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January 3, 2000

Learn At A Distance
Online learning is poised to become the new standard

By Judith N. Mottl

Illustration by Dave Plunkett

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ast century's training techniques--even computer-based models that tried to overhaul business environments--just won't make it very far into the next millennium. Driven by demand for cheaper, more interactive courses, online learning will become standard operating procedure in the next few years. More than half (55%) of respondents to InformationWeek Research's survey of 300 IT executives rank distance learning as a key business priority this year. It's the only way to bring new and current employees up to speed on new technologies without spending a lot of time and money in the process.

Businesses have done the math. They know, for example, that conventional classroom instruction costs hover at about $75 an hour, with full-week programs costing $3,000 to $5,000. Computer-based training, by comparison, costs about half that. What's more, training via the Web can serve up instruction globally--there are no seat restrictions in these classrooms--around-the-clock, and without travel costs.

Not surprisingly, classroom use is projected to drop dramatically in the next few years, slipping from its current 77% share of the training market to 51% by 2003, according to International Data Corporation. The growth of tech-delivered courses is projected to triple during this time frame, from 17% two years ago to 46%.

"The main reason we're heading [to distance learning] is that it's extremely hard to find the right person today. You just can't hire them, so you have to do something radical to get those skills in," says Robert Vicek, project manager of Lockheed Martin Corp.'s corporate university, called Enterprise Information Systems University, College of Computing Services. Vicek is researching the best tools to use for training 1,300 employees at 110 sites nationwide. Several distance-learning evaluation pilots are ongoing.

The Buzz

Q: What is the most important IT staffing issue you face in the coming year?
A: The ability to retain people. Certainly there are lots of job offers. Keeping the people we have is the single most important issue.
--Glenn Bonner, CIO, Mirage Resorts
A: Figuring out those IT professionals who understand the business aspects of the company, as well as the impact of E-commerce. We still have a number of IT pros who think that technology alone drives business and don't understand the business' needs. The CIO today has to be very astute about business matters.
--Cleve Rowley, partner, Matteson Partners, an IT and CIO recruiting firm
A: No. 1 is looking at double or even triple growth of the staff next year. No. 2 is convincing people that the Midwest is a great spot for Internet companies to grow in. No. 3 is convincing people we have a great business model that can be differentiated from other startups.
--Rick Surkamer, chief operating officer, Starbelly.com

Quick Poll:

What is the most important IT staffing issue you face in the coming year?

Retaining the people we have
Finding IT execs who understand both the technological and business needs of today's companies
Growing the staff

But the road to E-learning is bumpy. And as Vicek says, finding the perfect solution isn't easy, even when there are commitment and resources set aside for the effort. Lockheed didn't start out looking for an online training fix. When Vicek came aboard in 1998, he considered building brick-and-mortar classrooms where employees would get conventional training. However, once the construction figures, travel costs, and class-scheduling efforts were calculated, the goal didn't make sense. "Trying to get workers and managers to carve out time for five days of training off the job site is like extracting teeth without an anesthetic," he says.

Since Lockheed already had a significant IT infrastructure in place, Vicek thoroughly researched online options. For the short term, he's continuing traditional classroom training, which employees can schedule on their own, and he's also invested in a computer-based training library, even though he knows these alternatives aren't a total solution for his training needs. "The shortcoming of self-study is that only one out of 10 students ends up completing advanced certification, and an average of three students out of 10 complete courses, which leaves me with seven dead in the water," Vicek says.

For many, online learning is still out of reach. Some cite the huge bandwidth requirements of audio- and videoconferencing. For others, it's the limitations of available technology. There's also a big cultural shift that has to take place for these programs to succeed. Most agree that advanced electronic learning requires real-time, two-way communication via either audio or videoconferencing tools that let students and instructors interact and provide feedback during a class. With most Web training, students view a live or recorded class and participation is limited to posts on bulletin boards and E-mail discussions. Without a strong interactive element, E-learning's effectiveness is questionable, training specialists say.

A few pioneers are leading the way. Aetna U.S. Healthcare, the Hartford, Conn., health benefits unit of Aetna Inc., is providing live instruction via the Internet to 20,000 customer-service reps using audioconferencing.

The $15.5 billion provider, with 16 million members enrolled nationwide, has offered computer-based training to employees for 15 years. But Aetna wanted to take the program even further. Computer-based training doesn't offer a direct application environment, says training director Dave Blair. Students can read about something, but there's no opportunity for hands-on learning, which he says is a crucial step in the education process. That's why Blair chose a videoconferencing application several years ago, spending $600,000 to set up video rooms at six regional centers to increase student-instructor interaction. The technology not only delivered what it promised, says Blair, it actually delivered too much. "The video proved too interactive. Student participation was so intense that our instructors weren't able to cope with it, and it began distracting instructors and impacting the lessons. The experience didn't work to anyone's benefit," he says.

In 1997, the videoconferencing was put on hold and Blair incorporated LearnLinc Virtual Classroom, from LearnLinc Corp. The Windows software lets online instructors control class presentations using synchronized multimedia and content available over the Web. It also offers application sharing, electronic hand raising, and a "glimpse" feature that lets instructors acquire a screen capture of any student's desktop. Customers can choose one-way streaming video and audio for live or prerecorded communications, as well as two-way audio in multicast audio conferencing.

Aetna is using the audioconferencing tool, which lets students hear the instructors via a phone line while attending the online class delivered over the Web. Unlike the video option, students are given an opportunity to verbally or electronically contribute only after the instructor passes the room control to the student.

The LearnLinc app is helping reps handle client questions better. LearnLinc caused the accuracy of Aetna's program to spike by 4%, says Blair. "With regular classroom training, we were averaging around a 92% learning accuracy, and with video and desktop we got 94%," says Blair. Depending on the communications options included, Pricing for LearnLinc ranges from $1,300 per concurrent user at low volumes per site, to $600 per concurrent user for high classroom volumes. Aetna has trained 4,000 people this year, more than it has in the past two years, Blair says. While he admits he's lucky that his division can support streaming media capabilities, bandwidth isn't unlimited at Aetna and the concern about network overload mandates a slow rollout approach.

Bandwidth drain is a top reason that video and audio streaming capabilities haven't caught on, analysts say. Instead, vendors and users are turning to other technologies, some new and some tried and true, to make distance learning a reality. Hosting services offer some relief, and satellite technology is an alternative to using data networks. But satellites are a mixed bag when it comes to training. Although they've been around for decades and are reliable, they are a one-way data streaming communication channel, offering little of the interaction users want. Satellite communication also comes with its own specific needs--a dish has to be hooked up at each training site, and channel programming is often set up on a schedule that can limit the "any time, anywhere" capability boasted of by many tools.

Nevertheless, both IBM and Charles Schwab & Co. are using satellites in their newly unveiled E-learning initiatives aimed at customers and the public as well as employees.

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