Learning and Development (L&D) professionals know that a solid L&D budget is essential for providing quality training and development opportunities for employees. But how do you make the case for more L&D funding within your organization?

First, let’s define what an L&D budget is. Simply put, it’s the money allocated for employee training and development. This budget can be used for a variety of purposes, such as workshops, conferences, e-learning courses, and coaching programs. But with limited resources and competing priorities, it can be difficult to secure more funding for L&D initiatives.

That’s where the art of “Making the Business Case for More L&D Funding” comes in. By highlighting the tangible benefits of investing in employee development, you can demonstrate the value of L&D to your organization.

L&D budget methods

Here are five different examples of L&D budget methods, along with the pros and cons of each:

1. Allocation by Percentage of Payroll:

This method involves setting aside a certain percentage of payroll for L&D expenses. The pro of this method is that it ensures a consistent budget for L&D year after year. The con is that it may not take into account changes in the business environment or specific training needs.

2. Allocation by Headcount:

This method involves allocating a certain amount of money per employee for L&D expenses. The pro of this method is that it takes into account the number of employees that will be receiving training. The con is that it may not take into account differences in employee roles or levels within the organization.

3. Allocation by Project:

This method involves allocating a specific amount of money for each L&D project or initiative. The pro of this method is that it allows for flexibility in response to changing business needs. The con is that it may not take into account the long-term impact of L&D expenses.

4. Allocation by Business Unit:

This method involves allocating a certain amount of money for L&D expenses to each business unit or department within the organization. The pro of this method is that it allows for customization based on the specific training needs of each unit. The con is that it may not take into account the organization-wide impact of L&D expenses.

5. Allocation by ROI:

This method involves allocating L&D expenses based on the expected return on investment. The pro of this method is that it allows for a clear link between L&D expenses and business results. The con is that it may be difficult to predict the ROI of certain L&D initiatives. Listen to our free podcast by the Head of Learning Measurement at Facebook for advice on how to use analytics to measure the ROI of learning.

In conclusion, to secure more L&D funding, demonstrate the value of employee development in terms of improved business outcomes such as increased productivity, retention, and employee satisfaction. Understand the pros and cons of different L&D budget methods to develop a budget that aligns with your organization’s specific needs and goals.

As a learning and development manager, you know that training and development is essential to your company’s success. But, managing training and development can be a daunting task, especially when it comes to costs and efficiency. Fortunately, there are ways you can use new and existing technology to help reduce L&D costs and increase L&D efficiency. Here are 11 easy ways to use technology to get the most out of your L&D efforts:

Streamlining L&D with technology

1. Implement a Learning Management System (LMS)

Using an LMS like Access LMS, Blackboard, Canvas, and Moodle can help centralize and automate the delivery and tracking of training materials, resulting in a reduction of administrative costs and an increase in training efficiency. GE Healthcare is a great example of a company that uses an LMS to train their employees, resulting in a 50% reduction in L&D costs.

2.Utilize Microlearning

Microlearning modules are short, focused training sessions that can be completed quickly and efficiently. They are perfect for companies that need to reduce L&D costs during a recession because they enable employees to quickly adapt to changing roles and responsibilities. Utilizing microlearning through your LMS can help further reduce L&D costs.

3. Replace expensive on-site training with Virtual and Augmented Reality

Virtual and Augmented Reality platforms like Immersive VR Education, Engage, and Nearpod take training to a whole new level, allowing employees to learn and practice new skills in a virtual reality environment without the need for costly on-site training. A great example is how Walmart uses VR technology to train their employees in a cost-effective way.

4. Conduct training through Video Conferencing and Webinars

Video conferencing and webinar tools like Zoom, GoToMeeting, and Webex allow you to conduct live, virtual training sessions and meetings. This can result in a reduction of travel and lodging costs. Cisco is a great example of a company that uses video conferencing and webinars to train their employees worldwide, resulting in an estimated annual cost savings of $30 million. Utilizing video conferencing and webinars not only reduces training costs but also allows for virtual networking and mentorship opportunities for employees, even when travel and in-person networking are limited.

