federal governments.

23 Adoption of Rapid e-learning Development Tools 23 Figure 10: Use of e-learning Tools Government Sector (Cont`d) Government Sector Greatest Importance in the Decision to Adopt Rapid e-learning Tools Most Important Features in a Rapid e-learning Development Tool Creators of Content Challenges Unique to the Government Sector The top responses were as follows: Reduce costs (86 percent rate this as most important); Keep up with business needs (71 percent); Reach a distributed workforce (64 percent); Track course completions in an LMS (57 percent); and, Reach more employees (57 percent). The most important features in a rapid e-learning tool were a follows: Integration with an LMS (80 percent rate this as most important); Support for multimedia (56 percent); Rapid development (50 percent); Efficient review / collaboration (50 percent); Testing and assessment (40 percent). e-learning specialists and instructional designers create most rapid e-learning content, followed by SMEs, and L&D generalists and trainers. Sixty-seven percent of e-learning specialists and instructional designers create between 50 percent and 100 percent of rapid e-learning content. Challenges faced by developers in this industry include: Difficulty integrating multiple tools for a single project; Inconsistent internal standards for usage; Lack of team collaboration in developing content; and, Product-related concerns around vendor support, functionality and upgrades. More than the other vertical market studied, the government sector uses more advanced authoring tools for simulations and gaming, and for training that utilizes multimedia. This can be attributed to both the length of time they have been using e-learning and the nature of the government sector. Due to the nature of this industry, the government sector also uses rapid e-learning development tools to train employees on product updates, and to train its partners (extended enterprise learning) more than the other vertical markets. Strict compliance standards of output that require extensive testing prior to deployment, including Section compliance and security clearance. 4 Section 508 of the Rehabilitation Act requires access to the federal government s electronic and information technology by the employees and the public to the extent it does not pose an undue burden. The law covers all types of electronic and information technology in the federal sector when federal employees develop, procure, maintain or use such technology. For more information, please visit

24 Adoption of Rapid e-learning Development Tools Capturing and Retaining Expert Knowledge Expert knowledge resides in the heads of SMEs. Rapid e-learning tools provide a way for non-technical SMEs to create content by sharing their expertise. That expertise can then be shared with the entire workforce. Everyone is an expert in something so putting rapid e-learning tools in the hands of those with that expertise is the first step in tapping expert knowledge through e-learning. Figure 11: A Financial Services Company Using Rapid e-learning Tools Industry: Problem Before After Financial Services The company was outsourcing too much of its e-learning content. The company wanted to reduce the costs associated with training. It was also not utilizing its SMEs to the extent desired. The most important source of information for any program is in the heads of subject matter experts. However, SMEs do not normally have any background in instructional design and, therefore, need support in creating training materials. The company had a very small staff to support this global group of SMEs. To support the SMEs, save rework by its small instructional design staff and have more consistency, the company built storyboards in its rapid e-learning development tool. This made it easier for SMEs worldwide, most of whom have limited technology skills, to develop online training efficiently and with consistency. The company found that this reduced the cost of its e-learning immensely, while reducing the time spent on design and development. It was able to deliver more courses and to deliver them faster. Having an authoring tool that was intuitive and easy for SMEs, along with the ability to leverage the use of templates and recordings, was imperative. The company now finds that the demand for online training is increasing to the point which it does not always have the necessary resources to support it. The company feels that its use of rapid e-learning development tools has proved successful for its business. This is just one example of L&D taking a supportive and supervisory role to meet the needs of the business. The organization can facilitate the capturing of expert knowledge by utilizing the support of a rapid e-learning development tool. The manufacturing industry is an industry that relies heavily on its SMEs.

