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Reinventing Enterprise Learning with KMx
Jack E. Lee, Dr. Larry Bielawski and Steve Case
Knowledge Management Solutions, Inc.
4 December, 2003

Introduction

One of the greatest challenges in achieving and sustaining the vision of enterprise learning is not to have individuals working expeditiously on assembling the parts but on contributing to the building of the enterprise as a whole. 

Enterprise learning requires a process of content creation, classification and re-use that not only leverages existing content assets but provides the mechanisms to rapidly create and deploy new assets in context with the evolving enterprise.

KMx has achieved this integrative collaboration by putting an expert system layer of system intelligence on top of the learning content creation model that allows teams to quickly map knowledge, skills, and abilities to the best and most current curriculum that’s needed to achieve a particular learning outcome or goal.

Human resources groups and training managers have been barraged with claims that implementing e-learning and virtual classroom technology alone will significantly reduce training costs and improve performance. While these technologies are in use at many leading corporations and learning management systems are helping track learning activities and leveraging the Internet for delivery of learning content, the fact is there are plenty of existing reports that reveal these initiatives have rarely produced their promised Return On Investment (ROI). The reasons for this are three-fold; 1) the cost of e-learning content development is very high; 2) the true lifecycle cost of maintaining the e-learning materials is rarely considered in ROI calculation; and 3) the infrastructure cost of learning management systems and virtual classroom technologies has been significantly higher than any early returns it may have provided.  For these reasons, and others to be discussed, instructor-led training is still by far the most popular training delivery method. However, KMx has significantly changed these factors and their inter-relatedness, allowing a true ROI to be realized.  In the next few paragraphs we would like to show you how KMx can be leveraged to your advantage for each of the five popular training methodologies.

1.  Instructor-led Training in the Classroom and Laboratory

The instructor led approach provides students with direct access to a teacher and peers in a classroom based model. It provides very high levels of interaction and fidelity, along with manual administration and progress reporting, which of course drives up its cost.  Thus, by being the most expensive approach to training personnel, instructor-led methods may cause organizations to provide it to only selective personnel training—creating in effect undesirable “have” and “have-not” situations. Unfortunately, for some organizations that rely on this method of prioritizing training expenditures, the result is that unqualified or poorly trained personnel are performing critical tasks. The table below cites many of the distinctions between the traditional training model and the KMx approach.

Negative Attributes

KMx Solution

Extremely high cost of delivery, driven by the need for intensive resource utilization and hampered by ineffective learning management technologies that are inadequate for the scheduling and management of instructor-led resources and reporting of student progress.

KMx provides a complete learning management solution designed to facilitate instructor-led resource management and reporting of learner progress. This design allows an organization to electronically schedule resources, manage those resources effectively, and report on leaner progress. The KMx platform also automatically enables the management and assignment of all classroom resources and provides robust tools to ensure effective resource utilization.

The lack of useful instructor-led content management technologies, leading to the re-development of materials instead of granular content replacement.

Provides a complete content management environment and full conformance with the SCORM content standards and protocols.

High cost of training materials development and maintenance because of the inefficiencies of manual processes.

Provides expert system technology to automate the instructional design and development process supported by off-the-shelf content development tools from Microsoft and other popular vendors, such as Macromedia and Adobe

2.  Instructor-facilitated Training using Self-Study and Reference Materials with Technology-based Testing and Administration

Common at “Online” colleges and universities, this approach provides collaboration tools (calendaring, chat, message boards, etc.) combined with online testing and student administration.  A poor stepchild to Virtual Classroom Technology, this approach provides minimal interactivity and progress reporting.  Also known as “self-study” with online testing, instructor facilitated training is primarily used to lower the cost of student administration and facilitate student assignments.

Negative Attributes

KMx Solution

The lack of student interactivity and the reliance on hard-copy texts for the majority of learning content.

Leveraging expert system technology using off-the-shelf desktop development tools from Microsoft and other popular suppliers to enable the inclusion of interactive content and to reduce the reliance on hard copy material.

The lack of integration with learning management technologies, leading to difficulty in administration and reporting of learning activities.

Provides standards based integration with the leading ERP, HRM and Document Management technologies by leveraging XML protocols and the SCORM standard for course interoperability with other learning content management technologies.

The lack of integration with content management technologies, leading to less than optimal delivery and maintenance of changing content.

Provides a complete content management environment and full conformance with the SCORM content standards.

Extremely high expense for training conduct because of the reliance on third-party hosted delivery solutions and exorbitant seat-licenses.

Eliminates the requirement for third-party hosting of Virtual Classroom events and expensive seat-licenses charged by our competitors.

3.  Instructor-led Training via Virtual Classroom Technology

Popular with large corporations, this approach leverages technology to bring the instructor to a widely distributed learner or collegial population. This type of broadcast-type method is quite effective for training large numbers of personnel in topics where qualified instructors are scarce. This method provides moderate levels of interactivity, progress reporting, administration, and follow-up. Until recently, this approach required the use of third-party networks and toolsets (Centra, Placeware, Interwise, etc.) at significant expense.  However, many more organizations will adopt this approach now that KMx technology enables the use of existing corporate network resources to provide this method of training delivery through native Microsoft tools.

Negative Attributes

KMx Solution

The lack of integration with learning management technologies, leading to difficulty in administration and reporting of activities.

KMx provides a complete learning management solution and full conformance with the SCORM Run-Time-Environment standards to enable interoperability with other leading learning management technologies.

