121410_IS_LMS2011_DM_Final

Learning Systems 2011The Definitive Buyer’s Guide to the Global

Market for Learning Management Solutions

© BERSIN & ASSOCIATES INDUSTRY STUDY | V.1.0

David Mallon,

Principal Analyst

December 2010

Learning Systems 2011 2

Bersin & Associates © December 2010 • Not for Distribution • Licensed Material

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TABLE OF CONTENTSIntroduction 9

Is the Learning Management System Dead? 9

We Welcome Your Feedback 10

Key Questions Addressed in This Report 11

Research Methodology 12

Learning System Solution Providers 13

Top Findings about the Market for Learning Systems 14

Fragmentation and Specialization 14

1. The Market Is Shrinking in Number of Providers 16 at the Top End.

2. Yet the Market Is Growing in Number 17 of Providers Overall.

3. The LMS Market Has Not Been Immune to 18 the Economic Downturn. Growth Slowed Considerably in 2009. Elongated Sales Cycles Are Likely Here to Stay.

4. This Is a Global Market. Non-North American 19 Business Is a Major Source of Market Momentum.

5. The Market Leaders Remain the Same, with 20 One Exception. Blackboard, the Dominant Provider in Education Is Now a Leader for Enterprise Learning, As Well.

6. Vertical Specialists, Especially in Healthcare, 21 Are Now Major Players.

7. The More Things Change, the More They Stay 22 the Same (Part 1) – “e-Learning” and “Better Training Administration” Still Dominate Purchase

Drivers for Learning Management Systems.



8. The More Things Change, the More They Stay 22

the Same (Part 2) – The LMS Continues to Have

the Highest Percentage of Dissatisfied Customers

of Any HR System. Reporting, Customizations,

Integrations and Usability Still the Primary Challenges

with These Systems.

9. Adaptability Is Now a Critical Market Driver 23

for Learning Systems. SaaS Takes over the Enterprise.

Platform-as-a-Service and “Cloud-Computing” Come

to the LMS.

10. Continuous Learning Is Becoming the Driving 24

Force for Corporate L&D, Leading Many to Wonder

about the Long-Term Need for the Traditional LMS.

Market Growth and Globalization 26

Collaborative People Systems: A New World of

Corporate HR Platforms 33

Learning Systems Overview 35

Role of the LMS 37

Cost-Justifying the LMS Investment 39

Features and Functions 41

Separating Basic from Advanced 41

Adaptability 109

The Problem of Customization 110

A New Model – The Adaptive Platform 111

Adaptive Maturity 136

Finding an Adaptive Provider 138

Next-Generation Technology 139



Global Support 143

Multilanguage Capabilities 143

Content Distribution Networks 144

Local Expertise 145

Implementation and Operations 146

LMS Implementation Models 146

Implementation Challenges 154

LMS Costs 160

Delivery Models 166

Outsourcing the LMS 170

LMS Customer Satisfaction 176

Does the Product Meet the Need 179

Customer Service Is Key 183

Hosting Offers Some Advantages 184

Vendor Satisfaction and Loyalty 185

Size Matters 186

An Opportunity 187

Selecting an LMS 189

Step 1: Develop and Communicate the Business Case 189

Step 2: Gather Requirements 191

Step 3: Identify Best Fit Provider

Solution Providers 193

Step 4: Make Initial Contacts and Create a Request 193

for Information (RFI)

Step 5: Develop Detailed Requirements Documentation 194



Step 6: Develop a Request for Proposal Document 197

Step 7: Evaluate Providers 197

Step 8: Check Provider References 199

Step 9: Make Provider Recommendation(s) 200

The Market for Learning Systems 201

Overall Purchase Drivers 204

Analysis of Customer Segments 206

Customer Buying Trends by Segment 215

LMS Solution Providers 216

Provider Revenues 217

Provider Revenues 220

Size Versus Growth: Fastest-Growing Providers 226

Provider Customer Bases: Size 231

Provider Focus Areas: Industry 232

Provider Focus Areas: Service Offerings 233

Provider Focus Areas: China 234

LMS Market Maps 237

Product Focus: Social Learning Environments 244

Product Focus: Mobile Learning 249

Product Focus: Microsoft SharePoint

and the LMS 254

Regarding This Research 258

Come Visit with Us 258

Join Our Research Membership Program 258



Appendix I: Survey Demographics 260

Respondent Profile: Industries 262

Appendix II: Provider Overview Charts 264

License Versus Service Revenues 268

Appendix III: Provider Capability Charts 276

Appendix IV: Adaptability 302

Appendix V: Virtual Classroom Providers 309

Convergence with Other Collaboration Technology 312

Appendix VI: Provider Profiles 315

Affiliated Computer Services (ACS) 316

ANCILE Solutions (formerly RWD) 320

Blackboard, Inc. 327

Cegos Group 332

Certpoint Systems, Inc. 337

Cornerstone OnDemand 343

Element K 351

GeoLearning 356

Information Multimedia Communication AG (imc) 362

Intuition 369

Learn.com (Taleo) 375

LearnShare, LLC. 382

Meridian Knowledge Solutions (Meridian KSI) 389

Mzinga 396

NetDimensions Limited 403



Oracle 410

Plateau 422

REDTRAY Ltd. 429

RISC, Inc. 436

Saba Software 442

SAP 451

SilkRoad technology, Inc. 457

SkillSoft 463

Softscape 471

SumTotal Systems, Inc. 472

Technomedia Training, Inc. 479

TEDS, Inc. 487

WBT Systems 495

Appendix VII: Other Learning Systems Providers 502

Appendix VIII: Sample Features by Application Functional Category 520

Appendix IX: Table of Figures 535

About Us 543

About This Research 543



Introduction

Is the Learning Management System Dead?

That is a question that has been asked and argued over a great deal across the learning industry in the past couple of years. Substantial business pressures, new technologies and renewed understanding of how people learn are all forcing learning functions to question what they do and how they do it. Given the central role that the learning management system (LMS) has played in the recent history of L&D, it is not surprising that it is squarely in the crosshairs of those who are ready to move on completely from traditional notions of corporate employee development. Of course, deep and longstanding dissatisfaction with these systems does nothing to help their cause.

We are here to tell you that these systems are alive. That said, whether or not we can pronounce them “well” remains to be seen. Organizations can and are driving real business value from these systems. But what constitutes a “learning management system” is changing – sufficiently and significantly enough to warrant an honest discussion as to whether or not we need a new name (or names) going forward. These changes also mean that potential future value may not necessarily be derived in the same ways as in the past.

In this report we will provide you with the latest state of learning systems, both what the landscape looks like today and where it is going. This report contains a detailed review of the LMS and related markets, including a discussion of market trends, profiles of the top providers and our proprietary Market Maps® to help buyers understand the positioning of providers.

This report contains a detailed review of the learning management systems (LMS) and related markets, including a discussion of market trends, profiles of the top providers and our proprietary Market Maps® to help buyers understand the positioning of providers.

The goal of this report is to help corporate buyers understand the learning systems market, identify key provider solutions, and plan for a successful implementation and long-term rollout.



This report has many resources to help you find the “short list” of LMS providers that would best meet your company’s needs. It does not, however, provide a ranking of providers. We believe our role is to help buyers understand the strengths and weaknesses of different providers, so that they can quickly determine the short list of solutions that best meet their needs. From there, we strongly urge buyers to follow our LMS selection methodology (see section, “Selecting an LMS”), or hire a consulting firm to help make the final decision and with the implementation.

In addition, this report does not review every provider in the market. Rather, we have used our insights and market research to focus on market leaders – providers that we feel are likely to be successful over the long term.

The information included in this report comes from a variety of sources, including interviews with corporate buyers, briefings with providers and quantitative research. Sources are footnoted where appropriate.

We Welcome Your Feedback

On a personal note, we hope you find this report educational and valuable regardless of where you are in the LMS journey (and it is a journey). Learning management systems can be one of the most valuable and strategic tools in your corporate arsenal – or they can be an expensive and frustrating headache. Our goal is to make sure you see your LMS as the former and not the latter. As with all of our research, we welcome your comments and feedback at any time.

David Mallon

Principal Analyst, Learning



Key Questions Addressed in This ReportThis report will answer the most frequently asked questions on topics related to learning systems, including a comprehensive look at learning management systems and a broader look at newer social learning environments.

• What is the current state of organizations’ learning management systems? What systems do they currently have and how are they integrating these systems into larger technology and HR infrastructures?

• What is a talent management suite? What features and functions are included? What are the underlying architectures required for success?

• What is a social learning environment? What features and functions are included? What are the underlying architectures required for success?

• Which solution providers offer learning management suites? Which offer social learning environments? How well do they support a truly integrated platform and core application functionality? How do the solution providers and their products differ?

• Given today’s HR and systems environment, how does an organization select the right solution?

• What are the business drivers for implementing a learning system? How does one cost-justify such a system?

• What are the most prevalent approaches to implementing a learning system? What are the best practices for implementation, governance, rollout and change management?

• What should organizations expect from the next generation of learning systems?



Research MethodologyBersin & Associates officially launched our extensive research study into this complex and rapidly evolving market in June 2010. Using our WhatWorks® research methodology, we studied market drivers and trends, products, and adoption.

The Bersin & Associates WhatWorks® research methodology is continuous, in-depth research into the relevant learning, human resources and talent management marketplaces. For more information, please visit www.bersin.com/research/index.asp.

The following paragraphs describe the approach used to gather and analyze the research data.

• We invited 111 providers of learning systems globally to submit a comprehensive profiling instrument, ultimately analyzing data from 68 providers.

• We conducted in-depth briefings with 30 leading providers of learning systems.

• We conducted spot customer reference checks on each of the solution providers.

• We conducted an extensive, quantitative survey that captured responses on learning system adoption and customer experiences from more approximately 150 learning and development (L&D), and information technology professionals during July and August, 2010.

• We interviewed thought leaders from consulting firms and several financial analysts to offer additional context, and to provide feedback on our findings in each phase of this research study.

• We developed capabilities charts to display the solution providers’ capabilities against a standard set of criteria and the relative strength of their solutions in the solution provider landscape. (See section, “Appendix III: Solution Provider Capabilities Charts.”)

http://www.bersin.com/research/index.asp



Learning System Solution ProvidersAt the start of this project, we identified more than 200 providers out of what we believe to be between 300 and 500 providers worldwide. We know that there are likely quite a few more, especially in emerging markets. We chose to invite 111 to participate. We have used our insights and market research to focus on global market leaders – providers that we feel are likely to be successful over the long term.

Figure 1 offers a list of the solution providers with data in this industry report.

Source: Bersin & Associates, 2010.

Figure 1: Solution Providers at Least Partially Covered in This Study

Accenture ACS (part of Xerox) Allen Communications Learning Services

American Research Institute Ancile Solutions (formerly RWD) Avilar

Blackboard Blatant Media Business Training Library

Cegos Group Certpoint Cezanne Software

Competentum Cornerstone OnDemand E2Train

ElementK Elogic Learning Emtrain

Epath Learning eXaCT Learning Solutions (formerly Giunti Labs) Gen21

GeoLearning GeoMetrix Gyrus Systems

Halogen Healthstream HRsmart

imc Intuition Learn.com (recently acquired by Taleo)

Learnshare Bloomfire MC Strategies Inc.

MediaDefined Meridian KSI Mzinga

NetDimensions NetLearning Onpoint Digital

Operitel Oracle PeopleSoft (part of Oracle)

Orchestrata (formerly Beeline) OutStart Plateau

Redtray Reliant RISC

Saba SAP SilkRoad

SkillSoft Softscape (recently acquired by SumTotal) StepStone

Strategia SumTotal Talent2

Tata Interactive Systems Technomedia TEDS

ThinkingCap Time4You Trivantis

Ultimate Software Upside Learning Solutions Pvt. Ltd. WBT Systems



Top Findings about the Market for Learning SystemsIn our last LMS study, the keywords to describe this market were – growth, expansion and evolution, the same three words as for the previous report before that.

Well, this time things have changed. The key words for 2011 are – fragmentation, specialization and globalization.

Fragmentation and Specialization

All companies of all sizes need some form of training and learning management system – these systems manage the business-critical work of training employees, customers, partners and resellers. This circumstance is why most companies already have at least one, or several in the case of many larger organizations. This fact helps to explain why the market for learning management systems is one of the oldest and most mature of all of the various HR technology platforms.

With that maturity comes an overall commoditization of the basic features and functions; almost all systems can handle most e-learning and training administration needs. That maturity also brings a wealth of veteran, savvy providers – providers with established customer bases and effective mechanisms for understanding what their customers want.

On the other hand, what the maturity does not guarantee is successful realization of those customer needs; many buyers remain generally frustrated with their systems. Nor does this maturity beget overall market stability. In fact, this market is under extreme evolutionary pressures, including the race to integrate HR processes across the organization and the race to make these systems into spaces for collaboration. In response, the market is essentially splintering into separate but overlapping spaces as follows:

1. Integrated Talent Management Suites – such as Cornerstone, Oracle, Plateau, Saba, SumTotal, Taleo / Learn.com, TEDS, SAP, et al;

2. Social Learning Platforms – such as Bloomfire, Expertus, Jambok, OutStart Participate, and Q2 Learning, just to name a few; and,

The market for learning

management systems

in relatively mature

and increasingly

commoditized. Most

systems can accommodate

most basic functionality.

K E Y P O I N T



3. Specialists in:

a. Industry verticals with unique needs, such as healthcare (e.g., HealthStream; MC Strategies, part of Elsevier; and, NetLearning, part of Cengage) or energy (e.g., RISC);

b. Audiences with unique needs, such as the extended enterprise or compliance-heavy work environments (e.g., Certpoint, EMTRAIN, Gen21, GeoLearning or Strategia ), and

c. Cross-over delivery methods include mobile learning (e.g., Intuition, On Point Digital and OutStart).

Of course, most of these providers (with the exception of some of the dedicated social learning platforms) support the basics of general employee development. The lines between these segments are blurry; many of the above providers work in two or all three groups.

Figure 2: D’Evolution of the LMS Market?

Source: Bersin & Associates, 2010.Source: “Learning Systems,” Bersin & Associates, 2010.

Collaborative People Management

Audience / ContentSpecialists

Regulatory Compliance, Industry Verticals, Customers & Partners

TalentManagement

Performance ManagementCompetency Mgmt., Succession

SocialLearning

Communities of Practice,Content, Knowledge-Sharing

Corporate Learning Application

Integrated with Other Learning ComponentsERP, HR and Application Integration

e-Learning Platform

Make e-Learning PossibleMake e-Learning Easy

Training Management System

Automate the Process of Instructor-Led Training



If you read our last study1, you might recognize Figure 2. We used a somewhat different version of this chart to illustrate the evolutionary paths (social learning and talent management) present in the LMS market at the time. Those paths are still there; the question today is how much longer will this conversation be about one market taking several different paths or, instead, be about several discrete markets?

Of Note: Very few providers interviewed for this study were willing to say that they were focusing on traditional general-purpose corporate learning as their core target market strategy. Almost all took great pains to attach themselves to one of the three submarkets noted in the above list. We can only conclude that market forces (in other words, you – the buyer) are telling them that full credit will not be given for just being a traditional LMS.

Here are other key findings from this year’s study.

1. The Market Is Shrinking in Number of Providers at the Top End.

The fastest growing of these three splinter segments, integrated talent management is definitely here to stay. It is now a mainstream concept in North America – and the rest of the world looks to be on the same path. As talent management adoption grows, the market for talent management suites is consuming a major portion of the LMS market, especially for larger organizations; it is driving intense and high-profile consolidation at the top end of the LMS market. Recent combinations, including Taleo and Learn.com, and SumTotal and Softscape, are both evidence of this trend.

The LMS market has been somewhat frustrating for buyers, for many reasons (we will come to the most common system challenges a bit later in this section). This market is fragmented and even the largest providers in this market have less than $150 million in revenue from their platforms, including Saba, SumTotal, Plateau, Cornerstone OnDemand, Blackboard, GeoLearning, Meridian KSI and dozens more. This means that large buyers (among the likes of IBM, Accenture, HP, MetLife, McDonald’s, et al) are betting their employee and customer training infrastructures on providers that are essentially small companies.

1 For more information, Learning Management Systems 2009: Facts, Practical Analysis,

Trends and Provider Profiles, Bersin & Associates / Josh Bersin, Chris Howard, Karen

O’Leonard and David Mallon, April 2009. Available to research members at www.bersin.

com/library or for purchase at www.bersin.com/lms.

As talent management

adoption grows, the

market for talent

management suites

is consuming a major

portion of the LMS market,

especially for larger

organizations; it is driving

intense and high-profile

consolidation at the top

end of the LMS market.

K E Y P O I N T

http://www.bersin.com/library


http://www.bersin.com/lms



Taleo, the largest provider of talent management software, is now in a position to help stabilize and further legitimize this market – even as it helps supersede it with integrated talent management. Taleo is a public company with more than $200 million in revenues – and has demonstrated its ability to grow profitably, and manage its products and customer support well. The company (which started in the recruitment automation business) now has more than 4,700 customers, each of which needs some form of LMS. This makes Taleo a potential new “gorilla” in the LMS market.

We expect the LMS solution provider landscape to continue to experience significant consolidation over the next 12 months, driven primarily by native talent management organizations buying existing learning management leaders. Several major talent management players remain without full learning management modules, including most notably SuccessFactors and Lawson.

For buying organizations, this means there is a strong possibility that the solution provider you select today will be acquired or will acquire additional companies – leaving serious question marks when it comes to its ability to provide consistent levels of service and ongoing product support. Unfortunately, when a solution provider is acquired, the buying company often stops development or migrates customers to another product. This will frustrate buyers (as it has in the LMS market for years).

2. Yet the Market Is Growing in Number of Providers Overall.

Despite all of this consolidation activity, oddly enough, the overall number of providers in the LMS space is experiencing a marked upswing. A major influx of new companies is entering the market at the bottom. As functionality commoditizes, it becomes easier and easier to develop a competitive base platform. Globalization, outsourced IT development and software-as-a-service (SaaS) infrastructures make initial start-up costs for a new provider easier to handle just as they do for buyers.

This explosion in number of providers is helping to drive the splintering of the market overall. These smaller providers drive overall prices downward, squeezing many of the midmarket independent providers – especially those that have chosen, for whatever reason, to forego growing in the talent management direction (usually this decision stems from lack of capital to either acquire or develop their own solutions).

Expect continued

consolidation amongst

LMS providers, driven

primarily by providers

native to other talent and

HR markets (non-learning)

buying existing learning

management leaders.

A N A LY S I S



They make it harder and harder for existing providers to distinguish themselves. The rising number of new names, of course, further frustrates buyers who are trying to make sense of it all.

Want a very extreme example of this particular trend? Look at the LMS market in China for example (for more information, see section, “Provider Focus Areas: China”). You might be accustomed to hearing about small Chinese companies creating counterfeit versions of expensive U.S. or European merchandise. Perhaps you have seen street vendors in major cities trying to sell knock-off watches or purses? Well, in China, there are also companies creating knock-off learning management systems, in some cases quite brazenly. The largest current native (and we should say, wholly legitimate) Chinese LMS provider is a company called Cyberwisdom; its LMS is called Wizbang. According to Cyberwisdom, the company is aware of another very small company that has reverse engineered a copy of its platform and which is now marketing the copy as “Wistbang,” hoping to benefit from Cyberwisdom’s success and reputation. Cyberwisdom says that it has seen similar activity with other LMS products, including most of the major, well-known providers.

By the way, this growth in number of new providers is especially prolific outside North America, as other parts of the world gain in e-learning maturity.

3. The LMS Market Has Not Been Immune to the Economic Downturn. Growth Slowed Considerably in 2009. Elongated Sales Cycles Are Likely Here to Stay.

In 2009, the market for North American-focused LMS providers grew only to $852 million,2 a meager 1.4 percent (see section, “Market Growth,” for more details). The global growth rate was only just more than three percent.

2 Revised since last publication. Please Note: In this case, “North American-focused”

implies all providers for which North America is a primary market focus, but it does not

describe from where the revenue was obtained. Because many North American-focused

providers also sell outside of North America, this number includes revenue that was

derived from other global regions. In our past studies, we did not attempt to break out a

North American-specific figure.



Despite the continued importance of having a learning system of some kind, organizations have been hesitant to make a long-term commitment to one solution provider over another. In many instances, the sales cycle takes anywhere from 12 months to three years, a significant increase from only six months a few years ago.

The market is fragmented; these systems are highly complex. Even though the SaaS has helped to push costs and implementation times down, these are still relatively major investments in time and money. Finally, L&D is rarely the only group involved in purchasing decisions. Procurement and IT are becoming a critical part of the selection process. If other talent management functions are involved, many other groups will also have a say. Each of these groups brings a very different set of priorities and expectations to the table. Organizations need to clearly define their “must-haves” and “nice to haves” early in the selection process, and create clear use cases3 involving every group before engaging any solution provider in the process.

4. This Is a Global Market. Non-North American Business Is a Major Source of Market Momentum.

Both research data and anecdotal conversations tell us that e-learning in all of its forms (e.g., self-pace, synchronous, mobile, et al) is not as well-adopted in other global regions besides North America.4 That said, we do see evidence of increased maturity. The trends toward talent management and continuously learning do not seem isolated to North America, either. Put all of these factors together – and you see marked growth in both adoption of learning management systems in the rest of the world and growth in providers native to these regions (see finding, “2. Yet the Market Is Growing in Number of Providers Overall.”

3 A “use case” provides a description of a sequence of interactions between actors, and

the system necessary to complete a specific goal or function. Use cases are often co-authored

by systems analysts and end-users, and are presented as a sequence of simple steps.4 For more information, The U.K. Corporate Training and Development Factbook®

2010: Benchmarks, Trends and Analysis of the U.K. Corporate Training Market,

Bersin & Associates / Karen O’Leonard, February 2010. Available to research members at

www.bersin.com/library or for purchase at www.bersin.com/factbook-UK.


http://www.bersin.com/factbook-UK



and “Market Growth,” for more details). In 2010, approximately two-thirds of overall LMS revenue will come from North America and one-third from elsewhere. Considering that we believe the 2011 growth rate globally will be anywhere from seven percent to 11 percent, versus two percent to five percent for North America, expect the relative weight of the other regions to increase. Not surprising, providers native to other regions (such as StepStone, imc, E2Train, Redtray, Cegos Group, Cyberwisdom, OZTime and Talent2) are now stepping up to compete with major North America-based players.

5. The Market Leaders Remain the Same, with One Exception. Blackboard, the Dominant Provider in Education Is Now a Leader for Enterprise Learning, As Well.

Despite the instability in the market overall, the market leaders (established providers with more than three percent of market share) remain substantially the same as in previous studies.

For large global buyers, the familiar names of Plateau, Saba and SumTotal still lead the way, along with the ERP providers, Oracle (including PeopleSoft) and SAP.

Joining these names in the market leader category are equally familiar providers GeoLearning, Learn.com (now part of Taleo) and (one of the largest learning industry players in the world) SkillSoft.

The lone new entrant into the market leader circle is another powerhouse company, Blackboard. Long the clear dominant provider in education, Blackboard has made steady progress in corporate learning as well, often in concert with one of the other established providers.

In 2010, approximately

two-thirds of overall LMS

revenue will come from

North America and one-

third from elsewhere. In

2011 and beyond, expect

the relative weight of the

other regions to increase.

A N A LY S I S



6. Vertical Specialists, Especially in Healthcare, Are Now Major Players.

Continuing on the themes of fragmentation and specialization, some providers are making significant headway specializing in the unique needs of particular verticals. Nowhere is this trend more in evidence than in healthcare. As an industry, healthcare is one of the few growth areas in the overall world economy. We know that the learning needs in healthcare, specifically related to skills training and regulatory compliance, are immense and highly complex. While healthcare has been slower than most to adopt e-learning as a whole (the environment presents significant challenges), this space is catching up. Some evidence exists to indicate healthcare might be leading the way in more cutting-edge areas, such as mobile learning.


Figure 3: Global Top 30

MarketMarket Leaders

(3% market share or greater)

Emerging Providers (less than 3% market share)

Global

PlateauOracle

PeopleSoft (Oracle)SabaSAP

SumTotal

Ancile Solutions (RWD)ACS

Business Training LibraryCegos Group

CertpointCornerstoneOnDemandElementK

HealthstreamIntuition

imcLearnshare

Meridian KSIMC Strategies

MzingaNetDimensions

NetLearningREDTRAY

RISCSilkRoad

TechnomediaTEDS

WBT Systems

Large, Midmarket, Small

BlackboardGeoLearning

Learn.com (Taleo)SkillSoft



Almost under the radar, providers such as Healthstream, MC Strategies (part of major medical publishing house, Elsevier) and Netlearning (part of much large learning services provider, Cengage Learning) are quickly becoming some of the larger LMS providers in North America. As vertical specialists, they offer integrated best-of-breed content, targeted professional services and a system designed with the special needs of the heathcare world in mind.

7. The More Things Change, the More They Stay the Same (Part 1) – “e-Learning” and “Better Training Administration” Still Dominate Purchase Drivers for Learning Management Systems.

Reading this study, you will encounter much about the growing importance of talent management and social learning. These trends are very much the future of this space. That said, right now, the major business drivers that actually have most buyers making a purchase remain the same as in our past studies – the basics. Nearly two-thirds of buyers list the need to better administer training as a primary driver and just more than one-half state the need to delivery e-learning as a primary driver.

Buyers should be diligent in both clearly defining needs in these areas and in ensuring that the provider prove its ability to meet those needs.

8. The More Things Change, the More They Stay the Same (Part 2) – The LMS Continues to Have the Highest Percentage of Dissatisfied Customers of Any HR System. Reporting, Customizations, Integrations and Usability Still the Primary Challenges with These Systems.

Buyers beware. There continues to be something about the learning management space that makes it unusually challenging to satisfy

Despite the energetic

conversations surrounding

integrated talent

management and

informal learning, the

top two purchase drivers

for LMS remain training

administration and

e-learning delivery.

K E Y P O I N T



customers. As part of our overall talent management customer satisfaction research this year, we asked customers to rate their overall satisfaction with their current provider on a scale from 1 (completely dissatisfied) to 5 (completely satisfied). Preliminary data shows that the average score for LMS customers was 3.36 – the lowest of any of the various talent processes. In fact, having an LMS as part of a larger talent management suite had the largest negative effect on overall satisfaction.

In general, companies are fairly satisfied with the business value of their learning management systems. Most companies are satisfied that the LMS increases their productivity and that the solutions meet their business needs. However, the biggest pain points are the same as in past studies – reporting, customizations and overall usability. We found that these same issues continue to drag down customer satisfaction as a whole.

9. Adaptability Is Now a Critical Market Driver for Learning Systems. SaaS Takes over the Enterprise. Platform-as-a-Service and “Cloud-Computing” Come to the LMS.

Helping to address the issues of customization and integration, the concept that we can call adaptability5 and its supporting partner, SaaS are now critical market drivers for learning and talent management systems. We expect the solution providers that offer their applications in the SaaS delivery model to capture market share at the expense of on-premise options, even for the largest of buyers. Staying power in the market over the long term will increasingly come from the level of adaptability offered.

Both midmarket organizations and large enterprises will look for learning and talent management systems that are adaptive. The ERP model of “buy and customize” will be viable only for very large organizations that are the ERP providers’ target market. That model is too slow, too expensive and ultimately too restrictive for the majority of buyers. Enterprise software buyers increasingly expect and are beginning

5 For more information, Adaptive Talent and Learning Platforms How Software as a

Service Is Changing the Markets for Talent and Learning Systems, Bersin & Associates /

David Mallon, February 2010. Available to research members at www.bersin.com/library.

The biggest pain points

for current LMS owners

remain reporting,

customizations and

overall usability.

K E Y P O I N T

Long-term staying power

in the LMS market will

increasingly come from

the level of adaptability

offered.

A N A LY S I S




to receive what they want without customization. They are looking for and will be able to find systems that come as sets of configurable tools and web services. So, the next time that your organization is in the market for an enterprise talent management or learning system, remember that it is possible to find systems which adapt to your needs, rather than the other way around.

10. Continuous Learning Is Becoming the Driving Force for Corporate L&D, Leading Many to Wonder about the Long-Term Need for the Traditional LMS.

Economic conditions, advances in technology and changes in workforces continue to force learning organizations to evolve into enablers and brokers of learning, not just sources of formal programs. We expect to see an ever-increasing focus on helping learners serve their own needs through on-demand learning environments, knowledge-sharing and collaboration.

These modern high-impact learning organizations will seek out technology platforms that facilitate the efficient creation of high-quality content, and which also allow these departments to take their natural skills at creating, refining and managing content to the business – teaching the business how to create and share knowledge with the care and consistency needed to ensure that content is findable and usable.

Independent social learning platforms (e.g., Jambok, Bloomfire, Q2 Learning) are making noise, but not taking off just yet. Major skepticism still exists in the market as to whether or not this sort of activity should live in a special destination system – or if it belongs in the LMS proper, or if it belongs in a more general-purpose collaboration space, such as SharePoint.

The need to enable

continuous learning is

becoming the driving

force for corporate L&D

overall.

K E Y P O I N T



The presence of these systems, though and the amazing integrations of social tools accomplished by some of the most established learning providers (Saba Live, Plateau Talent Gateway, Expertus One, for instance) do have many learning organizations asking about the long-term relevance of the traditional LMS. How much of L&D’s programs and offerings really need to be tracked in that way or need to justify the overhead that usually comes with the LMS? These are questions that buyers ask us all the time now. Given finding 7, obviously there are still some core needs that do require basic LMS functions and these basic needs still drive LMS purchases. In the short term, this fact is not likely to change. We believe the long-term question for buyers and providers alike is, as L&D is better able to support both formal and informal learning in a continuous learning model, is the LMS still the most important technological enabler?

Copyright © 2010 Bersin & Associates. All rights reserved. Page 1

Continuous LearningExpert

NoviceTime

The Continuous Learning Model

Traditional Training

Job-Aids

On-DemandLearning

SocialLearning

CareerCurriculum

CoachingMentoring

Communitiesof Practice

TrainingEvent

Figure 4: Continuous Learning Model




Market Growth and Globalization6

As one of the most mature of HR systems segments, the LMS market has grown considerably over the last few years.

In 2004 (when we published our first report on the U.S. market), we forecast North American-focused7 LMS provider revenues at $380 million. By 2008, that number had increased to $840 million8. But then in 2009, as the troubles in the global economy took hold, the North American-focused market grew only to $852 million,9 a meager 1.4 percent (see Figure 5).

6 Unless otherwise explicitly noted, all revenue numbers in this report can be assumed

to refer only to revenue specifically derived from a learning systems platform or module.7 North American revenue estimates include all revenue for providers for which North

America is a primary market. In other words, these numbers include revenue earned outside

of North America by providers covered in this study. We believe the providers covered in

this study account for at least 90 percent of the total market for North American-focused

providers and we believe North American-focused providers account for approximately 80

percent of the total worldwide market for learning management systems.8 Revised since last publication.9 Ibid.

We estimate that the

global LMS market

will grow 9.9 percent

in 2010 and will grow

approximately 11 percent

in 2011.

A N A LY S I S

$630 $643$695

$730

$922 $957

$1,046

$1,155

$600

$700

$800

$900

$1,000

$1,100

$1,200

2008 2009 2011 Projected

In M

illion

s

LMS (North America) LMS Global

2010 Estimated

Figure 5: LMS Market Growth – 2008 to 2011




This year, many of the purchases that were delayed last year were actually finished. This pent-up activity helps to explain a healthy upswing in 2010 of roughly nine percent ($925 million). Not all is well just yet, however. Signs point to slower growth for North American-focused revenues in 2011 (between $944 and $972 million, two percent to five percent, respectively).

Compare these numbers to the same timeframe for the overall global market and you can begin to see one of the major sources of growth in the space going forward. Between 2008 and 2009, the global market grew at a similar anemic clip, 3.2 percent. This year, global growth is likely to reach approximately nine percent, not too different from North America. Next year, however, the global market will likely sustain a more healthy growth rate of between seven percent and 11 percent overall. In Figure 6, we breakout the percentage of overall revenue attributed to each region by the providers that took part in this study. We are confident in predicting that all three other regions will grow in relative percentage, as compared with North America in the next iteration of this study.

North America67%

Latin America / Caribbean

3%

Europe / Middle East / Africa

21%

Asia-Pacific9%

Figure 6: Percentage of Provider Revenue by Global Region




Of course the biggest factor in the slowdown of the market in 2009 was the global economy, but there are other factors, as well. The saturation in the market for large and global enterprises, along with the commoditization of learning management systems, are also partly to blame. This is very much a buyer’s market; multiple providers compete for most contracts, putting pressure on providers to keep pricing moderate.

Overall, approximately 40 percent of U.S. training organizations reported that they have an LMS installed, a figure that has not changed significantly over the past three years. Rather than indicating a slowdown in LMS buying, we see this leveling off as a sign of market maturity.

But the picture is very different for various segments of the market. For example, the large business segment is fairly well-saturated, with nearly 80 percent of companies now using LMSs10.

Midsize companies have been and remain the hottest segment of the LMS market, with nearly every major LMS vendor rolling out solutions targeted at midmarket buyers. In fact, we believe the midmarket will, for the first time, eclipse the large and global segment in relative share of global LMS provider revenues in 2010.

The small business market offers the greatest opportunity for growth, as only 31 percent of these companies are using an LMS11. Many of these businesses would like a low-cost, easy-to-use, easy-to-maintain system – but, as yet, they are not willing to make the commitment. An LMS is still a nontrivial investment in money and resources.

10 For more information, The Corporate Learning Factbook® 2010: Benchmarks,

Trends and Analysis of the U.S. Corporate Training Market, Bersin & Associates / Karen

O’Leonard, January 2010. Available to research members at www.bersin.com/library or for

purchase at www.bersin.com/factbook.11 For more information, The Corporate Learning Factbook® 2010: Benchmarks,


O’Leonard, January 2010.

In 2010, the relative share

of global LMS provider

revenues attributed to the

midmarket segment will

exceed those from large

and global companies for

the first time.

A N A LY S I S


http://www.bersin.com/factbook



In 2011, we forecast continued growth in the LMS market (slow and steady in North America, faster in the rest of the world), fueled by these primary factors.

• First, L&D and HR organizations now clearly understand the important role that learning systems play. Deploying e-learning remains an important driver. Management of compliance training remains critical to most large businesses and often cost-justifies the LMS purchase, as the LMS is critical to managing and tracking these programs. However, our research shows that buyers are increasingly savvy and experienced, and now come with an understanding of the potential for a well-implemented LMS to enable 25 percent to 35 percent improvement in learning operational effectiveness and efficiency12.

12 For more information, The High-Impact Learning Organization: WhatWorks® in

the Management, Governance and Operations of Modern Corporate Training, Bersin &

Associates / Josh Bersin, May 2008. Available to research members at www.bersin.com/

library or for purchase at www.bersin.com/highimpact.

Figure 7: Relative Share of Overall Revenues by Market Segments – 2009 to 2010


The small and midmarket

segments offer the

greatest opportunity

for growth in the LMS

market. We estimate

these segments will

grow 20 percent and 15

percent, respectively, in

2011, as compared with

only three percent for

large and global buyers.

A N A LY S I S



http://www.bersin.com/highimpact



• The role of the learning system is evolving. It does not simply include delivery of e-learning. Companies increasingly see the LMS as a learning platform – home to the management of formal classroom, virtual classroom and directed e-learning; and, the enabler of informal knowledge-sharing, collaboration, networking and performance support.

• Finally, this growth is fueled by the evolution of the LMS systems themselves. Nearly every LMS provider has developed some form of integrated talent management capabilities, and most are adding informal and social learning functionality, as well. Providers understand the new market for talent management solutions and they are beginning to grasp the possibilities of the enterprise social software market. They believe that the LMS is taking on an increasingly important role as the hub or core of both integrated talent management and social learning platforms.

Expansion

The LMS market can be segmented into five main markets:

• Global;

• Large;

• Midmarket;

• Small; and,

• Federal Government (including military).

Each of these segments has adopted LMS systems in a different way.



The global market (large organizations with global operations) is the area on which most providers have tried to focus and thus is the most penetrated. Our research indicates that as many as 80 percent of U.S. global enterprise companies have some type of LMS already.13 These organizations typically have multiple LMSs, many of which are outdated and poorly used. In this market, there is a clear trend toward consolidation and the adoption of an enterprisewide global platform. These consolidation projects take years to cost-justify and complete, and we believe this consolidation will continue for years to come.14

The large market (large organizations with employees primarily located in any one country) is also growing slowly. These enterprises also have



O’Leonard, January 2010.14 For more information, The LMS Operating Guide for Global Enterprises,

Bersin & Associates / Karen O’Leonard, March 2008. Available to research members at

www.bersin.com/library.

$214.00

$399.00 $432.00

$1,046.00

$- $200.00 $400.00 $600.00 $800.00 $1,000.00 $1,200.00 $1,400.00

2010 (Estimated)

Total Market Large / Global Mid Small

$256.00

$409.00 $495.00

$1,161.00

2011 (Projected)

$176.00

$409.00 $367.00

$951.00

2009

Figure 8: LMS Market Growth Broken out by Segment 2009 to 2011





multiple LMSs, but they tend to have only one corporate training system. These companies may use a platform from SkillSoft (or one of the other midmarket players in sales or customer training), but would like to consolidate these into a single corporate system. SaaS is now the preferred delivery model for this segment.

Finally, the fastest-growing segments of the LMS market are in small and midmarket15 organizations (companies or departments serving fewer than 10,000 learners in any one country). These are smaller, often fast-growing companies with highly focused, expert training organizations. They often do not have a lot of IT support but realize tremendous value from an LMS. These organizations have many of the same complex needs as enterprise buyers, but their budgets and support staffs are far less.

Small and midmarket organizations tend to favor an SaaS or “hosted” solution, and will often start their journeys into the LMS market through a single training program or program area (e.g., sales training, customer training, partner training, e-learning for compliance and so on). In 2010, these segments will grow at a rate of more than 22 percent per year for organizations with less than 1,000 employees and more than 18 percent per year for organizations with between one and 10,000 employees. Most LMS providers have made major changes in their business models to reach these customers effectively.

15 It should not be forgotten that there are far more, small and midmarket companies

in every country around the world than there are major global conglomerates.


1%

6%

4%

3%

15%

20%

0% 5% 10% 15% 20% 25%

Large / Global

Mid

Small

Segment Growth Growth Relative to Total Market

Figure 9: Projected Revenue Growth for 2011 by Market Segment




Collaborative People Systems: A New World of Corporate HR Platforms

The market for corporate HR platforms is rapidly changing. Once considered a set of tools to manage employee records, payroll, benefits and other administrative data, today’s HR organizations are implementing software designed to help employees, managers, HR and business executives manage their business better.

These new platforms, called “talent management systems” today, are evolving into what we call “people management systems” – software platforms that manage all the employee, managerial and professional needs of the workforce. Driven by a common employee profile (the rich directory of every employee’s detailed information), they can now be used for talent management, collaboration and knowledge-sharing, as well as core payroll and employee administration.

Manager

Employee

Mentor

Peer

Partner

Customer

Workforce WorkplaceMultigenerational Interconnected

Global Dynamic

Interconnected Performance-driven

Mobile New Leadership

Transient More Specialized

New Models for Career New Models for HR

Candidate

Figure 10: The New Workforce, the New Workplace




As the market for talent management software has grown, so has the definition of talent management itself. We see the talent management market rapidly shifting toward what we call “people management” – an expansion of features and capabilities to take on all aspects of the employee lifecycle.

Today’s businesses (even small companies) now have access to email, instant messaging, discussion and group discussions, webcasting, virtual classrooms, mobile and IP voice communications, presence awareness (is someone online or not), activity streams (what is someone doing now), blogs16 and wikis17, knowledge databases, and a never-ending set of new communication and collaboration systems to come.

All these tools, which continue to grow in quantity and type every day, need to leverage the connections and security housed in the people management system. If we are going to collaborate and interact with someone, it would be important to know who is connected to whom; who is working on what; what is the phone number, job and location of an individual; and, who is the “expert” or “subject-matter expert” (SME) on a given topic.

HR software vendors see this opportunity for integration, and many are rapidly building and buying collaboration solutions for their platforms. While there is no “perfect” collaboration solution in the market yet, we expect to see integrated systems for collaboration, knowledge-sharing, employee directory and a wide variety of other collaborative solutions built right into the people management platform.

If you have not yet considered collaboration and social networking a part of your HR and LMS systems strategy, now is the time. You will empower your workforce, improve collaboration and innovation, and help transform your organization for the future.

16 “Blog” is a shortened form of the phrase “web log,” which is a form of personal

publishing that readers can discuss.17 “Wiki” is from the Hawaiian word for “fast” – and stands for web pages that can be

collectively and collaboratively edited on the fly by readers.



Learning Systems OverviewThe learning systems market is one of the most rapidly changing markets for enterprise software.

Learning management systems (LMSs) have been around for decades – originally used as back-office scheduling systems for classrooms. These systems (originally called “training management systems”) continue to live on in most companies and still play an important role.

In the early 2000s, these systems evolved into what we call “e-learning platforms” – systems designed to provide user-centric portals to assist employees in finding, enrolling in, launching and tracking e-learning courses, in addition to classroom training. Today’s LMSs are largely built from this base – they have expansive capabilities to arrange, launch and deliver e-learning programs.

In the mid-2000s, the market shifted again as companies realized that they needed their LMSs to evolve into a corporatewide enterprise system. In this role, the e-learning or training management system needs to have extensive configurability to manage thousands of people, group people and courses into subdomains, manage complex certification and compliance programs, track assessment and completion results, and integrate tightly with other corporate HR systems. Of course, many of these corporate LMS systems also manage customer and partner training so, in this third wave, the LMS market added the requirements for eCommerce, as well as new workflows to enable organizations to sell and promote courses to customers.

Today the LMS market is at a turning point. With the tremendous growth in demand for integrated talent management solutions, most LMS providers have added features for performance management, succession management and development planning. This is a natural extension of the LMS for many companies, since organizations have invested tremendous energy into building these corporate learning systems, and now they should be leveraged into the talent development strategies of the company. To meet this demand, almost all LMS providers have allocated a high percentage of their R&D dollars to talent management – and, in fact, many of these providers now compete in the talent management systems market.



But another critical trend is further shaping the market – the tremendous demand and importance of social learning or informal learning. As we all well know, at most 10 percent of all corporate learning takes place in any formal training. At least 70 percent of learning occurs through interactions with peers, managers and experts – and we believe 20 percent occurs through the ability to rapidly find important information online.

Corporate learning systems are evolving to support the operationalizing of informal learning. Just as the traditional back-office training management systems became “employee-facing” systems when e-learning exploded, today’s LMS platforms must rapidly adapt to meet the needs for social learning. Our research shows that some providers are moving aggressively in this direction, but there are also a large number of new companies entering the market with a sole focus on informal learning, social learning and content management systems.

If you are in the process of selecting an LMS, it is very important that you identify what role you want the LMS to serve, both initially and longer term. The provider offerings and cost-justifications vary from phase to phase. Organizations which are trying to select the right “learning management system” should really think about deploying “enterprise learning platform.” While the LMS is never going to go away, our research clearly shows that, in order to be successful in the next thee to five years, you must focus on building a platform which does many things, such as:

• Manage formal learning and compliance training;

• Manage e-learning and supporting online materials;

• Manage customer or partner training (if needed);

• Manage the creation of and facilitation of social learning;

• Fit into your talent management systems strategy; and,

• Fit into your corporate HR systems and portal strategy.



Role of the LMS

One of the toughest challenges for both buyers and providers is the constantly changing definition of what an LMS is and what it does. Although it is likely a lagging indicator, the LMS has evolved, as the role of the learning function within organizations has also changed.

LMS features continue to snowball at an incredible rate. All enterprise-class LMSs today must have a robust set of features for HR integration, analytics and reporting, content management, and skills and competency management. Today, enterprise customers are also demanding social learning and collaboration, integrated performance management,


Appr

oach

es

On-Demand EmbeddedSocial

Enterprise Learning Framework®

Formal

Informal

Tools & Technology

Culture

Disciplines

Learning Programs

Learning Architecture

Org

aniz

atio

n, G

over

nanc

e an

d M

anag

emen

t 1

2

3

4

5

Audiences & Problems

Figure 11: Bersin & Associates Enterprise Learning Framework®




employee development and succession planning, and business process integration. Due to the profound influence and success of SaaS as a delivery model, buyers at all ends of the market are demanding fundamental adaptability, including support for deep configurability and automation of processes (not customization), flexible interfaces, and open data architectures. Of course, the maturity and depth of these features varies widely from provider to provider, forcing buyers to go through complex buying cycles.

In the past, requirements for these systems were much simpler. Let us look at where LMSs started and the primary role of these systems.

Fundamentally, LMSs have grown up as applications that manage the administration and management of corporate training. The most important word in LMS is “management.” An LMS is the single system of record for training and learning programs. As such, an LMS is heavily used by the following five potential audiences.

1. Employees – Employees use the system directly or through an internal portal to browse learning opportunities, enroll in programs, take courses online, complete assessments, and view their learning plans and transcripts.

2. Training Managers and Administrators – Training managers and administrators use the LMS to manage course enrollments, publicize new offerings, measure and analyze results, optimize the use of training resources (e.g., rooms, instructors and materials), and create skills and competency profiles.

3. Line Managers – Line managers use the LMS to monitor the compliance of their workgroups, assign learning to employees, approve learning programs, and monitor and manage employee training programs.

4. Customers – Like employees, customers and external partners may use the LMS to enroll and complete customer education and certification programs, sometimes for a fee.

Although a lagging

indicator, the LMS has

evolved, as the role of the

learning function within

organizations has also

changed.

K E Y P O I N T



5. HR Managers – With the growing need to integrate learning and performance management capabilities, HR professionals are using the LMS to examine talent profiles18 and identify skills gaps.

Each of these audiences is, itself, comprised of many, varied subgroups; all bring their own sometimes widely different needs. Therefore, the LMS must first be flexible and extremely easy to use. The LMS is one of the only systems in the enterprise that is touched by nearly every employee and manager.

In addition, the needs for a system generally change over time. An organization may purchase an LMS for one purpose but, ultimately, the requirements for the system may change substantially. Next, we will look at how the needs for these systems typically evolve within an organization.

Cost-Justifying the LMS Investment

Each of these roles has a different business value and corresponding cost-justification. If you are trying to cost-justify a new system or a major upgrade, it is important that you consider at which stage your company is. These are outlined in Figure 12.

As Figure 12 shows, each role focuses on different business problems and solutions. If you are selecting an LMS for a corporatewide training group, you are likely to focus on using the system as an enterprise management or talent management application. If you are selecting an LMS for a business unit or customer education group, you are likely to focus on using the LMS as a training management system or e-learning platform.

18 A “talent profile” is an organization’s list of personal attributes (e.g., these typically

include experience, educational background, certifications, and performance ratings and

competencies) that make up the potential and readiness for a new position.

To cost-justify a new

system or a major

upgrade, it is important

that you consider

at which stage your

company is.

K E Y P O I N T



Figure 12: Business Value of LMS at Each Stage

LMS Business Value by Role

Role of LMS Cost-Justification and Business Value

Training Management System

• Automate training processes and administration;• Improve efficiency of resource allocation;• Cost-savings in administration; and,• Better serve learners and instructors.

e-Learning Platform• Reduce travel and delivery costs through online training;• Increase reach to more learners; and,• Make it easier to build and deploy courseware.

Enterprise Learning Application

• Meet corporate compliance requirements;• Centrally manage e-learning content, programs and resources for greater

consistency and less redundancy;• Reduce overall training expenses by centralizing information and control; and,• Align learning programs and spending with corporate initiatives.

Talent Management

• Identify critical skills gaps and implementing plans to fill them;• Implement a consistent employee performance management

process; and,• Make it easier for managers and employees to align goals and implement

performance planning.

Social Learning• Facilitate connecting employees with experts in areas of need; and,• Increase the scale, density, and utility of corporate social networks.

Customer Training

• Provide training to external customers and partners;• Generate revenue;• Increase customer success and loyalty; and,• Increase adoption of products and platforms.




Features and FunctionsThis section of the report discusses the features of learning systems today.

Separating Basic from Advanced

(Please see the Appendices sections of this report for detailed listings of basic and advanced LMS features by solution provider.)

The Basic Features

To understand the learning systems marketplace, it is first important to understand the basic set of features and capabilities of these systems. These include the following.

• Course and Resource Management – Basic features include managing course registrations, scheduling resources and managing course catalogs. Advanced features include automatic building of catalogs based on user and / or content metadata.

• Curricula, Learning Plans and Certification Management – Also known as blended-learning program management, basic features include the ability to bundle learning opportunities into logical groups. Advanced features include managing prerequisites, manager approvals, ecommerce, the use of learning credits, certification processing, expirations and prescriptive learning19.

• Assessments and Surveys – Basic features include managing assessments and student scores, capturing survey data, and managing libraries of assessments. Advanced features include creation of assessments, item banks, automatic assessment creation based on business rules, use of multimedia in items, and prescriptive learning.

• Reporting and Measurement – Basic features include tracking learning history, tracking and reporting certifications, and learning metrics. Advanced features include exception reporting, automatic notification based on thresholds and measuring business impact / ROI.

19 “Prescriptive learning” is training that is designated for a learner based on his / her

manager, job role or assessment scores.

An enterprise-class

LMS today must have a

robust set of features

for compliance, blended-

learning management,

HR integration, informal /

social learning, and

training analytics and

reporting.

A N A LY S I S



• Security – Granting different access privileges based on organizational hierarchy, domain or role. Encrypting data and personal information.

• HR-Related – Basic features include synchronizing with the organization’s HR database. Advanced features include integrating learning with performance planning, and managing skills and competencies (see section, “The Advanced Features”).

• Content Integration – Implementing the industry standards of AICC20 and SCORM21, and making it possible to launch, track, bookmark and report on e-learning content. These interfaces are tested and certified against different content providers.

• Content Management – Basic features include storing online learning content and indexing the content for search. More advanced features include managing the content and workflow among multiple groups (see section “The Advanced Features”).

• eCommerce – Basic features include the ability to process payments and chargebacks. Advanced features include creating business rules for transactions, such as discounts for certain learner types or for course bundles, managing shopping carts, and checking certifications or learner status to determine eligibility.

An LMS is a workflow-oriented system. It manages enrollments, registrations, completions, certificates, scores, prerequisites and course fees – all functions that operate within a company’s business.

The Advanced Features

As the LMS market has matured, LMS providers have added many advanced features to their systems. In this section, we will discuss the value and nature of these features – and how you can decide whether or not to use them in your selection process.

20 The “Aviation Industry CBT Committee” (AICC) is an international association of

technology-based training professionals that develops guidelines for the aviation industry

in the development, delivery and evaluation of computer-based training (CBT) and

related training technologies.21 “Sharable Content Object Reference Model” (SCORM) is a set of specifications for

course content that produces reusable learning objects.



• Analytics and Reporting

• Enterprise Security

• Search and Discovery

• Blended-Learning Program Management

• Virtual Classrooms

• Competency-Driven Learning and Capability Development

• Integrated Talent Management

• The Importance of the Employee Profile

• Informal Learning Management

• Mobile Learning

• Learning Content Lifecycle Support

• Adaptability

Some of these functional areas need and deserve more detailed attention. In the following sections, we provide some additional guidance.

Analytics and Reporting

Measurement is a hot topic in training and HR today. Training organizations are under increasing pressure to demonstrate the business impact of learning, which brings measurement issues to the forefront. In our High-Impact Learning Measurement22 research, we detailed a complete methodology for learning measurement. The Bersin & Associates High-Impact Measurement Framework (see Figure 13) will help you decide how to implement a complete measurement program and on what to focus your efforts to obtain the most actionable23, credible measurements about your learning programs.

Each of the nine measurement areas shown in Figure 13 require data – much of which will be captured from your LMS. While this report is

22 For more information, High-Impact Learning Measurement: Best Practices, Models,

and Business-Driven Solutions for the Measurement and Evaluation of Corporate Training,

Bersin & Associates / Josh Bersin, November 2006. Available to research members at

www.bersin.com/library or for purchase at www.bersin.com/measurement.23 “Actionable information” provides data that can be used to make specific business

decisions. Actionable information is specific, consistent and credible.


http://www.bersin.com/measurement



not intended to describe the details of implementing a measurement program, it is important for you to consider your measurement needs when you select your LMS.

For example, if you are managing the deployment of many safety or other compliance-related programs, you will likely want to carefully measure adoption24 (e.g., who has / has not taken the courses, what percent of employees by managers have completed, which employees are behind in their completions, and what are the completion rates by geography, division and business unit). There may also be expiration dates on these programs, demanding that people retake these courses once per year.

24 “Adoption” measures indicate how well the program was targeted and marketed,

and how well the audience actually received it.

Figure 4: Bersin & Associates High-Impact Learning Measurement Framework®


Adoption Utility AlignmentEfficiency Attainment

Satisfaction Learning

Operational Indicators or KPI’s (Key Performance Indicators)

Individual Performance Organizational Performance

Evaluative Measures (Direct Impact Measures)

Did you reach the desired audience?Did they complete orcomply as desired?Who did not comply and why?

How well do the programs solve the workforce’s particular problems? How well did it align to the specific jobrelated problems and issues?Would learners recommendthis program to their peers?

How well were program business priorities defined?How well did business units buy in on thevalue of this program relative to other investments?

How well did youmeet specificallydefined client (business user or customer) objectives?These may berevenue, time tomarket, compliance,time to complete, etc.

Indicators asked of learners and managers to gauge performance improvements.Specific operational measures identified in theperformance consulting process.

General business measures or HR measures that are already captured in the organization (i.e., engagement, retention). Special surveys can be used to determine indicators using the “wisdom of crowds.”

it?

How efficient and cost -effective was

How did it compare to other similar programs or competitive programs?How well did it use the learner’stime?

Figure 13: Bersin and Associates High-Impact Measurement Framework®




Such a set of adoption measures establishes certain demands on your LMS. The LMS must:

• Capture all the completion data (all LMSs do this);

• Have the capability to aggregate this data by manager (most LMSs do this);

• Compute completion percentages; and,

• Generate reports that show exceptions (e.g., who has not completed, who is more than 30 days late and so on) by group and manager.

Such reports should be dynamic (updated regularly), easy to distribute and easy to customize.

If the LMS has a basic reporting package with a customizable SQL reporting tool (like Crystal Reports), you may find yourself frustrated with your ability to generate such exception reports. The answer may be a built-in tool for custom reporting and analytics.

Figure 14: Example Analytics

Source: KeyBank, 2010.

A “reporting tool”

typically lets the

administrator or user

customize the report

by selecting different

filtering criteria.

K E Y P O I N T



Analytics Versus Reporting

There is a difference between reporting and analytics. Simply put, reporting is about viewing data, analytics is about using data to gain insights and, potentially, to draw conclusions – to tell a story based on data.

A “reporting tool” typically lets the administrator or user customize the report by selecting different filtering criteria, for example, “show me all learners in the sales department who completed Introductory Sales Skills in the last 90 days.” Such a customized report produces a list of results and is usually easy to generate in almost any LMS. In your evaluation and selection, you should make sure such queries are easy to create and can be saved for later reuse.

An “analytics tool” goes much further. It takes the information in the LMS, and organizes it into dimensions25 and measures26. Dimensions are hierarchical, so they not only form filters – they allow you to drill up and down, and see data dynamically. For example, in the query above (“show me all the learners in the sales department who completed Introductory Sales Skills in the last 90 days”), you may want to drill down and see the number of completions for each manager within the sales department.

Or, you may want to “drill up” and see the number of learners who completed this course in the U.S., as compared with their peers in the U.K., France or Japan. A typical example of such an analysis is for a retail, sales or manufacturing organization – for which there are multiple locations, each of which has multiple managers and each of which has multiple employee learners. You will want to compare completion percentages across groups, plants, divisions, geographies and business units. Such data will be highly actionable; it will tell you and the line managers where learning is not being completed.

These examples are simple – they use the most basic measures of adoption. More complex examples may include analytics and reporting of scores, number of student hours, dollars of training consumed, number of days spent in classroom versus e-learning, training consumption by media type (e.g., classroom, book, e-learning and external course), consumption of external fee-based education versus internal and much more. A powerful report is an analysis of the utilization of a provider’s

25 Descriptive information about the audience or program is often called

“dimensional” information in an analytics system.26 “Measurement” provides the information and data, which can then be used to monitor,

analyze and evaluate. A “measure” is the extent, dimension or actual data element.

An “analytics tool” goes

much further by taking

the information in the

LMS, and organizing

it into dimensions and

measures.

K E Y P O I N T



catalogue content – you may find that your costly license of an IT or leadership provider’s content is only being consumed by a small number of learners. Such information is highly actionable; you could negotiate a lower price or you could pass on this charge to the department consuming the training.

Measurement and analytics is an area that you should explore carefully as you consider providers. In a survey of LMS customers done for this study, 39 percent stated reporting capabilities as their number one challenge with their current LMS.

Analytics Technology

“Analytics” is a reporting technology that gives users much more flexible and dynamic access to information. From an architectural point of view, analytics systems typically move data into a new data structure, as shown in Figure 16. Oftentimes, the LMS provider embeds technology from analytics tools, like Business Objects, Cognos or Microsoft Analytics Server.

Many of the new LMSs now have built-in analytics solutions (Plateau, Saba, SAP and SumTotal, for example.) Many veteran LMS users have

Figure 15: Example of an Organization Dashboard

Source: Plateau, 2010.



built their own separate analytics systems, running on Microsoft SQL Server, or other data warehouse technologies from Business Objects (SAP) or Cognos.

An analytics solution should provide the ability to drill up and drill down through the organizational hierarchy – enabling any manager, director, vice president or business-unit executive to see aggregate results for direct reports, as well as to drill down into individual managers and learners to identify problems. To do this, we recommend that the solution use a multidimensional or online analytical processing (OLAP) technology for analysis. If you would like more details on learning measurement and analytics, please read our in-depth report on training measurement, High-Impact Learning Measurement.27

Enterprise Security

These applications hold a tremendous amount of data, some of it very sensitive. Add in local regulatory requirements (such as European Union

27 For more information, High-Impact Learning Measurement: Best Practices, Models,


Bersin & Associates / Josh Bersin, November 2006.


Figure 5: Training Analytics Architecture

The Training Analytics System

Certifications andCompliance

Effectiveness / Impact

Financial Analysis

Completion

Activity

Data MartOLAP Database

Other Data(Sales, Financial, HR)

LMS(Training Activity

Results, Financials)

Manager’s Query and Reporting Interface

Analysts, Managers Browse for Information

They Need

Figure 16: Training Analytics Architecture




employee data privacy rules) and the system’s overall support for security becomes a critical decision factor for many buyers.

At the simpler end of the spectrum, basic functionality in this area incorporates the support to manage the organization’s end-user authentication process and the role-based security permissions. All learning systems support basic user-name and password authentication, and most provide single sign-on integration (based on an enterprisewide security infrastructure).

An integrated suite platform enables users to move between core applications and process areas without multiple logins or executing separate applications. Additionally, administrators can create user roles, and assign permissions for various levels of access to applications, processes, data, content and functional units within the system.

Differentiating criteria in this area can include the following.

• Supportforhighlygranularpermissions–Canpermissionsbesetbyuser, role, function and individual data item?

• Supportfordatabaseencryption–Cantheentiredatabase be encrypted?

• ProvencompliancewithSAS70guidelines (please see the following section).

• Provenabilitytosupportonorganization’soverallISO27001compliance strategy (please see the following section).

• Supportforspecialistsecuritystandards,suchasPCIDDS28 or FDA 21 CFR Part 1129 as appropriate.

28 The Payment Card Industry Data Security Standard (PCI DSS) is a worldwide

information security standard defined by the Payment Card Industry Security Standards

Council. The standard was created to help payment card industry organizations that

process card payments to prevent credit card fraud through increased controls around

data and its exposure to compromise. The standard applies to all organizations that hold,

process or exchange cardholder information from any card branded with the logo of one

of the card brands. For more information, https://www.pcisecuritystandards.org/security_

standards/pci_dss.shtml.29 For organizations whose training audiences include anyone involved in U.S. Food &

Drug Administration (FDA)-related testing, the FDA has established strict guidelines for

how information in captured and stored. These guidelines are outline in a section of U.S.

Federal law, entitled Section 21 CFR Part 11.

https://www.pcisecuritystandards.org/security_standards/pci_dss.shtml

https://www.pcisecuritystandards.org/security_standards/pci_dss.shtml



SAS 70

“Statement on Accounting Standards #70”30 (SAS 70) is an auditing statement issued by the Auditing Standards Board of the American Institute of Certified Public Accountants (AICPA)31. SAS 70 provides guidance to service auditors when assessing the internal controls of a service organization and issuing a service auditor’s report. This auditing statement also provides guidance to auditors of financial statements of an entity that uses one or more service organizations. SAS 70 becomes very important to organizations that choose to use an SaaS provider for their learning or talent systems. SAS 70 provides auditing guidance for what to expect of the provider in terms of how tightly they secure your data.

ISO 27001

Also a measuring of information security, ISO 27001 is part of the growing ISO / IEC 27000 family of standards32, and is an Information Security Management System (ISMS) standard published in October 2005 by the International Organization for Standardization (ISO)33 and the International Electrotechnical Commission (IEC). Its full name is ISO / IEC 27001:2005 – Information technology – Security techniques – Information security management systems. These standards govern how the organization as a whole systematically discovers and addresses the organization’s information security risks, taking account of the threats, vulnerabilities and impacts.

Search and Discovery

A critical feature in learning systems today is search functionality. As organizations increase their use of online training and other online repositories of knowledge, it becomes harder for users to find the formal and informal learning opportunities that they need – users cannot browse through large catalogues of content effectively. The solution is a powerful search capability that is built into the LMS. Early LMS search tools relied upon course descriptions in the LMS database (e.g., metadata search); more advanced search technologies are becoming available. For

30 Source: http://www.aicpa.org/download/members/div/auditstd/AU-00324.PDF. 31 Source: http://www.aicpa.org/. 32 Source: http://www.17799.com/. 33 Source: http://www.iso.org/.

http://www.aicpa.org/download/members/div/auditstd/AU-00324.PDF

http://www.aicpa.org/

http://www.17799.com/

http://www.iso.org/



example, Plateau and SumTotal have implemented solutions that search deeply within the SkillSoft catalogue for books, courses and reference materials by integrating the search into the SkillSoft metadata library. Saba (through its deep integration with Centra and Saba Live modules) provides search into archived events and supporting documentation, and search of other experts in the organization, in addition to searching the wide variety of Saba learning object types.

LMS providers which offer content management systems also have search capabilities that can locate courses, chapters, graphics files, presentation files, instructor’s guides and so on.

Going forward, advanced search capabilities inside of the LMS should be considered standard and par for the course. The distinguishing question that LMS buyers should now ask is whether or not the data contained

Figure 17: Advanced Search in an LMS Shows More Than Courses

Source: Saba, 2010.

If possible, expose the

content and activities

contained in the LMS

to corporate search

technology, such as a

Google appliance, or to the

search technology provided

by your organizations’

intranet, such as Microsoft

SharePoint or IBM

Websphere.

B E S T P R A C T I C E



in the LMS database can be exposed to external search engines, such as corporate Google appliances or Microsoft SharePoint34.

Blended-Learning Program Management

Today, many training programs consist of a series of activities – a combination of face-to-face, self-study, live online and support materials (called “blended learning35”). Most LMSs were built around the concept of “courses”; these individual learning activities typically have a delivery type, such as classroom, live online or self-study36. Until recently, LMSs treated these different training objects as individual events; few systems had features to bring them together into integrated programs, and align and track a whole series of programs together.

We call this functionality “program management.” Today, many LMSs are developing systems for linking training opportunities of various types, including formal and informal, in a complete program. These systems must be able to track the order of events. For example, in some cases, the user must first complete an online module as a prerequisite, then complete an instructor-led class and, after that, take an assessment. If the learner passes the assessment with a score of 80 percent or higher, then the learner is able to move on to the next module. In addition, many systems provide interfaces for users to track progress through each step of an integrated program.

34 For more information, Enterprise Social Software 2009: Facts, Practical Analysis,

Trends and Provider Profiles, Bersin & Associates / David Mallon, September 2008.

Available to research members at www.bersin.com/library or for purchase at www.bersin.

com/socialsoftware.35 For a detailed discussion of all the options for the design of blended-learning

programs, The Blended Learning Book: Best Practices, Proven Methodologies, and Lessons

Learned, Josh Bersin, Pfeiffer, October 2004. Available for purchase at www.bersin.com.36 For more information, The Corporate Learning Factbook® 2009: Statistics,

Benchmarks and Analysis of the U.S. Corporate Training Market, Bersin & Associates /

Karen O’Leonard, January 2009. Available to research members at www.bersin.com/

library or for purchase at www.bersin.com/factbook.

Organizations with

complex regulatory-

compliance training needs

should look for a provider

that offers the ability to

design custom, business

process-driven workflows

related to blended-

learning program

management.



http://www.bersin.com/socialsoftware


http://www.bersin.com



http://www.bersin.com/factbook



Many of the enterprise- and global enterprise-focused providers are also adding sophisticated tools for allowing organizations to customize workflows related to these programs to fit local business processes (see the section later in the report entitled, “Adaptability,” for more information on these configuration tools). Example custom workflows could include custom enrollment management and approvals processes; automatic assignment of programs or their components based on business rule and / or learning job role; or, notification schemes that target specific messages based on custom system triggers. These custom workflow tools are especially useful for large global organizations with complex regulatory compliance-driven training needs.

Figure 18: Blended-Learning Program Management

Source: Saba, 2010.



Virtual Classrooms37

Learning leaders have to be concerned about keeping pace in a rapidly changing business environment, the rapid innovation in the learning industry, their department’s relevance and a challenging economic environment. Their credibility and relevancy is increasingly based more on the timeliness38 (their ability to meet time-critical needs), rather than on the instructional craft of their content. Informal learning approaches are becoming the most important means by which training departments keep up, allowing for the learning needs of the organization to be met at speeds not possible through traditional learning programs alone.

The virtual classroom represents an ideal technology solution for modern high-impact learning organizations. These platforms support rapid creation of high-quality content, are usable by non-specialist end-users and yet support high-interactivity, high-fidelity content if needed – and provide an on-demand environment for employee collaboration.39

As well, both mature and emerging synchronous learning tools can provide benefits that foster productivity and reduce the cost of training. Virtual classrooms, video conferencing and telepresence technologies40

37 For more information, Virtual Classrooms: Facts, Practical Analysis, Trends and

Provider Comparisons, Bersin & Associates / David Mallon, November 2010. Available to

research members at www.bersin.com/library.38 To help corporate training, HR and business leaders understand the modern

world of corporate learning and its evolving practices, we have developed the Bersin &

Associates Modern Enterprise Learning Index – a set of 10 indicators of overall readiness

on the part of learning organizations for the transition to the next generation of

high-impact learning. Timeliness (the degree to which the learning function can meet

time-critical business needs) and content efficiency (the degree to which the learning

function’s content processes are efficient, and to which the department is adept at reuse

or recycling) are two of the 10 indicators. For more information, High-Impact Learning

Practices: The Guide to Modernizing Your Corporate Training Strategy through Social and

Informal Learning, Bersin & Associates / David Mallon, July 2009. Available to research

members at www.bersin.com/library or for purchase at www.bersin.com/hilp.39 For more information, Providing Learning at the Speed of the Business: Using an

Integrated Rapid e-Learning Development and Virtual Classroom Platform, Bersin &

Associates / David Mallon, September 29, 2009. Available to research members at

www.bersin.com/library.40 A new, high-definition version of video-conferencing, “telepresence” systems

typically involve purpose-built conference rooms with special life-size videoscreens lining

at least one wall. The resolution on telepresence screens is even sharper than on high-

definition televisions.



http://www.bersin.com/hilp




can provide benefits not found in the face-to-face classroom with a greater return on investment. That is because the virtual classroom brings the learning experience directly to employees’ desktops or, in some cases, their mobile devices.

Some learning systems providers offer their own virtual classroom technology, notably Blackboard, Learn.com, Saba and SkillSoft, among the leading providers. That said, most providers offer pre-integration support for connecting many of the leading independent virtual classroom platforms to their systems.

Characteristics of Virtual Classrooms

There are three important differentiators associated with the virtual classroom (synchronous e-learning), as follows.

• Time(synchronousversusasynchronous)

o Synchronous e-learning involves groups of people learning from the same content at the same time online. It is collaborative because learners are online at the same time.41

• LearningMode(groupversusindividual)

o In group learning, learning activities are with peers. Group members ideally make use of each other’s individual knowledge. 42

• VirtualILTversusFace-to-FaceILT

o Online instructor-led training is delivered live over the Internet, but is not in-person.43

The interface for nearly all virtual classrooms includes a presentation slide window, a real-time chat window, a tool for launching a website, a whiteboard, drawing tools, a video window, a survey tool, and desktop- and application-sharing tools.

41 Asynchronous (or self-paced) e-learning involves an individual learning online at any

time. It is flexible because learners do not have to be online at the same time.42 In individual learning, learning activities are by oneself. Results from individual

learning ideally are transferred into the organization.43 Traditional face-to-face instructor-led training is delivered live and in-person.



Figure 19: Virtual Classroom Features and Functions


Figure 20: Virtual Classroom Example

Source: Adobe, 2009.

Basic Features:

Presentation Delivery, Desktop and Application Sharing, Audio, Emoticons, Polling, Chat, Whiteboard, Remote Control

Advanced Features:

Annotation Tools, Assessments, Breakout Rooms,Video, eCommerce, Email Integration,

Low Bandwidth Adjustment,Attendee Number Flexibility,

Download Materials, Labs, Video-Conferencing and Streaming, Integrated Audio (VoIP and

Bridge), Record / Playback, Mobile Access, Moderation Services,

Attention Monitoring

Other Features:

Branding, Advanced Security, Advanced Support

(Moderation Services), Templates

Feature Highlights



Basic features are those that are standard on most platforms, whether they are primarily designed for meetings or for training. Platforms designed for training offer more advanced features for greater collaboration and interaction.

There are several other maturing and emerging web environments for synchronous e-learning that learning systems buyers should also be aware of, including:

• Video-conferencing;

• Telepresence; and,

• Virtual and 3D worlds.