5. Engage employees with E-Learning Platforms

E-Learning platforms like Bookboon Learning, Coursera, and Udemy provide self-paced, on-demand training for employees, eliminating the need for instructors and facilitators and resulting in a reduction of training costs. IBM is a great example of a company that uses an e-learning platform to train their employees, resulting in a 40% reduction in L&D costs. 

For more ideas on improving learning engagement, have a look at our article on How to maximize employee engagement in L&D while minimizing costs.

6. Take advantage of AI and Machine Learning

Artificial Intelligence and Machine Learning can be used to personalize and automate training, resulting in cost savings and increased efficiency. IBM’s Watson is a great example of how AI and Machine Learning can be used to improve L&D efforts. You can also use AI and Machine Learning to create chatbots that give employees with quick and convenient access to training resources and support. This will help them stay engaged and motivated, even when traditional training opportunities are limited. 

For more examples of how to use AI, make sure to check out our article on ChatGPT in Learning and Development: 10 Ways to Streamline Processes and Save Time.

7. Implement Gamification

Gamification tools like Gamebrain can increase engagement and motivation for employees during training. This leads to better retention of information and cost savings. Duolingo is a great example of how gamification can be used in L&D. For example, you can use gamification to create virtual competitions and challenges that encourage employees to practice and develop new skills in a fun and engaging way. Gamification is a cost-effective way to engage employees in learning on a tight budget. 

Check out our free eBook on Designing Games for Learning for examples of simple learning games you can offer your employees.

8. Utilize Analytics and Data

Collecting and analyzing data on employee training can help identify areas for improvement. By using analytics tools, companies can track employee progress and adjust training programs as needed to reduce costs and increase efficiency. 

Listen to our free podcast by the Head of Learning Measurement at Facebook for advice on how to use analytics to measure the ROI of learning.

9. Make use of Mobile Learning

Mobile learning allows employees to access training materials and complete courses on-the-go, resulting in cost savings and increased flexibility. For example, McDonald’s uses a mobile learning app to provide on-demand training for its employees and franchisees. This resulted in a 20% increase in employee engagement. You can use mobile learning apps to deliver training resources and support to employees in real-time. Even when they are not in the office. This ensures that your employees have access to training when and where they need it most.

10. Implement Social Learning

Social learning platforms like Slack, Chatter, and Microsoft Teams help facilitate peer-to-peer learning and knowledge sharing. For example, you can use social learning platforms to create virtual communities where employees can share knowledge, collaborate, and support one another.

11.Streamline learning with Automation Tools

Automation tools like Zapier, IFTTT, and Workato save you time and money by streamlining administrative tasks such as scheduling, reporting, and tracking progress. Netflix is a great example of a company that uses automation tools to streamline their employee onboarding process. Netflix achieved a 50% reduction in administrative costs. 

By using these 11 easy ways to use technology to reduce L&D costs and increase L&D efficiency, you can ensure that your employees have the skills and knowledge they need to excel while keeping costs under control.  

Are you looking for ways to streamline your training and development processes while saving time and money? ChatGPT, an advanced language model developed by OpenAI, offers a powerful solution for Learning and Development professionals. With its advanced capabilities, ChatGPT can help you automate repetitive tasks and generate high-quality content quickly and efficiently. In this article, we will explore ten ways to use ChatGPT in Learning and Development. Discover how to improve processes, save time and resources, and enhance employee training and learning

10 ways to use ChatGPT in Learning and Development

1. Auto-generating training modules:

Want to create a quick and easy training module for your team? Use ChatGPT to write the script, then use tools like Articulate or Canva to turn it into a polished presentation. Do: Keep your prompt specific and clear. Don’t: Use the content verbatim, always add your personal touch. For example, let’s say you want to teach your team how to handle difficult customers. Just give ChatGPT some customer service scenarios to munch on and BAM! A polished script ready to go.

