With the shadow of recession looming large, companies are feeling the need to cut costs, while at the same time ensuring that productivity or performance levels are not affected.
One manner in which they are doing this is by utilising e-learning based applications to cut training costs for their employees. For example, Hewlett-Packard (HP) is expected to save around 42-43 per cent a year on training its dealers about the new products by using e-learning solutions. HP was initially spending around Rs 2 crore on briefing its dealers.
Other companies which have been using e-learning applications in India are Maruti Udyog Ltd, Hero Honda, Whirlpool, Samsung, Indian Oil Corporation etc. The company which is providing e-learning solutions to these corporates is the three-year-old VirtualSoft Systems, a company which offers rich media solutions for e-business, and e-learning.
But how does e-learning actually help in reducing costs for a company? Firstly, it should be understood that a huge amount of money is spent by companies in three key areas