(For more information on virtual classroom technologies, including these alternatives, please see our report, Virtual Classrooms44.)

Competency-Driven Learning and Capability Development

The ultimate measure of any of these learning organizations is the degree to which their efforts achieve high levels of business impact. Any “high-impact” learning organization, then, is one that contributes to organizational performance in one of the following three ways:

1. Skills and competency development;

2. Talent development; or,

3. Development of an organizational learning culture45.

The mandate of the modern learning function and the ultimate role that it plays within our Talent Management Framework is to help the larger organization develop.

• Deep Specialization – Developing deep expertise within the company in the critical roles and skills which define the organization in the market and provide competitive advantage, along with providing programs and processes which develop specialist leaders.


Provider Comparisons, Bersin & Associates / David Mallon, November 2010.45 For more information, High-Impact Learning Culture: The 40 Best Practices for

Creating an Empowered Enterprise, Bersin & Associates / David Mallon, June 2010.

Available to research members at www.bersin.com/library.

The most effective

approach to skills and

competency management

is to choose one business

initiative or function.

K E Y P O I N T




• Learning Agility – Programs and processes designed to enhance the organization’s collective ability to acquire new knowledge and skills, and to stay ahead of the market. These goals are over and above its operational and tactical responsibilities46. Knowledge is growing ever more critical in organizations today.

The critical leverage point that connects L&D’s capability development activities with the organization’s other talent and HR processes are “competencies.”47

All HR and L&D practitioners know that competency assessment and competency-driven learning is the “holy grail” of employee development. Without a clear learning objective, it is impossible to develop a high-impact learning program. Also, without a clear understanding of the desired skills and existing gaps, it is impossible to build a sound learning objective. In a sense then, each and every learning program is built on an implicit or “invisible understanding” of the desired competencies to be developed.

Competencies can be very high level and values-oriented (e.g., quality, customer service) or they can be very granular (e.g., capable of backing up an Oracle 8.1 database).

According to our Three Levels of Competencies Model, there are three primary types of competencies, as follows (see Figure 21).

1. Core Principles or Values – Higher-level competencies that are often defined by the CEO, and are used universally to evaluate and coach every employee in the company.

2. Leadership Competencies – Those competencies that define what makes a successful leader in an organization.

3. Functional Competencies – Job-specific competencies that drive proven high-performance, quality results for a given position.

Competencies are typically defined by and evaluated as a set of the following.

46 For more information, High-Impact Learning Practices: The Guide to Modernizing

Your Corporate Training Strategy through Social and Informal Learning, Bersin &

Associates / David Mallon, July 2009.47 “Competencies” refers to a set of clearly defined skills, behaviors and knowledge

that are used to evaluate, assess and develop people.

To be useful, competencies

must have what are called

“behavioral anchors”–

specific examples of

behaviors that describe

and demonstrate this

competency.




• Behaviors – Sometimes referred to as “anchors,” the way in which someone expresses general character, state of mind, or a response to a situation or other people. Typically, there are a number of behavioral anchors that comprise a single competency.

• Experiences – The involvement in or exposure to some person, thing or event that generates the development of specific knowledge or skills. In other words, the person has “been there, done that.”

• Skills – The capabilities, talent and expertise that are critical for a person’s successful performance in a job or role.

Very few organizations develop enterprisewide competencies at each level. We find that most companies start with values-based competencies for all employees, develop functional competencies within business functions (e.g., IT, sales and service), and develop a set of leadership competencies used to assess and develop leaders.

The bottom and top competencies in the pyramid are usually built directly into the company’s performance management process – if you are automating this process, this is your opportunity to codify and standardize these competencies.

Core Values – All Employees

LeadershipCompetencies

Fun

ctio

nal

Co

mp

ete

nci

es

Fun

ctio

nal

Co

mp

ete

nci

es

Fun

ctio

nal

Co

mp

ete

nci

es

Fun

ctio

nal

Co

mp

ete

nci

es

Applied to managersand executives tojudge readiness andcapabilities asleaders.

Managed by theSenior VP of HRand Board of

Directors

Applied to differentroles and functions(sparingly) basedon function’s maturity.

Applied to allemployees. Manager applies them to the position.

Only 35% of organizations use competenciesin performance management and only 25%of those organizations regularly maintain them.

Figure 21: Three Types of Competencies


High-performing

organizations tend to

evolve and improve their

competency models over

time.




Competency Management

Competency management is a set of practices that identify and optimize the skills and abilities required to deliver on the business strategy. Competency management provides a common language for organizations to define and manage the skills, attributes and behaviors for the job family profiles, job profiles and roles across all talent processes.

A central repository manages all competencies (including competency libraries), proficiency scales, behavioral anchors, and interview and assessment questions. Competency management provides the foundational data to support strategic HR processes, including workforce planning; sourcing, recruitment and selection; career planning and development; and, performance management.

Competency management is a vitally important part of any talent management strategy. Centralized competency management allows organizations to:

Figure 22: Competencies in the LMS

Source: Saba 2010.



• Improve recruiting by using a consistent job profile and create behavioral interviewing based on a known competency model;

• Effectively manage employee performance potential by comparing people against known competencies for each role;

• Implement career planning by using competencies and job profiles to identify future roles for each individual;

• Share talent by identifying people with key skills across the organization;

• Measure organizational capabilities, skills gaps and managerial bench strength48; and,

• Increase the effectiveness and alignment of L&D programs by building them upon the competency requirements for a given position.

High-performing organizations tend to evolve and improve their competency models over time. Our recent research on best practices in this area identifies how high-performing companies in different industries focus on different competencies.49

Many companies have tried to develop enterprisewide taxonomy for skills and competencies that include job-specific roles. While this has much potential, our research finds that it is rarely successful (the U.S. Navy is undergoing a massive project in this area right now) because the competencies and behaviors must be maintained regularly. It may take several years to develop all the right competencies – and these competencies must then be updated periodically through a steering committee or other governance process.

Since products, markets and organizations change so frequently, job roles must be updated regularly – making a skills and competency model quickly obsolete. Most companies cannot sustain the resources or focus to keep these models current.

Today, we see this evolving into a more pragmatic approach that we call “critical skills and competency management.” The most effective

48 “Bench strength” refers to the capabilities and readiness of potential successors to

move into key professional and leadership positions.49 For more information, The Role of Competencies in Driving Financial Performance,

Bersin & Associates / Josh Bersin, January 2007. Available to research members at

www.bersin.com or for purchase at www.bersin.com/competencies.

Many organizations,

however, have been

successful in an

enterprisewide approach

by defining only a small

number of skills areas.

K E Y P O I N T


http://www.bersin.com/competencies



approach is to choose one business initiative or function. Take IT, for example. Most organizations can identify a set of IT skills that are critical to success over the next two to three years. Such skills libraries can be purchased from companies, like ITG Competency Group or PeopleSciences. Once you select the skills deemed critical to your organization, you can begin an assessment process to identify which employees lack such skills – and from there decide what training, hiring or other programs you need to close that gap. By focusing on one business area, you can avoid the “boiling of the ocean,” which occurs when trying to develop enterprisewide skills and competency models.

Many organizations, however, have been successful in an enterprisewide approach by defining only a small number of skills areas. Aetna, for example, has developed an enterprisewide skills and competency model that is built on fewer than 10 major competency areas. IBM leadership programs are built on only five major competency areas.

Now where does the LMS fit into this area? The LMS can play an important role in facilitating the implementation of competency-based learning. Figure 23 details some of the important features and issues to consider.

The LMS can play

an important role

in facilitating the

implementation of

competency-based

learning.

K E Y P O I N T

Figure 23: Features and Issues in Competency-Based Learning

Features Issues

Competency Model

• Howflexibleisthemodel–canyoueasilycreate“sub-competencies”andassignlearningobjectstoeach?

• Canyoumakelearningaprerequisiteandassociatelearningwithdifferentlevelsofproficiencywithinacompetency?

Behavioral Anchors

• Isthereaneasywaytocreateabehavioralanchororsetofbehaviorsthatcanbeviewedwiththecompetencies?

• Canthesebeviewedbymanagersandemployees?

Association with Job Descriptions DoestheLMShavetheconceptofjobdescriptionsorrolesthatcanbeassignedcompetencies?

Proficiencies• Aretherecleardefinitionsofproficiencies(levelsofcompetency)inthesystemthatcanbeimplementedconsistently?• Isiteasyforalearnertosearchforlearningprogramsbyproficiencyandtoassignasetoflearningprogramstargeting

aspecificproficiency?

Prescriptive Learning

Manyorganizationswouldliketo“prescribe”asetoflearningprogramstotargetacertainproficiencywithinvariouscompetencies.• Withallthesemovingparts,howeasyisitforamanageroremployeeto“prescribe”theselearningprograms?• Howeasyisitforthemanagerandemployeetotrackprogressagainstthedesiredproficiency?

Library Integration

ManyorganizationslicensecompetencylibrariesfromITG,Lomingerandothercompanies.• DoestheLMSvendorhavepre-builtintegrationavailable,sothattheselibrariescanbeusedoutofthebox?




As you can see, there are many features and process-related issues to explore in competency-based learning. Most LMSs have much of this basic functionality, but you will find many different levels of maturity. If you expect to use competency-based learning in your organization, make sure that you talk to reference companies using the LMS you select.

Integrated Talent Management

Organizational talent management has become one of the most critical priorities in human resources. Even more importantly, we now clearly understand that highly integrated and business-focused talent management strategies directly drive business results. Our 2009 research shows that organizations with superior talent management strategies (those which scored in the top 10 percent in our talent management assessments) generate 26 percent greater revenue per employee, 40 percent lower turnover among high performers50 and 17 percent lower

50 A “high performer” is an employee who is a key contributor, demonstrates

high performance, is capable of a lateral move, may be qualified for a broader role

within the same profession; and, has reached the potential to move “upward” in a

management capacity.

Figure 23: Features and Issues in Competency-Based Learning (cont’d)

Features Issues

Integration with Performance Management and Succession Planning

• Ifthecompetencymodelispartofalargersuite,isitcompletelysharedbetweenthemodules?• Howeasyisitforamanagertoassessanemployeeagainstacompetency,andthencreateadevelopmentplan

targetingahigherproficiencyoranewjoblevel?

Assessment Tool

Insomecases,theassessmentofproficiencymaycomefromanonlineassessment,takenattheendofacourse.• HowpowerfulandeasytouseistheLMS-providedassessmenttool?• Doestheassessmenttoolhaveawiderangeofquestiontypes,question-levelanalysisand

question-skippingcapabilities?• Istheassessmenttoolavailablefor360or“multirater”assessmentsforperformancemanagement?

CollaborationCantheemployeeconnectwithotheremployeeswhoareeitherworkingonthesamecompetenciesforsupportorwithexpertsformentorship?

Self-ServiceCanemployeesseetheircurrentprogress?Cantheyseealibraryofotherjobrolesandsetsofcompetencies,andthenstatecareerdevelopmentgoals?




total turnover51. These results underscore the message we have been delivering for a number of years – talent management matters.

The phrase “talent management” was coined many years ago and initially referred to the programs we used to manage the “top talent” in an organization. Over the last five years, with the help of our Talent Management Framework® (see Figure 24), organizations have come to realize that integrated talent management strategies should be applied to all workforces in the organization.

We first published our comprehensive research on this topic in 2007 with our report, High-Impact Talent Management®52, a time when most HR and L&D managers were still new to these concepts (e.g., the integration of recruiting with performance, succession, leadership development and compensation). Today, we find a wide variety of “definitions” for talent management – even within the same company. The concepts (which were pioneered in 2005 and earlier) have been expanded to address new challenges in the workforce and workplace.

The market for talent management software, tools, services and strategies has also greatly expanded. In fact, we believe that we have entered the “third stage of HR” – in which integrated talent management is now considered one of the backbone strategies for any modern HR function53.

51 For more information, 2009 Talent Management Factbook®: Best Practices and

Benchmarks in Talent Management, Bersin & Associates / Karen O’Leonard, July 2009.

Available to research members at www.bersin.com/library or for purchase at

www.bersin.com/tmfactbook.52 For more information, High-Impact Talent Management: Trends, Best Practices and

Industry Solutions, Bersin & Associates / Josh Bersin, May 2007. Available to research

members at www.bersin.com/library or for purchase at www.bersin.com/hitm.53 As part of our ongoing research in the area of HR, the “Four Stages of HR” are: (a)

the Personnel Department, (b) “Strategic HR”, (c) Integrated Talent Management, and (d)

Business-Driven HR.


http://www.bersin.com/tmfactbook


http://www.bersin.com/hitm



Talent Management Suites

One of the biggest challenges HR professionals face in supporting talent management initiatives is a lack of consolidated information to help identify talent gaps and support talent planning. Providers of talent management point solutions have tried to address this key challenge by broadening their core solutions through either acquisition or internal development efforts in order to offer an integrated “suite” of applications.

Most organizations have, so far, implemented multiple web-based applications over time to help HR realize significant efficiency gains and compliance improvements through automation and self-service in a single process area. This leads to a tapestry of useful but “un-integrated” applications – each of which has different data models and different user interfaces for its audiences, severely hampering cross-process communications and the ability to share critical talent data.


High-Impact Talent Management Framework

Talent Strategy & Business Alignment

Workforce Planning

Learning & Capability Development

Capability & Competency Management

Talent Infrastructure

Career Management

Performance Management

Succession Management

Leadership Development

Business M

etrics & A

nalytics

TotalRewards

Talent Acquisition

Org

aniz

atio

n &

Gov

erna

nce

Figure 24: Bersin & Associates Talent Management Framework®




The talent management suite is a new breed of software that supports multiple strategic HR applications on one integrated platform to help organizations attract, deploy, develop, motivate and manage talent more effectively. A truly integrated suite leverages the same data, process and workflow management, security model, reporting and analytics tools, and user portals to improve alignment, planning, decision-making and service delivery. In addition to supporting the strategic HR processes that organizations have in place today, the suite enables new high-impact processes (such as workforce planning, career management, succession planning and total rewards management), all of which require integrated talent information.

There are more than 250 solution providers promoting their products as talent management solutions, including many of the providers covered in this study. Very few solution providers have a full suite per our definition. The applications offered will depend on a particular solution provider’s heritage and progress on its product roadmap. Figure 25 provides a high-level illustration of the comprehensive talent management suite architecture. In the following pages, we will walk through each layer of the architecture by describing the core functionality and the value to an organization. We will also provide examples of additional “peripheral” features and content often found packaged by the solution providers as part of the suite.



As represented by our Talent Management Framework (see Figure 24), strategic HR applications are enablers of a talent management strategy – not a strategy in themselves. As powerful as technology can be, organizations should be careful not to let the system define their strategies.

Integrating Learning with Talent Management

In our research, companies rated integration of training with performance and competency management initiatives as one of their top priorities, with 36 percent of all organizations citing this as a focal area54.

54 For more information, The Corporate Learning Factbook® 2010 Benchmarks,

Trends and Analysis of the U.S. Training Market, Bersin & Associates / Karen O›Leonard,

January 2010.

Application Layer

Presentation Layer

DataLayer

Reporting and Analytics Security

Consolidated Internal Database External Data Sources

Integration Services

User Portals and Dashboard

PerformanceManagement

Learning Management

Sourcing and Talent

AcquisitionWorkforce Planning

Comp& Rewards

Management

CareerManagement

Succession Management

Employee Manager Executive Recruiter HR Specialist Administrator

Competency Management Organization Management

Profile Management

Social Tools

Process and Workflow Management

Figure 25: Talent Management Suite Architecture




This has grown in importance over the last three years, as L&D moves away from a purely performance-driven approach to more of a talent-driven approach to learning55. This requires close coordination between learning and talent initiatives – for example, by shaping learning programs around competencies for key roles and by linking learning opportunities with employee development goals.



Associates / Josh Bersin, May 2008.


Figure 26: Performance-Driven Learning Versus Talent-Driven Learning

Performance-Driven Learning

Talent-Driven Learning

DriversBusiness performance issues in operational units and functions.

Talent and leadership gaps, critical skills shortages, engagement and culture.

Goals

Develop individual capabilities and fill performance gaps.

Develop organizational capabilities driven by competencies, not performance.

ExamplesSales training, customer service training, field service certification.

Multitier leadership development, new hire onboarding programs.

OrganizationAligned by job within function.

Aligned to all job roles in a job function.

Timeline Months or even shorter. Multiple quarters to years.

ComplexityFunctional. Enterprisewide or

divisionwide.

Integrated withProduct launches, new service offerings, geographic expansion.

Performance management, recruiting, succession planning.

Challenges

Performance consulting, program design, manager engagement.

Resource allocation, program design, job alignment, manager adoption.

How to Measure Success

Solving business problems (e.g., sales, service, quality, turnaround).

Filling and solving talent gaps (e.g., shortages, recruiting goals).



As we have discussed here, ultimately, companies would like to integrate all of their talent-related activities, including learning, performance and competency management – as well as recruiting, leadership development, career development and succession planning. This often requires reorganizing the governance structure and redesigning internal processes. It also requires integrating systems or purchasing new systems with integrated capabilities.

While nearly every major LMS vendor now offers an integrated talent management suite, consider talent management features an important but separate set of requirements for your LMS. Since most companies would like to implement an integrated platform, the challenges of implementing an LMS are large in themselves. We recommend that organizations try to separate the requirements gathering and implementation process of the two systems. Both require extensive analysis of business requirements and the adoption of standard processes for which you need buy-in from line managers.

Performance management, in particular, necessitates a requirements gathering, change management and training process that must reach out to all line managers in all organizations.

We recommend that, although you may consider the performance management systems during your LMS selection process, you manage, budget and staff the performance management system rollout separately. It takes extensive focus and executive attention – and draws upon different skills and people than does the LMS rollout.

The Importance of the Employee Profile

As organizations adopt enterprisewide learning and / or talent systems, these platforms become the system of record for all people data. For instance, an enterprise LMS can become the source of truth for employee training history, certification records, job title and location in the organization. The integration of performance and learning management also enables a set of more advanced applications, such as succession planning, leadership development, and the rating and ranking of employees for compensation decisions. Most LMS providers are developing such features today.

While nearly every

major LMS vendor now

offers an integrated

talent management

suite, consider talent

management features an

important but separate

set of requirements for

your LMS.




Figure 27: An Example of an Employee Profile 1

Source: Salary.com, 2009.

Figure 28: An Example of an Employee Profile 2

Source: Oracle 2009.

The integration of

performance and learning

management enables

a set of more advanced

applications, such as

succession planning,

leadership development,

and the rating and

ranking of employees for

compensation decisions.

K E Y P O I N T



Profile Management

In combination with competency management, profile management serves as the data foundation for all talent management processes. The “profile” is all the data about an employee. Comprehensive profile management supports the capture and management of information for employees, job profiles and job families.

Organization and job profiles define the required skills, competencies, certifications, work experiences and other attributes required for success. As you can see in Figure 29, one common job profile is used to develop requisitions for sourcing, populate performance plans, define career paths, create development plans and plan for compensation.

Employee profiles provide a consolidated view of all talent-related employee data that is generated by system processes, added by administrators, managers or employees, and by external systems. Most profiles available in talent management systems today probably include data for performance objectives, performance history, training, certifications, competencies, education, awards, succession plans, career plans, mobility and languages. They also usually support organization-defined fields, as well as the ability to expose or suppress certain fields, depending on operational, legal and cultural practices. In slightly more sophisticated talent management suites, contextual segments of the talent profile are presented within talent processes (such as talent planning, succession management and pay for performance) to inform and influence the user’s decision-making and planning efforts. The information helps managers answer questions, including the following.

• Who has the necessary background to support a project or company initiative?

• Who can fill this internal vacancy today?

• Which person is a better fit for this job?

• Does this person consistently meet or exceed performance plans?

• Can this person work in another country?

• Does this person’s career interest align with a specific need we have for him / her today?

In addition, solution providers that have embraced social tools in their applications provide opportunities for employees to connect with



each other (similar to Facebook and LinkedIn) for expertise finding, networking, career exploration and knowledge-sharing.

Employee profiles are compared with job profiles to conduct a fit / gap analysis. For example, employees can compare their profiles against open jobs and apply for an open position, or identify development needs to close gaps. Managers can search for internal candidates by using the job profile to find employees who are qualified, based on their profiles. (See Figure 29.)

Compare

Sales Director

Sales RepresentativeSales Representative

Sales LeadSales Operations

Employee ProfileJane Doe, Sales Representative

NameLocationManager

Skills and competencies acquired, and pro�ciency levelsPerformance ratingsSalary and merit pay historyCerti�cations, designations and transcriptsCareer interests and goals

Work history (prior experience)Location preferencesLanguages spokenPhysical limitations

Job ProfileSales Lead

Location

Responsibilities

Required competencies and pro�ciency levelsKnowledge and skills required for jobExperience required for jobEducation required for job

Relationship to other jobs

Common career path

Fit Analysis

Skills and competenciesPro�ciency levelsLanguages spokenCerti�cations metExperience

Gaps identi�ed

Apply for the lobExpress career interestCreate a development plan

Figure 29: Fit Analysis




Informal Learning Management56

Today’s corporate learning organization is no longer just the source of training for the organization. Forward-thinking learning organizations understand that most learning within today’s workplace happens in subtle and informal ways. The content, technology and formal design processes currently in use do not always fit into the knowledge pathways that take place within the organization itself. So, in response, these modern learning organizations are rethinking their perspectives, processes and approaches to best support the natural flow of organizational knowledge.

In response to these changes, corporate training functions are beginning to rethink their mandate and mission – and they are looking for technology solutions that support a holistic approach to learning. Organizations are waking up to the fact that most learning is not formal and does not happen via formal channels like the classroom.

In short, organizations are beginning to “formalize informal learning.” Buyers of learning systems are looking for the best technology platform through which to support employee social networking – sometimes choosing purpose-built social software platforms, but often realizing that existing enterprise applications (such as the LMS, talent management suite, CRM or corporate intranet) now offer the needed functionalities.

To remain relevant, today’s LMS platforms must, therefore, adapt to support management of informal learning in all of its forms, including social and on-demand learning. Our research shows that some providers are moving aggressively in this direction, but there are also a large number of new companies entering the market with a sole focus on informal learning, social learning and content management systems.

56 For more information, High-Impact Learning Practices: The Guide to

ModernizingYour Corporate Training Strategy through Social and Informal Learning,

Bersin & Associates / David Mallon, July 2009.

Organizations are

finding that social and

collaborative learning

is a cost-effective way

to improve the learning

experience and build

social connections within

the company.

K E Y P O I N T



Portal

Personalization data, meta,search tools, LCMS

LMS BlogsWikisReference Off-the-ShelfContent (SkillSoft)

LCMS

Community ContributorsAuthoring Standards

Content Sources Collaborative Content Sources

MobileplatformPodcastse-LearningLearning

WebsitesCoPs CoPs

Content Managers

Figure 30: Elements of a Formalized Informal Learning Solution



Appr

oach

es

On-Demand EmbeddedSocial

Enterprise Learning Framework®

Formal

Informal

Tools & Technology

Culture

Disciplines

Learning Programs

Learning Architecture

Org

aniz

atio

n, G

over

nanc

e an

d M

anag

emen

t 1

2

3

4

5

Audiences & Problems

Figure 11: Bersin & Associates Enterprise Learning Framework®




Formal Versus Informal Learning

As illustrated in our Enterprise Learning Framework (Figure 11, repeated in this section), in today’s corporate training world, there are two broad categories of approaches – “formal” and “informal.” What precisely is the difference between formal and informal training?

In a learning context, formal commonly means that the program elements are “designed,” have a formal structure and have specific, well-defined learning objectives. From the standpoint of our research, “formal training” programs are those that have traditional modules and a formal structure – in essence, a “beginning” and an “end.” Most of the traditional learning managed by a learning management system would be considered formal.

In a learning context, “informal” has typically referred to learning that was accidental, ad-hoc, unplanned and which happened without the disciplines of instructional design. It has typically referred to the learning activities that training professionals did not necessarily pay attention to, but knew were occurring.

Three Broad Types of Informal Learning

Using these definitions, informal learning falls into the following three broad types.

• On-Demand Learning (also called, “self-study” or “self-directed learning”) – In our Enterprise Learning Framework, the term “on-demand” refers to learner-led activities, such as self-study e-learning57, books, reference materials, videos, podcasts58 and other

57 For more information, The Blended Learning Book: Best Practices, Proven

Methodologies, and Lessons Learned, Josh Bersin, Pfeiffer, October 2004.58 “Podcasts” are simply the publishing of audio or video files online, and then using

syndication technologies, such as RSS (really simple syndication), to make them available

to interested audiences by subscription access. Although the term “podcasting” was

originally derived from Apple’s iPod, you can listen to or view a podcast from other

portable electronic devices (or from your PC). Through syndication technologies, users

can download new podcasts automatically and access the content offline, whenever and

wherever it is convenient for them. This subscription feed concept is the broadCASTing

part of the word “podCAST,” and is what distinguishes a podcast from a simple download

or real-time streaming. Traditionally, people think of podcasting in terms of audio files

but, now that iPods and other devices support additional media types, video podcasting is

becoming more popular.



forms of content that the learner uses on his / her own when needed or as directed. In this approach, the learner “learns” through his / her own interaction with the content – and he / she essentially assembles his / her learning with help from the training department.

• Social Learning (also called, “collaborative learning”) – Learning is inherently a social activity. In the corporate training world, many learning experiences are social, simply because the person with the expertise is on the job (OTJ). When you run into a problem on the job and need help, you find someone who is an expert – you would rarely, if ever, go back to the training department for assistance.

In today’s new technology environment, social learning can take place in new, low-cost, highly interactive ways. We can connect people very quickly and in very granular groups by using social networking, communities of practice59 (CoPs), quality councils, wikis, blogs and instant messenger. Using these tools, we can now create highly specific social learning groups that can leverage the expertise of many people to solve the problems of the few. In this approach, people learn from peers and experts, not from formal trainers.

One of the important dimensions of social learning is learning culture60. Organizations today have realized that just “creating groups” does not create knowledge-sharing and learning. Many new cultural concepts must be considered, such as how to incent people to share knowledge and expertise rather than hoard it.

• Embedded Learning – Finally, the third type of informal learning approach is embedded learning. Here we consider processes, content and systems that help an employee solve problems, and learn while doing his / her job, reflecting on the successes and failures encountered every day. There are many forms of embedded learning – some obvious and some not so obvious. Help systems in software, job-aids, checklists, reference cards and online performance support are all forms of embedded learning. For this approach, it

59 A “community of practice” (or “CoP”) is often defined as a group of people who

share an interest or concern about a common topic, and who deepen their knowledge in

this area through ongoing interaction and relationship-building within their group. While

communities often come into being spontaneously, they nonetheless require nurturing if they

are to become valuable to the members and remain viable over the course of their evolution.60 For more information, High-Impact Learning Culture: The 40 Best Practices for

Creating an Empowered Enterprise, Bersin & Associates / David Mallon, June 2010.



is important for the program designer to consider what parts of an employee’s job or problem can be solved “as needed.” Many retail, customer service and manufacturing learning programs justify large amounts of embedded learning.

More subtle aspects of embedded learning include elements like a “stretch goal” or an “after-action review.” These managerial activities help people learn new approaches, as well as learn from their mistakes. They tend to be monitored by talent management processes, but fall directly into the category of “embedded-learning” activities.

Finally, we must consider the role of customer-intelligence activities. Customer interviews, councils and feedback surveys are also a form of embedded learning. While these types of programs do not directly fall into the ownership of the training department, they have a big influence with “on-the-job” learning and should be considered in some programs.

Figure 25: Performance Support

Source: Cornerstone OnDemand, 2009.

Figure 31: Performance Support in an LMS

Source: Cornerstone, 2010.



Enabling On-Demand and Embedded Learning

As organizations move to integrate informal learning with formal learning programs, they look for ways to offer learning content in the context of an employee’s job. Formal learning begins to coexist with a wide variety of programs and mechanisms that embed learning where the learner actually performs and offer it “just in time.”

Knowledge Management and Electronic Performance Support

A common place to start enabling this kind on on-demand informal learning via the LMS is by using it as a platform for knowledge management, workflow learning and electronic performance support.

The LMS in most organizations is already a repository of formal learning content – typically addressable by the learner as a catalogue of courses. Some LMS providers now offer ways to expand the knowledge management possibilities of the LMS by repurposing it as a searchable knowledge base of resources including other less-structured materials, such as documentation, marketing collateral, sales support materials, company communications or any other artifact used by the organization in the course of work. As we will discuss in the next section, some systems now also support user-contributed content, as well.

A few specific providers, such as Ancile Solutions (covered in this study), also offer modules within their product families that integrate workflow learning and electronic performance support functionality into the LMS. In workflow learning, the content is embedded in the employee’s workflow, such as in the company’s ERP system. The employee can access this content on an as-needed basis while performing tasks in that system. One way to implement workflow learning is through an electronic performance support system (EPSS). An EPSS tool sits alongside workers while they work. At their simplest, these tools can intelligently offer learning content or reference materials by tracking the user’s current behavior in the attached system. For example, the EPSS tool might suggest a short e-learning tutorial after a certain number of data-entry mistakes with a given procedure. More sophisticated EPSS tools can actually takeover activity in the system itself; first doing a task for the user, then gradually allowing the user to complete the task as he / she begins to master it.

The goal of both knowledge management (KMS) and performance support systems is to make learning and information more accessible in order to improve workforce performance. Overall, 12 percent of

A common place to

start enabling on-

demand learning within

organizations is with

knowledge management

tools and performance

support systems.

K E Y P O I N T



companies are using EPSS or KMS solutions, a figure that has remained fairly steady over the past few years61.

LMS buyers interested in the intersection of EPSS and LMS tools are looking for such things as the tracking of EPSS content consumed or completed to be captured by the LMS, or the ability to assign EPSS-guided content through the LMS.



O’Leonard, January 2010.62 For more information, Educating Customers Online Westinghouse Streamlines

Nuclear Power Plant Training with Blended-Learning Approach, Bersin & Associates /



13%

12%

12%

17%

0% 20% 40% 60% 80% 100%

2006

2007

2008

2009

Figure 32: Electronic Performance Support and Knowledge Management


Figure 33: Threaded Discussion Group Embedded in a Formal Learning Program62

Source: Westinghouse Electric, 2010.




Enabling Social Learning and Collaboration

Our research shows that organizational support for social learning usually takes one of these forms:

• Blending63 Social Activities into Formal Programs – A simple, straightforward approach to leveraging social learning is to include social activities (e.g., discussions in blogs or discussion groups, collaborative writing in blogs) as part of the learning flow of a current formal program. Companies which have taken this approach tell us that including such activities helps to shorten the time to mastery for learners.

• Expertise Directories and Network Building – Connecting employees to employees, some companies are now explicitly helping employees build networks, including such a process in onboarding programs, for instance. Expertise directories are an extension of the corporate contact directories already familiar to most organizations. At the heart of these directories is still a searchable database of employees and their contact information. What makes them different is the inclusion of additional, searchable data about the employee including, for instance, areas of personal expertise, competencies mastered, personal interests, past experience, current or past projects, hobbies, association memberships, accreditations, community-of-practice activities, and job functions past and present. The purpose is to facilitate employees finding other employees with a given expertise or interest.

• Coaching, Mentoring, Apprenticeship and Job Rotation Programs – Formalizing “on-the-job” experience, coaching, job rotations, job shadowing64, or long-term mentoring and apprenticeship programs build lasting connections between employees, bonds that help tie together the organization as a whole. These “immersion” programs give participants a more holistic understanding of the company, and of its various operations and functions.

63 For more information, Blended Learning Program Management: WhatWorks® –

Issues, Solutions, and Platforms for the Management of Blended Learning Programs,

Bersin & Associates / Josh Bersin, January 2006. Available to research members at

www.bersin.com/library.64 “Job shadowing” is an activity in which an individual spends time with a

professional on the job, observing actual workplace tasks in order to explore best

-practice performance in the work environment.




Coaching65 is a familiar and very helpful social learning use case, because it provides a ready example of how many organizations (perhaps unbeknownst to them) are already formalizing informal learning. Coaching is one of the simplest, most common and most effective forms of social learning; most of the coaching that happens in organizations is very informal. However, when a company institutes a coaching program (providing explicit alignment to business needs, structured opportunities for coaching to happen, and defined templates to follow), they are “formalizing” it.

• Communities of Practice – “… A group of people who share an interest or concern about a common topic, and who deepen their knowledge in this area through ongoing interaction and relationship-building within their group.” Communities of practice help to cultivate a strong organizational learning culture, encourage the flow of knowledge and strengthen social connections between employees.

• Social Learning Environments – Learning environments represent the next generation of blended learning. Rather than deploying a blend of learning opportunities in a single, structured curriculum to meet a single learning need (i.e., one intact learning program), organizations instead offer an open-ended “environment” of approaches, deliberately staged to be available to the learner when needed and capable of addressing many different learning needs. As the use of the word “environment” implies, the learner is moving through a space. The design of learning environments brings an almost architectural perspective to instructional design. Thought must be given to placement relative to anticipated need, instead of the more traditional instruction scaffolding decisions, such as “what to blend” and prescribed order of completion. Such decisions (normally the purview of an instructional designer) are now decided by the learner.

65 For more information, Coaching Sales Managers: CA Uses Collaborative Learning to

Improve Sales Performance, Bersin & Associates / David Mallon, March 2009. Available to

research members at www.bersin.com/library.

CoPs help to cultivate a

strong organizational

learning culture,

encourage the flow

of knowledge and

strengthen social

connections between

employees.

K E Y P O I N T




Figure 8: Opening page for the Global eLearning Community site

Source: The Nielsen Company, 2009.

Figure 34: Social in Support of Global Learning Community

Source: Nielsen, 2010.



Figure 35: LMS as Social Learning Environment

Source: Certpoint, 2010.



Functionally, today’s learning environments are anchored by a website (often a portal) that aggregates and organizes content and contact opportunities. These environments typically support both formal and informal approaches, seamlessly blended. Increasingly, they include explicit social networking functionality – the means by which to connect and build networks with other employee learners in order to find mentorship or share best practices.

Enterprise Social Software66

Quickly becoming core to these learning environments – putting the “social” in social learning environment – are enterprise social software tools. Bersin & Associates uses the term “enterprise social software” to describe all tools and platforms that leverage “Web 2.067” technologies to cultivate, expand and take advantage of each user’s social network. Rather than the end-user being simply a consumer of content, enterprise social software tools (like blogs and wikis) provide everyone with a chance at authorship, creating greatly expanded opportunities for capturing and leveraging the tacit knowledge of the organization.

In the enterprise, social software can be applied to support or augment any scenario in which people collaborate, share information or content, or talk with one another – in other words, to support almost any business use case that involves the interaction of more than one person. In a corporate training context, employees can utilize their own networks to solve a problem, learn a new skill, increase their influence or find a mentor. The network itself has always been there; however, today’s social software applications help to break down physical barriers, allowing for increased utility and accessibility of that network. These tools increase the density of connections within the organization – strengthening bonds, increasing engagement and facilitating overall knowledge-sharing.


Trends and Provider Profiles, Bersin & Associates / David Mallon, September 2008.67 “Web 2.0” refers to a perceived second generation of web-based communities and

hosted services (such as social-networking sites, wikis, folksonomies, weblogs / blogs,

social bookmarking, podcasts, RSS feeds, social software, web application programming

interfaces / APIs, and online web services), which aim to facilitate creativity, collaboration

and sharing between users. Although the term suggests a new version of the World Wide

Web, it does not refer to an update to any technical specifications, but to changes in the

ways software developers and end-users use the web.

A structured coaching

program is a highly

effective example of

formalized informal

learning; it has the

added benefit of directly

engaging front-line

managers.




The Four Cs of Enterprise Social Software

Our research into social software has found four easy-to-remember categories that readily encapsulate what you and other buyers / users of social software can and should expect these applications to do (or help you to accomplish). These categories are the four Cs of social software, as illustrated in Figure 36.

The functionality provided by social software that is specific to these applications can be organized as:

• Conversations – Users talking to other users, growing the collective discourse of the community;

• Connections – Users establishing links to other users, making the social graph a reality;

• Content – Users creating / discovering / sharing content in ways not previously possible; and,

• Collaboration – Users working together to accomplish work.

Figure 1: The Four Cs of Social Software


Conversations Connections

Content Collaboration

Figure 36: The Four Cs of Social Software




The LMS providers will continue to adapt to meet the needs of their clients, including adding and refining social software components to their product lines. LMS providers are likely to feel some pressure from the single-purpose social platform providers and from other enterprise application providers (particularly from intranet technologies, such as Microsoft SharePoint), especially related to clients with very simple training needs. Some organizations may decide that an enterprise social networking platform without formal LMS functionality is sufficient. That said, the continuing needs that most organizations have for capturing and reporting of compliance training, as well as the increasing investment in talent management, should ensure that the need for an LMS will only increase for the foreseeable future.

Building Learning Environments: The Evolution of the Learning Portal

As organizations look for a more dynamic, user-centric experience for learning, a common evolutionary path is to create a learning portal – a friendly face in front of the LMS in which all learning assets and activities are aggregated.

Training programs are typically deployed through a user portal, consisting of a single website that gives the employee or customer a wide range of functions and information (see Figure 38). The LMS often is the portal itself or, in enterprise implementations, the LMS sits behind an employee or customer portal.

Figure 37: Social Software Features and the Four Cs

Conversations Content Connections Collaboration

• Blogs

• Forums

• Micro-blogs/Life-Streaming

• Chat/IM

• VOIP

• Content-Sharing

• ContentManagement

• Tagging/Rating

• Social-Bookmarking

• Syndication

• UserProfiles

• SocialGraphs

• Friends/Contacts

• People-Matching

• Wikis

• Workspaces

• Project/ProcessSupport

• Innovation/IdeaGeneration

• CalendarsandEvents




Portals offer a few very big advantages – they give users a single point of access to the LMS and many other applications; they give the company one place to publish new information quickly. For example, an employee portal would likely include learning management, performance management, performance support and general employee information. Portals give people the specific information they need within the context of their jobs.

Rather than leave the work environment to learn a new process, procedure or technique, people can retrieve useful information from wherever they are working. While formal training programs are still required to develop basic skills, the portal environment lets the learner decide when a problem warrants formal education, information or a small module of instructional content.

Figure 26: Plateau Talent Gateway – Sample Home Page

Source: Plateau Systems.

Figure 38: Example Portal

Source: Plateau, 2010.

Portals give users a single

point of access to the

LMS and many other

applications; they give

the company one place to

publish new information

quickly.

K E Y P O I N T



Portals Versus Learning Environments?

What is the difference between these terms? Nothing really – they both are visions of a more holistic, learner-supportive future. In practice, we would say that yesterday’s concept of the learning portal is still primarily a space for aggregation of knowledge – from the organization to the learner. Today’s concept of the learning environment continues that thought, but adds enterprise social software functionality in order to support a two-way, collaborative experience.

Later, in the section on “Adaptability,” we will discuss further some of the technology needs of learning portals and learning environments.


Demand for the Learning PortalA single, role-based system which provides access to content, systems, people

Employee

What I need to know right now. What skills and competencies I need. Who I can ask for help.It’s all about me. My job. My role. My assignment.

Manager

SME

HR

PeerCourses

TechSupport

KnowledgeDatabase

The Learning Portal

SkillSoft

Figure 39: Learning Portal Architecture




The Learning Management System Fading into the Background

Regardless of whether you are standing up68 a learning portal or social learning environment, a key resource to which the learning portal provides access is the company’s learning management system. A critical question for organizations looking to implement a learning portal will be the exact relationship of the LMS to the larger environment and the user’s direct experience of that relationship.

In our research, we have found the following three models for this relationship.

1. Destination – In this model, the LMS is the portal, and is a separate and specific destination to which learners go in order to learn, collaborate and gain access to knowledge resources.

68 “Standing up” refers to an established protocol for initiating or building a learning

environment, such as with communities of practice.

Figure 40: LMS Portlets

Source: Saba, 2010.



2. Embedded – In this model, the portal is separate from the LMS. The learning portal is often part of the company’s primary portal, or perhaps its ERP or CRM system; this means that it is more likely to be embedded in the day-to-day workflow of the employee. In this model, the learner may never actually enter the LMS; instead, the LMS’s data and resources are brought to the learner in the portal.

3. Mixed – In this model, the question is somewhat muddled. A learning portal exists separately from the company’s portal or systems, which is separate from the LMS. Learners, however, travel between all environments to access content and resources wherever these resources are housed and managed.

Many LMS providers offer ready support for the destination model, offering portal technology as the LMS itself; this means that the LMS environment is the aggregator for all of the resources offered by the portal.

In the embedded model, the LMS now becomes a “web-service” – it still performs all of the functions of an LMS, but it is connected via web-service protocols to the portal, as well as to other HR and content management systems. These web-service interfaces (also called “service-oriented architectures69”) are now common in other enterprise applications, making it easier for the LMS to be anywhere, even on a vendor’s hosted servers. We will cover this topic in greater detail in the section entitled, “Adaptability.”

Only a few (Plateau, Saba, SAP and SumTotal) have developed open portal strategies that could support embedded implementation. SAP sells a separate portal product that is an open, database-driven system. This can be used to create employee or customer portals in front of the LMS, and the LMS then becomes the learning center within the portal. (See “Appendix III: Solution Provider Capability Charts” for detailed comparisons of providers and their support of such technologies.)

69 “Services-oriented architecture” (SOA) is a methodology for systems development

and integration where functionality is grouped around business processes and packaged

as interoperable services. SOA also describes IT infrastructure, which allows different

applications to exchange data with one another as they participate in business processes.

The aim is a “loose coupling” of services with operating systems, programming languages

and other technologies, which underlie applications.

In today’s content-rich

environment, training

organizations must

strive to provide highly

relevant, well-aligned

solutions that enable

employees to gain just the

information they need.

A N A LY S I S



Which of these models is best? Each organization will need to answer that question based on their own individual needs. However, we expect the continual evolution toward social and collaborative learning, along with the desire for on-demand, targeted learning solutions, will cause more and more organizations to seek the fully embedded portal path.

Regardless, all organizations should consider how to make learning content and resources more accessible to the learner as close to where work happens as possible70.

Mobile Learning71

As the data from our Corporate Learning Factbook shows (see Figure 41), growth in mobile or m-learning has been positive, but somewhat slower than anticipated.72 For the most part, m-learning has remained in the early-adopter stage, particularly in the corporate world. There are success cases to share, but the results so far have been incremental in nature, not transformational.

70 Proximity is a key metric of the modern learning organization. For more

information, High-Impact Learning Practices: The Guide to Modernizing Your Corporate

Training Strategy through Social and Informal Learning, Bersin & Associates / David

Mallon, July 2009.71 This information is based on our current research on the topic of mobile learning,

the report for which is due to be published Q1’2011.72 For more information, The Corporate Learning Factbook® 2010: Benchmarks,


O’Leonard, January 2010.

0% 20% 40% 60% 80% 100%

17%2009

14%2008

9%2007

Figure 41: Use of Mobile Learning 2007 to 2009: U.S. Total




What distinguishes m-learning from other forms of e-learning?

The primary factor for identifying m-learning today is portability and access.

• Portability – The learning is delivered via a device that is truly mobile, without wires, which can move with the learner with trivial effort.

• Access – The learning is delivered by a device that has the potential for frequent, if not always-on and ubiquitous, access to new data and new content.

The ability to move and yet stay in frequent contact with content sources are the key differentiators. We, therefore, include laptops, but not desktops, game consoles or any other stationary, Internet-connected equipment. In general, with the recent explosion of mobile devices and the blurring of the line as to what constitutes a computer, we think it is best to avoid placing too much emphasis on the technology. The interesting part in m-learning is the learning.

Figure 42: Possible m-Learning Platforms – Today and Tomorrow

Mobile Phones

Smart Phones

Email Pagers

e-Book Readers

Personal Digital Assistants (PDAs)

Laptop Computers

Netbook Computers

Tablet Computers

HandheldVideoGamePlayers

MP3 and other Media Players

Personal GPS Devices (handheld and onboard the car)

Near Future: Wearable Computing Devices (e.g., watches, glasses, et al)




Types of m-Learning

Given the form factors one can expect with a mobile device and the likelihood that a mobile learner will be in an environment in which his / her attention must be at least somewhat divided, m-learning’s best initial use as a means of content delivery is for short pieces of easily consumable knowledge. Performance support and on-demand learning, therefore, are a natural fit.

Figure 43 catalogues many of the current and evolving uses for m-learning.


Provider Comparisons, Bersin & Associates / David Mallon, November 2010.74 For more information, High-Impact Learning Measurement: Best Practices, Models,


Bersin & Associates / Josh Bersin, November 2006.

Figure 43: Types of m-Learning Approaches: Formal and On-Demand

Approaches Possible Uses

Com

mun

icat

ions • NewsandAlerts

• EventInformation• Reminders

• LateBreakingProductInformationforFieldSalesorSupport• InternalMarketingforProducts,MajorCompanyInitiativesor

Training• KeyMessageReinforcementinSupportofMajorChange

Form

al • e-LearningCourses• Tutorials• VirtualInstructor-LedTraining73

• SkillsTrainingforRemoteAudiences• TeamBuildingforVirtualTeams

Info

rmal

On

-Dem

and

• Assessments• Surveys

• On-the-JobKnowledgeChecks• FieldCertificationand/orCompliance• EnterpriseTalentReviews• PostFormalTrainingEvaluation(Level2or3)74

• LiveEventAudienceResponse,Feedbackand/orEvaluation




75 “Test preparation” is a nickname of the industry of tools, resources, and training

available to help individuals prepare for and ultimately achieve higher grades at

standardized tests such as college entrance examinations.76 For more information, Enterprise Social Software 2009: Facts, Practical Analysis,

Trends and Provider Profiles, Bersin & Associates / David Mallon, September 2008.77 For more information, Experiential Learning for Leadership Development:

Approaches, Best Practices and Case Studies, Bersin & Associates / Kim Lamoureux, May

2010. Available to research members at www.bersin.com/library.78 For more information, Developing Communities of Practice: Best Practices and

Lessons Learned from the Defense Acquisition University, Bersin & Associates / Chris

Howard, May 2007. Available to research members at www.bersin.com/library.79 “Just in time.”


Figure 43: Types of m-Learning Approaches: Formal and On-Demand (cont’d)

Approaches Possible Uses

• Course-letsor“Nuggets”• PracticeMaterials• SearchableReference• Job-Aids• Checklists• Podcasts• Books/Articles• MediaLibraries• Audio• Video

• Self-Development• “TestPrep75”• On-the-JobPerformanceSupport• FieldSalesEnablement• Product/ProcessAdherence• Pre-FormalTrainingPreparation• Post-FormalTrainingAdditionalResources• HelpDeskCallAvoidance

Soci

al

• “Following”Leaders/Experts• DirectConnectiontoExperts/

Coaches• On-the-JobContentCreation/

Capture• VirtualMeetings• AccesstoVirtualTeam/Project

Spaces• SocialMedia76

• CoachingandMentoringPrograms• On-the-JobTrainingorPerformanceSupport• FieldSalesEnablement• Experientialand/orActionLearningProjects77

• Best-PracticeSharing• CommunitiesofPractice78

• Pre-orPost-FormalTrainingSupport• AlternateRealityGames

Emb

edd

ed

• DecisionTrees,DecisionSupport• AugmentedReality• Location-Basedand/orContext-

Sensitive Content• LiveRecording/SharingofEvents• FeedbackCapture

• FieldTriage(suchasformedicalprofessionals,securityteamsor other rapid-response roles)

• Product/ProcessAdherence• JIT79 Equipment Operation, Training or Troubleshooting• Location-SpecificTrainingorPerformanceSupport• Experientialand/orAction-LearningProjects• Best-PracticeSharing• CommunitiesofPractice• ReflectiveLearningSupport• After-ActionReviews





Mobile Learning and Learning Systems

Just as with e-learning, the technology challenge for organizations is to distribute, track and report on m-learning activities. In other words, you will need an LMS. The question then becomes, will it be your primary, enterprise LMS or a specialty platform?

The technology in this area is constantly changing. That said, today, a major factor in reaching an answer to this question will be the type of mobile-learning experience desired. Right now, there are two overall strategies employed by providers of technology for serving and tracking m-learning:

• Leveraging the mobile browser (e.g., Safari on Apple devices, Opera on many others, et al); and,

• Leveraging a native application (e.g., such as an “App” from Apple’s App store or the Google Android marketplace).

There are positives and negatives to both approaches.

Using the Mobile Browser

Positives include:

• Allows the provider to support a much wider range of devices for general content;

• Generally supports most of the features that a PC browser would support;

• Generally faster to deploy and to update; and,

• Allows potential access to the same LMS environment (or at least a somewhat specialized version) as with traditional PC-based access.

Negatives include:

• Usually requires a live Internet connection;

• Generally no support for “pushing” content directly to the learner; learners have to be notified via communications media and then “pull” the content manually;

• Browser support for interactivity or rich media varies, often forcing providers to default to a least-common denominator approach;



• User experience within the browser is often not ideal and the provider has far less ability to define that experience; and,

• Generally less secure; less control over the content once downloaded.

Using a Native Application (App)

Positives include:

• Supports downloading the content for consumption offline or away from access;

• Content can be pushed or pulled;

• Supports taking advantage of a deeper set of the device’s features;

• Allows provider better control over the user experience; and,

• Can be much more secure, including providing the ability to lock or delete content remotely, in the case of lost equipment or a fired employee.

Negatives include:

• Requires creating a specific, tailored program for each platform supported;

• Requires a device for which a native app is even possible;

• Can take longer to deploy;

• May be very constrained by the devise maker as to the possible experience and functionalities available; and,

• In the case of Apple, only one, very public way to get apps onto the devices.

Based on the conversations we have had with companies already employing m-learning, we find a general preference for the tighter experience and enterprise-grade security offered by the native app. However, just because that is the preference does not mean that most companies end up taking this route. In fact, up until now, the lack of device standardization in most organizations (especially for those who use Blackberrys) tends to force companies to use the mobile-browser method in order to support the widest number of devices possible.



For many organizations, the deciding factor will be that most major LMS companies today support accessing some, if not all, of their systems and content via a mobile browser. Most do not offer “apps” – and many of those that do offer apps require at least a separate specialty platform to manage this content.

Learning Content Lifecycle Support

Learning systems are nothing without content. What these systems offer in the way of supporting the lifecycle of content is a major source of differentiation.

e-Learning Platforms

As learning systems continue to grow, many providers now offer broad learning platforms that include not only learning management systems, but also content management, content development tools, assessment tools, virtual classroom and collaboration tools – all in one product suite. The goal is to provide an end-to-end learning solution.

Providers take two approaches in this area – they either try to build all the components or they try to provide partner products in these areas.

We urge buyers to clearly understand the difference between learning management (the role of the LMS) and content development, delivery and management.

As Figure 44 shows, the training and e-learning ecosystem is very complex and broad. Within the content development tools market alone, there are many types of tools.

The typical e-learning developer uses four to five different tools to build content and will nearly always need tools that are not provided by the LMS provider.

The core role of the LMS is in the management area (in Figure 44, indicated by the orange arrows). As the LMS becomes integrated with a talent system, sophisticated analytics and integration with other enterprisewide applications, just developing the core LMS functionality and making the system fit into the corporate infrastructure is a huge task for providers.

Many LMS vendors

are developing broad

learning platforms that

provide an end-to-end

e-learning solution.

K E Y P O I N T



Almost every other provider in this report offers third-party products or integration relationships with recommended providers for e-learning development solutions.

We recommend that, when purchasing an LMS, buyers focus on the core functionality for training administration and management, systems integration, and reporting. Remember that you are likely to change tools and collaboration systems over time, but your LMS will be with you for many years to come.

As for additional tools, the full-suite approach makes the most sense for small and medium businesses, or organizations new to e-learning. These organizations typically do not have the time or staff to use separate tools, so an e-learning suite makes the most sense. Many of these companies start with a suite and, as they become more sophisticated, they turn to best-of-breed solutions. This is particularly true in the

Figure 37: Content Ecosystem

ToolsToolsTools Training Managers and Content Developers

Executives and Managers

LearningManagement

(LMS)

HRMSOther ERP Systems

Learning ContentManagement

(LCMS)

Content Developers

Program Administration(Catalog)

Program Management

Reportingand Analytics

Content Development


Third-Party Content(SkillSoft / NETg, ElementK)

Figure 44: Content Ecosystem


We recommend that

buyers focus on the

core functionality for

training administration

and management,

systems integration, and

reporting.

K E Y P O I N T



authoring tools market. Most sophisticated companies will adopt separate authoring tools and integrate the content with their LMSs.80

(For more information, see section, “Appendix VI: Solution Provider Profiles.”)

Learning Content Management

Should organizations purchase a single system for content development (an LCMS) and administration when making an LMS decision? It depends. It is certainly appropriate and, in fact, highly recommended that you understand your company’s content development needs while considering an LMS strategy. However, trying to force fit a single system into solving both of these technology needs may not be the right approach. In this section, we will look at modern content development needs in the context of the LMS decision.

As companies begin to build and acquire more learning content (through in-house, outsourced resources, or created by the learners themselves), a learning content management system becomes a valuable tool in reducing development cycles and making content more accessible. These systems offer features for managing and publishing e-learning content, and for automating workflows for groups of developers.

Advanced systems support the capability to manage electronic content in multiple formats and outputs, such as online courses, presentations, instructor guides, mobile devices and printed documentation.

Today, there are basically two technology approaches when considering an LMS and LCMS:

1. The e-learning platform (mentioned in the previous section); and,

2. The best-of-breed approach.

In the e-learning platform scenario, the buyer chooses an integrated LMS / LCMS. From the content perspective, the platform is typically used to:

• Assemble predeveloped assets and modules into a course;

• Create, deliver and track assessments;

80 For more information, A Review of E-Learning Authoring Tools, Bersin & Associates /

Patti Shank, January 2005. Available to research members at www.bersin.com/library.

Bersin & Associates

highly recommends

that you understand

your company’s content

development needs

while considering an LMS

strategy.

K E Y P O I N T




• Store the metadata associated with the content;

• Enable users and developers to search for content;

• Provide basic content management support, such as content staging and version control; and,

• Provide run-time capabilities that assemble the course and track user performance.

In most e-learning platforms, learning assets are AICC- or SCORM-compliant courses81, or learning objects that can be selected by an instructional designer and arranged into a course. Assessments are one of the most popular types of learning objects that are commonly stored and used in a content management system. We believe there is much value to managing assessments through the LMS, since these assessments can then be used across many programs.

The e-learning platform is not used for content authoring – nor does it support dynamic delivery capabilities that customize the content pages for each course or user. Content is authored using other tools, and then imported into the e-learning platform using the packaging guidelines of the SCORM and / or AICC specifications. This strategy is the most popular in the marketplace today – and is appropriate for organizations that do not have large content production requirements and do not need to repurpose the instruction into different media formats. Content is most always constructed using rapid development and / or general-purpose web development tools.

The Best-of-Breed Approach

For companies with large, geographically dispersed teams of content contributors or large volumes of information assets, however, a separate, “best-of-breed” LCMS is likely to be the preferred choice. These companies’ requirements are more extensive than those provided by most platform products and may likely include support for a variety of information output formats. We, therefore, see many enterprise buyers selecting LCMSs (from providers like OutStart, eXact Learning Solutions, Xyleme and other smaller companies) separately from their LMSs. While these providers also offer low-end LMS products, the systems are designed to help program developers launch and manage their

81 For more information, SCORM and AICC: What Are the Differences?, Bersin &

Associates / Chris Howard, February 22, 2007. Available to research members at

www.bersin.com/library.

Although we believe

that the LCMS market

is distinct from the

LMS market, most LMS

providers have built in or

include an LCMS solution

in their product offerings.

K E Y P O I N T




local programs, but are not designed to handle corporatewide learning initiatives. Hence, buyers looking for an enterprisewide solution are advised to choose a best-of-breed LMS separately from their best-of-breed LCMS solution.

Apart from the list mentioned above for the platform solution, best-of-breed products are used to:

• Providetemplate-basedcontentdevelopmenttoolsforrapid content creation;

• Buildandmanagestructuredcontentthatcanbe:

o Output in multiple formats, and

o Reused across various training and knowledge programs;

• Providearun-timedeliveryenvironmentforcustomizedcoursepagesand more extensive levels of training user interaction; and,

• Createknowledgemanagementrepositoriesthatcanbeusedforjust-in-time access of both formal and informal knowledge assets.

Whether you purchase an LCMS from your LMS provider or from a separate provider, it is important to understand that there are five content maturity levels that will help you decide what the right solution is for you (see Figure 45).

Buyers looking for an

enterprisewide solution

are advised to choose

a best-of-breed LMS

separately from their

best-of-breed LCMS

solution.

K E Y P O I N T

Figure 38: Bersin & Associates Learning Content Maturity Model®


TraditionalContent Is Handcrafted, High Levels of Instructional Quality

RapidRapid Delivery, Time to Train Is as Important as Instructional Quality

CollaborativeDevelopment Efficiency

EnterpriseCross-Departmental, Content Leverage, Content Strategy

On-DemandConsistency, Usability, Access

Figure 45: Bersin & Associates Learning Content Maturity Model®




Each of the five levels of the Learning Content Maturity Model has clear and distinct characteristics – yet, these levels are nonetheless flexible and they sometimes overlap. Although an organization can “jump in” and get started at any level within this Maturity Model, in most cases competence at one level assumes and requires competencies mastered at the lower levels. The following summarizes the essential nature of each level.

Traditional

This type of content development refers to the way in which content was managed before the emergence of “e-learning.” Using traditional instructional design methodologies, along with standard content authoring and publishing tools, developers built instructor-led courseware and self-paced CD-ROMs. These methods and tools have been easily adapted to web-based training (WBT) and are still the most commonly used means for developing all kinds of instructional content. The best practices of traditional development provide a solid foundation for maturing levels of content development capability and capacity.

Rapid

Quite simply, rapid development seeks to increase the speed by which content is developed and delivered to the learner. In some cases, the quality of instruction made possible by traditional development methods is sacrificed for speed; but, in other instances, accelerated development is achieved through greater process efficiencies and specialized tools – without diminishing the quality of the finished product. Rapid development became necessary when, in some cases, traditional methods could not keep up with both the promises and demands of anytime, anywhere e-learning.

Collaborative

Collaborative development provides capability and capacity for increasing the scope and scale of learning content requirements. Through processes and technologies that allow for more specialized and geographically dispersed staffing (as well as tighter project management), organizations can implement traditional and rapid development best practices in team based development environments. Page-based development (afforded by shared content repositories) is also common at the collaborative level, and can often accommodate strategies for content reuse or repurposing.



Enterprise

At this level, an organization expands its content development capabilities and capacity to include asset-based content management. Often, this expansion is driven by the increasing volume and variety of content sources, a need for multiple delivery outputs, and greater potential for the reuse and repurposing of content. Generally, enterprise content management affords content that is more contextual, personalized and much less course-centric. Effective content management initiatives usually require competency in collaborative development, as well as significant “upgrades” in content strategy, development processes and enabling technology.

On-Demand

On-demand content management brings personalized learning content to the learner at the point of need, often integrating the learning experience with other enterprise systems, processes and supplemental content. At this level of maturity, an organization must have the capability and capacity to leverage its learning content in the service of enhanced performance support and enterprisewide knowledge management initiatives. It requires total alignment of training with strategic organizational objectives and desired business results.


LMS

LCMSMoving to On-Demand

Course AdministrationUser AdministrationTraining AdministrationJob ProfilesLaunch / Track CoursesSelf-RegistrationReportingClass SchedulingContent Repository

-

Skills / CompetenciesPerformance ManagementTalent ManagementTranscriptsDomainsCertificationsAnalyticsBusiness Rules

Common Features

Enterprise Business

Application

Enterprise Content

ManagementApplication

Platform

Figure 39: LMS, LCMS and e-Learning Suite

Content AuthoringContent TemplatesAssessmentsCourse PublishingVersion ControlMultiformat OutputAsset-Based ArchitectureContent Reuse or RecycleTeam DevelopmentPersonalized ContentMetadata

Training Administration Moving to Talent Management

Figure 46: LMS, LCMS and e-Learning Suite




Understanding which category your requirements fit into will help you make the right decision regarding your company’s e-learning platform strategy. Figure 46 illustrates how the e-learning platform incorporates some capability from both the LMS and LCMS worlds.

The LCMS at a Crossroads

Although we believe that the LCMS market is distinct from the LMS market, most LMS providers have built in or include an LCMS solution in their product offerings to address the e-learning platform need. However, content development systems are not the biggest priority for the most dominant LMS providers, so they may not be the right fit for “power users.”

The LCMS market has not taken off the way we once thought it would. The penetration of learning content management systems overall remains stagnant, with just 18 percent of companies using these systems (the three-point increase from last year is not itself a significant difference – but it is the second year in a row with such growth).82

82 For more information, The Corporate Learning Factbook® 2010 Benchmarks, Trends and

Analysis of the U.S. Training Market, Bersin & Associates / Karen O›Leonard, January 2010.


13%

12%

15%

18%

0% 20% 40% 60% 80% 100%

2006

2007

2008

2009

Figure 47: LCMS Usage by Current LMS Customers




Although usage is highest among large businesses, the number of large enterprises using these systems has actually declined over the past two years.

Will the LCMS Remain Relevant?

The short answer is yes, but the role of the LCMS must change from its original vision. These systems’ true value was not simply as content authoring tools or learning object repositories. Rapid development tools and e-learning platforms now serve the authoring needs for most organizations, and the vision of object repositories as advertised has proven elusive.

Instead, the true value of the LCMS for a modern L&D function is twofold:


13%

10%14% 16%

13%

27%20% 21%

37%30% 27%

30%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2006 2007 2008 2009Small Midsize Large

Figure 48: LCMS Usage by Company Size


The LCMS at a Crossroads (cont’d)



• As a business-process automation tool or (shall we say) as a learning-process automation system that helps the L&D function to truly optimize its processes; and,

• As part of (and an enabler of) the organization’s larger social learning and collaboration strategy.

Today’s worker still needs formal training, built around specific problems and talent needs – but he / she also needs the availability of a “learning environment” in which he / she can find information, collaborate and build his / her own learning plan. The learning organization must go beyond the disciplines of building content for use online; L&D must also provide context and pathways by which people can learn.

Consider the following statistic. Our High-Impact Learning Practices research (conducted in fall 2008)83 found 61 percent of all corporate training managers state that the biggest challenge their employees now have is “finding relevant information” to do their jobs, not “developing the skills” to do their jobs. Learning leaders tell us that their three biggest challenges today are:

1. Building the next generation of blended-learning programs;

2. Using social networking and other tools to enhance the learning culture; and,

3. Updating and better understanding the disciplines of the modern training organization.

Learning Process Automation

Bringing context and consistency to the organization’s knowledge-sharing efforts will take highly optimized processes that are simple, straightforward and sustainable – often beyond the direct supervision of the training department. Learning



Associates / David Mallon, July 2009.




organizations will need new roles (such as the information architect) to help make information design decisions; they will also need systems to help guide and enforce workflows and standards. For many organizations, we think the LCMS can and should play this role.

Now more than ever, learning organizations need holistic content management expertise, and that means more than simply schemes for naming, versioning and storage. It entails managing the end-to-end lifecycle of content – the natural uses of an LCMS.

According to our High-Impact Learning Practices report84, optimizing the lifecycle of content has become one of the most important core competencies for modern L&D organizations.

Process matters. Lean times expose organizations with inefficient processes. L&D should look for ways to simplify and streamline content processes. Settle on templates, guidelines and workflows that are easy to use. Utilize the LCMS to enable and enforce these decisions. It will be much easier to expand the bounds of the development process to include on-demand, social and embedded approaches if those underlying processes are optimized.

L&D has the expertise to become a “center of excellence” within the organization for content in all of its forms. How to create it (many in the organization might know how to use PowerPoint, but how well)? How to publish it? How to measure its effectiveness? L&D can bring the natural skills sets of the instructional designer (e.g., putting knowledge into context, following consistent formats and processes) to bear on the organization at-large, helping the organization.

We believe that the market for the systems currently known as LCMS continues to be at a crossroads. The market could merge with social / collaboration tools to become knowledge-sharing



Associates / David Mallon, July 2009.




platforms – or merge with larger, enterprise content management or portal / intranet platforms, for which learning content is just one more type of content that the system manages.

We believe the onus is on the LCMS providers to ensure that their systems are well-positioned to help L&D organizations respond to the realities of the modern corporate learning function. e




AdaptabilityA recurring theme in our LMS and talent management systems market research over the years is the role that customization or, more specifically, having to customize, plays in customer satisfaction. Software systems as delivered are rarely a perfect match for an individual buyer’s landscape. The best providers understand the critical need for these systems to be highly configurable, so that they can best meet customer needs without customization.

For several years, the architectural solution to this problem has been to give the software a very high degree of configurability, both for the processes that the system drives, as well as for its ability to connect to other systems and sources of data. In today’s environment, however, this need for flexibility in the system is going even further. Now we see customers demanding what we call an “adaptive” platform – a workflow management system with pre-built learning and / or talent management processes that can transparently integrate into many different parts of the corporate HR and IT infrastructure.85

85 For more information, Adaptive Talent and Learning Platforms How Software as a

Service Is Changing the Markets for Talent and Learning Systems, Bersin & Associates /


HostedProvider Handles IT, System Offers Basic Configurability

ConfigurableCustomer Has High Degree of Control over Existing System

Adaptive SystemExisting System Adapts to Customer Needs

Adaptive PlatformAn Adaptive System for Today and Extensibility for Tomorrow

Figure 49: Bersin & Associates Adaptive Talent and Learning Platforms Maturity Model®





The Problem of Customization

Customizing a system to meet individual needs sounds like a good idea in theory. In practice, however, it has proven to be highly problematic. Take the LMS market for example. According to data collected for this study, the need for system customizations in general was the second biggest driver of customer dissatisfaction with LMSs (following only unhappiness with reporting functionality). So why does customization cause such heartache?

Customizing the system itself (i.e., adding custom fields, modifying screens, building ad-hoc integrations with other source data systems and altering core system behaviors) are all risky and potentially expensive propositions. While these kinds of changes are not difficult, they create a set of “customer-owned” modifications that must be continuously retrofitted as new releases of the application are released. Companies that develop such customizations end up with highly parochial systems that drift further and further away from the provider’s core product roadmap over time, making updates and upgrades to the software increasingly difficult and expensive. In some cases, the distance between client system and provider core can become too great for the provider to continue supporting.

Adding to the difficulty, customization rarely solves for every gap between customer need and provider system. Most LMS buyers tell us that they are still unhappy with what they identify as some of the their most critical functionality needs, including easy-to-use training administration processes, and strong reporting and analytics. From our perspective, it seems that (despite the additional outlay of money for the custom work) providers are only able to take the core application from meeting 80 percent of feature and function needs to meeting 90 percent to 95 percent at best, not the 100 percent a buyer might be expecting for the added expense. To make matters worse, our data shows that customizations invariably take longer and cost more to complete than they are originally specified.

Finally, an often overlooked negative side effect of customization is that the more different the buyer’s system is from the base provider platform, the farther outside of the comfort zone and expertise of both the provider and its general customer community the buyer will be. The more atypical the buyer’s instance, the less applicable training, support,

Customizing enterprise

software can be risky.

Customizations create

a set of “customer-

owned” modifications

that must be continuously

retrofitted as new

releases of the application

are released. Over time,

client systems can become

too different from the

provider’s base system to

be supported.

K E Y P O I N T



consulting and other external sources of collected best practice will be. All of these sources are essential to the best use of an enterprise system and help to maximize the value for the purchase.

In summary our research has found that few things are more predictive of dissatisfaction with an enterprise application, such as an LMS (or talent management suite) provider than a lot of customizations; it is easy to see why.

A New Model – The Adaptive Platform

Until recently, the options available for configuration have been limited and primarily cosmetic. In most cases, changing core system processes and behaviors would still require customizations to code. However, new approaches to enterprise software, including the rising importance of software as a service86 as a delivery model (more on that topic later in this section), the increasing prevalence of open architectures and the effect on the overall market of the mainstream use of open source code, are changing the expectations of buyers. Buyers increasingly question customization as the only answer. As you will see in the remainder of this report, we find that providers are taking notice.

Except for the ERP providers, most providers we talk with will generally admit that they do not like to customize. They hear the same feedback from their customers as we capture in our survey data. They know that heavy customization is at best a distraction (for both buyer and provider) and at worst a major drain on resources. As in any industry, where there is a problem, someone in the marketplace will inevitably come up with a solution. For enterprise software applications like the LMS and talent management suite, that solution has come in the form of new technologies and a new approach to adapting software to meet client needs.

86 “Software as a Service” (or SaaS) refers to the business of selling software over the

Internet as a web service. In this business model, the software vendor charges an annual

“rental” fee and can predict recurring revenues far more reliably than with the licensed

software model. As SaaS becomes proven and the delivery strategies more refined, most

analysts agree that more and more enterprise software will be sold in this way.

An often overlooked

negative side effect of

customization is that

the more different the

buyer’s system is from the

base provider platform,

the farther outside of

the comfort zone and

expertise of both the

provider and its general

customer community the

buyer will be.

K E Y P O I N T



Software as a Service

On the hardware side, new technologies are reducing costs, and dramatically increasing scalability and efficiency for providers. Many more users can now be supported on the same architecture and adding new resources as usage grows is increasingly routine. The result is that providers can both easily manage the hardware needs of their clients (at far lower costs in terms of time and money), and successfully support most or all of their customers on common instances of their applications. The benefits of that first outcome with the provider hosting the client’s application are fairly straightforward. Client organizations usually have better things to be devoting time, money and IT department attention toward than implementing and supporting HR technology. In addition, providers can achieve economies of scale by providing hosting for many customers.

The second outcome involves providers supporting customers on a common instance of the application, which is also known as a multitenant architecture87 because more than one tenant (customer) is living on the same equipment. Combine application hosting with a multitenant architecture and you have what is now commonly known as software as a service (SaaS). In this model, the buyer is not actually buying software; instead, the buyer is renting the use of the software for as long as they choose.

The single code base and controlled management environment of SaaS enable solution providers to move to more frequent (e.g., quarterly or semiannual) releases of enhancements to the software. SaaS allows the learning or talent management system buyer to avoid licensing, installing, upgrading and maintaining software. While the cost of ownership is not necessarily lower (SaaS systems are licensed monthly, with higher monthly fees than licensed software maintenance), the time to implement and complexity is far less.

