Building the business case for Extended Enterprise
1. Building the Business
Case for Extended
Enterprise Learning
12/2/14, 2014
John Leh
CEO, Lead Analyst
Talented Learning, LLC
2.
3. Today’s 30-Minute Agenda
• Introduction
• Extended Enterprise Overview
• 5- Steps to Building a EE Business Case
• Q&A
4. • 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?
5. What is Extended Enterprise 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
6. So What Do You Need for EE?
• Content
• Existing proprietary content
• eLearning Authoring Tool
• Virtual Classroom Tool
• Social Collaboration
• Learning Management System
• Track users
• House content
• Provide reporting
7. What is an EE 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
8. 5 Steps To Building Your EE Business Case
ID Current State
ID Audiences
ID Metrics
Analyze
Predict
9. Step 1: Identify Your 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!
10. Step 2: Document Current 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?
11. Step 3: ID Measurable 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
12. Step 4: Consolidate Data 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
13. Step 5: Determine Impact
• 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?
14. Conclusion
• Rome wasn’t built 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
15. Upcoming 2014 EE Webinars
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
