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Issue 6
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Are you getting the benefits you expected from your LMS?


All responses are anonymous and confidential.


What percentage of your training budget is spent on training administration and operations?

  Take the full survey
If you find yourself spending more on overhead and less on actual training, give us a call. We'd be happy to share our success stories and explore how we can help.
 

The High Cost of Training Overhead
 
by Mohana Radhakrishnan
 
Would you donate money to a charity that spent half of all contributions on administrative overhead? How would a business manager react if he or she knew that only half of the unitís training budget was spent on actual employee training?

Our recent survey on training administration confirmed that most companies are spending way too much on training administration and operations. Forty percent of survey respondents said their companies spent 20 to 50% of training budgets on administrative-related expenses.

As corporate training takes a more strategic role in the enterprise, administrative costs typically increase. Approximately 60% of respondents see spending on administration and operations increasing over the next two years.

Respondents cited heavy workloads (57%), inadequate technical support (47%), limited budgets (40%), and lack of qualified personnel (40%) as the top administrative challenges.  

We see these administrative problems ñ and many others -- in companies weíve worked with. But, solutions are not to be found by further increasing spending. In fact, weíve found that most companies can dramatically improve administrative efficiency while actually reducing spending. 

The first step is to really understand your operational processes. This requires objectivity, careful scrutiny, extensive communications, and broad training experience. It also involves going into deep detail and analyzing findings in order to highlight the problem processes and to identify those that are performing optimally. This work is essential to understanding what can be improved and how to make necessary changes. 

At Expertus, weíve cataloged the eleven major processes that make up most of what's involved in training administration. Having this documentation expedites process analysis and also ensures that no processes are overlooked. 

If youíre looking for a way to deliver more training value within your current budget, we highly recommend taking a close look at administrative-related expenses. By improving administrative efficiencies, youíll have more dollars and resources to invest in training programs and youíll likely increase your organizationís credibility throughout the enterprise.

If you have a question about what it takes to streamline training operations, or if youíd like to discuss how Expertus can potentially help you reduce your administrative overhead, contact me.
 


Expertus Inc.
2091 Landings Drive - Mountain View, CA 94043
877-827-8160
Contact Expertus - www.expertus.com

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