SaaS offers many additional benefits for both providers and buyers.

87 For more information, http://en.wikipedia.org/wiki/multitenancy.

http://en.wikipedia.org/wiki/multitenancy



In some circumstances and for some organizations (e.g., very large enterprises, government organizations, companies in highly regulated industries, et al), the need for control and security over data has outweighed the benefits of having the provider bear the IT load. In these cases, both hosting and SaaS have seemed less viable as options. Only three years ago, many considered on-demand to be a delivery model for the midmarket only – incapable of scaling and providing the level of security appropriate for large organizations. That is no longer the case, as organizations of all sizes are implementing on-demand solutions and have provided strong testimonials on their satisfaction with their delivery choices88. In response to the increased acceptance, the HR solution providers that only offered their solutions in an on-premise delivery model have either already launched an on-demand option as their midmarket solution or are in the process of migrating customers to a new version of their products in an on-demand delivery model. No matter the organization size, the business case for on-demand is compelling.

88 For more information, Talent Management Systems 2010: Market Realities,

Implementation Experiences, and Solution Provider Profiles, Bersin & Associates /

Leighanne Levensaler and Madeline Laurano, September 2009. Available to research

members at www.bersin.com/library or for purchase at www.bersin.com/tmsuites.

Figure 50: The Benefits of SaaS

Time to implement

Low cost of entry and initial investment

Easy and continuous upgrades with centralized feature updating

Immediate access to the latest innovations

Reduce overhead with minimal IT infrastructure requirements

Platform independence

Improved security

Limited IT involvement required

Predicable spending

Freedom of choice if unsatisfied


Today, organizations of

all sizes are implementing

on-demand solutions and

have provided strong

testimonials on their

satisfaction with their

delivery choices. SaaS is

now the most popular

model for software

delivery in the talent

management market.

A N A LY S I S


http://www.bersin.com/tmsuites



As our latest Talent Management Suites study indicates, SaaS is now the most popular model for software delivery in the talent management market89.

SaaS as a delivery model has become very popular and with good reason; but it comes with a side effect that could be either a benefit or a flaw, depending on your perspective. True application customizations are not really possible in a fully multitenant model; changing the base code would defeat the concept. So, how is it that all of these companies are choosing an SaaS model when no customizations are possible?

First, there are many varieties of “SaaS” out there; many providers that market SaaS offerings as a delivery mode do not actually adhere to the model in its truest form90. That aside, for SaaS to be viable, the provider cannot always expect the customer to change to fit the software. In place of the ability to customize, the provider has to make it possible for the customer to change the software in other ways.



Leighanne Levensaler and Madeline Laurano, September 2009.90 For more information on SaaS maturity: 2005 Software as a Service Taxonomy and

Research Guide, IDC / Erin Traudt and Amy Konary, June 2005.


32%

41%

66%

57%

2%

2%

0% 20% 40% 60% 80% 100%

2008

2009

Installed internally Hosted externally Have both internal and external LMSs

Figure 51: SaaS in Learning Management




Luckily, enterprise software development has been changing just as fast as the hardware. Software development practices continue to evolve. The cost of development is decreasing. Software is now highly modular. It is true that SaaS solutions cannot be customized – but several solutions on the market do not need to be customized in order to meet an organization’s sophisticated needs. Leading solution providers now offer as much configurability as possible to accommodate nuanced approaches, as well as variability in the approaches, based on business unit, region, type of worker or any combination of attributes. Functionality for establishing business rules, templates, controlling data access and setting up notifications can now be defined at a very granular level. In addition, the solutions have come a long way in offering distributed administration privileges.

Depth and breadth of functionality is not the only thing that separates providers and their products. Increasingly, product differentiation comes from the degree to which application developers are able to build more and more flexibility into the system, so that customization is less and less necessary (if possible at all). Differentiation comes from how well software can take full advantage of new hardware architectures that are designed to be more open, making connections to other systems and data sources increasingly routine.

The Adaptive Platform

This is the profound effect that SaaS has had on enterprise software. Barriers to entry are lower since corporate IT needs to be far less involved, and the time and cost to stand up a new system are far less. Customization has been forced out of the equation; in its place, technological advances now allow for deeper capacity for configurability to be engineered into the system.

In short, we are entering a new era for enterprise software – the adaptive platform.

Why “adaptive platform?”

This new model of enterprise applications is delivered as both a scalable platform and a finished product. Envision this platform as foundation of a building. On this foundation, the provider has given buyers a preset array of flexible tools, workflows and configurable processes with which to adapt – not customize – the finished application to meet their unique needs.

Increasingly,

differentiation between

software products comes

from the degree to which

application developers

are able to build more

and more flexibility

into the system, so that

customization is less and

less necessary.

K E Y P O I N T



Our recent studies of both the LMS and talent management suites markets confirm that many providers are evolving their offerings to have as much engineered flexibility as possible. These learning and talent management providers are creating platforms that adapt to client needs, not the other way around.

In the next section, we will identify what differentiates an adaptive learning or talent platform from the rest.

What Makes a System Adaptable

As you read through this section, we have organized adaptive criteria into five logical categories:

• Application – The functions of the system;

• Presentation – The interface and other visual outputs of the system;

• Data – The information stored and used by the system;

• Delivery – Assuming application hosting as a minimum requirement, the degree to which the system’s delivery model is truly SaaS; and,

• Operations – The experience of buying, implementing and using the system.

Based on our research with exemplary talent and learning providers, we have identified where the markets are today and where they are going. In each section, we have used this intelligence to further break up criteria into a “Good-Better-Best” arrangement, based on what you can expect to find with providers today. We summarize these categorizations later in our Adaptive Talent and Learning Platforms Maturity Model®.

Application Configurability and Automation

We will start with the application itself and by application we mean the end-to-end processes that are the software’s engine.

Configurability (over-customization)

Of course, given much of the contents of this report so far, configurability is high on the list of what makes an adaptive platform. Ultimately, configurability is about control. Do you, the buyer, have control over:

The more control you

have, the more adaptive

the system will be to your

needs. In practice, the line

between configuration

and adaptability is crossed

when a provider can give

you tools to build your

own processes, not just

configure the processes

they have already built

into the system.

K E Y P O I N T



• How the software works;

• Whether or not a given feature or function is enabled; or,

• Whether an upgrade to the system will be applied?

In the simplest terms, the more control you have, the more adaptive the system will be to your needs. In practice, the line between configuration and adaptability is crossed when a provider can give you tools to build your own processes, not just configure the processes they have already built into the system.

Figure 52: Configurable Workflows

Source: Halogen, 2010.



Potential for Automation

Another increasingly important adaptive criteria related to the application is the ability to automate system functions. For organizations with hundreds and thousands of employees, the amount of transactions in the system can be hard to manage, especially for activity that is both frequent and recurring, such as compliance training needs. Today’s system increasingly offers the ability to use logic to automatically drive processes, such as assignment of training content based on criteria set by the organization.

System Permissions

Today’s organizations are increasingly complex. There is often not just one audience to manage. It is now common for organizations to use their learning and talent systems for several different types of employee, as well as external audiences, such as partners and customers. Consequently, many different types of users access the same system in one of several roles. It has, therefore, become critical that providers support highly granular system security and permissions sets, allowing clients to create custom bundles of permissions by role, individual user, user group and directly by system functionality.

System Extensibility

A key distinction that separates true platforms from everyone else is not just the ability to alter the current functionality of the system, but also having the ability to grow and extend that functionality. One of the simplest and most commonly supported methods is for the client to be able to create custom database fields in the system. Custom fields allow clients to meld unique data elements with common system elements in both processes and on reports. Extensibility can also take the form of being able to create custom workflows and processes within the system, or by adding functions to the system through custom “plug-ins” and web applications. Finally, following the lead of systems such as Intuit’s Quickbase, some providers now also have methods of allowing clients to create entire custom tables in their database.

Finding an Adaptive Platform: The Application

Expect most on-demand providers to include software updates in the base subscription costs and to update the software regularly (at least semiannually). To find an adaptive platform, look for the following.



Good

• Ahighdegreeofconfigurabilityforexistingapplicationfunctions.

• Modularfunctionsthatcanbeturnedonoroffindependently.

• Theabilitytosay“no”ordelayallbutthemostmajorproductupgrades (see section, “A Few Notes”).

• Acustomwebformbuilderforcapturinguserdataandinitiatingsystem functions (see section, “A Few Notes”).

• Theabilitytousecustomdatabasefieldswherevernativesystemfields are used.

• Somesystemfunctionscanbeautomatedbycustombusinessrule.

Better

• All of the above and the following.

• Access to a system “registry,” allowing for more fine-grain control over system functions.

• A continuous product update cycle.

• A custom workflow builder for creating your own workflows using some existing system functions.

• The ability to customize or create any system communication.

• Some ability to extend the product using plug-ins or custom-built web applications.

Best

• Alloftheaboveandthefollowing.

• Aworkflowbuilderthatcanuseallormostexistingfunctions.

• Theabilitytocreatecustomdatabasetablesandviews(see section, “A Few Notes”).

• Independentcommunitiesofdevelopersthatcreate,sellanduseplug-ins and custom web applications for this platform (see section, “A Few Notes”).



A Few Notes

Many providers will state that their platforms are configurable, referring in truth to the ability to add customizations to the system, not true configurability. Buyers should exercise diligence when comparing providers on this topic. Ask providers to demonstrate that your desired changes to system behavior can be made without customization.

The ability to control upgrades is highly indicative of a provider that has been able to successfully separate its application into different tiers or layers, including a core code base that only changes for major updates. Having an “immutable code base” is a great way to build flexibility into the system. The base system remains static, while most changes over time occur around the periphery of the system. Any alteration is possible as long as it still works with the static base.

Of similar note, ask your prospective provider to guarantee that your configurations will work after system upgrades. If the provider can guarantee that your changes will still operate as defined after the core system has changed, then that is also a good indicator of an adaptable, tiered architecture and not customization.

Finally, another related indicator of overall adaptability is the number of customers using the same version of the base code. The more the provider can focus on just one evolutionary path for the application, the more the provider is free to find ways to add innovation and flexibility to the platform. Also, the more customers that use the same code base means a larger community of users with common experiences and best practices to share.

It is common for many learning and talent systems to have form builders as part of the performance management and onboarding support. In this case, look for a form builder that can be used throughout the product as part of many of the application’s processes, not just performance management.

The ability to create customer database tables is a powerful way to increase the unique value of the platform for your organization. Such tables can contain organization-specific data related to a given learning or talent process, which can then be used as part of custom workflow. This option is common in the customer relationship management market (e.g., Salesforce.com); however, it is very new to the learning and talent world.

The ability to control

upgrades and a

willingness to guarantee

that client configurations

will still work after system

upgrades are both highly

indicative of a provider

that has been able to

successfully separate its

application into different

tiers or layers, including

a core code base that

only changes for major

updates.

K E Y P O I N T



If plug-ins are possible, many of them will come from the provider directly. However, independent communities of plug-in developers exponentially increase the possibilities of an extensible, adaptive platform. More developers mean more people working on growing the value of the platform; it also increases the likelihood that someone has already created a solution for one of your current needs. Independence from the provider equates to fresh perspectives and unexpected new uses for existing system functions.

Of special consideration in this area is that some providers use open-source technologies within their products. Open-source code often provides the vendor with a similar benefit as does a community of plug-in developers for buyers – it increases the pool of resources working on growing the application. So it helps to speed up the overall development cycle. For buyers, the use of open source can increase the potential for extensibility, depending on where and how open source code is used. For example, Plateau’s new Talent Gateway module91 (a learning portal and enterprise social software front-end for this vendor’s talent platform) is based on an open-source portal technology called LifeRay92. Plateau customers with the technical skills and knowledge of LifeRay could actually take advantage of its open source nature to create custom additions to the Talent Gateway module.

91 For more information, Enabling Social Learning: Technology Strategies for Social and

Collaborative Learning, Bersin & Associates / David Mallon, September 29, 2009. 92 Source: http://www.liferay.com.

A vibrant community of

third-party developers

means more people

bringing fresh

perspectives to growing

the value of the platform;

it also increases the

likelihood that someone

has already created a

solution for one of your

current needs.

K E Y P O I N T



Interface Flexibility

The next major category of adaptive criteria is the presentation layer – the software’s visual interface. The depth and breadth of the information and features in an LMS or talent management suite can overwhelm users if the experience is not well-designed. Easy-to-learn, intuitive and efficient applications are much more satisfying than traditional

Figure 53: Adaptive Talent and Learning Platforms Summary – The Application

Level 1: Hosted

Level 2: Configurable

Level 3: Adaptive System

Level 4: Adaptive Platform

Application

Functions are grouped into modules;

Product upgrades are included in subscription costs (no additional charge);

Updates occur at least semiannuallly;

Client can create custom dB fields;

Client can customize stock system communications;

System permissions are granular, groupable by role or function.

Function behaviors are configurable without affecting other clients;

Modules can be turned on or off independently;

Most upgrades can be controlled by client;

System includes custom form builder for initiating application functions (not just for performance management or other learning/ talent process);

Custom dB fields can be used wherever native dB fields are used;

Some functions can be automated based on business rule;

Application is extensible by provider using custom web-apps or plug-ins.

Clients have admin access to application “registry”fordeepercontrol of application behavior;

Updates are continuous;

System includes workflowbuildertoolfor building custom behaviors with some existing functions;

All system communications and triggers are customizable without need for customization;

Application is extensible by client using custom web-apps or plug-ins.

System includes workflowbuildertool for building custom behaviors withall/mostexistingfunctions;

Client can create custom dB tables and views;

Most/allfunctionscanbe automated;

Third-party development community exists for custom apps and plug-ins;

Application uses open source in transparent ways.




forms-based transactional systems. Users are more willing to use the applications when they believe that they are getting something out of the system and the experience was not cumbersome.93

Configurability

Just as with the application, the measure of adaptability for the interface begins with the degree to which that interface is configurable. Most providers support the client’s ability to at least make cosmetic changes to the interface, including color palette, images and logos, fonts, and vocabulary used for menus and titles.

93 For more information, The Talent Management Experience Series – New Roles and

Expectations for Systems: (1) Part 1 – The Manager Experience; (2) Part 2 – Business Leader

Experience; and, (3) Part 3 – The Employee Experience, Bersin & Associates / Leighanne

Levensaler, 2008. Available to research members at www.bersin.com/library.

Figure 54: Drag and Drop Portal Interface

Source: IMC, 2010.



Today’s adaptive platforms go beyond cosmetic configuration to offer both deeper and broader control over the user experience. Portal style interfaces are increasingly common, meaning system functionality is deployed in the interface as discrete objects. These objects can be moved around by the client (and, in some cases, by the end-user) or turned off altogether.

Most detailed visual control over today’s websites is accomplished using “cascading style sheets” or CSS94. Many application interfaces are now governed by CSS files; the most adaptive systems allow the client to freely customize the CSS files.

Domains and Audiences

As mentioned in the section earlier on security and permissions, most organizations need to support multiple audiences in these systems, both internal and external, and around the world. Many provider platforms now support clients having different interface setups for different audiences.

Personalization

Finally, as platforms look and behave more like portals, clients increasingly expect some support for end-user personalization, including the ability to show or hide content, change the location of some content elements, and decide the level of prominence for some content items.

Finding an Adaptive Platform: The Interface

Organizations evaluating any learning or talent management applications should develop detailed use-case scenarios focused on addressing the role of the manager, employee and business leader. The use cases must define what the applications should be doing, as well as how it supports the end-user.

Expect all hosted systems to support cosmetic interface configuration and some ability to support multiple interfaces for multiple domains

94 “Cascading style sheets” (CSS) is a way to define the look and formatting of a

document by placing the instructions for formatting in separate “style sheet” files from

the document itself. Its most common application is to define the look of web pages

written in HTML and XHTML, but the language can be applied to any kind of XML

document. The CSS specifications are maintained by the World Wide Web Consortium

(W3C). Internet media type (MIME type) text / css is registered for use with CSS by RFC

2318 (March 1998). For more information, http://www.w3.org/Style/CSS/.

In the most adaptive of

systems, the interface

is controlled by a client

customizable CSS file.

A N A LY S I S



(although some providers are clearly better at this ability than others). Most major providers should also have out-of-the-box support for many languages, including double-byte character sets, such as for Chinese Mandarin. For more adaptive platforms, look for the following.

Good

• Aportal-styleinterfaceallowingforrelativelyfreemovementofsystem functions around the screen.

• Theabilitytocontrolthelookoftheinterfaceusingtemplates or “skins.”

• Theabilitytoautomaticallyselectanddisplayaninterfacebasedondomain or user type.

• Alocalizationtableallowingfortheeasyreplacementofanyinterface text element anywhere in the application (see section, “A Few Notes”).

Better

• All aspects of the display are control by a customizable CSS file.

• The interface can be set by business rule.

• Support for some amount of end-user personalization.

Best

• A visual interface editing tool allowing for on-the-fly changes to the interface without needing specialized expertise in web design.

A Few Notes

Localization tables are, first and foremost, a straightforward method for supporting translation of the interface into other languages and character sets. In such a table, each current interface text element is listed with some opportunity for the client to enter his / her preferred replacement for that element wherever it appears. While very helpful for deploying systems to audiences with different primary languages, these tables are also extraordinarily helpful with organizations that only want to use very precise and organization-friendly vocabulary, even in English.



Data Openness

Underlying a learning or talent management system is a wealth of rich data. Our next adaptive category covers the differences among providers in terms of how they work with this data. Systems are adaptable in so far as that data is directly and easily accessible by users or other systems.

Inputs and Outputs

Learning and talent systems do not stand alone. They can and are often integrated with many other sources of data within the organization, such as:

• HRMS – The corporate HR employee database;

• Financials – The corporate financial system that captures revenues and expenses;

Figure 55: Adaptive Talent and Learning Platforms Summary – The Interface

Level 1: Hosted




Presentation

Client can make cosmetic adjustments to interface (colors, images, fonts);

The application supports multiple, independent user domainsand/orsubdomains within the same client deployment, each of which may have separate application and/orinterfaceconfigurations;

Out-of-the box support for more than 20 languages including double-byte characters.

Portal-style interface in which application functions are deployed as configurable, movable objects.All aspects of the interface can be adjusted through custom templates or “skins”;

Interface appearance can be automatically determined by domain or user group;

Uses of the written word within interface elements (titles, menus, et al) can be changed via customizable localization tables.

All aspects of interface appearance are controlled via one or more customizable CSS files;

Interface appearance can be automatically determined by business rule;

Clients can allow end users to customize aspects of their own interface.

The system includes a visual interface editor supporting dynamic changes to interface appearance without need for web programming.




• CRM – The corporate customer database, often called the “customer relationship management” system;

• ERP – The large systems managing large-scale processes and related logistics;

• Reporting Stores – Many organizations have central reporting systems through which data from many different business applications is aggregated for analytics purposes; and,

• Other Learning or Talent Systems – Most organizations do not have fully integrated suites of learning or talent systems.

To keep the system useful, these data feeds should be updated regularly. All providers should give clients tools with which to import and export sets of data manually; providers should also support simple automated file transfers by periodic batch process. Today’s more adaptive systems go beyond batch processes to offer well-documented, client accessible application programming interfaces (APIs) and / or web services through which live, dynamic connections can be built.

Also included under this criteria is the most common type of data output – the report. Reporting is one of more important requirements for buyers of learning and talent systems; yet our research on these markets shows that providers continue to struggle to meet client expectations in this area. The adaptive solution to this problem is to give clients easy-to-use tools with which to build their own reporting and analytics.

Commitment to Open Architecture

Continuing on the theme of APIs, a major movement in modern enterprise software applications is what is called services oriented architectures (SOA). There is no commonly agreed-to set of criteria that define SOA; instead, SOA is a loose set of design principles encouraging software providers to create their applications for a set of modular services. These services talk to each other as part of how the application gets work done. But these services are designed to be open – and, therefore, should be able to talk with other services within the organization’s overall enterprise software environment.

The primary goals of SOA are to completely rethink system integration, supporting open data flow throughout the organization – and to allow users to string together functionality to form ad-hoc applications



that are built almost entirely from existing software services, the corporate “mashup95.”

It is important for buyers to explore the maturity of APIs. At a minimum, most buyers will need access to data models or database descriptions for the system’s most utilized functions. For more extensive integration, the system should have a set of documented interfaces to update the database, enter transactional changes and query the database from an external application.

Finding an Adaptive Platform: The Data

Expect all providers to include a comprehensive set of customizable stock reports within the system.

For learning systems, expect adherence to the oldest and most mature learning standards – AICC and SCORM 1.2.

For more adaptive platforms, look for the following.

Good

• A tool for manual import of data, such as user accounts, user information or past history.

• A tool for manual export of data, such as batch reporting.

• A client accessible API or set of web services that reaches at least some of the data and functionality in the system.

Better

• An embedded visual report-building tool or pre-integrated connections to an external third-party tool.

• Separate hardware infrastructure for reporting for performance and scalability.

• The API can access all or most of the system.

95 In technology, a “mashup” is a web application that combines data from more than

one source into a single integrated tool, thereby creating a new and distinct web service

that was not originally provided by either source. Content used in mashups is typically

sourced from a third party via a public interface or API; other methods of sourcing

content for mashups include web feeds (e.g., RSS / really simple syndication), web services

and screen-scraping.



• Access to comprehensive documentation of the system’s data model and schema.

Best

• A services-oriented architecture.

• The API is RESTful (see section, “A Few Notes”).

• Access to library of pre-built portlets ready to use in industry standard external portals.

• Support for industry portal standards, including: JSR 168, JSR 264, and WSRP.

A Few Notes

REST or “representational state transfer” is a style of software architecture for distributed systems, such as an LMS and other client systems. REST includes a set of guiding principles for how these systems should talk to each other. The goals of REST are to simplify communication between systems, improve scalability of connections and standardize the interface between systems. An API that adheres to REST is said to be RESTful.

Figure 56: Adaptive Talent and Learning Platforms Summary – The Data

Level 1: Hosted




Data

Includeds a comprehensive list of customizable stock reports;

Learning Standards supported include: AICC & SCORM 1.2.

Includes a built-in tool for importing data (including user);

Includes a built-in tool for exporting data;

A client accessible API and/orwebservicesare available;

SCORM 2004 (single SCO).

The application includes an embedded visual custom report building tool or comes with preintegrated connections to an external tool;

The application’s reporting functions are based on separate hardware resources from the core application;

API/webservicesaccessmost/allsystemfunctions/data;

Clients have access to up-to-date documentation for the application’s database model and schema;

SCORM 2004 (multiple SCO, sequencing).

Services oriented architectureAPI is RESTful.Provider offers out-of-the-box library of pre-built portlets;

Portal standards supported:JSR168,JSR264,WSRP;

HR data standards supported: HR-XML.




In most organizations, the LMS is the “single system of record” for training, certifications and compliance programs. If your LMS is being used for customer or channel training, the system will be your single system of record for customer certification programs and customer training revenue (which, in some companies, is a significant percentage of product and service revenues).

The bottom line is that the LMS does not stand alone; it must be integrated with several important systems, such as:

• HRMS – The corporate HR employee database;

• Financials – The corporate financial system that captures revenues and expenses; and,

• CRM – The corporate customer database, often called the “customer relationship management” system.

For internal training, integration with the HRMS is either important or critical. Particularly for compliance programs, training information must be correct, current and auditable (e.g., every change should be recorded and held in a log).

What does HR integration look like? Ideally, the LMS should contain an up-to-date record of all employees (or customers, if it is a customer training system), including:

• Name;

• Department or organization;

• Location;

• Reporting structure;

• Job level;

• Charge codes; and,

• Date of hire.

To keep this system useful, these data feeds should be updated regularly. In the early stages of implementation, this usually is accomplished by a batch data transfer. Over time, however, the LMS will need to stay more current with HR and other systems, and will require more frequent updates – daily, for some companies.



If you are implementing a performance management application, then additional information will be captured, such as:

• Performance ratings;

• Competency assessments;

• Job history; and,

• Development plans.

Because integrated performance management is so new, you will find that some of this information already exists in the HRMS (i.e., job history). It is important to consult with your HRIT or IT staff to define the “single system of record” for each of these data elements – otherwise, you may find it difficult to run accurate reports for succession planning.

An even more complex but often important issue is the integration of company financial information. When a learner registers for a course, a fee or chargeback often is assessed. The LMS must reflect the correct accounting codes and transaction amounts, so that billing is accurate – and then the charges are reflected in the corporate financial systems. For this information to be accurate, the LMS must have current financial accounts for each employee / customer, group and manager. Our research shows that many LMSs do not have accurate account codes. Many organizations use a periodic batch process to transfer charge codes from the financial system to the LMS. As employees change jobs and the company is reorganized, this information must be updated.

Most LMS buyers stress the importance of integration. In past years, these integrations were most important when the LMS was used as an enterprisewide application, rather than when the LMS was used as a customer or departmental system. Today, there is less of a distinction. More small companies now have the other systems (e.g., HRIS, CRM) for which an integration with the LMS is valuable.

In addition, integration is critical for any level of analytics; the more reporting required, the more important it is that the data be current and accurate.

For those companies that do need this integration, the key issues to consider are as follows.



• What tools and experience does this LMS provider have in integration with your particular HRMS, CRM or financial system?

• Do you have people internally who understand the nature of your HR system – and can you budget their time to work on this integration or will you have to hire someone externally?

• Does your LMS provider have a services organization that can build this solution? Can you talk with some of the provider’s references?

• Does it make sense to buy the LMS from your HR provider (e.g., SAP or Oracle / PeopleSoft)? Usually, integration is a key benefit here – but you should talk with references because, with some ERP provider products, the LMS is a standalone system that is not tightly integrated into the ERP (i.e., PeopleSoft ELM and Oracle iLearning).

Oracle and SAP provide HR integration with their systems, although the integration architectures vary widely from product to product. While this integration can be a benefit, it comes with a price. In many cases, the integration provided by the ERP solution reduces flexibility and requires the buyer to implement a specific version of the provider’s HRMS application. (For more information, see section, “Appendix VI: Solution Provider Profiles.”)

Include integration in your implementation plan and budget. HR and financial systems integration can be very expensive, and requires an ongoing investment. HR systems have complex data models and you will need someone who understands your HR implementation well. If your LMS implementation is enterprisewide, you must budget for this integration upfront and make sure IT is involved in the initial stages since, ultimately, most of the work typically falls upon your company’s IT staff and / or external consultants.

On-Demand Delivery Model

Our fourth adaptive criterion speaks to the delivery model of the software itself, something we have already touched on in some detail earlier when discussing SaaS.

SaaS Maturity

Ultimately, adaptability in terms of software delivery model is one and the same with SaaS maturity. Not all providers have fully implemented SaaS; those who have followed many paths.

Include integration in

your implementation

plan and budget. HR

and financial systems

integration can be very

expensive, and requires

an ongoing investment.

K E Y P O I N T



The most widely adopted maturity model for SaaS was published by IT research firm IDC in 2005.96

• Level 1: Ad-Hoc / Custom – Each customer has its own customized version of the hosted application and runs its own instance of the application on the host’s servers.

• Level 2: Configurable – Many customers use separate, configurable instances of the same application code.

• Level 3: Configurable, Multitenant-Efficient – The third maturity level adds multitenancy to the second level, so that a single program instance serves all customers.

• Level 4: Scalable, Configurable, Multitenant-Efficient – Technologies, such as load balancing, multitiered architectures and virtualization, increase the scalability of the platform.

For many LMS vendors, the SaaS model has been a challenge. Many LMS vendors (with the exception of vendors like Learn.com, GeoLearning and Cornerstone OnDemand) started life as licensed software companies, so they have had to adapt their products, business models and companies to build SaaS offerings.

In the talent space, many of the providers are younger and so a great proportion of them started as SaaS.

Global organizations will want to pay attention to whether or not the provider already has built-in relationships with global content distribution networks, or if their data centers are themselves distributed globally.

Finding an Adaptive Platform: The Delivery Model

To gauge adaptability for delivery model, simply determine the provider’s SaaS maturity.

96 Source: 2005 Software as a Service Taxonomy and Research Guide, IDC / Erin Traudt

and Amy Konary, June 2005.



Operational Support and Self-Service

The last adaptive category covers the experience of buying, implementing and operating the system.

Self-Service

Most providers offer training and documentation for implementing and operating the system. Most major providers have an extensive consultative selling process in place to make sure the buyer is sold the right product.

SaaS’s effect on the learning and talent management markets (and where we see adaptive providers evolving to) is not to replace the current practices in sales and training – but to add to them substantial capacities for self-service. An adaptive platform is all about giving buyers the tools to accomplish what they need to do, and that tendency toward self-service extends to sales and training, as well.

Finding an Adaptive Platform: Operations

Expect all providers to offer extensive training and documentation. All providers should offer a service level agreement and should assign an ongoing account manager to be your point of contact with them. Somewhat new, but increasingly standard, most providers that at least offer a hosted system also offer a trial period with their applications, allowing buyers the chance to “kick the tires” before final purchase.

Figure 57: Adaptive Talent and Learning Platforms Summary – Delivery Model

Level 1: Hosted




Delivery

24/7hostedaccesstoapplication.

All clients share a common“immutable”code-base;

Built-in relationships with content distribution networks (e.g., Akamai).

Multiple clients share an instance of the application (multitenant);

Application is broken into tiers to better balance hardware to traffic.

Architecture is “efficientmultitenant”;

One or more of the following may be used to increase efficiency and scalability: virtualization, globally distributed infrastructure or“cloud”computing.


Adaptive platforms

should include substantial

capacities for client

self-service, including in

the sales process and in

systems training.

K E Y P O I N T



For more adaptive platforms, look for the following.

Good

• Extensive on-demand learning resources are available, including e-learning, performance support and knowledge bases.

• A thriving online customer community exists and is a source of best practice.

• The provider can deliver a new environment within five business days of purchase.

Better

• User communities exist at both the regional and national level, and meet regularly, sometimes in person.

Best

• User communities exist globally.

Figure 58: Adaptive Talent and Learning Platforms Summary – Operations

Level 1: Hosted

Level 2: ConfigurableLevel 3:

Adaptive System


Operations

Extensive training and documentation available for all system roles;

Provider offers service level aggreement standard;

Client can purchase system on a trial basis.

Extensive on-demand learning is available, including self-directed e-learning, performance support and knowledge bases;

Well-cultivated user community to provide best-practice support;

New environment delivered in 5 business days or less (on average);

First real use of system in 2 months (on average).

Regional/national user meetings.

Global user meetings;

Client can complete purchase on provider website without live sales intervention.




Adaptive Maturity

Putting all of these adaptive pieces together, we have created the Bersin & Associates Adaptive Talent and Learning Platforms Maturity Model®. This concept is still very new. So it is not surprising then that, based on our current criteria, very few providers (if any) are entirely at Level 4 in our Model. Several are there in one or more of the subcategories discussed earlier, however.

Given that not all buyers are sold on the value of SaaS, a given system could also qualify in every other category except delivery model. Flexibility is the ultimate goal and, therefore, it makes sense that providers would want to be able to provide flexibility in delivery method, as well.

As you have likely deduced already, our Good-Better-Best breakdowns in the previous section correspond to Levels 2 through 4 of the Maturity Model. As with any such model, the lines between levels are fluid. This market is always evolving, so what is considered Level 4 today might move down the list tomorrow.









Level 1: Hosted

Still the most commonly supported alternative to traditional installed, licensed software across the talent and learning markets as a whole, the value offered by providers at this Level is simply the value of having someone else handle the IT needs related to your learning or talent system. Expect most systems to support simple configuration and, since each instance of the software is unique to the buyer, true customization, as well.


Based on the data we have collected, we would place the majority of providers interviewed for this report at this Level of Maturity overall. Providers in this Level can offer the benefits of placing clients on a shared architecture. Existing application functions in the system, as well as the application’s interface, are substantially configurable. Clients have ready tools for moving data into and out of the system.

The level corresponds to the “Good” set of criteria listed earlier in this report.


The more advanced providers across the board (as far as this report is concerned) would land at this Level. Providers at this Maturity Level offer real adaptability within the existing application. Clients have workflow tools to create their own process flows. APIs and web services make a substantial portion of the application’s functions and data available outside of the system. Multitenancy is included in the delivery model, offering real SaaS benefits.

The level corresponds to the “Better” set of criteria listed earlier in this report.


The highest Level of adaptive Maturity, some providers interviewed for this study are very close to achieving this. The primary difference between this Level and Level 3 is extensibility (without customization).

Not all buyers are sold

on the value of SaaS,

so a given system could

also qualify as adaptive

in every other category

except delivery model.

Flexibility is the

ultimate goal.

K E Y P O I N T



In Level 2, the client has control over how the system’s functions behave without altering them fundamentally. In Level 3, the client can adapt those functions to its own needs and create new workflows with those functions. In Level 4, the client can now add to the functionality of the system through plug-ins, customer web applications and custom database tables, among other things. At this Level, the application is truly a platform, one on which the client can build as well as adapt.

The level corresponds to the “Best” set of criteria earlier in this report.

Finding an Adaptive Provider

If finding an adaptive provider is important for your business needs, we suggest you consider adding some or all of the criteria we have introduced to your larger requirements gathering process. The good news is that many providers are already focused on evolving their systems into adaptive platforms. As is evidenced in the earlier sections, “What Makes a System Adaptable” and “Adaptability in the Market,” the truly differentiating criteria (how to separate an adaptive system from the rest) are reasonably easy to spot. In Figure 60, we have highlighted a few of them.

Figure 59: Tell-Tale Signs of Adaptability

Formandworkflowbuildingtools

Tiered application architecture

Ability to control upgrades

Willingness of provider to guarantee operability of configurations post upgrade

Extensibility of the system through plug-ins and a third-party developer community

A portal-style interface in which system functions are movable, configurable objects

A visual interface editing tool

RESTful APIs and web services with access to most of the system functions and data

Services oriented architecture

A visual report building tool

Fully mature SaaS delivery model

Extensive self-service system training and documentation


Despite all of the

talk about SaaS, not

all providers have

implementing it fully –

or taken the same

path. Interested buyers

should ask providers

to demonstrate the

SaaS maturity of their

platforms.

K E Y P O I N T



Keep in mind – it is still critically important that you should develop detailed use-case scenarios to guide the evaluation process. There are many other evaluation criteria that you should consider before purchase. Please see our LMS97 and Talent Management Systems98 industry studies for more guidance on selecting a provider platform.

Next-Generation Technology

The need for adaptability in enterprise talent and learning systems is clear. We expect providers to continue to find innovative ways to build flexibility and extensibility into their platforms. In this section, we briefly introduce some of the innovations already beginning to take shape.

Cloud Computing99

“Cloud” computing is currently a very popular (although perhaps misunderstood) buzzword in the IT world. The term originates from the common practice of using a cloud symbol to stand for the often nebulous networks (especially the public Internet) in between an end-user computer and the various servers and services that user accesses. Cloud computing is a natural extension of the concepts of SaaS and services oriented architectures introduced earlier in this report. Imagine if every one of the systems that you use in your company was delivered to you on a fully SaaS basis – and yet, because those systems were designed to be open, each of those systems was fully integrated with each other. The IT department within your company would not need to worry about questions of hardware (other than the PC on your desktop), data centers, system integrations, et al. That is the vision of cloud computing. All of the systems you access would be served to you from “the cloud.”

97 For more information, Learning Management Systems 2009: Facts, Practical Analysis,

Trends and Provider Profiles, Bersin & Associates / Josh Bersin, Chris Howard, Karen

O’Leonard and David Mallon, April 2009.98 For more information, Talent Management Systems 2010: Market Realities,

Implementation Experiences and Solution Provider Profiles, Bersin & Associates /

Leighanne Levensaler and Madeline Laurano, September 2009.99 For more information, http://en.wikipedia.org/wiki/Cloud_computing.

http://en.wikipedia.org/wiki/Cloud_computing



Just as with SaaS (a prerequisite for cloud computing), there are certain basic benefits to simply having your applications hosted elsewhere. But the value of hosting is not what makes cloud computing such a hot commodity right now. Fully realized, cloud computing is a method for making the potential IT resources of the world’s largest companies available to any company – large or small. Capital expenditures would no longer be necessary to invest in enterprise software applications. Companies would rent as much IT power as they need, similar to how they might pay for electricity today. From the perspective of the buying company, deciding to grow usage from hundreds of employee users to hundreds of thousands of employee users is simply a matter of turning a knob upwards. The provider(s) use technologies (such as multitenancy, tiered architectures and virtualization) to make adding and subtracting capacity remarkably routine.

IBM has devoted a major marketing campaign recently to touting the potential of cloud computing. Many other similar IT services providers are now helping organizations determine if moving their IT infrastructures to the cloud makes sense. Just as larger organizations have balked at hosting and SaaS, there are many obstacles to be overcome before cloud computing might become well-adopted by either the private or public

Figure 60: Cloud Computing

Source: Wikipedia, 2009.



sectors. In terms of adaptive learning or talent platforms, it remains to be seen if a provider will offer a complete HR infrastructure in the cloud. We believe several are at least contemplating such an offering. For instance, Saba’s recently announced plans to migrate its SaaS talent management suite product family to Amazon’s cloud computer infrastructure. This move could be seen as the first step toward a human capital or HR cloud.

Platform as a Service

Similar to the concept of cloud computing, another growing innovation in enterprise software is what is being called “platform-as-a-service100” (PaaS). As the name implies, this new idea is very related to software-as-a-service. As we have used it in this report, the word “platform” (as opposed to words like “system,” “application” or “software”) implies an environment on which to build functions and processes needed, rather than taking delivery of a finished set of developed functionalities. Therein lies the difference between PaaS and SaaS. A PaaS provider is offering more of a free-range product, comprised of do-it-yourself (DIY) tools with which organizations can then construct business applications. The platform likely comes with some mostly finished applications on which to build or to use as examples to follow; but, on balance, it is the DIY tools that are the value proposition for these products. The most well-know PaaS examples today are probably Google Apps, Saleforce.com’s Force.com platform and web-based database tools like Intuit’s QuickBase product.

PaaS is not likely to direct affect the learning or HR application markets any time soon, but you will likely see its influence as providers innovate to bring additional flexibility and extensibility to their products. We are not there yet in these markets; but it is possible that PaaS could become a fifth layer in our adaptive maturity model.

Predictive Platforms

One other theme that deserves attention is more specific to the talent management systems market. In our most recent market study for


Implementation Experiences and Solution Provider Profiles, Bersin & Associates /

Leighanne Levensaler and Madeline Laurano, September 2009.



this industry, we called out the potential for these systems to become predictive platforms as the next frontier101. Most current talent management systems do an adequate job of reporting on past activity in talent management processes, but do very little to forecast workforce needs and spot key trends. From our research, we are beginning to see a new potential for these platforms to help HR spot future trends. Once an organization has implemented multiple talent processes on an integrated platform, they begin to amass volumes of data. Pair that data with sophisticated business intelligence tools, and a whole new world of potential predictive talent analytics becomes possible.

This “predictive platform” is not a new application, per se. Rather, it is the next generation of a talent management suite that offers users intelligent and contextual information experiences to support strategic talent planning and to help HR answer complex questions. This information enables organizations to intervene early and respond quickly to workforce changes. It also provides the basis for “scenario planning” – which gives HR the information to optimize resources in certain business conditions or a given set of business constraints.



Leighanne Levensaler and Madeline Laurano, September 2009.



Global Support

Multilanguage Capabilities

Among companies surveyed for this study, 63 percent have global operations – outside of strictly the U.S. market. Figure 62 shows where these companies operate.

However, not all LMSs are deployed in a learner’s native language. A past study showed that 21 percent of U.S. large corporations have had their LMSs deployed in multiple languages. Besides English, Spanish and French are the most common languages – with 15 percent of the LMS deployments in Spanish and 16 percent in French102.

102 For more information, The LMS Operating Guide for Global Enterprises, Bersin &

Associates / Karen O’Leonard, March 2008.

55%

43%

36%

57%

35%

52%

32%

32%

53%

50%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

U.S.

Canada

Mexico

North America Total

South America & Caribbean

Western Europe

Eastern Europe

Africa / Middle East

Europe / Middle East / Africa Total

Asia-Pacific (including Australia / New Zealand)

Regions with LMS Users

Figure 61: LMS Operations of Study Participants




Among the global enterprises, the average LMS implementation had deployments in 11 languages. The majority of these companies had purchased a “language pack” from the LMS vendor, at a cost of tens of thousands of dollars. One company cited that it paid a $50,000 upfront fee for a pack with nine to 10 languages, with annual fees running $20,000.

A language pack typically translates the LMS interface, main menus and other standard messages. For user-defined data, however, a company needs to perform the translations themselves or hire outside translators.

Besides the out-of-pocket costs, using multiple languages requires additional administrative overhead. If a change is made to one version of the LMS, it must then be translated and changed in all languages. One company said that it maintains a massive spreadsheet with metadata for the application in order to keep track of all of the translation elements.

Some political issues may arise, as well. With learners located in dozens of countries around the world, in which languages do you choose to translate? This can be a tough decision, with strong views on all sides. In addition, one company said that the local learners did not always agree with the translations. Sometimes the translation in the language pack was incorrect, in which case the vendor would correct the error and send back a patch. But sometimes it was just a matter of personal preference, in which case the vendor is less willing to make the change.

Content Distribution Networks

The language used in the system is not the only factor determining the success of a globally deployed LMS. The system itself must perform equally well in each region in which audiences will use it. This issue can be especially problematic for rich-media heavy e-learning content.

The solution for most LMS providers is to setup relationships with content distribution networks (often abbreviated as “CDN”). These third-party companies specialize in providing global networks that duplicate rich content in identical data centers strategically placed around the world. For each end-user, the content is, in effect, local. The experience is seamless; end-users are not aware that they may be accessing an LMS that is served from the U.S., while the video they are watching is actually being served from Singapore.

One company cited that

it paid a $50,000 upfront

fee for a pack with nine

to 10 languages, with

annual fees running

$20,000.

K E Y P O I N T



Global LMS buyers should ask their providers about their CDN relationships. Keep in mind most providers do charge to use these services.

Local Expertise

Lastly, as most global organizations with global learning operations know full well, provider expertise in other global regions can also be a very important factor in successful global LMS deployments. Each country and global region is different, with different perspectives on learning, learning technology and, in some cases, different laws and regulations governing how these systems and their data are stored and used. Ultimately, a global-ready provider should be able to provide expertise in all regions in which they sell or, at the very least, offer ready access to on-the-ground partners with that expertise.



Implementation and OperationsThis section describes the approaches and costs associated with implementing and maintaining an LMS. We first will look at common LMS implementation models.

LMS Implementation Models

Companies use one of three basic models for their LMS implementations:

• A single, companywide LMS (see Figure 62);

• A companywide LMS in conjunction with one or more departmental LMSs (see Figure 64); or,

• One or more departmental LMSs with no companywide system (Figure 65).

We will discuss each of these models in turn.

Single, Companywide LMS

Most companies manage their learning initiatives from a single LMS. In this approach, a central team is responsible for implementing the system on behalf of the corporate learning team and business units. The LMS must have domain-level security and may need distributed management tools to enable different business units to build their own course catalogues, certification programs and their own particular business rules. The system then is integrated with the enterprise HR system, so that the user database in the LMS mirrors the corporate hierarchy in the enterprise HR system.

The benefit of this approach is that the LMS provides a consolidated view of training across the enterprise. The company can roll out enterprisewide training programs, then track and report the results. This approach also helps the company consolidate training and content providers into a smaller and, often, more affordable set of providers.



Centralization is not without its drawbacks. In fact, this is probably the most difficult way to implement these systems. The biggest challenge to a central LMS is that the training function itself is usually not centralized. As a result, the LMS must enable each business unit enough autonomy to customize its learning plans, programs, reports and approval processes for its individual needs.

For example, if a single plant wants to roll out an ISO9000 training program to its supervisors, the plant training administrator must coordinate with a central group to define this program in the course catalogue, set up the appropriate reports and possibly import custom content for the particular needs.

The process of reaching agreement on requirements and processes, and then implementing the LMS, so as to meet the needs of all stakeholders, typically takes many months or even years. (One major semiconductor manufacturer has been researching its enterprisewide LMS needs for more than five years and still does not have concurrence for a centralized solution.)


EuropeanSales

CorporateUniversity

ManufacturingPlant

EnterpriseLMS

EnterpriseHRMS

Figure 24: Single, Companywide LMS Model

Centralized IT andHR Management

Figure 62: Single, Companywide LMS Model


Bersin & Associates has

found that organizations,

which spend the time and

money implementing an

enterprisewide LMS, are

much more effective and

efficient than those that

do not.

A N A LY S I S



After the implementation, the central training group typically coordinates with local administrators to ensure that the processes and data in the LMS are consistent across the company. Some teams create standards for data and processes, and enforce these standards throughout the company. However, most organizations struggle with this issue. Our research has found that only 18 percent of companies say that nearly all of their standards, processes and data in the LMS are consistent.103

Despite these challenges, the effort to centralize does pay off in many cases. We find that organizations that spend the time and money implementing an enterprisewide LMS are much more effective and efficient than those that do not.104 Just the ability to view program spending and consumption often can enable savings of millions of dollars by facilitating the reduction in duplicate programs and content. These LMS investments may take two to three years to fully be realized, and must be supported with a set of shared services for content integration and administration. For this reason, more companies are turning to a centralized model as they begin to view the LMS as a corporatewide strategic system.



Associates / Josh Bersin, May 2008.104 For more information, The High-Impact Learning Organization: WhatWorks® in


Associates / Josh Bersin, May 2008.

For an enterprisewide

LMS implementation, we

recommend you focus

on the governance and

administrative processes

needed to implement

business-unit-level

programs.



Figure 25: Consistency of Standards in Centralized LMS

Nearly all standards, processes and data

are consistent

Very little consistency

A good deal of consistency

Some consistency

30%

46%

18%

6%

Figure 63: Consistency of Standards in an LMS




If you are embarking on an enterprisewide LMS implementation, we recommend you focus on the governance and administrative processes needed to implement business-unit-level programs. These groups have individual needs and must be empowered to make decisions quickly. Domain level security and distributed administrative features make this much easier.

Companywide LMS Plus Departmental LMSs

Some companies maintain a centralized, enterprisewide system for certain corporate training programs and also enable individual business entities to run separate systems for their own training needs. In these scenarios, central IT and provider management services may be provided, and often there is a governance committee that helps individual business units implement consistent processes. Also of note, customer training organizations often implement their own systems for external fee-based training. The needs for customer training can be very different from the needs for employee training.

Only six percent of

large enterprises

maintain a centralized,

enterprisewide system for

certain corporate training

programs.

K E Y P O I N T


Figure 26: Companywide LMS and Departmental LMS Model

Centralized IT andHR Management

EuropeanSales

CorporateUniversity

ManufacturingPlant

DivisionalLMS

DivisionalLMS

EnterpriseHRMS

EnterpriseLMS

Figure 64: Companywide Plus Departmental LMSs




In some companies, the learning management systems are distributed geographically. For example, the North American sales organization runs one system and the European sales organization may run a different system.

In addition to separate learning management systems, these individual groups typically have their own training staffs, budgets and content. They rely on the central training group and its LMS for enterprisewide programs, and offer their own business-specific programs to their learners.

This approach often is far easier to implement than the previous model. The selection and implementation processes are much simpler because the organization is not trying to meet the needs of all business units with one solution. The central training group can choose an LMS for enterprisewide training initiatives, while individual business units or regions can choose their own systems to meet their particular needs. This often is critical to success in companies in which great levels of autonomy are given to business units or geographies. In the automobile industry, for example, training of dealers and technicians often is linked to sales and dealer systems. There is no particular business benefit to having this LMS also run the training for IT programmers and database developers – they do not share much content, processes or data.

The downside to this LMS strategy is that:

• Costs usually are higher, due to duplicate administrative staff and hardware systems; and,

• Data often is inconsistent and redundant because HR systems cannot easily update and replicate each system well.

Departmental Only

Of course many companies still maintain one or more departmental systems, with no central or companywide LMS. This model is prevalent in companies new to e-learning. In addition, many large organizations implement this model by accident – individual groups that need training find their own solutions independently and so a number of systems crop up within the company. Over time, this ad-hoc approach becomes problematic, as it becomes nearly impossible to roll out enterprisewide programs with any level of consistency in learning method, management

The needs for customer

training are very different

from the needs for

employee training and

we strongly recommend

separating these groups.

K E Y P O I N T



and reporting. This approach also results in much higher costs due to the duplication of personnel, systems and provider contracts.

However, this approach is not without its benefits. It enables departments or business units to buy precisely what they need, and to implement their systems much more quickly. It also empowers individual training entities to own and manage their own systems. One function that often has its own LMS is customer training; customer education has a complex set of requirements for e-commerce, training units, interfacing with the CRM system and public access.

As an example, we talked with a large, well-known high-technology company that had been trying to buy an enterprisewide LMS for three years. The taskforce continually revisited the project, but could not obtain executive buyoff on the ROI. Through our discussions, we realized that the problem faced by the company is that each individual business unit is run independently. The business itself is naturally decentralized; hence, the company’s LMS strategy should be, as well.


Figure 27: Departmental LMS Model

European Sales

Asia / Pac Sales

DivisionalLMS

Departmental LMS

DivisionalLMS

Customer Training

EnterpriseHRMS

Figure 65: Departmental LMS Model

Source: Bersin & Associates, 2009



LMS Infrastructure within Large Businesses

From 2006 through 2008, large businesses were quickly moving toward a single enterprisewide LMS platform. In 2009, however, these efforts were halted, likely due to resource constraints.

Our research shows that, among large businesses using an LMS, the vast majority (84 percent) have an enterprisewide system in place. (See Figure 66.) But more departmental systems have cropped up over the past year. Eighteen percent of large businesses reported using a departmental LMS in addition to their enterprisewide systems, up from six percent in 2008. Another six percent reported using multiple departmental LMSs, with no enterprisewide system. This trend may be driven, in part, by stalled implementation projects and / or headcount reductions during budget cutbacks. As a result, business units or functional groups have turned to departmental systems to meet their needs.

We believe that, when the economy revives, these enterprisewide system projects will resume. Large companies recognize the costs and challenges in supporting multiple systems. An enterprisewide LMS helps organizations to eliminate redundancies and streamline processes. Although this can be a lengthy process, a single, standardized system can provide a companywide view of training activity, as well as provide greater consistency and reach of learning programs.


11%

5%

8%

5%

6%

7%

5%

10%

18%

6%

22%

30%

66%

82%

64%

55%

0% 20% 40% 60% 80% 100%

2009

2008

2007

2006

Single, departmental LMS Muliple departmental LMSsCompanywide LMS, in addition to departmental LMS Single, companywide LMS

Figure 66: LMS Consolidation




Which Model Is Best?

The centralized model is becoming more and more popular each year. As organizations understand the tremendous value of the data within the LMS (particularly for global talent management), there is more interest in centralization than ever.

However, the choice will depend upon your organization’s governance structure and culture. The centralized approach (a single, companywide LMS) typically works best in companies with hierarchical, centralized decision-making structures. The other two models work well when the company itself has a decentralized approach – in that management, authority and accountability are distributed to the lines of business or geographic regions. For this type of company structure, it is often very difficult for a team to select and implement a single, global system; hence, it is better to allocate budget and let each business entity make its own decisions.

For example, in most pharmaceutical and medical-device companies, the LMS used for manufacturing must be highly validated and tested (for FDA regulations). This validation process can create the need for customization, which makes it very difficult to upgrade the system regularly. The LMS used for sales training, by contrast, requires no such validation. It is common (in such companies) for the sales organization to use a completely separate system from the manufacturing or R&D groups.

Large high-technology product organizations often have a separate system dedicated to customer and partner education. While this is not ideal from the standpoint of sharing content, it occurs because customer training may be run by a completely different group and requires a set of features (e.g., price models, training credits and integration with CRM systems) that is not directly related to the corporate L&D’s schedule and priorities.

Even with such “satellite” or distributed LMS systems, in almost every organization there is still a need for some global programs that all employees must take (i.e., compliance programs). For this reason, we do not recommend the departmental-only model for most organizations. This approach does not enable the organization to deploy and measure enterprisewide learning initiatives – and typically results in much higher costs and uncoordinated, inconsistent training efforts across the company.

The centralized model is

becoming more and more

popular each year.

K E Y P O I N T

In almost every

organization, there is

still a need for some

global programs that all

employees must take.

For this reason, we do

not recommend the

departmental-only model

for most organizations.

A N A LY S I S



Going forward, we clearly see a trend toward greater centralization. Today, many large enterprises are struggling with the challenges of managing multiple LMSs and many are making an effort to standardize on a single platform. Although this can be a lengthy process, a single, enterprisewide system can reduce overall costs, provide a companywide view of training activity, and provide greater consistency and reach of learning programs. We believe that more businesses will choose to standardize on a single platform in the coming years.

Implementation Challenges

For many organizations, implementing an LMS can be a complex and lengthy process. Since the system is potentially managing every learning activity for every employee (or customer), there are a lot of decisions to be made.

• Thefirstsetofdecisionsrevolvesaroundhowlearnersandlearningprograms will be grouped. Here, you must carefully work with your provider to understand the implications of creating domains or groups, and identify from where data about employees will come.

• Second,youmustestablishgroundrulesforhowprogramswillbemanaged (i.e., what templates will be established for classroom courses, e-learning courses, books, materials and other learning content). If you are conducting customer training, how will billing be established and what approvals will be in place for enrollment?

• Third,youmustestablishrulesforsecurity,managerapprovalandworkflow. Which learners should have access to which functions? Again, the LMS provider will have worksheets and guidelines.

• Fourth,youmustestablishdefaultsettingsforreports,assessmentsand other peripheral parts of the system.

There is much more, as well, including:

• ITinfrastructure;

• Customizationoftheuserinterface;

• Establishmentofstandardsforcontent;

• Integrationofexistingcontent;and,

• Integrationandstandardizationofdevelopmenttools.



Ultimately, the biggest challenges of implementation are in the areas of customization and content integration.

Customizations

No LMS is 100 percent configurable, so the process of implementation will require some tradeoffs. Even today, with all the advances made in adaptive systems, many buyers are still forced into some customizations.

The best strategy is to start with a simple implementation, and add features and customizations over time. One high-tech company we interviewed wanted an out-of-the-box solution that it could get up and running quickly. The company made t-shirts emblazoned with the slogan, “Just SAY NO to customizations,” to continually guard against the temptation to tweak the system. The strategy worked, and the system was up and running in just 16 weeks.105 The project team created a roadmap for how the system would evolve over time, but the team still had to be extremely diligent to keep its focus on the initial implementation phase.

Content Integration

Despite the existence of e-learning standards, content integration is the second biggest challenge for learning management systems. The problem is that e-learning standards are not consistently implemented by providers, which results in errors in launching, and tracking courses and assessments.

The head of training for a large telecommunications company told us that its LMS from a leading provider still does not adequately track completions from a major content provider’s IT courses. As a result, learners must fax completion forms to the training administrator to get certification credit. This is not the way e-learning is supposed to work.

The challenge of integrating and supporting instructional content remains a burden on the IT resources of many training departments. Developers of training content (commercial and custom) spend most

105 For more information, An E-Learning Platform for External Training: A Case Study,

Bersin & Associates / Karen O’Leonard, July 2005. Available to research members at www.

bersin.com/library.

Despite the existence

of e-learning standards,

content integration is the

second biggest challenge

for learning management

systems.

K E Y P O I N T





of their time and resources developing quality instruction, rather than making the content work with enterprise systems, networks and other Internet services. We estimate that up to 15 percent of training technology budgets can be absorbed by what should be a non-issue for buyers.

There are developments, however, that are gradually changing this landscape – thus, making content integration a less challenging issue for buyers.

• SCORMandAICCspecifications(despite the challenges that providers have had in complying with them) are starting to deliver benefits; many learning technology sites are using them to move content between development and deployment platforms.

• Mostprovidersarepursuing“webservices”architecturesthatallowfor much easier and tighter integration scenarios.

• BothLMSandcontenttechnologyarebecomingmoremature–andmany of the kinks of five to seven years ago are gradually being worked out with provider cooperation.

Along with the challenges described above, our research on the topic of e-learning integration also uncovered strategies that organizations are using to minimize their negative impacts. We present these ideas for your consideration as you make technology and purchase decisions for your organization.

1. Do not rely on support for industry standards when making provider choices. Providers are well-intentioned when they tout their claims regarding support for standards, but these standards are simply not enough to guarantee that products will work together. These standards are, in fact, currently specifications – leaving too much room for interpretation by individual providers. Additionally, these standards do not address all the critical technology issues you will encounter.

2. Take steps to verify integration prior to purchasing. In today’s market, the most effective way to verify product integration is to speak to customers that have used the products together. (Please Note: Make sure these references are using the same version of the products that you plan to buy.) Some providers already have established relationships that you can leverage; however, this is just a starting point.



3. Establish a list of preferred providers that you know will integrate with your infrastructure. Such a list can encourage the various groups that procure content to work with providers that will provide some degree of interoperability and support (when things go wrong). Many providers have established certification programs that validate the interoperability of their products – and, while these programs are not a guaranteed solution, they are a step in the right direction.

The status of e-learning content integration remains a mystery to many training managers. Industry commentators and providers have encouraged buyers to seek support for industry standards (e.g., AICC and SCORM) as a stamp of approval. While standards support is important, experienced buyers know that there is much more to the complexity of dealing with many different e-learning systems and technologies.

Buyers are encouraged to work with providers that have demonstrated integration capabilities (both products and services) and can adhere to predetermined specifications for what integration means.

Data Integration

Data integration is a very important step in the implementation of an LMS. You must consider that every employee, customer or partner is represented in the system – and his / her organization, reporting structure, job role, language and even competencies are all used by the LMS. Much of this data is typically stored in the organization’s HRMS system (or CRM for customer training), so the implementation plan must include a stage for the development of scripts for regular and consistent data transfer.

Small organizations will replicate this data in batches on a periodic basis. Large organizations, however, must implement or develop an ongoing update process to manage reorganizations, new hires, people leaving the organization and other updates to HR data. This data is vitally important to the LMS because it often drives enrollment in mandatory certification programs and governs which programs an individual can access.

Accurate data integration is also important because it impacts the quality and accuracy of reports. When creating a report of student completions by manager or certification results by organization, the report must accurately reflect all the employees in that organization. When a customer training manager runs a report on revenue or compliance training for customers, the data must be accurate and up to date.

Experienced buyers

know that there is much

more to the complexity

of dealing with many

different e-learning

systems and technologies.

K E Y P O I N T



Most LMS providers have extensive experience in data integration with typical HRMS systems, such as Oracle, PeopleSoft and SAP. If you do not have an IT organization with the time and skills to implement this work, you will likely have to hire a consulting firm to build these integration scripts.

One alternative to avoid such problems is to purchase your LMS from your ERP software provider. All other providers’ LMS systems will need to be “integrated” with the source data independently.

Our customer satisfaction research finds that larger LMS providers have much more experience and tools to help customers develop such integrations.

Governance Challenges

With a centralized LMS, one of the challenges is setting up a structure that enables some activities to be standardized and performed by a central team, while delegating authority to local groups to perform other activities. Figure 67 shows which activities are best performed by the central team, and which activities are best left to individual departments or local groups.

For example, a centralized group should maintain global system and security settings, manage the portal design, and upgrade the system to the next release. This group also should take on most of the system support activities, including maintaining a team of central administrators, supporting local administrators and supporting learners.



Local groups or departments should be responsible for monitoring their enrollments and handling rosters. They also should set up their courses and individual learning paths, and perform skills-to-competency mapping for their learners.

Some activities should be performed by both the central training group and local groups. These include maintaining the skills database, course catalogue and instructors. Both groups should participate in these activities.

Many organizations maintain shared services teams for managing many of the local or departmental training activities. These individuals are part of a centralized training team, and provide a menu of well-defined services to line managers and local training groups. These individuals may report into the central training group, with dotted line responsibility to the local group or vice versa.

Figure 29: Shared Services for LMS Administration / Management


Manage Portal Design and Functionality

Upgrade to New Releases

Maintain Global Settings and

Security Settings

MaintainAdministrators

Support Local Administrators

Process Chargebacks

Support Learners

DevelopStandard Reports

Reporting

Cen

tral

ized

D

epar

tmen

tal

MaintainInstructors

Maintain Course Catalog

Maintain Skills Database

Manage Rosters

MonitorEnrollments

Maintain Resources

Monitor andDocument Completions

Bo

th

System Operations Content User Support

e-Learning Content Integration and Publishing

Local Reporting

Set up Curricula /Learning Paths

Map to Skills

Figure 67: Shared Services for LMS Administration / Management


Many organizations

maintain shared services

teams for managing

many of the local or

departmental training

activities.

K E Y P O I N T



LMS Costs

As the number and types of learning tools continue to grow, organizations find that maintaining, upgrading and supporting these learning technologies can be costly. Between 2006 and 2007, organizational spending on technologies rose significantly to 11 percent of total training spending.106 That was a period in which midmarket buyers were snapping up LMS systems, e-learning delivery was at an all-time high, and training spending and staffing were on the rise.

In 2008, the amount of spending allocated to learning technologies dropped precipitously to six percent. That was the first year of budget cuts, and usage of online learning and some learning technologies (including application simulation and virtual classroom tools) was down.

In 2009, the proportion of spending on learning technologies ticked up slightly to eight percent. As we saw earlier, online learning is back up – and with it the use of several authoring, delivery and informal learning tools.

106 The percentage of total spending allocated to learning technologies includes one-

time and ongoing fees paid for technology licenses, hosting, support and upgrades. It

does not include staff salaries for managing the technologies.


5%

11%

6%

8%

0% 20% 40% 60% 80% 100%

2006

2007

2008

2009

Figure 68: Learning Technology Spending as a Percent of Total L&D Spending 2006 to 2009 – U.S. Total





7%

7%

4%

10%

7%

11%

7%

6%

7%

8%

9%

8%

0% 20% 40% 60% 80% 100%

Large

Midsize

Small

2009 2008 2007 2006

Figure 69: Learning Technology Spending as a Percent of Total L&D Spending 2006 to 2009 by Company Size


Figure 70: Learning Technology Spending as a Percent of Total L&D Spending 2009 by Industry



5%

6%

7%

7%

8%

8%

9%

13%

0% 20% 40% 60% 80% 100%

Retail

Business Services / Consulting

Insurance

Government

Technology

Banking / Financial Services

Manufacturing

Healthcare / Medical



Implementing and maintaining a learning management system, specifically, can require significant resources.

Unfortunately, the work is not over once the system is up and running. Maintaining, upgrading and supporting these systems on an ongoing basis also require significant resources.

These costs include:

• Providersupport;

• Upgradeandmaintenancecosts;

• Softwarelicensingfees;and,

• Othercostsdirectlyassociatedwithoperatingthesystem.

Figure 71: LMS Implementation Costs by Size of Buyer



6%13%

16%

23%

13%

29%

21%27% 21%

6%6%

18%

52%

33%

10%5% 0% 0%0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Less than $50,000

$50,000 -$149,000

$150,000 -$299,000

$300,000 -$599,000

$600,000 -$899,000

$900,000+

LMS Implementation Costs – By Segment

Large / Global Midmarket Small

Median Small

MedianMidmarket Median

Large / Global

Recent data has shown a

decrease in average LMS

operating budgets, as

compared with previous

years – most likely due

to the widespread use of

SaaS and hosted systems,

which are less costly to

implement.

K E Y P O I N T



As one would expect, total operating costs increase substantially with the size of the company and, therefore, a greater number of learners. The majority of companies with fewer than 1,000 learners spent less than $50,000 annually, on average, while most companies with more than 10,000 learners reported spending at least $300,000 annually. (See Figure 72.)

Aside from the number of learners, the costs and resources required for implementing and maintaining an LMS depend on many factors. Figure 73 shows various fees and issues to consider with an enterprisewide LMS.

Figure 72: LMS Annual Operations Costs by Company Size



0%10%

29%24%

33%

5%0%0%

25%32%

25%

11%

0%7%

71%

14%14%

0% 0% 0% 0%0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Less than $50,000

$50,000 -$74,000

$75,000 -$149,000

$150,000 -$299,000

$300,000 -$599,000

$600,000 -$899,000

$900,000+

LMS Annual Costs – By Segment

Large / Global Midmarket Small

Median Small

MedianMidmarket

MedianLarge / Global




Figure 73: LMS Operating Cost Considerations

Elements Considerations

License Fees (paid to vendor)• Firstonetothreeyears• Basedonthenumberofusers

Support Fees (paid to vendor) • Basedonthenumberofusersandlevelofsupport

Language Packs • Numberoflanguages

End-User Support / Help Desk • Internalstaffingversusoutsourcing

Maintenance • IT/technicalresourcesin-house• Vendorsupport

Upgrades and Customizations• Complexity• Vendorprofessionalservicesand/orin-housetechnicalstaff• Impactonfutureupgrades

Hardware / Data Center• ITenvironment• Numberofserversneeded

HRMS Data Integration • NumberofsourcesofHRdata• QualityofHRdata

Data Migration• Numberoflegacysystems• Qualityofdata

Content Migration and Testing (e.g., surveys, documents and e-learning)

• Amountandtypeofcontent• Numberofsources• In-houseversusoutsourced

Technical Operations Management• Numberoflocations• Supportmodel

Application Administration• Numberofadministrators• Numberoflocations• Supportmodel

Application Training

• Numberofadministrators• Numberoflocations• Typeofusers• Supportmodel



For instance, every global enterprise we interviewed had performed some type of upgrade or enhancement during the course of the year. These ranged from small enhancements costing $15,000 to major upgrades costing $200,000 or more.

Staffing

In addition to the installation and operating costs, an LMS requires a significant number of staffing resources to manage and support the system. Resources are needed for LMS administration, learner support, reporting and project management. Technical or IT staff is needed for ongoing system maintenance, integrations and upgrades. Also, one or more persons are needed to manage the provider contract and relationship.

To perform these activities, companies with more than 30,000 to 40,000 learners allocated an average of 40 FTEs (full-time equivalents). Those with more than 100,000 learners employed between 50 to 100 FTEs, depending on the size and complexity of the organization. The allocation of resources per role is illustrated in Figure 74, which shows that approximately one-half of all resources among the companies interviewed was devoted to LMS administration. End-user support personnel accounted for 17 percent of all resources and IT / technical personnel comprised 10 percent. Fewer resources were required for activities, such as reporting, contracts / provider relationship, project management and content management.

Note that these figures do not include content developers, which can require significant resources.107

107 For more detailed salary and staffing requirements by role, please see, The

Corporate Learning Factbook® 2010: Benchmarks, Trends and Analysis of the U.S.

Corporate Training Market, Bersin & Associates / Karen O’Leonard, January 2010.



One final and very significant factor in the cost of an LMS is whether the system is implemented internally on the corporate infrastructure, or hosted externally by the LMS provider or third party. This is discussed in the following section.

Delivery Models

As covered in detail in the earlier section on “Adaptability,” today there has been a revolution in the deployment of enterprise software. There are now three vastly different options available to buyers (see Figure


Figure 74: Total LMS Staffing by Company Size

Number of Learners Number of FTEs* per 1,000 Learners

30,000 to 40,000 1.2-1.3 FTEs

100,000 or More .1 -.3 FTEs

*FTEs – full-time equivalents.

Figure 17: Allocation of LMS Resources (by role)


End-User Support

IT / Technical

Administration

Measurement / Reporting

Contracts / Vendor Relationship, 3%

Project Management, 3%

Content Management, 3%

Other, 5%

51%

17%

10%8%

Figure 75: Allocation of LMS Resources by Role




76). Because of the resources required to implement and maintain an LMS internally (behind the firewall), more and more organizations are choosing to purchase the application as a service from an external provider.

Among companies using an LMS, two thirds are using systems that are hosted externally and one-third are using systems installed internally behind the firewall. The significant penetration of hosted systems is striking – it underscores the need for systems that are easy and less costly to install and maintain.

Hosted systems are more prevalent among small companies, among which 65 percent are using hosted solutions. Smaller companies have fewer IT resources and, therefore, require an easy-to-use, easy-to maintain system. Midsize and large organizations also have greater numbers with externally hosted systems, although the split is closer to equal.

Figure 76: Three Models for Deployment

Model Description Implications

Licensed

You purchase the software and own itforperpetuity,paying18percentto 22 percent per year for ongoing support and maintenance.

You own and must operate the software – additional costs include database, hardware, operations and staff to apply updates and patches.

Hosted

You purchase the software and a third party operates it for you.

You own the software; another company operates it, and generally charges you a monthly or annual charge for operations, upgrade and support. Most LMS vendors offer this, as well. A good solution if you lack IT resources.

On-Demand SaaS (Software as a Service)

The LMS vendor does not license the software but only rents it to you, configured for your needs.

You do not purchase or install the software and, while your monthly costs may appear higher, you have no cost of operations, no cost of upgrades, and no cost of maintenance or hardware.


One of the big benefits of

the hosted or on-demand

model is the more

predictable operating

costs.

K E Y P O I N T



Among industries, healthcare companies, high tech and manufacturers have the highest usage of hosted systems, while retail companies have a high penetration of installed systems.

33%

51%

56%

65%

46%

41%

1%

3%

3%

0% 20% 40% 60% 80% 100%

Small

Midsize

Large


Figure 77: LMS Implementation Types for 2010


Figure 78: LMS Implementation Type by Industry for 2008



33%

50%

53%

20%

43%

38%

57%

37%

63%

45%

50%

80%

58%

60%

43%

62%

3%

4%

1%

0%

2%

0%

1%

0% 20% 40% 60% 80% 100%



Government


Insurance

Manufacturing

Retail

Technology


4%



As most organizations now have broadband Internet access, the on-demand or SaaS model has become very popular. It is by far the fastest-growing model for LMS implementations, particularly for small and midsize organizations, and increasingly for larger organizations, as well.

One of the big benefits of the hosted or on-demand model is the more predictable operating costs. In a licensed software model, you must compute your five-year costs, including a major upgrade after three to four years. In the on-demand model, your operating costs are slightly higher throughout, but you avoid the major upgrade headaches.

If you do have an internal IT organization, you can easily create a “cost-of-ownership” model comparing the options. You should compare the operating costs for managing your LMS with the on-demand prices quoted from your provider.

