The best way to ensure that small and mid-sized enterprises and their employees get the most out of their work is by utilizing a learning management system. An LMS is essential to the growth and drive of a company. Promoting learning and development has several benefits for not only the employees but the overall success of SMEs.
What Is an SME?
SME stands for “small or mid-sized enterprise.” This means that the business’ personnel, assets, and revenue fall below a certain threshold that is determined by the government’s guidelines, changing from country to country. SMEs offer a different work environment and often promote innovation in ways that bigger corporations may not. This innovation is unique and is best when capitalized on by utilizing an LMS.
Why Is an LMS Important?
In any business, training and development are essential to produce success in the company. For SMEs, it is even more imperative that the company continue to learn and develop. With a smaller arsenal of employees, it’s necessary that your employees be trained in multiple skills and have room for growth and learning.
Additionally, an LMS can track the learning and development of your employees. This can make it easier to track who needs to be trained and how someone has developed over time, as well as help you make decisions when it comes to employing more work or even providing promotions.
An LMS can streamline learning and can create a multitude of benefits for your small business.
How Can SMEs Benefit From an LMS?
Learning management systems can provide many benefits to a company, including company growth (revenue, employees, knowledge, etc.), retention, and tracking. The company can stand to gain a lot from the usage of an LMS.
There are different compliances that come with creating a company. There are regulations that need to be met, and utilizing an LMS can allow you to do so without much hassle. For different types of training such as harassment, diversity, or safety, you can upload learning modules via an LMS. You can track who needs to complete the training and other regulation training/certificates you need to provide. This can help you avoid any fines or penalties for inadequate training.
Creating and maintaining a business requires a lot of different documents and records. Hiring employees and training them adds to that pile of records, so having one place to keep all documentation is essential. Having an LMS will allow you to store records of your employees, their learning/training, and any other development you’ll have them do. This allows you to manage your records effectively.
An LMS can provide you with a place to put all of the knowledge of your company into one place. This place can be easily accessible to anyone who may need it, employees and employers alike. You can begin putting any details into your LMS, where you started, any updates, or even major business decisions/changes. This can help you keep track of all the necessary information and also provides a place for employees to be informed about the company they’re working for. It’s a good resource to have.
Save on Resources
Time and money are crucial resources that a company needs in order to grow, so it’s best to find ways to utilize them strategically. When using an LMS, you’re sure to save time and money compared to if you were to train externally. The employees are also able to work at their own pace, which is often faster than an external training event or day(s).
Additionally, by taking advantage of an LMS and the employee retention benefits, you’ll avoid having to continuously train new employees and can focus on developing the employees you have now. Having to put aside a big budget for HR costs can be a hassle, especially for smaller businesses. Having an LMS can eliminate these costs greatly and can allow you to funnel those resources into other areas of your company.
SMEs have specific needs when it comes to their employees. The business model for SMEs looks different than that of bigger corporations. The training that’s required for companies isn’t universal, so using an LMS will allow you to customize the content to your needs. Whether your focus is primarily on onboarding, promotional training, certification training, or a mix of this and much more, an LMS is customizable. There is no one way to use an LMS, granting you the freedom to create a system that works for your company’s needs.
How Do SME Employees Benefit From an LMS?
The employees are the backbone of any small business, so ensuring their satisfaction is imperative to the success of the business. An LMS not only benefits the company but has developmental benefits for the employees as well.
Reduced Employee Turnover
Employee turnover often occurs when employees become bored with their work or think there is no opportunity for growth within the company. Having an LMS can allow you to upload training modules, learning courses, or any other content you want your employees to know about. This can allow your employees to work towards bettering themselves and growing within the company. Having a goal or incentive for your employees will encourage them to stay with the company long-term.
This goes hand-in-hand with employee retention. When employees see that a company is investing in them, they are more likely to invest back into the company. This can improve productivity as well as the quality of work that your employees produce. They are more likely to bring forth better ideas, have a positive attitude, and take on more work compared to employees who aren’t being invested in.
The need for remote work has steadily increased over the last few years, especially for SMEs. Having an LMS can allow you to create a system that’s accessible for you and your employees, regardless of where you are. Making a remote-friendly work environment allows your employee pool to increase.
Along with remote work comes an opportunity for accessibility. Instead of requiring employees to attend training events or days, using an LMS affords a level of accessibility that is often uncommon in traditional workspaces. Not having timing and location constraints can make employees feel at ease when it comes to completing their training, especially those who may not be physically capable. This allows you to have access to a bigger, qualified employee pool. This puts all your employees on equal footing, allowing them all the same opportunities for growth and skill development within the company.