Building the business case for Extended Enterprise

Building the business case for Extended Enterprise

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  Building the Business Casefor Extended Enterprise Learning 12/2/14, 2014 John Leh CEO, Lead Analyst Talented Learning, LLC
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  Today’s 30-Minute Agenda •Introduction • Extended Enterprise Overview • 5- Steps to Building a EE Business Case • Q&A
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  • 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?
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  What is ExtendedEnterprise 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
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  So What DoYou Need for EE? • Content • Existing proprietary content • eLearning Authoring Tool • Virtual Classroom Tool • Social Collaboration • Learning Management System • Track users • House content • Provide reporting
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  What is anEE 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
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  5 Steps ToBuilding Your EE Business Case ID Current State ID Audiences ID Metrics Analyze Predict
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  Step 1: IdentifyYour 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!
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  Step 2: DocumentCurrent 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?
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  Step 3: IDMeasurable 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
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  Step 4: ConsolidateData 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
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  Step 5: DetermineImpact • 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?
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  Conclusion • Rome wasn’tbuilt 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
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  Upcoming 2014 EEWebinars www.TalentedLearning.com/Webinars 12/7: How to Trade in Your Current LMS 12/16: Five Types of LMS Requirements 12/23: Social Learning and the EE
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  Questions? • JohnLeh@TalentedLearning.com • Twitter:@JohnLeh • LinkedIn.com/in/JohnLeh • Join our EE Linked Group – Talented Learning • Follow our blog on TalentedLearning.com