Even given these benefits, an on-demand or hosted solution is not for everyone. Many organizations will not permit sensitive HR data to leave the internal network. For those that do, integration between hosted LMSs, and internal HR and ERP systems is far more complex. Moreover, many hosted solutions do not provide the degree of customization that an organization requires. Buyers must make sure that their providers

SaaS or on-demand

systems are not just

for small or midsize

organizations any

more. Global enterprise

providers, such as

SumTotal and Plateau,

are increasingly providing

SaaS deployments to very

large global enterprises,

which tend to find the

reduced IT costs very

compelling.

K E Y P O I N T

Figure 79: Key Requirements for LMS Outsourcing

Requirements

Configuration and flexible implementation services.

Content integration services (you will have to send them content to integrate), with off-the-shelf integration.

Customizable user interface.Support services in catalog management and customizations.

24 / 7 support for global learners.Easy to use, configurable reporting systems.

Proven uptime and reliability statistics.

Interface and tool set to let you import HR data and export learning data.




have the level of features and customization needed to meet the needs of each of their constituencies (see Figure 79). Something as simple as creating a custom report may become a major headache if the outsourced provider cannot flexibly arrange the data to view by business unit, department or geography. All that said, many of the larger LMS providers that offer SaaS solutions are becoming more experienced with very large SaaS implementations; they are, therefore, experienced at mitigating some of the problems that might have prevented larger organizations from choosing this model.

The bottom line is this – if your configuration needs are simple, and you do not have the IT support or resources to implement and manage an LMS, a hosted or on-demand solution is a good option. In most cases, these LMSs will be simpler and less expensive to operate, but may provide less flexibility to customize business processes and integrate with other systems.

If you are looking at hosted solutions, we strongly recommend that you select a company that primarily or exclusively provides an outsourced model. Today, almost every LMS provider offers hosted or on-demand solutions.

Outsourcing the LMS

Besides outsourcing the IT system’s component of owning an LMS by choosing an SaaS or hosted model, organizations can also choose to outsource the administration of the system, the support provider to learners, or all aspects of LMS ownership and operations.

Outsourcing LMS Operations

Despite gains in the use of external instruction and content development, outsourcing was not up in all areas. Fewer companies turned to external providers for their LMS operations in 2009. This trend was mainly driven by small businesses, some of which cancelled their hosted or SaaS LMS contracts. When business conditions worsened, many small businesses viewed this as an expense that could be eliminated. In 2009, 26 percent of small business used an outside provider for their LMS operations, down from 35 percent the prior year.

Buyers must make sure

that their providers have

the level of features and

customization needed to

meet the needs of each of

their constituencies.

K E Y P O I N T



In the midsize business segment, outsourcing of LMS operations jumped considerably in 2007, as LMS vendors targeted this lucrative and underserved market. Usage dropped slightly in this segment in 2008 with the onset of the recession and has since leveled off at 35 percent. Outsourcing among large businesses also remained fairly steady from 2008 to 2009, with nearly one-half of these companies using external providers for their LMS operations.108

108 For more information, The Corporate Learning Factbook® 2009: Statistics,

Benchmarks and Analysis of the U.S. Corporate Training Market, Bersin & Associates /

Karen O’Leonard, January 2009.


30%

28%

35%

29%

0% 20% 40% 60% 80% 100%

2006

2007

2008

2009


20%

23%

24%

32%

33%

35%

36%

46%

0% 20% 40% 60% 80% 100%

Manufacturing

Government

Retail



Insurance

Technology


Figure 80: Use of External Providers for LMS Operations – 2006 to 2009


Figure 81: Percent of U.S. Companies Outsourcing LMS Operations 2006 to 2009 by Company Size




Outsourced Learner Support

Outsourcing of learner support remained fairly steady from 2008 to 2009, although the midsize and large business segments saw some growth in this area. This area includes technical support for users having problems with tasks, such as registering for courses, using online content or accessing transcripts.

Many midsize and large companies delegate these tasks to their central help desk, with a few specialists assigned for level two support. The growth in outsourcing within these businesses may be a response to headcount cuts or a general movement toward outsourcing support activities.

Figure 82: Percent of U.S. Companies Outsourcing LMS Operations 2009 by Industry



43%

33%

29%

39%

43%

26%

47%

36%

35%

48%

35%

26%

0% 20% 40% 60% 80% 100%

Large

Midsize

Small

2009 2008 2007 2006




23%

21%

27%

28%

0% 20% 40% 60% 80% 100%

2006

2007

2008

2009

Figure 83: Percentage of Companies Outsourcing Learner Support


Figure 84: Percent of U.S. Companies Outsourcing Learner Support 2006 to 2009 by Company Size



35%

23%

23%

25%

21%

21%

23%

26%

28%

39%

31%

26%

0% 20% 40% 60% 80% 100%

Large

Midsize

Small

2009 2008 2007 2006



Outsourced LMS Administration

Similar to LMS operations, fewer companies turned to external providers for their LMS administration, which includes managing learner registrations and uploading data. Again, this trend is driven by small companies dropping these contracts in a time of budget cuts. In 2009, just 16 percent of small businesses used external providers for LMS administration, down from 27 percent in 2008. Outsourcing of LMS administration remained steady among midsize and large businesses over the one-year period.

Figure 85: Percent of U.S. Companies Outsourcing Learner Support 2009 by Industry


Figure 86: Use of External Providers for LMS Administration



7%

21%

23%

28%

29%

30%

30%

33%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Retail

Government

Technology


Insurance

Manufacturing




24%

18%

26%

18%

0% 20% 40% 60% 80% 100%

2006

2007

2008

2009



27%

11%

26%

14%

21%

18%

28%

22%

27%

31%

21%

16%

0% 20% 40% 60% 80% 100%

Large

Midsize

Small

2009 2008 2007 2006


6%

15%

16%

16%

19%

20%

21%

25%

0% 10% 20% 30% 40% 50%

Retail


Government


Manufacturing

Insurance


Technology

Figure 87: Percent of U.S. Companies Outsourcing LMS Administration 2006 to 2009 by Company Size


Figure 88: Percent of U.S. Companies Outsourcing LMS Administration 2009 by Industry




LMS Customer SatisfactionGiven the significant amount of resources spent on learning management systems, training managers naturally want to see a positive return on these investments. So the question is this, how satisfied are organizations with their learning management systems and do these systems pay off?

As part of our overall talent management customer satisfaction research this year, we asked customers to rate their overall satisfaction with their current provider on a scale from one (completely dissatisfied) to five (completely satisfied). Preliminary data shows that the average score for LMS customers was 3.36 – the lowest of any of the various talent processes. In fact, having an LMS as part of a larger talent management suite had the largest negative effect on overall satisfaction.

Companies continue to be unhappy with their learning management systems.

For this report, we again asked about the biggest pain points. They continue to be reporting, customizations and overall usability. We found that these same issues continue to drag down customer satisfaction as a whole.

17%

18%

11%

23%

20%

25%

31%

27%

38%

45%

8%

14%

14%

19%

20%

28%

32%

32%

39%

39%

0% 10% 20% 30% 40% 50%

System Stability and Performance under Workload

Making Content Work Correctly

IT Implementation and Security Issues

Provider Service and Support

Administration

Adoption

Ease of Use

Integration

Customization

Reporting

2011 2009

Figure 89: Top Three Challenges with Current LMS 2010




We also asked about what advertised benefits current LMS owners have actually achieved with their systems. Figure 90 outlines the overall results.

In general, companies are fairly satisfied with the business value of their learning management systems. Many companies are satisfied that the LMS increases their learning department productivity, and that the solutions provide some cost-savings and additional access to consolidated data. However, there is still a lot of room for improvement.

Who is more likely to be dissatisfied? Here is a quick summary of our findings. Over the next few pages, we will go into some of these factors in greater detail.

Those likely to be dissatisfied include:

• First-timebuyers;

• Customersofvarylargeproviders;

• Customersofverysmallproviders;

• Usersofinternallydevelopmentsystems;

Figure 90: Realized Benefits of the LMS



10%

3%

8%

14%

24%

28%

32%

45%

46%

47%

50%

0% 20% 40% 60% 80% 100%

None of the Above

Time to Fill Roles / Skills Reduction

Headcount Reduction

Error Reduction

Process Step Reduction

Higher-Quality Data

End-User Adoption / Compliance

User Experience Improvement

Cost-Savings

Access to Consolidated Data

Time -Savings



• Somespecificindustries:

o Nonprofits,

o Healthcare,

o Insurance, and

o Manufacturing;

• CompanieswithtwoormoredepartmentalLMSs;

• Companiesthatarenotrunningthemostcurrentsoftwarerelease;

• Midsizeandlargecompanies(thosewithmorethan1,000employees); and,

• Thosethathavetospendmoretogetwhattheywantoutofthesystem (of course!).

First-time buyers are dissatisfied because they experience for first time the difficulties with the systems (e.g., ease of use, reporting, administration), whereas replacement buyers know what to expect.

Satisfaction depends on vendor. Some of the large leading vendors have low satisfaction rates, as do users of the many “other systems” not covered in this study. These others represent a hodgepodge of different systems – some from large service providers, like IBM or Accenture, for which the LMS is not their main business, and some from other small niche companies. Users of internally developed systems were also very dissatisfied.

Industry is also a factor in satisfaction. Industries with little IT experience seem more likely to be unhappy with their systems.

Finally, the less the company spends, the happier it is. Companies spending less than $75,000 per year on their LMSs are happier than those spending more.

Granted, the complexity of these systems makes it difficult to satisfy customers – the LMS is no longer just an application for the training department. Today, the LMS touches every employee in the company, and ties directly into HR and other third-party business applications. These systems can be just as complex as ERP systems.

But vendors need to do more than just improve their products; they need to significantly improve their customer service and support, as well.



Most vendors received inferior scores on customer service, product / technical support and being a “business partner” to customers. These are areas that can, and should, be addressed immediately in order to improve satisfaction.

Does the Product Meet the Need

As part of this year’s study, we asked current LMS customers to rank LMS features in order of relative importance to them, and then to indicate whether or not they were happy with how their current providers met that need.

Figures 91 through 93 contain the results; first overall and then broken out by customer size.

Figure 91: Feature Needs by Degree to Which They Are Met by Provider – Overall

Pro

vid

er M

eets

My

Nee

d

Generally Meets Need

• Externalcustomertraining support

• Catalogs

• Learningcontentintegration and delivery

• Courseandresourcemanagement

• Enrollmentandregistration administration

Areas for Improvement

• eCommerce

• Mobilelearning

• Knowledge-baseorperformance support functionality

• Systemconfigurability

• Easeofintegrationwithother systems

• Skillsandcompetencymanagement

• Surveysandassessments

• Social/collaborativelearning

• Usability

• Curricula,learningplans and certification management

• Learningreporting

• Providersupport

Less Important Moderately Important Very Important

Feature Is Important to Me




109 Global in this case means companies with 10000 or more employees spread across

multiple geographic regions.110 In this case, midmarket means companies with between 1000 and 10000 employees

in one location only.

Figure 92: Feature Needs by Degree to Which They Are Met by Provider – Global and Large Segments109

Pro

vid

er M

eets

My

Nee

d Generally Meets Need

• Catalogs• Externalcustomertraining

support

• Courseandresourcemanagement

• Enrollmentandregistrationadministration

• Learningcontentintegration and delivery

• Systemscalability


• eCommerce• Mobilelearning• Knowledge-baseor

performance support functionality

• Systemconfigurability• Skillsandcompetency

management• Surveysandassessments• Social/collaborative

learning

• Usability• Curricula,learning

plans and certification management

• Learningreporting• Providersupport• Easeofintegrationwith

other systems


Feature Importance


Figure 93: Feature Needs by Degree to Which They Are Met by Provider – Small and Midmarket Segments110

Pro

vid

er M

eets

My

Nee

d

Generally Meets Need

• Externalcustomer training support

• Easeofintegrationwithother systems

• Skillsandcompetencymanagement

• Surveysandassessments• Social/collaborative

learning

• Courseandresourcemanagement• Catalogs• Enrollmentandregistrationadministration• Curricula,learningplansandcertification

management• Learningcontentintegrationanddelivery• Systemscalability• Providersupport


• eCommerce • Systemconfigurability • Usability• Learningreporting


Feature Importance




Features were placed into each category based on the percentage of customers in each segment giving each of the following responses to our question.

• Very Important – Ninety percent or more indicated importance (either “very” or “somewhat”)

• Moderately Important – Less than 90 percent or more indicated importance (either “very” or “somewhat”), and less than 25 percent indicated unimportance (either “very” or “somewhat”)

• Not Important – Twenty-five percent indicated unimportance (either “very” or “somewhat”)

• Provider Generally Meets Needs – Fifty percent or more said LMS “completely meets” needs.

• Areas for Improvement – Less than 50 percent said LMS “completely meets” needs.

Both LMS providers and LMS shoppers can take valuable information away from these charts. As you will see, many customers feel that their systems are lacking in immediate out-of-box value. Remarkably few items are in the end “meets my need” row of the table, regardless of customer size.

These ratings may, in part, be driven by the amount of customizations needed in many systems (discussed next). In addition, although most LMSs today include a multitude of tools and capabilities (such as tools for content development, content management, testing / assessment, and even e-learning content), many customers find these tools to be lacking. It is difficult for LMS vendors to develop the breadth of topnotch tools that customers demand, in addition to the learning management capabilities. Vendors must either improve their tools or partner with third parties to deliver an integrated solution.

• Social Learning and Talent Management-Driven Learning – Social learning and talent management functionalities are still very new, and customers’ needs in these areas tend to be very complex. So it is not surprising that customers are not yet satisfied in these areas. What is interesting is that this item grew in importance from our last study, now rated as moderately important.



• Reporting and Analytics – Vendors must improve their systems’ reporting capabilities. Reporting is a notoriously difficult area for LMS products because of the range of data and varied needs of users. With the increased emphasis on enterprisewide reporting and demonstrating business results, customers are becoming more demanding of reporting capabilities and are even less satisfied with their systems’ performance.

• Content and System Integration – Despite the creation of e-learning standards, content integration is still a challenge. The problem is that e-learning standards are not consistently implemented by vendors, resulting in errors in launching and tracking courses and assessments.

The challenge of integrating and supporting instructional content remains a burden on the IT resources of many training departments. Developers of training content (commercial and custom) spend most of their time and resources developing quality instruction, rather than making the content work with enterprise systems, networks and other Internet services. However, there are developments that are gradually changing this landscape, thus, making content integration a less challenging issue for buyers.

o Despite the challenges that vendors have had in complying with them, the SCORM and AICC specifications are starting to reap benefits. Many learning technology sites are using them to move content between development and deployment platforms.

o Most vendors are pursing “web services” architectures that allow for much easier and tighter integration scenarios.

o Both LMS and content technology are becoming more mature, and many of the kinks of five years ago are gradually being worked out with vendor cooperation.

• Integration with Internal Systems – In most large enterprises, LMSs must be integrated with HR and ERP systems, eCommerce systems, enterprise portals, and a variety of other applications.111 Customers frequent find faults with these setups. This may be due to the increasing demands customers are placing upon their systems. For

111 “Enterprise resource planning” is a category of enterprise software that typically

integrates financials, HR, manufacturing, order processing and customer relationship

management in an integrated solution.



example, the growing interest in talent / performance management has placed more demands on integrating the learning system with the HR / performance management system.

• Ease of Use – Another area of improvement for learning management systems is in the areas of ease of use for learners and administrators. Ease of use will always be a challenge for LMSs, as these systems are taking a large amount of functionality and trying to shield the user from complexity in an easy-to-use package. Administrators need different functionality from learners, but also with an intuitive interface. This makes UI development a double challenge. Some vendors find that, while they can provide administrators with powerful capabilities, the system becomes too hard for learners to use.

• Customizations – As we have covered in great detail, buyers want adaptive systems. Many companies find that a “plain vanilla” LMS will not meet their needs – and they require customizations and enhancements to their systems, such as adding custom fields, modifying screens, and building utilities that move data to and from other systems. These customizations can greatly impact costs and implementation schedules. Once customizations are in place, they create a set of “customer-owned” modifications, which must be continuously retrofitted as new releases of the LMS are installed. Companies that develop such customizations end up with highly customized LMS systems that are very difficult (and expensive) to upgrade.

Customer Service Is Key

Our research found that a vendor’s service and support are among the main drivers of whether a customer is satisfied or dissatisfied. Vendors that provide outstanding customer service and product / technical support – and act as business partners to their customers – have higher satisfaction and loyalty ratings.

While you may spend an inordinate amount of time comparing product features in the vendor selection process, you should put more effort into evaluating vendor service capabilities. For vendors, these results clearly indicate that investing in technical support and service are as important as product features. Most vendors should spend more money in these areas, and less on sales and engineering.



In addition, several product-related issues directly impact overall satisfaction. One is the ease with which the system can be customized to meet the customer’s needs – customizations can cost customers a great deal of time and money. One key area is the system’s reporting capabilities. Again this year, reporting capabilities received the lowest satisfaction ratings of any area. This is a marketwide problem, as this was one of the lowest-rated areas for nearly every vendor in the study.

A vendor’s ability to provide a complete, out-of-the-box solution also greatly impacts customer satisfaction. Indeed, the number of features offered by learning management systems today is almost staggering (to list a few):

• Contentmanagement;

• Contentdevelopmenttools;

• Testing/assessmenttools;

• Talentmanagementfunctionality;and,

• Socialsoftwarefunctionality.

Small and midsize organizations, in particular, want a complete package, rather than having to purchase and integrate third-party tools themselves.

As previously discussed, LMSs must also provide easy integration with e-learning content, which is another key determinant of satisfaction. Buyers should make sure to include testing and integration of their content with the implementation contract.

Finally, ease of use plays a key role in customer satisfaction; customers demand systems that are easy to use for both learners and administrators. This is no easy feat for LMS vendors, given the complexity of these systems – but some vendors do better than others.

Hosting Offers Some Advantages

Customers with hosted systems are more satisfied in a few specific areas, including the ease of upgrading, ease of use for learners and vendor customer service. In general, hosted LMS solutions reduce the cost and complexity of implementation, upgrading and support. These systems are less likely to have extensive customizations and integration with internal systems than internally installed systems.



Vendor Satisfaction and Loyalty

One of the most important satisfaction measures is loyalty, measured as the propensity to switch vendors. The measure of customer loyalty represents a vendor’s overall ability to meet a buyer’s total needs. Many large enterprises have multiple departmental systems and are in the process of consolidating into a single, enterprisewide platform. This is an extremely lengthy and costly project, but provides enormous benefits in the end.

Figure 94: Likelihood of Switching LMS Providers in the Next 12 Months



Extremely likely; we already have a plan in place

15%

Somewhat likely; we are strongly

considering switching

17%

Somewhat unlikely; we recognize a

need, but do not have the budget

or resources14%

Not likely; we see no compelling need to switch

48%

Not sure6%

Likely to Switch?



In some cases, a high likelihood to switch may result from a buyer simply purchasing the wrong product. Although this may seem to be a buyer-driven issue, vendors that “push their products” into the wrong customer segment or application area often find themselves in this situation.

It is very important for vendors to be honest and practical during the selection cycle, and to make sure that they truly believe their solutions are a good fit for the buyer’s needs.

Size Matters

Another factor influencing customer satisfaction is the size of the implementation (in terms of number of learners served) and cost of the system. In general, smaller organizations (with fewer learners and simpler implementations) are more satisfied. As more learners are added, the system becomes more complex and more costly. This complexity is not driven simply by the number of learners, but by the number of different “domains” or “groups” of learners, which typically have different reports, administrators, security issues and course catalogues. These complexities make the implementation much more difficult.

In addition, large global enterprises generally require a high degree of flexibility and scalability, and a sophisticated software architecture in their learning management systems. These customers require far more than features; they expect their LMSs to function as part of their corporate IT architectures and, thus, have extensive integration needs. Hence, vendors with a large number of these “global enterprise” customers have lower satisfaction ratings than vendors with a few, smaller-scale implementations.

Looking at this question from the other direction, we do see a difference in satisfaction and loyalty based on the size of the LMS provider. In Figure 95, we breakout interest in switching based on the size of the provider (in revenue and customers).



The reasoning here is partially the same as for size of implementation. While not always true, buyers do tend to look for providers like themselves; so larger providers will attract those larger, more complex implementations. That said, there are smaller providers that focus on large company needs, and the data in Figure 95 above suggests that choosing such a provider may have benefits.

An Opportunity

Most companies derive a great deal of business value from their LMSs – but not without a significant number of customer satisfaction issues. The results show that most vendors in this market do a mediocre job of

Figure 95: Likelihood of Switching by LMS Provider Size


0%

4%

11%

0%

33%

37%

61%

54%

0%

20%

7%

23%

67%

20%

11%

15%

0%

20%

11%

8%

0% 20% 40% 60% 80% 100%

Internally Developed

Large

Midmarket

Small

Extremely likely; we already have a plan in place

Somewhat likely; we are strongly considering switching

Somewhat unlikely; we recognize a need, but do not have the budget or resources

Not likely; we see no compelling need to switch

Not sure



servicing their customers and understanding their clients’ true business needs. For vendors, this is another clear signal to invest more in their services organizations.

This also presents a real opportunity for vendors to differentiate themselves in the marketplace. With so many dissatisfied or barely satisfied customers, an exceptional vendor can quickly rise to the top and become the “gold standard” of LMS vendors. We will continue to monitor customer satisfaction with learning management systems and will report on the progress going forward.



Selecting an LMSGiven the wide variety in providers and feature sets, how do you go about selecting the right system? Our research has illustrated many best practices to help pick the right system and the right partner provider.

Step 1: Develop and Communicate the Business Case

The first question an organization must answer before purchasing (or replacing) a learning management system is, “what business problems are we trying to solve?” Why is this project important? What strategic goals will it address? When will it provide a return on investment (ROI)?

Figure 96: A Nine-Step Process for LMS Selection



1. The LMS Business

Case

2. Initial Requirements

Gathering

3. The Short List

4. The Request-for-

Info (RFI)

5. Detailed Requirements

Gathering

6. The Request-for-

Proposal (RFP)

7. Evaluate Providers.

8. Check References.

9. Choose a Provider.



These are all questions that need to be answered early in the process. The answer is not automating our training delivery process but, rather, statements like:

• “Wewanttosavetimeinthetrainingdeliveryprocess”;

• “Wewanttocapturehigher-qualityinformationondevelopmentneeds to improve workforce skills”;

• “Wewanttoimplementasoundcareermanagementanddevelopment process to improve our leadership pipeline”; or,

• “Wewanttoimplementon-demandorsociallearningtoimproveworker performance.”

At an even higher level than this, you need to ask, are these goals designed to “increase sales,” “drive expansion into new markets” or “reduce costs?” You should have these business goals clearly defined before you set out to select a system.

When you have the answers to these questions, you are able to evangelize the LMS to others in the company in order to secure their support throughout the procurement and deployment process. The business case should identify the strategic corporate objectives being addressed and provide specifics on how this project will contribute to the objectives. If improving customer satisfaction is a strategic objective, for example, then providing better training to customer service staff will help achieve that objective. The LMS is a means to this end; it is required to administer and track staff compliance with training standards.

Project teams that have not gone through the rigor of the previous steps in this methodology tend to struggle with clearly articulating and quantifying the value that the organization will receive as a result of the requested investment. One of the most common problems we encounter is an organization that tries to justify the cost to implement systems outside of addressing an overarching learning strategy and the measurable outcomes of the specific learning program initiatives the system will ultimately support. Not surprisingly, these same organizations lack a senior leader outside of L&D to champion the initiative and the funding request. In the competitive landscape of business today, most executives are truly committed to improving workforce productivity and ensuring that the organization has the best talent to deliver on the business strategy. L&D’s role is to be the enabler of organizational performance and to support these goals.



A best-practice approach is to create a story that illustrates how the requested investment will add value and pay off over time, allowing executives and stakeholders to envision the direct connection to the business. This type of high-impact business case should include both direct benefits (identified through the outcomes aligned to specific measures) and indirect benefits (described as other business measures and descriptions of the user experience).

Once the business goals are identified, an ROI analysis should be conducted to justify the purchase to the organization. All the costs and potential savings for the project need to be identified. Companies have many different standards for what can be considered cost-savings and what type of financial model should be used to calculate ROI.

Once you have documented the goals and ROI for the project you will need to present your findings to the executives who can help fund and support your project.

Step 2: Gather Requirements

Conduct Process Design Sessions

Once your organization has developed a business case for an LMS, it is time to focus on process design and requirements gathering. You will need to identify, very specifically, what you want the system to do for your company. Taking control of this step will help you ensure that you get a solution which will truly solve your training challenges and reduce your chances of being the victim of an aggressive sales job by a vendor.

In advance of conducting the process design sessions, we recommend documenting and distributing copies of any current process flows (if they exist), including identifying the following:

• Processanddatainputs;

• Processanddataoutputs;and,

• Audience/users.

This documentation and appreciation of the current state will help the team assigned to design the process to leverage existing work – and to identify gaps in supporting a more integrated approach to data, process and analytics.



Any process design effort should begin with the end in mind. The business goals identified should determine the process and data outcomes, as well as the overall user experience.

Due to the complexity of each individual process, truly integrated processes typically evolve over time as foundational data is established. L&D leaders charged with organizing and facilitating these sessions should try to involve representatives from key stakeholder groups (such as employees, managers and business leaders) to provide additional perspectives – thus beginning your change management efforts. The team should include representatives from all affected groups. The IT group should be at the top of your list since you need their help to implement the system. If you are training customer service agents then the director of customer service may be on your list of stakeholders. By including all affected groups, you will not only get a better list of requirements, but you will get better support when the time comes to implement the system.

Determine High-Level Requirements and “Big Rocks”

You can interview the stakeholders or ask them to prepare a list of requirements from a structured document. The requirements document itself should include as much detail as you need to communicate what you need the system to do. Also remember that requirements may also include things that you do not consider product features, but are required for the success of your project, such as price, adherence to certain IT standards and implementation within a certain timeframe.

Your high-level requirements statements should include both your mission-critical functional requirements (as identified in the process design sessions), as well as any technical requirements (such as the type of architecture and delivery model). At this stage, we recommend identifying four to six requirements that are deal-breakers for your organization – meaning that your company would not select a provider that did not support these requirements. For example, a large consulting firm’s “top four big rocks” for a talent management solution included:

1. Functionality – Support for integrated performance management, informal learning / knowledge-sharing, deep virtual classroom integration and competency management;



2. Global Capabilities – Multiple languages, multiple currencies, localized user experience and flexible business rules;

3. Delivery Model – Software-as-a-Service; and,

4. Architecture – J2EE and SOA.

Step 3: Identify Best Fit Provider Solution Providers

By identifying the “big rocks,” your organization is able to more effectively narrow the field of providers that are appropriate to invite to a more in-depth evaluation process. We recommend that you leverage industry research (such as this report) to build an understanding of the changing provider landscape. Be certain to clearly understand your unique mix of requirements before you engage any provider. In doing so, you will save your organization precious time and money.

Keep in mind that vendor viability is a key consideration for most companies. Vendors that are not considered financially viable may not be a good solution for you (your purchasing department can provide criteria for financial viability).

Step 4: Make Initial Contacts and Create a Request for Information (RFI)

Developing and submitting an RFI to this select group of vendors is your next step. The purpose of the RFI is to get enough information from the vendors to determine if you should spend any more time with them. Include the big rocks and / or other vendor characteristics that you cannot live without, and ask the vendors to respond as to how they would fulfill each one of your needs.

You may need to qualify the vendors on things other than product features. For example, perhaps your budget is very limited and you suspect that only a few vendors will be able to meet your price (although remember that vendors are very flexible on price these days). In the RFI, you should ask for some approximate pricing. Or there may be a specific product feature that automatically removes a vendor from further consideration if they can not provide that capability. For example, some



industries must comply with very strict federal laws on how training records must be maintained and how quickly they can be accessed. If this applies to you, then not having this feature is a “show-stopper” in proceeding further with that vendor.

The RFI will help minimize the time you spend with vendors that will not meet your needs. You should not submit the RFI to any more than 10 vendors. By the way, if you skip this step, your RFP process could become a nightmare. The RFI process will give you the information to narrow down the list to a few (ideally two or three) vendors for the RFP. Sending out an RFP to a dozen vendors is a frustrating and very time-consuming process – for you, as well as for the vendors themselves.

We also recommend conducting discovery briefings with three to four providers and your core project team before issuing a request for proposal (RFP). The goal of the briefings is to familiarize your project team with the providers’ capabilities and to explore potential solution options based on your critical requirements (all before your procurement team puts a moratorium on communications with the providers). Advances in software development and delivery models have created an environment in which innovative features are released with great frequency. Providers that have adopted open standards and Web 2.0 technologies are now offering highly interactive user experiences, including capabilities that were not previously possible with earlier generations of learning management systems.

During the briefing, your team should see what is possible in terms of data and process integration, and enhanced user experiences – which will ultimately help shape your detailed requirements documents (including the use-case scenarios). The briefings can be conducted using a web-conferencing tool and should last about an hour or two.

Additionally, the rationale for determining your high-level requirements and conducting the provider briefings before the development of the business case is to determine the most accurate solution definition, and to establish some baselines for pricing and level of effort.

Step 5: Develop Detailed Requirements Documentation

Once you have received approval of the business case, it is time to document the detailed requirements and selection criteria you will use



to evaluate the providers. The process documentation is the best starting place. Each process step, with the inputs and outputs, should represent one (or many) features that you would like to have in a system. We recommend organizing these features by functional or process area. For each feature, your project team and stakeholders should identify the level of criticality. We recommend identifying the features you need to have for the initial deployment separately from the features you will need in subsequent phases.

Most providers are feature-rich in some areas, and lighter in newly developed or acquired applications. Developing a clear understanding of your immediate needs and long-term needs will aid in the evaluation of how a provider’s product roadmap aligns with your roadmap.

While “feature lists” are helpful for general analysis of providers, they will not do you much good in the final selection – and, in our experience, developing use-case scenarios is the most effective approach in determining which providers truly understand and have resolved the problems you want to solve. A use case is a complete scenario that describes how your organization handles (or expects to handle) a specific business process. Use cases deliberately focus on the nitty-gritty, real-world details (not the sexy features that often get attention in standard provider demonstrations). Additionally, use cases let your organization set the playing field based on your actual needs – not the provider’s strengths.

Since each provider under evaluation gets the same use cases, you also have a strong “apples-to-apples” comparison of systems. For the most realistic use cases, we recommend involving managers and employees in the design or review phase of the use-case development effort. Figure 97 is an example of the structure for a comprehensive use case. Some organizations also supply the providers with sample data and content to streamline the evaluation process.



We recommend that you select five to six scenarios to be supported by a use case. These scenarios should come from your “big rocks” (the non-negotiables), as well as any process that is particularly complex in its management. We advise organizations to develop use-case scenarios for each user role. Use cases are a fantastic way to evaluate the user experience. Providers may not be able to support your processes exactly as they are defined in the use-case description – but providers may be able to offer you a more effective and efficient approach, based on the flexibility of their products and customer experience. The best course of action is to truly understand and document what your needs are, as well as the desired results / outcomes.

Your technical requirements are another set of needs that should be documented before you formally engage the providers. We recommend engaging your IT business partners as early as possible and including them on the core project team (if they were not involved in the development of the business case). One of the biggest decisions your team will make will be on the delivery model. Unfortunately, this decision is made difficult because of the inconsistent use of terminology and associated definitions among providers on the three models. (See section, “Delivery Models.”)

Regardless of the type of delivery model you select, IT is a major contributor and partner in the selection, implementation and operations of your solution.


Figure 97: An Example of the Structure of a Use Case

• Use Case Title

• Scenario Objective(s)

• Actor(s)

• Preconditions/Setup

• Step-by-Step Actions

• Success Case Results

• SuccessCaseExpectations/Notes



Step 6: Develop a Request for Proposal Document

Once you have received responses back from the RFI, you can determine which vendors are suitable for further discussion. You should select no more than three to four vendors, at most, to take to the next step – the RFP.

Your requirements documentation will provide the bulk of the content for the RFP. Most companies have standard RFP templates that their procurement / purchasing teams have designed. At a minimum, an effective RFP should ask the providers to address their companies, their customer experience, their vision and philosophy, their financial strength, their product roadmaps, and their services and support structures. It is helpful to ask vendors when they will support a certain feature if it is not currently available in the product.

Submit the RFP to the vendors you qualified from the RFI phase.

Step 7: Evaluate Providers

Develop an Evaluation Scorecard

Most organizations include many stakeholders in the evaluation of the providers’ responses and onsite demonstrations. With multiple perspectives evaluating different aspects of a provider’s submission and information, the evaluation process quickly becomes unwieldy. For example, we have included a breakdown of the typical high-level “sections” included in a comprehensive scorecard:

• WrittenRFPresponse;

• Functionalsection;

• Technicalsection;

• Companyoverview;

• Oralproviderdemonstration;

• Companypositioning;



• Intangibles;

• Use-casescenarios;

• ITbriefing;

• Customerreferencechecks;

• Financials/provideranalysis;

• Pricing;and,

• Service-levelagreement.

We strongly recommend establishing a specific protocol addressing which members of your project team will be evaluating and scoring each aspect. Criteria, weightings and evaluation scales should be established to ensure consistency and to focus on the most important requirements.

Score RFP Responses

Using the scorecard, identified project team members should score the responses from the providers. We recommend that the team members score individually and then come together to calibrate those scores with each other. This evaluation should be completed before the provider demonstrations begin, so that items in question or that require further discussion can be highlighted and addressed when the provider is onsite.

Conduct Provider Demonstrations

Your final three providers should be invited to meet with you onsite for five to six hours – to provide a thorough company overview and to demonstrate their capabilities to support your unique use cases. To ensure that this is a valuable use of time and to control the content of the day, we recommend providing the providers with an hour-by-hour agenda with explicit instructions for them to prepare. The objective is to help the providers shine against your requirements, so you should provide them with as much support and context as possible.

Score Provider Demonstrations

Following each provider demonstration, we recommend that all of the evaluators meet for a facilitated debriefing session – which typically



involves the communication of the score totals, as well as a plus / delta analysis of each provider and its solution.

Step 8: Check Provider References

There really is no substitute for a reference. We recommend that organizations interview five customer references from the provider using a standard set of interview questions (see Figure 98 for sample questions). Keep in mind that each organization’s requirements, deployment plans and technical landscape will vary; therefore, questions related to implementation timelines and pricing should be asked with an understanding of the organization’s current context. It is best if the customer references represent organizations of similar size and industry, with common business strategies and use cases to your own. Customer reference interviews present a wonderful opportunity to probe into the areas in which concerns surfaced during the demonstrations or from the written responses. We encourage you to take the time to visit these companies in person, if possible.

The vendor will most likely give you the names of satisfied customers, so you will need to dig a bit deeper to get a true reflection of how satisfying the experience has been for the customers.


Figure 98: Sample Customer Reference Questions

Does the functionality of the system meet or exceed your business needs?

Did the vendor deliver the solution on time, on budget and at an acceptable quality level?

How would you describe the customer service and the post-implementation support (i.e., poor / good / excellent / exceptional)?

Was the training provided on the use of the system thorough and appropriate?

Were promised upgrades, enhancements, patches and service packs delivered as scheduled / promised?

Would you buy this product again, and choose this vendor and solution?



Step 9: Make Provider Recommendation(s)

You now have all the information you need to make a final product selection. Once the team has scored the providers in the intended areas, it is time to make a recommendation to the key stakeholders. The final summary should include all of the feedback – including the information gathered by the procurement department on pre-negotiated pricing, service-level terms and an analysis of the provider’s financial performance. You should identify your top two recommendations (in the event that contract negotiations with your top provider do not work out appropriately).

If you discover that more than one vendor will meet your needs, then you will be in a good position to select the vendor that will give you the best price.

Other factors in making the decision could include such things as price, the implementation timeframe for the product, the resources that the company can make available for the implementation, the company location, the enthusiasm of the staff and so on. Ultimately, you will need to consider some or all of these factors before you make a final product decision.

This Process, although Complex, Does Work

This is not a process that we made up. We have worked with dozens of companies and helped them through this process – and this is what works. If you are in a hurry, you may try to skip some of these steps but, in fact, you will probably find that you will need to go back and do them later. Keep in mind that you need not perform all of these steps in a specific order. You may, for example, begin vendor research before conducting an internal needs analysis. While this is okay, you do not want vendor capabilities to dictate your needs. Only you know what you really need for the business problems that you are trying to solve.

Develop a Methodology and Make It a Team Approach

The most important thing to keep in mind is that you have some type of methodology for determining what you need and which vendor can provide the best solution.



The Market for Learning SystemsApproximately 40 percent of U.S. training organizations reported using an LMS in 2009 (see Figure 99), a figure that has remained fairly stable over the past three years. This market has matured considerably.

With a myriad of providers serving the market, LMS buyers have a wealth of available choices. Recent mergers, however, are an indication that the market at the top end is consolidating. Yet many new providers are still entering the space at the bottom. Distinguishing between providers continues to get harder and harder.

Today, we believe the market has started to segment itself into several broad categories of LMS companies:

1. Integrated Talent Management Suites, such as Plateau, Saba, SumTotal and Taleo / Learn.com;

2. Social Learning Platforms, such as Jambok, Bloomfire, Q2 Learning and Expertus One; and,

3. Specialists, for verticals such as healthcare, extended enterprise, compliance and content.

The one group that you might notice is not there is traditional employee training management systems. Yes, most providers in this report do


39%

38%

39%

39%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

2006

2007

2008

2009

Figure 99: LMS Usage




support that need but, oddly enough, there are few providers which would now say that is their one and only focus.

Across these categories, there are two slices to keep in focus:

• Market Leaders – Which have three percent or more market share globally; and,

• Emerging Providers – Which are smaller companies that are rising in status and size.

The market leaders tend to have a large enough installed base and revenue stream to invest in acquisitions and new technologies (e.g., webcasting, collaboration, content management and talent management features); they offer features and capabilities needed in a wide range of industries.

The smaller providers may actually have similar or greater capabilities in many areas – but have fewer customers, and less R&D dollars for growth and investment. They tend to focus on specific market segments (e.g., industries, geographies or customer types), and often have unique system, content or services capabilities.

This is not to say that buyers should only consider market leaders. The market leaders indicated in Figure 100 tend to have large numbers of customers and may, in fact, not serve your particular market or needs as well as one of the smaller providers. Our research on customer satisfaction also showed that the smaller, fast-growing providers have equal or higher customer satisfaction in many cases.

Our recent research

shows that more than 70

percent of organizations

with more than 10,000

employees have one or

more LMSs installed.

K E Y P O I N T



Figure 100: Global Top 30

Market Leaders (3% market share or greater)

Emerging Providers (<3%)

Global

PlateauOracle

PeopleSoft (Oracle)SabaSAP

SumTotal

Ancile Solutions (RWD)ACS

Business Training LibraryCegos Group

CertpointCornerstone OnDemand

ElementKHealthstream

Intuitionimc

LearnshareMeridian KSI

MC StrategiesMzinga

NetDimensionsNetLearning

REDTRAYRISC

SilkRoadTechnomedia

TEDSWBT Systems

Large, Midmarket, Small

BlackboardGeoLearning

Learn.com (Taleo)SkillSoft


Figure 101: Fastest Growing of the Rest

Allen Communications Learning ServicesBlatant MediaCyberwisdom

OZ TimeE2TrainEmtrain

Epath LearningExpertusHalogen

On Point DigitalOperitelReliant

StrategiaStepStone




Overall Purchase Drivers

For this study, we asked current LMS owners to identify their primary reason for purchase. Figure 102 shows the top overall purchase drivers.

Figure 102: Overall Purchase Drivers

Percent Purchase Driver

Change in Importance

from Previous Years

67% To better manage training administration (greater efficiency).

54% To deploy e-learning courses.

51% To consolidate information into a companywide view of training.

23% Meet compliance or regulatory requirements.

18% To gain additional capabilities not found in previous LMS.

14% Forintegratedlearningandperformance/talentmanagementcapabilities.

13% To facilitate skills and competency management.

5% To manage external or revenue-based training.

3% Forsocialnetworking/collaborativecapabilities.

Legend:

= No change in importance and a consistent top pick.

= Of increased importance to recent LMS buyers versus past buyers.

= Of equal importance to recent and past LMS buyers.

= Of decreased importance to recent LMS buyers versus past buyers.




We compared responses from this study with those from our last report. We were able to discern not simply which drivers were most important, but also changes in relative importance for recent versus past buyers.

The following few key points stand out.

• Withtheconditionoftheeconomy,weknew2010wouldbea“back-to-basics” year and this data reinforces that view. Buyers continue to purchase LMSs to better manage their training administration and to deploy e-learning. In fact, training administration actually jumped significantly in relative importance year over year. These two issues have been, and continue to be, the primary reasons driving companies to purchase these systems. These items top the list for all market segments (sizes of companies), as well.

• Theneedtodeploye-learningcoursesasadriverisespeciallyprevalent among first-time LMS buyers.

• Replacementbuyers(companiesreplacingtheircurrentLMSwithanew one) are also seeking to gain additional capabilities – they have either outgrown their systems or need new features. Stated reasons included such items as better reporting capabilities, better SCORM-compliance, better system performance and better usability. These reasons match up with the major customer satisfaction issues already identified in this research.

That said, this drive is falling in importance overall. Today’s systems are extraordinarily feature-rich – almost too rich. Many buyers expressed a desire to see the basics done better.

• Thebiggestincreaseinimportance,justmorethanone-halfofbuyers say they purchased the LMS to consolidate information into a companywide view of training. This once was one of the core reasons why organizations sought enterprise systems, but it had fallen off some in the past few years. Now it is back.

• Integratinglearningwithperformance/talentmanagementwascited by about 13 percent of companies, down from one-quarter of companies last year. We know that interest in integrated talent management continues to rise but, at this point, fewer of those buyers are starting with an LMS. This speaks to the maturity of the talent management systems market.



• Theneedtomeetcompliance/regulatoryrequirementswascitedby about one-quarter of respondents. This item has become less of a driver over the years, as companies recognize the value of the benefits of an LMS.

• VeryfewcompaniesboughttheirLMSsspecificallytomanageexternal or revenue-based training, or for social networking / collaborative features.

Analysis of Customer Segments

The learning systems market is very broad, comprised of multiple customer segments. Each type of customer has different needs and requirements, and most providers focus on one or two particular segments. By knowing these segments, you can best see where you fit, and understand the providers, solutions and issues you will face in your LMS selection and implementation. We segment the customer types into the following four broad categories.

• Global – Large enterprises with global learner populations of tens of thousands of learners, operating in two or more global regions.

• Large – Large enterprises and government organizations with 10,000-plus learners, operating in any one global region.

• Midmarket – Organizations of all types, including divisions within larger entities, with between 1,000 and 10,000 learners, operating in any one global region.

• Small – Organizations and departments within large organizations with up to 1,000 learners, operating in any one global region.

• Federal Government – Federal government, including the military.

Overall adoption of learning systems looks very different for the various segments of the market – a critical factor in understanding current market trends. For example, midsize companies were the hottest segment of the LMS market in 2007, with nearly every major LMS vendor rolling out solutions targeted at midmarket buyers. As a result, usage jumped considerably. Since then, this segment has cooled off somewhat but, as you will soon see, it remains a significant source of overall growth.



LMS usage among small businesses had been holding steady, in the 35 percent to 37 percent range, but usage declined in 2009 to 31 percent. The drop-off is likely due to small companies that were using hosted or SaaS solutions, an expense that was dropped when business conditions worsened.

Finally, the large business segment is primarily a replacement market. Approximately three-quarters of large companies reported using an LMS, a figure that has not change significantly over the past four years. The main issue within this segment has been the proliferation of multiple departmental and divisional systems, prompting a move toward consolidation to an enterprisewide platform.

Figure 104 illustrates the combined percentage breakdown of customers for all providers participating in this study, as compared with data from our last report. Figure 7 (repeated in this section) shows a similar comparison of revenue share derived from each segment.

In the past, the large and global segments lead the way, both in terms of customers and in the relative share of revenue that they generated. By the time of our last report, the midmarket had overtaken the upper tier in numbers of customers, but large companies still generated most of the providers’ revenues.


37% 35% 36% 31%

51% 63%57%

57%

75% 72%79%

76%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2006 2007 2008 2009

Small Midsize Large

Figure 103: LMS Usage by Company Size




Note that the relative weight of the small and midmarket categories in terms of customers is growing at the expense of the large and global segments112. As noted, there is little room for LMS growth at the top end of the market – and what growth potential exists in that segment is now largely superseded by the overall talent management suites market.

112 We did not have enough government participation in this study in order to include

them in these segment analyses.


28%

28%

44%

49%

29%

23%

0% 20% 40% 60% 80% 100%

2009

2010 (Estimated)

Small Midwarket Large / Global

Figure 104: Breakdown of Customers by Segment for Providers in This Study 2009 to 2010


Figure 7: Relative Share of Overall Revenues by Market Segments – 2009 to 2010




When talking about learning systems alone, growth will continue to come from the midmarket and smaller organizations, both in North America and globally.

Figure 105: LMS Market Overall and by Segment 2009 to 2011


$0$100

$200

$300

$400

$500

$600

$700

$800

$900

$1,000

$1,100

$1,200

$1,300

$1,400

2009 2010 (Estimated) 2011 (Projected)

Small Midmarket Large / Global

$951$1046

$1153

Small$176

Midmarket$367

Large / Global$409

Small$214

Small$256

Midmarket$432

Midmarket$495

Large / Global$399

Large / Global$409


1%

6%

4%

3%

15%

20%

0% 5% 10% 15% 20% 25%

Large / Global

Mid

Small

Segment Growth Growth Relative to Total Market

Figure 9: Projected Revenue Growth for 2011 by Market Segment




Figure 105 shows our estimates of the current global LMS market for 2009 to 2011. To derive these estimates, we used information provided by LMS providers, customers, census information, market research and financial reports from public companies in the LMS market. Figure 9 (repeated in this section) shows our projected growth rate by segment for 2011.

Because of the enormous revenue opportunity in the market, we believe there will continue to be a wide variety of providers. Although consolidation has been underway, there are still dozens of providers serving the U.S. market today and we expect this to continue. One could compare the LMS market to accounting software – although QuickBooks and Peachtree are the largest providers (by volume), there are dozens of providers of specialized accounting software. Likewise, we expect there to be dozens of providers of different types of learning management software.

Our next section will describe the four market segments and how they differ in requirements. It is important for you to think about which segment your organization is in, because the solution providers and LMS strategy varies widely by segment.

Global Enterprise

We define the global enterprise segment as organizations with more than 10,000 employees and which maintain operations in more than one global region. They use LMSs to manage corporate training and workforce development initiatives around the globe. These organizations typically have many training applications, such as sales training, IT and technical training, management training, and compliance training. The LMS serves as a single source of information (or one of a few) for corporate learning and supports a distributed network of learners in different languages.

Global enterprise systems demand:

• Worldwidesupport;

• Multilanguagecapabilities;

• Scalabilitytohandletensofthousandsoflearners;

• Domainmanagementandsecurity;and,

• Arichsetoffeaturesforenterprise:



o Management,

o Reporting, and

o Configuration.

These organizations must also have the ability for a centralized group to establish global settings, as well as having local groups administer their own course catalogues, programs, reports and e-learning initiatives. In this market, the LMS must operate like an ERP application and organizations are often willing to spend millions of dollars on the implementation. The benefits of such a global enterprise solution are many, including:

• Asingleviewoflearningforcompliance,budgetarycontrol and standards;

• Theabilitytorapidlydeployenterprisewidecomplianceprograms;

• Theabilitytouseenterprisedatafortalentmanagementapplications; and,

• Theabilityfororganizationsthroughouttheworldtosharevaluablecontent, programs, processes, tools and reports generated by the central organization.

The major players in this segment are Accenture Learning, Oracle (both EBS and PeopleSoft platforms), Plateau, Saba, SAP and SumTotal.

In the global enterprise

market, the LMS

must operate like an

ERP application and

organizations are

often willing to spend

millions of dollars on the

implementation.

A N A LY S I S

Figure 106: Key Drivers for Global Enterprise Buyers

A centralized database with tight integration to global HRMS.

Consolidation of LMSs into one platform, enabling different business functions and geographies to administer their learning programs independently within the global system.

Multilanguage, multicurrency, global support and service from a vendor, often with requirements for 10 or more languages and currencies.

Vendormustprovideglobalsupportthroughregionaloffices, distributorsand/oranetworkofglobalpartners.

System must adopt a variety of regulatory rules, particularly those that limit management access to certain information in countries, like Germany.

System must typically comply with global IT requirements for architecture, scalability, availability and concurrent user performance.




Large

We define the large segment as organizations (corporate and government) that have 10,000 or more learners, and may support more than one language – but do not expect to have globally distributed administration of the system. These organizations often do use the system as a corporatewide application, so they tend to use the system for many training applications (e.g., sales training, technical training, soft skills and compliance training).

In addition to the global enterprise providers mentioned above, providers that focus on this segment include Ancile Solutions (formerly RWD), ACS, Blackboard, Cegos Group, Certpoint, Cornerstone OnDemand, eXact Learning Solutions (formerly Giunti Labs), GeoLearning, GeoMetrix, Halogen, imc, Intuition, LearnShare, Mzinga, Meridian KSI, NetDimensions, OutStart, Operitel, RISC, SilkRoad, SkillSoft, Taleo (Learn.com), Technomedia, TEDS and WBT Systems.

Figure 107: Key Drivers for Enterprise Buyers

A centralized system that can support the needs of many organizations, many types of learning programs and some distributed administration (typically within a single country).

Integration with the HRMS for employee data. Need for the system to integrate with other talent management systems over time (i.e., performance management, compliance).

Support by IT to maintain and support the system (if licensed for internal use).

Scalability to support large workloads as the system is rolled out to field offices, sales reps, retail locations and other distributed employee locations.

Ability to implement central management and local control for enterprise learning initiatives, and excellent central support tools for reporting and configuration.




Midmarket / Departmental

We define the midmarket (or departmental) segment as organizations with 1,000 to 10,000 learners. These groups may be small to medium-size companies, nonprofit or community organizations, departments of larger companies, or state or local governments.

Midmarket buyers generally take a more tactical approach to their training needs than larger organizations. These organizations may buy the LMS with a focus on a single program or set of programs. Thus, their application needs are less demanding than the two enterprise customer segments. For example, midmarket customers may purchase an LMS to:

• Providetrainingforcustomersorexternalpartners;

• Enablerolloutofanewsalestrainingprogram;

• FacilitateretrainingofITstaff;and,

• Provideaportalformanagementskillsandprofessionaldevelopment.

These organizations select LMSs as applications, not systems. They are looking for a solution to an immediate business problem – and usually are less interested in IT architecture, data and system integration, workflow flexibility, and advanced configurability.

These customers typically need basic learning management and e-learning features. They require ease of installation, ease of use, and may require integrated development tools to help build and publish content. Their budgets and IT staffs are smaller than those of large organizations and, therefore, require lower total cost of ownership. For these reasons, many of these customers choose hosted solutions.

This is the fastest-growing segment of the market. We think this segment is where the greatest revenue growth lies in the LMS market today and over the next few years.

We think the midmarket /

departmental segment

is where the greatest

revenue growth lies in the

LMS market today and

over the next few years.

A N A LY S I S



In addition to all the providers in the global enterprise and enterprise segments, the major players in this segment are Business Training Library, ElementK and REDTRAY.

Since this market has grown so rapidly, most of the global enterprise and enterprise providers have created special business units and on-demand versions of their systems to address this market. Saba, SumTotal and Plateau have seen significant growth in their SaaS offerings.

Figure 108: Key Drivers for Midmarket Buyers

Automate training processes within a few key training needs (i.e., customer training, sales training, channel training, IT training).

Affordable implementation and operational costs. Ability to operate and support the system with little or no IT skills.

Easy to configure and set up, self-service software, and easy to build custom portals for user groups.

Flexible system to grow and implement additional training programs and applications over time.


Figure 109: Key Drivers for Government Buyers

Proven scalability and experience with government programs and talent management initiatives.

Need to work under government contracts and established relationships with large government integrators.

SCORM-compliance.

Integration with a wide variety of off-the-shelf content and ability to support disconnected users in many applications.

Flexibility to work with large systems integrators as a subcontractor.




Federal Government and Military

This is a special segment of the LMS market. Federal government and military organizations have unique requirements and purchasing patterns. Federal and military buyers tend to need all of the features of global enterprise buyers, plus they often have unique needs because of the limited e-learning infrastructure within the federal government. The Department of Homeland Security, for example, has tens of thousands of workers who must be trained, but who have no direct access to the Internet.

The purchasing process in this segment is typically very structured and well-defined. Providers that serve this market tend to have special selling and marketing teams focused on the federal market. Key players here include GeoLearning, Meridian KSI, Plateau, Saba, SumTotal and Taleo (Learn.com).

Customer Buying Trends by Segment

These customer segments map well into the LMS roles described earlier. Each customer type tends to approach the LMS selection and implementation process with different goals. For the sake of simplicity, the federal government segment is included with global enterprise customers, since the needs for these segments are somewhat similar.

As described earlier in this section, midmarket buyers purchase LMSs to solve a particular business problem. For example, the system may be deployed for a customer training initiative or to help reduce the cost of training administration. Suites are popular with this segment because they offer a simpler, integrated solution. On-demand solutions are another popular alternative because of their less-complicated and less-costly implementation and maintenance.

While most midmarket and departmental buyers are not looking for talent management features (yet!), over time we believe they will. As LMS providers demonstrate low-cost, easy-to-use “prehire to retire” tools for performance management, succession planning and other HR functions, we believe that some of these midmarket organizations will gladly purchase an integrated solution from their LMS providers.

Enterprise customers look for best-of-breed solutions, and typically have IT involved to look at system architecture and scalability. Providers

Midmarket buyers

purchase LMSs to solve

a particular business

problem.

A N A LY S I S



that focus here must have highly scalable systems, professional services capabilities and modern, open IT architectures.

Global enterprises, in particular, select and implement LMSs like a piece of corporate IT infrastructure. For these customers, the LMS is not just an application – it is a piece of corporate plumbing. It must use the right IT architecture; it must fit well with other systems; and, it must be manageable and supportable by IT. Providers that focus here must have robust multilanguage / multicurrency support, strong IT architectures, and experience integrating their systems with a wide variety of HR and other applications.

Federal government customers have a few other unique requirements; they often demand a deep level of functionality in skills and competencies because of the federal government’s push into critical skills analysis. State and local governments are starting to see the need for LMSs, as well – and their requirements are typically similar to those in the midmarket and enterprise segments, albeit, often with lower budgets.

LMS Solution Providers

Despite the high-profile consolidations occurring at the top of the market (Taleo and Learn.com, SumTotal and Softscape, et al), the LMS market remains extraordinarily fragmented, with a myriad of providers serving particular customer segments or vertical industries – and many new providers still coming into the market. For this report, we invited 111 providers worldwide to take part. Ultimately, we analyzed data from 68 providers. This report contains detailed profiles (see section, “Appendix VI: Solution Provider Profiles) for the top 30 companies in terms of 2010 market share. These are the top-tier companies (see Figure 110), which are relatively mature and have solid customer bases.

These providers all offer LMS solutions that fit some or most of the requirements in the segments previously discussed. We estimate there are between 300 and 500 solutions available throughout the world – many come from content providers, systems integrators and other providers that look upon the LMS as an enabler of another part of their offerings.



In this report, we focus on companies that offer a clearly defined learning systems solution – offering an easy-to-understand, focused application that will likely be a good investment for many years to come.

Provider Revenues

To help buyers understand where different players fit in the market, we have analyzed providers by a variety of measures. One useful metric of corporate viability is annual revenue.

The revenue estimates shown in Figure 111 are for LMS licenses, support and services. To derive these estimates, we used information provided by providers, customers and financial reports from public companies in the LMS market. Providers are listed alphabetically within each column.


Figure 110: LMS Solution Providers

Providers Profiled in This Report

ACS (Xerox) LearnShare Saba

Ancile Solutions (formerly RWD)

Meridian KSI SAP

Blackboard Mzinga SilkRoad

Cegos Group NetDimensions SkillSoft

Certpoint Oracle EBS Softscape (SumTotal)

Cornerstone OnDemand

Oracle PeopleSoft SumTotal

Element K Plateau Taleo (Learn.com)

GeoLearning REDTRAY Technomedia

imc RISC TEDS

Intuition RWD WBT Systems




EMTrain SkillSoft

ePath Learning

Gen21

GeoMetrix

Gyrus Systems

HRsmart

LearnShare

MediaDefined

NetDimensions

NetLearning (Cengage)

On Point Digital

Operitel

Orchestrata (Beeline)

Figure 111: Estimated 2010 Provider LMS Revenues

Less than 10M 10 to >20M 20M to >40M 40M to >80M 80M +

Allen Communications Learning Services

Certpoint ACS (Xerox) Oracle (EBS) Saba

American Research Institute Element K BlackboardOracle

(PeopleSoft)SumTotal

Avilar imcCornerstone OnDemand

Plateau

Blatant Media Intuition GeoLearning SAP

Business Training Library

Mzinga Healthstream

Cezanne Software REDTRAYLearn.com

(Taleo)

E2Train RISCMC Strategies

(Elsevier)

eLogic Learning RWD Meridian KSI




Figure 111: Estimated 2010 Provider LMS Revenues (cont'd)

Less than 10M 10 to >20M 20M to >40M 40M to >80M 80M +

OutStart

Reliant

SilkRoad

Softscape (SumTotal)

StepStone

Strategia

Talent2

Tata Interactive Systems

Technomedia

TEDS

Thinking Cap

Time4You

Trivantis

Ultimate Software

WBT Systems

Upside Learning Solutions



Provider Revenues

Saba and SumTotal remain the two largest players in this market, each with more than $80 million in LMS revenues and substantial market share. Each of these companies plays in the global enterprise, enterprise and midmarket segments.

Oracle, SAP, Saba, SumTotal and Plateau have the largest and most complex customer bases. While larger providers often have more sophisticated products and offerings, bigger is not necessarily better. Many of the smaller providers are strong, fast-growing companies and have unique, well-differentiated product lines. Survey data collected as part of our recent talent management customer satisfaction study reconfirmed that smaller companies tend to have more satisfied customers.113 With fewer customers, these providers are able to give each client a great deal of personalized service. In addition, their implementations tend to be simpler, with fewer learners located in one or two regions. We found that the more complex the implementation, the more problems that can arise – and, thus, the less satisfied the customer.

Figures 112 through 116 show each provider’s share of total LMS revenues – first overall globally, then for North America and then by customer segment (also globally). Considering that our study includes a much larger representation of global providers this time, comparisons to numbers in our past reports are difficult at best.

113 For more information, Talent Management Systems Customer Satisfaction 2011: A

Comprehensive Study of Customer Experience with Talent Management Systems, Bersin

& Associates / Barb Arth, December 2010. Available to research members at www.bersin.

com/library or for purchase at www.bersin.com/tmscustsat.



http://www.bersin.com/tmscustsat



Figure 112: 2010 Provider Shares of Total LMS Revenue Worldwide


SumTotal9%

Saba8%

Plateau6%

SAP5%

Oracle EBS4%

Blacboard4%

Taleo (Learn.com)3%

GeoLearning3%

SkillSoft3%

Oracle PeopleSoft3%

ACS (Xerox)

2%


2%Meridian KSI

2%

HealthStream2%

MC Strategies

Inc.2%

imc2%

Mzinga1%REDTRAY

1%

ElementK1%

Certpoint1%

Ancile Solutions1%

Intuition1%

Cegos Group1%

RWD1%

NetLearning1%


1%

Technomedia1%

SilkRoad1%

Softscape1%

NetDimensions1%

WBT Systems1%

Other24%



Figure 113: 2010 Provider Shares of Total LMS Revenue – North American Focused Companies


SumTotal10%

Plateau9%

Saba8%

Taleo (Learn.com)5%

Blackboard5%

GeoLearning5%Oracle EBS

4%

SkillsSoft4%

Oracle PeopleSoft3%HealthStream

3%

SAP3%

MC Strategies Inc.3%

Meridian KSI3%


3%

ACS (Xerox)

2%ElementK2%

Certpoint1%

RISC1%Mzinga

1%


1%

RWD1%

NetLearning1%

SilkRoad1%

LearnShare1%

TEDS1% Softscape

1%

Operitel1%

Intuition1%

Technomedia1%

GeoMetrix0%

0%

Other15%



Figure 114: 2010 Provider Shares of Global LMS Revenue from Customers with 10,000 or More Employees


Saba15%

SAP11%

Oracle EBS8%

SumTotal7%

Plateau5%

ACS (Xerox)5%Blackboard

5%

Cornerstone OnDemand3%

Certpoint2%

HealthStream2%

RISC2%


Intuition1%

imc1%

Technomedia1%

Meridian KSI1%Taleo (Learn.com)

1%

Oracle PeopleSoft1%

GeoLearning1%

Mzinga1%

SkillSoft1%

WBT Systems1%

Softscape1%

Expertus1%

Tata Interactive Systems1%

REDTRAY1% ElementK

1%

Operitel1%

OutStart1%

TEDS1%

Other20%



Figure 115: 2010 Provider Shares of Global LMS Revenue from Customers with 1,000 to 10,000 Employees


Plateau10%

SumTotal9%

Saba6%

GeoLearning3%

Meridian KSI3%

Blackboard3%

Oracle PeopleSoft3%

REDTRAY3%

Mzinga3%

Taleo (Learn.com)3%

Oracle EBS3%

ElementK3%

SkillSoft2%


Cornerstone OnDemand2%

imc2%

HealthStream2%

NetLearning2%

RWD1%

ACS (Xerox)1%

SAP1%

Certpoint1%

RISC1%Intuition

1%

SilkRoad1%

LearnShare1%

Softscape1%

E2Train1%

TEDS1%

Technomedia1%

Other25%



As you can see, the approximately 70 providers’ worth of data directly analyzed for this report account for about three-quarters of the worldwide market. Most of the “other” providers comprise the other 40 or so providers that we invited to participate, but for which no data was submitted. That said, most of them are known to us and we are confident in the estimates we had to make to account for them.

The “other” category also includes the use of open-source options, such as Moodle or Sakai, either directly or through integrators such as Kineo and Moodlerooms.

Figure 116: 2010 Provider Shares of Global LMS Revenue from Customers with Less Than 1,000 Employees


SumTotal15%

Taleo (Learn.com)10%

SkillSoft10%

GeoLearning8%

Oracle PeopleSoft6%

Business Training Library3%

NetDimensions2%

Blackboard2%

Healthstream2%



2%

Plateau2%

Meridian KSI2%

imc1%

SilkRoad1%

RISC1%

RWD1%

Talent21%

Intuition1%Halogen

1%

StepStone1%

Softscape1%

Latitude Learning1%

ElementK1%

Operitel1%

On Point Digital1%

GeoMetrix1%

E2Train1%

Reliant0%

NetLearning0%

Other21%



(We provide a complete listing of providers invited and included in “Appendices VI and VII” of this report.)

For some time now in the LMS market, size has started to matter. The larger providers have the salesforces and product breadth to address many segments of the market. The more focused providers are also growing, but on top of a smaller base. We believe many of these smaller providers will continue to grow in 2011, but will face the issue of having to work “around” the market leadership of the top providers.

Size Versus Growth: Fastest-Growing Providers

The preceding revenue data provides useful information on each provider’s size and strength. Another indication of the health of a provider is its growth rate. As Figure 117 illustrates, several companies are experiencing very high growth rates. Many of these are small companies, such as Reliant and MediaDefined, for which a few new deals represent a significant uptake in total revenues.

Several of the providers (Taleo, SilkRoad, LearnShare, StepStone and Technomedia) are recognized talent management solutions providers. As the LMS market trends more toward integrated learning-talent management systems, these providers are well-positioned to capture a greater share of the market.

In addition, Oracle and SAP are two companies with sizable market shares already, that have increased their LMS businesses significantly.

The companies recognized as “high-growth” providers are as follows.

• AllenCommunicationsLearningServices

• BlatantMedia

• CornerstoneOnDemand

• E2Train

• Taleo(Learn.com)

• MediaDefined

• MeridianKSI



• OnPointDigital

• REDTRAY

• Reliant

• SilkRoad

• StepStone

• Strategia

• UpsideLearningSolutions

Of note in this group are the following.

• Allen Communications Learning Services is a customer e-learning development company with a lightweight, highly configurable LMS platform. Instead of a per-seat license or subscription, the company charges a flat fee for the platform, making it very attractive to organizations with highly variable usage rates, such as is common with customer or partner training.

• Blatant Media is a small but rapidly growing provider. Its Absorb Learning Management System is completely Flash-based LMS. The company has had tremendous success licensing its system to other providers.

• Cornerstone OnDemand, a veteran SaaS-native provider, is enjoying great success, especially in the midmarket, with its tightly integrated talent management suite and social collaboration offering. Cornerstone recently announced plans for an Initial Public Offering (IPO).

• E2Train is a U.K.-based SaaS provider of LMS and performance management modules.

• Learn.com, another veteran SaaS-native, was just purchased by talent management leader, Taleo.

• MediaDefined is a fast-growing company that is focused on channel training for high-tech companies. Last year, the company launched a separate enterprise social software product, called Ensemba, to support knowledge-sharing also with channels and partners.

• Meridian KSI is a veteran provider that grew up focusing on process- and compliance-heavy verticals, such as manufacturing and



government, and which is now experiencing a renaissance with several recent significant global client wins.

• On Point Digital is quickly becoming one of the established market leaders in the emerging field of mobile learning.

• REDTRAY is a U.K.-based learning content provider with a inexpensive, highly flexible learning platform.

• Reliant is a small LMS that grew originally out of an assessment and survey company. The company specializes in meeting the needs of small and midmarket companies with complex skill and competency management needs.

• SilkRoad is one of the most well-funded and fastest-growing providers of talent management solutions in the market today. The company’s Life Suite™ of on-demand talent management solutions helps organizations recruit, manage and retain the best employees. Late in 2008, SilkRoad purchased VTN Technologies, Inc., a software-based training firm known for its Ole online learning environment. The Ole LMS is being integrated into SilkRoad’s family of products and has been rebranded as GreenLight.

• StepStone is a major U.K.-based provider in the talent management space.

• Strategia is a rapidly growing provider based in Canada that specializes in supporting organizations with complex process- and compliance-driven training needs.

• Upside Learning Solutions is an Indian-based learning services provider that counts an LMS as part of its portfolio of product offerings.

Of note in the “moderate-growth” category are the following.

• Blackboard is the clear market leader in learning platforms for education. The company has seen ongoing success in bringing its collaborative approach to learning management to the business and government worlds.

• Certpoint was originally known as VuePoint until a 2007 strategic partnership with the Center of Excellence for Applied Research and Training (CERT), the commercial arm of the Higher Colleges of Technology in the United Arab Emirates and the largest private



education provider in the Middle East. Certpoint started with a focus on supporting extended enterprise training. One of Certpoints’s primary buyers was marketing managers, since it was used as a platform to train users on product features and benefits, but the company is now growing its business with employee training, as well.

• EPath Learning is a small, SaaS-native provider of an integrated LMS and LCMS platform that specializes in providing e-learning expertise to the midmarket.

• imc, based in Germany, is one of continental Europe’s largest native LMS providers. Originally built to support the needs of higher education, its CLIC LMS is now a highly competitive option for the enterprise, as well.

• Healthstream, MC Strategies (Elsevier), and NetLearning (Cengage) are all learning content providers specializing in the healthcare vertical.

• Operitel is a small but fast-growing IT services company that offers both an LMS, and also implements and hosts Microsoft SharePoint. The company specializes in supporting training e-commerce applications. It uses its own platform to sell Microsoft application training content.

• TEDS, while known to the market originally as an LMS provider, has been offering what we now call an integrated talent management suite since its inception more than a decade ago.




Figure 117: Solution Provider Growth in 2010

Low Growth (Less than 10%)

Moderate Growth (10% - 20%)

High Growth (20%+)

ACS (Xerox) Blackboard Allen Communications Learning Services

American Research Institute Certpoint Blatant Media

Avilar EMTrain Cornerstone OnDemand

Business Training Library Epath Learning E2Train

Cezanne Software HealthStream Learn.com (Taleo)

ElementK imc MediaDefined

eLogic Learning Intuition Meridian KSI

Gen21 LearnShare On Point Digital

GeoLearning MC Strategies (Elsevier) REDTRAY

Gyrus Systems NetLearning (Cengage) Reliant

HRsmart Operitel SilkRoad

Mzinga Plateau StepStone

NetDimensions Talent2 Strategia

Oracle (EBS) TEDS Upside Learning Solutions

Oracle (PeopleSoft) Trivantis

Orchestrata (Beeline) Ultimate Software

OutStart

RISC

RWD

Saba

SAP

SkillSoft

SumTotal

Tata Interactive

Technomedia

Thinking Cap

Time4You

Training Partner (GeoMetrix)

WBT Systems



Provider Customer Bases: Size

Figure 118 shows the estimated number of LMS customers for each provider. Again, providers are listed alphabetically in each column. These estimates include only the provider’s LMS customers. The provider may have additional customers using its content, tools or services, but these are not included here.


Figure 118: Number of LMS Customers by Provider

Less than 100 100 to <200 200 to <500 500 to <1,000 1,000+

ACS (Xerox) Ancile Solutions Blackboard GeoLearning Certpoint


AvilarCornerstone OnDemand

Learn.com (Taleo) ElementK

American Research Institute

Blatant Media imc NetDimensions EMTrain

Cezanne Software Business Training Library Intuition NetLearning (Cengage) HealthStream

eLogic Learning E2Train Meridian KSI Saba MC Strategies (Elsevier)

Gyrus Systems Epath Learning Mzinga SAP Oracle (EBS)

HRsmart Gen21 Oracle (PeopleSoft) REDTRAY

LearnShare GeoMetrix Plateau SkillSoft

MediaDefined OutStart SilkRoad SumTotal

On Point Digital RISC StepStone Trivantis

Operitel


Reliant

Strategia

Talent2


Technomedia

TEDS

Thinking Cap

Time4You

Ultimate Software

Upside Learning Solutions

WBT Systems



We believe this is a useful metric because it indicates each provider’s experience in serving the market. Providers with more customers often have more experience with the issues involving LMS implementations and support.

