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3 Reasons for Small Businesses to Invest in a Learning Management System

Many small companies may not have even heard of a learning management system (LMS). However, for companies, such as short-line railroads, who operate in a heavily regulated industry, an LMS can be a great investment.

While I think an LMS has several benefits, here are three reasons that make it a worthwhile investment.

Track Performance

If implemented correctly, an LMS allows companies to strategically implement and track training requirements for their employees. This ensures that each employee is receiving the right training. In addition, many learning management systems will automatically reassign training when employees change job roles, making job transitions smooth.

Beyond just implementing a training curriculum, LMS reporting on the performance of individual courses allows managers to identify any potential knowledge gaps. For example, if one employee is not able to pass a specific course or module, a manager can offer supplemental resources. Or, if several employees are struggling in the same area, companies can respond by assessing if the training is adequate or needs further improvement.

Reduce Training and Development Time

Having an LMS allows companies to begin offering online courses. While classroom and on-the-job training are important elements of training programs, online courses and videos allow employees to take training at different times and reduce the hassle of coordinating instructor and employee schedules, saving a lot of time.

Companies can also use an LMS to assess knowledge by taking online exams and participating in interactive scenarios. Moving from written exams to online exams can save a lot of classroom time, I had one instructor recently tell me that it takes him the same amount of time to grade written exams as it does for the students to take it.

Monitor Regulatory Requirements

An LMS is invaluable in tracking training regulatory requirements. It allows managers to monitor when training refresher requirements and certifications are expiring. An LMS also helps ensure training content is consistent and tracked throughout the organization. These reporting features help avoid costly penalties for non-compliance.

Be Wary of Hidden Costs

An LMS is only effective to the extent a company leverages it, and there can be additional costs in setting up and maintaining the system. Spark Training Solutions offers an LMS subscription that includes professionally designed courses and LMS support and administration - packing a lot of value into an already valuable investment. Contact us at to learn more.

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