PURE DISCUSSION WEBINARLEARNING CAFÉDISCUSSIONOutsourcing of Learning – Good, Bad,Challenges & Opportunities30 Aug 2012, Thursday, 12 – 1 pm
Webinar ID: 650198008 Date – Thus 30 Aug, 12 – 1 pm ESTParticipants Toolbar Telephone Conf Call Telephone Conf Call - +61 2 8014 4933 Access Code: 859-720-501 Any questions please send it via Q&A box or raise your hand. Phones or PC speakers on mute till you are ready to speak. This session is being recorded for replay. This is a discussion amongst peers, we would love your thoughts and comments.
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Primer - Outsourcing Approach1 Undertaken by outside supplier Insourced Selective2 Transfer of activities or assets to an outside supplier Significantly Completely Activities undertaken by3 suppliers but could have been done internally-> Off shoring-> Near sourcing
Outsourcing of Learning Components of Learning Function Strategy & Design Classroom Online Learning LearningLeadership Online Learning Trainers Trg Content Mgt System Business ProcessAdmin & records Support helpdesk Design
Dynamics are different2011 Training Industry Report 2011
Can and should some or allof learning be outsourced ?Where do you stand asbusiness managerand as a learningprofessional ?
Is Learning a A or B or C player ? A • Strategically important B • Enhances revenues • Supporting - • Compensation – Supports A PerformanceC • Compensation – Job• Surplus Level• Not much economic impact• Compensation – Market price Outsource or eliminateA Players or A Positions ? The Strategic Logic of WorkforceManagement, Mark Huselid,, Richard Beatty & Brian Becker ,HBR
Coffee Catch Up Ruminations• L&D are not particularly good at creating credibility about the value they deliver, hence outsourcing is considered.• Maybe we also need to create more value.• Being part of HR means that Learning does not get a seat at the table and is considered an add on.
What are yourobservations onoutsourcing of learning inAustralia and Asia Pacific ?
Cape Group Research 2005• Examined company trends in the outsourcing of learning functions• Interviewed vendors in the Asia Pacific region• Key findings:- Most commonly outsourced functions included content development and technology infrastructure- Outsourcing of entire learning functions was rare- Main drivers for outsourcing included cost reduction, to remain competitive and keeping up to date with technology
Recent Research from US• Survey of 790 US based organisations and educational institutions (29% small companies, 40% midsize and 31% large) from various industries• The findings showed a significant rise in training outsourcing spending: $606, 563, up from $257,871 in 2010• On average, 23% of total budget is spent on outsourcing• Average training budget spent on outsourcing is expected to stay relatively stable in 2012 (79% organisations saying they will stay the same)• Number one driver is still cost reduction, but there is a longer term focus on improving performance over years to come• Other drivers include better management of resources, improved quality of content development and delivery and achieving greater geographic reach into foreign market www.trainingindustry.com
Cape Group Research 2012• Preliminary findings on Australian organisations: - Increase in adoption of SaaS to deliver eLearning - Similar to US, common outsourced components are content development and facilitation - Unlike US, increase outsourcing of LMS - Drivers for outsourcing include innovation, reduced cost and increased demand - Challenges in outsourcing are the ability of vendors to meet client service standards, building trust bet and communication barriers
Cape Group Research 2012• Preliminary findings on Australian organisations: - Drivers for outsourcing include innovation, reduced cost and increased demand - Challenges organisations facing with outsourcing include: - the ability of vendors to meet client service standards - building trust with the vendors - ensuring clear communication of requirements - developing a strong partnering relationship
What has been theimpact of Strategy & Designoutsourcing on Classroom Online Learningvarious Learninglearning activities ? Leadership Trg Trainers Online Content Learning Mgt System Business Processi.e. classroom delivery,e-Learning, leadership Admin & records Support helpdesk Designdevelopment andlearning logistics ?
What will the impactof outsourcing on careeroptions andopportunities availability forlearning professionals.Do we need to developnew skills and capabilitiesto adapt to outsourcing ?
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