We again must emphasize that size alone should not determine the choice of provider. Our research clearly shows that customers have the best success when they find an LMS provider that provides excellent service and support, and has experience in their industry, with their organization size and with their particular training challenges.

Provider Focus Areas: Industry

Adoption of learning systems varies widely by industry. The majority (70 percent) of banking / financial services firms reported using an LMS. On the other hand, the manufacturing, insurance and government sectors are still in the nascent stage, with less than 35 percent of firms in these industries using an LMS.


26%

34%

35%

45%

47%

52%

53%

70%

0% 20% 40% 60% 80% 100%

Manufacturing

Government

Insurance

Technology


Retail



Figure 119: LMS Usage by Industry




We asked providers to specify their top five industry segments. This information is helpful for buyers to identify which providers serve their industries. Providers with particular domain expertise may be better able to understand your business issues, as well as your learning problems, workflow and specific vertical content issues. Providers that focus on your industry also are more likely to have an ecosystem of partners (e.g., content providers, service providers and consultants) that serve your industry. Also, their solutions may include special features for compliance, special reporting capabilities and a users group (which enables new customers to quickly learn from existing customers how best to customize and optimize the system for their industry needs).

Many of the providers covered in this year’s study are, in fact, specialists in particular industry verticals and / or are catering to the particular learning needs of unique audiences.

“Appendix II: Solution Provider Overview Charts” shows the top five industries specified by each provider. If you are interested in a provider because of its vertical expertise, we urge you to ask to talk with the company’s other customers in your industry, so that you can see what level of expertise the provider brings to your particular problems.

Provider Focus Areas: Service Offerings

Over the past few years, many providers began devoting more resources to services. Through value-added services, providers are able to reach new customers and differentiate their offerings. These services can certainly be beneficial to buyers, particularly for companies without the expertise or internal resources to implement the systems on their own. However, LMS buyers should note that the more services surrounding an implementation, the more customized (and, hence, more expensive to deploy and maintain) the implementation tends to be.

“Appendix II: Solution Provider Overview Charts” shows the general categories of provider service offerings. The types of services provided can vary from provider to provider. All providers offer implementation services and nearly every provider now offers hosting services. Many providers also offer custom content development and third-party content integration services.

Even though every LMS buyer would like to implement a system that is perfectly easy to implement and use, in most cases these systems require

Customers have the

best success when they

find an LMS provider

that offers excellent

service and support,

and has experience in

their industry, with their

organization size and

with their particular

training challenges.

A N A LY S I S



weeks or months of configuration, customization (hopefully not for long), change management and implementation.

Provider Focus Areas: China

China is a large, diverse country with mixed feelings about the West, and the West’s approaches to learning and learning technology. It is an incredibly diverse country with many dialects and geographic cultures where local practices vary greatly.

Learning Is Important, Learning Technology Less So

There is a strong culture of learning throughout the country, although what training looks like tends to be very traditional. Training is seen as a major benefit to employees in low-paying roles. Our research has found that e-learning adoption has been slowed because many employees perceive loss of classroom time as a loss of benefit. Labor costs are also very low, so many organizations find it more economical to pay for more administrative personnel and trainers versus paying for technological solution.

That said, there are many learning technology and learning content providers in China.

There are many skilled technicians available to create internal learning technology solutions at a low cost using open-source software. Providers tend to be local and small, yet usually offering a wide range of services. As native businesses are concerned, there are, in fact, few nationwide companies. This leads to native providers not generally being very stable or scalable.

LMS Provider Market in China

There are three distinct LMS market segments in China:

• Small/midsizebusiness(SMB);

• Localbigbusiness;and,

• GlobalcompaniesinChina.



The SMB market tends to be served by one of an estimated 100 to 300 local vendors in the space. The large companies in China, both mainland native and part of global organizations, tend to be served by one of a short list of major native providers and western companies.

Of these providers, anecdotal evidence indicates five clear leaders.

• Cyberwisdom – Has been in business since 1999, in mainland China since early 2003. Works only with big business, mostly local. Reports currently serving 40 percent of the companies listed on Hong Kong stock market. Largest clients include Amway, Bank of China and China Mobile.

• Oztime Education & Network Technology Co., Ltd. – Based in Beijing, the company is a wholly owned subsidiary of Archer Education Group. It is the first and only foreign-invested company licensed by the Ministry of Education to provide network education and training services, and has clients throughout China, including national and international companies, universities, governments, and training institutions. Initial focus was the energy vertical.

Figure 120: Major LMS Providers in China


Local Chinese Providers

• Cyberwisdom• Oztime• Ambow (resell Plateau and SkillSoft)• Neusoft• Emeneo

International Providers

• Oracle• Saba• NetDimensions• SumTotal• Plateau



• Oracle – Especially its iLearning product.

• Saba

• Plateau

A Few Notes

• Non-Chineseprovidersnearlyalwaysusearesellerorsomekindoflocal partner. Most find it very difficult to sell direct, as well as to provide local support resources.

• IBMwasamajorplayerhereandstillisinsomefashion.Whenthe company stopped marketing its own LMS, it started giving away the application, helping to further destabilize an already fragmented market.

• ProvidersfromwithinmainlandChinahaveaclearedge.EvenHong Kong-based NetDimensions struggled to break into the mainland market.

• Chinesecompaniesgenerallylookforaproviderwithanintegratedoffering, including off-the-shelf content, content translation services, custom content development and ILT facilitation. They expect a great deal of customizations and, again because of low labor costs, at a low cost.

• TalentmanagementhasnottakenholdinChinayet.

• TheChinesemarketisalmostentirelyon-premise.SaaShasnottakenhold just yet.

Costs for LMS in China are much lower than in the West, driven by low development and upkeep costs, lack of regulation, and competition. There are, in fact, many systems that are blatant knockoffs of more well-known systems. Companies will not justify spending more than a certain percent of the average worker salary on the LMS per head cost.

When it comes to choosing a provider, national and local governments exert tremendous influence. National laws affecting data storage, web access and freedom of speech control how learning can be delivered and by whom. Local territories and governments have long-term partnerships in place with local providers of various services. Local buyers are often swayed by what they have previously experienced at Chinese organizations.



LMS Market Maps

What Is a Market Map?

To further assist you in understanding the complex market for learning management solutions, we have created maps and graphs depicting relevant differences between providers. The purpose of these maps is to help you identify the short list of providers that meet your company’s specific needs. Within this list, buyers then can use our LMS selection process (see section “Selecting an LMS”) to enter into specific discussions, demonstrations and a request for proposal (RFP) process to select a product.

Provider Market Map

The following Market Map™ illustrates the positioning of providers along two dimensions – target markets and market presence.

“Target markets” refers to where the preponderance of a provider’s current client base lies and can be seen as indicative of a provider’s ability to handle large, global client solutions. Providers higher on this dimension (the vertical axis) are better able to support a large number of global enterprise customers (those companies with more than 10,000 learners spread over multiple countries / continents).

This index is figured based on data supplied by the providers, including such items as number of customers, largest customers, percent of customers by customer organization size, languages supported, percent of customers by geographic region, et al.

The vertical bars denote the overall market segment footprint for which the provider has demonstrated support. The symbol is placed to indicate where the preponderance of the provider’s customers tend to fall.

The provider with the most experience in global, large-scale implementations is Saba. This provider’s average customer size is the largest of all LMS providers, and the company has global sales and service operations in North America, Europe, the Middle East and the Far East. The other global enterprise LMS providers include Oracle (which sells Oracle Learning Management, Oracle i-Learning and PeopleSoft



Enterprise Learning Management), Plateau, SAP and SumTotal. Each of these companies has the product architecture, experience, and support and service teams to implement a true global enterprise LMS.

The enterprise marketplace demands support for tens of thousands of users, but does not have the global domain management and multilanguage / multicurrency needs of global enterprises. Providers serving this market are illustrated in the middle area of the Market Map.

In the corporate and midmarket segment (organizations with fewer than 10,000 learners and often fewer than 5,000), there are a wide variety of lower-cost, highly capable LMS providers. In addition, every provider that we position in the enterprise segment is also a good fit in the midmarket.

Figure 121: LMS 2011 Provider Market Map – Market Leaders Only


SUMTOTAL

SABAPLATEAU

ORACLE EBS

GEOLEARNING

SKILLSOFT

SAP

Axis

Title

Axis Title

< -

Glo

bal -

><

-La

rge

->

< -

Mid

-><

-Sm

all

->

100 to 250 250 to 500 500 to 1000 1000 to 2000 2000 or more Customers0 to 100 Customers

Market Leaders: Target Markets by Market Presence

LEARN.COM (TALEO)

BLACKBOARDPEOPLESOFT



These companies tend to provide systems that are easier to implement, lower cost to own and specialize in certain application areas. This is the fastest-growing segment of the LMS market. Since 2006, every major LMS provider now offers an on-demand (hosted) solution targeted at these customers. Plateau, Saba and SumTotal now have low-cost, easy-to-deploy, on-demand solutions for midmarket customers.

The horizontal axis, “market presence,” is a representation of the size of the provider and its growth rate. Providers farther along this dimension (the horizontal axis) have a large number of customers. Here again, Oracle, SAP, Saba and SumTotal all have sizable numbers of customers and, thus, are located well along this axis (to the right side of the graph).

In addition, Cornerstone OnDemand, GeoLearning, Learn.com (now part of Taleo), Plateau, SAP, Intuition and imc all have large customer bases,

Figure 122: LMS 2011 Provider Market Map – Other Profiled Providers


ACS (Xerox)

MC STRATEGIES INC.

IMC

CERTPOINT

RISCINTUITION

NETLEARNING

SOFTSCAPE (SUMTOTAL)

BUSINESS TRAINING LIBRARY

Axis

Title

Axis Title

< -

Glo

bal

-><

-La

rge

->

< -

Mid

-><

-Sm

all

->

100 to 250 250 to 500 500 to 1000 1000 to 2000 2000 or more Customers0 to 100 Customers

Target Markets by Market Presence

WBT Systems

TECHNOMEDIA

LEARNSHARE

TEDS

OPERITEL

ANCILE SOLUTIONS

(RWD)

SILKROAD

MZINGA

MERIDIAN KSI

CORNERSTONE ONDEMAND

NETDIMENSIONS

REDTRAY

ELEMENT K

HEALTHSTREAM



and have shown significant growth over the past year – making these providers among the highest in terms of “market presence.” Certpoint (specializing in the extended enterprise training market) and Blackboard (now a market leader based in its steadily growing corporate customers base) also score high in market presence.

The three healthcare specialists, Healthstream, MC Strategies and Netlearning, have all parlayed their vertical expertise into substantial shares of the learning system’s market.

The two learning content providers, SkillSoft and ElementK, have turned their content library businesses into major LMS market presences with all market segments.

Providers to the left of the chart, or those with lower “market presence,” have fewer customers or slower growth rates. Many of these providers are considered “up and comers,” which are expected soon to be farther along this dimension as they quickly build their customer bases. Other providers are stable performers with solid customer bases that will continue to grow at a consistent pace.

When reviewing this chart, buyers should not look exclusively at providers in the upper-right quadrant. Most buyers in the market today are not global enterprises requiring service and support in several countries, along with a complex features set. Even global enterprise buyers should not look exclusively at the top right quadrant – many of the other providers on the chart have global enterprise customers and are satisfying their needs quite nicely.

The important factor in selecting an LMS is to find a provider with at least three or more clients in your organization’s size range and industry, and with product capabilities that match your requirements. A provider with hundreds of customers but no experience with customers in your industry, with your company size or learning problem may not be a good fit.

We also strongly urge buyers to check references. Call three or more of the provider’s customers that are the same size and industry as your company to understand what version of the product they are using, the quality of the provider’s service and support, and what strengths and weaknesses they find with their chosen solution. These reference calls can be as valuable as a review of features sets and an onsite demonstration.

The important factor in

selecting an LMS is to find

a provider with at least

three or more clients in

your organization size

range and industry, and

with product capabilities

that match your

requirements.




Product Leadership

As a further way to assist you with distinguishing one provider from another, we have created one additional Market Map designed to illustrate a provider’s relative strength with regard to product development.

The vertical axis in this case is a simple aggregate index of the robustness of the provider’s product as determined by the capability data they provided to us and verified in our interactions with them. We use the average, rolled-up ratings from the solution provider’s profile. Figure 123 illustrates how we weigh these capability ratings to give more importance to basic LMS features over more advanced ones.

It is worth restating that the data behind the vertical axis on Figure 125 gives preference to the “nuts-and-bolts” of learning management. As stated earlier in this report, the number one and two purchase drivers for LMSs were better administration of training and e-learning delivery respectively. We have weighted this chart accordingly.

Figure 123: Weighting for Feature Set


Core Application Support

80%

Advanced Features Support

20%



The horizontal axis, on the other hand, is designed to capture the demonstrated capacity of the provider to be an innovator in the LMS space. It is also a computed index, this time called “Product Innovation.”

Product innovation is comprised of:

• AdvancedApplicationSupport–Anothersetofrolled-upratingsfromthe solution provider’s profile;

• Percentofemployeesinresearchandproductdevelopment;

• Growthrate;and,

• Productvision.

To ensure objectivity, each of the first three elements is figured automatically, based on information provided by the companies. Only the last element, “product vision,” is subjective. We place the providers into three pools, based on our own experiences with their products, and with the providers and our interactions with their customers:

1. Those who are innovators (driving the market forward);

2. The middle of the pack (neither leading nor following); and,

3. Those that are just now adding features already common in the first two groups.

Figure 124 shows the relative weight that we have given each element.

Figure 124: Product Innovation Weightings


Advanced Features Support

50%

% of Employees in Research & Product

Development15%

% Est LMS Rev Growth 09-10

5%

Vision30%



With regard to features and functions, the LMS market is mature. As illustrated by Figure 125, most of the providers in this study are clustered fairly close together with little differentiation in product feature sets. That said, buyers can generally expect to find deeper overall feature sets moving up and to the right of this chart.

Feature-wise, providers in the top-right are likely to be further along with implementing what is considered advance functionality today, such as mobile learning and integrated social learning.

Figure 125: Product Leadership – Comprehensiveness of Product Feature Set by Product Innovation


SUMTOTAL

SABA

SAP

PLATEAU

ORACLE EBS

PEOPLESOFT

GEOLEARNING

SKILLSOFT

LEARN.COM (TALEO)

ACS (Xerox)

CORNERSTONE ONDEMAND

MZINGAMERIDIAN KSI

CERTPOINT

BLACKBOARD

ELEMENT K

ANCILE SOLUTIONS (RWD)

NETDIMENSIONS

BUSINESS TRAINING LIBRARY

TECHNOMEDIA

HEALTHSTREAM

SOFTSCAPE(SUMTOTAL)

WBT SystemsMC STRATEGIES INC.

IMC

REDTRAY

SILKROAD

INTUITION

NETLEARNING

RISC

OPERITEL

LEARNSHARE

TEDS

Axis TitleProduct Feature Set (80% Core Functionality / 20% Advanced Functionality)

Current Product Feature Set by Product Innovation

Pro

duct

Inno

vatio

n

= Market Leader



As discussed in the section, “Selecting an LMS,” a critical part of your decision is drafting detailed functional requirements, with input from all stakeholder audiences and including clearly defined “big rock” features. This chart should not be used as a substitute for this process.

Innovation in any software tools is a hard thing to measure and to value. New features are wonderful, as long as they do not come at the expense of the basics. Getting a true idea as to the pace of innovation is a difficult proposition and our attempt here is certainly not perfect. We do think this chart provides a useful snapshot and conversation starter, however.

Product Focus: Social Learning Environments

Social learning environments require social software tools, such as blogs, wikis, discussion groups and status updates. The general-purpose, enterprise social software provider market is extremely fragmented – with many different providers of different sizes, shapes and backgrounds serving particular customer segments or targeted use cases. Most of these companies are less than five years old and are focused solely on providing social software solutions114.

The LMS (and talent management) providers are all moving at different speeds to add enterprise social software functionality to their systems in order to support management of informal learning in all of its forms, including social and on-demand learning.

Alternatively, a new breed of social-learning specialist platforms is also emerging. These new systems, best exemplified by providers, such as Bloomfire and Jambok, and pioneered by Q2 Learning – leave out much of the formal learning management overhead commonly associated with an LMS. They offer turnkey social learning use-case support, without the clutter. In other words, they may support some ability to prescribe learning, but do not necessarily expect full e-learning standards support or complex learning analytics. Also, do not necessarily expect integration with formal learning management without an integration of some kind. That said, as many current organizations that are already successfully enabling social learning can attest, simpler is often better.


Trends and Vendor Profiles, Bersin & Associates / David Mallon, September 2008.



Using the Four Cs to Select a Social Learning Environment Provider

The good news is that you have many options. The hard part will be deciding which path to take. We advise organizations to focus on the desired use cases and activities first, and then look for technologies that support those use cases and activities.

As we covered earlier in the features and functions sections, if social learning is an important requirement for you, you should use our “Four Cs” taxonomy to augment your use cases.

To review, the functionality provided by social software that is specific to these applications can be organized as:

• Conversations – Users talking to other users, growing the collective discourse of the community;

• Connections – Users establishing links to other users, making the social graph a reality;

• Content – Users creating / discovering / sharing content in ways not previously possible; and,

• Collaboration – Users working together to accomplish work.

All social and collaborative activities can be described as a mix of these concepts. Find a provider that supports your desired mix.

Figure 37: Social Software Features and the Four Cs

Conversations Content Connections Collaboration

• Blogs

• Forums

• Micro-blogs/Life-Streaming

• Chat/IM

• VOIP

• Content-Sharing

• ContentManagement

• Tagging/Rating

• Social-Bookmarking

• Syndication

• UserProfiles

• SocialGraphs

• Friends/Contacts

• People-Matching

• Wikis

• Workspaces

• Project/ProcessSupport

• Innovation/IdeaGeneration

• CalendarsandEvents




For example, the minimum requirements115 for creating a learner-generated, content-sharing environment would likely be:

• Conversations – Three-quarters or more, including a core platform that supports easy user-driven web publishing, such as a blog or wiki;

• Content – Three-quarters or more, including the ability for users to upload files, folksonomy116 support (tagging and rating) and some lightweight content management support; and (optionally),

• Connections – One-half or more, including basic social networking functionality.

Platform Options

Your first major decision will be deciding on what foundation the platform is built.

115 The ratings here correspond to the ‘moon’ rating that can be found in the

appendices of this study.116 Refers to allowing the community to self-organize and categorize content through

tagging, rating, and comments; a combination of the words folk and taxonomy.117 For more information, Enterprise Social Software 2009: Facts, Practical Analysis,

Trends and Provider Profiles, Bersin & Associates / David Mallon, September 2008.

Available to research members at www.bersin.com/library or for purchase at www.bersin.

com/socialsoftware.


Figure 126: Platform Strategies for Social Learning

Scenario

1: Build onto the Current Company Intranet / Portal (e.g., SharePoint, Oracle, WebSphere, Liferay).Themostnaturally“embedded”optionandtheleast“turnkey”inthisscenario,sociallearningusecasesareenabledwithintheenvironmentofanexistingcorporateportalorintranet.Mostoften,thisscenariowillrequirethepurchaseofadd-ontechnologytofullysupporttheenterprisesocialsoftwareneeds.Thisoptionallowsforallcorporateusesofcommunitytocomingle–makingiteasiertocultivateoverallculturalnormsandcreatingmashuppossibilities.Governance,IT,integrationsandtheneedtobuildcustomsociallearningcaseswilllikelybethemajorissueswiththisoption.

2: Use a General Purpose Enterprise Social Software Platform117.Inthisscenario,sociallearningusecasesaresupportedwithinanon-learning-specificsocialsoftwareplatform.Thisoptionismostlikelytoofferbest-of-breedsocialsoftwarefunctionalityandallowsforallcorporateusesofcommunitytocomingle–makingiteasiertocultivateoverallculturalnormsandcreatingmashuppossibilities.Governance,IT,integrationsandtheneedtobuildcustomsociallearningcaseswillalsolikelybethemajorissueswiththisoption.






As the concept of social learning environments has matured and as the technologies themselves have progressed, provider support of the various scenarios presented in Figure 126 has also evolved. Today, several providers are noteworthy for actually supporting more than one of these paths, including:

• ExpertusandExpertusOne;

• PlateauandPlateauTalentGateway;and,

• SabaandSabaLive.

Social learning use cases are, to varying degrees, integrated with formal learning functionality. Continued integration of such is on just about everyone’s roadmap.

To make a social learning environment decision, each organization should choose a strategy based on its own unique needs and requirements. When weighing your decision, keep these questions in mind.

Figure 126: Platform Strategies for Social Learning (cont’d)

Scenario

3: Use a Standalone, Purpose-Built Social Learning Platform.Inthisscenario,sociallearningusecasesarebuiltintoasocialsoftwareplatformdesignedforsociallearning.Thisoptionisthemosttargetedandturnkey,andislikelytorequiretheleastamountofsetupandconfigurationtime.IntegrationwiththeLMSmaystillbeanissue.Alsoofconcern,thisoptionissingle-purpose;thereisthepotentialofcreatinga“walledgarden,”separatingsociallearningactivitiesfrombothothercorporatecommunitiesandfromotherlearningactivities.

4: Use a Purpose-Built Social Learning Platform Module Provided by Your LMS / Talent Management Provider.Inthisscenario,sociallearningusecasesaresupportedbyamodulespecificallydesignedforthispurposebytheprovideroftheLMSortalentmanagementsuite.Thisoptionhasthebenefitsofprovidingturnkeysociallearningandimplicitintegrationwithcurrentformallearningactivity.Thisoptionwouldalsoinvolvelesssetuptimeandmeansonlyhavingtoworkwithoneprovider.Thedownsidestothisoptionareitstendenciestoward“destination”anditsseparationofthelearningcommunityfromothercommunities–unlesstheprovideroffersstrongsupportforopenarchitectures(seetheearliersection,“Adaptability,”formoreinformationonthissubject).Thisoptionalsoreliesonasingleprovider.Whilegettingbetter,someLMSsocialsoftwarefunctionalitymaynotbeatquitethesamestandardsasgeneral-purposeofferings.

5: Use the LMS / Talent Management Environment Itself as the Social Learning Platform.Inthisscenario,sociallearninghappensintheprimaryLMSsenvironment.Thisoptionhastheobviousbenefitofnothavingtointroduceanynewsystemsorinterfaces.Alllearningactivities,formalandinformal,areinthesameplace.Thepossibledownsidesincludelikelyhavingtodosomebuildingofexplicitsociallearningcases,acceptinglessthanbest-of-breedsocialsoftwarefunctionalityandadecidedlydestinationenvironment.




Social Software Uses

• Turnkey Social Learning – Is support for social learning use cases ready-built into the system or not?

• Support for Other Social Software Use Cases – Which uses are supported? Just learning and talent management, or all uses across the company?

• Potential for Unexpected Use Cases – Does the setup allow for corporate “mashups?”

User Experience

• Embedded Versus Destination – Will users encounter the system as part of regular work and via familiar, commonly undertaken activities? In the environment integrated into a common enterprise software application experience?

• Services-Oriented Architecture – Is there ready support for web services? Can the functionality be pulled into other systems?

• Overall Experience and Usability – Is the system different in form or function (e.g., visual language, navigation, et al) from other commonly used enterprise systems, especially other learning systems like the LMS?

Implementation and Operations

• Ownership and Governance – Who owns the system? Who owns the relationship with the provider? How is the system and its use governed across the organization? How are common spaces managed?

• IT and Support Requirements – What IT resources are required to implement and maintain?

• Community Management and Moderation Tools and Requirements – What built-in tools exist to support community management and moderation activities? What human resources are required to handle these functions?



• Customizations – What changes to out-of-the-box functionality are required to meet the organization’s unique requirements?

• Integrations – What other systems must be connected to the platform to provide desired content and / or user data?

• Future Proofing – How easy will it be to upgrade functionality over time? What are the associated costs in time and money?

Based on our research, many organizations are finding it easier to begin with either scenarios one, four or five. All of these options have in common the ability to work with an existing system, rather than implementing a new one. We think starting with a known platform makes sense. This path allows for experimentation in a familiar environment without committing to a substantial new investment. Once adoption increases and activity matures, the organization can then decide if a dedicated platform is needed. Above all else, we offer this guidance – choose flexibility. Look for a platform that will provide the technology capacity to support whatever social learning cases organically evolve within the organization.

Product Focus: Mobile Learning

An industry of m-learning solution providers is quickly forming in all of these spaces. So far, most of the early entrants come from the existing learning management system, learning content management system and e-learning markets118 (both development tools and content providers).

For ease of reference, we break up m-learning into these markets, as shown in Figure 127.

118 For more information, Learning Solution Providers: Selecting and Benchmarking an

Outsourced Learning Solution, Bersin & Associates/ Josh Bersin, May 5, 2008. Available to

research members at www.bersin.com/library.

When choosing a

platform to support social

learning, it is important

to find a system with the

flexibility to support an

evolving strategy.





Given the immaturity of this space and still low adoption industrywide, it is difficult to capture a true sense of market leadership for any of the m-learning sectors. That said, anecdotally, two providers stand out, based on the relative sizes of their current m-learning client bases and the degree to which they are frequently mentioned in conversations about m-learning:

• Intuition;and

• OnPointDigital.

Intuition is a 24-year-old, Ireland-based veteran of the e-learning industry. The company got its start focusing on custom content for the financial services sector, eventually growing into a leader in both off-the-shelf and custom e-learning for several verticals. In 2006, Intuition entered the m-learning world, first focusing on developing content for the Blackberry at the request of one of its clients. The company found immediate success, and quickly realized that its technology and approach could be replicated with other companies and in other verticals. Today, m-learning represents the fastest-growing part of its business. Some of

Figure 127: m-Learning Provider Markets


• Web-Conferencing & Virtual Classrooms• Social Media• Event Feedback

• Development Tools• Development Services• Off-The-Shelf Content• Strategy

• mLMS: e-Learning, Nuggets, Media, Performance Support• Assessment• Location- & Situation-Based / Aug. Reality

Mobile Platforms (Content Distribution & Tracking)

Mobile Collaboration / Social

Mobile Content & Services



Intution’s clients include Merrill Lynch (now part of Bank of America), Citi and Accenture. The company is the m-learning technology partner for solutions providers SumTotal and Accenture Learning.

Formed in 2001, On Point Digital is a Savannah, Georgia-based learning management and learning content management provider. Also a veteran of the e-learning industry, it was an early entrant into m-learning and evolved into a product offering from initial work for its LMS / LCMS clients. m-Learning is now also the fastest-growing portion of its business. On Point Digital’s clients include major names in the pharmaceuticals, healthcare and business services verticals. The company havs proven especially popular with the telecommunications industry, attracting projects and partnerships with the likes of AT&T, Vodaphone, Verizon, Alltel and US Cellular.

In addition to these two companies, there are several other providers worth highlighting (alphabetical order).

• Chalk Media – Chalk was an early entrant into the m-learning content development space, focusing on developing a tool for creating and distributing learning content to Blackberry devices. The company proved to be so successful at it that RIM, the maker of Blackberry, bought them in 2009. It continues to be a successful tools provider for Blackberry-focused buyers.

• Blackboard – By far the market leader in learning management for the higher education vertical, Blackboard is also a player in corporate learning management. As part of its offerings for both education and enterprise, the company now offers Blackberry Mobile, including an application for the Apple iPhone and iPad. Blackberry Mobile offers more than just m-learning content distribution; it offers the learner access to a complete mobile LMS experience, including seeing all assignments, and providing access to additional resources and collaboration activities.

• eXact Learning Solutions – Formerly known as Guinti Labs, eXact is a well-known, global provider of learning content management and digital repository technology. The LCMS provider (as we noted in our 2007 m-Learning report119) has been an early player in m-learning,

119 For more information, m-Learning: The Latest Trends, Developments and Real-

World Applications, Bersin & Associates / Chris Howard, June, 2007. Available to research

members at www.bersin.com/library.




because its technologies are naturally adept at converting existing content into new formats and form factors. eXact was no exception. Its eXact Mobile product has been in the market for a number of years, is in its fourth version and has several successful clients.

• Certpoint – This Dubai-based learning management system company specializes in supporting clients with extended enterprise and customer training needs. For a few years now, the company has devoted resources to growing its m-learning capabilities of its platform and now supports delivering content to a wide array of devices.

• OutStart – The market leader in the learning content management space, OutStart has also had a history of supporting m-learning content, as well. Its recent acquisition of one of the most popular m-learning content development tools providers, HotLava, has cemented m-learning as a key product strategy for the company going forward. It now offers a compelling enterprise-grade, end-to-end m-learning development and distribution platform.

• Questionmark – The most well-known specialist provider of enterprise assessment technology, Questionmark realized early on that companies would want to be able to test and evaluate learners remotely, not just deliver content to them. Questionmark’s mobile assessment applications are innovative and intuitive examples of what is possible in m-learning.

• Saba – Enterprise talent management provider and long-time veteran of the LMS space, Saba’s entry into m-learning is actually focused toward live, virtual instructor-led training and collaboration. Saba recently released an early version of a mobile application for accessing its Centra virtual classroom platform. The company intends to expand into other social media and collaboration activities supported by its new product, Saba Live. Also of note, Saba now offers a lightweight, remote-accessible version of its core talent management platform, called Saba Anywhere. This lightweight version expands on the idea of an e-learning offline player – but now remote, disconnected employees can access more of the system’s functionality, syncing up later when possible.

• SpacedEd – SpacedEd in an intriguing new startup that leverages technology developed and patented at Harvard. The concept is to encourage rapid mastery by delivery learning as a series of questions



and answers that are sent to the learner wherever he / she is. The content of the questions adapt automatically, based on the success of the learner, until the desired level of mastery is achieved.

• SumTotal – SumTotal, the market leader for learning management systems in our last LMS study120, is also well-known for its Toolbook desktop e-learning development tool. Toolbook has successfully supported creating content for mobile platforms for a number of years, currently supporting almost all of the major platforms. The recent version of Toolbook added support for location-based content, as well.

Portable Learning and Talent Management

Mobile devices are not just platforms for delivering learning anymore either. Other learning management and even talent management functions are now possible on the go.

What began with many learning management system providers as a means of completing e-learning courses “offline” (in other words, disconnected from a network or the Internet) and then sending results back to the LMS as soon as a connection was restored, have now evolved into full-fledged mobile systems.

Examples of this trend include the following.

• Blackboard–Blackboard Mobile

• MeridianKSI–Meridian Anywhere

• NetDimension–mEKP

• Saba–Saba Anywhere

• Taleo–Taleo Anywhere

Of these examples, NetDimension is worth noting for making its entire set of LMS functionality available in a format which can be accessed from a USB “thumb-drive.”

120 For more information, Learning Management Systems 2009: Facts, Practical

Analysis, Trends and Provider Profiles, Bersin & Associates / Josh Bersin, Chris Howard,

Karen O’ Leonard, David Mallon, April 2009.



Also of note, one of Saba’s latest new features in its enterprise talent management suite, Saba Impressions, allows employees to submit tracked and recorded feedback about other employees via a microblogging-style status update121. These “impressions” can be submitted from a variety of communications methods, including several available on mobile devices.

Product Focus: Microsoft SharePoint and the LMS122

On May 12, Microsoft released the latest version of its enterprise collaboration and content management systems, SharePoint, named appropriately enough, SharePoint 2010. Many learning organizations were already asking themselves if SharePoint could be their platform for social learning and collaboration. This new release will likely intensify these conversations and spur additional organizations to approach this question.

What Is SharePoint?

Microsoft SharePoint is not really one thing; it is a family of products and services designed to support content management and content-sharing. Common to all variations is a content management server, search technology and a web-based user interface. In most cases, employees will know SharePoint as the company’s portal or intranet.

Both Microsoft and third-party developers offer additional functionalities, including document management modules, workflow and process management modules, and collaboration and social software tools.

Helping to drive the interest and adoption of SharePoint by L&D is the wide adoption of SharePoint across all organizations. SharePoint has proven remarkably successful, especially since the 2007 update. The fact that WSS is free makes it easy for organizations to experiment with the


Trends and Provider Profiles, Bersin & Associates / David Mallon, September 2008.122 For more information, Microsoft SharePoint: Do You Already Have a Social Learning

Platform in Your Organization?, Bersin & Associates / David Mallon, May 21, 2010.

Available to research members at www.bersin.com/library.




technology before making a significant investment. As of 2008, Microsoft already reported 100 million licenses sold to 17,000 businesses and sales of more than $1 billion.123 In fact, according to one recent survey, 55 percent of organizations either have or are seriously considering implementing Microsoft SharePoint124.

123 Source: http://bits.blogs.nytimes.com/2009/08/07/microsofts-sharepoint-thrives-in-

the-recession/. 124 Source: Global Intranet Trends for 2009, http://www.netjmc.net/intranet-trends/.125 “Web 2.0” refers to a perceived second generation of web-based communities and

hosted services (such as social-networking sites, wikis, folksonomies, weblogs / blogs, social

bookmarking, podcasts, RSS feeds, social software, web application programming interfaces /

APIs, and online web services), which aim to facilitate creativity, collaboration and sharing

between users. Although the term suggests a new version of the World Wide Web, it does

not refer to an update to any technical specifications, but to changes in the ways software

developers and end-users use the web. Source: http://en.wikipedia.org/wiki/Web_2.0” \l

“Defining_.22Web_2.0.22”http://en.wikipedia.org/wiki/Web_2.0#Defining_.22Web_2.0.22.126 Source: http://www.microsoft.com/casestudies/Case_Study_Detail.aspx?CaseStudyID=201093. 127 A “community of practice” (or “CoP”) is often defined as a group of people who

share an interest or concern about a common topic, and who deepen their knowledge in

this area through ongoing interaction and relationship-building within their group. While

communities often come into being spontaneously, they nonetheless require nurturing if they

are to become valuable to the members and remain viable over the course of their evolution.

Figure 128: SharePoint and Social Learning

Social Learning Case

How SharePoint Can Be Used

Case in Point

Blending Social Activities into Formal Learning Programs

UseSharePoint’ssocialsoftware(blogsorwikis)andcommunicationsfunctions(chat)asthesettingforlearningprogram-relateddiscussionsand/oraction-learningactivities.

HPusesaSharePointsiteasplatformforgroupdiscussionsandothersociallearningactivitiestakingplaceinsupportofaseriesoftrainingeventsdesignedtoimprovetheWeb2.0125skillsofitsmarketingteam.Approximately1,500studentshavecompletedtheprogramsasof2009.

Expertise Finding LeverageSharePoint’sMySite(userprofilepage)andpeoplesearchcapabilitiesasanexpertisedirectory.

ChemicalcompanyMonsantousesSharePointasitsenterprisesearchtechnology,connectingpeopletoinformationandtoeachother126.

Communities of Practice127

Createcommunity-specificSharePointsites.Leveragefunctionalityfordocumentcollaboration,conversations,groupscheduling,emailintegrationandgroup-focusedcontentmanagement.

ComputermakerDellusesSharePointasthehomeofitscommunitiesofpracticeforlearningprofessionalsworldwide.TheSharePointsitearchivescommunityactivitiesandrelateddocuments.

Social Learning Environments

CombineallofSharePoint’ssocial,collaborationanddocument-sharingfunctionsinsupportofbothformalandinformallearning.

BritishTelecomusesSharePointastheplatformforitsDare2Shareenvironment(see section, “Case in Point: BT and Dare2Share”).Employeeshavetheopportunitytoshare,discussandratebestpracticesintheformofshortvideos.


http://bits.blogs.nytimes.com/2009/08/07/microsofts-sharepoint-thrives-in-the-recession/

http://bits.blogs.nytimes.com/2009/08/07/microsofts-sharepoint-thrives-in-the-recession/

http://www.netjmc.net/intranet-trends/

http://en.wikipedia.org/wiki/Web_2.0� \l �Defining_.22Web_2.0.22�http://en.wikipedia.org/wiki/Web_2.0#Defining_.22Web_2.0.22

http://en.wikipedia.org/wiki/Web_2.0� \l �Defining_.22Web_2.0.22�http://en.wikipedia.org/wiki/Web_2.0#Defining_.22Web_2.0.22

http://www.microsoft.com/casestudies/Case_Study_Detail.aspx?CaseStudyID=201093



Potential Uses of SharePoint for Formal and Informal Learning

SharePoint can fill many roles within organizations, including many just within the L&D department. SharePoint can be a platform for both formal and informal learning128 – and it can be the point from which the L&D department itself operates and collaborates.

• SocialLearning

o Social learning environment

• On-DemandandEmbeddedLearning

o Performance support or reference site

o Collaboration as part of work

• SharePointasLMS

• LearningOrganizationCommunity

Of these uses, the one that might raise attention in the context of this report is using SharePoint as your LMS. Suffice it to say, on its own, SharePoint does not have the basic functionality (such as the ability to deliver and play e-learning) that would potentially qualify it as an LMS. These gaps can be addressed by plug-ins (or “web-parts” in SharePoint parlance) that build functionality on top of SharePoint, taking full advantage of SharePoint’s strengths as a content management and collaboration platform, and add the LMS functionality that most companies desire.

Microsoft offers one such set of additional functionality, called “SharePoint Learning Kit”129 or SLK. SLK is a SCORM 2004 certified e-learning delivery and tracking application that builds onto Windows SharePoint Services 3.0. Currently SLK is targeted primarily at higher education.

128 For more information, Defining Informal Learning: A Taxonomy for Describing How

Most Learning Happens in Today’s Organizations, Bersin & Associates / David Mallon,

December 18, 2009. Available to research members at www.bersin.com/library. 129 Source: http://www.microsoft.com/education/slk.mspx.


http://www.microsoft.com/education/slk.mspx



Other examples, addressing corporate needs, are:

• E-LearningForceInternationalandSharePointLMS;and,

• CompetentumandShareKnowledge.

Aside from its wide adoption rates, it is increasingly likely that your organization already has SharePoint installed. If that is true, and your learning function is looking for a platform to support social learning and collaboration, you should at least consider whether SharePoint (either alone or with help) could be that platform.



Regarding This ResearchWe will be presenting highlights of this research at webinars and other events throughout the coming year.130 If you are interested in benchmarking your organization against the best practices developed in this report, please contact us. Our WhatWorks® Benchmarking131 service will provide your organization with the data, recommendations and strategic insights to determine the best course of action to maximize the efficiency and effectiveness of your learning systems strategies.

Come Visit with Us

We are continuing to expand our workshops and events program to bring research and best practices to your organization. We would especially like to draw your attention to our annual research conference, IMPACT: The Business of Talent®132. We hope you will join us to hear senior HR and L&D executives share their experiences and best practices with you.

Join Our Research Membership Program

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130 For more information, http://www.bersin.com/News/Events.aspx.131 For more information, http://www.bersin.com/Services/Content.aspx?id=144. 132 For more information, http://www.bersin.com/IMPACT.

http://www.bersin.com/membership

http://www.bersin.com/News/Events.aspx

http://www.bersin.com/Services/Content.aspx?id=144

http://www.bersin.com/IMPACT



Appendix ISurvey Demographics



The online survey was conducted between July and September of 2010, with contacts from the Bersin & Associates database. Only companies with 100 or more employees that had an operational LMS were included in the analysis.

The final count of qualified respondents was 145.

The data was weighted to reflect the relative market shares of LMS vendors. This weighting was necessary to avoid any bias from vendors with high response rates.

The following charts show the breakdown of responses by company size, industry and geography.

Appendix I: Survey Demographics

Figure 129: Respondent Size by Number of Employees


0 - 991%

100 - 2,49920%

2,500 - 4,99913%

5,000 - 14,99928%

15,000 - 24,9998%

25,000 - 49,99913%

50,000 - 74,9996%

75,000 - 99,9992%

More than 100,0009%



We have operations

globally63%

We have operations in the U.S. only

37%

50%

53%

32%

32%

52%

35%

57%

36%

43%

55%

0% 20% 40% 60% 80% 100%

Asia-Pacific*

Europe / Middle East / Africa Total

Africa / Middle East

Eastern Europe

Western Europe

South America & Caribbean

North America Total

Mexico

Canada

U.S.

Figure 130: Global Operations of Respondents


Figure 131: Global Footprint of Respondents




Respondent Profile: Industries

The study also represents a broad cross-section of industries. The data in this report was also weighted by industry, according to market analysis performed for this study, so that the data accurately reflects provider market share.

The number of companies by industry is shown in Figure 132.

Figure 132: Respondents by Industry


Aerospace2% Automotive

1%

Banking / Finance14%

Biotechnology1%

Chemicals1%

Construction1%

Consulting / Professional

Services9%

Education1%

Electronics1%Energy

3%

Food & Beverage5%

Government (federal, including

military)3%

Government (state / local)

3%Healthcare8%

Hospitality1%Insurance

9%

Legal1%

Manufacturing -Durable

8%

Manufacturing - Non - Durable

1%

Media / Entertainment

3%

Oil & Gas / Mining1%

Pharmaceuticals1%

Real Estate1% Retail

4%

Technology (computers,

software, ISP)5%

Telecommunications5%

Transportation1%

Utilities3%



Appendix IIProvider Overview Charts



Appendix II: Provider Overview Charts


Figure 133: Services Provided

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Avilar


Blackboard

Blatant Media

Certpoint

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E2Train

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Figure 133: Services Provided (cont’d)

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Gen21

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Exact Learning Solutions

Gyrus Systems

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Taleo (Learn.com)

LearnShare

Bloomfire

Meridian KSI

Mzinga





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nolo

gy Im

plem

enta

tion

Tech

nolo

gy S

elec

tion

Tuit

ion

Ass

ista

nce

StepStone

Strategia

SumTotal

Talent2


Technomedia

TEDS

Thinking Cap

Trivantis

Upside Learning Solutions Pvt. Ltd.

WBT Systems




License Versus Service Revenues

Another interesting metric is LMS license revenues, an indication of current growth and momentum. Since most of these providers use a licensed software model, their customers typically pay 18 percent to 22 percent of their license fees for annual support. These support fees are booked as service revenues and many older companies (e.g., Saba and SumTotal) have large installed bases paying high support fees.


Figure 134: Providers and Revenue Sources

2/3+ from licenses or subscriptions //

1/3 or less from services or content

"Between 1 and 2/3 from licences or subscriptions

// Between 1 and 2/3 from services or content"

"1/3 or less from licences or subscriptions //

2/3+ from services or content"

LMS Outsourcing

Providers

Ancile Solutions (RWD) American Research Institute Allen Communications Learning Services ACS (Xerox)

Avilar Cegos Group Business Training Library Accenture

Blackboard Cezanne Software Competentum

Blatamt Media Exact Learning Solutions ElementK

Certpoint Gen21 EMTrain

Cornerstone OnDemand HRsmart HealthStream

E2Train Intuition MC Strategies (Elsevier)

eLogic Learning Meridian KSI NetLearning (Cengage)

ePath Learning NetDimenions REDTRAY

GeoLearning On Point Digital SkillSoft

Gyrus Systems Oracle (EBS) Tata Interactive

imc Oracle (PeopleSoft) Upside Learning Solutions

Learn.com (Taleo) Plateau

LearnShare Reliant

MediaDefined Saba REDTRAY

Mzinga SAP

Operitel StepStone

Orchestrata (Beeline) SumTotal

OutStart Talent2

RISC Technomedia

SilkRoad Time4You

Strategia Training Partner (GeoMetrix)

TEDS

Thinking Cap

Trivantis

Ultimate Software

WBT Systems



Service revenues also include fees from professional services (e.g., implementation services, customization, education and consulting); most global enterprise LMS companies gain 30 percent to 60 percent of their total revenues from these services. This is common and healthy in the enterprise software market – it indicates that these companies are striving to provide more of a “total solution” to their clients.

Figure 135: Services Provided

Inte

rnal

Em

ploy

ees

Exte

nded

Em

ploy

ees

(Inte

rns,

Alu

mni

, Ret

iree

s, Co

ntra

ctor

s)

Exte

nded

Ent

erpr

ise

(Cha

nnel

s, Pa

rtne

rs,

et a

l)

Ass

ocia

tion

s an

d M

embe

rshi

ps

Stud

ents

Cust

omer

s / C

lient

s

Gen

eral

Pub

lic

ACS (Xerox)



Avilar


Blackboard

Blatant Media


Certpoint

Cezanne Software


E2Train

ElementK

eLogic Learning

EMTrain

ePath Learning

Expertus

Gen21

GeoLearning

GeoMetrix

Gyrus Systems

Halogen

Source: Bersin & Associates, 2010.= Up to 1/3 of customers use the system to serve this audience.

= Between 1/3 and 2/3 of customers use the system to serve this audience.

= 2/3 or more of customers use the system to serve this audience.




Inte

rnal

Em

ploy

ees

Exte

nded

Em

ploy

ees

(Inte

rns,

Alu

mni

, Ret

iree

s, Co

ntra

ctor

s)

Exte

nded

Ent

erpr

ise

(Cha

nnel

s, Pa

rtne

rs, e

t al

)

Ass

ocia

tion

s an

d M

embe

rshi

ps

Stud

ents

Cust

omer

s / C

lient

s

Gen

eral

Pub

lic

HealthStream

HRsmart

imc

Intuition

Latitude Learning

Taleo (Learn.com)

LearnShare

Bloomfire

MC Strategies Inc.

MediaDefined

Meridian KSI

Mzinga

NetDimensions

NetLearning

On Point Digital

Operitel

Oracle EBS

Oracle PeopleSoft

OutStart

Plateau

REDTRAY

Reliant







Inte

rnal

Em

ploy

ees

Exte

nded

Em

ploy

ees

(Inte

rns,

Alu

mni

, Ret

iree

s, Co

ntra

ctor

s)

Exte

nded

Ent

erpr

ise

(Cha

nnel

s, Pa

rtne

rs, e

t al

)

Ass

ocia

tion

s an

d M

embe

rshi

ps

Stud

ents

Cust

omer

s / C

lient

s

Gen

eral

Pub

lic

RISC

RWD

Saba

SAP

SilkRoad

SkillSoft

Softscape

StepStone

Strategia

SumTotal

Talent2


Technomedia

TEDS

Thinking Cap

Time4You

Trivantis

Ultimate Software


WBT Systems






Figure 136: Current Status of Software Versions by Customer Base

Cust

omer

s on

CU

RREN

T G

A V

ersi

on o

f Sof

twar

e

Cust

omer

s on

Ver

sion

Re

leas

ed in

Las

t 18

M

Cust

omer

s O

n Ve

rsio

n Re

leas

ed >

18M

Pas

t

ACS (Xerox)

Allen Communications Learning Services 2/3orMore 1/3orLess 1/3orLess


Avilar 2/3orMore 1/3orLess 1/3orLess

Orchestrata (Beeline) Between1/3&2/3 Between1/3&2/3 Between1/3&2/3

Blackboard 1/3orless Between1/3&2/3 1/3orLess

Blatant Media 2/3orMore 1/3orLess 1/3orLess


Certpoint 2/3orMore 1/3orLess 1/3orLess

Cezanne Software 1/3orLess Between1/3&2/3 1/3orLess

Cornerstone OnDemand 2/3orMore 1/3orLess 1/3orLess

E2Train 1/3orLess 2/3orMore 1/3orLess

ElementK 2/3orMore 1/3orLess 1/3orLess

eLogic Learning 2/3orMore 2/3orMore 1/3orLess

EMTrain

ePath Learning 2/3orMore

Expertus 2/3orMore 1/3orLess

Gen21 2/3orMore

GeoLearning

GeoMetrix

Gyrus Systems 2/3orMore

Halogen 2/3orMore

HealthStream

HRsmart




Figure 136: Current Status of Software Versions by Customer Base (cont’d)

Cust

omer

s on

CU

RREN

T G

A V

ersi

on o

f Sof

twar

e

Cust

omer

s on

Ver

sion

Re

leas

ed in

Las

t 18

M

Cust

omer

s O

n Ve

rsio

n Re

leas

ed >

18M

Pas

t

imc Between1/3&2/3 2/3orMore 1/3orLess

Intuition Between1/3&2/3 2/3orMore 1/3orLess

Latitude Learning 2/3orMore 2/3orMore 1/3orLess

Taleo (Learn.com) 2/3orMore

LearnShare 2/3orMore 2/3orMore 1/3orLess

Bloomfire 2/3orMore

MC Strategies Inc.

MediaDefined 2/3orMore 2/3orMore 1/3orLess

Meridian KSI Between1/3&2/3 1/3orLess Between1/3&2/3

Mzinga 1/3orLess 2/3orMore 1/3orLess

NetDimensions

NetLearning

On Point Digital 2/3orMore 2/3orMore 1/3orLess

Operitel

Oracle EBS 1/3orLess 1/3orLess 2/3orMore

Oracle PeopleSoft 1/3orLess 1/3orLess 2/3orMore

OutStart

Plateau Between1/3&2/3 Between1/3&2/3 1/3orLess

REDTRAY 2/3orMore 1/3orLess 1/3orLess

Reliant 2/3orMore

RISC 2/3orMore 1/3orLess 1/3orLess

RWD 1/3orLess 2/3orMore 1/3orLess

Saba Between1/3&2/3 Between1/3&2/3 1/3orLess

SAP




Figure 136: Current Status of Software Versions by Customer Base (cont’d)

Cust

omer

s on

CU

RREN

T G

A V

ersi

on o

f Sof

twar

e

Cust

omer

s on

Ver

sion

Re

leas

ed in

Las

t 18

M

Cust

omer

s O

n Ve

rsio

n Re

leas

ed >

18M

Pas

t

SilkRoad 2/3orMore 1/3orLess 1/3orLess

SkillSoft Between1/3&2/3 2/3orMore 1/3orLess

Softscape 2/3orMore 1/3orLess 1/3orLess

StepStone 2/3orMore 2/3orMore 1/3orLess

Strategia 2/3orMore 1/3orLess

SumTotal

Talent2

Tata Interactive Systems 2/3orMore 1/3orLess 1/3orLess

Technomedia 1/3orLess 2/3orMore 1/3orLess

TEDS 2/3orMore Between1/3&2/3 1/3orLess

Thinking Cap 2/3orMore 1/3orLess

Time4You 1/3orLess Between1/3&2/3 Between1/3&2/3

Trivantis

Ultimate Software

Upside Learning Solutions Pvt. Ltd. 1/3orLess Between1/3&2/3 1/3orLess

WBT Systems




Appendix IIIProvider Capability Charts



The strengths of each provider’s products and services vary widely – as do their market approaches and perspectives. There is no common understanding of exactly what this market is, what it means, what it offers and who it targets. There are many different sizes, shapes and backgrounds of providers that serve many different customer segments or target use cases.

To assist organizations in evaluating the absolute and relative abilities of a provider’s solution, we have developed capabilities charts – which provide a framework for evaluation against a standard set of criteria in the relative context of the LMS provider landscape.

Appendix III: Provider Capability Charts

Figure 137: Capability Chart Legend

Symbol Meaning

No functionality in this area or not applicable.

Limited functionality in this area. May support some use cases.

Basic functionality in this area. Will likely support most use cases.

Advanced functionality in this area.

Complete or near complete functionality in this area per market at publish date.




Figure 138: Talent Management Modules Offered

Care

er &

Suc

cess

ion

Col

labo

rati

on /

Soci

al

Soft

war

e

Com

pens

atio

n M

anag

emen

t

HRM

S / H

RIS

Lear

ning

Perf

orm

ance

M

anag

emen

t

Recr

uiti

ng /

Tale

nt

Acq

uisi

tion

Wor

kfor

ce P

lann

ing

ACS (Xerox)



Avilar


Blackboard

Blatant Media


Certpoint

Cezanne Software


E2Train

ElementK

eLogic Learning

EMTrain

ePath Learning

Expertus

Gen21

GeoLearning

GeoMetrix

Gyrus Systems

Halogen

HealthStream

HRsmart




Figure 138: Talent Management Modules Offered (cont’d)

Care

er &

Suc

cess

ion

Col

labo

rati

on /

Soci

al

Soft

war

e

Com

pens

atio

n M

anag

emen

t

HRM

S / H

RIS

Lear

ning

Perf

orm

ance

M

anag

emen

t

Recr

uiti

ng /

Tale

nt

Acq

uisi

tion

Wor

kfor

ce P

lann

ing

imc

Intuition

Taleo (Learn.com)

LearnShare

MC Strategies Inc.

MediaDefined

Meridian KSI

Mzinga

NetDimensions

NetLearning

On Point Digital

Operitel

Oracle EBS

Oracle PeopleSoft

OutStart

Plateau

REDTRAY

Reliant

RISC

RWD

Saba

SAP

SilkRoad

SkillSoft




Figure 138: Talent Management Modules Offered (cont’d)

Care

er &

Suc

cess

ion

Col

labo

rati

on /

Soci

al

Soft

war

e

Com

pens

atio

n M

anag

emen

t

HRM

S / H

RIS

Lear

ning

Perf

orm

ance

M

anag

emen

t

Recr

uiti

ng /

Tale

nt

Acq

uisi

tion

Wor

kfor

ce P

lann

ing

Softscape

StepStone

Strategia

SumTotal

Talent2


Technomedia

TEDS

Thinking Cap

Time4You

Trivantis

Ultimate Software


WBT Systems




Figure 139: Other Learning Related Modules Available

Separate LCMS and / or Learning Content

Development Platform

EPSS and / or Knowledge

Management System

ACS (Xerox)



Avilar


Blackboard

Blatant Media


Certpoint

Cezanne Software


E2Train

ElementK

eLogic Learning

EMTrain

ePath Learning

Expertus

Gen21

GeoLearning

GeoMetrix

Gyrus Systems

Halogen

HealthStream

HRsmart




Figure 139: Other Learning Related Modules Available (cont’d)

Separate LCMS and /or Learning Content


EPSS and / or Knowledge Management

System

imc

Intuition

Taleo (Learn.com)

LearnShare

MC Strategies Inc.

MediaDefined

Meridian KSI

Mzinga

NetDimensions

NetLearning

On Point Digital

Operitel

Oracle EBS

Oracle PeopleSoft

OutStart

Plateau

REDTRAY

Reliant

RISC

RWD

Saba

SAP

SilkRoad

SkillSoft




Figure 139: Other Learning Related Modules Available (cont’d)

Separate LCMS and / or Learning Content


EPSS and / or Knowledge Management

System

Softscape

StepStone

Strategia

SumTotal

Talent2


Technomedia

TEDS

Thinking Cap

Time4You

Trivantis

Ultimate Software


WBT Systems




Figure 140: General Functionality

System Administration

User Experience Content Global

Se

curi

ty &

Pe

rmis

sio

ns

Use

r M

anag

emen

t

Sear

ch &

D

isco

very

Dec

isio

n

Sup

po

rt

Co

nte

nt

Man

agem

ent

Inte

gra

ted

C

on

ten

t

Glo

bal

Sys

tem

Su

pp

ort

an

d

Infr

astr

uct

ure

Pro

vid

er

Exp

erti

se

Accenture NR NR NR NR NR NR


Avilar


Blackboard

Blatant Media

Certpoint

Cezanne Software

Competentum CP


E2Train

Element K

eLogic Learning

ePath Learning

Expertus

Gen21

GeoLearning


/ 0 = No functionality in this area or not applicable. / 1 = Limited functionality in this area. May support some use cases. / 2 = Basic functionality in this area. Will likely support most use cases. / 3 = Advanced functionality in this area. / 4 = Complete or near complete functionality in this area per market at report publication date.



Figure 140: General Functionality (cont’d)



Se

curi

ty &

Pe

rmis

sio

ns

Use

r M

anag

emen

t

Sear

ch &

D

isco

very

Dec

isio

n

Sup

po

rt

Co

nte

nt

Man

agem

ent

Inte

gra

ted

C

on

ten

t

Glo

bal

Sys

tem

Su

pp

ort

an

d

Infr

astr

uct

ure

Pro

vid

er

Exp

erti

se

GeoMetrix

Giunti Labs

Gyrus Systems

Halogen

imc

Intuition

Learn.com

LearnShare

Maestro eLearning

MediaDefined

Meridian KSI

Mzinga

NetDimensions

On Point Digital

Operitel

Oracle EBS

Oracle PeopleSoft

Plateau

REDTRAY

Source: Bersin & Associates, 2010. / 0 = No functionality in this area or not applicable. / 1 = Limited functionality in this area. May support some use cases. / 2 = Basic functionality in this area. Will likely support most use cases. / 3 = Advanced functionality in this area. / 4 = Complete or near complete functionality in this area per market at report publication date.



Figure 140: General Functionality (cont’d)



Se

curi

ty &

Pe

rmis

sio

ns

Use

r M

anag

emen

t

Sear

ch &

D

isco

very

Dec

isio

n

Sup

po

rt

Co

nte

nt

Man

agem

ent

Inte

gra

ted

C

on

ten

t

Glo

bal

Sys

tem

Su

pp

ort

an

d

Infr

astr

uct

ure

Pro

vid

er

Exp

erti

se

Reliant

RISC

RWD

Saba

SAP

SilkRoad

SkillSoft

Softscape

StepStone

Strategia

SumTotal


Technomedia

TEDS

Thinking Cap NR NR NR NR NR NR NR NR

Time4You

Trivantis


WBT Systems





Figure 141: Learning Management

Learning Management

Co

urse

and

Re

sour

ce

Man

agem

ent

Cata

logs

Curr

icul

um,

Lear

ning

Pl

ans,

and

Cert

ifica

tion

M

gmt

Skill

s an

d Co

mpe

tenc

y M

gmt

Lear

ning

Co

nten

t

Surv

eys

and

Ass

essm

ents

Enro

llmen

t an

d Re

gist

rati

on

Adm

inis

trat

ion

E-Co

mm

erce

Lear

ning

Re

port

ing

Accenture


Avilar


Blackboard

Blatant Media

Certpoint

Cezanne Software

Competentum CP


E2Train

Element K

eLogic Learning

ePath Learning

Expertus

Gen21

GeoLearning

GeoMetrix





Figure 141: Learning Management (cont’d)

Learning Management

Co

urse

and

Re

sour

ce

Man

agem

ent

Cata

logs

Curr

icul

um,

Lear

ning

Pl

ans,

and

Cert

ifica

tion

M

gmt

Skill

s an

d Co

mpe

tenc

y M

gmt

Lear

ning

Co

nten

t

Surv

eys

and

Ass

essm

ents

Enro

llmen

t an

d Re

gist

rati

on

Adm

inis

trat

ion

E-Co

mm

erce

Lear

ning

Re

port

ing

Giunti Labs

Gyrus Systems

Halogen

imc

Intuition

Learn.com

LearnShare

Maestro eLearning

MediaDefined

Meridian KSI

Mzinga

NetDimensions

On Point Digital

Operitel

Oracle EBS

Oracle PeopleSoft

Plateau

REDTRAY

Reliant




Figure 141: Learning Management (cont’d)

Learning Management

Co

urse

and

Re

sour

ce

Man

agem

ent

Cata

logs

Curr

icul

um,

Lear

ning

Pl

ans,

and

Cert

ifica

tion

M

gmt

Skill

s an

d Co

mpe

tenc

y M

gmt

Lear

ning

Co

nten

t

Surv

eys

and

Ass

essm

ents

Enro

llmen

t an

d Re

gist

rati

on

Adm

inis

trat

ion

E-Co

mm

erce

Lear

ning

Re

port

ing

RISC

RWD

Saba

SAP

SilkRoad

SkillSoft

Softscape

StepStone

Strategia

SumTotal


Technomedia

TEDS

Thinking Cap

Time4You

Trivantis


WBT Systems



Figure 142: Special Topics

Special Topics in Learning

Mobile Learning

Accenture


Avilar


Blackboard

Blatant Media

Certpoint

Cezanne Software

Competentum CP


E2Train

Element K

eLogic Learning

ePath Learning

Expertus

Gen21

GeoLearning

GeoMetrix

Giunti Labs

Gyrus Systems

Halogen

imc





Figure 142: Special Topics (cont’d)


Mobile Learning

Intuition

Learn.com

LearnShare

Maestro eLearning

MediaDefined

Meridian KSI

Mzinga

NetDimensions

On Point Digital

Operitel

Oracle EBS

Oracle PeopleSoft

Plateau

REDTRAY

Reliant

RISC

RWD

Saba

SAP

SilkRoad

SkillSoft

Softscape





Figure 142: Special Topics (cont’d)


Mobile Learning

StepStone

Strategia

SumTotal


Technomedia

TEDS

Thinking Cap

Time4You

Trivantis


WBT Systems



Figure 143: Integration with Talent Management

Integration with Talent Management

Competency Management Employee Profile Management

Co

mp

eten

cy

Mai

nte

nan

ce

Com

pete

ncy

Ass

essm

ent

Tale

nt

Inte

gra

tio

n

Co

mp

eten

cy

Rep

ort

ing

Emp

loye

e Ed

uca

tio

n &

Ex

per

ien

ce

Job

Pro

file

Tale

nt

Pro

file

R

evie

w &

A

nal

ytic

s

Accenture NR NR NR NR NR NR NR


Avilar


Blackboard

Blatant Media

Certpoint

Cezanne Software

Competentum CP NR NR NR NR NR NR NR


E2Train

Element K NR NR NR NR NR NR NR

eLogic Learning

ePath Learning

Expertus

Gen21

GeoLearning

GeoMetrix




Figure 143: Integration with Talent Management (cont’d)



Co

mp

eten

cy

Mai

nte

nan

ce

Com

pete

ncy

Ass

essm

ent

Tale

nt

Inte

gra

tio

n

Co

mp

eten

cy

Rep

ort

ing

Emp

loye

e Ed

uca

tio

n &

Ex

per

ien

ce

Job

Pro

file

Tale

nt

Pro

file

R

evie

w &

A

nal

ytic

s

Giunti Labs

Gyrus Systems

Halogen

imc

Intuition

Learn.com

LearnShare

Maestro eLearning

MediaDefined

Meridian KSI

Mzinga

NetDimensions

On Point Digital

Operitel

Oracle EBS

Oracle PeopleSoft

Plateau

REDTRAY

Reliant




Figure 143: Integration with Talent Management (cont’d)



Co

mp

eten

cy

Mai

nte

nan

ce

Com

pete

ncy

Ass

essm

ent

Tale

nt

Inte

gra

tio

n

Co

mp

eten

cy

Rep

ort

ing

Emp

loye

e Ed

uca

tio

n &

Ex

per

ien

ce

Job

Pro

file

Tale

nt

Pro

file

R

evie

w &

A

nal

ytic

s

RISC NR NR NR NR

RWD

Saba

SAP

SilkRoad

SkillSoft NR NR NR NR

Softscape

StepStone

Strategia

SumTotal


Technomedia

TEDS

Thinking Cap

Time4You

Trivantis


WBT Systems




Figure 144: Adaptability

Adaptability

Ap

plic

atio

n -

C

on

fig

ura

bili

ty

App

licat

ion

- Co

mm

unic

atio

ns

& N

otifi

cati

ons

Inte

rfac

e

Dat

a -

Arc

hit

ectu

re

Dat

a -

Co

re

Rep

ort

ing

&

An

alyt

ics

Accenture NR NR NR NR NR


Avilar


Blackboard

Blatant Media

Certpoint

Cezanne Software

Competentum CP


E2Train

Element K

eLogic Learning

ePath Learning

Expertus

Gen21

GeoLearning

GeoMetrix




Figure 144: Adaptability (cont’d)

Adaptability

Ap

plic

atio

n -

C

on

fig

ura

bili

ty

App

licat

ion

- Co

mm

unic

atio

ns

& N

otifi

cati

ons

Inte

rfac

e

Dat

a -

Arc

hit

ectu

re

Dat

a -

Co

re

Rep

ort

ing

&

An

alyt

ics

Giunti Labs

Gyrus Systems

Halogen

imc

Intuition

Learn.com

LearnShare

Maestro eLearning

MediaDefined

Meridian KSI

Mzinga

NetDimensions

On Point Digital

Operitel

Oracle EBS

Oracle PeopleSoft

Plateau

REDTRAY

Reliant




Figure 144: Adaptability (cont’d)

Adaptability

Ap

plic

atio

n -

C

on

fig

ura

bili

ty

App

licat

ion

- Co

mm

unic

atio

ns

& N

otifi

cati

ons

Inte

rfac

e

Dat

a -

Arc

hit

ectu

re

Dat

a -

Co

re

Rep

ort

ing

&

An

alyt

ics

RISC

RWD

Saba

SAP

SilkRoad

SkillSoft

Softscape

StepStone

Strategia

SumTotal


Technomedia

TEDS

Thinking Cap NR NR NR NR NR

Time4You

Trivantis


WBT Systems




Figure 145: Social Software and Collaboration

Social Software & Collaboration

Co

nve

rsat

ion

s

Colla

bora

tion

Co

nn

ecti

on

s

Co

nte

nt

Mo

der

atio

n

Too

ls

Soci

al A

nal

ytic

s

Inte

gra

ted

C

om

mu

nic

atio

n

Too

ls

Accenture NR NR NR NR NR NR NR


Avilar


Blackboard

Blatant Media

Certpoint

Cezanne Software

Competentum CP


E2Train

Element K

eLogic Learning

ePath Learning

Expertus

Gen21

GeoLearning

GeoMetrix




Figure 145: Social Software and Collaboration (cont’d)


Co

nve

rsat

ion

s

Colla

bora

tion

Co

nn

ecti

on

s

Co

nte

nt

Mo

der

atio

n

Too

ls

Soci

al A

nal

ytic

s

Inte

gra

ted

C

om

mu

nic

atio

n

Too

ls

Giunti Labs

Gyrus Systems

Halogen

imc

Intuition

Learn.com

LearnShare

Maestro eLearning

MediaDefined

Meridian KSI

Mzinga

NetDimensions

On Point Digital

Operitel

Oracle EBS NR NR NR NR NR NR NR

Oracle PeopleSoft

Plateau

REDTRAY

Reliant




Figure 145: Social Software and Collaboration (cont’d)


Co

nve

rsat

ion

s

Colla

bora

tion

Co

nn

ecti

on

s

Co

nte

nt

Mo

der

atio

n

Too

ls

Soci

al A

nal

ytic

s

Inte

gra

ted

C

om

mu

nic

atio

n

Too

ls

RISC

RWD

Saba

SAP

SilkRoad

SkillSoft

Softscape

StepStone

Strategia

SumTotal


Technomedia

TEDS

Thinking Cap

Time4You

Trivantis


WBT Systems




Appendix IVAdaptability



(Figure 49 is repeated in this section.)







Appendix IV: Adaptability



Figure 146: Bersin & Associates Adaptive Talent and Learning Platform Shopping Guide

Adaptive Criteria

Application

Go

od

Application functions are grouped into logical modules which can be turned on or off BY THE CLIENT.

Application functions are highly client-configurable.

Application is updated regularly, and client has the ability to accept or decline most changes.

Application includes a custom form builder for collecting user information and initiating application functions.

Client custom database fields can be used wherever native fields are used.

System permissions are granular, and are groupable by customizable role or user group.

Bett

er

Clients have access to a system registry for granular control over application behaviors.

Applicationincludesacustomworkflowbuilderforcreatingcustomapplicationbehaviors.

All system communications and triggers are configurable with the application (no customization needed).

Best

Client can create custom database tables and views.

The provider offers guarantees that client configurations will not break after application software updates.

Most/allapplicationbehaviorscanbeautomated.

Application is extensible using custom web-applications or plug-ins.

A third-party community of developers exists for this platform.

Application uses open source technology in transparent (documented) ways.




Figure 146: Bersin & Associates Adaptive Talent and Learning Platform Shopping Guide (cont‘d)

Adaptive Criteria

Presentation

Go

od

Client can make cosmetic adjustments to the interface without provider help.

Theapplicationsupportsmultiple,independentuserdomains/sub-domainswithinthesame implementation - each with unique interface designs.

The application has a portal-style interface in which functions are deployed as configurable, movable objects.

Theinterfacecanbedefinedusingcustomizabletemplatesor“skins.”

The interface appearance can be automatically determined by user domain or group.

All user of the written word (strings) in the interface (titles, menus, pages, et al) can be changed via a client customizable table (often called a localization table).

Bet

ter

All aspects of the interface appearance are defined via one or more client customizable CSS files.

The interface appearance can be automatically determined by client customizable business rule.

The interface allows end-user personalization.

Bes

t The application includes a visual interface editor supporting dynamic changes to the interface without need for web programming.





Adaptive Criteria

Data

Go

od

The application includes a comprehensive set of client-customizable stock reports.

The application includes a tool for client initiated import of data, including user accounts and related fields.

The application has one or more client accessible APIs or addressible web services.

Bet

ter

The application includes an embedded visual custom report building tool or comes with a turn-key integration to an external tool.

The application’s reporting functions are based on separate hardware resources from the core application.

AvailableAPIsandwebservicesofferaccesstomost/alloftheapplication’sfunctions and data.

The provider offers clients clear, up-to-date documentation of the database model and schema.

Bes

t

The application adheres to services oriented architecture principles (SOA).

Available APIs are RESTful.

Theprovideroffersalibraryofpre-builtportletsforextendingapplicationdata/functionality outside of the system.

Theapplicationsupportscommonportalstandardsandguidelines,includingJSR168,JSR264andWSRP.





Adaptive Criteria

Delivery

Go

od

Theapplicationisavailableona24/7hostedbasis.

Bet

ter

Allclientsshareacommon“immutable”codebase.

The provider has prearranged relationships with one or more global content distribution partners (e.g., Akamai).

Bes

t

Multiple clients share an instance of the application (multitenancy).

The application is broken into multiple tiers to better balance hardware usage and allow for changes in one program component to not affect others.

Theapplicationis“efficientmultitenant.”

One or more of the following technologies are used to improve efficiency and scalability:

• Hardware virtualization;

• Globallydistributedinfrastructure;and/or,

• Cloud computing.





Adaptive Criteria

Operations

Go

od

Extensive training and documentation are available for all application functions and roles.

The provider offers a service level agreement (SLA).

The client can purchase use of the application on a trial basis.

Extensive on-demand learning is available, including self-directed e-learning, performance support and knowledge bases.

A thriving user community exists and meets regularly.

A new application environment can be delivered in 5 business days or less (on average).

First real use of system in 2 months (on average).

Bet

ter

Theusercommunityholdsregional/nationalusermeetings.

Bes

t

A user community holds global meetings.

The client can complete application purchase via the provider website without live sales intervention.




