The organization's focus on employee skill development fuels company growth through learning and development services

Learning and Development Category - Procurement Intelligence

The learning and development (L&D) category is expected to grow at a CAGR of 3% from 2023 to 2030. The field of the L&D industry is undergoing continuous and swift transformative shifts and advancements. It is fundamentally altering how organizations tackle employee development and skills improvement. L&D service providers must proactively adapt to changes, incorporating elements such as on-the-spot learning, virtual and augmented reality fusion, data-informed insights, and microlearning. Staying ahead of these developments is crucial for designing effective and forward-looking L&D programs.

The landscape of L&D services has experienced a transformation through the integration of eLearning, enhancing employees' learning capabilities and fostering retention. Moreover, it has streamlined the tasks of service providers by facilitating data management, information administration, and performance tracking for their clients. This, in turn, enables more informed decision-making regarding training interventions tailored to address specific knowledge and skill gaps of the client’s organization.

Personalized L&D that aligns with individual employees' unique needs and preferences is becoming increasingly popular among service providers. Achieving personalized services involves utilizing various methods, such as adaptive learning algorithms, self-assessments, and one-on-one coaching sessions. The advantages of a personalized approach in employee training include heightened engagement, improved retention rates, and enhanced performance. Additionally, it empowers employees to learn quickly and in their preferred manner, which will indirectly influence L&D service providers’ business positively.

The overall outcome of the service providers depends on the success of the individual employee learning experience. This has resulted in adopting a centric approach by centering on employees and optimizing each experience. To provide employee-centric expertise, service providers usually take time to understand each employee's personas and specific needs and challenges. Through this, service providers can enhance the effectiveness of their training program and move closer to achieving clients’ goals.

Service providers also focus on a collaborative learning approach, emphasizing social interaction and promoting teamwork, communication, and knowledge sharing. Various methods facilitate collaborative learning, including group projects, peer-to-peer mentoring, and online forums. This approach is instrumental in cultivating an organization's learning culture, ultimately enhancing clients’ engagement and retention with the service providers.

L&D service providers maintain specialized in-house teams that skillfully manage various aspects of their services. This encompasses proficient handling of tasks such as instructional design, content creation, training delivery, and technology development. These internal teams consist of subject matter experts, instructional designers, trainers, and other experienced professionals with a focus on learning and development. On the other hand, the expenses incurred in providing L&D services can vary widely depending on factors such as the type of training, the industry, the scale of the program, and whether the training is delivered in person or online. Service providers need to carefully budget for these expenses to ensure the quality and effectiveness of their programs. For instance, providing e-learning, webinars, and online materials can be a cost-effective solution compared to traditional in-person training. Reducing training expenses hinges on adopting a strategic approach to the timing and method of employee training.

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Learning and Development Sourcing Intelligence Highlights

• Buyers such as large corporations and organizations seeking learning and development services have high bargaining power. This depends on factors such as the availability of alternative providers, the uniqueness of the services offered, and the importance of the benefits to the buyers.

• The category is fragmented, with the presence of numerous players in the category. Top players such as Korn Ferry, Wildsparq, and Dale Carnegie continuously focus on providing specialized, innovative, and technology-driven L&D programs to offer more relevant and tailored services to their clients.

• Trainers’ salary, IT costs, facility rental, staff training, marketing and advertising, and others are some expenses incurred when providing services.

• The cost of services depends on various factors, such as type of service, location of the L&D session, number of participants, and complexity of the program. Providing online learning sessions is the most cost-effective approach.

Learning and Development Procurement Intelligence Report Coverage

Grand View Research will cover the following aspects in the report:

• Category iIntelligence along with emerging technology and regulatory landscape

• Market estimates and forecasts from 2022 to 2030

• Growth opportunities, trends, and driver analysis

• Supply chain analysis, supplier analysis with supplier ranking and positioning matrix, supplier’s recent developments

• Porter’s five forces

• Pricing and cost analysis, price trends, commodity price forecasting, cost structures, pricing model analysis, supply and demand analysis

• Engagement and operating models, KPI, and SLA elements

• LCC/BCC analysis and negotiation strategies

• Peer benchmarking and product analysis

• Market report in PDF, Excel, and PPT and online dashboard versions 

Cost Intelligence Highlights

Grand View Research has identified the following key cost components for the Leaning and Development category:

• Trainers’ Salary

• IT Costs

• Facility Rental

• Staff Training

• Marketing and Advertising

• Others

Trainers’ salaryforms the most significant cost component of the learning and development category.

List of Key Suppliers in the Learning and Development Category

• Korn Ferry

• Wildsparq

• Dale Carnegie

• FranklinCovey

• Cognician

• The Mintable

• AllenComm

• 360Training

• Hone

• Aptimore