WhatWorks in Enterprise Learning Newsletter [October 2006]
The Research Source for Enterprise Learning and Talent Management
October 2006

In This Issue


A New Approach to Measuring the Business Impact of Training

Bersin & Associates has been researching training analytics and measurements for several years.

An extensive, upcoming industry study, High Impact Learning Measurement: Best Practices, Models, and Business-Driven Solutions for the Measurement and Evaluation of Corporate Training, will present the company’s most recent research and detail best practices and trends in the area.

The report introduces a new approach to training measurement centered around evaluating the business impact of training. Unlike Kirkpatrick and other measurement models, this model is based on training’s function as a business-support organization whose primary value is to support business initiatives rather than generate revenue or profit.

Successful business alignment requires that training processes, key impact influencers, and measurements are correlated to the business throughout a program’s lifecycle. Traditional measures that evaluate satisfaction, learning, or job impact are meaningless if not correctly applied to the primary business objectives and most pressing business challenges.

By understanding how and where processes impact business, when various influencers come into play, and the practical types of metrics that can be used at each phase, you can keep your finger on the pulse of the business at all times. Rather than discovering at a program’s completion that your customer is not satisfied, you can use selected metrics to help you ensure continual alignment.

The Impact Measurement Framework (TM) correlates training processes to the four stages of business impact. It also identifies elements that influence business impact and identifies nine areas of measurement that can evaluate business impact at various stages throughout a program’s lifecycle. The model is developed to give professionals a holistic and highly practical approach to measurement.

Bersin & Associates believes this new approach to measurement reflects the evolving role of corporate learning – one in which the learning organization is tightly intertwined with business and talent management and which emphasizes performance consulting.

Click to read the detailed article on this topic. And watch for the comprehensive industry study, High-Impact Learning Measurement, in November.

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Compliance Training at Delta

This case study details how Delta Air Lines, the third largest carrier domestically and internationally, streamlined and centralized its compliance-related training.

Since most of the company’s training activities are related to regulatory requirements, such as those imposed by the FAA, effective and efficient training is a corporate imperative. Failure to meet requirements can result in stiff fines and grounded flights.

Compliance-related training for airlines is particularly challenging since companies have large and geographically dispersed employee populations, a wide range of job roles, and an array of regulatory agencies imposing requirements. Delta, recognized by Training magazine in 2005 as a top training company, has successfully tackled the challenge through organizational changes, the implementation of supporting technologies, and strategic use of learning innovations.

This case study will give you insight into Delta’s use of shared services, “smart routing” to map training requirements to job roles, and the use of the corporate LMS as a repository of record for compliance.

Research Members: Visit the research center to download your copy today.
Non-members: The case study is available to non-members for a limited time; register for your copy today.

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Observations from the HR Technology Conference

Given the dramatic changes occurring in the HR and learning technology markets, we were eager to attend this conference, held in Chicago earlier this month.

We had an opportunity to interact with approximately 200 technology vendors and talk directly to many technology buyers. We thought you would be interested in reading some of our observations.

  • We believe talent management will be the next “killer” application. About 20% of attendees indicated they were or soon would be interested in purchasing a talent management system, which we describe as a single application that integrates processes for performance management, staffing, competency management, and learning management.
  • Currently, LMS vendors are leading the way in offering integration between performance management and learning. We hosted the conference’s LMS and performance management shootout, in which Cornerstone OnDemand, KnowledgePlanet, Plateau, and Saba participated. All vendors demonstrated this integration is indeed becoming a reality. The shootout’s winner was Plateau.
  • While Oracle and SAP still reign supreme in the ERP market, most HR executives are looking to specialized vendors for performance and talent management solutions.
  • The HR technology market is still highly fragmented, especially in the areas of talent management. We think this fragmentation is good and natural. Buyers will see innovation and strong competition from vendors looking to enter the market and win market share.

This event was one of the best we’ve attended in quite some time. The interest and enthusiasm we saw are additional indicators that HR and learning professionals will see exciting times ahead.

Click to read the entire article.

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In the News
Bersin Events

Companies Still Struggle to Tie Training to Business Goals
[Training Magazine]

Bersin & Associates recently asked training managers at more than 140 companies of all sizes and types about training measurements. Survey topics ranged from areas of training routinely measured to the percent of training budget spent on measurement. Respondents said that the most important measures of training are the impact on employees' jobs and on the business. Yet these areas are at the bottom of the heap when it comes to what is being measured. Learn more; read the full article online.