2. Generating quizzes and assessments:

Want to make sure your team is retaining the information you’re teaching them? Use ChatGPT to generate quizzes and assessments that’ll put their knowledge to the test. Use ChatGPT to generate the questions and answers, then use tools like Google Forms or Kahoot to build the quiz. Do: Train ChatGPT on the specific topics you want to test. Don’t: Over-rely on ChatGPT, make sure to add your own personal touch to the questions. For example, if you’re training your team on a new product line, have ChatGPT generate some questions to see if they’ve got a handle on it.

3. Creating e-learning content:

Want to make e-learning content that’s both interactive and engaging? Use ChatGPT to create a script that’ll have your team hooked, then use tools like Articulate or Adobe Captivate to turn it into an interactive course. Do: Train ChatGPT on a diverse set of e-learning topics. Don’t: Forget to proofread before publishing. For example, if you want to teach your team about time management, have ChatGPT generate a script filled with tips and tricks to make the most of their time.

Download this free eBook on Content Strategy if you would like to read more on this topic.

4. Generating job aids and guides:

Want to make sure your team knows how to do their job? Use ChatGPT to generate job aids and guides that’ll make it a no-brainer. Use ChatGPT to generate the content, then use tools like Google Docs or Confluence to organize and publish it. Do: Train ChatGPT on the specific job or task you want to guide employees on. Don’t: Over-rely on ChatGPT, make sure to add your own personal touch to the guide. For example, if you’re rolling out a new software, give ChatGPT the rundown on it and let it generate a step-by-step guide for your team.

5. Generating discussion questions:

Want to make sure your team discussions are always on point? Use ChatGPT to generate a list of thought-provoking discussion questions, then use tools like Zoom or Google Meet to host the discussion. Do: Train ChatGPT on the specific topic or training objective you want to discuss. Don’t: Use the questions verbatim, always proofread before publishing. For example, if you’re facilitating a discussion on leadership, give ChatGPT some leadership topics to read up on and let it generate some questions that’ll get the conversation flowing

6. Generating onboarding materials:

Want to give your new hires a comprehensive look at their new job? Use ChatGPT to generate an onboarding program that’ll cover all the bases, then use tools like Google Docs or Confluence to organize and publish it. Do: Train ChatGPT on the specific job or task you want to guide employees on. Don’t: Forget to include your own personal touch to the materials. For example, if you’re onboarding a new customer service team, give ChatGPT some information on the company’s policies and procedures and let it generate a guide that’ll make sure they’re up to speed.

7. Generating onboarding materials:

Want to make sure your team remembers the important points from training? Use ChatGPT to generate summaries that’ll jog their memory. Use tools like Google Docs or Confluence to organize and publish it. Do: Train ChatGPT on the specific job or task you want to guide employees on. Don’t: Forget to include your own personal touch to the materials. For example, if you just finished a training on sales techniques, give ChatGPT the rundown and let it generate a summary for your team to refer back to.

8. Generating summaries of training sessions:

Want to make sure each of your team members is reaching their full potential? Use ChatGPT to create personalized learning plans tailored to each individual. Use tools like Google Docs or Confluence to publish it. Do: Train ChatGPT on the specific topic or training objective you want to summarize. Don’t: Over-rely on ChatGPT, make sure to add your own personal touch to the summary. For example, if you have a team member who’s a whiz at math but struggles with writing, give ChatGPT that information and let it generate a learning plan that’ll help them excel.

9. Creating personalized learning plans:

Want to show off the success of your training programs? Use ChatGPT to generate case studies that’ll make your team look like stars. Use tools like Google Sheets or Airtable to organize and track progress. Do: Train ChatGPT on a diverse set of learning topics. Don’t: Forget to tailor the plans to each employee’s needs. For example, if you just finished a training on time management, give ChatGPT some information on the improvements your team has made and let it generate a case study that’ll make your boss do a happy dance.