25 Adoption of Rapid e-learning Development Tools 25 Snapshot of the Manufacturing Sector and Its Use of Rapid e-learning Tools The manufacturing industry uses rapid e-learning tools most frequently to create introductory-type content, onboarding, technical training, and compliance and mandatory training. This industry uses rapid e-learning tools less frequently than the other vertical markets studied and has been using them for a shorter amount of the time. It relies on SMEs and other non-e-learning specialists to create content more often than other vertical markets do in part, because manufacturing skills often require hands-on training, which is not suitable for e-learning. As well, onboarding and technical training can be complex, and are often best handled by SMEs. Barriers to adoption are frequently cultural in nature because of the past use of traditional training methods, higher usage of SMEs for creating content and the belief about the effectiveness (or lack thereof) of e-learning. That is part of the reason why simplicity and cost are key for this industry when deciding to adopt rapid e-learning tools. Figure 12: Use of e-learning Tools Manufacturing Industry Snapshot Percentage of Mix: e-learning and Rapid e-learning Length of Time Using Rapid e-learning Development Tools Types of Training Created using Rapid e-learning Development Tools Manufacturing Sector Twenty-eight percent of organizations say e-learning accounts for more than 50 percent of their total learning mix. They use the tools less frequently than the other vertical industries studied. Thirty-seven percent say rapid e-learning accounts for more than 50 percent of their total e-learning mix. Eight percent report using rapid e-learning development tools for more than 10 years. Seventeen percent of organizations have been using rapid e-learning tools for between four and 10 years, while another 58 percent have been using the tools between one and three years. Seventeen percent have been using the tools for less than 12 months. The types of courses most frequently created using rapid e-learning tools are: Introductory content (86 percent report using rapid e-learning tools for this purpose); Orientation training (71 percent); Technical training (64 percent); Compliance / mandatory training (64 percent); Software and application training (57 percent); Testing and assessment (57percent); and, Product demonstrations / marketing (all 43 percent).

26 Adoption of Rapid e-learning Development Tools 26 Figure 12: Use of e-learning Tools Manufacturing Industry (Cont`d) Snapshot Greatest Importance in the Decision to Adopt Rapid e-learning Tools Most Important Features in a Rapid e-learning Development Tool Creators of Content Challenges Unique to the Government Sector Manufacturing Sector The top responses were as follows: Track course completions in an LMS (62 percent rate this as most important); Keep up with business needs (57 percent); Reach a distributed workforce (43 percent); Reduce costs (43 percent); and, Reach more employees (38 percent). The most important features in a rapid e-learning tool were a follows: Testing and assessment (69 percent rate this as most important); Integration with an LMS (62 percent); Support for multimedia (54 percent); Rapid development (46 percent); and, Efficient review / collaboration (23 percent). e-learning specialists and instructional designers create most rapid e-learning content, followed by SMEs, general employees and external providers. Twenty-five percent of e-learning specialists and instructional designers create between 50 percent and 100 percent of rapid e-learning content. Challenges faced by developers in this industry include: Manufacturing skills often require hands-on training, which is not suitable for e-learning. Onboarding and technical training can be complex, and are often best-handled by SMEs. SMEs, general employees and external providers are used with greater frequency than do the other vertical markets.

27 Adoption of Rapid e-learning Development Tools 27 Summary KEY POINT Rapid e-learning tools are essential to organizations for creating all types of e-learning content, and are viewed as critical for keeping up with business needs, while keeping down training costs. In the U.S., online delivery of training continues to grow and rapid e-learning tools are the tools of choice for creating most of that content. They are essential to organizations for creating all types of e-learning content, and are viewed as critical for keeping up with business needs, while keeping down training costs. In this research, we found that organizations adopt rapid e-learning tools for a variety of reasons. Being able to easily track courses in a learning management system is a key reason. Speed, support for multimedia training, cost and reaching a distributed workforce are others. In the vertical markets we studied, we found that the technology industry uses rapid e-learning tools more frequently than any other vertical markets we studied and has been using them for a longer period of time. Because of this, we were not surprised to see that the technology industry has been using more advanced tools (like Adobe Flash) with greater frequency than do the other vertical markets studied. Unique to the technology industry is the use of rapid e-learning tools to extend training beyond employees to customers and partners. The financial services industry has been using rapid e-learning tools nearly as long as the technology industry. We found that this industry expects to focus on mandatory and compliance training, due to more scrutiny by the government and new regulations. This means L&D groups will be focusing more on the most necessary training and the LMS will continue to be critical in tracking this regulatory information. In healthcare, reform in the U.S. had created a sense of urgency as the industry prepares to respond to new directives and regulations. An uptick in the number of mandatory and compliance training courses they create is expected. This, along with the higher-than-average usage of testing and assessments, and post-work for ILT, will further bolster LMS usage and, therefore, make interoperability and integration with an LMS essential attributes in rapid e-learning tools. In our research, we found that testing and assessments are used more frequently by the healthcare industry, as compared with other industries most likely due to the highly regulated nature of the business and the need to become proficient in many areas of the work.