Why Talent Management is Key to Business- Focused Learning
[Chief Learning Officer]

The demographic changes that will hit global workforces over the next eight years will require significant changes in all facets of corporate learning — from the technology infrastructure to its relationship with HR to program prioritization. An aging workforce, combined with a shrinking talent pool, will put a host of new pressures on learning organizations. Already, companies are feeling effects: A 2006 survey of about 45,000 companies conducted by Manpower Inc. showed that a significant percentage of companies are having difficulty hiring qualified personnel. In Japan, 58% of respondents reported hiring challenges, 53% in Germany, 44% in the United States and 42% in the United Kingdom. Even China and India are experiencing hiring shortages. Read the full article on CLO.

Endless Expectations
[Training & Development]

In the article “Endless Expectations” by T&D Editor Paula Ketter, Chris Howard offers perspective on the increasing market demand for LMS features and integration. Read the full article.

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Events

WEBINARS

  • Mobile Learning:  WhatWorks
    November 15, 2006, 1:00 p.m. ET
    Chris Howard, Principal Analyst

    Register now for this event.

  • Integrated Talent Management:
    The Next Phase in the Evolution of Corporate HR and Learning

    November 17, 2006, 1:00 p.m. ET
    Josh Bersin, President and Founder

    How are talent management needs affecting corporate HR and training? This webinar will present the latest research on trends, best-practices, and changes in HR organizations driven by the demand for integrated talent management. Findings from the recent and comprehensive study on performance management will be included in the discussion. Register for this event.

Missed it live? Research members can view all recorded webinars by clicking on the links below. Not a member? Sign up for a trial membership today.

WORKSHOPS

New this season: Implementing Successful Performance and Talent Management Series, a one-day workshop focused on the issues, challenges, and best practices related to performance and talent management. Targeted to HR and learning executives and professionals, the agenda covers a wide range of topics, including the performance management maturity model, which can be used to help you match the processes and technology best suited to your current stage and future strategy; the seven fundamental elements critical to any performance management initiative; the organizational impact of performance and talent management; and the available technology options that can bring new efficiencies to business processes.

As with all Bersin & Associates workshops, attendees interact directly with analysts and peers throughout the workshop, leave with detailed action plans, and can obtain ongoing advice and guidance. Attendees receive a complimentary copy of Performance Management 2006: Market Analysis, Trends, Best Practices, and Vendor Profiles.

  • December 1, 2006, New York City, The Yale Club

Visit our website for a detailed agenda, registration information, and member discounts.

Back by popular demand with a newly expanded agenda: Building a High-Impact Learning Organization. This workshop received rave reviews last season for the insights and actions required to maximize the efficiency and effectiveness of corporate training.

In response to attendee feedback, the workshop has been extended to a one-and-a-half-day format to provide more time for discussion and workgroup activities and to incorporate the analysis of three detailed case studies on effectiveness measurements, phased LMS implementation, and learning governance models.


  • November 29-30, 2006, New York City, The Yale Club

Visit our website for a detailed agenda, registration information, and member discounts.

CONFERENCES

Learning 2006
November 5–8, 2006, Orlando

Josh Bersin will present three sessions at the upcoming Learning 2006 conference:

  • State of the LCMS Market: Is It Time to Implement a Learning Content Management System?
    As learning resources continue to grow in most organizations, management and tracking of content becomes increasingly important – and complex. Trends indicate that most large organizations will implement a learning content management system within the next two years. This interactive session, which will present the latest market research on the LCMS market, is designed to help you decide if you are ready for an LCMS.

  • The Convergence of Learning and Talent Management: The New Role of Corporate Training in Talent-Driven Learning
    Business-driven talent management challenges are requiring the training organization to take a central role in leadership development, skills-gap analysis, and recruiting. This research-based session will present the latest research on this new role and the impact of talent management on the organization and strategy of corporate training.

  • The Business of Learning Discussion: Mistakes That Learning Buyers and Suppliers Can Avoid
    This interactive discussion is primarily targeted to learning suppliers and vendors, though all participants are welcome. Bersin will address the biggest mistakes that vendors make when marketing and selling learning products, services and systems. He will offer insight into understanding real buying needs, responding to RFPs, and developing pricing proposals.