10.Generating certifications:

Want to give your team members something to show off? Use ChatGPT to generate certifications that’ll make them feel like VIPs. Use tools like Canva or Adobe Illustrator to design the certificate. Do: Train ChatGPT on the specific training program you want to certify employees for. Don’t: Use the same certificate for every program, always tailor them to the specific program. For example, if you just finished a training on project management, give ChatGPT the information and let it generate a certification that’ll make your team members feel like the rockstars they are.

Download this free eBook to successfully design, implement and evaluate a recognition program for employees working virtually and in-person. Low-cost forms of recognition are shared.

As a Learning and Development professional, you are well aware of the benefits of e-learning and the cost savings it can provide. If you have an LMS already, the question of switching completely to digital learning is one that is worth considering. In this article , we will compare E-Learning vs Traditional Training. We will discuss the costs and also the pros and cons of each approach.

E-learning, or digital learning, refers to any type of learning through electronic devices. This can include online courses, webinars, and virtual reality training. Traditional training, on the other hand, refers to in-person or classroom-based learning. Here participants gather in a physical location to learn from an instructor.

The advantages of e-learning

One of the major advantages of e-learning for organizations with an LMS is the cost savings it can provide. E-learning eliminates the need for expensive materials such as textbooks and workbooks. Additionally, employees can complete e-learning modules at their own pace, which means that they don’t need to take time off work to attend training. Furthermore, the use of an LMS allows for easy tracking of employee progress and can provide valuable data for performance evaluations.

Another advantage of e-learning is the flexibility it offers. As an LMS allows for easy access to training materials from anywhere, at any time, this means that employees can revisit the material as needed. Furthermore, e-learning can be accessed on demand, which allows employees to learn at a time and place that is convenient for them. Read more about this topic in this free eBook.

The disadvantages of e-learning

However, e-learning does have some drawbacks. Maintaining employee engagement during e-learning sessions can be challenging and it may be less effective for certain types of learners. Additionally, e-learning can lack the personalization and immediacy of feedback that traditional training methods provide.

On the other hand, traditional training methods offer the benefit of personalization and immediacy of feedback, but they come at a cost. Traditional training methods require expensive materials, instructors to travel to different locations, and lodging costs. Furthermore, the use of an LMS may not be as effective in tracking employee progress as traditional methods.

Choosing the best approach for your organization

In conclusion, e-learning is often more cost-effective than traditional training for organizations with an LMS. However, the best approach for your organization will depend on a variety of factors such as the type of training required, the learning preferences of your employees, and the available budget. As a Learning and Development professional, it’s important to weigh the pros and cons of each approach and choose the one that is most appropriate for your organization.

Investing in high-quality e-learning materials is a wise decision for any organization. Enhance digital learning at your company with Bookboon Learning. Our platform offers top-notch e-learning materials, supports HR efforts and career development. Book a free demo to see how we can help your employees progress in their careers.

What does an elearning solution cost

The pricing of elearning solutions varies widely depending on a number of factors. For instance the type of elearning being used, the number of employees being trained, and the duration of the training program. Some companies may choose to use off-the-shelf elearning software, while others may develop custom elearning programs.

Off-the-shelf elearning software can typically be purchased for a one-time fee or on a subscription basis. Prices can range from a few hundred dollars to tens of thousands of dollars, depending on the features and capabilities of the software.

Custom elearning solutions can be more expensive than off-the-shelf software. But this type can be more tailored to the specific needs of your company. Development costs can vary widely. It depends on the complexity of the program and the experience of the development team. A rough estimate would be from $50,000 to $500,000 USD.

With elearning, long-term cost savings are achievable. Online lessons are typically less expensive than regular sessions, which explains why. Elearning removes the requirement for travel or classroom rental costs.

