Web-Based Training in the Workplace

Abstract

Web-based training is taking the training and education world by storm. Just to get a sense of how fast Web-based training is growing, consider some of these indicators. * The U.S. market for Web-based training generated $197 million in revenue in 1997, according to a report published by International Data Corporation (IDC). The IDC report forecasts that this market will exceed $6 billion by 2002, representing a compound annual growth rate of almost 95 percent from 1997 to 2002. * A survey by the Graphic, Visualization and Usability Center (GVU) at Georgia Tech found 64% of Web users in the United States surveyed have experienced Web-based training. * Training Magazine's 1998 Industry Report, which tracks training trends reported that 19 percent of formal training courses are delivered via computer (CD-ROM, diskettes, and online via the Internet). These indicators suggest Web-based training is here to stay and it will continue to grow. This article provides an overview of why Web-based training is growing so rapidly and a summary of the issues adult educators face when developing programs. Why Organizations Choose Web-Based Training Web-based training (WBT) is growing rapidly because of the tactical and strategic advantages it offers companies. Initially companies were drawn to WBT because of its potential to save money. The tactical advantages are easy to calculate. Web-based training reduces the travel costs associated with instructor-led courses. Firms using WBT do not pay for airline tickets, hotel rooms, rental cars, or meals for employees who attend training programs. This can save firms an average of $1,500 per employee. A related cost savings is known as opportunity cost. Opportunity cost refers to the revenues that are lost as a result of choosing one option over another. For example, a sales representative who chooses to attend training will incur expenses related to traveling and enrolling in the course. He or she will also incur the opportunity cost of lost sales. The company will lose the revenues the sales person would have made if he or she had worked, rather than attended class. Opportunity costs can be very high for sales people, consultants, or workers who generate billable hours. Firms dealing with high turnover rates for entry level positions, such as bank tellers and call center representatives, quickly recognize the benefits of training anytime and anywhere. Traditionally, these organizations conduct new-hire training every few weeks or when there is enough demand. This inflexible scheduling results in managers waiting 3-6 weeks for a new-hire class to run before they could fill a position. In other cases, new-hire training requires trainers or experts to cycle through a regional office to deliver courses. These trainers and experts are frequently a scarce resource. Web-based training is seen as a way of making experts more widely accessible and class scheduling more flexible. Companies that have spent thousands of dollars on personal computers, networks, and servers identified Web-based training as yet another application that justifies the organization's spending on technical infrastructure. One of the most compelling reasons for putting training online is the ability to track employees' enrollment and test scores. Web-based training offers tools that link the learner's records to his or her personnel file. These systems not only take advantage of the existing infrastructure, but they help with workforce planning, performance reviews, and documentation for legal purposes. Substantial savings take place by eliminating traditional media such as manuals and self-paced workbooks. Organizations that utilize web-based training do not have to print and distribute hundreds of copies of paper-based materials. This also allows for eliminating the costs associated with writing-off obsolete material. Web-based training programs are updated easily, by placing a new file on the server. …