Appendix VVirtual Classroom Providers



In this section, we provide a brief overview of the market for commercial providers of virtual classroom platforms.

A major challenge in understanding the virtual classroom market is recognizing the various terms used to describe it. There are several instructional-focused terms used, such as virtual classroom, synchronous e-learning, synchronous learning, live online learning and virtual instructor-led training. There are several others that are used less frequently and which encompass live online events that may not be instructional in nature; these include web-conferencing, video-conferencing and online meetings.

Leaving aside the fact that these other general-purpose collaboration tools can be used as spaces for synchronous learning, we will focus our attention specifically on providers of specialized virtual classroom platforms.

Figure 147: Categories of Virtual Classroom Providers


Appendix V: Virtual Classroom Providers

Stand Alone



There are three general categories of commercial virtual classroom providers, as follows.

• Standalone Virtual Classroom Applications – With few exceptions, these providers tend to offer both general-purpose and learning-specific versions of their platforms.

• Integrated Virtual Classroom Module within an Enterprise Learning Management (or talent management) System – Most major LMS / talent management system providers support pre-integration with one or more of the major standalone platform providers. Some, however, also offer their own technology.

• Integrated Virtual Classroom Module within a Larger Enterprise Communications / Collaboration Solution – Web-conferencing, for learning or otherwise, is a natural complement to a single solution for email, calendar scheduling, instant messaging and, increasingly, enterprise social media.

Figure 148 lists most of the common platforms available in each category today. You will notice that some are listed in more than one category – because they can be purchased by more than one path.

133 Recently purchased by Blackboard.134 Known as much for social software as virtual classrooms. Recently purchased by Blackboard.135 Formerly Interwise.

Figure 148: Virtual Classroom Providers

Virtual Class Other Web Conferencing

Standalone VCModule in LMS / TMS

Integrated with Communications

General Purpose Large Events

• AdobeConnect Pro• Eluminate133 Live• iLinc For Learning• CiscoWebExTraining

Center• CitrixGoToTraining• MicrosoftLiveMeeting

Professional• SabaCentra• SkillSoftDialogue• WimbaClassroom134

• WiZiqVirtual Classroom

• Learn.comWebroom (Taleo)

• SabaCentra

• SkillSoftDialogue

• WiZiqforMoodle

• AT&TUnified Communications

• CiscoUnifiedCommunications

• IBMLotusLive• MicrosoftOffice

Communications Server

• OracleBeehive• SabaEnterprise

Collaboration Suite• Wimba

Collaboration Suite

• AdobeConnect Pro• AT&TConnect135

• CiscoWebEx Meeting Center

• CitrixGoToMeeting• IBMLotusLive• iLincFor Meetings• OracleBeehive• SabaCentra• Microsoft Live Meeting

Standard or Professional

• AdobeConnect Pro• CiscoWebEx Event

Center• CitrixGoToWebinar• IBMLotusLive Events• iLincFor Webinars• MicrosoftLive Meeting

Professional• UnisfairVirtual Event

Centers




As for the leaders in the virtual classroom market today, the list is actually small and has not changed much in the last few years. Figure 149 lists both the current market leaders and a couple of rising stars.

The arrows illustrate whether or not buyer feedback indicates that the provider is likely increasing or decreasing in real market share and / or perceived mind share.

A Few Comments

• Inthecorporatemarket,wefindthatAdobe,CitrixandSabaarewhere most of the energy in the space is being generated today – both in terms of customer conversation and product innovation.

• Forseveralyears,CiscoWebExTraining Center was the class of the virtual classroom market and its share of the market reflects that fact. That said, we find that the purchase of WebEx by Cisco has resulted in

136 A note on methodology: we did not collect detailed customer or revenue numbers

for this study as we typically do for industry reports. Our analysis in this section is based

on qualitative interviews with both providers and buyers, in-depth analysis of buyer data

collected as part of the 2010 Corporate Learning Factbook, and past provider financial

data collected for our Solution Provider Library. While we are confident in our analysis as

presented here, since we did not specifically collect market data, we are not publishing

market size nor market share.

Figure 149: Market Leaders and Growth136

Market Leaders (in alphabetical order)

Current Market Leaders Emerging Players

• Adobe

• AT&T

• Cisco WebEx

• Citrix

• Microsoft

• Saba

• Eluminate (Blackboard)

• Wimba (Blackboard)

*The arrows illustrate whether or not buyer feedback indicates that the provider is likely increasing or decreasing in real market share and / or perceived mind share.




some loss of mind share. WebEx is now just one part of a much larger company, a company with several other initiatives (e.g., Telepresense, Quad) that could be either complementary or conflicting, depending on perspective and implementation. Talking to WebEx, it was obvious that, as a product, it was not getting the same level of attention as in the past. While TrainingCenter is still, feature for feature, one of the best virtual classroom platforms in the market today, it is not innovating as fast as some others. Of course, that fact could change instantly, depending on where and how Cisco chooses to integrate WebEx into its other collaboration products.

• SomewhatsimilartotheCiscosituation,MicrosoftLiveMeetingshould be considered as part of the larger family of Microsoft collaboration products, including potentially Office Collaboration Server, Exchange and even SharePoint 2010. Live Meeting itself has not changed much recently, but taking advantage of the various integration possibilities for SharePoint, for instance, makes it a very compelling option.

• EluminateandWimbaareprimarilyfocusedontheeducationmarkets, although both have had some success with enterprise buyers, as well. Interestingly, they were both just purchased by Blackboard. These acquisitions further cement Blackboard’s domination of the higher-education learning technology market, but it might also have implications for corporate buyers, as well. These products both have corporate fans and Blackboard has been making steady inroads into the corporate LMS market. We will have to wait and see if (and how) Blackboard leverages these new additions to its portfolio with enterprise buyers.

Convergence with Other Collaboration Technology

As these platforms evolve, so are the many other enterprise communications and collaboration technologies available. Saba Centra presents a useful example. Centra is a veteran of the virtual classroom space, focusing on learning use cases early and then benefiting greatly from its integration into the Saba suite. As Saba introduces its new Saba Live enterprise social software platform, based on and deeply integrated with Centra, the company is creating all sorts of new possibilities for new



use cases – that take advantage of the possibilities of converging social media, instant messaging, expertise matching and virtual learning. We expect we will continue to see further convergence with other providers, as well. On that note, we are curious to see where and how WebEx will relate to Cisco’s new enterprise collaboration and social software platform, Quad.



Appendix VIProvider Profiles



In this section, we provide brief profiles of LMS providers. These profiles are not intended to be detailed reviews of product features but, rather, an overview of some key distinguishing features of the company, its services and its products.

The information included in the profiles was obtained through discussions with providers, their customers and e-learning professionals in the field. The figures for revenues, employees and numbers of customers are current as of July 1, 2010. For more up-to-date information, we encourage you to check out our Solutions Provider Library at our website.137

For each provider, we designate one (or, in some cases, two) primary customer segment (global enterprise, enterprise or midmarket); however, most providers have customers in all three segments. For simplicity, we chose the segment on which the provider is primarily focused and / or has the greatest proportion of customers.

Prospective LMS buyers should use these profiles to help generate a short list during the selection process. It is not intended to replace an RFP process, which should include more detailed feature discussions, reference checks, demonstrations and discussions with company management.

137 For more information, please visit the Bersin & Associates Solution Provider Library

at http://www.bersin.com/Lib/Sp/.

Appendix VI: Provider Profiles

http://www.bersin.com/Lib/Sp/



Company Overview

ACS (purchased by Xerox in February 2010) provides learning outsourcing

services that are integral to supporting a comprehensive talent management

strategy, learning process outsourcing (LPO) engagement and learning

management system implementation. ACS also provides a wide range of HR

outsourcing, including employee data management, HRMS and recruitment

process outsourcing.

Products and Services

Core Strengths

Offerings

Affiliated Computer Services (ACS)

Contact Information: 925 Euclid AvenueCleveland, Ohio 44115http://www.acs-inc.com

Year Founded: 2000

Number of Employees: 301-500

Primary Target Market: Enterprise (10,000+ employees)

Secondary Target Market: Midmarket (1,000- 10,000 employees)

Top Industries Served: Banking / FinanceBusiness Services / ConsultingGovernment (federal, including military)Manufacturing – DurableTechnology (computers, software, ISP)

Geographic Presence: North AmericaEurope / Middle East / Africa

Public or Private: Public

Current Fiscal Year: 2010

Current Fiscal Revenue: $100 million to $500 million

Growth Rate Over Previous Fiscal Year Revenue: Not Disclosed

Profitable: Yes

3 Largest Customers: 1. Ernst & Young Global

(155,000 users)2. Hertz (90,000 users)3. ACS (66,000 users)

COMPANY SNAPSHOT

Services

HR Outsourcing Learning Process Outsource

Software Platforms

Learning Management System

Services

Recruiting Procurement Outsourcing Benefits Administration

Payroll Processing Strategic HR Consulting

Strategic L&D Consulting HR Technology Consulting

Technology Implementation Competency Development

Learning Content Development Learning Delivery

http://www.acs-inc.com



Products and Services*

• LearningProcessOutsourcing

o Strategic Training Assessment

o LPO Engagement Process

o Strategic Sourcing Services

o Learning Technology Services

o Learning Administration Services

o Content and Curriculum Services

• LearningServices

• LearningAdministrationServices

o Strategic Sourcing Services

o Learning Strategy and Assessment Services

o Content and Curriculum Services

o Learning Technology Services

o Learning for Finance Professionals

Tools

Advanced e-Learning Development Survey and Assessment

Software Platforms

Learning Content

Management SystemLearning Analytics

Workforce Analytics Competency Management System

Talent Management Suite Performance Management System

Career Management System Compensation Management System

Workforce Planning HR Management System

(Cont`d)



Market Differentiators138

1. Full-Service Solutions Management – ACS provides a designated

managed support services team that focuses on the operation of its hosted

learning solution through the length of the contract. Design, configuration,

integration, implementation and account management services are all part

of the standard managed services package.

2. Trusted Partner – Each learning engagement begins by working with

the customer to create a mutual definition of success, gathering

business requirements documents and strategy before defining

service-level agreements.

3. Scalable and Global – One-hundred percent SaaS, based on a services-

oriented architecture (SOA), and offering a Tier 1 hosted environment and

central distribution network to allow global delivery.

Bersin & Associates Analysis

The learning services business unit at ACS originated as the internal learning

group at Ernst & Young. In 2000, the group became Intellinex (an outside

services group) and quickly expanded to support more than 200 customers. In

2006, Intellinex became a wholly owned subsidiary of ACS. With the acquisition,

ACS, a leading business process outsourcing (BPO) provider, expanded its

offering of human resource outsourcing (HRO) BPO capabilities. ACS now offers

the HRO marketplace a scalable, reliable and secure learning and performance

technology platform; custom content development and content management

capabilities; and, a range of managed services that focus on aligning learning

and performance to business goals and objectives.

138 This information has been submitted by the Solution Provider.



Learning Systems Product

Product Overview

ACS did not provide detailed feature and function information for this report.

Please contact Bersin & Associates for more information.

Product Overview

ACS did not provide detailed feature and function information for this report.


Bersin&Associates©September2009•NotforDistribution•LicensedMaterial

Modules Available

Career and Succession

Collaboration / Social

Software

Compensation Management

HRMS / HRIS LearningPerformance Management

Recruiting / Talent

Acquisition

Workforce Planning

= Offers this module.



Company Overview

In 2010, RWD Technologies announced that it would be spinning off its learning

technology products as a separate company by selling these products to Court

Square Capital. This new company is now named, ANCILE Solutions.

ANCILE Solutions, Inc. is a global software solutions company specializing in the

development and support of learning and performance products. The company’s

customers include 43 of the companies in the FORTUNE 100. Our products

support mission-critical business applications by providing solutions that increase

employee productivity and proficiency. ANCILE Solutions’s products are used in

thousands of organizations globally and in industries, such as manufacturing,

energy, automotive, aerospace, healthcare, life sciences, consumer products,

financial, telecommunications, services, higher education and the public sector.

ANCILE Solutions is headquartered in Baltimore, Maryland. For additional

information, please visit www.ancile.com.

About Court Square Capital

Court Square Capital is one of the most experienced private equity firms in

the industry. Since 1980, the group has invested in more than 170 transactions

across a wide array of sectors, including aerospace and defense, industrials,

business services, technology, healthcare, media, and travel. Court Square Capital

currently manages in excess of $4 billion of aggregate capital commitments and

is based in New York, New York. For more information, please refer to Court

Square’s website at www.courtsquare.com.


Core Strengths

ANCILE Solutions (formerly RWD)

Contact Information: 5521 Research Park DriveBaltimore, Maryland 21228http://www.ancile.com

Year Founded: 1988

Number of Employees: 501-1,000

Primary Target Market: Midmarket (1,000- 10,000 employees)

Secondary Target Market: Enterprise (10,000+ employees)

Top Industries Served: AutomotiveEnergyHealthcareManufacturing – DurableTechnology (computers, software, ISP)

Geographic Presence: North AmericaSouth AmericaEurope / Middle East / AfricaAsia-Pacific

Public or Private: Private

Current Fiscal Year: Not Disclosed

Current Fiscal Revenue: Not Disclosed


Profitable: Not Disclosed

3 Largest Customers: 1. Manufacturing Company

(LMS customer – 127,000 users)

2. Technology Company (LMS customer – 56,000 users)

3. Business Consulting (LMS customer – 7,500 users)

COMPANY SNAPSHOT

Services

Strategic L&D Consulting

www.ancile.com

www.courtsquare.com

http://www.ancile.com



Offerings

Software Platforms

Learning Analytics Learning Management System

Services

Community Management Competency Development

Learning Process Outsource Learning Content Development

Learning Delivery Technology Implementation

Software Platforms

Assessment System Competency Management System

Learning Content

Management System

Onboarding System

Performance Management System Social Software

Workforce Analytics

(Cont`d)

Content

IT Desktop IT Systems and Programming

Quality / Manufacturing

Tools

Advanced e-Learning Development Simulations and Games

Survey and Assessment




Products

• RWDuPerform®

• RWDuPerformExpress®

• RWDuLearn™

• RWDuBenchmark™

• RWDuEmulate™

• InfoMaestro®

• RWDLearning&PerformancePlatform

• RWDTOPS®

• PlantMentor®

Services

• HumanandOperationalPerformanceImprovement

• WorkforceCompetency

• ChangeManagement

• LearningandTrainingServices

• LEANTransformation

• StrategicConsultingServices

• CRM/ECMSolutions


1. Domain Expertise – ANCILE Solutions uses its global resources to offer

domain expertise as part of its solution. The company can leverage extensive

knowledge from direct experience working with the manufacturing industry

for 18 years, high tech for 20 years, pharmaceutical / healthcare for 10

years and energy for almost five years. These assets, combined with stellar




project management and its human performance approach, allows ANCILE

Solutions to offer a complete suite of learning solutions, including strategic

assessment for evaluation and planning, implementation and integration

with existing systems, and ongoing sustainment services to ensure that what

was implemented continues to be optimized – and adjusts to organizational

and industry changes.

2. Added Value – While ANCILE Solution’s offering is broader than that of

the traditional LMS provider, the company offers learning solutions with

comparable feature, functions and performance. Because of its size, ANCILE

can provide a higher value to its clients through its flexibility to be creative

and more competitive. Also contributing to the value for its clients is the

company’s use of project management and methodologies that ensure

ANCILE meet deadlines and budgets every time.


ANCILE Solutions offers a spectrum of products (from learning management

to electronic performance support and applications simulation). With a heavy

emphasis on the end-user of technology and human performance in the

workplace, the company has the reputation for crafting custom solutions

designed to improve workforce productivity and efficiency. ANCILE has provided

these products to the majority of industry verticals, as well as to federal and local

governments – and it has a worldwide presence with offices in North and South

America, Europe, the Middle East, Africa and Asia-Pacific. The company’s value

proposition resonates with the majority of its clients; the most appropriate client

is seeking to optimize the performance of its workforce through improvement

of business processes, along with appropriate and practical implementation of

“people-focused” strategies and technologies.



Learning Systems Product Review

Product Overview

Product Capabilities

Application / Module NameCurrent GA Version #

Date Current Version Released

Delivery Models Supported (SaaS / Multitenant, Hosted

and / or On-Premise)

uBenchmark™ 2.12 5/10/2010 Hosted, On-Premise

uPerform® 4.20 6/21/2010 Hosted, On-Premise

uPerform Express® 4.20 6/21/2010 On-Premise

uLearn™ 8.10 7/25/2010 All

InfoPak® 5.90 8/1/2009 On-Premise


System Administration User Experience Content Global

Security and Permissions

User Management


Decision Support

Content Management

Integrated Content

Global System Support and Infrastructure

Provider Expertise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning




Learning Management

Course and Resource

ManagementCatalogs

Curriculum, Learning Plans and

Certification Management

Skills and Competency Management

Learning Content

Surveys and Assessments

Enrollment and Registration

AdministrationeCommerce

Learning Reporting



Mobile Learning




Competency Maintenance

Competency Assessment

Talent Integration

Competency Reporting

Employee Education and

ExperienceJob Profile

Talent Profile Review and

Analytics

Adaptability

Application – Configurability

Application – Communications and

NotificationsInterface Data – Architecture

Data – Core Reporting and Analytics




Bersin & Associates Product Analysis

Social Software and Collaboration

Conversations Collaboration Connections ContentModeration

ToolsSocial Analytics

Integrated Communication

Tools


Overall Analysis of the Talent Management Suite

Strengths• Integratedfocusonlearning,performancesupportandcollaboration• Extensiveexperiencesupportingthetalentneedsoforganizationsinhighlyregulatedand

compliance-driven industries

Opportunities for Improvement• Improveadaptabilityofproductsuite,includingconfigurability,interfaceanddataarchitecture• Enhancesocialtoolsinsupportofsociallearningandknowledge-sharing

Near-Term Enhancements Planned

• Technologyo SQLServer2008o User Managemento IBM DB2

• UserInterfaceUpdate• TrainingRequests• Languages

o East Asian, Pan Europeano Arabic

• FederalComplianceo EHRIo SCORM 2004o Federal Desktop

• SocialMediao User-Generated Contento Tagging and Ratingo Expert Awareness

• CostAccounting• ApprovalWorkflow• InlineandAd-HocReporting• PerformanceEnhancements• MulticurrencySupport

Target Customers / Best-Suited Largeorganizationswithheavycomplianceand/orprocesstrainingneeds



Company Overview

Blackboard Inc. is a global leader in enterprise technology and innovative

solutions that improve the experience of millions of students and learners

around the world every day. The company’s solutions allow thousands of higher

education, K-12, professional, corporate and government organizations to

extend teaching and learning online, facilitate campus commerce and security,

and communicate more effectively with their communities.


Core Strengths

Offerings

Blackboard, Inc.

Contact Information: 650 Massachusetts Avenue, 6th FloorWashington, D.C. 20001http://www.BlackboardProEd.com

Year Founded: 1997

Number of Employees: 1,001-2,500



Top Industries Served: EducationGovernment (federal, including military)HealthcareNonprofit




Current Fiscal Revenue: 100 million to $500 million

Growth Rate Over Previous Fiscal Year Revenue: 21%

Profitable: Yes

3 Largest Customers: 1. Pearson (1,100,000 users)2. SENA 3. U.S. Department of Defense

(1,000,000+ users)

COMPANY SNAPSHOT

Software Platforms


Services


Employer Branding Learning Content Development

Learning Delivery Strategic L&D Consulting

Software Platforms

Assessment System Learning Analytics

Learning Content

Management System

Social Software

http://www.BlackboardProEd.com




Blackboard Learn, Version 9.1, released January 2010


1. Ease of Use – Designed from the end-user’s perspective, rather than from

the administrator’s perspective. In developing the software, the company’s

goal is that a training manual not be required to operate the system.

2. Wealth of Experience and Exposure with Educational Audiences (15

million users worldwide) – Because Blackboard has such an expansive user

community in high school, technical school, college or graduate school,

Blackboard’s interface and features will be familiar to many people who

have already used Blackboard technology.

3. Speed to Market – Blackboard Learn is designed to be very easy and fast to

implement, and requires minimal services to get up and running.


Blackboard is the market leader for learning management in higher education.

Since 2007, the company has started to make a more focused effort to meet the

needs of the corporate market – focusing on departmental and program-specific

needs for which instructors are integrated into the curriculum.

The company offers a highly successful system for instructor-facilitated learning –

programs that are led by instructors with e-learning content, collaboration and

classroom activities. One of Blackboard’s biggest strengths is its ease of use and

ease of administration. Instructors, students and administrators with no technical

background can quickly learn how to use the system.

We believe Blackboard will continue to grow its presence in this segment.

Corporate buyers are finding the greatest value in leveraging Blackboard as a

turnkey virtual and social learning platform, alongside a traditional

enterprise LMS.


Tools


(Cont`d)




Product Overview





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting


Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





Mobile Learning






Talent Integration





Analytics

Adaptability










Tools





Strengths• Greatlearner-centricexperience• Strongintegrationofsocialtoolsintolearning• Impressivemobileoffering

Opportunities for Improvement • ContinuetoexpandtraditionalLMSfunctionality


• Enhancedinstructor/facilitatorefficiency• Additionalperformancelearning• Morepowerfulpersonalizedlearning• New/enhancedcontentstandardssupport• Courserelationshipmgmt• Newauthsupport• SimplifiedHRISintegration• Organizationdirectoryanddelegatedadministration• Improvedmodulemanagement• Increasepersonalization• Portalinteroperability• Enhancedpersonalinformationmanagement• Simplifiedsociallearning• Learningobjectrepository• Improvecourseintegration• Userexperiencerefinement• HTMLeditinginbrowser• Newdesktopaccesscapabilities• Newevidencecollectioncapabilities• Workflowmanagement• Enhancedassessmente-portfolio• Improvedreporting

Target Customers / Best-Suited Any size organizations looking for a scalable, continuous-learning platform




Company Overview

Cegos is an international leader in professional development, training and

coaching – and has been helping the individual employee be successful on the

job since 1926. The company offers multiple learning solutions, including 200

off-the-shelf e-learning courses that have been translated into 11 languages.

Cegos also provides a package of blended-learning solutions, face-to-face

training, public courses and HR consultation. In 2008, the company provided

training to more than 200,000 people worldwide. It operates from 28 countries

and employs a staff of 1,400.


Core Strengths

Offerings

Cegos Group

Contact Information: U.S. Headquarters:46 Brainard RoadWest Hartford, Connecticut 061171-866-234-6706European Headquarters:19 Rue Rene JacquesIssy les MoulineauxCedex 9, Paris, Francehttp://www.cegos.com

Year Founded: 1926




Top Industries Served: AutomotiveBanking / FinanceGovernment (federal, including military)Oil and Gas / MiningTelecommunications


Public or Private: Not Disclosed



Growth Rate Over Previous Fiscal Year Revenue: 11%-20%

Profitable: Yes

COMPANY SNAPSHOT

Content

General Management

Services

Competency Development Content Localization

Event Services HR Technology Consulting

Learning Administration Learning Content Development

Learning Delivery Learning Measurement

Learning Process Outsource Pre-Hire Assessment

Recruitment Advertising Strategic HR Consulting

Strategic L&D Consulting Technology Implementation

http://www.cegos.com



(cont’d)

3 Largest Customers: 1. France Telecom / Orange

telcomms (7,000 users)2. European Commission

(European central government)

3. L’Oreal (6,500 users)

COMPANY SNAPSHOT


Training and development solutions within:

• Management/leaderdevelopment

• Competency-basedchange/changemanagement

• Sales

Software Platforms

Assessment SystemLearning Content

Management System

Learning Management System Mobile Learning

Content

Accredited Degree Programs Assessments

Compensation Data Competency Libraries

Customer Service Digital Resource Library

Executive Education Financial Management

General Personal Development General Professional Development

HR Benchmark Data IT Desktop

Leadership Development Project Management

Sales

Tools

Advanced e-Learning Development Classroom or Meeting Technology

Media Development Rapid Content Development

Survey and Assessment Web-Based Content Development

(Cont`d)



• Negotiation

• Accountmanagement

• Purchasing

• Projectmanagement

• Aportfolioofintra-andinterpersonalsoftskills

• AcomprehensiveofferwithinarangeofHRservices

Delivery mechanisms include:

• Blendedlearning

• Standalonee-learning

• Customizede-learning

• Webcollaboration(asalearningdeliverytool)

• Face-to-facetraining

• 1-2-1coaching

• Outdoor

• Conferencing


1. Truly Global Coverage – Enabling multilingual, simultaneous rollout of

major international projects for clients.

2. The Development of Blended and e-Learning Solutions – Solutions that

are learning goal-based and learner-focused. Technology enables the learning

solution, but should not consume it. The company’s learning credentials

ensure that it champions the learner, as much as the learning department.

3. Permanent Team of Local and Global Consultants – Experts in its

clients’ industries and challenges ensures that the company’s learning

solutions are always grounded in the client’s reality, and their teams /

managers are making ROI a priority from day one, not just at the end of

the project.





With operations in 28 countries and a staff of 1,400 worldwide, Cegos Group has

been a leader in providing such services as professional development, training

and coaching since its inception in 1926. Among the company’s offerings, Cegos

includes 200 e-learning courses that are available in more than 10 different

languages, in addition to competency libraries, assessments and meeting

technologies.




Product Overview

Cegos Group did not submit detailed features and functions data for this report.

Please contact Bersin & Associates for more details.

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning




Company Overview

Certpoint offers a flexible integrated learning management suite to maximize

critical knowledge assets across the extended enterprise and throughout global

partner channels.


Core Strengths

Offerings

Certpoint Systems, Inc.

Contact Information: Four Expressway PlazaRoslyn Heights, New York 11577http://www.certpointsystems.com

Year Founded: 1998




Top Industries Served: Banking / FinanceEnergyHealthcareManufacturing – DurableTechnology (computers, software, ISP)






Profitable: Yes

3 Largest Customers: 1. Toyota (300,000+ users)2. Honda (100,000+ users)3. Sonic Restaurants

(60,000+ users)

COMPANY SNAPSHOT

Software Platforms


Services



Learning Process Outsource Strategic L&D Consulting

Software Platforms


Learning Analytics Learning Content

Management System

Onboarding System Performance Management System

Social Software Workforce Analytics

http://www.certpointsystems.com




Products

• Certpoint,VLS6.0,releasedMarch2008,SaaS,Hostedand/orInstalled

Services

• Consulting

• LearningManagement

• ContentLearningManagement

• Authoring

• CompetencyManagement

• PerformanceManagement

Content

Assessments Competency Libraries

Customer Service Financial Management

General Management IT Desktop

IT Systems and Programming Quality / Manufacturing

Sales

Tools


(Cont`d)




1. Extended Enterprise Ready – Certpoint specializes in working with

providers to support extended enterprise audiences, including partners

and channel participants, and offers the most flexible architecture,

implementation and pricing in the market for these use cases.

2. Globalization – Certpoint VLS is multilingual and fully internationalized,

including LMS, LCMS, content management and authoring. Certpoint

competitors must partner to offer the same international capabilities.

3. Certpoint is quicker to deploy than any other enterprise-level system.


Certpoint was one of the pioneers in the LMS industry to focus on what we call

“extended enterprise training.” More specifically, the company’s system was

originally designed for training channel partners and other users outside of

the enterprise. One of Certpoint’s primary buyers is marketing managers, since

it is used as a platform to train users on product features and benefits. Since

its customers are looking for a turnkey LMS and content, Certpoint’s system

includes a well-integrated content-development and training-tracking system.

Company management has indicated that customers looking for an integrated

talent management system will be able to leverage partnerships with

other providers.

In the past year, Certpoint has dedicated significant product development efforts

on its new product releases, especially in the areas of content development,

learning management and analytics. The company is now greatly expanding its

international business and is acquiring large enterprise customers in Africa and

the Middle East.





Product Overview


Application/Module NameCurrent GA Version #




1. Certpoint VLS Suite 7.00 6/1/2010 Hosted, On-Premise

2. K-Tango OJPS for Customer Facing 1.00 8/1/2010 SaaS




User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning




Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths

• Historyofexpertisewithextendedenterpriseneeds• Tightintegrationofsociallearning,performancesupportandmobilelearning• Strongsupportforautomated,prescriptivelearningtomeetcomplexrequirementsof

organizations in highly regulated industries

Opportunities for Improvement

• Enhanceduserprofile• Enhanceadaptability,especiallyrelatedtoapplicationconfigurability,theinterfaceandopen

data architecture• Improvedintelligentsearch


• Enhancedinterfaceandstreamlineduserexperience• ImprovedintegrationwithSharePoint• Mobilee-learning• K-Tango™Version1.0

Target Customers / Best-Suited• Organizationsofanysizewithextendedenterpriselearningneedsand/orlookingfor

integrated mobile and performance support



Company Overview

Cornerstone OnDemand empowers people around the world with on-

demand, integrated learning and talent management software and services

for connecting, developing and performing in the workplace. The company’s

Software-as-a-Service (SaaS)-based solutions span the workforce lifecycle,

including onboarding, learning, social networking, compliance, performance,

compensation and succession planning. Cornerstone also provides extended

enterprise solutions to help companies better train and collaborate with

customers, vendors and resellers. Available in 17 languages and supported by

global, 24x7 customer care, Cornerstone is used by more than four million active

subscribers in 141 countries. The company is headquartered in Santa Monica,

California, and has international offices in London, Paris, Munich and Tel Aviv.

On September 29, 2010, Cornerstone filed for an Initial Public Offering, saying it

wants to raise up to $115 million. The company’s private equity backers include

Bay Partners, Bessemer Venture Partners, and Meritech Capital. The IPO will be

underwritten by Goldman, Sachs & Co., Barclays Capital, William Blair & Co.,

Piper Jaffray, Pacific Crest Securities, and JMP Securities.


Core Strengths

Offerings


Contact Information: 1601 Cloverfield Boulevard, Suite 620SSanta Monica, California 90404http://www.cornerstoneondemand.com

Year Founded: 1999




Top Industries Served: Banking / FinanceBusiness Services / ConsultingHealthcareManufacturing – DurableRetail





Growth Rate Over Previous Fiscal Year Revenue: >50%

Profitable: Yes

3 Largest Customers: 1. Global Staffing Firm

(850,000+ users)2. Retail Pharmacy Chain

(250,000+ users)3. Manufacturing Company

(250,000+ users)

COMPANY SNAPSHOT

Services

Technology Implementation

Software Platforms

Learning Management System Performance Management System

Social Software Succession Management System

Talent Management Suite Workforce Planning

http://www.cornerstoneondemand.com




Products

All clients are on the same version of the product -- that is, the current version.

This is one of the many benefits of multi-tenant Software-as-a-Service delivery.

Cornerstone releases new features and system upgrades on a quarterly basis.

• CornerstoneOnDemandTalentManagementSuite(deliveredasan

integrated whole or any of these modules in any combination)

o Cornerstone Onboarding – strategic employee onboarding

o Cornerstone Learning – full LMS including 30,000 integrated e-learning

titles and immediate connection to performance and succession data to

make learning more targeted

o Cornerstone Connect – enterprise social networking for talent

management (for social learning, onboarding, workplace communities,

performance support, and more)

o Cornerstone Compliance – compliance and certification management

Software Platforms

Assessment System Career Management System

Compensation Management System Competency Management System

Learning Analytics Learning Content

Management System

Mobile Learning Onboarding System

Performance Support System Social Learning Platform

Workforce Analytics

(Cont`d)

Tools

Advanced e-Learning Development Rapid Content Development




o Cornerstone Performance – full EPM suite for appraisal, competencies,

goal management, and development planning

o Cornerstone Compensation – pay-for-performance platform

o Cornerstone Career & Succession – complete succession management

tools along with a Career Center to empower employees to manage

career paths, resumes, and career preferences

o Cornerstone Extended Enterprise – deliver training, certification

programs, and social communities to support training-for-profit and

partner enablement initiatives

o Cornerstone Analytics – reporting, analytics, dashboards

(All applications are delivered via multitenant Saas / On Demand.)

Services

• ConsultingServices–deployment,implementation,andtechnicalprocesses

• ClientSuccessServices–realtalentmanagementpractitionershelpclients

maximize investments in Cornerstone

• CustomerCare–global24x7customercarebasedinLosAngelesandTelAviv

• EducationalServices–fullonsitetrainingservices


1. Organically Developed and Highly Flexible Learning and Talent

Management – Cornerstone’s talent management has been built entirely

in-house on a single codebase, with a consistent user interface, a single

reporting environment, one data model and a single customer-care suite

goes beyond performance, succession and compensation to further integrate

both comprehensive learning / development and social networking, both

differentiators in this marketplace. Assessing performance in isolation is not

enough. In addition, Cornerstone’s organizational unit approach provides

unmatched flexibility, configurability and adaptability (versus the more

traditional form-based approach, usually requiring customization).




2. Laser Focus on Client Success – Cornerstone has a dedicated team of

former talent management practitioners on staff (client success services)

and a stated mission of being a trusted, long-term partner. The company’s

“Client Success Framework” details the relationship clients should expect

throughout their lifecycle with the company. Cornerstone’s laser focus on the

success of its clients has earned near 100 percent client retention and loyalty.

3. Extensive Global Experience and Service Capabilities – Localized for

16 languages and deployed in 141 countries (including more than a dozen

clients with 100,000-plus users), Cornerstone’s extensive global experience

and capabilities for worldwide client care, account management and

consulting services ensure the best resources for enterprise implementations.


Cornerstone OnDemand is one of the fastest-growing talent management

software companies in this market. The company was founded in 1999 as

CyberU, a provider of online learning and learning technology for the financial

services market. By 2002, the company offered a totally on-demand learning

and performance management system, and quickly became a market leader.

During the next few years, Cornerstone partnered with several of its key

customers to design the first on-demand platform for integrated employee

learning and development, performance management, succession management

and compensation management, as well as extended enterprise training and

social networking. Cornerstone has one of the largest global implementations

of talent management software (more than 850,000 users). While the company

is rapidly growing its midmarket presence, its “sweet spot” continues to be

midsized and large global organizations seeking an on-demand integrated

solution. Cornerstone is now a global partner with ADP, allowing ADP to market

the Cornerstone platform to its 550,000-plus customers worldwide.




Product Overview






1. Cornerstone Learning - LMS Versionless for clients 7/30/2010 SaaS

2. Cornerstone Connect - social collaboration

Versionless for clients 7/30/2010 SaaS

3. Cornerstone Performance - EPM Versionless for clients 7/30/2010 SaaS

4. Cornerstone Succession – succession / career

Versionless for clients 7/30/2010 SaaS

5. Cornerstone Extended Enterprise Versionless for clients 7/30/2010 SaaS




User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning




Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths

• Highconfigurable,on-demandplatform• StronghistoryofSaaSexpertise• Integratedperformanceanddevelopmentplanning• Careermanagementwithaself-serviceapproach(“CareerCenter”)• Userfriendlyandintuitiveexperienceformanagersandemployees• Socialnetworking/collaborationtools

Opportunities for Improvement• Whiletheoveralluserexperienceisstillaplus,theinterfaceisbecomingtext-heavy• Socialtoolsofferedasaseparatemodule;notasrefinedorasdeeplyintegratedas

some competitors


• Performanceo PeopleFinder o Mobile support

• Successiono Career Center, v2o Workforce planning o Expanded charting

• Connect/Socialo Expanded social analytics and reportingo Integrations with external networkso Polls and surveyso Expandeddocumentmanagement/versioningo Videohandling

• Learningo Course-as-a-Portalo Demand forecasting

• ExtendedEnterpriseo Expanded audience segmentationo Expanded eCommerce capability

• AnalyticsandReportingo Expanded workforce analyticso Moreembedded/inlineanalyticsacrosssystemo More embedded dashboards





• Othero Mentor managemento VolunteerManagementmoduleo Team Edition (sub 250 market)

Target Customers / Best-SuitedMidmarket to large organizations anywhere in the world looking for a highly usable, on-demand integrated talent management solution

(Cont`d)



Company Overview

Element K is a wholly owned subsidiary of the global learning services firm

NIIT. Element K delivers learning solutions for customers and partners through

a tailored combination of catalog learning products, technology and services

supporting the learning needs of the corporate, government, education and

training center markets. Element K brings extensive experience in learning

program, and curriculum design and development; learning-technology

integration; and, learning program delivery. Element K’s turnkey products

include 2,800 e-learning courses and 1,300 print courseware titles in topics, such

as business skills, compliance, desktop productivity, web design and IT content,

as well as a robust on-demand learning management system, KnowledgeHub™.


Core Strengths

Offerings

Element K

Contact Information: 500 Canal View BoulevardRochester, New York 14623http://www.elementk.com

Year Founded: 1982




Top Industries Served: Banking / FinanceBusiness Services / ConsultingHospitalityManufacturing – DurableTelecommunications







3 Largest Customers: 1. Not Disclosed

(1,500,000 users)2. New Horizons (300,000 users)3. Not Disclosed (80,000 users)

COMPANY SNAPSHOT

Content

Leadership Development Customer Service

Quality / Manufacturing

Software Platforms


Tools

Advanced e-Learning Development

http://www.elementk.com




• KnowledgeHub

(All applications are delivered via SaaS / multitenant.)


1. Global Reach – Multitenant / multilevel SaaS model available worldwide

and in 17 languages.

2. Out-of-the-Box Blended-Learning – Content comes with inclusive support

for multiple content modalities, including e-learning, proprietary content,

ILT management, virtual classrooms, e-reference, vLabs and collaboration in

a consistent and complete integrated way.

3. Integrated Social Learning – Access to integrated instance of enterprise

social software leader Jive Clearspace.


Historically, Element K has been primarily a learning content and then learning

services company. Along the way, it developed a full-featured, hosted LMS

platform and now markets that platform as a separate product, KnowledgeHub.

The KnowledgeHub LMS is designed to manage live and self-study e-learning,

instructor-led programs, online labs and simulations, and online reference

materials. The platform includes an integrated authoring environment that

allows authors to create, publish and manage courses. It also includes an online

assessment system that enables pre-assessments for prescriptive delivery.

We believe this product is an excellent fit for companies that want a fully hosted

solution, and are licensed users of Element K’s large library of online courseware

and reference materials. Other LMS shoppers looking for a one-stop-shop

provider of an SaaS LMS, e-learning content and a social software collaboration

platform should also consider Element K.





Product Overview






KnowledgeHub Learning Management System

NA NA SaaS

Content Hub NA NA SaaS




User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning




Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning

1.0






Talent Integration





Analytics

NR NR NR NR NR NR NR

Adaptability












Tools




Strengths• Deeplibraryoflearningcontent• Blended-learningofferingsintegratedwithcontentmanagedbytheplatform• Integratedbest-of-breedsocialsoftwareprovider,JiveSoftware


• Enhanceadaptability,especiallyrelatedtoapplicationconfigurability,theinterfaceandopendata architecture

• Improvecompetencymanagement• Improvebasicfunctionalityintheareasofcurriculummanagementand

enrollment management


• Refinementofhomepage• Mypagesconsolidation• Easyaccesstoallcontentandlearningplans• Onlinebooksupgrade• Improvedlayoutoflandingpageandbookreader• Frameworksupportsothercontenttypeslikeaudio,video,etal.• Mobile• SupportforWebExVirtualClassroom• Continuedbuildoutofcollaboration• Enhancedclassroomtraining• Developmentofnewreports

Target Customers / Best-SuitedMidsize to large organizations looking for one-stop-shop provider of an SaaS LMS, e-learning content and a social software collaboration



Company Overview

GeoLearning is an exclusively Software-as-a-Service provider of on-demand

learning and performance management technology platforms. The company’s

products and services are used by more than 500 corporations, government

agencies and nonprofit organizations to manage human capital development,

accelerate business processes and drive organizational performance.

The company provides a breadth of services, ranging from traditional

implementations to content development, training effectiveness consulting and

change management.

GeoLearning also provides comprehensive training “out-tasking” and

outsourcing services. This total solution approach helps GeoLearning understand

its clients’ learning requirements, and provide products and services to meet a

wide variety of training requirements.


Core Strengths

Offerings

GeoLearning

Contact Information: 4600 Westown Parkway, Suite 301West Des Moines, Iowa 50266http://www.geolearning.com

Year Founded: 1997




Top Industries Served: Banking / FinanceEducationRetailHealthcareManufacturing – Durable






Profitable: Yes

3 Largest Customers: 1. U.S. Government Office of

Personnel Management (500,000+ users)

2. State of New Jersey (70,000 users)

3. Dell (60,000 users)

COMPANY SNAPSHOT

Software Platforms

Learning Management System Social Software

Services

Community Management Community Moderation


Employer Branding Event Services


http://www.geolearning.com



Services


Pre-Hire Assessment Strategic L&D Consulting

Technology Hosting Technology Implementation

Software Platforms


Competency Management System Learning Analytics

Learning Content

Management Systems

Web Conference and

Virtual Classroom

(Cont`d)

Content


Compliance Custom Service



Healthcare IT Desktop

IT Systems and Programming Leadership Development

Project Management Quality / Manufacturing

Sales

Tools

Advanced e-Learning Development Raid Content Development





• GeoMaestro,Version5,releasedNovember2008b

(All applications are delivered via SaaS / multitenant.)


1. Content Aggregation and Integration – The solution includes more than

25,000 pre-integrated content titles, hosted and serviced by GeoLearning.

Content contracts are with GeoLearning.

2. On-Demand Expertise and U.S.-Based Customer Service – Full version

and functional SaaS / on-demand model with U.S.-based customer service

facility. Hosts and maintains its own software and hardware.

3. Extended Enterprise Ready – Combination of domain functionality,

eCommerce and customer support model enable GeoLearning to support

large-scale extended enterprise training / eCommerce initiatives (including

Dell, Google, PayPal, Palm and Sales Performance International).


GeoLearning is a provider of learning management, content management, tools

and content for midsize companies and small enterprises. From its early days, the

company provided an on-demand (SaaS) LMS product, and has built its product,

business model and services to support the needs of its clients. Today, it is one of

the largest providers of midmarket and small enterprise LMS solutions, and has

continuously scored among the top providers in customer satisfaction.

GeoLearning’s business model enables the company to assist its clients in a wide

variety of learning strategies, including selection and acquisition of e-learning

content, development of performance management strategies (GeoLearning

partners with SuccessFactors to provide its talent management offering),

development of blended-learning strategies, selection and implementation

of tools, and content management. The GeoMaestro platform includes tools,

content management, community management, eCommerce and all the major

features needed for enterprise learning management. We believe GeoLearning

is an excellent solution for any midmarket, small enterprise or government

customer that would like a fully featured LMS platform.





Product Overview






GeoMaestro SaaS Ongoing SaaS

GeoTalentRelease 10 build

(b1005rc96)6/11/2010 SaaS

GeoEngage SaaS

GeoConnect SaaS

GeoLearningAnalytics 12.00 5/17/2010 SaaS




User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning




Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths

• Rapidimplementation,high-touchcustomerservice• RemainingfullytargetedonLMSmarket,offeringpartnershipstoaddressothertalent

management needs• 100%SaaS,historyofSaaSexpertise


• Continuetoenhanceintegrationofsocialtoolsinsupportofsociallearningandknowledge-sharing

• Continuetoenhanceadaptability,especiallyrelatedtotheinterface,andopen data architecture


Please see the provider for more details

Target Customers / Best-SuitedAny midmarket, enterprise or government customer that would like a fully featured LMS platform



Company Overview

IMC offers a range of first-class learning technologies to private- and public-

sector organizations to support their learning and development strategies.

IMC’s products and services, which encompass the learning management

system CLIX, the electronic performance support system LIVECONTEXT and the

authoring tools LECTURNITY and POWERTRAINER, are an equal match for the

diverse and often individual needs of a large number of international clients. In

addition to these products, IMC offers bespoke e-learning content development,

and a wide range of consultancy services in the field of learning and

training management.


Core Strengths

Offerings

Information Multimedia Communication AG (imc)

Contact Information: Altenkesselerstrasse 17/D366115 Saarbruecken / GermanyPhone: +49 681 9476 0Fax: +49 681 9476 530http://www.im-c.com

Year Founded: 1997




Top Industries Served: AutomotiveBanking / FinanceChemicalsEducationHealthcare

Geographic Presence: North AmericaEurope / Middle East / AfricaAsia-Pacific





Profitable: Yes

3 Largest Customers: 1. Department of Health UK

(3,000,000 users)2. Volkswagen (100,000 users)3. UBS (68,000 users)

COMPANY SNAPSHOT

Software Platforms


Services

Benefits Administration Community Management

Community Moderation Competency Development

Content Localization Employer Branding


Learning Process Outsource Learning Administration

http://www.im-c.com



Services


Learning Measurement Strategic HR Consulting

Strategic L&D Consulting Technology Hosting

Technology Implementation Technology Selection

Software Platforms


Competency Management System Competency Management System

Enterprise Content Management Event Capture

Job Search Engine Learning Analytics

Learning Content

Management SystemsMobile Learning

Performance Management System Performance Support System

Social Learning Platform Social Software

Succession Management System Talent Acquisition System

Talent Management Suite Workforce Analytics

Workforce Planning

(Cont`d)

Content


Compliance Customer Service


Healthcare IT Desktop

IT Systems and Programming Sales




Products

• CLIXLearningManagementSystem,VersionCLIX2010,releasedinJanuary

2010, On-premise and SaaS

• LIVECONTEXTElectronicPerformanceSupportSystem

• POWERTRAINERAuthoringSoftware,Version3.8,releasedSeptember2009

• LECTURNITYPresentationandScreenRecordingTool4,releasedAugust2009

Services

• Consulting

o Skill and competency management

o Leadership development

o Learning design

o Learning process engineering

o Training management reengineering

o Blended-learning strategy

o Regulatory compliance management

• Technologyimplementationandintegration

• Content

o Development of bespoke e-learning content and serious games

Tools

Advanced e-Learning Development Media Development

Rapid Content Development Simulations and Games


(Cont`d)




1. Process Orientation – IMC products support all business processes in

modern training organizations, such as individual learning processes, as well

as learning communities, training management, testing and

resource management.

2. Integration – Seamless integration into the customer’s IT infrastructure

based on a powerful integration framework (ERP, HR, Netweaver, Microsoft

SharePoint Services, LDAP, et al).

3. Customer-Focused – IMC products and services are business-driven and

developed in close cooperation with an excellent user group of more than

300 customers with four million users worldwide.


IMC is the largest learning management system provider native to Europe and

is a market leader throughout the continent. The company originally began as a

system to manage learning in the university setting and, while it still continues

to offer a higher-education-focused product, most of its revenue is now

generated from a corporate-focused solution.

IMC works with organizations of all sizes, although most of its clients are larger.

Given the prevalence of SAP in Europe, the company has developed a particular

specialty related to SAP integration.

Currently, the core of its platform is a highly competitive learning management

system; however, the company is currently working on additional talent

management components (talent management suite).

IMC should be considered by any large organization, especially based in Europe,

with complex learning management needs.





Product Overview






1. CLIX Learning and Development # 2010 Feb 1, 2010 All

2. CLIX Analytics # 2010 Feb 1, 2010 On-Premise

3. CLIX Skill and Competency Management

# 2010 Feb 1, 2010 All

4. CLIX Learnbase # 2010 Feb 1, 2010 On-Premise




User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning




Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths

• Highlyconfigurable• Strongsupportforautomated,prescriptivelearningtomeetcomplexrequirementsof

organizations in highly regulated industries• Veryeasytouse


• Deeperintegrationofsocialtoolstosupportsociallearning,knowledge-sharingand network building

• Enhancedemployeeprofile• Continuetoenhanceadaptabilityintheinterfaceandthedataarchitecture


• CLIXopenSocial• CLIXwidgetstoreandlearningwidgets• CLIX2GoBeta(iPhone,iPad,Android)• CLIXTalentManagement

o Expert matchingo Successiono PMo Open Talent Community Beta

• CLIX+EPSSIntegration(LiveContext)• CLIXTalentRelationshipManagement

Target Customers / Best-Suited Midmarket to large organizations, especially in Europe



Company Overview

Established in 1985, Intuition is a leading professional learning services provider

to the financial markets, life sciences and government sector communities.

The company provides a full spectrum of value-added products, services and

technologies to support its client learning requirements, including e-learning

and instructor-led courses, custom solutions, and learning technologies, such as

learning management, content authoring and mobile learning solutions.

Intuition provides clients with a total learning solution aligned to their business

objectives. The company is headquartered in Dublin, Ireland, with operations in

New York, London, Singapore, Hong Kong and Sydney.


Core Strengths

Offerings

Intuition

Contact Information: 185 Madison Avenue, Suite 700New York, New York 10016Phone: 1-212-686-3936http://www.intuition.com

Year Founded: 1985




Top Industries Served: Banking / FinanceGovernment (federal including military)HealthcarePharmaceuticalsTelecommunications






Profitable: Yes

3 Largest Customers: 1. U.K. National Health Service

(260,000 users)2. Bank of America Mobile

(55,000 users)

COMPANY SNAPSHOT

Software Platforms


Services


HR Outsourcing HR Technology Consulting



Learning Process Outsource Pre-Hire Assessment

Strategic HR Consulting Strategic L&D Consulting

http://www.intuition.com



Services


Technology Selection

Software Platforms

Assessment System Candidate Relations Management

Career Management System Competency Management System

Enterprise Content Management ERP

Event Capture Learning Analytics

Learning Content

Management SystemsLearning Management System




Web Conference and

Virtual Classroom

(Cont`d)

Content





General Management Healthcare

IT Desktop Leadership Development

Project Management Quality / Manufacturing

Sales



Tools




(Cont`d)


• IntuitionRubicon,Version6.0.19,releasedJuly2010

• IntuitionRubiconMobile,Version2.8.0.1,releasedSeptember2010

• IntuitionPublisher,Version5.1.1,releasedApril2010

• IntuitionKnow-How,Release21,releasedJune2010

(All applications are delivered via SaaS.)


1. Largest community of active mobile learning users.

2. Cloud-based LMS supporting web and mobile Internet devices.

3. Experience and Expertise – Established in 1985, the company has almost 25

years of experience in delivering learning solutions for professionals within

its vertical markets.

4. Best-of-breed approach to content delivery.

5. One million- plus users of Intuition content.







Product Overview






1. Intuition Know How (Content Library)

20.00 4/1/2010 SaaS, On-Premise

2. Intuition Rubicon LMS 6.00 4/1/2010 SaaS, On-Premise

3. Intuition Rubicon Mobile 2.70 1/1/2010 SaaS, On-Premise

4. Intuition Learning Portal 2.00 3/1/2010 SaaS

5. Intuition Publisher 5.00 11/1/2009 On-Premise




User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning




Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths• Global,secure,highlyscalableSaaSplatform• Rapiddeploymenttime• Deepexpertiseinlearningcontent,especiallyinfinancialservices


• Improvedintelligentsearch• Integratedsocialtoolstosupportsociallearning,knowledge-sharingandnetwork-building• Improvedcompetencymanagementtoserveaspivotpointwithlargertalentstrategies• Deeperemployeeprofile


Q3’2010• SupportforAndroid• WebauthoringofMobilecontent• ExtendedeventsupportQ4’2010• Integratedlearningandknowledgedelivery• Socialnetworkingthroughoutthelearningenvironment• IntegrationAPIusingwebservices• Localcontentgeneration,taggingandrating2011• Furtherdevicessupport(e.g.,eReaders,tablets)• Fullyintegratedsocialnetworking• Augmentedexperienceusingmobilesensors

Target Customers / Best-SuitedLargeorganizationsanywhereintheworldlookingforglobalreachand/orenterprise-gradesupport for mobile learning



Company Overview

Learn.com® is a provider of on-demand workforce development and

productivity solutions, with more than 50 million end-users around the globe.

Its broad suite of software as a service (SaaS) applications can fully automate

the pre-hire-to-retire lifecycle within any organization. The Learn.com family

of solutions includes the award-winning LearnCenter® learning and talent

management suite, the WebRoom® web-conferencing suite, the CourseMaker

Studio® authoring tool, Mentor® EPSS and the 1,000-title Learn2® online

course library.

In September of 2010, talent management suite provider Taleo

acquired Learn.com.


Core Strengths

Offerings

Learn.com (Taleo)

Contact Information: 14001 NW 4th StreetSunrise, Florida 33325http://www.learn.com

Year Founded: 1999



Secondary Target Market: Small Business (1-1,000 employees)

Top Industries Served: Banking / FinanceBusiness Services / ConsultingHealthcareManufacturing – DurableTechnology (computers, software, ISP)






Profitable: Yes

3 Largest Customers: 1. Jackson Hewitt

(95,000+ users)2. Intuit (50,000+ users)3. U.S. Department of

Commerce (40,000+ users)

COMPANY SNAPSHOT

Software Platforms


Talent Management Suite

Services

Benefits Administration Competency Development

HR Technology Consulting Content Localization

Employer Branding Learning Administration


Learning Measurement Learning Process Outsource

http://www.learn.com



Services

Payroll Processing Strategic HR Consulting



Software Platforms


Career Management System Competency Management System

Competency Management System HR Management System

Job Board Job Search Engine

Learning AnalyticsLearning Content

Management Systems




Video RésuméWeb Conference and

Virtual Classroom

(Cont`d)

Content




General Management HR Benchmark Data


Leadership Development Quality / Manufacturing

Sales



(Cont`d)


• LearnCenterPlatform

• Learn.comPersonalEdition

• WebRoomConferencingSystem


1. Adaptability – Bersin & Associates analysis shows Learn.com to be the

only provider with full maturity in four of the five adaptability categories.

Learn.com is the only provider to achieve full maturity in the application

category, which encompasses configurability, workflow tools and platform

extensibility. Learn.com has clearly led the way in the evolution of adaptive

learning and talent systems for some time (according to Josh Bersin).

2. Sub-LearnCenters – Sub-LearnCenter architecture allows organizations

to use the same instance of the LearnCenter to serve different audiences

(whether internal or external), and share content and reusable items, but

maintain autonomy and centralization for reporting and information.

Multiple portal designs may be easily created by the clients in a WYSIWYG

interface, providing for easy rotation of fresh portal look and feel, and

changing business needs without additional charges.

3. ROI Guarantee – Learn.com is so confident that its platform will increase an

organization’s ROI, that the company guarantees a hard-dollar return on its

new clients’ investments within the first year of service or the new client will

receive its next year of the Learn.com platform service for free.


Tools






Learn.com has consistently been one of the fastest-growing companies in

the learning management market. In 2005, the company’s LearnCenter X

release extended its solution to provide support for performance appraisals,

goal management and performance-driven learning planning. Today, the

company offers a broad set of features for performance management, career

and succession management, compensation management, and recruitment

management in one product – the LearnCenter platform. A talent management

system, the LearnCenter platform rests on a single database to manage

employee profiles, competencies, jobs, organizational hierarchies and content

across all of the talent management processes. Learn.com has led the evolution

toward adaptive platforms that allow customers to meet their needs through

configuration, not customization.

We believe that Learn.com is well-suited for U.S.-based organizations that would

like an integrated LMS, LCMS, collaboration and performance management

solution. The product’s ease of implementation and ease of use are appealing to

organizations with limited IT and HR administration teams.




Product Overview






Learn.com Platform 13.5.1.53 Winter 2010 SaaS, On-Premise

FormFlow 13.5.1.53 Winter 2010 SaaS, On-Premise

WebRoom 2.0.0 build 3 Winter 2010 SaaS, On-Premise




User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning




Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths

• Highlyadaptablesystem• Integratedcollaborationfeaturestosupportlivementoring,performancesupport,coaching

and best-practices sharing• Non-technicaladministratorscaneasilybrandandconfigureLearnCenterfortheuniqueneeds

ofacompanywithout“customizations”• High-value,low-costsolution–LearnCenterisnotsoldinmodules;everycustomergetsthe

entire suite for one license fee • Advancedlearningmanagementsupport(includinginformallearning)toprovide

opportunities to close talent gaps

Opportunities for Improvement• ContinuetoimplementWeb2.0featurestoenhancetheuserexperience• TakefulladvantageofthesynergiesbetweentheTaleoandLearn.complatforms


Not disclosed.

Target Customers / Best-SuitedLearn.com’s LearnCenter is well-suited for enterprises, midmarket and small organizations requiring an integrated LMS, LCMS, collaboration and performance management solution.



Company Overview

LearnShare provides talent management software solutions that enable

FORTUNE 1000 companies to measure, motivate and manage the development

of their most important asset.

LearnShare was founded in 1996 by FORTUNE 500 companies that joined

together to transform the way their companies research, design, purchase,

package and communicate career development and skills enhancement. This

visionary group included General Motors, 3M, Motorola, Owens Corning, Deere

& Co., O-I, Eaton, Northwest Airlines, Pfizer Inc, Pilkington, UnitedHealth Group

and Chevron. Since that time, 30 additional diverse corporations joined the

consortium, which now represents more than 2.5 million employees around

the globe.


Core Strengths

Offerings

LearnShare, LLC.

Contact Information: One Seagate, Suite 690Toledo, Ohio 43604-4510http://www.learnshare.com

Year Founded: 1996

Number of Employees: < 50



Top Industries Served: Banking / FinanceHealthcareInsuranceManufacturing – DurableRetail





Growth Rate Over Previous Fiscal Year Revenue: <10%

Profitable: Yes

3 Largest Customers: 1. United Health Group

(190,000+ users)2. Ashland (35,000+ users)3. Johns Hopkins (50,000 users)

COMPANY SNAPSHOT

Software Platforms

Learning Management System Talent Management Suite

Services

Community Moderation Content Localization

Learning Administration Learning Measurement

Learning Process Outsourcing Strategic HR Consulting*

Strategic L&D Consulting* HR Technology Consulting

Community Management Learning Content Development

Learning Delivery Technology Hosting

http://www.learnshare.com




• LearnShareLMS

• LearnSharePerformanceManagement

• LearnShareTalent&SuccessionPlanning

• LearnShareAnalytics

• LearnShareCustomer-FacingSystem

• LearnSharePlug-and-Learn

• 360Survey

Software Platforms

Social SoftwareLearning Content

Management Systems

Learning Analytics Competency Management System

Assessment System Onboarding System

Performance Management System Succession Management System

(Cont`d)

Content

Leadership Development General Management

Financial Management Sales

Customer Service IT Systems and Programming

IT Desktop Quality / Manufacturing


Healthcare Assessments

Tools

Survey and Assessment Tools*Available through

third-party partners.



• CourseDevelopment

• SocialLearning

• Community

(SaaS Architecture, original release date 2001, ASP / hosted delivery model.)


1. Personalized Customer Service – LearnShare clients and members

become partners. When deciding LearnShare’s technology roadmap, the

client / members have the ability to influence the technology direction.

Functionality development is a product of clients’ business needs.

2. Proprietary Implementation Process – LearnShare’s standard

implementation time period is approximately 90 days; however, LearnShare

has implemented systems in less than 60 days.

3. Ease of Use – LearnShare provides a simple, easy-to-use solution that can

be installed and configured by administrators without the need for outside

services. The platform’s interface, business rules and workflow are highly

configurable, with no programming language or customized code needed.

4. Multiple Sites in One System – Portal and domain-based architecture

make it easy to have different learning environments with different looks

and feels for different audiences.

5. Ready for the Extended Enterprise – Combination of domain

functionality, ecommerce and customer support model enable LearnShare to

support large-scale extended enterprise training / ecommerce initiatives.

6. Compliance Needs – The system’s functionality has been targeted to best

manage the compliance training needs of heavily regulated companies,

including Title 21 CFR Part 11 of the Code of Federal Regulations.

7. Integrated Functionality – Learning, compliance, performance and

succession management all built in-house and integrated.

8. Content Aggregation and Integration – The solution includes pre-

integrated content titles from more than 15 vendors, hosted and serviced

by LearnShare.





LearnShare is a unique LMS and talent management software provider that

began its life as a consortium of 11 large organizations in the Midwest that

pooled their resources to build the “right” learning solution for their companies.

By creating a shared system and working closely with its founding clients, the

company has built a highly tuned system and packaged content that meets the

needs of many midsize to large organizations.

Because of LearnShare’s organization structure, the company partners very

closely with its clients, offering custom workshops, product configurations and

networking events to help customers learn from each other. While LearnShare

is moving quickly to improve its support for global organizations, we believe

LearnShare’s solutions are an excellent fit for midsize and large companies based

in North America that need to manage all elements of corporate learning and

want a network of companies to support them through their implementation.




Product Overview






1. LearnShare LMS 2010 2010 SaaS/Hosted/On Premise

2. Talent & Succession Planning 2010 2010 SaaS/Hosted/On Premise

3.Performance Management 2010 2010 SaaS/Hosted/On Premise

4. LearnShare Customer- Facing System

2010 2010 SaaS/Hosted/On Premise

5. LearnShare Analytics 2010 2010 SaaS/Hosted/On Premise

6. LearnShare Plug-and-Learn 2010 2010 SaaS/Hosted/On Premise

7. Social Learning 2010 2010 SaaS/Hosted/On Premise

8. 360 Survey 2010 2010 SaaS/Hosted/On Premise

9. Community 2010 2010 SaaS/Hosted/On Premise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning







User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics




Adaptability










Tools



Strengths

• High-touchcustomerservice• Configurable,adaptiveplatform• Strongsupportforautomated,prescriptivelearningrequiredtosupporttheneedsof

companieswithsubstantialcomplianceand/orprocesstrainingneeds


• Integratedsocialtoolstosupportsocialandcollaborativelearning,knowledge-sharingandnetwork-building

• Learningcontentmanagement• Moreintelligentsearchcapabilities


• Integratedglobalcontentdeliverynetworkpartners• Additionaltalentmanagementproductsandservices• Moreservices,suchascontentconversion• LCMS• Mobile

Target Customers / Best-Suited• Midmarketandlargeorganizations,especiallythoseinhighlyregulatedindustriesand/

or manufacturing



Company Overview

Meridian Knowledge Solutions serves approximately 300 customers, with an

average implementation size of 24,000 learners. Meridian’s system includes a

full suite of functionality, including an LMS, LCMS and talent management.

In addition, the system offers performance support, collaboration, reporting,

mobile learning (e.g., Meridian Anywhere) and analytics. Meridian’s solutions

have been proven in large-scale deployments; among its customers are some of

the largest federal agencies, including the FBI and the U.S. Air Force.

Meridian is also increasing its presence in the corporate market. Meridian is a

wholly owned subsidiary of Visionary Integrated Professionals (VIP), providing

the company with access to more than 900 professional services resources

around the world.


Core Strengths

Offerings

Meridian Knowledge Solutions (Meridian KSI)

Contact Information: 4465 Brookfield Corporate Drive, Suite 201Chantilly, Virginia 20151http://www.meridianksi.com

Year Founded: 1997

Number of Employees: 101-200 (a subsidiary of Visionary Integration Professionals, which employs 900 people)



Top Industries Served: TelecommunicationsRetailAerospaceGovernment (federal, including military)Hospitality






Profitable: Yes

COMPANY SNAPSHOT

Software Platforms


Services

Community Moderation Competency Development

Learning Content Development

http://www.meridianksi.com




Products

• MeridianGlobalLMS,Version2010.1

• MeridianAnywhere,Version2010.1(disconnecteduseLMS)

• MeridianVirtualContentLibrary(17,000off-the-shelfcourses)

Software Platforms


Competency Management System Job Board


Management System

Performance Management System Social Software

Succession Management System Workforce Analytics

Mobile Learning

(Cont`d)

Content





Quality / Manufacturing Sales

Tools


(cont’d)

3 Largest Customers: 1. Motorola (1,000,000+ users)2. U.S. Air Force

(1,000,000+ users)3. Project Management Institute

(400,000 users)

COMPANY SNAPSHOT



Services

• CoursewareDevelopmentServices

• ConsultingServices

• SoftwareSupportServices


1. Customer Service – Customer satisfaction data consistently shows

happy customers.

2. Ease of Use, Integration, Configuration and Version Upgrade (.NET

2.0 architecture with Web 2.0 features) – The code base of the LMS coupled

with more than 2,000 exposed APIs has reduced the cost of integration and

version upgrades. It is more than just reducing the cost of integration and

upgrades. Meridian’s engineers have given customers a way to build a wall

around all of the customized code in the LMS. The software’s base code does

not have to be tinkered with when moving to a new version. Customers can

easily carry forward whatever edits they have made to a previous version

without affecting the newer version’s base code. This means a Meridian

customer who upgrades from one version of Meridian Global to a newer

version can make the move in days, instead of the weeks or months that LMS

vendors generally take to complete an upgrade. Nothing like this “software

code wall” currently exists among Meridian’s competitors.

3. Offers Behind-the-Firewall, Hosted and SaaS – Extensive experience in

supporting all three.

4. Offers UI in 30 Different Global Languages – The most extensive

language library in the market.

5. Extensive Functionality – To support extended communities and revenue-

generating applications.





Meridian KSI, a U.S.-based LMS provider, is a leading provider of learning

management solutions for large organizations with complex training needs.

Over the years, Meridian has carefully managed its growth to insure highly

satisfied customers and ongoing profitability.

In October 2006, Meridian was acquired by Visionary Integration Professionals,

a provider of business intelligent analytics solutions. This merger has increased

Meridian’s scope, resources and global presence.

Meridian moved relatively early (as compared with the rest of the market)

toward addressing the convergence of learning and performance management,

with an emphasis on analytical solutions. The company has also been ahead of

the curve in terms of social learning, having social and collaborative tools well

integrated into its learning platform for some time. Today, Meridian is one of

the providers leading the evolution toward open architectures and web services.

Large and midmarket customers (especially in regulated and / or process-heavy

industries, or those looking for a partner provider with integrated performance

management and social learning functions) should consider Meridian.




Product Overview






1. Meridian Global 2010.1 ML 10.1.00337.0 3/1/2010 All

2. Meridian Anywhere 3.x 3.x 3/1/2010 On-Premise

3. Performance Management 10.10 3/1/2010 All

4. Skill and Competency/On-Line Performance Evaluations

10.10 3/1/2010 On-Premise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise



Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths

• Strongsupportforautomated,prescriptivelearningtomeetcomplexrequirementsoforganizations in highly regulated industries

• Integratedreportingandanalytics• Highlyadaptablesystem;amarketleaderintheevolutiontowardopenarchitecturesand

web services• Fully.NETapplicationsince2006• Standards-basedcommitment–leadershipin508,SCORMandotherindustrystandards.


• Continuetoaddtalentmanagementsupportintheareasofsuccessionmanagement,goalmanagement and career management

• Continuetointegratesocialtoolstosupportsociallearning,knowledge-sharingand network building


• MorphingofthecurrentLMSintocloudofservices• ContinualUIenhancements• Refinementofuserinterface• Provideseamlessintegrationwithweb-basedandopencontent,andlearningsupportservices• RESTfulAPI• Enableinfrastructureforsemanticcontentmarkup,taggingandrepositoryservices

Target Customers / Best-SuitedLargeandmidmarketcustomers,especiallyinregulatedand/orprocess-heavyindustries,clientslooking to support extended communities with for-profit learning, or those looking for a partner provider with integrated performance management and social learning functions



Company Overview

Mzinga is the leading provider of enterprise-class technologies, services and

analytics that improve business performance. The company’s flagship enterprise-

class solution, Mzinga OmniSocial, enables businesses to connect, interact,

collaborate, learn and share knowledge with their employees, customers and

partners from anywhere, anytime.

Using OmniSocial, businesses can create a learning “ecosystem” that can be

pervasive throughout their business to enable a user-centric approach to

learning that includes formal learning and development, social knowledge-

sharing, teamwork and collaboration, peer support, and much more. As a

result, OmniSocial users can attain significant business improvements and ROI,

including increased productivity, efficiency gains, improved employee and

customer satisfaction, speed to competency and revenue growth.

Mzinga markets its products to midmarket and enterprise organizations,

primarily in the areas of HR and learning, marketing, and customer support. The

company also has extensive experience with some of the largest-scale business to

consumer social media communities in existence today.


Core Strengths

Offerings

Mzinga

Contact Information: 230 Third AvenueWaltham, Massachusetts 024511-888-MZINGA-8http://www.mzinga.com/

Year Founded: 2007




Top Industries Served: Banking / FinanceBusiness Services / ConsultingHealthcareInsuranceTechnology (computers, software, ISP)







3 Largest Customers: 1. About.com2. Chevron3. Fox.com

COMPANY SNAPSHOT

Software Platforms


Software Platforms


SystemPerformance Management System

http://www.mzinga.com/




Products

Mzinga OmniSocial Suite (latest version released June 2010)

(All applications are delivered via SaaS / on-demand / cloud.)

Services

• StrategicConsultingServices

• ModerationServices

• TrainingAdministrationandlearningServices

• CustomContentDevelopmentServices


Mzinga OmniSocial is an enterprise-class, SaaS solution that incorporates a

broad range of formal and social learning technologies which enable a robust,

collaborative learning experience. This rich, unified learning environment

enables organizations to create, manage, deliver and track corporate learning,

while also providing a user-centric, knowledge-sharing approach that lets

employees, customers and partners connect with peers, share resources and

expertise, and benefit from the feedback and ideas of others. Key

capabilities include:

1. Organizationwide Social Learning Ecosystem from a Single Platform –

With Mzinga’s administrator Control Panel, customers can easily create

multiple internal (private) and external (public) sites for a broad range

of informal and formal learning management, social learning, customer

education or employee collaboration, as well as multiple other use cases for

marketing and customer support – and then manage the entire ecosystem

from one core platform. With the design flexibility in the system’s layout


(Cont`d)

Tools




manager, customers can configure each site with distinct branding, layout,

languages, content and features.

2. Cloud Model – The company’s cloud deployment model saves customers

time and money by eliminating the need for infrastructure and reducing

the time needed to manage technology, so a customer’s focus can be on

its social strategy and content. This cloud model is supported by a best-of-

breed data center, with advanced security measures and an enterprise-class

utility computing platform delivered over one of the largest and highest-

performing carrier neutral networks. As a result, customers can get their

sites up and running quickly. Mzinga’s single instance, multitenant SaaS

architecture ensures that, when product updates occur, every customer in

the Mzinga cloud can get access to the latest OmniSocial features

and functionality.

3. Broad, Robust Suite of Applications – Mzinga offers the broadest range

of learning, knowledge-sharing and social applications on the market (30-

plus applications and third-party integrations), all delivered from a single,

flexible platform, so that customers can create a unified user experience and

preserve data integrity – and avoid potential data silos from using point or

aggregated solutions that are not offered as a single platform solution.

