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COST CONS IDERATIONS FOR E-LE ARNING PROJECTS

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COST CONS IDERATIONS FOR E-LE ARNING PROJECTS

T HE C O ST O F E - LE AR N IN G How much does e-learning cost? That’s a difficult question to answer since it really depends on the circumstances surrounding the project. There are, however, clearly identifiable categories of costs and considerations.

By working through these various categories of cost for the particular circumstances you face, you should be able to derive responsible estimates of the total cost of e-learning or develop a list of questions to pose to vendors to

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ensure you have your bases covered.


COST CONS IDERATIONS FOR E-LE ARNING PROJECTS

Factors that Affect Direct and/or Vendor Costs

Development Considerations 

Seat time/run time

Complexity of content

Availability of content

Stability of content

Desired level of learner interactivity

Desired level of professionalism of product

Use of established development process, templates and standards

How project will be managed? (communication,

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reviews, reporting, accountability) 

Development tools (Which? Who provides?)

Developers’ expertise with tools

Developers’ pace


COST CONS IDERATIONS FOR E-LE ARNING PROJECTS

Factors to Consider for Internal Projects

Direct Costs 

“Hidden” Costs

Infrastructure/LMS (purchase, support, management,

Ripple effect of development effort on other work

maintenance)

Audience (Who? How many?)

How project will be rolled out? (facilitate adoption of new

Distribution costs

Equipment/facility costs

Time away from job/disruption to productivity

SME access and time – typically the same as Instructor

learning initiatives – change management)

Performance measurement Led Training (ILT)

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Market and promote training

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COST CONS IDERATIONS FOR E-LE ARNING PROJECTS

Factors to Consider for Internal Projects

“Hidden” Value 

Will the company see the value in factors that don’t show directly?

Freeing up of premises

Less wear on ILT delivery, equipment

May free up subject matter experts to perform job related tasks rather than training tasks

Less travel costs for learners

Less travel costs for instructors, or subject matter experts

Consistency of training delivery; promotes company standards

Potential for increased learner effectiveness

Potential for attitude change of employees (impacting retention, job satisfaction)

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Access to training 24/7 in or away from office


COST CONS IDERATIONS FOR E-LE ARNING PROJECTS

General Considerations

Can learners learn on the job? Will managers allow it?

Are learners/the company rooted in ILT?

Will the budget process support e-learning?

Control of own learning – just in time, self-paced, easily referenced

Ability to train large numbers faster/simultaneously with consistent content

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Learner Impact

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Company Culture


COST CONS IDERATIONS FOR E-LE ARNING PROJECTS

Planning and investment in planning will reduce development costs whether your Here are a few tips to help you drive down the costs of e-learning:  Get organized, set goals and determine clear objectives!

competence and graphics. How well you plan for it, position it and implement it

avoid rework later on.

determine the cost and outcomes to your e-learning project.

Quicker development times will lower costs.  Be creative with a more blended approach to your training.  Reuse content and create templates to save time on future courseware development and updates.  Create pre-tests so learners may skip courses containing material they already know. This leaves them free to take only the training they need.  Consider supporting informal learning efforts in tandem with more formal ones. Social media allows for the use of “free” user-generated content in your training efforts.  Avoid using proprietary tools, technologies and media or those that are simply “in fashion.” Ensure these items will meet your development and learner’s needs over time. What’s hot today may not be so hot tomorrow.

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development requires specialist skills as they relate to tools, design, instructional

Don’t forget to include input from all key stakeholders to

 Build shorter courses that average about 15 – 30 minutes.

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project is developed in house or outsourced. Remember, though, that good


COST CONS IDERATIONS FOR E-LE ARNING PROJECTS

If you find that you need assistance with planning, positioning and implementation of your next e-learning project, contact us to learn how we can help. Michaels & Associates — making the most of your learners.

toll-free: 877-614-8440

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www.michaelsandassoc.com

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info@michaelsandassoc.com


Cost Considerations for Your E-learning Projects