2nd Annual Talent Management Conference Leadership Development and Succession Planning in the 21st Century
December 7-8, 2006, Miami

Josh Bersin and Kim Lamoureux are speakers at this year's Talent Management Conference, produced by Marcus Evans. The event will focus on aligning talent management strategies to organizational objectives and making leadership development a critical part of an effective succession planning strategy. Request a brochure for this event.

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New: Research Bulletins

This month, we published four new research bulletins – short articles designed to bring you focused insight on specific topics. These pieces are quick reads, but are jam-packed with valuable information.

This month’s bulletins include:

  • Pricing Strategies for Customer Training
    This bulletin describes how an enterprise software developer revamped its customer training program based on direct customer input. The company increased customer satisfaction – and grew its customer training revenue by 10%.
  • SkillSoft Launches Web Architecture for Learning Content
    Bersin focuses this bulletin on SkillSoft’s Online Learning Services Architecture (OLSA), which was created to facilitate content integration without requiring additional loading, managing, or testing.
  • SumTotal Systems, Inc. 2006 User Conference:
    Growth, Integration and New Strategies

    Bersin discusses new product announcements and how SumTotal is successfully integrating the customers and product platforms of four different LMS systems into a single company.
  • How Do Companies Define "High Potential?":
    High Potentials Research Briefing, Part One

    In this first of two briefings, Lamoureux looks at how companies should define, target and identify high potential employees within their organizations.
  • How Should Companies Manage High Potentials?:
    High Potential Research Briefing, Part Two

    In this second of two briefings, Lamoureux analyzes how companies are recognizing, developing and promoting high-potential employees to retain top talent and maximize their contributions.

Research Members: These bulletins are included in your research membership. You’ll find these bulletins on the Research Center home page.
Non-members: Download a complimentary copy of SkillSoft Launches Web Architecture for Learning Content to see this new research firsthand.

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New Research for Members

Training the Extended Enterprise: Best Practices in Channel and Customer Training
This case study examines how a leading supplier of enterprise information system solutions delivers customer training through a variety of free and pay-for-service models, allowing the company to offer a three-tier remote learning program. Download today.

Compliance Training at Delta Air Lines: WhatWorks®
Most of Delta Air Line’s training activities are compliance related. This new report discusses how Delta has streamlined and centralized compliance processes, mapped learning enterprisewide, and instituted a blended learning program. Download today.

Pricing Strategies for Customer Training
This report details how an enterprise software developer created a customer training program based on direct input from customers themselves. The report provides guidance on how to structure training and pricing for customers, how a blended learning approach can meet customers’ needs, and how just-in-time access works for customer training. Download today.

What You Still Need to Know About Learning Management Systems
How do you select the right system? How do you organize for success? What challenges should you expect? How much should it cost? How do vendors compare? This presentation answers these questions and highlights benchmarks, best practices, vendor positioning, and what really works. This report is a mandatory read for anyone selecting and implementing a learning management system. Download today.

A New Measurement Model for Training: Impact Measurement Framework
This presentation, based on recent training measurement research, explains a new way of approaching training measurement and introduces the impact measurement framework. Download today.


Analyst Corner

Blended Learning in Leadership Development
Kim Lamoureux
Senior Analyst

The use of blended learning in leadership development initiatives was one of the hot topics discussed by 45 leadership development managers at Ninth House’s Leadership Summit in September.

Most learning professionals recognize that traditional training actually accounts for a small percentage of on-the-job, adult learning. (One commonly cited equation cites that 10% of learning comes from traditional training, 20% from colleagues, and 70% from on-the-job experiences.) However, many organizations continue to focus most resources and investment on traditional training.

The summit attendees identified two common obstacles that stand in the way of expanding the use of blended learning. The first is the difficulty in tracking and managing blended learning activities. LMSs still fall short when it comes to tracking on-the- job training, job rotations, or project assignments as part of overall learning solutions.

An even bigger issue is the lack of accountability for managers to provide on-the-job training opportunities and coaching to their employees. Most companies find it impossible to monitor a manager’s performance in providing and executing unstructured training.

Our research shows that the most successful leadership development initiatives are those that have built blended solutions that mirror the 70/20/10 model. With the increasing emphasis on leadership development, it’s imperative that learning professionals work closely with vendors and their own executive teams to overcome these and other hurdles.

Email Kim Lamoureux to share your experiences in using blended learning for leadership development.

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