4. In-Depth Blended-Learning Support – OmniSocial supports multiple

adult-learning styles and needs, from formal to informal, physical to virtual,

interactive to just in time. With OmniSocial’s proprietary learning programs

framework, users can easily organize and manage multiple learning types,

while also giving learners the options to choose their preferred learning

methods. This gives companies the ability to deliver a more engaging,

flexible learning experience for users, with the added flexibility of allowing

users to choose the learning methods that they find most effective and

suitable for them.

5. Self-Service Integrated Applications and Widgets – In OmniSocial, users

can easily create, brand and deploy social applications and widgets within

other web properties without any technical assistance.

6. Speed to Value – OmniSocial is easy to deploy, brand and configure, and

can be made readily accessible to users from a simple web browser. This,

coupled with our best practices for ease of implementation, ensures that a

customer’s solution is up and running in a timely manner, so that they can

begin using it to solve their business needs. As with our implementation

process, this ensures that customers can begin getting value from their

solution as quickly as possible.



7. In-Depth, Expert Services – Mzinga offers strategic consulting, training

administration services, custom content, moderation and community

engagement services.


Mzinga offers an integrated enterprise social software platform designed

for external social media marketing and customer community building, and

a social learning platform, combining a social software suite with a learning

management system. Mzinga as a company is likely a sign of things to come – as

other platform providers in other markets (such as LMS or CMS) combine with

social software companies to address the changing needs of their clients. The

company’s revenue numbers, so far, indicate early success. Mzinga’s OmniSocial is

well-suited for any internal or external conversations and connections use case,

and scales to any level of need. The SaaS delivery model should increase speed to

implementation. For enterprise learning use cases, the company’s social learning

platform is also a worthy alternative.




Product Overview






Mzinga OmniSocial 2010 June 2010 SaaS

• PlatformSocial(software,LMS,performance, et al)

• FireflySimulationDeveloper

• MzingaLink(virtualclassroomand web-conference)

• MzingaCatalog (off-the-shelf content)

• Multimediamanagement(integrated through Kaltura)

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise



Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths • Deepintegrationofbest-of-breedsocialsoftwarefunctionality

Opportunities for Improvement• Enhanceadaptability,especiallyrelatedtoapplicationconfigurability,theinterfaceandopen

data architecture


Not disclosed

Target Customers / Best-Suited Midsize to large organizations looking for rich social-learning capabilities



Company Overview

Established in 1999 and listed on the London Stock Exchange (AIM:NETD),

NetDimensions is committed to leadership in learning and knowledge

management technology but, more importantly, the company is committed to

delivering global solutions that produce results for our clients.

NetDimensions provides companies, government agencies and other

organizations with enterprise solutions to help deliver and manage corporate

training, career development, assessment and certification programs. It helps

clients around the world address growing regulatory compliance needs.

Through its offices worldwide, as well as through a global partner network that

extends to more than 40 countries, NetDimensions serves in excess of 800 clients

with more than eight million users.


Core Strengths

Offerings

NetDimensions Limited

Contact Information: Corporate Headquarters17/F Siu On Centre, 188 Lockhart RoadWanchai, Hong Kong+852-2122-4500U.S. Sales Headquarters1900 South Norfolk St., Suite 350San Mateo, California 94403 +1 (650) 577 2352http://www.netdimensions.com/

Year Founded: 1999


Primary Target Market: Small Business (1-1,000 employees)


Top Industries Served: AerospaceBanking / FinanceBusiness Services / ConsultingEnergyHealthcare





Growth Rate Over Previous Fiscal Year Revenue: <10%

Profitable: Yes

COMPANY SNAPSHOT

Software Platforms


Services





http://www.netdimensions.com/




Products

• EnterpriseKnowledgePlatform(EKP)LearningManagementSystem,Version

5.6, released February 2009, installed, hosted or SaaS / multitenant

• EnterpriseAssessmentPlatform(EAP),Version1.2,releasedNovember2007,

installed, hosted or SaaS / multitenant

• EnterpriseContentPlatform(ECP)single-sourceauthoringtool,Version3.2,

released November 2008, installed or hosted

Services

• HostingandManagedServices

• ImplementationServices


1. Quick to Implement with Lower Overall Costs – EKP can be deployed

without implementation services. Implementations typically require weeks

versus months.


Software Platforms


SystemLearning Analytics


Assessment System Onboarding System


Career Management System

(Cont`d)

Tools


(cont’d)

3 Largest Customers: 1. Red Cross of the Netherlands

(500,000 users)2. VCampus (350,000 users)3. ING (110,00 users)

COMPANY SNAPSHOT



2. Portability – EKP’s end-user version that runs from a USB flash drive (mEKP)

is a true portable LMS. No installation or Internet connection required.

3. More Than Just an LMS – EKP is no longer used only to implement an

organization’s learning development, but also to measure and report on

training delivery, ensure regulatory compliance, and automate reporting and

tracking, as well as deliver assessment and testing.


NetDimensions is a small, profitable LMS vendor with impressive organic

growth and one of the most global customer bases of any provider in this

study. The company’s product is well-engineered and proven in several large

implementations. The system can be set up and deployed very quickly.

The company’s target market is midmarket companies in industries with heavy

regulatory compliance requirements, such as utilities, aviation, mining and

financial services.

The company has recently announced the addition of a talent management

platform to its product suite (by partnership).

On the social-learning front, NetDimensions has integrated best-of-breed

enterprise wiki provider, Atlassian Confluence, throughout the product.

The company intends to leverage Confluence as the basis for a full

social-learning suite.

We recommend NetDimensions for any organization with heavy compliance

training requirements that needs a system which is simple and easy to set up.

Organizations with audiences for which computer access is an issue may also find

their mEKP offering (an entire LMS that can be run from a USB “thumb drive”)

as an attractive option.




Product Overview






1. Enterprise Knowledge Platform (EKP) Learning Management System

6.20 5/3/2010 Hosted, On-Premise

2. Enterprise Assessment Platform (EAP) Assessment Engine


3. Enterprise Content Platform (ECP) Single-Source Authoring and Publishing Tool

3.40 Nov 2009 All

4. Enterprise Talent Platform (ETP) Talent Management System

1.00 July 2010 Hosted

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise



Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths

• Rapidimplementation• OfflineLMS• Extensiveexperiencesupportingthelearningneedsoforganizationsinhighlyregulatedand

compliance-driven industries

Opportunities for Improvement• Integratenewtalentmanagementprocesses• Improvedcompetencymanagementtoserveaspivotpointwithlargertalentstrategies• ImplementWeb2.0featurestoenhancetheuserexperience


I2010:• MobilemEKP• Addedtalentmanagementthroughpartner(EnterpriseTalentManagement-ETP)

including support for:o Performance managemento Goals (including cascading)o Careero Assessmento Competencyo Talent analyticso Successiono Positiono Online mentoring

• SAML–Securityassertionmarkuplanguage• Addingnewquestiontypesforassessments• EnhancementstoeCommerce• Add–AdobeConnect• 21CFRPart11(by6.3or6.4)• Compliancerequirementeditor• Performancemanagementrevisions• OLSAintegration• EAPimportaddquestiontypes• Removeframes• WikiEnhancements–Addwidgets(AtlassianConfluence)• Knowledgetaskpushengine





2011• Discoverability–Enhancedsearchandtagging-• Enhanceduserinterfaceandusability• Interactivedirectmobiledevicesupport• Additionalwebservices• Enhancedexamsandassessments• XMLtemplate• ComplianceCatalogs–SOX,healthcare,etal

Target Customers / Best-SuitedMidmarkettolargeorganizationsinhighlyregulatedindustriesorwithsubstantialofflinetraining needs.

(Cont`d)



Company Overview

Oracle Corporation is the world’s largest enterprise software company. The

company develops, manufactures, markets, distributes and services database and

middleware software, as well as applications software that help organizations

to manage their businesses. Oracle has multiple businesses, including software,

services and, with its recent acquisition of Sun, hardware. The company’s

software business, which includes database, middleware and applications

software, represents a significant portion of its total revenue. Based in Redwood

Shores, California, the company employs more than 81,000 people around

the globe.

Oracle offers two global, web-based, HCM solutions, which include a family of

applications to automate the entire recruit-to-retire process. More than 12,500

organizations of every size and region, including nine of the top 10 FORTUNE

500 and 75 of the top FORTUNE 100, use Oracle’s HCM solutions to manage their

human capital initiatives.


Core Strengths

Oracle

Contact Information: 500 Oracle Parkway, Redwood City, CA 940651-800-ORACLE1http://www.oracle.com

Year Founded: 1977

Number of Employees: > 10,000



Top Industries Served: Banking / Finance, Business Services / Consulting, Government (federal, including military), Government (State / Local), Manufacturing - Durable, Retail, Telecommunications

Geographic Presence: North America, South America, Europe / Middle East / Africa, Asia Pacific



Current Fiscal Revenue: $500 million or greater


Profitable: Yes

3 Largest Customers: Not Disclosed

COMPANY SNAPSHOT

Software Platforms

ERP HR Management System

Services

HR Technology Consulting Technology Implementation

Software Platforms


Competency Management SystemLearning Content

Management Systems

http://www.oracle.com



Offerings


• PeopleSoftEnterprise,Version9.1,2009

o Absence Management

o Benefits Administration

o Candidate Gateway

o Directory Interface

o Enterprise Learning Management

o Global Payroll

o Help Desk for Human Resources

o HCM Warehouse

o Human Resources

o Payroll Interface

Software Platforms

Learning Management System Onboarding System


Talent Acquisition System Video-Conferencing

Web-Conferencing Virtual Classroom

Workforce Analytics Workforce Planning

(Cont`d)

Content

Competency Libraries

Tools




o Payroll Interface for ADP Connection

o Payroll for North America

o Pension Administration

o Services Procurement

o Stock Administration

o Talent Acquisition Manager

o Time and Labor

o eBenefits

o eCompensation

o eCompensation Manager Desktop

o eDevelopment

o ePay

o ePerformance

o eProfile

o eProfile Manager Desktop

• OracleEBS12.1,2009

o Core HR

o Self-Service HR

o Performance Management

o Compensation Workbench

o Incentive Compensation

o Oracle Learning Management

o Hyperion Workforce Planning

o Time and Labor

o Oracle Business Intelligence Applications (OBIA) HR Analytics

o Payroll



o Oracle Workforce Scheduling

o Succession Planning

o iLearning

o iRecruitment

o Oracle Advanced Benefits

(All applications are delivered via Installed or Hosted.)


1. Comprehensive integrated talent management suite of solutions with

functional breadth and depth, enabling customers to leverage seamless

integrated data, the same security model and a consistent user interface.

2. Scalable, configurable system on a proven technology platform.

3. Robust global capabilities.


In early 2005, Oracle closed on the acquisition of leading HCM software provider

PeopleSoft. Concerned customers waited for more than a year for a clear

answer on what Oracle planned to do with two HCM product suites. In 2005,

Oracle announced a high-level strategy to develop Oracle Fusion applications.

At the time of our publishing, Oracle representatives declined to give a release

date for Fusion applications. Customers were concerned about protecting their

investments and the level of support they would receive with their current

applications. In response, Oracle announced Applications Unlimited and Lifetime

Support – the company’s plan to provide continual development enhancements

and support to current product lines beyond the delivery of Oracle Fusion

applications. In 2006, 2007 and 2009, this commitment was demonstrated by

new major releases to Oracle E-Business HCM and PeopleSoft Enterprise HCM.

With the Applications Unlimited program, customers will not be required to

migrate to Fusion applications, but may choose to stay with their existing

product lines that will have dedicated development and support teams.




The E-Business HRMS offers a broad range of products that support talent

management, including products for recruitment, performance, learning and

compensation. These products can be purchased with the larger ERP suite or as a

standalone offering.

The PeopleSoft Enterprise HCM solution also offers support for a suite of talent

management products, including recruiting, performance, learning, career and

succession, and compensation.




Product Overview






PeopleSoft Human Resources 9.10 September ‘09 Hosted, On-Premise

PeopleSoft eCompensation 9.10 September ‘09 Hosted, On-Premise

PeopleSoft ePerformance 9.10 September ‘09 Hosted, On-Premise

PeopleSoft HRMS Portal Pack 9.10 September ‘09 Hosted, On-Premise

PeopleSoft Recruiting Solutions 9.10 October ‘09 Hosted, On-Premise

PeopleSoft Succession Planning 9.10 September ‘09 Hosted, On-Premise

PeopleSoft Enterprise Learning Management

9.10 September ‘09 Hosted, On-Premise

Oracle Business Intelligence for Human Resources

7.9.6 April ‘09 Hosted, On-Premise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning







User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics




Adaptability










Tools



Strengths

• Comprehensiveprofilemanagementseamlesslyintegratedtosupportalltalentinitiatives• Robustglobalsupport• IntegrationwithcoreHRMSandfinancials,andintegratedtalentanalyticswithOracle• BusinessIntelligenceEnterpriseEdition(OBIEE)• IntegrationwithUPKtoprovideembeddedperformancesupportandon-demandtraining.


• IncorporateadditionalperformancesupportandWeb2.0featurestoenhancethe user experience

• Deeperintegrationofsocialtoolstodriveadoptionoftalentmanagementinitiativesandsupport social learning

• Improvedlearningcontentmanagement• Greatersupportforadaptabilityintheinterface(allowmoregranularcontroltobuyers)and

architecture (greater support for open APIs, web services and portal standards)


• Usabilityo Workcenters and dashboards (learners dashboard and learning admin dashboards)o Web 2.0 user experienceo Process redefinition

• StrengthenedSelf-ServiceExperienceo Organization visualizationo Paycheck modelingo Life events





• ComprehensiveCapabilitieso Expansion of global functionalityo Deepen product capabilities (expand social learning)o Fusion application interoperability

(expand social learning)

• FusionIntegrationso Coexistence and integration between PeopleSoft HCM and Fusion Talent Managemento New Fusion Talent Review module

Target Customers / Best-SuitedThissolutionisbest-suitedforallOracle/PeopleSoftEnterprisecustomersintendingonupgradingto9.0/9.1inthenextonetotwoyears.

(Cont`d)



Oracle EBS

Product Overview






1. E-Business Suite, Version 12.1, 2009

12.1.2 12/1/2009 All

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise



Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools

NR NR NR NR NR NR NR



Strengths

• Comprehensiveprofileandcompetencymanagementseamlesslyintegratedtosupportalltalent initiatives

• Robustglobalsupport• IntegrationwithcoreHRMSandfinancials,andintegratedtalentanalyticswithOracle

Business Intelligence Enterprise Edition (OBIEE)


• Enhanceenrollmentandwaitlistmanagement• Enhancecareeranddevelopmentplanning,includingsupportforconsolidated

development plans• IncorporateadditionalperformancesupportandWeb2.0featurestoenhancethe

user experience• EmbedWebCenter’ssocialtoolstodriveadoptionoftalentmanagementinitiativesand

enable social learning• Enhancelearningspecificreporting


• AnalyticsandWorkforcePlanning• CollaborativeandSocial• ContinuedEBSHCMInnovationaround

o Talent Management – Career pathing by employee and managero Succession Planning – What-if analysiso Learning Management --Social learning, UCM for content managemento Usability and Web 2.0

• ToolsandTechnologyo Native consumption of Fusion middleware technologies, such as UCM and WebCentero Near-zero downtime for upgrades through database 11g R2o Enhanced Web 2.0 usability through REST-based services

• FusionIntegrationso Coexistence and integration between EBS HCM and Fusion talent managemento New Fusion talent review module

Target Customers / Best-SuitedThissolutionisbest-suitedforallOracle/EBSHumanCapitalManagementcustomerson12.1,or intending to upgrade in the next one to two years.



Company Overview

Plateau is a leading provider of talent management software, content and

services that are designed to increase workforce productivity and drive business

success. The company offers a comprehensive integrated suite of products for

managing, rewarding, optimizing and developing organizational talent. Plateau

solutions are available either on-demand or on-premise. Plateau product lines

include Plateau Performance™, Plateau Compensation™, Plateau Career &

Succession™, and Plateau Learning™. The products can be deployed individually

or together, enabling the company’s current and prospective customers to

expand their investments.


Core Strengths

Offerings

Plateau

Contact Information: 4401 Wilson Boulevard, Suite 400Arlington, Virginia 22203-1820http://www.plateau.com

Year Founded: 1996




Top Industries Served: Banking / FinanceEnergyGovernment (federal, including military)Manufacturing – DurablePharmaceuticals






Profitable: Yes

3 Largest Customers: 1. General Electric

(500,000+ users)2. Department of Veterans

Affairs (450,000+ users)3. Bank of America

(300,000+ users)

COMPANY SNAPSHOT

Software Platforms


Services

Competency Development Learning Content Development

Learning Process Outsource Strategic HR Consulting


Software Platforms



http://www.plateau.com




Products

Plateau Talent Management Suite (latest release – 6.2, May 2010), inclusive of:

• PlateauLearning–Includeslearningmanagementsystem,offlineplayer,

content authoring / LCMS, virtual learning system, Exams and iContent

• PlateauPerformance–Includesgoalsandappraisals,goalsalignment,and

360 multirater

Software Platforms


Management System

Performance Management System Social Learning Platform


Workforce Analytics

Content




Financial Management General Management

HR Benchmark Data IT Desktop



(Cont`d)

Tools





• PlateauCareer&Succession–Includescareeranddevelopment,and

succession planning

• PlateauCompensation–Includescompensationplanning,short-term

incentive and long-term incentive

• PlateauAnalytics

• PlateauTalentGateway

(Plateau supports on-premise and SaaS.)

Services

• PlateauProfessionalServicesforstrategy,implementationand

post-implementation

• ManagedServices–Talentmanagementprocessoutsourcingand

Tier-1 support

• KnowledgeServices–Globaluniversityandtraining

• CustomerSupport–Self-service,helpdeskandlivesupport


1. Comprehensive Global Services – Plateau maintains an intense focus

on high-quality professional services to help its customers realize tangible

business results. Plateau Professional Services focuses on three key areas –

performance and strategy services, implementation services, and customer

lifecycle services. The company also offers managed services. Plateau’s

success in SaaS and on-premise deployments is driven by a customer-centric

approach, highly skilled project professionals, and a proven methodology for

managing the implementation and post-implementation processes.

2. Learning and Development Foundation – Plateau has a long history

of delivering innovation as a learning management system provider. The

company’s ability to deliver seamlessly integrated and robust learning

capabilities as part of its talent management suite allows its customers to

maximize each component of talent management by incorporating L&D.

From performance reviews to individual development plans for career and

succession planning, users can move from talent planning to individual




action. This allows organizations to more quickly and efficiently fill their

talent pipelines with qualified individuals, and it provides individuals with

more control over their career planning.

3. Industry-Leading Customer Satisfaction – Plateau was the leader in

several categories within the global enterprise segment of the Bersin &

Associates 2006, 2007 and 2009 LMS Customer Satisfaction studies. This

achievement is due to a combination of a well-engineered solution and the

company’s expertise in professional services.


Plateau has successfully made the transition from its learning management

core to support for deeply integrated talent management. Because all of

Plateau’s talent management modules (including performance) can be deployed

individually or as an integrated solution, Plateau’s current and prospective

customers can expand their investments as they need. For years, L&D teams

within organizations have tried to direct training resources and measure the

development outcomes of the most important business needs without any

formal link into the performance planning and review process. With Plateau’s

integrated solution, customers align individual and organizational development

planning directly to the goals and competency requirements of the organization.

We applaud the Plateau Foundation concept – moving toward a talent

management “platform-as-a-service” concept, providing an on-demand, highly

adaptable set of services available wherever and whenever a company or

employee needs.

We believe Plateau is best-suited for its existing LMS customer base, as well as

large, global organizations requiring integrated talent management solutions

with sophisticated learning management support.




Product Overview






1. Plateau Learning 6.20 5/12/2010 Saas, On-Premise

2. Plateau Performance 6.20 5/12/2010 Saas, On-Premise

3. Plateau Career & Succession 6.20 5/12/2010 Saas, On-Premise

4. Plateau Compensation 6.20 6/30/2010 Saas, On-Premise

5. Plateau Talent Gateway 6.10 9/3/2009 Saas, On-Premise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise



Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths

• Award-winningimplementationandpost-implementationservicestoensureprogramsuccess• Seamlesslyintegratedandcomprehensivetalentmanagementsolution(includingamarket-

leading learning management system capable of supporting the most sophisticated training function)

• Nativereportingandanalytictools• Embeddedtalentanalytics(includingpredictiveindicators)todriveplanningand

decision-making• Extensiblecollaborationportalthatcanoverlaythesystem,providingarich,

adaptable experience

Opportunities for Improvement• Continuetoembedsocialtoolstodriveadoptionoftalentmanagementinitiatives• Morecomprehensivesupportforonboarding


• Assignedgoals• AdministrationUIenhancements/“instant”integrationswithotherplatforms(Workday)• Opendevelopmentplatform(PaaS)

o Extension design and exchangeo Report design and exchangeo Social and collaborative development and integration

• PlateauWorkforcePlanning

Target Customers / Best-SuitedPlateau’s talent management solution is best-suited for its existing LMS customer base, as well as U.S.-based multinational organizations, requiring integrated talent management solutions with sophisticated learning management.



Company Overview

Founded in 2001, REDTRAY has experienced rapid growth and gained an

excellent reputation within the training industry for providing customer-focused

training solutions. REDTRAY’s key differentiator is its ability to save its clients

time and money by using a combination of leading-edge technology and

training industry know-how to deliver efficient, managed training solutions. By

working in partnership with its clients, the company can achieve a 50 percent

reduction in training costs.

What sets REDTRAY apart from its competitors is that it is able to provide

blended-training solutions that exactly meet the clients’ needs. Whether a

customer is looking for e-learning or classroom training to virtual classrooms or

the full package, the company will offer unbiased advice on the right blended

solution for your training requirements. We also know that clients’ training

needs change due to internal and external pressures, and we can be flexible to

alter our solution to respond to these changes.

REDTRAY is the U.K.’s largest and most successful true, blended-learning

provider and the trusted partner of many FTSE 250 organizations. The company

offers clients a single point of contact for all enterprisewide training needs. It

provides the most comprehensive range of products and services in training and

development, which enables the company to work with large organizations,

selected partner of choice to implement specific technology-driven projects or a

corporate training plan.

The most cost-effective method for training a customer’s staff to achieve an

efficient and capable workforce is to provide bespoke learning solutions, which

match the current capabilities and preferred training method according to the

customer’s organizational and learner requirements, balanced against cost and

time-critical factors.

The company offers value in its solutions, backed up by extensive expertise and

a consultative approach which ensure that the company’s interventions work.

REDTRAY has an unrivalled reputation for client service and 88 percent of its

clients recommend the company to other organizations.

REDTRAY Ltd.

Contact Information: St. Albans House, 57-59 HaymarketLondon, SW!Y 4QX United Kingdomhttp://www.redtray.co.uk/

Year Founded: 2001




Top Industries Served: Banking / FinanceGovernment (federal, including military)HealthcarePharmaceuticalsIT and Telecommunications






Profitable: Yes

3 Largest Customers: 1. Professional Services Firm

(10,000 users)2. Pharmaceutical Company

(20,000 users)3. Telecommunications

Company (10,000+ users)

COMPANY SNAPSHOT

http://www.redtray.co.uk/




Core Strengths

Offerings

Software Platforms


Services

Competency Development HR Technology Consulting

Learning Process Outsource Learning Content Development



Software Platforms


Learning Content

Management SystemPerformance Management System

Social Software

Content

Assessments IT Desktop

IT Systems and Programming

Tools






Products

• ALTOProductSuite,Version1.1,releasedJanuary2009,SaaS

o Learning Management

o Knowledge Management

o Competency Management

o Training and Vendor Management

o e-Learning Management

Services

• ConsultancyandChangeManagementServices

• SupportServices


1. REDTRAY is a training company, that knows what it takes to deliver L&D

projects across organizations. It uses the best approaches for the desired

business outcome (e.g., classroom, virtual, online or a combination), all

driven by the company’s online portal and learning management

system (ALTO).

2. A strategic enterprisewide learning approach aimed at maximizing employee

performance in conjunction with a customer’s key management team.

3. Access to a team of experts with a wealth of award-winning experience and

expertise to ensure customers always use the optimum solutions.

4. REDTRAY develops the skills of its clients’ people, so that they can achieve

their business goals, while increasing the value and reducing the cost of

training by one-half.





REDTRAY is a conglomeration of e-learning services and training companies. Its

component companies offer learning content development, strategic learning

consulting, learning process outsourcing and an LMS platform.

REDTRAY is primarily based in Europe, but has a global client base.

Organizations looking for end-to-end learning-services help, especially in

Europe, should consider REDTRAY.




Product Overview






1. ALTO 2.05 4/2/2010 SaaS and Hosted

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise



Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths• Strongexpertiseatmeetingthesecurity,privacyandlocalizationneedsofclients

across Europe• Integratedreportingandanalytics


• Integratedsocialtoolstosupportsociallearning,knowledge-sharingandnetwork-building• Enhanceadaptability,especiallyrelatedtoapplicationconfigurability,theinterfaceandopen

data architecture• Onboarding• Timetotrainfunctionality


ALTO v2.2 Headline Functions• MarketingcoursestodelegatesthroughPursuitTool,REDTRAYLearningNetwork.Integration

withLIVEMeetingandCommunicationServer.End-userevaluationsforthird-partyusers

ALTO v2.3 Headline Functions• eCommercefortrainingcatalogue• Certificationpaths• Trainingplanning• LearningPaths–Recordtasks,inadditiontoevents• RecordeventsundertakenoutsideofALTO• Sendattachmentsinemail• Changestoself-registration• Delegateadminregressstatusofdelegateonevent• Delegateadmindashboard

ALTO v2.4 Headline Functions• ConnectivitywithMicrosoftCRM• Eventratings• Accesscertificatesforevents• Arrangeandsetupone-on-onetrainingsessions

Target Customers / Best-SuitedMidsize to large organizations, especially in Europe, looking for a fully featured learning management system



Company Overview

RISC provides an award-winning, comprehensive learning management system

for the coordination of e-learning, classroom training, assessment and records

management. Founded in 1992 by trainers, the company works with directors of

training, e-learning and human resources on a daily basis to provide solutions to

common challenges.


Core Strengths

Offerings

RISC, Inc.

Contact Information: 718 FM 1959, Suite AHouston, Texas 770341-281-480-7910http://www.risc-inc.com/

Year Founded: 1992

Number of Employees: Not Disclosed



Top Industries Served: AerospaceGovernment (federal, including military)LegalManufacturing - Non-DurableRetailEnergyPetrochemical






Profitable: Yes

3 Largest Customers: 1. BP (250,000+ users)2. FoodLion (125,000+ users)3. Koch Industries

(80,000+ users)

COMPANY SNAPSHOT

Software Platforms


Services

HR Technology Consulting Strategic HR Consulting


Software Platforms



Management Systems

Workforce Analytics

http://www.risc-inc.com/




• VirtualTrainingAssistantSuite,Version6.1,releasedSeptember2010,

.NET, SQL

(All applications are delivered via license and SaaS.)


1. Compliance – RISC’s has provided learning management solutions to heavily

regulated industries, driving the need for employee assessment, compliance

management tools and detailed reporting since 1992. RISC’s ability to

manage regulatory / prescriptive training requirements has withstood the

scrutiny of regulatory audits and supported international certifications.

2. Assessments – The VTA suite provides assessment development tools

to gauge student mastery of training from the reaction level through

knowledge acquisition and on into field performance.

3. Customer Service – RISC has used client-driven development from day one

and this focus has allowed RISC to excel in independent customer / client

satisfaction studies, such as those by U.S. News & World Reports, Bersin &

Associates and BrandonHall.com.


Content

Assessments

Tools

Survey and Assessment Classroom / Meeting Technology

(Cont`d)




RISC has consistently generated one of the highest levels of customer satisfaction

of any LMS provider we follow. The company had the highest marks in a

number of categories in our past Customer Satisfaction studies. While RISC

lacks the comprehensive set of functionality associated with general-purpose

learning management systems today, we think its very targeted focus on

heavily regulated industries which require employee assessment, compliance

management tools and detailed reporting has helped to ensure that its product

is tightly matched to its customers’ needs.

RISC is one of the most tenured LMS providers in the market, having started in

1992. The company has customers in all global regions, with a specific focus in

North America, Asia and Australia.

Customers in organizations with heavy compliance training needs should

definitely consider RISC.




Product Overview






1. VTA Suite 6.10 9/15/2010 Hosted, On-Premise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise



Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

NR NR NR NR

Adaptability













Tools



Strengths• Strongsupportforautomated,prescriptivelearningtomeetcomplexrequirementsof


Opportunities for Improvement• Improvedintelligentsearch• Integratedsocialtoolstosupportsociallearning,knowledge-sharingandnetworkbuilding


• Enhancedsupportfor:o Performance managemento Assessmento Job-mapping/profiling/job-basedpathing/careermanagement

Target Customers / Best-Suited Large organizations anywhere in the world in highly regulated industries



Company Overview

Saba provides a new class of people systems that combine enterprise learning,

people management and collaboration technologies. Today’s people-driven

enterprises are using Saba’s solutions to mobilize and engage people around

new strategies and initiatives; align and connect people to accelerate the flow of

business; and, cultivate, capture and share individual and collective knowhow to

effectively compete and succeed.

Saba’s premier customer base includes major global organizations and industry

leaders in financial services, life sciences and healthcare, high-tech, automotive

and manufacturing, retail, energy and utilities, packaged goods, and public

sector organizations. Saba’s solutions are available both on-premise and in the

cloud – and are underpinned by global services capabilities and partnerships

encompassing strategic consulting, comprehensive implementation services and

ongoing worldwide support.


Core Strengths

Offerings

Saba Software

Contact Information: 2400 Bridge ParkwayRedwood Shores, California 94065-1166http://www.saba.com

Year Founded: 1997




Top Industries Served: Banking / FinanceGovernment (federal, including military)HealthcareManufacturing – DurableTechnology (computers, software, ISP)






Profitable: Yes

3 Largest Customers: 1. U.S. Army (3,000,000 users)2. IBM (350,000 users)3. HP (340,000 users)

COMPANY SNAPSHOT

Services


Competency Development Employer Branding



Software Platforms

HR Management System Learning Management System


http://www.saba.com



Services




Software Platforms



Competency Management System Learning Analytics

Learning Content

Management SystemsMobile Learning


Performance Support System Social Learning Platform


Talent Management Suite Talent Acquisition System

Web Conference and

Virtual ClassroomWorkforce Analytics

Workforce Planning

(Cont`d)

Content

Assessments Compensation Data

Competency Libraries Customer Service

Financial Management General Management



Sales




Products

• SabaEnterprise5.51,releasedSeptember2010

o Saba Learning

o Saba Learning Content Management

o Saba Learning Commerce

o Saba Anywhere

o Saba Goals & Objectives

o Saba Performance Reviews

o Saba Impressions

o Saba Compensation

o Saba Succession

o Saba Workforce Planning

• SabaPublisher9.03,releasedFeb2010

• SabaCentra7.7,releasedSeptember2010

• SabaLive,releasedSeptember2010

(All applications are delivered via on-premise, dedicated hosted or SaaS /

on-demand.)

Tools



Simulation and Games Survey and Assessment

Web-Based Content Development

(Cont`d)




1. Real-Time Collaboration with Enterprise Business Networking –

Saba is the only people-driven solution that delivers embedded enterprise

business networking and integration with technologies which people use

every day to increase the user adoption and engagement necessary to

drive organizational performance. Saba’s embedded enterprise business

networking integrates Saba’s rich person profile, and includes embedded

competency-driven expertise, Twitter-like performance feedback, blended

learning and workplace analytics. Saba infuses collaborative processes

into each key people process to enable organizations to identify, engage

and retain top people, as well as quickly onboard new hires – thereby

multiplying people’s productivity to outperform the competition. Real-time

enterprise networking also cultivates the knowhow needed in today’s global,

multigenerational workforce by deploying a blended enterprise training

and learning strategy that incorporates formal and informal learning and

knowledge transfer.

2. Unified People Systems – Saba solutions provide a unified profile,

platform and user experience that help to bridge application silos, and

gain visibility to capability gaps and pivotal talent. At the center of Saba’s

information architecture is the People Profile, the industry’s only system that

captures the entire perspective of critical people assets in the organization –

a highly differentiated asset of the solution. While others talk about

“owning the system of record,” only Saba captures the entire history of

people – their competencies, performance and knowhow, as well as the

person’s compliance and certification history, and personal and professional

networks. This visibility into people enables Saba to address complex people

processes, such as talent mobility, with ease – and allows customers to deploy

their top talent to solve the most critical business challenges.

3. Global, Secure People-centric Technology Platform – The Saba solution

is underpinned by a world-class technology platform that leverages 13

years of enterprise solutions experience, bringing together multiple key

capabilities. Based on open standards, the Saba platform allows simplified

and flexible deployment, integration and personalization.

• Ease of User Interactions – Saba offers multiple choices to deliver

content and process support to people via applications they use every

day, such as email, mobile, web and portal applications, to engage

them frequently.




• Integration Services – Enables customer to leverage the value from

their existing investments by integrating with their existing portals, ERP

and CRM applications.

• Global, Scalable and Secure Solution – Delivered in 28 locales and

supported by local teams across the globe, Saba is proven to scale across

the world’s largest people systems, including HP at which more than

340,000 users rely on Saba.

• Deployment Choice – Offered both on-premise and in the cloud with

streamlined implementation for faster deployments.


In 1997, Saba delivered the industry’s first modern LMS and quickly became the

global market leader. The company is also one of the first LMS vendors to offer

an integrated learning and performance management solution – and certainly

the first to offer this integration on a global scale. Now Saba is on the forefront

of a transformation in HR software, leveraging the full convergence of all

talent processes, collaboration technologies and rich employee data to provide

organizations with real-time business intelligence and customers’ employees

with on-demand knowledge and networking.




Product Overview





1. Saba Goals & Objectives 5.51 Sept 2010 All

2. Saba Performance Reviews 5.51 Sept 2010 All

3. Saba Impressions 5.51 Sept 2010 All

4. Saba Compensation 5.51 Sept 2010 All

5. Saba Learning 5.51 Sept 2010 All

6. Saba Content Management 5.51 Sept 2010 All

7. Saba Communities 5.51 Sept 2010 All

8. Saba Centra 7.7 Sept 2010 All

9. Saba Succession 5.51 Sept 2010 All

10. Saba Workforce Planning 5.51 Sept 2010 All

11. Saba Live Aug 2010 All

12. Saba Learning Commerce 55sp1 Sept 2010 All

13. Saba Publisher 9.0sp3 Feb 2010

14. Saba Anywhere 55sp1 Sep 2010(N / A – This is an offline player.)




Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning








Talent Integration





Analytics

Adaptability










Tools






Strengths

• Extensiveconfigurability;aleaderintheevolutiontowardopenarchitecturesandwebservices• Well-integratedcollaborationandsocialtoolstosupportknowledge-sharingand

social learning• Experiencewithcomplex,multinationalimplementations

Opportunities for Improvement • Continueusabilityenhancements


• Focusonusability,engagement,access

Target Customers / Best-SuitedLarge organizations anywhere in the world requiring a scalable and configurable platform for global talent processes.



Company Overview

Founded in 1972 as Systems Applications and Products in Data Processing,

SAP has a rich history of innovation and growth that has made the company a

recognized leader in providing collaborative business solutions for all types of

industries – in every major market. Headquartered in Waldorf, Germany, SAP

employs more than 51,200 people in more than 50 countries and serves more

than 47,800 customers worldwide. SAP is the world’s largest business software

company and the third-largest software supplier overall.

SAP has leveraged an extensive experience to deliver a comprehensive range of

solutions to empower every aspect of business operations, including solutions

for human capital management. Organizations of all sizes can use SAP solutions –

including small business solutions and solutions for midsize companies.


Core Strengths

Offerings

SAP

Contact Information: SAP Aktiengesellschaft,Dietmar-Hopp-Allee 16, 69190Waldorf, Germanyhttp://www.sap.com

Year Founded: 1972

Number of Employees: > 10,000



Top Industries Served: AerospaceAutomotiveBusiness Services / ConsultingElectronicsGovernment (state / local)Manufacturing – DurableManufacturing – Non-DurableOil and Gas / MiningPharmaceuticalsTechnology (computers, software, ISPs)Utilities






Profitable: Yes

COMPANY SNAPSHOT

Services

Strategic HR Consulting HR Technology Consulting

HR Technology Implementation

Software Platforms

Collaboration LMS

LCMS Learning Analytics

Software Platforms

ERP

http://www.sap.com




• SAPERPHumanCapitalManagement(SAPERP6.0)

o Competency Management with SAP ERP HCM (ERP 6.0, latest version is

SAP Enhancement Package 4 for SAP ERP 6.0)

o SAP E-Recruiting (SAP ERP 6.0, latest version is SAP Enhancement

Package 4 for SAP ERP 6.0)

o SAP Enterprise Learning (SAP ERP 6.0, latest version is SAP Enhancement


o Compensation Management with SAP ERP HCM (ERP 6.0, latest version is


(cont’d)

3 Largest Customers: 1. PetroChina (1,200,000 users)2. U.S. Postal Service

(800,000 users)3. Deutsche Post (300,000 users)

COMPANY SNAPSHOT Software Platforms


Assessment System Talent Management Suite

Talent Acquisition System Performance Management System

Succession Management System Career Management System

Compensation Management System Workforce Planning

HR Management SystemCandidate Relationship

Management

Job Search Engine

Content


(Cont`d)

Tools

Simulation Content Development

Survey and Assessment Rapid e-Learning



o Performance Management with SAP ERP HCM (ERP 6.0, latest version is


o Workforce Analytics (This includes ERP reporting, BI content and

analytical composites (SAP NetWeaver 7.0 BI Content Add-On 4 SP 03)

o SAP Talent Visualization by Nakisa (2.0)

o Organizational Management with SAP ERP HCM (SAP ERP 6.0)

o SAP Employee Self-Services (Business Package for Employee

Self-Service 1.4)

o SAP Manager Self-Services (Business Package for Manager

Self-Service 1.4)

o Duet Recruitment Management (1.5)

o HR Administrative Services (SAP ERP 6.0, latest version is SAP

Enhancement Package 4 for SAP ERP 6.0)

o Benefits Management (SAP ERP 6.0)

o Personnel Cost Planning and Simulation (SAP ERP 6.0)

o Global Employment (SAP ERP 6.0, latest version is SAP Enhancement


o Concurrent Employment (SAP ERP 6.0, latest version is SAP Enhancement


o Employee Interaction Center (SAP ERP 6.0, latest version is SAP

Enhancement Package 4 for SAP ERP 6.0)

o Travel Management (SAP ERP 6.0, latest version is SAP Enhancement


o Payroll and Legal Reporting (SAP ERP 6.0)


1. Viability – SAP is a leading provider of business software, offering

applications and services that enable companies of all sizes and in more

than 25 industries to become best-run businesses. SAP has a track record of

continuous growth, dating back to 1972.




2. Global Service and Support Offering – SAP has customers in more than

countries, supported by 3,000 support professionals, 6,000 developers,

and more than 10,000 consulting and education-focused employees. The

company has five global support centers, 14 global service centers and 70

training centers.

3. Leading Analytics – Business Objects, one of the world’s leading business

intelligence software providers, is now an SAP company.


SAP offers an integrated human capital management (HCM) suite of applications

for talent management, encompassing recruitment management, performance

management, succession management, learning management and compensation

management. The company’s learning management solution is not completely

on par with that of the other major best-of-breed LMS providers, but it is not

far off. SAP offers the distinct advantage of integration with the rest of the

SAP family. With its ERP HCM solution, organizations are able to make more

informed decisions, based on talent data aligned with actual budgets, financials,

productivity, and sales and marketing data. All SAP customers, intending to

upgrade to the ERP 6.0 environment in the next one to two years, should

seriously consider the latest version of SAP HCM.




Product Overview





SAP Enterprise Learning SAP Enhancement Package 4for ERP 6.0

May 4th 2009 Primary delivery is via on-premise

model. Customers can engage BPO

partners or SAP Hosting to managethe implementation

if they choose.

SAP Performance Management SAP Enhancement Package 4for ERP 6.0




if they choose.

Compensation Management SAP Enhancement Package 4for ERP 6.0




if they choose.

SAP E-Recruiting SAP Enhancement Package 4for ERP 6.0




if they choose.

SAP Talent Visualizationby Nakisa

SAP Enhancement Package 4for ERP 6.0




if they choose.





Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning



Strengths• NativelyintegratedwithSAPBusinessSuitetoprovideHRdatathroughoutbusinessprocesses• Deepglobalsupportandexperience


• Supportforstrategicworkforceplanning• Createspecificanalyticexperiencesfortalentprocessesandinitiatives• IncorporateadditionalperformancesupportandWeb2.0featurestoenhancethe

user experience• Integratesocialtoolstosupportsociallearning,knowledge-sharingandtodriveadoptionof

talent management initiatives


Not disclosed.

Target Customers / Best-SuitedThissolutionisbest-suitedforallSAPcustomersintendingonupgradingtotheERP6.0environment within the next one to two years.



Company Overview

SilkRoad technology, inc. provides software-as-a-service (SaaS) solutions for

more than 1,500 customers across the globe. Through SilkRoad’s Life Suite™,

an integrated talent management solution, companies are able to hire better

employees, identify high and low performers, drive a pay-for-performance

culture, and improve employee tenure. The SilkRoad Life Suite solution set

includes OpenHire™ (for recruiting management), RedCarpet™ (for employee

onboarding and life events), WingSpan™ (for flexible employee performance

management), GreenLight™ (for learning management), Eprise™ (for employee

intranets and content management) and HeartBeat (for core HR).


Core Strengths

Offerings

SilkRoad technology, Inc.

Contact Information: 102 West Third Street, Suite 250Winston-Salem, North Carolina 27101http://www.silkroad.com/

Year Founded: 2003




Top Industries Served: Banking / FinanceEnergyHealthcareManufacturing – DurableTechnology (computers, software, ISP)

Geographic Presence: U.S. onlyNorth AmericaSouth AmericaEurope / Middle East / AfricaAsia-Pacific





Profitable: Yes

3 Largest Customers: 1. Regis Corporation

(56,000 users)2 T-Mobile (36,000 users)3. Accenture (50,000 users)

COMPANY SNAPSHOT

Software Platforms



Competency Management System Enterprise Content Management


Management Systems


Succession Management System Workforce Analytics

Software Platforms


Talent Acquisition System Talent Management Suite

http://www.silkroad.com/




• OpenHire

• RedCarpet

• WingSpan

• GreenLight

• Eprise

• HeartBeat

(All applications are delivered via SaaS / on-demand.)


1. Customer Support –SilkRoad puts a tremendous amount of focus on its

customer support. The company tries to create partnerships with all of its

clients and works to become an extension of their organizations, rather than

just one of their vendors.


Content



General Management HR Benchmark Data



Sales

(Cont`d)

Tools





2. Breadth of Solutions – The company has a broader suite of talent

management solutions with global reach and experience than any other

vendor in the market.

3. The Talent Experience – SilkRoad focuses all of its solutions on a one-to-

one, high-touch, personalized experience with employees, no matter where

they are in the talent lifecycle. SilkRoad focuses heavily on incorporating

social networking capabilities into its solutions, as well as offering

distributed content and messaging that can be edited with no

technical knowledge.


SilkRoad is one of the most well-funded and fastest-growing providers of talent

management solutions in the market today. The company’s Life Suite™ of on-

demand talent management solutions helps organizations recruit, manage and

retain the best employees.

SilkRoad’s LMS offering, Greenlight, is fully featured and stands out for its full

support for SCORM 2004 sequencing.

In May 2008, SilkRoad announced that it had closed a $54 million equity

round of capital. This funding enabled the company to significantly expand its

worldwide direct sales and marketing efforts, strategic acquisitions, and new

product development. Today, SilkRoad’s applications are best-suited for small to

midsize organizations based in North America.




Product Overview






1. OpenHire 5.00 5.1.2010 SaaS

2. RedCarpet 2.30 7.1.2009 SaaS

3. WingSpan 7.04.5 1.20.2010 SaaS

4. GreenLight 4.2.6 4.25.2010 SaaS

5. HeartBeat 1.00 Q3 2009 SaaS

6. Eprise 7.00 5.28.2010 SaaS

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise



Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

Adaptability













Tools



Strengths

• Market-leadingfunctionalitytosupportacomprehensiveonboardingprocessthroughRedCarpet™

• Easeofuseforemployeesandmanagers• Afullsuiteapproach,includingstrongrecruitmentmanagementandrobustsupportfor

learning management• Contentmanagementsupport• SCORM2004sequencingsupport

Opportunities for Improvement• Enhanceadaptability,especiallyrelatedtoapplicationconfigurability,theinterfaceandopen

data architecture


Not disclosed.

Target Customers / Best-Suited SilkRoad’sLifeSuite™isbest-suitedforsmalltomidsizeorganizationsbasedinNorthAmerica.



Company Overview

SkillSoft is a leading SaaS provider of on-demand e-learning and performance

support solutions for global enterprises, government, education and small to

medium-size businesses. SkillSoft enables business organizations to maximize

business performance through a combination of comprehensive e- learning

content, online information resources, flexible learning technologies and

support services.

Content offerings include business, IT, desktop, compliance and consumer /

small-to-medium business courseware collections, as well as complementary

content assets, such as Leadership Development Channel video products,

KnowledgeCenter™ portals, virtual instructor-led training services and online

mentoring services. SkillSoft’s Books24x7® product offering includes access to

more than 20,000 digitized IT and business books, as well as book summaries

and executive reports. Technology offerings include the SkillPort® learning

management system, Search-and-Learn®, SkillSoft® Dialogue™ and

virtual classroom.


Core Strengths

SkillSoft

Contact Information: 107 Northeastern BoulevardNashua, New Hampshire 03062http://www.skillsoft.com

Year Founded: 1984




Top Industries Served: Banking / FinanceBusiness Services / ConsultingGovernment (federal, including military)Technology (computers, software, ISP)Telecommunications






Profitable: Yes

3 Largest Customers: 1. U.S. Air Force (700,000 users)2. CSC Global (not specified)3. ADP (not specified)

COMPANY SNAPSHOT

Software Platforms


Tools


http://www.skillsoft.com



Offerings


Products

• OnlineCoursewareCollection

o Business skills

o IT Skills

o Desktop Skills

Services


Learning Delivery

Software Platforms

Learning Analytics Onboarding System

Social Software

Content






Tools

Simulations and Games



o Legal Compliance

o Environmental Safety and Health

o Business Exploration

o Business Exploration Series

o Business Impact Series

• ChallengeSeries

• Job-AidsandSkillBriefs

• LocalizedCourseware

• SkillSim™BusinessSimulations

• OnlineMentoring

• VirtualInstructor-LedCourses

o Cisco

o Microsoft (technical)

o Project Management

o CompTIA

• KnowledgeCenters

• Books24x7®Collections

• AnalystPerspectives™

• BusinessPro™

• EngineeringPro™

• ExecBlueprints™

• ExecSummaries™

• ExecEssentials™

• ElémentsEssentielsFrançais™(translated:FrenchEssentials)

• ExecSuite™

• FinancePro™



• GovEssentials™

• HospitalityPro™

• ITIL®PoweredbyBooks24x7

• ITPro™

• ManagerSuite™

• OfficeEssentials™

• OraclePress™

• Well-BeingEssentials™

• LeadershipDevelopmentChannel™

• LeadershipQuickTalks

• CEOQuickTalks

• VideoOn-DemandPrograms

o Live Executive Leadership Series Events

o Administrative Professional Channel™

• Books24x7OnDemandPlatform

• SkillPort®LearningManagementSystem

• IntegrationSupport

o Open Learning Services Architecture

o Reference Port

• CustomContentCreation

o SkillStudio™

o Dialogue™ Design

o KnowledgeCenter™ Editor

o Customer Content Publishing

• VirtualClassroom

o SkillSoft® Dialogue™



Services

• SkillSoftConsultingServicesTeam

• CertifiedLearningConsultants

• DeploymentConsultants

• ProjectSpecialists

• SolutionServices

• SharedServices

• ProgramManagementServices

• BlendedLearningServices

• CustomDevelopmentServices


SkillSoft differentiates itself in the marketplace by owning a majority of its

assets, delivering consistent performance against its stated build plans, and

providing core services from the industry’s largest professional services and

support organization. SkillSoft is a sustainable enterprise with experience

and stability.


SkillSoft is a market leader in off-the-shelf learning content. As the trend toward

comprehensive learning solutions continues to increase, the company has

made an impressive transition from the first generation of e-learning solutions

(online courseware) to more mature and sophisticated stages of e-learning,

which include a multimodal learning model that enables blending a number

of different learning assets, such as performance support, interactive case

studies, gaming, simulations and full-motion video. Along the way, SkillSoft has

developed a sophisticated learning management platform, SkillPort, which it

now markets as a solution unto itself. SkillPort lacks many functions common to

most LMS provider offerings, but it distinguishes itself in simplicity, usability and

in the excellent learner experience it can offer when delivering SkillSoft content.

Organizations of any size looking for a ready-to-use platform for content should

consider SkillSoft.





Product Overview






1. SkillPort 7.0 SaaS, On-Premise

2. Books24x7 Not versioned 2/1/2010 Hosted

3. Academy 3.1 11/30/2009 Hosted

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise



Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics

NR NR NR NR

Adaptability













Tools



Strengths• Userexperience• Rapidimplementation

Opportunities for Improvement• Supportforthird-partyorclientcontent• Classroommanagement


Platform enhancements:• Reporting• ILTmanagement• Enrollment,registration,approvals• Compliancemanagement• Integratingcustomercontent• Sociallearning(inGenius-Book24/7current,inSkillPortin2011)• Userexperience

Target Customers / Best-Suited Organizations of any size looking for a ready-to-use platform for content



Softscape was acquired by SumTotal Systems in 2010.

Softscape



Company Overview

SumTotal Systems, Inc. is a market leader and global provider of talent

development solutions. The company deploys solutions designed to drive

learning, align goals, develop skills, assess performance, plan for succession

and set compensation. SumTotal’s solutions aim to accelerate performance

and profits for more than 1,500 companies and governments of all sizes,

including six of the world’s 10 biggest pharmaceutical makers, six of the 10

largest automotive companies in the world, four of the five branches of the U.S.

Armed Forces, three of the world’s top five airlines, five of the six largest U.S.

commercial banks and two of the world’s top five specialty retailers.

SumTotal is backed by Vista Equity Partners, a leading private equity firm, with

more than $2 billion in committed capital, focused on investing in software and

technology-enabled businesses. Vista Equity has built a strong portfolio of more

than 17 software and technology-enabled businesses with a focus on long-term

value creation. With total revenues of more than $3.5 billion and a combined

earnings before interest, taxes, depreciation and amortization (EBITDA) of more

than $1 billion, Vista Equity portfolio businesses employ more than 9,500 people

and reach more than 35,000 customers in more than 75 countries.


Core Strengths

Offerings

SumTotal Systems, Inc.

Contact Information: 1808 Shoreline BoulevardMountain View, California 94043http://www.sumtotalsystems.com

Year Founded: 2004




Top Industries Served: Banking / FinanceHealthcareInsuranceManufacturing – DurableRetailTechnology (computers, software, ISP)






Profitable: Yes

3 Largest Customers: 1. Walmart2. Exxon3. Citigroup

COMPANY SNAPSHOT

Software Platforms

Learning Management System Performance Management System


Services


1808 Shoreline Boulevard Mountain View, California 94043 http://www.sumtotalsystems.com



Services

HR Technology Consulting Learning Administration


Learning Measurement Strategic HR Consulting


Technology Selection

(Cont`d)

Software Platforms




Management Systems




Web Conferencing and

Virtual ClassroomWorkforce Analytics

Workforce Planning

Content

Assessments Compensation Data

Competency Libraries Compliance

Healthcare

Tools


Rapid Content Development Survey and Assessment




• TotalPerformance,Version8,releasedJune2008,SaaS/Multitenant,Hosted

and Installed

• TotalLMS,Version8,releasedJune2008,SaaS/Multitenant,

Hosted and Installed

• TotalLCMS,Version8,releasedJune2008,SaaS/Multitenant,

Hosted and Installed

• Toolbook9.0(ContentCreation)


1. Trusted expert in talent development with more than 20 years’ domain

experience within complex global enterprise deployments.

2. Large customer portfolio with more than 1,500 customers and 18 million

users worldwide, including 192 of the FORTUNE 500.

3. Corporatewide standards support without customization, using SumTotal’s

proprietary Open Activity Architecture (OAA) and Open Workflow

Architecture (OWA).


SumTotal Systems, a market share leader in learning management, offers

a complete talent development suite of applications to support learning,

performance, succession and compensation management.

We believe SumTotal’s product is best-suited to large, global organizations.

The company also offers full-featured products targeted to the midmarket and

delivered on-demand in the SaaS model.

Last year, SumTotal was purchased by private equity firm, Vista Equity Partners.





Product Overview






Learning 8.2 SP4 8/1/2010 All

Performance 8.2 SP4 8/1/2010 All

Compensation 8.2 SP4 8/1/2010 All

Career and Succession Planning 8.2 SP4 8/1/2010 All

Project Reviews 8.2 SP4 8/1/2010 All

TotalAccess 8.2 SP4 8/1/2010 All

TotalLCMS 8.2 SP4 8/1/2010 All

ToolBook 10.50 7/1/2010 On-Premise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning







User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning






Talent Integration





Analytics




Adaptability










Tools



Strengths

• Highlyconfigurable• Market-leadinglearningmanagement• Competency-basedtalentdevelopment• Experiencedeployingsolutionsinlarge,multinationalorganizations


• Supportfortalentpoolsandemployee-drivencareermanagement• ContinuetoimplementWeb2.0featurestoenhancetheuserexperience• Betterintegratesocialtoolstosupportsociallearningandnetworkbuilding,andtodrive

adoption of talent management initiatives• Continuetointegratelearning,performanceandcompensationthroughprofilemanagement

and talent pool management


• Value-addedsolutionso Analyticso Social collaborationo Mobility

• Industrysolutions• Customer-drivenenhancementso Project review supporto Compliance enhancementso Manager assignments





o External rater supporto Usability roster enhancementso Assessment enhancementso Curriculum registrationso Activity creation wizardso Extensibility frameworko Platform supporto Operational toolso Performance management multitenant webo Stabilityo More robust testing processes

Target Customers / Best-Suited

SumTotal’s TotalPerformance product is best-suited for SumTotal’s LMS customer base, as well as large, global organizations seeking an integrated talent development solution. The company also offers a full-featured performance product targeted to the midmarket and delivered on-demand in the SaaS model.

(Cont`d)



Company Overview

Technomedia is a web-based solutions provider for talent management and

human capital development. With its TM SIGAL® platform, Technomedia offers

integrated solutions covering the entire lifecycle of an organization’s employee –

from recruitment to succession planning, through competency development,

performance management, training and knowledge management. TM SIGAL® is

modular and configurable, allowing organizations to implement applications as

their businesses demand, while ensuring an integrated platform and

user experience.

Technomedia’s client base includes AREVA, Bell Canada, Business Development

Bank of Canada (BDC), Bombardier, CAE, Canada School of Public Service, Credit

Agricole, the City of Montreal, Crossknowledge, Desjardins, EADS (Airbus,

Eurocopter), Geoservices, the Government of Quebec, Groupama, Groupe Alain

Ducasse, Groupe Desjardins, La Poste, Legrand, Loto Quebec, MAAF Assurances,

Natixis, Renault and RioTintoAlcan.


Core Strengths

Offerings

Technomedia Training, Inc.

Contact Information: 1001 De Maisonneuve Boulevard West, 5th FloorMontreal, Quebec, Canada, H3A 3C8http://www.technomedia.com/

Year Founded: 1996




Top Industries Served: AerospaceBanking / FinanceEnergyManufacturing – DurableTelecommunications

Geographic Presence: U.S. onlyNorth AmericaEurope / Middle East / AfricaAsia-Pacific





Profitable: Yes

3 Largest Customers: 1. EDF (Électricité de

France - 110K users)2. Credit Agricole (70K users)3. Bell Canada (60K users)

COMPANY SNAPSHOT

Software Platforms


Services

HR Technology Consulting Technology Implementation

Community Management Learning Content Development

Learning Delivery

http://www.technomedia.com/





• HostingServices

• IntegrationServices

• ContentDevelopmentCenterofExcellence

• Technomedia’sweb-basedTMSIGAL®Solutionscoverthe

following processes:

o Recruitment

o Performance Appraisal (including compensation)

o Competency Management and Development (including 360° Feedback)

(Cont`d)

Software Platforms

Social SoftwareLearning Content

Management System

Learning Analytics Workforce Analytics

Competency Management System Assessment System

Onboarding System Talent Acquisition System



Workforce Planning HR Management System

Job Search Engine Video Résumé

Content


Tools

Simulations and Games Advanced e-Learning Development

Survey and Assessment Rapid Content Development



o Career Management

o People Review

o Learning Management (LMS)

o Blended Learning Management System

o Creation of Online Learning Content (LCMS)

o Virtual Classroom

o Knowledge Management

o Communication Management

o Reports (report generator and preformatted reports, dashboards)

o User Profiles

(TM SIGAL®, Version 6, released May 2010, installed or hosted.)


1. Viability – Since its inception in 1996, Technomedia has had sustained

controlled growth year after year, maintaining profitability and long-term

relationships with its customers, and creating its community of customers.

The development of TM SIGAL® is aimed specifically at the growth of the

human capital in enterprises.

Technomedia has sustained impressive profitable growth over the years

and maintains no debt. The company currently manages a solid base of

existing customers providing a flow of recurring revenues. Technomedia

also benefits from an international customer base that includes several large

North American and European public and private organizations, as well as

educational institutions providing a global reach and perspective.

2. Communities of Practice – With Technomedia’s knowledge management

functionality, employees are part of one or several communities of practice,

and can contribute content and share with their peers. The TM SIGAL®

solution enables mapping of an organization’s knowledge domains,

capturing specialists’ knowledge and transferring it through communities

of practice.




3. The Technomedia Team – The Technomedia team links together experts

in HR and training, IT and project management who listen, understand

and solve the customers issues with rapid interventions, guaranteeing that

projects are run effectively, timely and within budgets. This also ensures the

customers a one-point of entry, single point of responsibility, no

finger pointing.


Since its inception in 1996, Technomedia has offered a competency-based

talent management solution. Often regarded as an LMS vendor, Technomedia’s

TM SIGAL® solution provides applications covering the entire employee

lifecycle – from recruitment to succession planning, competency development,

performance management, training and knowledge management. Today,

Technomedia primarily supports organizations in the U.S., Canada and France –

and is moving to expand its footprint elsewhere in the world. For large

organizations (more than 5,000 employees) focused on deeply integrated

performance, succession, career and learning management, Technomedia should

be included on the short list of providers to evaluate.




Product Overview





1. Training and Development Mgt. including LMS, LCMS, Knowledge Management, Virtual Classroom and Invoicing

6.00 May 2010 All

2. Performance Assessment / Compensation

6.00 May 2010 All

3. Competency Management and 360 Feedback

6.00 May 2010 All

4. Career Management and Mobility

6.00 May 2010 All

5. Talent Management and Succession Planning

6.00 May 2010 All

6. Recruitment / Talent Acquisition and Onboarding

6.00 May 2010 All

7. System Module, necessary for all implementations, includes system management, Organizational and other settings; Reporting and Analytics; Complete User File Management; Catalogs / Directories: competencies, courses, jobs, etc.

6.00 May 2010 All




Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise

Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning








Talent Integration





Analytics





Tools


Adaptability










Strengths

• Strongcompetencyandlearningmanagementfoundationtosupporttalent development initiatives

• Sophisticatedsupportforcareerandtalentmobilitythroughtalentpoolmanagement• Integratedonboardingsupportforadministrativeanddevelopmentactivities


• ImplementWeb2.0featurestoenhancetheuserexperience• Embedtalentanalytics,includingpredictiveindicatorstodriveplanninganddecision-making• Enhancetheintegrationofsocialtoolstobuildconnectionsanddriveadoptionoftalent

management initiatives


• Compensationo Business intelligence

• Functionalevolutionso Performance and competencieso Trainingo Dashboards and reports

• Ergonomics• Technicalevolutions

o Performanceo Flexo Web 2.0o Macro-planning

Target Customers / Best-SuitedTechnomedia’sTMSIGAL™isbest-suitedforlarge,organizations(morethan5,000employees)that are focused on deeply integrated performance, succession, career and learning management.



Company Overview

TEDS, Inc., a privately held and profitable company, has provided talent

management solutions for more than 20 years. TEDS offers a comprehensive

enterprisewide talent management solution that includes management

of competencies, performance, learning, compliance, career development,

recruiting, succession, compensation, and workforce and workforce initiatives.

The talent management suite is based on the company’s CEO’s theory of “People

Resource Planning” – and provides a strategic tool to align resources, close

corporate gaps and individual gaps quickly to meet critical business needs. TEDS’

talent management modules are available individually, in any combination or

as a comprehensive solution. TEDS’ products and services are used by some of

the world’s leading companies, including Verizon, Philips Healthcare, Chrysler,

Mountain States Health Alliance, Eastman Chemical, Steelcase, Dominion

Resources, Qwest, Sandia National Labs, Frontier Communications, and

Washington & Lee University.


Core Strengths

Offerings

TEDS, Inc.

Contact Information: 1235 Mountain Empire RoadAtkins, Virginia 24311http://www.teds.com/

Year Founded: 1980




Top Industries Served: EnergyHealthcareManufacturing – DurableTechnology (computers, software, ISP)Telecommunications






Profitable: Yes

3 Largest Customers: 1. Verizon (200,000+ users)2. Chrysler (72,000+ users)3. Large High-Tech Company

(50,000 users)

COMPANY SNAPSHOT

Software Platforms


Services


Competency Development Employer Branding



http://www.teds.com/




(Cont`d)

Services


Learning Process Outsource Pre-hire Assessment



Tools


Software Platforms



Competency Management System Event Capture

Job Board Job Search Engine

Learning AnalyticsLearning Content Management

System





Workforce Analytics Workforce Planning




Products

TEDS, Version 10.0, released March 10, Premise, ASP, Hosted, , SaaS

• LearningonDemand(LOD)–LearningManagement

• Roles,TasksandCompetencies(RTC)–CompetencyManagement

• PerformanceImpact(PI)–PerformanceManagement

• JobVision(JV)–WorkforcePlanning,StaffingandTalentAcquisition

• SuccessionManagement(SM)

• CompensationManagement(CM)

• WorkforceManagement(WM)

• LearningComposer(LC)–ContentDevelopmentTool

Note: Modules can be purchased individually, in any combination or as a full suite.

Services

• SkillSoftConsultingServicesTeam

• CertifiedLearningConsultants

• DeploymentConsultants

• ProjearningServices

• CustomDevelopmentServices


1. Vision – The company’s CEO created the theory of “People Resource

Planning” (PRP)™ in 1989. This theory describes the link between continual

change in the marketplace, the business initiatives that result from the

change and the human capital gaps that must be closed to achieve business

results (via internal or external resources). The companies that manage

this process with the greatest speed will be more successful than their

competitors. PRP takes an overall look at people processes throughout the




lifecycle of an employee, and stresses the importance of capturing critical

employee information dynamically to allow for the best and quickest

decision by leadership in a company. Real-time skill / competency data is at

the heart of PRP, and having this data for each employee is a necessity when

determining how best and fastest to close a business gap. PRP was the basis

for the first talent management suite.

2. Strategic Workforce Management – TEDS collects real-time data from

all talent management modules that provide the best possible employee

information for strategic workforce decisions. A quick skill / competency

assessment of the workforce will show the company’s readiness and /

or gap against the required skills / competencies needed to meet a

business objective. This data is critical in determining make (use internal

resources) versus buy (hire external resources) decisions to ensure the skills /

competencies are available when needed to meet the business objective. To

complete the gap closure, TEDS can assign skills / competencies to internal

resources or generate requisitions for external resources – both of which are

tied to the workforce initiative.

3. Competency Management – TEDS is recognized as a leader in the

management of certification, recertification and decertification of

competencies / skills within an organization. TEDS’ customers average more

than 5,000 competencies per company and many have more than 12,000

active competencies managed via TEDS. Because competencies are the

gateway to true talent management, TEDS’ 20 years of work in this area,

along with continual improvement based on customer best practices,

provide a best-in-industry solution that is the foundation for talent

management success.

Note: All TEDS modules are built by TEDS (no bolt-ons) in one database,

ensuring integration and ease of implementation for future modules.




Building on early ideas and work by the company’s founder in the late 1980s,

TEDS was ahead of its time – often promoting and selling the benefits of

strategic workforce management before most organizations realized the

potential benefits of an integrated platform. For many years, its solution

did not fit in any one category of software or market. By the late 1990s, the

company was competing in the LMS market, although its solution offered much

broader strategic HR support. One of the biggest hurdles that TEDS faces is

market awareness. While smaller in terms of revenue than some of the other

providers offering talent management suites, TEDS offers a laser focus and deep

understanding of the business and human capital issues that their customers

face. TEDS product is competitive with the biggest players in these markets. The

company continues to stay on the leading edge in both its technology and its

underlying development strategy.




Product Overview






1. Learning on Demand (LOD) 10.00 3/1/2010 Hosted, On-Premise

2. Roles, Tasks and Competencies (RTC)


3. Performance Impact (PI) 10.00 3/1/2010 Hosted, On-Premise

4. Job Vision (JV) 10.00 3/1/2010 Hosted, On-Premise

5. Succession Management (SM) 10.00 3/1/2010 Hosted, On-Premise

6. Compensation Management (CM) 10.00 3/1/2010 Hosted, On-Premise

7. Workforce Management (WM) 10.00 3/1/2010 Hosted, On-Premise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning




Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting



Mobile Learning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise





Talent Integration





Analytics








Tools


Adaptability







Strengths

• Comprehensiveandintegratedtalentsolutionononeunifiedplatform• Strongcompetencyandlearningmanagementfoundationtosupporttalent

development initiatives• Extensiveexperiencesupportingthetalentneedsoforganizationsinhighlyregulatedand

compliance-driven industries • Highlyadaptablesystem;amarketleaderintheevolutiontowardopenarchitecturesand

web services

Opportunities for Improvement• Deeperintegrationofsocialtoolstobuildconnectionsanddriveadoptionoftalent

management initiative• ImplementWeb2.0featurestoenhancetheuserexperience


Ongoing refinement of:• Performancemanagement• Recruitingandstaffing• UserinterfaceandanalyticsAdding deeper support in:• Modeling,analyticsandreporting

Target Customers / Best-SuitedTEDS is best-suited for medium to large organizations (more than 1,000 employees), especially those based in North America that are focused on deeply competency-based talent development and workforce management.



Company Overview

WBT Systems offers an integrated LMS and LCMS suite, with additional modules

for certification and competency management, eCommerce, test creation,

collaboration, classroom management, content publishing, and offline or

mobile capabilities.

The company has approximately 85 customers, many in the midmarket segment.

WBT Systems is a wholly owned subsidiary of Avnet, Inc.


Core Strengths

Offerings

WBT Systems

Contact Information: Block 2 Harcourt CentreHarcourt StreetDublin 2 Irelandhttp://www.wbtsystems.com/

Year Founded: 1995

Number of Employees: < 50



Top Industries Served: Associations and Professional OrganizationsBanking / FinanceInsuranceManufacturing – DurableOil and Gas / MiningPharmaceuticals






Profitable: Yes

3 Largest Customers: 1. ELT (1,000,000+ users)2. Dow Chemical

(100,000+ users)3. Husqvarna (50,000 users)

COMPANY SNAPSHOT

Software Platforms


Software Platforms



Management Systems

Onboarding System

Tools


http://www.wbtsystems.com/





Products

• TopClassLearningManagementSystem,Version8,releasedQ12009,

Installed, Hosted

o TopClass Publisher

o TopClass Certification Management

o TopClass Competency Management

o TopClass eCommerce

o TopClass Mobile

o TopClass Classroom Management

o TopClass Catalog Management

Services

• StrategicConsulting

• TechnicalConsulting

• ClientAdministratorTraining

• PartnerTraining

• TopClassImplementationandIntegration


1. Flexible Architecture – The TopClass technology is built in a flexible,

modular style that permits organizations to customize all aspects of the

product, and enables tight integration with other parts of the enterprise IT

infrastructure, from security and authentication policies to integration with

enterprise applications (such as HR and ERP systems).

2. Heritage – WBT’s heritage is in the content management space and has a

very comprehensive LCMS product that is tightly integrated with its LMS.

3. Fast Deployment – The core TopClass out-of-the-box solution can be

deployed very easily in a matter of weeks.





WBT Systems is an LMS provider based in Dublin, Ireland, with a large customer

base in Europe. In the last several years, the company has made investments in

the North American market and has acquired several customers in the U.S. WBT

Systems is part of Avnet Technology Solutions, an operating group of Avnet Inc.

(NYSE:AVT).

WBT has a very mature product with a robust content management system. The

company’s roots are in the content management space and this remains one the

product’s key strengths.

WBT specializes in supporting organizations with heavy, regulated compliance

training needs and / or complex, globally distributed audiences. The company

also offers targeted support for associations and professional organizations.




Product Overview






1. TopClass Suite 8.00 5/1/2009 Hosted, On-Premise

Modules Available



Software



Recruiting / Talent

Acquisition

Workforce Planning





User Management


Decision Support

Content Management

Integrated Content


Provider Expertise





Mobile Learning






Talent Integration





Analytics

Learning Management

Course and Resource

ManagementCatalogs




Learning Content




Learning Reporting


Adaptability












Tools



Strengths• Simple,rapidimplementation• Strongsupportforautomated,prescriptivelearningtomeetcomplexrequirementsof


Opportunities for Improvement• Enhanceusability• Integratedsocialtoolstosupportsociallearning,knowledge-sharingandnetworkbuilding


• NewJava-basedarchitecture

Target Customers / Best-SuitedMidsize to large organizations with heavy compliance training needs, and associations and professional organizations



Appendix VIIOther Learning Systems Providers



Appendix VII: Other Learning Systems Providers


Figure 150: Other Learning Systems Providers Not Profiled

Company Name Website URLCompany Contact

InformationYear

FoundedContent

Accenture http://www.accenture.com

1-877-889-9009

Accenture has offices worldwide.