It’s a very good idea to have a clear understanding of what your goals for elearning are. First and then to look for elearning solutions that meet those goals within the budget. The pricing of elearning solutions usually reflects the level of functionality it offers. With basic elearning content libraries on one end and fully fledged Learning Management Systems on the other end. You should distinguish between your must-have and nice-to-have features for an elearning solution.  Remember to stick to the must-haves when determining how best to spend your elearning budget.

How to know if an elearning solution is overpriced?

Price transparency can be an issue when comparing elearning solutions. What does it actually cost? Are there hidden fees? How can I be sure that I am not overpaying for an solution?

Here are a few tips to help you determine if the solution is overpriced:

Compare prices

One way to determine if the price is too high is by comparing the costs with similar solutions on the market. Look for solutions that offer similar features and capabilities and compare their prices. If you find that a solution is significantly more expensive than others on the market, it’s probably overpriced.

Assess the value

Another way to determine if an elearning solution is overpriced is to assess the value that it provides for your company. Consider the impact that the elearning solution would have on your business goals and the overall return on investment. If the cost of the solution is not justified by the results it provides, it might be overpriced.

Carefully examine the vendor’s pricing structure

Compare the vendor’s pricing structure with the industry standards and ask questions about the pricing. Are they charging extra for add-ons, support, or maintenance? Do they provide more features than other vendors in the same price range? Do they offer a flexible pricing system that fits the price to your organization’s size and needs?

Look for honest client reviews

Sites like Capterra offer unbiased client reviews for many software and elearning solutions. If an elearning vendor has a history of over-pricing its solutions this will probably be clear after spending just 30 minutes looking for and reading client reviews.

Consider the Total Cost of Ownership (TCO)

Elearning solutions can have hidden costs, such as customization, maintenance, usage levels, and support. Make sure always to consider the TCO of the solution and compare it with other solutions that fit your organization’s needs and budget.

Consult with industry experts

Especially if you’re working with a high budget to spend, you should consider consulting with industry experts or elearning solution providers. They will have a better understanding of market prices and could provide valuable insights.

By taking these steps, you should be able to determine if an elearning solution is overpriced and whether it is a good value for your company. Keep in mind that the cheapest solution might not always be the best solution and the most expensive might not be the best value for your organization.

Step-by-step guide to choosing the best elearning solution for your company

Choosing the best elearning solution for your company will depend on a variety of factors, including your company’s specific needs, budget, and resources. Here are a few steps you can take to help you make an informed decision:

1. Define your learning objectives

Before you begin your search for an elearning solution, it’s essential to have a clear understanding of what you want to achieve with your training program. What skills or knowledge do you want your employees to gain? What impact should the training have on your business goals? Having a clear set of learning objectives will help you identify the features and capabilities that are must haves for your company and which features are nice to have but you can live without if needed.

While you’re here, make sure to check out our free whitepaper on How to Develop a Best Practice elearning Content Strategy for your company.

2. Assess your budget and resources

Elearning solutions can range in cost from a few hundred dollars to hundreds of thousands of dollars, depending on the features and capabilities of the software. It’s important to have a clear understanding of your budget before you begin your search for a solution.

3. Research different elearning options

There are lots of elearning solutions available, including off-the-shelf elearning software, custom-developed elearning programs, and third-party providers. Researching different options will help you understand the pros and cons of each type of solution and will help you narrow down solutions that meet your company’s specific needs.

4. Validate the elearning solution

Before making a final decision, it would be useful to validate the elearning solution. One way to evaluate it is to test the solution with a small group of employees, or to pilot the program with a small group before rolling it out to the entire company. This will help you assess the effectiveness of the solution and make any necessary adjustments before the full launch. Many elearning vendors such as Bookboon Learning offer free or low-cost trials for your company so you can validate the ROI of the solution before you invest long-term.

5. Does it integrate with your Learning Management System (LMS)

The LMS acts as an interface between the elearning solution and your company’s learners. An LMS is a powerful tool to manage learners and track their progress, it can also report on their performance, engagement, and compliance. Consider how the elearning solution integrates with your current LMS or systems, how easy it is to use, and how well it provides the metrics you need to evaluate your elearning program.

