If you’re like most companies that have installed business management software, one big concern in making your decision was training.

This training had to include not just your key personnel, but the folks on the front line as well. Everyone who touched the system needed to be taught at least the basics, with the hope that they would also remember the little nuances. And, like most businesses, you probably detected a flaw in the plan as the years went by.

What flaws? When a company is bringing on new software, they are often just happy to go live, with invoices and accurate financials pouring out of the system every month. There may be other key modules that you got up and running that increased your productivity, as well. The problem is, as time goes by, it is not uncommon to forget about all of the other neat little things the software could do that the salesperson showed you. In addition, as you experience the inevitable turnover in personnel, many of the lessons once learned are lost in time and translation.

So how can you step back and get the most out of your system? The first thing many people think of is to get more training. The traditional model for this includes sending members of your staff to class at your vendor’s office, or having a staff member from your vendor come to your office to conduct training. While these ideas may be appropriate for new key employees who need to know the entire system, it can be overkill for those who only need initial or refresher training on specific components of the system. For example, a new sales person may only need to know how to process quotes, work orders and invoices. For those who need specific training like this, e-learning may just fit the bill.

What is e-learning? When done right, e-learning is task-specific, Web-based training that an employee can participate in on his or her own time. For example, they may go to a secure Web site provided by your software supplier and click on a link called “Create Quote.” They are then sent to a site that shows them (both visually and verbally) how to create the quote, step by step. Or, perhaps a salesperson has been promoted to store manager. They may go to the e-learning center and learn how to conduct an end of day routine.

The advantages to e-learning are significant. Your new hires can get up to speed more quickly, without incurring the time and expense of either sending them to class or having a staff member from your software company come to you – all at their own convenience.

Now, some might simply say “I can teach them!” While this is often the practice, it is important to remember two things:

1.    Studies have shown that when someone learns something, they are only able to retain and transmit 70% of that knowledge. Would you like your new employee to only know 70% of what they need to know? To carry it further, if that employee is taught by someone who was taught by another staff member, they only learn 70% of the 70% the previous employee retained and transmitted. That’s only 49% of what they need to know – as you can see, this is ineffective.

2.    If you have an employee teaching someone else, they could probably be using their time more wisely – like working with customers or other employees to increase your store’s profits. It comes down to the opportunity cost of now having two employees otherwise occupied.

So, when researching software companies, be sure to ask about their e-learning initiatives. If you are already a customer, ask your vendor if they have this capability for your new employees.

e-learning is the next wave of software training. Make sure you jump on for a ride!