The lack of integration with content management technologies, leading to less than optimal delivery and maintenance of changing content.

Provides a complete content management environment and full conformance with the SCORM content standards.

Extremely high expense for conducting training because of the reliance on third-party hosted delivery solutions and seat-licensed technology.

Eliminates the requirement for third-party hosting of Virtual Classroom events and seat-licenses charged by our competitors.

4.  Self-Study using Workbooks, Videotapes CD-ROMs and Tutorials

Common with the military and manufacturers, this approach provides very low-cost delivery of training materials.  In most cases, however, students are on their own to complete assignments and to submit test materials for scoring.  This approach normally provides for very poor administration, progress reporting, interactivity, and follow-up.

Negative Attributes

KMx Solution

The lack of learner interactivity and the reliance on hard-copy texts for the majority of learning content.

KMx enable the inclusion of interactive content and a reduction on the reliance on hard copy materials. KMx provides output formats for CD-ROM delivered programs that automatically synchronize student progress with the KMx learning management system.

The lack of learning management technology, leading to difficulty in administration and reporting of activities.

Provides a complete learning management solution to enable online and offline testing, student administration, and reporting activities. 

The high costs for the maintenance of training materials caused by the lack of content management technology, resulting in redevelopment of materials instead of granular content replacement.

Reinvents the process by which learning materials are developed and maintained by leveraging expert system technology using off-the-shelf desktop development tools from Microsoft. Provides a complete content management environment and full conformance with the SCORM content standards.

5.  On-demand E-Learning using the Internet or Intranet

This approach provides the self-study materials in an online deliverable format and provides the highest levels of interactivity, progress reporting, and administration, but typically at a high cost. Until the introduction of KMx the expense associated with the development of on-demand e-learning materials was prohibitive.  Many organizations will now transition significant percentages of their instructor-led and self-study material to on-demand e-learning formats now that KMx technology has made this proposition affordable.

Negative Attributes

KMx Solution

The lack of useful content management technologies, leading to redevelopment of materials instead of granular content updating.

KMx provides a complete content management solution that leverages the SCORM content management standards.

Long lead times for integration and implementation of learning management technologies.

 

Provides standards based integration with the leading ERP, HRM and EDMS technologies by leveraging XML and SCORM standards for interoperability with diverse content management technologies.

Extremely high expense for initial development or conversion of training materials because of the inefficiencies of e-learning development tools and exorbitant learning management seat-licenses.

Provides a complete environment for e-learning materials development that leverages expert system technology and common desktop tools from Microsoft and other popular suppliers, such as Macromedia, while eliminating the seat licenses charged by our competitors.

Summary

KMx was designed to facilitate the very best and affordable blend of training delivery while promoting a cost-effective transition from instructor-led training to the virtual classroom and the creation of on-demand e-learning programs. KMx provides for measurable ROI by significantly reducing the cost associated with training program development and maintenance, while at the same time eliminating the negative incentives for training materials consumption.  Also, KMx will never be sold with a per-user license fee, and there are no seat-license fees associated even with our virtual classroom technology. If your organization is already using Microsoft Office products for the development and maintenance of instructor-led training materials, the transition to effective e-learning and virtual classroom delivery will be fast, easy, and cost-effective with KMx. The chart below summarizes the popular training delivery methods and how they can be improved upon with KMx.  Note how in every category the KMx platform provides better training at a significantly lower cost.

Training Delivery Method Summary

Delivery Method

Fidelity and  Interactivity

Progress Management

Administration and Reporting

Dynamic Content

Expense

Instructor Led

High

Moderate

Low

Moderate

High

KMx Instructor Led

High

High

High

High

Low

Instructor Facilitated

Low

High

Moderate

Moderate

Moderate

KMx Instructor Facilitated

High

High

High

High

Low

Virtual Classroom

High

High

Moderate

Moderate

High

KMx Virtual Classroom

High

High

High

High

Low

Self-Study

Low

Low

Low

Low

Low

KMx Self-Study

High

High

High

High

Low

E-Learning

Moderate

High

High

Low

High

KMx E-Learning

High

High

High

High

Low

Organizations that are currently using learning management and virtual classroom technologies from competing vendors can instantly achieve a significant ROI by upgrading to KMx by simply stopping the use of the technologies being replaced and saving the exorbitant seat license and per-user fees that most of these legacy solutions charge.  For example, if an organization is currently paying $100 per seat/month for 500 seats to access a competitive virtual classroom technology service, the savings by switching to KMx are more than enough to license our globally scalable, multi-lingual flagship product, KMx- Enterprise, and have a $525,000 surplus!  An organization that is currently using an ASP hosted LMS technology that costs $24 per user/year with 5,000 users can upgrade to KMxASP and save over $85,000 per year!  Unlike our competitors ASP hosted offerings, KMxASP provides all of the development, content management and learning management functionality of our installed enterprise solution.

As demonstrated above, implementation of KMx will pay for itself with real dollars saved in a matter of months.  Starting at only $14,500 per year for our ASP Hosted solution, pre-loaded with over 500 of the most popular e-learning titles from the leading publishers, there has never been a better time to implement an enterprise-learning program for your organization. Larger organizations may want to consider the power of our globally scalable, multi-lingual flagship product, KMx- Enterprise, installed in your data center for only $75,000 per year with absolutely no limitations on enrolled users or usage fees for virtual classroom activities.
 

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