By Tom Kupetis

Studies show it costs companies an average of six to nine months of a position’s salary every time they replace an employee. That’s just one of the many losses of employee turnover. Given that employees are a company’s greatest asset, retaining and building their talent is key, and training is the foundation.

Tom Kupetis

“Because their survival depends on it, learning services providers are constantly looking for new ways to develop and promote learning.” – Tom Kupetis, senior vice president of sales at Xerox Learning Services

Corporations spend billions of dollars on training programs, and I expect this will continue growing to keep employees engaged. Each company must decide if it makes more sense to keep or outsource the development, delivery and maintenance of training programs.

Learning vendors not only equip employees with skills that can help organizations remain competitive, they help reap numerous business benefits. Here are five:

    1. Focus on core business. Fortune 500 companies, specifically, are focused on developing products and bringing them to market. While learning and training programs are enablers for their business, developing them is not their core competency. Providers of learning services, on the other hand, spend their time, energy and resources on creating effective learning programs, allowing organizations to focus on growing their core business.
    2. Innovative programs. Because their survival depends on it, learning services providers are constantly looking for innovative ways to develop and deliver learning. The experience and insight they gain by working with multiple clients and multiple industries enables them to apply best practices specific to your industries and geographies.
    3. Cost effective. Using a learning services vendor to develop training programs generally costs 20 to 35 percent less than in-house. This is because companies tend to organize their learning programs by regions or by business units. This fragmented approach is less efficient than a holistic, global approach that vendors can apply across business groups.
    4. Measurable. Unlike assets, such as real estate and equipment, the performance and return on investment for learning programs does not have structured measuring nor is it reported externally. Companies cannot see how they compare to others in the aspect of learning programs and are mostly limited to their internal experiences. Vendors, on the other hand, engage in service level agreements with the companies that hire them. In addition to agreeing to achieve a certain level of performance, vendors must report performance results on a quarterly basis, enabling companies to assess their learning programs’ effectiveness better.
    5. Deliver business results. Learning solutions should be aligned with organizational business goals. For example, Xerox Learning assesses what a client is trying to achieve from a learning perspective, but first looks at how or if that training will improve business results and the bottom line. Internal training departments seldom look at this direct alignment with the overall business objectives or, in some cases, don’t have the ability to do so.


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Considering the benefits, it’s easy to see why TrainingIndustry.com issues annual lists of the Top 20 Training Outsourcing Companies and Content Development Companies, which Xerox Learning Solutions is proud to be part of.

For companies to stay relevant and competitive in today’s business world, employees must perform at the top of their game. Outsourced learning programs help.