Cost Savings

Training Magazine reports companies save
from 50-70% when they replace instructor-led
training with electronic content delivery.
General Mills Travel costs and employee
downtime have been significantly reduced by
eliminating the need to fly people to headquarters
for a meeting or trainers out to education events.
(www.microsoft.com)

Cisco Systems saves at least $240 million annually
from its education budget by using e-training;
executives figure that per student, the company
saves $12,000 it would have to spend to send
each employee to four classes a year, with travel
to half of the courses -- and that number doesn't
include lost-opportunity costs. Oracle estimates that
e-Learning saves the firm $100 million a year.
(www.wfcresources.com)

"training is moving online for the same reason
that companies attempted outsourcing 10 years
ago: not because it is better, but because it is
cheaper and more measurable."
(www.pcmag.com)

Smaller companies with limited budgets also
will appreciate the fact that e-learning can avoid
wasting precious training dollars on lost tuition
and fees due to last-minute cancellations. As one HR
professional put it: "With classroom training, you're
paying for 20 people whether 20 or 10 show up.
With e-learning, when you're using it, you pay for it;
when you're not, you don't."
(http://findarticles.com/p/articles/mi_m3495/is_5_46/ai_74829361)

Barclays Bank saved an estimated $1.5 million
by moving its leadership development program
online. Over 1,600 days of leadership training
were delivered via the Internet in 2004.
(www.wfcresources.com)

This increase in speed actually increases the
value of the course content simply because of its
improved availability to the learner. Speed, in this
case, has a clear value.
(www.learningcircuits.org)

Back to Top

Increased Revenue

Motorola projects that for every $1 spent on
training, there will be $30 in productivity gains
in 3 years.
(www.sagelearning.com)

Average Fortune 500 Company loses $64 million
per year because of ineffective knowledge sharing.
(www.sagelearning.com)

"There is evidence that suggests that training can
have productivity payoffs," says Robert D. Atkinson,
vice president of the Progressive Policy Institute (PPI)
and director of the Technology & New Economy Project.
"Training can have positive ROI (return on investment) because it can lead to productivity improvement."
(www.sun.com)

Cliff Purington, director of learning and development
at Rockwell Collins, a manufacturer of communications
and aviation electronics in Cedar Rapids, Iowa. “When
you connect e-learning to the vision of the company
it adds value."
(www.workforce.com)

In the current economic environment, IT budgets are
shrinking, "but E-learning software is taking up more of
the budget," says Fred McCrea, an analyst for Thomas
Weisel Partners. "That's because the real selling point is an ROI that's tangible and immediate."
(www.informationweek.com)

E-Learning Delivers a 2284% ROI for IBM
(www.findarticles.com)

Web-based training is paying off handsomely
with lower training costs, increased employee
retention, and the delivery of better goods & services.
(www.pcmag.com)

Some of the tangible benefits according to the type
of e-learning program would include increase in sales,
increase in customer satisfaction after a customer
service program, and reduction in defects by 20-30%
in case of a quality control program etc.. The result of
such programs can quantify for tangible results and
the ROI can be measured in terms of dollars and not
just ratios or percentages.
(www.articlesbase.com)

Second-tier benefits occur when companies use
e-learning to support changes in the company's
strategic direction. For example, Lucent achieved
second-tier benefits through improved manager
productivity when it launched reporting and tracking
features they could use to follow employee progress
without having to prepare reports manually.
(http://my.advisor.com/doc/11335)

Back to Top

Increased Productivity

50% of employee skills become outdated in 3 years.
(Source: Merrill Lynch "The Book of Knowledge")

Corporations worldwide are now seeking
more innovative and efficient ways to deliver
training to their geographically dispersed workforce.
(www.learnframe.com/aboutelearning/elearningfacts.pdf)

E-Training is working to enhance the ability
of the Federal government to attract, retain, manage,
and continuously educate the highly skilled professionals needed for a flexible and high-performing government workforce.
(www.whitehouse.gov)

Around one third of German companies included in
the C-Dax stock market index train their employees
using e-learning methods.
(www.allbusiness.com)

With E-Learning, available online and on demand, you
get maximum convenience through virtually 24-houra-
day access—without costly travel or extra time away
from the office to attend training.
(www.microsoft.com)

ASTD’s 2002 State of the Industry report-there is
an anticipated growth in the use of e-learning in the
future because manufacturers believe e-learning
results in cost savings and enhanced productivity.
(www.nam.org)

77% of American corporations now use online
learning. The Gartner Group says that by 2008, 41
million corporate employees will be functioning in
a “virtual workplace” at least one day every week.
(www.successdegrees.com)

Career competencies can be defined with online
learning experiences linked and measured.
(www.hr.com)

Improving individual performance can create a
20 percent or better improvement in an organization's competitive position. Organizations such as Disney and Federal Express demonstrated this growth by setting up systems to deliver the exact knowledge and skills each individual needed in the right way, at the right time.
( San Diego Business Journal)

Back to Top

Click here for more information