6. Consider support and maintenance

The elearning vendor should be able to provide a reliable and responsive support system, in case of any issues, bugs or compatibility. Also, look at the vendor’s update policy, and make sure they will continue to maintain and update the solution to provide better user experience.

By taking the above steps, you should be able to identify an elearning solution that meets your company’s specific needs, budget, and resources.

How to negotiate the best price for an elearning solution

Negotiating the best price for an elearning solution can be a complex process that takes some experience. However, here are a few tips that can help you broker a better price for your elearning solution:

Be prepared, and do your research

Before starting negotiations, make sure to do your research on the elearning solution you are interested in. Understand the features and capabilities of the solution, compare it to similar solutions on the market, and determine what you think a reasonable price range for the elearning solution would be and why. This information will give you a good starting point for your negotiations.

Try to understand the vendor’s perspective

It’s important to understand the vendor’s perspective and the costs associated with developing and maintaining an elearning solution. Understanding the vendor’s costs can help you to appreciate their pricing structure and enable you to have a more informed negotiation.

Be clear about your needs

Be clear about your organization’s needs and how the elearning solution will be used. Make sure to communicate what you’re looking for in an elearning solution, including specific features and capabilities, and the number of employees that will be using it. This will help the vendor understand what you need and will make it easier for them to provide you with an accurate price quote.

Don’t give them too much information

While you want to give the elearning vendor enough information to about your needs to provide you with an accurate price quote, be careful not to share too much insight into which features, or benefits are the most important for you. Having too much information will give the elearning vendor leverage in the price negotiation phase.

Look for volume discounts

Many elearning vendors offer volume discounts if you purchase multiple licenses or subscriptions. If your organization plans to implement an elearning solution for a large number of employees, it may be beneficial to negotiate a volume discount.

Consider long-term contracts

Some vendors may be willing to negotiate a lower price if you agree to a rolling agreement or multi-year contract. While it’s important to consider the total cost of ownership, a long-term contract can offer a significant savings over a shorter contract period.

Ask for references

If an elearning vendor is offering a lower price than similar solutions on the market, ask for references to ensure that the solution is of good quality and that it meets your needs. Having credible references that allow you to present specific criticisms of the elearning solution can also be used as a bargaining tool. 

Be polite and assertive

Be polite and assertive during the negotiation process. Keep in mind that the elearning vendor wants to make a sale, and they may be willing to negotiate if they believe it will lead to a long-term partnership.

Always get it in writing

Once you’ve reached an agreement with the elearning vendor, make sure to get the details of the agreement in writing. This will protect you if there are any misunderstandings or if the vendor fails to deliver on their promises.

By following these tips, you should be able to negotiate the best price for an elearning solution that meets your company’s needs and fits within your budget. Keep in mind that the negotiation process is a two-way street, and that compromise is expected from both parties.

Where to find low-cost elearning for your company

Many companies these days are working with lower elearning budgets. If this is the case for your company as well, here are a few places where you can find low-cost elearning solutions for your company.

To see how companies are using elearning to create a culture of learning, listen to our free podcast by industry expert Josh Bersin on How to Revive a Culture of Learning in Your Organization.

Off-the-shelf elearning software

There are many off-the-shelf elearning software solutions available that are affordable and easy to use. Companies like Bookboon Learning and The Access Group offer cost-effective off-the-shelf elearning solutions for businesses.

Open-source elearning software

Open-source elearning software is available for free, and it can be modified and customized to fit the specific needs of your organization. Some examples of open-source elearning software include Moodle and Open edX.

Online course marketplaces

There are several online course marketplaces where you can purchase individual courses or subscriptions to a library of courses at a low cost, such as those offered by Coursera and Udemy.

Freelance elearning designers

Some companies choose to hire freelance elearning designers to create custom elearning solutions. Because these designers typically work on a project-by-project basis, they may be able to provide solutions at a lower cost than larger elearning development companies. Referred to as “gig-based elearning”, hiring freelance elearning designers is one of the top learning and development trends in 2023.

