The LMS (Learning Management System) can be broken down into three segments. These segments are not equally divided among the industry but are essential, depending on the need of the end-user.
The three segments are
Although academic training is an important piece of the LMS market, this article will focus on employee training vs. extended enterprise training.
Employee training is the training of an organization’s workforces. This can include HR policies such as sexual harassment courses, CPR courses, or diversity courses. It also includes training to enhance a person’s career growth. For instance, taking a course in Microsoft Excel or Adobe Photoshop benefits an employee in his or her role at the organization. The training is focused on the career.
Extended enterprise training is the training among associates or franchises. A good example is getting your usual hazelnut mocha at your regularly visited coffee shop. Now imagine you are out of town on business and see your favorite coffee shop in the hotel lobby. You would expect that your hazelnut mocha would taste, smell, and look the same, wouldn’t you? How is that possible? Extended enterprise training is the answer. Across the board, all associates of this coffee shop are trained to make your hazelnut mocha the same way with the same ingredients. The results are consistent products and services and, more importantly, happy customers.
What is the best fit for your organization? Extended enterprise training and employee training have distinct characteristics and differences.
Franchisor: Overall arching owner or controller
Franchisee: A person the franchisor has given the right to conduct business.
Franchise: the right to offer products or services under explicit guidelines of the franchisor.
Back to the coffee shop analogy, the focus is to make sure all baristas are trained properly on the new caramel mocha rather than career development of the barista.
According to research analysis, there is a strong correlation between extended learning and associate performance. On the other hand, using incentives has proven to be weak for employee training and performance.
Positional Reporting Relationship
Core to the Business
Extended enterprise training or employee training? The bottom line is simple: Are you training employees within the traditional normal business model or does your business model more reflect that of an extended enterprise or franchise?
Jeff Walter is an expert in extended enterprise training. Walter is the CEO of Latitude and has more than 25 years of experience building software practices in the franchise, manufacturing, health-care, insurance, and financial services sectors. Latitude is a technology-first organization that drives extended enterprise performance for the largest of the Fortune 500 to the leading middle-market firms.