Now that you've narrowed down your Learning Management System choices, it's easy to embark on a honeymoon of sorts. After all, you've put quite a bit of work into choosing a system and vendor that work for your organization - a perfect match. But there are problems that can occur at this stage, and the first set of problems can be financial. When you've chosen your LMS or are close to choosing it, remember that money matters.
One of the first mistakes you can make is paying too much money at the outset or implementation of your LMS. Simply put, it's a good idea to be aware of the charges you'll receive for each feature or implementation milestone. This is why we've already discussed the importance of reading and understanding the contract and charges, and having your selection team do the same. Also, know how much money you'll have to put into training for your team, such as daily training charges, instructor expenses, and even location charges. Don't get surprised by the amount of money you'll have to feed into the system at the beginning, and don't pay too much.
On the other side of spending too much money is not spending enough, so don't scrimp and save on the front end if you can avoid it. The old saying, "you get what you pay for" rings very true when you select an LMS. For example, if certain features are part of the initial rollout, take them even if you don't plan to use them right away. A customization, which we will discuss in a moment, can cost a great deal of time and money. In another example, don't skip training because it's too expensive. Your LMS vendor most likely has a training team that specializes in helping organizations implement their systems, so take advantage of the service. If you skip initial training because of the expense, you'll end up losing in the long run by either having to fix your mistakes or having the vendor come in to fix them for you.
As we've mentioned, customizations almost inevitably come with a Learning Management System. But beware of making customizations that you should have discovered in your front-end assessment. If you skipped the initial analysis, you may end up being forced to customize to fit certain organizational requirements into the LMS. The customization process, which bears repeating, can be costly in both time and money. Now that you're a client, your vendor will put developers, business analysts, and even implementation consultants on your customization, depending on how big it is. Plus, charges for developers and analysts may be hourly and only estimated to start with. So if you customize, be aware of the cost and time involved, and then make a decision about the customization. Plus, if you keep your IT team involved, they may be able to help you come up with a workaround.
Finally, if you are offering off-the-shelf training, especially from a vendor in addition to the LMS vendor, be aware of any per-head costs that may be assessed for the training - and don't get caught without enough course accesses for your learners. As part of your initial assessment, you should accurately count how many people may need the off-the-shelf courses. On the other hand, be aware of how much your LMS vendor may charge for its library at the outset, as well as any additional learner fees above the number you've already discussed.
The point here is to assess each vendor for the charges that may come at the outset, during the implementation, or later in your relationship with them. Although it is impossible to know when a change or customization may have to be made, you can at least be aware of the possibility and of the charges that may be associated.
Next, we will look at the administration of your LMS after it has been selected.
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