Corporate Training & e-Learning Blog

Wednesday

Bersin & Associates' 2005-2006 Industry Analysis

How fortunate I was about a month ago to receive a personal email from Josh Bersin of Bersin & Associates! He wrote to me as a result of finding this blog. As I candidly told him, I was honored to personally "meet" him, even via email, since I have tremendous respect for and interest in his industry research and reports. And each year, I thoroughly enjoy reading his industry analysis of e-learning trends for this past year and predictions for the year ahead. I thank you again, Josh, for getting in touch with me!

Bersin & Associates' "Enterprise Learning 2006" report has arrived, and I'd like to share just a few of the highlights with you that I found particularly interesting. For the entire interesting 29-page report and details, please go to
www.bersin.com and click on the link under Hot New News for "2006 Predictions analyst insights."
  • A year-by-year comparison graph of corporate training delivery by method shows that in 1999 80% of training was delivered via ILT, 12% via other/books, and 8% via e-learning. In 2005, only 63% of training was delivered via ILT, 8% via other/books, and 28% via e-learning. Growth in e-learning in 2004 alone was 25%; in 2005 e-learning grew 40%!
  • Bersin & Associates believes that "no one questions whether e-learning is a good idea any more (at least not in the U.S.)." It is widely regarded as a great tool for teaching and communication.
  • For the first year in many years, 46% of training budgets increased a little or a lot. Technology costs are responsible for much of the increase.
  • Bersin & Associates has found that "e-learning has changed the economics of training." E-learning requires a larger up-front investment than previously understood. E-learning does, however, "shift variable training costs into fixed costs. It reduces cost per student hour, enabling training and information to reach more people more often."
  • The "corporate university" model is being replaced by "learning services organizations." The focus is changing from "you come to us to be trained" to "we will deliver the training, support, and consulting you need - right to you - anytime, anywhere."
  • 2005 saw increases in blended learning, rapid e-learning, and learning content management systems (LCMS). In 2005 we also saw the introduction of on-demand learning via RSS and podcasts (check out http://www.technologyreview.com/InfoTech/wtr_15940,300,p1.html), and continued growth and consolidation of learning management systems (LMS).
  • Rapid e-learning is taking off at such a high speed due to the time-critical (a few weeks) nature of many training programs. Of the 300+ Bersin & Associates survey respondents, 100% said that their programs were in some way time critical: 46% said so of "most of" their programs, 26% said so of "a lot of" their programs, 22% said "some of" their programs, and 6% said "a few of" their programs. There is no denying Bersins prediction that most organizations will be evaluating and using rapid e-learning tools and approaches in the year ahead.
  • Live (synchronous) e-learning will continue a dramatic growth rate. Seems that "everybody's doing it" these days! Examples of these tools are WebEx, Centra, Interwise, Microsoft Live Meeting, and Breeze Live.

As I have already said, these are just a few of the trends that I found compelling. Read the entire report for your own perspectives.

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