Non-profit or educational institutions

Some non-profit or educational institutions offer free or low-cost elearning solutions for companies, for example Khan Academy for Business and edX for Business.

It’s important to note that while these elearning solutions may be low-cost, it’s still important to do the necessary research and due diligence to ensure that the elearning solution still meets your organization’s specific needs and provides a solid return on investment.

Mistakes not to make when choosing an elearning solution

For many companies, choosing an elearning solution is a big decision that involves a significant investment. To help make sure you don’t fall victim to the same mistakes as others, here are a few of the most frequent mistakes companies make when choosing an elearning solution.

For more steps you can take to avoid costly mistakes, check out our free podcast on the 20 Questions L&D Professionals Should Ask Before Investing in an elearning Solution.

Failing to define learning objectives

One of the most common mistakes companies make when choosing an elearning solution is they fail to accurately define their learning objectives. Without a clear understanding of what you want to achieve with their training program, you risk ending up selecting an elearning solution that does not meet your needs.

Failing to evaluate how it integrates with your other systems

For most companies, an elearning solution will need to operate in tandem with their other systems, such as a Learning Management System (LMS), or company intranet. You need to evaluate how well the elearning solutions you are considering integrate with your other systems. Will it require additional IT work either by yourself or the vendor in order to connect the systems? This can be very costly.

Not considering scalability

Companies often choose an elearning solution that is not scalable and can’t handle their needs as their company grows. This can limit the elearning solution’s effectiveness and could lead to additional costs as the company has to purchase another solution that can handle more learners or more complex courses.

Neglecting mobile compatibility

Many companies choose elearning solutions that are not compatible with mobile devices, yet a significant number of employees access learning content on their mobile devices. This can make it difficult for employees to access the content they need and can negatively impact their engagement and overall learning experience.

Not evaluating enough solutions before purchasing

Another common mistake companies make is failing to evaluate enough elearning solutions before making a purchase decision. By not piloting or testing a solution before buying, companies can overlook potential issues or compatibility problems, or they might miss features that they would have found important.

Neglecting the cost of maintenance and support

Companies often choose solutions that have lower upfront costs but fail to consider the ongoing costs of maintenance and support, this could end up being more expensive in the long run, especially when there are bugs or issues.

Not considering the Return on Investment (ROI)

Companies should always try to calculate the ROI of an elearning solution before purchasing it. If the expected results and business impact from the elearning solution doesn’t seem to justify its cost, it probably isn’t worth the investment.

By avoiding these common mistakes, companies can increase their chances of selecting an elearning solution that meets their needs and delivers the results they are looking for.

Overall, cost is an important factor to consider when choosing an elearning solution because it can have a major impact on the budget and return on investment for a business or organization. Elearning solutions can vary greatly in price, from free open-source options to expensive proprietary software, and the cost will depend on the features and functionality that are required. Make sure you do your due diligence before choosing an elearning solution and I hope you can use a lot of the advice above to make an informed decision about the cost of your elearning investment.

How to save money on Learning & Development? Many companies right now are feeling the financial crunch set in. For many L&D professionals this means scaling back budgets and finding ways to make sure you are getting the most from your investment.

Here are 10 ways your company can save money on L&D in 2023.

1. Leverage free Learning & Development resources

There are many free resources available online, such as MOOCs (massive open online courses), tutorial videos, and educational blogs. These can provide a wealth of information for employees looking to learn new skills.

2. Create in-house training programs

Instead of paying for expensive external training, consider creating your own training or L&D programs in-house. First,  identify the skills and knowledge your employees need to develop. Second, create customized training materials that can be delivered by internal experts.

3. Leverage employee expertise

Your employees are a valuable resource for company learning. Encourage them to share their expertise with their colleagues by creating a mentorship program or setting up regular knowledge-sharing sessions.