1913

Full-service learning services provider, offers outsourced LMS and related services.

Accero https://www.accero.com/

17040 Pilkington Road

Suite 300

Lake Oswego, Oregon 97035

503-303-8200

1974

Formerly Cyborg Systems, known primarily for talent acquisition systems and services.

Adobe Systems Incorporated

http://www.adobe.com

345 Park Avenue

San Jose, California

95110-2704

1-408-536-6000

1982

Adobe Connect Pro, a virtual classroom and web-conferencing environment, offers a limited set of LMS functionality.

ADP (Automatic Data Processing)

http://www.adp.com1 ADP Boulevard

Roseland, New Jersey 070681949

Well-known HR and payroll services provider, includes LMS services and partnerships.

Allen Communication Learning Services

http://www.allencomm.com

175 West 200 South

Suite 100

Salt Lake City, Utah 841011

1-866-310-7800

1981Learning content developer offers highly configurable SaaS LMS.

Altus Learning Systems http://www.altuscorp.com/

2105 S. Bascom Avenue

Suite 135

Campbell, California 95008

1-408-395-9154 phone

1-408-369-9230 fax

Continuous learning environment provider specializing in video-based learning.

http://www.allencomm.com



Figure 150: Other Learning Systems Providers Not Profiled (cont’d)


InformationYear

FoundedContent

Ambow Educationhttp://www.ambow.com.cn/en/index.shtml

118th Floor, Building A Chengjian Plaza, No.18 North Taipingzhuang Road,

Haidian District, Beijing, 100088 China

8610-6206-8000 phone

8610-6206-8100 fax

[email protected] email

A leading provider of learning content and LMS in China.

American Research Institute http://www.americanri.com


170 Southport Drive

Suite 400

Morrisville, North Carolina 27560

LMS provider focused on small and midsize companies.

Avilar Technologies, Inc. http://www.Avilar.com

6760 Alexander Bell Drive, Suite # 105

Columbia, Maryland 21046

1-410-290-0008

1997

SaaS LMS and competency management company focused on small and midsize companies.

BAI Learning & Development

http://www.bai.org/learninganddevelopment

BAI Learning & Development

12250 Weber Hill Road

Suite 200

St. Louis, Missouri 63127

Specialist provider focusing on needs of banks and credit unions.

Beeline.com http://www.beeline.com 12724 Gran Bay Parkway West, Suite 200, Jacksonville, FL 32258-4467

1999

Known primarily for talent acquisition system and services, growing LMS.

BIT Group http://www.bitonline.com/en

Kärntner Straße 311, A-8054 Graz

+43 (0) 316/ 28 55 50-0

[email protected]

A leading provider in continental Europe, especially Germany.


http://www.ambow.com.cn/en/index.shtml

http://www.ambow.com.cn/en/index.shtml

http://www.americanri.com

http://www.Avilar.com



http://www.beeline.com

http://www.bitonline.com/en





InformationYear

FoundedContent

Blatant Media Corporation http://www.blatant.ca 201, 1110 Centre Street, NE Calgary, Alberta, Canada 1-403-717-1971

2002

SaaS LMS provider. Growing quickly through partnerships and reseller arrangements.

BlueVolt http://www.bluevolt.com/

2828 SW Corbett

Portland, Oregon 97201

1-503-223-2583

2002

Specialist LMS provider focused on supporting for-profit training to industry groups and associations, or with companies and customers.

Brainshark, Inc. http://www.brainshark.com/

130 Turner Street

Building 1, Suite 100

Waltham, Massachusetts 02453

1-781-370-8000

1999

Platform for rapid development and distribution of presentations, marketing and e-learning. Offers basic LMS functionality.

Britannica Knowledge Systems

http://www.britannica-ks.com/index.asp

331 N. LaSalle Street

Chicago, Illinois 60654

1-312-205-6440 phone

1-312-294-2162 fax

A leading LMS provider in Israel.

Business Training Library http://www.bizlibrary.com/

285 Chesterfield Business Parkway

Chesterfield, Mississippi 63005

1-636-449-3006

1997

Learning content provider focusing on small and midsize business, also offers simple-to-use LMS.

BVS Performance Systems http://www.bvs.com4060 Glass Rd. N.E.

Cedar Rapids, Iowa 52402

Learning content provider specializing in banking and credit unions, also offers basic LMS.


http://www.blatant.ca

http://www.bluevolt.com/

http://www.brainshark.com/



http://www.bizlibrary.com/

http://www.bvs.com





InformationYear

FoundedContent

Certilearn http://www.certilearn.com

1616 Anderson Road

Suite 109

Mclean, Virginia 22102


1-877-CL4-LEARN

1-877-254-5327

Offers IntranLearn LMS.

Cezanne Software Ltd. http://www.cezannesw.com

46 Loman Street

London SE1 0EH

+44 (0) 20 7202 9300

2000European talent management systems provider, includes LMS.

Chamilo http://www.chamilo.org An open-source LMS.

Cobent Group http://www.cobent.com

+44 (0) 208 973 4092 phone

+44 (0) 160 86 4258 fax

LMS provider specializes in compliance-related needs.

Cognizant Technology Solutions Inc.

http://www.cognizant.com/

500 Frank W. Burr Boulevard, Teaneck, New Jersey 07666

1-201-801-0233

1994


Competentum http://competentum.com/

Competentum USA, Ltd.

1595 NW Gilman Blvd.

Suite 13

Issaquah, Washington 98027

1-425-996-4201 phone/fax

e-Learning content development company from Russia offers LMS based on Microsoft SharePoint.

CoursePark http://www.coursepark.com/

18 Prescott Street

St. John’s, Newfoundland

A1C 3S4

SaaS LMS company offers marketplace-like environment for creating and distributing content to employees and customers.


http://www.certilearn.com

http://www.cezannesw.com

http://www.chamilo.org

http://www.cobent.com

http://www.cognizant.com/

http://competentum.com/

http://www.coursepark.com/





InformationYear

FoundedContent

CyberWisdomhttp://www.cyberwisdom.net/

12/F, Edward Wong Tower

910 Cheung Sha Wan Road

Kowloon, Hong Kong

852-2581-0300

Likely market leader for LMS and e-learning content in China.

Desire2Learn http://www.desire2learn.com

151 Charles Street W.

Suite 400

Kitchener, Ontario

Canada N2G 1H6

LMS provider focused on higher education.

e2train http://www.e2train.com

101/102 Cirencester Business Park, Love Lane,

Cirencester, Gloucestershire GL7 1XD United Kingdom

2000U.K.-based LMS and learning content services provider.

Elearning Force International

http://www.elearningforce.com

280 Madison Avenue

Suite 912, 9th Floor

New York, New York 10016

United States

+1-347-748-9660

Eastern European-based provider of a SharePoint-based LMS.

eLogic Learninghttp://www.elogiclearning.com

14934 North Florida Avenue, Tampa, Florida 33613

2001Small LMS provider focused on the midmarket.

Emeneohttp://www.emeneo.com/welcomeen.html

Taikang Lu

Lane 210 No. 5

Room 428

Tianzifang Creative Area

Shanghai, 200025

China

+ 86-21-54-653-695 phone

+ 86-21-54-653-695-428 fax

A leading LMS provider in China.

EmTrain http://www.emtrain.com/777 Campus Commons Sacramento, California 95864

2000 Saas LMS provider.


http://www.cyberwisdom.net/

http://www.cyberwisdom.net/

http://www.desire2learn.com

http://www.e2train.com



http://www.elogiclearning.com

http://www.elogiclearning.com

http://www.emeneo.com/welcomeen.html

http://www.emeneo.com/welcomeen.html

http://www.emtrain.com/





InformationYear

FoundedContent

ePath Learning, Inc.http://www.ePathLearning.com

300 State Street, Suite 400, New London, Connecticut 06320

1-908-722-6622

1999SaaS provider of integrated LMS and LCMS.

Epistemahttp://www.epistema.com/engb

Sophia-Antipolis

1360, route des Dolines

Les Cardoulines B4

06560 Sophia-Antipolis

+33-4-93-74-14-26 phone

+33-4-93-33-12-37 fax

European LMS provider.

Expertus http://www.expertus.com

Expertus Inc

2091 Landings Drive

Mountain View, CA 94043

Tel: 650-691-1440

1998

Full-service learning services provider, offers LMS, continuous learning platform and related services.

First Advantage http://www.fadv.com12395 First American Way, Poway, CA 92064

2003

Fronter http://com.fronter.info/

Fronter AS

P.O. Box 232 Sentrum

N-0103 Oslo, Norway

Tel. +47 99 40 50 00

1998Owned by Pearson Education.

Inmedius, Inc. http://www.inmedius.com

4900 Perry Pkwy.

Building 2, 2nd Floor

Pittsburgh, Pennsylvania 15229

1-303-462-8787 phone

1996Gen21, one of the most veteran names in the LMS space.

GeoMetrix Data Systems Inc.

http://www.trainingpartner.com

240 Bay Street

Victoria, British Columbia

V9A 3K5 Canada

1992Offers Training Partner LMS.


http://www.ePathLearning.com

http://www.ePathLearning.com

http://www.epistema.com/engb

http://www.epistema.com/engb

http://www.expertus.com

http://www.fadv.com

http://com.fronter.info/

http://www.inmedius.com







InformationYear

FoundedContent

Grade http://www.grade.se

CONTACT U.S.

Grade i Stockholm

Grade i Lund Grade in

Stockholm, Lund

+46-08-673-62-40 phone

+46-0-46-37-30-00 phone

+46-0- 8-673-62-40 phone

+46-0-46-37-30-00 phone

European-based LMS.

Exact Learning Solutionshttp://www.exact-learning.com

Via Portobello

Abbazia dell’Annunziata

16039 Sestri Levante (Ge)

Italy

+39-0185-4761

Formerly Giunti Labs. Offers LMS and LCMS platforms.

Gyrus Systems http://www.gyrus.com

5400 Glenside Drive

Henrico, Virginia 23228

1-888-GO-Gyrus

1987 Veteran LMS provider.

Halogen Softwarehttp://www.halogensoftware.com

495 March Road

Ottawa, Ontario

K2K 3G1, Canada

2001

Fast-growing integrated talent management suites provider with LMS.

HealthStreamhttp://www.healthstream.com/

Nashville Home Office

209 10th Avenue South

Suite 450

Nashville, Tennessee 37203

(615) 301-3100 phone

(615) 301-3200 fax

Leading healthcare specialist provider of content and LMS.

HRsmart http://www.hrsmart.com/

2929 N. Central Expressway

Suite 110

Richardson, Texas 75080

Integrated talent management suites provider with LMS.


http://www.grade.se

http://www.exact-learning.com

http://www.exact-learning.com

http://www.gyrus.com

http://www.halogensoftware.com

http://www.halogensoftware.com

http://www.healthstream.com/

http://www.healthstream.com/

http://www.hrsmart.com/





InformationYear

FoundedContent

ICS Learning Grouphttp://www.icslearninggroup.com

8221 Ritchie Hwy

Suite 303

Pasadena, Maryland 21122

Learning content development tools and services provider, also offers LMS.

Ikomami Ltd. http://www.ikonami.com/

52-53 Margaret Street, London, WIW BSQ

England

+44-0-845-644-3837

1999U.K.-based LMS and learning content services provider.

Instancy http://www.instancy.com

223 Broadgait Brae Rd.

Cary, North Carolina 27519

USA

+1-877-548-3360 (within USA)

+1-919-521-5572 (from outside USA)

LMS and electronic performance support systems provider.

Interactyx http://www.interactyx.com/

3461 Bonita Bay Boulevard Suite 207

Bonita Springs, Florida USA 34134

2001

LMS provider offering specialized implementation of MOODLE (open source) LMS.

Jambok http://jambok.com/ 1-800-334-9360

Continuous learning environment provider, based on the technology behind the SUN Learning Exchange. Spun out as a new company when Oracle purchased SUN Microsystems.

Kaplan Eduneeringhttp://www.kaplaneduneering.com/

202 Carnegie Center

Suite 202

Princeton, New Jersey 08540

1-609-627-5320

Provider of certification and related complex curricula design services for large enterprises, also includes LMS.


http://www.icslearninggroup.com

http://www.icslearninggroup.com

http://www.ikonami.com/

http://www.instancy.com

http://www.interactyx.com/

http://jambok.com/

http://www.kaplaneduneering.com/

http://www.kaplaneduneering.com/





InformationYear

FoundedContent

Kenexa http://www.kenexa.com

650 East Swedesford Road

2nd Floor

Wayne, Pennsylvania 19087

1987Talent management services provider.

KINEO http://www.kineo.com/

19 Cortland Drive

Hudson, Massachusetts

01749

1-617 326-7307

2005Integrator of MOODLE, open-source LMS.

Knowledge Management Solutions, Inc.

http://www.kmsi.us/ 866-448-0846

Veteran LMS / LCMS provider specializing in industries with heavy process and compliance training needs, such as manufacturing.

Knowlagenthttp://www.knowlagent.com/

11800 Amberpark Drive

Suite 200

Alpharetta, Georgia 30009

1-678-356-3500

1995

Specialty LMS provider for call-center industry with innovative integration of LMS with call-center telephony technologies.

Knowledge Factorhttp://www.knowledgefactor.com/

4775 Walnut Street

Suite 210

Boulder, Colorado 80301

Learning content services provider with innovative approach to ensuring learning mastery.

Latitude Learninghttp://www.latitudelearning.com/

100 East Michigan Avenue

Suite 200

Saline, Michigan 48176

1-888-577-2797

2005

Learning content development services provider, also offers LMS.


http://www.kenexa.com

http://www.kineo.com/

http://www.kmsi.us/

http://www.knowlagent.com/

http://www.knowlagent.com/

ttp://www.knowledgefactor.com/

ttp://www.knowledgefactor.com/

http://www.latitudelearning.com/

http://www.latitudelearning.com/





InformationYear

FoundedContent

24x7 Learning http://www.learntrak.net

Bangalore

24x7 Learning Pvt. Ltd.

No 20, Annaswamy Mudaliar Road, Ulsoor Lake

Bangalore - 560 042, India.

+91-80-4069-9100 phone

+91-80-2555-1041 fax

Indian-based learning content services company with an LMS. Focuses on both business to business and business to consumer.

Line Communicationshttp://www.line.co.uk/?lang=en

6th Floor Westbourne House

14-16 Westbourne Grove

London W2 5RH.

England

+44-0-20-7243-5110 phone

+44-0-20-7243-5111 fax

U.K.-based learning content services company with an LMS.

Litmos http://www.litmos.com

P.O. Box 32213

Devonport

North Shore City 0744

New Zealand

+1-408-786-5901 (USA)

+64-9-445-6348 (NZ)

New Zealand-based LMS company.

Bloomfire http://www.bloomfire.com

7107 Elm Valley Drive Kalamazoo, Michigan 49009

1-800-319-2212

2010Continuous learning environment.

MC Strategies Inc.http://www.mcstrategies.com/

245 Peachtree Center Ave. NE, Marquis Tower One, Suite 1900

Atlanta, Georgia 30303

1-404-799-4000 phone

1-800-999-6274 phone

1-404-799-4001 fax

1986

Specialist provider of healthcare content and LMS; part of larger publishing group, Elsevier.


http://www.learntrak.net

http://www.line.co.uk/?lang=en

http://www.line.co.uk/?lang=en

http://www.litmos.com

http://www.bloomfire.com

http://www.mcstrategies.com/

http://www.mcstrategies.com/





InformationYear

FoundedContent

MediaDefined, Inc. http://www.netexam.com 2921 Canton Street

Dallas, Texas 752261999

LMS company specializing in extended enterprise. Offers LMS (NetExam) and continuous learning environment (Ensemba).

Medworxx Inc, http://www.medworxx.com

121 Richmond Street West

Suite 700

Toronto, Ontario

Canada M5H 2K1

Specialist provider of healthcare content and LMS.

Moodlerooms Inc.http://www.moodlerooms.com/

190 W. Ostend St.

Suite 110

Baltimore, Maryland 21230

1-410-779-3400 phone

1-410-244-1608 fax

Integrator of MOODLE, open-source LMS.

Neusofthttp://www.neusoft.com/en/technology/1254

7107 Elm Valley Drive Kalamazoo, Michigan 49009

1-800-319-2212

Chinese LMS provider.

NetLearning, a division of Cengage Learning

http://www.netlearning.cengage.com/

5 Maxwell Drive

Clifton Park, New York 12065

1-888-795-1603, ext. 4

1997

Specialist provider of healthcare content and LMS; part of larger healthcare learning services company, Cengage.

OnPoint Digital, Inc.http://www.onpointdigital.com

200 Blue Fin Circle, Suite 2, Savannah, GA 31410

1-912-898-9202 x203

2001

LMS and LCMS provider and an early market leader in mobile learning.

Operitel http://operitel.com/

194 Sophia Street

Peterborough, Ontario

Canada K9H 1E5

705-745-6605 phone

January, 2010

LMS provider and Microsoft SharePoint integrator.


http://www.netexam.com

http://www.medworxx.com

http://www.moodlerooms.com/

http://www.moodlerooms.com/

http://www.neusoft.com/en/technology/1254

http://www.neusoft.com/en/technology/1254



http://www.onpointdigital.com

http://www.onpointdigital.com

http://operitel.com/





InformationYear

FoundedContent

OutStart, Inc. http://www.outstart.com/

745 Atlantic Avenue

4th Floor

Boston, Massachusetts 02111

1-617-897-6800

1999

Market leading LCMS provider, also offers LMS and continuous learning environment (Participate).

Oztime http://www.oztime.com Chinese LMS provider.

Pearson Learning Solutionshttp://www.pearsonlearningsolutions.com/

501 Boylston Street

Boston Massachusetts

1-800-635-1579

2002Compliance specialist learning services provider with an LMS.

PulseLearning Inc.http://www.pulselearning.com

445 Park Avenue

9th Floor

New York City, New York

10022

1999Learning content services provider with an LMS.

Q2Learning http://www.q2learning.com/2686 Hillsman Street

Falls Church, Virginia 220432001

Continuous learning environment provider.

Rainmaker Systems

http://www.rainmakersystems.com/142/view_central_revenue_profit.html

900 East Hamilton Ave.

Suite 400

Campbell, California 95008

408-340-2800 phone

408-369-0910 fax

Specialist LMS provider focused on selling learning content for-profit.

Rapid Intake http://www.rapidintake.com/

441 West Main Street

Suite B,

Lehi, Utah 84043

1-866-231-5254

e-Learning content development tools provider with a basic LMS.

Reliant http://www.reliantlive.com

20 E. 5th Street

Suite 1020

Tulsa, Oklahoma 74103

1-888-825-6080

2000

SaaS LMS provider with a specialization in assessment and competency management.


http://www.outstart.com/

http://www.oztime.com

http://www.pearsonlearningsolutions.com/



http://www.pulselearning.com

http://www.pulselearning.com

http://www.q2learning.com/





http://www.rapidintake.com/

http://www.reliantlive.com





InformationYear

FoundedContent

Remote Learnerhttp://www.remote-learner.net/

1569 Jefferson Hwy.

Suite 103

P.O. Box 717

Fishersville, Virginia 22939

877-299-1293 phone

540-943-7831 phone

915-200-9145 fax

Integrator of MOODLE, open-source LMS.

Reqwired http://www.reqwired.org

1455 Research Blvd.

3rd Floor

Rockville, Maryland 20850

1-800-800-0064 phone

1-801-905-5509 fax


Specialize LMS and learning content provider focused on legal industry-compliance needs.

Sakai http://sakaiproject.org Open-source LMS.

Salary.com http://www.salary.com

160 Gould Street

Needham, Massachusetts 02494

1999Talent management suites provider.

Serebra http://www.serebra.com

Suite 1660

999 West Hastings Street

Vancouver, British Columbia

Canada V6C 2W2

604-676-5480

SaaS LMS provider.

Sify Technologies Ltd.http://www.sifyelearning.com/

Tidel Park, 2nd Floor, No. 4

Canal Bank Road, Taramani

Chennai 600 113, India

+91-44-2254-0770-77

2000



http://www.remote-learner.net/

http://www.remote-learner.net/

http://www.reqwired.org

http://sakaiproject.org

http://www.salary.com

http://www.serebra.com

http://www.sifyelearning.com/

http://www.sifyelearning.com/





InformationYear

FoundedContent

Simplidigi http://www.simplydigi.com/

P.O. Box 90157

Albuquerque, New Mexico

87199

1-800-216-8005 (USA / Canada)

1-505-880-9737 (Int’l)

1-505-856-5781 fax

SaaS LMS provider.

SoloLearning http://www.sololearning.com

Houston - Corporate Headquarters:

3831 Golf Drive

Houston, Texas 77018

713-402-1900 phone

Learning content services provider with LMS.

StepStone Solutionswww.stepstonesolutions.com

Tempus Court, Onslow St.

Guildford Surrey GU1 4SS

United Kingdom

+44-7540-666-439

1996U.K.-based talent management suites provider.

Strategia http://www.strategia-ed.com

1010 de Serigny, Suite 660

Longueuil, Quebec, Canada J4K 5G7

450-679-8239 Montreal

1.866.679.8239 Canada/U.S.

450-679-1813 fax

Canadian LMS provider specializing in industries with heavy process and compliance training needs, such as manufacturing.

Syberworks http://www.syberworks.com/

411 Waverley Oaks Road

Building 3, Suite 319

Waltham, Massachusetts

02452

781-891-1999

SaaS LMS provider.


http://www.simplydigi.com/

http://www.sololearning.com

www.stepstonesolutions.com

www.stepstonesolutions.com

http://www.strategia-ed.com

http://www.syberworks.com/





InformationYear

FoundedContent

Talent2 http://www.talent2.com

Level 4, 77 Pacific Hwy.

North Sydney NSW 2060

Australia

+61-2-9934-5666

2004Australian talent management services and systems provider.

Tata Interactive Systems (a division of Tata Industries Limited)

http://www.tatainteractive.com

2124 Oaktree Rd.

Edison, New Jersey 08820

1-773-793-4604

1990


Thinking Cap http://www.thinkingcap.com

264 The Esplanade

Toronto, Ontario

Canada, M5A 4J6

1-416-977-4675

2001

LMS and LCMS provider with strong support for learning object-based model.

Time4Youhttp://www.time4you.de/ibt/main/en/site/time4you/ibt/en/start.cxjsp

European LMS provider.

Tooling U http://www.toolingu.com

Tooling U

15700 S. Waterloo Rd.

Cleveland, Ohio 44110-3898

Specialist LMS and learning content provider focused on industries with heavy process and compliance training needs, such as manufacturing.

Traincaster http://www.traincaster.com

New England Business Park

461 Boston Street

Topsfield, Massachusetts 01983

1-888-475-3165

1-978-887-2100

SaaS LMS provider.

Trivantis http://www.trivantis.com

311 Elm Street, Suite 200

Cincinnati, Ohio 45202

1-817-929-0188

1999

e-Learning content development tools provider with a basic LMS.


http://www.talent2.com



http://www.thinkingcap.com

http://www.time4you.de/ibt/main/en/site/time4you/ibt/en/start.cxjsp



http://www.toolingu.com

http://www.traincaster.com

http://www.trivantis.com





InformationYear

FoundedContent

Udutu Online Learning Solutions

http://www.udutu.com/

Suite 1, 415 Dunedin St.

Victoria, British Columbia

V8T 5G8 Canada

250-388-5003 phone

250-298-9291 fax

Learning content services provider with Facebook-based LMS.

Ultimate Softwarehttp://www.ultimatesoftware.com/

2000 Ultimate Way

Weston, Florida 33326

1-800-432-1729

1990Talent management systems provider with LMS.


http://www.upsidelearning.com

Punakar Complex

Survey No-117, 1st Floor

Opposite Popular Nagar

Bangalore Pune Highway

Warje, Pune 411052

Maharashtra, India

+91-20-2523 6050 / 51 / 52

2004

Full-service learning services provider, offers LMS and related services.

Vergouwen Overduinhttp://www.vergouwenoverduin.nl/index.cfm

Postbus 92

1170 AB Badhoevedorp

Netherlands

(020)-659-57-51

(020)-659-57-52

(020)-659-36-71


European LMS and learning content services provider.

WestNet Learninghttp://www.westnetlearning.com/site/

4070 Youngfield St.

Wheatridge, Colorado 80033

888-452-6902 phone

303-432-2565 fax

1996

LMS provider and learning services provider specializing in certification curricula and franchise-heavy industries (e.g., restaurants).


http://www.udutu.com/

http://www.ultimatesoftware.com/

http://www.ultimatesoftware.com/



http://www.vergouwenoverduin.nl/index.cfm



http://www.westnetlearning.com/site/

http://www.westnetlearning.com/site/





InformationYear

FoundedContent

Xerceo http://xerceo.com/

1840 Gateway Drive

Suite 200

San Mateo, California 94404

415-692-0089 phone

415-335-4081 fax

866-770-4913 U.S./Canada

SaaS LMS provider.

Xyleme http://www.xyleme.com/

2060 Broadway

Suite 260

Boulder, Colorado 80302

303-872-0233 phone

303-479-7127 fax

LCMS provider.

Ziiva http://www.ziiva.com

2965 Colonnade Drive

Roanoke, Virginia 24018

866-387-0633 phone

540-777-5621 phone

540-777-5620 fax

SaaS LMS provider.


http://xerceo.com/

http://www.xyleme.com/

http://www.ziiva.com



Appendix VIIISample Features by Application

Functional Category




Figure 151: Sample Features by Application Functional Category

Systems Administration


• Supportforunique,granularpermissionsrestrictionsbyfield,page,user,group,roleorfunction.• Supportforreal-timeupdatestopermissions.• Supportfordifferentdataviewsbypermissionrole.• Supportforinheritingsecurityandpermissionsfromexternalsystem,suchasERPorenterpriseportal.• SupportforSSL.• Supportforconfigurablepasswordrules.• Supportfordatabaseencryption.

User Management

• Abilitytodefineclientcustomfields.• Abilitytoadduserstothesystemmanually,eithersingularlyorinbulk.• Supportforintegratingwithtrustedsourcesofuserdata,suchasHRISorCRM.• Supportforsingle-sign-onintegrationwithotherbusinesssystems.• Abilitytodefineanorganizationalhierarchyforthemanagementofusers.• Abilitytodefineanorganizationalhierarchyforthemanagementofcontentordata.• Abilitytorestrictaccesstousers,contentanddatabasedonorganizationaldefinition.• Abilityforuserstoself-register.

User Experience


• Supportforkeyword-/tag-basedsearchofsystemcontainedcontentandprocesses.• Supportforkeyword-/tag-basedsearchofusercontributions/activity.• Supportforsearchofotherusers.• Supportforfulltextsearch.• Supportforindexingofuploadedfilesforsearchpurposes.• Supportforsemanticsearch.• Supportforintelligentsuggestionofsearchcriteriabasedonuserprofile/activity.• Supportforintelligentadjustmentofsearchresultsbasedonuserprofile/activity.• Supportforautomaticallyappliedkeywords(TAGS)byalgorithmicanalysisofcontentand/oruseractivity.• Supportforexposureofdatatoenterprisesearchappliance.

Decision Support

• Supportembeddedandcontextualperformancesupportforuser,managerandadministrator.• Thesysteminterfacesupportsembeddedanalyticsanddashboards.• Thesysteminterfacesupportsdynamicfunctions,including“drag-and-drop,”“drill-downs”anddataloadsthatdo

notrequirebrowserpagerefresh(e.g.,AJAXorsimilar).• Thesysteminterfacedesignmakesfrequentuseof“drill-downs,”“dashboards,”“side-by-side”comparisonsand

“snap-shot”viewstoensurethatsufficientinformationisdisplayedwithoutoverwhelmingtheuser.• Thesysteminterfacedesignmakesfrequentuseofvisualworkflowindicators,“wizards,”androlloverstoguideusers

quickly and efficiently to their desired functionality choice.• Whereapplicable,thesystempre-populatesuser-specificcontentintothefields.

Appendix VIII: Sample Features by Application Functional Category



Figure 151: Sample Features by Application Functional Category (cont’d)

Content

Content Management

• Thecoreapplicationincludesabuilt-inrapidcontentdevelopmenttoolusablebyany/allusersdependingon client configuration.

• Supportforsystemwidemetadata/taxonomy.• Supportfordocument/recordsmanagement.• Supportforversioncontrolofmanagedcontent.• Supportforarchivedversionhistoryandrollbackofmanagedcontent.• Supportfordocumentlocking.• Supportforembedding/linkingtoexternalcontent.• Supportforbatchimportandexportviawebinterface.• Supportforvirtualfilesystem(folderview,e.g.,WEBDAV,AdobeAir,GoogleGears,etal)• SupportforwebembeddedMSOfficefileformats.• SupportforexportofMSOfficefileformats.

Integrated Content

• Supportforpreintegratedcompetencylibraries.• Supportpreintegratedlearningcontent.• Supportforpreintegratedassessmentsand/orevaluationcontent.

Global


• Usesofthewrittenwordwithininterfaceelements(titles,menus,etal)canbechangedviacustomizable localization tables.

• Supportfordouble-bytecharactersets.• Hardwareresourcesaredistributedgloballytoensurebestpossibleperformanceworldwide.• Partnershipswiththird-partycontentdistributionnetworkshavebeenprearrangedandintegratedwiththe

application infrastructure.• Systemsupportsmultiplecurrencies.• Systemcansupportmultiplesetsoftaxregulations.• Systemcansupportmultipletimezonesanddateformats.• SystemcansupportEuropeanUnionprivacyrequirements.

Provider Expertice

• Youprovidelocalsystemsupportresourcesin:o North Americao Latin America and Caribbeano Western Europeo Eastern Europe, Middle East or Africao South Asiao East/SoutheastAsiao Australia, New Zealand, Oceania





Provider Expertice

• Youofferlocaluse-casesupportandthoughtleadership(forexample,bestpracticesforcompliancewithlocalprivacyor tax regulations, et al) in:o North Americao Latin America and Caribbeano Western Europeo Eastern Europe, Middle East or Africao South Asiao East/SoutheastAsiao Australia, New Zealand, Oceania

Learning Management

Course and Resource Management

• Enableefficientworkflowsandtemplatesforcreating,editingandupdatingILTcoursesandclasssessions.• Supportcreatingandassigninglearningcontenttomultiplegroupsoraudiences.• Supportmanaginginstructoravailabilityandassigninginstructor(s)toacourse,classorlocation.• Supportclassroommanagement(creatingclassrooms,assigninglocationsandresources).• Supportworldwidetimezoneswhenschedulingclassesandenableuserstoselecttimezones.• Enableprerequisitemanagement(e.g.,required,recommended,duedates,enforcementprocesses,administrator

override,approve/denywaiverrequests,etal)linkedtoenrollmentintothelearningactivity.• Supporttheabilitytoassignandeditpre-andpost-worktoacourseorclass.• Enabletheuploadingofdocumentsavailabletolearnersbeforeoraftercourseregistration(e.g.,instructor,learnerand

reference materials).• Supportresourcemanagement(e.g.,books,instructors,flipcharts,projectors,etal),includingavailability,utilization,

costsandconflictidentificationforcourseandclasssessions.• Enablecourseequivalencies(newcourseisequivalenttooldcourse).• Supportexpiringlearningactivitiesandmaintaininghistoricaldata.• Supportmanagementofvirtualclassroom(e.g.,WebEx,AT&TConnect)coursesandclasses.• Abilitytomanageroomlayouts.

Catalogues

• Supportunlimitedcataloguehierarchylevels.• Enablecategoriestobeassignedtothecoursecataloguestructure.• Supportcatalogueavailabilitybasedonalearner’sorganizationaldesignation(e.g.,jobfamily,role,talentpool,

group/audience,position,department,domain).• Enableanautomaticadjustmentofcataloguecontentbasedonlearner’sorganizationalchanges(e.g.,group,talent

pool, position, organization).• Enableassigningcataloguecontentbasedonpredefinedgroupsoraudiences.• Supportcustomizedcataloguestructuresbasedonlearningapproach(e.g.,competencies,course,topic,

skills, organizations).

Curriculum , Learning Plans and Certification Management

• Enablegroupingoflearningactivities(includingcurriculum)inacurriculum,certificationorlearningplan.• Supportaddingsocialnetworkingcomponentstoacurriculumorcertification.• Enablesystempriornotificationofcertificationrenewaldate(e.g..90-,60-,30-daysprior).





Curriculum , Learning Plans and Certification Management

• Supportsequencingandgroupingcurriculum/certificationactivitiesbasedoncompletionrequirements (e.g., sections, completion timeline).

• Abilitytosupportnon-sequencedcurriculum/certifications.• Supportsettingcompletiontimesandrequirementsforcurriculum,certificationandlearningplans.• Abilitytosetabsoluteorrelativeduedatesforcurriculum.• Abilitytomanagebothrequiredandelectivetrainingwithinacurriculum.• Abilitytomanage,trackanddelegatelicenses.• Abilitytosupportcomplex,renewal-basedcertifications.• Abilitytomatchterminologyandworkflowsfordifferentlicenses,certifications,designations,CEU,etal.• Abilitytosupportnonlinearrenewalprocesses.• Abilitytosupportgraceperiods.• Abilitytomanagetrainingcreditsbyroleororganizationalunit.


• Supportskillsandcompetencyinventories.• Enableintegrationofthird-partycompetencylibraries.• Supportcompetencybanksforsharedcompetenciesandbehavioralanchors.• Enablelinkingskillsandcompetenciestoanylearningactivity.• EnableonlinecompetencyassessmentseitherthroughtheLMSorintegratedwithperformancemanagement.• Supportaweb-basedtoolfordevelopingcompetencyassessmentswithmultipleassessmentratingscales.• Supportgeneratinganindividualizeddevelopmentplanresultingfromacompetencyassessment(eitherrequiredor

recommended learning activities).

Learning Content

• Enableintegrationofthird-partycontentlibraries,eitherhousedontheLMSorintegratedwiththeprovider’sservers.• Supportuploadingstandards-basede-learningcontent(e.g.,SCORM1.2,SCORM2004,AICC).• Supportadministratorseasilyuploadinge-learningcontentdevelopedwithcommon,standards-basedauthoringtools

(e.g., Captivate, Camtasia, Articulate, Lectora, Toolbook).• EnableviewingandreplacingSCORM/AICCfilesinpreviouslypublishede-learningcontent.• Supportefficientcoursecreationworkflowsforuploadede-learningcontent(e.g.,assignsubjects,curriculum,

audiences, prerequisites, competencies, completion dates, expiration date).• Enableprintingofcoursecertificateuponcompletion.• Supportaddingexternaltraining,CEUs,andcertificationsandinformalinternaltraining(i.e.,seminars,

on-the-job training).• Supporttrackingand/orcommentsforchangingemployeeenrollmentstatus.• Supportversioningfordistributingandtrackinge-learningcourses.• Enablecontentdevelopmentthroughbuilt-indevelopmenttoolsandtemplatesforcreatingtext,graphic,interactive

elements and standards-based output (e.g., SCORM, AICC).• SupportpreviewingSCORM/AICCcontentbeforeandafterpublishingcourse.• Enableprintingofselectedcontentfrome-learningcourse.• Supporttrackingofnon-SCORM/AICCcontentaslearningactivities(e.g.,expertQ&A,podcasts,blogs,

documents, wikis).• Supportuser-generatedrankingandratingoflearningcontent(e.g.,courses,wikis,podcasts,blogs).• Abilitytoversioncontent–managedisparateworkflowrulesbyversion;choosewhogetsthenewversion(ornot).• Abilitytomanagemetadatarelatedtocoursecontent(anythinginthecatalogue).






• Enablecreatingasurveyquestionbank.• Enableatest/assessmentquestionbank.• Supportintegrationofthird-partysurveysandassessments.• Enableimportingoftestquestionseitherfromalocalorshareddrive,orfromathird-partyvendor,directlyinto

a question bank.• Enablecreationofmultipleassessmentquestionformats(e.g.true-false,multiplechoice,fillintheblank)

within a test engine.• Enableuniquecourseevaluations(Levels1,2,3)sentatpredefinedintervals(e.g.,uponcompletion,30,60,90days)

to multiple users (e.g., learner, manager, instructor).• Supportgeneratingcustomizedsurveysandtestsfromquestionbanks,andsetspecificationbysurvey/test(e.g.,how

many times a test can be taken, timed tests, save and return, duration for retaking the test if failed).• Enablequestionrandomization,includingdistracters,corequestionsthatremainontest.• Supportmakingtestsorsurveysrequiredtocompleteacourse.• Supportlinkingtestsandsurveystoalllearningactivities(e.g.,curriculum,certifications,course,session,blogs,

wikis, virtual classroom).• Enablelinkingtestsandquizzestolearningactivitieseitheraspre-work,post-workorprerequisites,orembedded

within a curriculum or certification.• Supportcreatingdynamicprescriptivepre-testingthatcanadaptcoursecontentandlearningplansbased

on gap analysis.• Enablemultipleuserstoeditandupdateassessments/surveysandquestionsbasedonuser’srole.• Supportproctoredtests.• Supportsendingapost-courseevaluationtoasamplingofthecourseparticipants.

Enrollment and Registration Administration

• Supportprescriptiveenrollment.• Supportenrollmentbylearner,manageroradministrator.• Supportbatchenrollment/proxyenrollmentprocessestoenrollmultipleusersintoasinglelearningactivity.• Abilitytobatchupdaterostersandtranscripts.• Enablemultiuserregistrationapprovalprocess(e.g.,manager,instructor,HR).• Administratorscanoverrideapprovalworkflowrequirements.• Enableamanager,instructororadministratortocompletealearnerfromaclass,andaddtestscoresandcomments.• Supportchargebackforcoursecosts.• Demandforecasting(e.g.,abilitytoallowuserstoexpressinterestinasessionorevent,evenifnoneispresently

scheduled or those scheduled are full).• Abilitytoapplypenaltiesforno-showsorlatewithdrawals.• Abilitytosupporttieredrefundpolicies.• Enablenotificationandviewingofcertificationrequirementsexpiring30,60,90days.• Enableabilitytoviewwaitlistandenrollonwaitlist.• Supportabilitytolocateresourcesupport(e.g.,coaches,mentors,experts).• Abilitytotrackacknowledgmentforms.• Abilitytorouteforms(e.g.,travelpaperwork).

eCommerce

• SupporteCommercecapabilitiesforalllearningactivitiesandcurricula.• Enableautomatedcredit-cardpurchases.





eCommerce

• Supportmultiplecurrencies.• Enablemultiplemerchantaccounts/domains.• Abilitytosplitpaymentsbetweenusersorcostcenters.• Abilitytotracktransactionsbyuserorcostcenter.• Theabilitytopricetrainingorothertypeoflearningobjectbyorganizationalgrouping(differentpricingforany

different organizations – division, location, position, custom group, et al).• Theabilitytoenablediscountsforcertaintypesofusers.• SupporteCommercesecurityprotocols.

Learning Reporting

• Supportmultipleuseraccesstolearnertranscripts,includingtestresults(e.g.,manager,HR).• Supportstandardreportingoptionsforcommonlearningdatarequirements(e.g.,completions,curriculum,activity

type, status, hours).• Enablemanagerstoviewlearningdataforalldirectreportsanddownstreamemployees.• Enablereportingonalllearningactivities(i.e.,ILT,e-learning,external,certifications)andtalentdatabasedon

organizational hierarchy, talent pools, roles, career paths, et al. • Enablecalculationsoflearningdata(e.g.,percentage,count).• Supportupdatingemployee’stalentprofilewithtranscriptdata.• Enablereportingofalltestandsurveyquestionsandanswers.• Enablequestionitemanalysisoftestsandsurveys.• Enablereportingbycurriculum,certification,courseandobjective.• Supportreportingoncoursewaitlistdemand.• Supportreportingthatlinkslearningactivitytoemployeeandorganizationalperformance.• Abilitytoenforcequestiondistribution(frompool)acrosscategories.• Abilitytoweighttestsections.• Supportreportingofcurriculacompletionpercentages.• Supportreportingofcertifications,licenseandCEUcredits.• Supportreportingtuitionreimbursementdatatothecompensationmodule.• Supportreportingoflearningcostsbyresourceutilization(e.g.,instructorcosts,room,materials,course).

Special Topics

Mobile Learning

• Provideamobile-/portable-readycontentdevelopmenttool.• Developmenttoolorplatformsupportsdevelopingonceandpublishingtomultipleplatforms.• Provideamobilelearningmanagementplatformforassigning,pushing,trackingandreportingofmobileconsumed

content.• Supportforvariousformsofknowledgecontentandlearningactivities.• Contentisdownloadinthebackgroundforconsumptionlater.• Supportedformsofsystem-to-learnerandlearner-to-learnercommuncation.• SMS• Email• Twitterorothermicroblogging/statusupdatetechnology.• IM• Mobilelearningtranscriptsorhistory.





Mobile Learning

• AccessfullLMStranscriptorhistory.• Searchacatalogueofavailablecontentoractivities.• Seeassignedmobilelearningactivities• Seemobilelearningplans/bundledgroupsofcontentoractivities.• SeeanyLMSassignedactivityorlearningplan.• Rateorcommentonlearningcontentoractivities.• Registerforliveevents.• Submitlive-eventevaluations.• Submitlive-eventaudienceresponse.• AccessLMSortalentmanagementemployeeprofileoverthedevice.• Pre-builttemplates/skinsformobilecontentforoneormoremobileplatforms.• Anativemobilelearningapplicationforoneormoreplatforms.• Supportforleveraginglocation-basedservicesforlearningorperformancesupport.• SupportforapplyingeCommercefunctionalitytomobilelearning.• Mobilelearningplatformcanbeintegratedwithanotherlearningmanagementsystem.

Competency Management


• Supportacustomcompetencylibraryandtaxonomy.• Supportthird-partycompetencylibraryintegration.• Enablemodificationstothird-partycompetencylibrariesinsystem.• Enablecustomcompetencymodeldevelopment(e.g.,leadership,careerpaths,jobfamilies).• Supportbehavioralanchors/attributesforeachcompetencyandcompetencymodel.• Shareanchorswithinacompetencylibrary.• Supportcompetencybanksforsharedcompetenciesandbehavioralanchors.• Enableeditingofcompetenciesandbehavioralanchorswhencopyingandreusingfromacompetencybankwith

appropriate approval processes.• Supportmultiplelevelsofcompetencies,or“buildingblock”approach,forasinglecompetencyarea,suchasproject

management levels 1, 2 and 3.• Supportmultipleproficiencyscales.• Enableemployeesandmanagerstoupdatecompetencieswithmultipleuserapprovalcapabilities.• Supportworkflowsandnotificationsthatenableregularreviewsandupdatesofcompetencies.• Enablesurveyingcontent/subjectexpertswhiledevelopingcompetenciestodeterminehowfrequentlyknowledge,

skills and abilities are used in a specific role or job.• Supportacompetencyhierarchythatincludesjobfamilies,multiplerolesandjob-specificcompetencies.• Enablecompetencymodelstobeassignedtoorganizationalunits,jobfamilies,jobs,rolesand/orpositions.• Enablecompetencymodelstobeassignedtospecificgoalsorgoalgroupings.• EnableHRpractitionerstoidentifycriticalcompetenciesbyorganizationalunit,jobfamilies,jobsand/orpositions.• Enablemanagerstoassigncompetencies.


• Supportcompetencyassessmentswithsingleandmultiraterassessments.• Supportweightedcompetencies.• Supportratingbothcompetenciesandbehavioralanchors/attributes.






• Enableoverallratingbasedoncompetencyassessment.• Enableautogenerationofrecommendedorrequireddevelopmentactivitiesbasedoncompetencyassessment.• Abilitytoaddexternalassessors.

Talent Integration

• Assigncompetenciestolearningactivities(e.g.,courses,curricula,workshops,webinars,etal).• Supportlinkagetocertificationrequirementsfromcompetencybank.• Enableupdatingofcertificationsbasedoncompetencychanges.• Supportlinkingcompetenciestopredefineddevelopmentactivities,suchasdeployedthroughcareerpaths.• Enableassignmentofcompetenciestocurriculapathswithinjobfunctions,positions,rolesorfamilies.• Enableintegrationofcompetencieswithbothjobandtalentprofiles.• Enablecompetenciestointegratewithrecruitmentworkflowsandinterviewforms.• Enablecompetencydatatosupportworkforceplanningprocessesandsystems.• Enablecompetencyassessmentdatatointegratewithperformancemanagementworkflows(e.g.,appraisals,

development plans, talent reviews, et al).• Enablecompetencyassessmentdatatointegratewithsuccessionplanningworkflows.• Enablecompetencyassessmenttolinktocompensationmodulesandpay-for-performanceworkflows.


• Enablethemeasurementoforganizationalcapabilities,skillsgapsandmanagerialbenchstrength.• Supportcompetencyassessmentdatainagraphicaldashboardformat.• Enablemanagerstoviewcompetencylevelsoftheirdirectreportsonasinglescreen.• Enableemployeestoviewtheirpersonalcompetencyassessmentdataandinasinglescreen,alongwithrecommended

or required development activities.• Enablegraphicalcomparisonsofcompetenciesfortargetpositions.• Enablereportingbasedonallcompetencystructures(e.g.,jobfamilies,corevalues,leadership,careerpath,job

functions) across organizational hierarchies, talent pools and other groupings.• Enablereportingofcompetenciesacrossanytalentmanagementprocessthatutilizesandintegratescompetencies.• Enabletheidentificationofqualifiedcandidatesbasedonskillsandcompetencies.• Enabletheabilitytomonitororganizationalhealthbasedoncompetencyreporting.• AbilitytocustomizeandproduceaPDF-basedreportforend-usersandmanagers.

Employee Profile Management

Employee Education and Experience

• Enableemployeestoviewtheirpersonalcareerprofileinformationinasinglelocation.• Enableemployeestoaddandedittheirrésumés/employmenthistory.• Supportthedisplayofemployeeemploymenthistorydatawithinternalandexternalworkexperiencesegregated.• Supportrésumédatafeedsfromrecruitmentapplicationorscanneddocuments.• Displaytheemployee’scurrentjobrolewithbriefdescription.• Enableemployeestoaddexternaldevelopment(e.g.,courses,seminars,etal).• Enableemployeestoaddcertificationsandlicenseswithexpirationdetails.• Enableemployeestoaddeducationhistory(e.g.,institutions,areaofstudyandselectdegreelevels).• Enableemployeestoaddprofessionalassociations.





Employee Education and Experience

• Enableemployeestoaddrelocationpreferences.• Enableemployeestoaddlanguageskills.• Enableemployeestoself-assesscurrentcompetenciesandskills(expertthroughnovice).• Supportforaninternalrésumé-buildingtool.• Supportuploadingofemployeephoto.

Job Profile

• Supportacomprehensiveandstandardjobprofileusedacrosstheapplication(s)thatincludes–adescription,thecompetencies,skills,experiencerequired,theidealcandidate,developmentplansforthejob,commoncareerpaths/steps of employees who have been in the job, et al.

• EnableHR,managersandemployeestorecommendandeditskillsandcompetenciestoajobprofile,andmanagethrough a multiuser approval process.

• Enablemanagersandemployeestoviewandprintanemployee’scomprehensivetalentprofile(includingrésumé,performance and potential information).

• Supportapprovalworkflowprocesswitheithersingleormultipleapprovals(manager,HR)whereneeded.• Linkthejobprofiletojobcompetencyassessments.• Enablethesystemtoautomaticallycreatetalentpoolsbasedondefinedcriteria(i.e.,performance,skills/

competencies, potential, experience, et al).• Enabletheassignmentofjobstatus(e.g.,critical/pivotal,strategic,core).• Supportthealignmentofjobstostrategicgoalsandinitiatives.• Incorporatejobstatisticsinthejobprofileforcertainuserstoview,suchasthecostofthejob(marketandtotal

rewards), the current talent pool for the job, the top performers in the job, the best sources to hire for the job, employees with the job, et al.

• Supportcondensedandcontextualizedviewsofthetalentprofileanywheretheemployee’snameappears in the application(s).

• Enabletheassignmentofmorethanonejobtoanemployee,roleortalentpool.• Supportrecommendedsalarypercentileforjob.

Talent Profile Review and Analytics

• Supportviewofallemployeeprofileandcareermanagementdata.• Enabledisplayofemployee’sorganizationalsocialnetworking(e.g.,communities,blogpostings,wikis,expert

Q&A,etal).• Supportadatawarehouseforalltalentinformation.• Supportdisplayofemployee’scurrentperformancegoalsandobjectives.• Supportdisplayofcurrentsalaryandtotalrewardsdata(e.g.,base,incentives,benefitsandmarketdata).• Supportviewofcurrentsuccessiondata(e.g.,potential,readiness,successor,successormanager,at-risk).• Supportdisplayofperformancehistoryandcurrentgoals.• Enablemanagersandemployeestoviewandprintanemployee’scomprehensivetalentprofile(includingrésumé,

performance and potential information).• Enabledisplayofstatusofcurrentgoalachievementbyorganization,department,teamandemployee.• Supporttheidentificationoforganizational,teamandemployeetalentperformanceandcompetencygaps.• Supporttheidentificationofhighfitandhigh-potentialcandidatestofilltalentgaps.• Enabletheconsolidatedviewofdirect-reportteamtalentdata(e.g.,performancegoals,reviews,successiondata,

development plans, compensation).• Enableidentificationofhigh-potentialandat-riskemployees.





Talent Profile Review and Analytics

• Enablesecureviewofdatabyrole.• Enablead-hocreporting,analyticsanddashboarddisplayoforganizationaltalentdatabytalentpools,organization,

departments, roles, jobs, et al).• Enablepublishingofanalyticviews(e.g.,dashboards,scorecards,reports)togroupsofusersandindividuals.• EnablemanagersandHRpractitionerstoviewacomparisonofanemployee’stalentprofileagainstaspecific

job/positionprofile.• Supporttheabilitytolimitaccess(read,edit)tosensitivedatabasedonsecurityrolefollowingthe

organization’s security model.• EnablemanagersandHRpractitionerstoviewacomparisonofemployeesagainstaspecificjobprofile.• Providerelevantandembeddedanalyticviewswithinprocessstepstosupportdecision-makingandplanningactivities.• Enablecustomreportdesign,creationandpublishing.• Enableareportviewofwhoisactivelymanagingtheircareer.

Adaptability

Application - Configurability

• Applicationfunctionsareorganizedintodiscretemodulesthatcanbeindependentlyenabledordisabled.• Withinagivenmodule,applicationfunctionbehaviorscanbeconfiguredoradjustedthroughclient

specific system settings.• Mostapplicationfunctionshavetheabilitytobeautomatedbasedonconfigurablebusinessrule.• Standardapplicationfunctionalbehaviorsand/orworkflowscanbecustomizedforindividualclientswithoutaffecting

the core application or other clients.• Theplatformincludesaready-to-usetoolforcreatingfullycustomizedworkflowsand/orapplicationbehaviorsusing

existing core application functions.• Clientscanaddcustomdatabasefieldstobeusedforthesamepurposesthatnativefieldsareused.• Theplatformusesopen-sourcetechnologyintransparent(publicallydocumented)ways.• Thecoreapplicationfunctionscanbeextendedusingcustomapplicationsorplug-ins.• Theplatformincludesaready-to-usetoolforcreatingcustomforms.• Oneormoreindependentdevelopersofcustomwebapplicationsand/orplug-insexistsforthisplatform.

Application - Communications and Notifications

• Theclientcancustomizealltriggersandmessagesforsystemcommunicationsandnotifications.• Abilitytocreatecustomtemplatesforsystemnoticesbysystemitemoritemtype.• Abilitytocreatecustomtemplatesforsystemnoticesbyusergroupordomain.• Abilitytosendnoticesusingexternalemail.• Supportfor“deeplinks”-theabilitytogodirectlytoaspecificpageorsystemfunction(suchasane-learningcourse)

by clicking a URL in an external source, such as an email notification.• AbilitytosendnoticesofsystemactivityusingRSSfeeds.• Supportmanagementofemailremindernotifications(e.g.,30,60,90days).• Supportintegrationwithemailplatforms(e.g.,Exchange,LotusNotes).

Interface

• SupportADASection508-compliance.• Theprimarysysteminterfaceusesaportal-stylearchitectureinwhichallapplicationfunctionalityisdeployedvia

movable and configurable objects.





Interface

• AllaspectsofinterfaceappearancearecontrolledviaoneormorecustomizableCSSfiles.• Allaspectsofinterfaceappearancecanbecontrolledviacustomizabletemplatesorskins.• Clientscanallowend-userstocustomizeaspectsoftheirowninterface.• Thee-learningcourseplayerenvironmentisfullycustomizable(ifapplicable).• Thesystemincludesavisualinterfaceeditorsupportingdynamicchangestointerfaceappearancewithoutneedfor

web programming.• ThesystemincludesaWYSIWYGcontenteditorsupportingchangestopagecopywithouttheneedforweb

programming.• Theapplicationincludesnativesupportforcommonmobiledeviceenvironments(e.g.,iPhone,Blackbetter,PALM,

Android, Symbian).• Theapplicationsupportsmultiple,independentuserdomainsand/orsubdomainswithinthesameclientdeployment,

eachofwhichmayhaveseparateapplicationand/orinterfaceconfigurations.• Interfaceappearancecanbeautomaticallydeterminedby:

o Domaino User/Groupo Business Rule

Data - Architecture

• Theapplicationhasapublishedanddocumentedclient-accessibleprogramminginterfacethroughwhichapplicationfunctions can be addressed as one or more web services.

• Theapplication’sAPIisRESTful.• SupportforHR-XML.• SupportforWSRP-andJSR-relatedopenportalstandards.• SupportforMicrosoftSharePoint-compliance“webparts.”• Theapplicationcomeswithasetofprebuiltstandard’scompliantportalwidgetsforutilizingapplicationfunctionsin

third-party portals.

Data - Core Reporting and Analytics

• Clientshaveaccesstoup-to-datedocumentationfortheapplication’sdatabasemodelandschema.• Theapplicationincludesabuilt-intoolforexportingdatafromthesystem.• Theapplicationincludesasetofcustomizablestockreports.• Theapplicationincludesasystems-basedad-hoc/customreportingtool.• TheapplicationincludesanembeddedVISUALcustom-reportbuildingtoolorcomeswithPREINTEGRATEDconnections

to an external tool.• Theapplication’sreportingfunctionsarebasedonseparatehardwareresourcesfromthecoreapplication.• Enablethedisplayofanalyticsdatainagraphicaldashboardformatavailabletomultipleusersbasedonaccessrights.• Supportreportadministrator’sabilitytomanuallypushandautomatetimingofdashboards/reportstousers.• Enableend-userstorefreshreport/dashboarddataonadailybasis.• Enableprintingsystemreportsincommonoutputformats(e.g.,MSExcel,MSWord,PDF).

Delivery Model

• Fullsystemadministrationisofferedasanoutsourcedbusinessprocesseitherdirectlyorviaaprearrangedpartnership.• Fullsystemconfigurationandsitedesign/developmentisofferedasaserviceeitherdirectlyorvia

prearranged partnership.





Delivery Model

• SaaSMaturityo Multiple clients are tenants on the same hardward architecture.o A single instance of the application program with a centrally managed codebase supports many clients.o Theapplication’sarchitectureiscomprisedofmultiple“tiers”toallowthesetofdeployedhardwareresourcesto

continuously vary based on load and client need.o Use of virtualization technologies allows the set of deployed hardware resources to continuously vary based on load

and client need.• Anon-premise,installedversionofthissameapplicationisalsoavailable.• TheSaaSversionsupportsthesamefeaturesofferedviaanyotherdeliverymodel(inotherwords,itisnota“light”or

stripped-down version).• Thedatabasestructureunderlyingtheapplicationsupportsrapidtransitionfromonedeliverymodeltoanother(such

as from on-premise to SaaS or vice versa).


Conversations

• Blogso Support for group blogs.o Support for end-user personal blogs.o Support for comments and comment controls.o Support for threaded comments.

• Forumso Support for forums.o Supportforflatornestedtopicdisplays.

• Microblogs/StatusUpdateso Support for broadcasting personal status updates.o Support for choosing to follow other users’ updates.o Support for user control over who can follow their status updates.

Collaboration

• Wikiso Support wiki pages.o Support for page histories and rollbacks.o Support for WYSIWYG editing of pages.o Support for automatic generation of breadcrumbs, indices and tables of content.

• WorkSpaceso Supportpage-andpost-levelpermissionsandapprovalworkflows.o Support for personal workspaces.o Supportforgroup/projectworkspaces.

• IdeaGenerationo Support for suggesting ideas.o Supportforrating/prioritizingideas.o Supportfortracking/updatingactivityrelatedtoideas.





Collaboration

• CalendarsandEventso Support for a calendar.o Supportformeeting/eventplanning.o Supportformeeting/eventattendancetracking.o Supportformeeting/eventnotices,confirmationsandreminders.o Supportformeeting/eventcapturingoffeedback.o Supportformeetings/eventsasfocusofcommunitydiscussion.

Connections

• UserProfileso Support for user personal profile pages.o Support for searchable directory of user profiles.o Support for self-editing of profile data.o Supportfora“wallpage”onwhichotheruserscanleavemessages/comments.o Support for automatically growing profile data based on algorithmic analysis of user activity.o Support for customizable profile fields.o Support for tracking user reputation.

• Groupso Support for groups.o Support for group hierarchies, domains, communities, et al.

• Networkso Support for social networks (social graphs).o Support for visualization of social graphs.o Support for uploading contact information.o Supportforidentifyingfriends/contacts.o Supportforrequesting/establishingconnectionstofriends/contacts.o Support for intelligent suggestion of potential contacts based on algorithm.o Supportfor“friendofafriend”(FOAF)forsocialnetworks.o Supportfordifferentconnectiontypes/strengths.

Content

• Content-Sharingo Supportforuseruploading/submissionoffiles.o Supportforusercomments/reviewsforotherusers.o Supportforusercomments/reviewsforcontent.o Supportforuser-appliedratings/rankings.o Support for sharing of WWW bookmarks (social bookmarks).o Supportforimport/exportofOPMLfiles.o Support for user-applied keywords (TAGS).o Support for tag clouds.o Support for import of data sets.o Supportforpolls/surveys.





Moderation Tools

• Supportforcontent/contributionapprovalworkflows.• Supportforpublicandprivatewarnings.• Supportforsuspensionsandbanning.• Supportforuserreportingofabuse.• Supportforautomaticcompliance/riskwordfilteringorreplacement.• Supportforcomprehensivesystemlogs/audittrails.

Social Analytics

• Supportforuserbehavioranalysistools.• Supportforuserexpertisereporting.• Supportforcommunity-relatedreporting.• Supportforsocialnetworkanalysistools.• Supportforembeddeddatavisualizations.• Supportforallowingend-usersaccesstoreporting/visualizationtoolsfordiscussion/collaboration.

Integrated Communication Tools

• Supportfordirectintegrationwithaweb-conferencingplatform(provider’sorthirdparty).Listpre-integratedthirdparties in comments.

• Supportforintegrationwithexternalemail.• Supportforemailalerts.• Supportforsyndicationfeeds(RSS/ATOM)foranysystemactivity.• Supportmobiletextmessaging(SMS).• Amobileapplicationexistsforaccessingsystemfunctionalityviaoneormoremajorsmartphoneplatforms.List

platforms in comments.




Appendix IXTable of Figures



Appendix IX: Table of Figures

Figure 1: Solution Providers at Least Partially Covered in This Study 13

Figure 2: D’Evolution of the LMS Market? 15

Figure 3: Global Top 30 21

Figure 4: Continuous Learning Model 25

Figure 5: LMS Market Growth – 2008 to 2011 26

Figure 6: Percentage of Provider Revenue by Global Region 27

Figure 7: Relative Share of Overall Revenues by Market 29, 208

Segments – 2009 to 2010

Figure 8: LMS Market Growth Broken out by Segment 2009 to 2011 31

Figure 9: Projected Revenue Growth for 2011 by Market Segment 32, 209

Figure 10: The New Workforce, the New Workplace 33

Figure 11: Bersin & Associates Enterprise Learning Framework® 37, 74

Figure 12: Business Value of LMS at Each Stage 40

Figure 13: Bersin and Associates High-Impact Measurement Framework® 44

Figure 14: Example Analytics 45

Figure 15: 47

Figure 16: Training Analytics Architecture 48

Figure 17: Advanced Search in an LMS Shows More Than Courses 51

Figure 18: Blended-Learning Program Management 53

Figure 19: Virtual Classroom Features and Functions 56

Figure 20: Virtual Classroom Example 56



Figure 21: Three Types of Competencies 59

Figure 22: Competencies in the LMS 60

Figure 23: Features and Issues in Competency-Based Learning 62, 63

Figure 24: Bersin & Associates Talent Management Framework® 65

Figure 25: Talent Management Suite Architecture 67

Figure 26: Performance-Driven Learning Versus Talent-Driven Learning 68

Figure 27: An Example of an Employee Profile 1 70

Figure 28: An Example of an Employee Profile 2 70

Figure 29: Fit Analysis 72

Figure 30: Elements of a Formalized Informal Learning Solution 74

Figure 31: Performance Support in an LMS 77

Figure 32: Electronic Performance Support and Knowledge Management 79

Figure 33: Threaded Discussion Group Embedded in a Formal Learning Program 79

Figure 34: Social in Support of Global Learning Community 82

Figure 35: LMS as Social Learning Environment 83

Figure 36: The Four Cs of Social Software 85

Figure 37: Social Software Features and the Four Cs 86, 245

Figure 38: Example Portal 87

Figure 39: Learning Portal Architecture 88

Figure 40: LMS Portlets 89

Figure 41: Use of Mobile Learning 2007 to 2009: U.S. Total 91

Figure 42: Possible m-Learning Platforms – Today and Tomorrow 92



Figure 43: Types of m-Learning Approaches: Formal and On-Demand 93, 94

Figure 44: Content Ecosystem 98

Figure 45: Bersin & Associates Learning Content Maturity Model® 101

Figure 46: LMS, LCMS and e-Learning Suite 103

Figure 47: LCMS Usage by Current LMS Customers 104

Figure 48: LCMS Usage by Company Size 105

Figure 49: Bersin & Associates Adaptive Talent and Learning Platforms Maturity Model® 109, 136, 302

Figure 50: The Benefits of SaaS 113

Figure 51: SaaS in Learning Management 114

Figure 52: Configurable Workflows 117

Figure 53: Adaptive Talent and Learning Platforms Summary – The Application 122

Figure 54: Drag and Drop Portal Interface 123

Figure 55: Adaptive Talent and Learning Platforms Summary – The Interface 126

Figure 56: Adaptive Talent and Learning Platforms Summary – The Data 129

Figure 57: Adaptive Talent and Learning Platforms Summary – Delivery Model 134

Figure 58: Adaptive Talent and Learning Platforms Summary – Operations 135

Figure 59: Tell-Tale Signs of Adaptability 138

Figure 60: Cloud Computing 140

Figure 61: LMS Operations of Study Participants 143

Figure 62: Single, Companywide LMS Model 147

Figure 63: Consistency of Standards in an LMS 148

Figure 64: Companywide Plus Departmental LMSs 149



Figure 65: Departmental LMS Model 151

Figure 66: LMS Consolidation 152

Figure 67: Shared Services for LMS Administration / Management 159

Figure 68: Learning Technology Spending as a Percent of Total L&D Spending 160

2006 to 2009 – U.S. Total

Figure 69: Learning Technology Spending as a Percent of Total L&D Spending 161

2006 to 2009 by Company Size

Figure 70: Learning Technology Spending as a Percent of Total L&D Spending 2009 by Industry 161

Figure 71: LMS Implementation Costs by Size of Buyer 162

Figure 72: LMS Annual Operations Costs by Company Size 163

Figure 73: LMS Operating Cost Considerations 164

Figure 74: Total LMS Staffing by Company Size 166

Figure 75: Allocation of LMS Resources by Role 166

Figure 76: Three Models for Deployment 167

Figure 77: LMS Implementation Types for 2010 168

Figure 78: LMS Implementation Type by Industry for 2008 168

Figure 79: Key Requirements for LMS Outsourcing 169

Figure 80: Use of External Providers for LMS Operations – 2006 to 2009 171

Figure 81: Percent of U.S. Companies Outsourcing LMS Operations 2006 to 2009 by Company Size 171

Figure 82: Percent of U.S. Companies Outsourcing LMS Operations 2009 by Industry 172

Figure 83: Percentage of Companies Outsourcing Learner Support 173

Figure 84: Percent of U.S. Companies Outsourcing Learner Support 2006 to 2009 by Company Size 173

Figure 85: Percent of U.S. Companies Outsourcing Learner Support 2009 by Industry 174



Figure 86: Use of External Providers for LMS Administration 174

Figure 87: Percent of U.S. Companies Outsourcing LMS Administration 175

2006 to 2009 by Company Size

Figure 88: Percent of U.S. Companies Outsourcing LMS Administration 2009 by Industry 175

Figure 89: Top Three Challenges with Current LMS 2010 176

Figure 90: Realized Benefits of the LMS 177

Figure 91: Feature Needs by Degree to Which They Are Met by Provider – Overall 179

Figure 92: Feature Needs by Degree to Which They Are Met by Provider – Global and 180

Large Segments

Figure 93: Feature Needs by Degree to Which They Are Met by Provider – Small 180

and Segments

Figure 94: Likelihood of Switching LMS Providers in the Next 12 Months 185

Figure 95: Likelihood of Switching by LMS Provider Size 187

Figure 96: A Nine-Step Process for LMS Selection 189

Figure 97: An Example of the Structure of a Use Case 196

Figure 98: Sample Customer Reference Questions 199

Figure 99: LMS Usage 201

Figure 100: Global Top 30 203

Figure 101: Fastest Growing of the Rest 203

Figure 102: Overall Purchase Drivers 204

Figure 103: LMS Usage by Company Size 207

Figure 104: Breakdown of Customers by Segment for Providers in This Study 2009 to 2010 208

Figure 105: LMS Market Overall and by Segment 2009 to 2011 209



Figure 106: Key Drivers for Global Enterprise Buyers 211

Figure 107: Key Drivers for Enterprise Buyers 212

Figure 108: Key Drivers for Midmarket Buyers 214

Figure 109: Key Drivers for Government Buyers 214

Figure 110: LMS Solution Providers 217

Figure 111: Estimated 2010 Provider LMS Revenues 218, 219

Figure 112: 2010 Provider Shares of Total LMS Revenue Worldwide 221

Figure 113: 2010 Provider Shares of Total LMS Revenue – North American Focused Companies 222

Figure 114: 2010 Provider Shares of Global LMS Revenue from Customers with 10,000 223

or More Employees

Figure 115: 2010 Provider Shares of Global LMS Revenue from Customers with 224

1,000 to 10,000 Employees

Figure 116: 2010 Provider Shares of Global LMS Revenue from Customers with 225

Less Than 1,000 Employees

Figure 117: Solution Provider Growth in 2010 230

Figure 118: Number of LMS Customers by Provider 231

Figure 119: LMS Usage by Industry 232

Figure 120: Major LMS Providers in China 235

Figure 121: LMS 2011 Provider Market Map – Market Leaders Only 238

Figure 122: LMS 2011 Provider Market Map – Other Profiled Providers 239

Figure 123: Weighting for Feature Set 241

Figure 124: Product Innovation Weightings 242

Figure 125: Product Leadership – Comprehensiveness of Product Feature Set by Product Innovation 243



Figure 126: Platform Strategies for Social Learning 246, 247

Figure 127: m-Learning Provider Markets 250

Figure 128: SharePoint and Social Learning 255

Figure 129: Respondent Size by Number of Employees 260

Figure 130: Global Operations of Respondents 261

Figure 131: Global Footprint of Respondents 261

Figure 132: Respondents by Industry 262

Figure 133: Services Provided 264, 265, 266, 267

Figure 134: Providers and Revenue Sources 268

Figure 135: Services Provided 269, 270, 271

Figure 136: Current Status of Software Versions by Customer Base 272, 273, 274

Figure 137: Capability Chart Legend 276

Figure 138: Talent Management Modules Offered 277, 278, 279

Figure 139: Other Learning Related Modules Available 280, 281, 282

Figure 140: General Functionality 283, 284, 285

Figure 141: Learning Management 286, 287, 288

Figure 142: Special Topics 289, 290, 291

Figure 143: Integration with Talent Management 292, 293, 294

Figure 144: Adaptability 295, 296, 297

Figure 145: Social Software and Collaboration 298, 299, 300

Figure 146: Bersin & Associates Adaptive Talent and 303, 304, 305, 306, 307

Learning Platform Shopping Guide



Figure 147: Categories of Virtual Classroom Providers 309

Figure 148: Virtual Classroom Providers 310

Figure 149: Market Leaders and Growth 311

Figure 150: Other Learning Systems Providers Not Profiled 502, 503, 504, 505, 506, 507,

508, 509, 510, 511, 512, 513,

514, 515, 516, 517, 518

Figure 151: Sample Features by Application Functional Category 520, 521, 522, 523, 524, 525,

526, 527, 528, 529, 530, 531,

532, 533



About UsBersin & Associates is the only research and advisory consulting firm focused solely on WhatWorks® research in enterprise learning and talent management. With more than 25 years of experience in enterprise learning, technology and HR business processes, Bersin & Associates provides actionable, research-based services to help learning and HR managers and executives improve operational effectiveness and business impact.

Bersin & Associates research members gain access to a comprehensive library of best practices, case studies, benchmarks and in-depth market analyses designed to help executives and practitioners make fast, effective decisions. Member benefits include: in-depth advisory services, access to proprietary webcasts and industry user groups, strategic workshops, and strategic consulting to improve operational effectiveness and business alignment. More than 3,500 organizations in a wide range of industries benefit from Bersin & Associates research and services. Bersin & Associates can be reached at http://www.bersin.com or at (510) 347-4300.

About This ResearchCopyright © 2010 Bersin & Associates. All rights reserved. WhatWorks® and related names such as Rapid e-Learning: WhatWorks® and The High-Impact Learning Organization® are registered trademarks of Bersin & Associates. No materials from this study can be duplicated, copied, republished, or reused without written permission from Bersin & Associates. The information and forecasts contained in this report reflect the research and studied opinions of Bersin & Associates analysts.


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