4. Partner with other companies

Partnering with other companies can help you share the cost of training and development programs. You can also exchange training materials and knowledge with other companies to reduce the amount of content you need to create in-house.

5.Re-evaluate your current L&D budget

Regularly reviewing your current learning & development budget can help you identify areas where you can cut costs. For example, if certain training programs are not producing the desired results, it may be worth cutting them in favor of more effective alternatives. For advice on how your company can be more effective, download our free eBook on How to Increase the Effectiveness of Your Company’s Training.

6. Switch to more cost-effective digital learning providers

Digital learning platforms vary significantly in their pricing. In 2023, lots of companies will scale back spending on higher priced learning platforms such as LinkedIn Learning and invest their L&D money in more affordable alternatives.

7. Focus more on learning engagement

What your company spends on learning & development is one thing, but taking steps to get your employees more engaged in learning, for example, by building a culture of learning in your company, will help your company get more bang for the buck when it comes to your learning spend. For help getting employees engaged in learning, download a free copy of our eBook on The Future of Employee Engagement in Learning.

8. Prioritize the most important and relevant topics

Identify the skills and knowledge that are most critical to your company’s success and focus your learning and development efforts on those areas. This will help you to get the most out of your training budget.

9. Utilize freelance learning consultants

Utilize the expertise of remote providers, such as online tutors, or online learning platforms, that can provide quality training at a lower cost. Gig-learning, where companies hire freelance learning consultants on a project-by-project basis is expected to be one of the biggest learning & development cost-cutting trends in 2023.

10. Measure, measure, measure

Companies should put more emphasis on measuring the impact of every learning & development initiative launched this year. There’s an old marketing saying that goes “50% of my marketing money is wasted. The problem is I don’t know which half?”. This applies to learning & development in most companies as well. By focusing on data due diligence and measurement, companies can funnel their spend to the activities that have the highest impact on company learning.

For more information on this, make sure to check out our free podcast by Kevin Yates, the Head of Learning Measurement at Facebook on How to Measure the Impact of Your Learning.

On a final note, the key to saving money on learning and development is to be strategic and focus on the areas that will have the greatest impact on your business.

And if you’re looking for the industry’s most cost-effective digital learning solution for your company, take a second to learn more about Bookboon Learning and book a free demo.

Investing in Learning and Development (L&D) can benefit a company in various ways, such as improving employee skills and performance, increasing retention rates, and raising customer satisfaction. However, it can be difficult to persuade the CEO and other decision makers for more L&D funding.

This article will provide strategies for making the business case to increase the L&D budget and demonstrating its value to the organization. By presenting strong arguments, you can increase the chances of getting the resources needed for L&D initiatives. Here are example arguments you can use:

More L&D funding boosts employee performance

Learning & development can help employees acquire new skills and knowledge that they can use to perform their jobs more effectively. This can lead to increased productivity and better quality of work, which can translate into improved business performance.

Increased employee retention

Providing opportunities for employees to learn and grow can help increase job satisfaction and reduce employee turnover. This can save the company money in the long run by reducing the costs associated with hiring and training new employees.

Greater competitiveness

Investing in employee training and development can help your company stay ahead of the curve in terms of industry trends and best practices. This can help the company remain competitive and attract top talent.

Improved customer satisfaction

Investing in employee training and development can lead to improved customer service, as employees will have the skills and knowledge, they need to effectively serve customers. This can lead to increased customer satisfaction and loyalty.

Positive company culture and growth mindset

A commitment to employee learning and development can help create a positive company culture and growth mindset that supports employee skill-building and personal development. This can improve morale, create a more positive work environment, and facilitate company agility and change.

Provide examples of L&D programs and their ROI

You can also try providing concrete examples of learning & development programs that you think would benefit the company and outline the potential ROI of those programs. For example, you might suggest investing in a customer service training program that will improve customer satisfaction and lead to increased sales, or a leadership development program that will help managers be more effective in their roles.