Training

ISM has previously published that for every $1 you spend on CRM automation technology (e.g., hardware, software, communications equipment), you should budget $1.50 for training over the life of the project (which is typically about five years). The training costs are spread over the life of the project. In other words, if the technology costs are $1 million, your training costs would be $1.5 million, but that amount is spread over five years (or whatever project duration), with a greater percentage funding allocation to the first year of the project. Other well-known consulting firms have used a ratio as high as $15 of training for every $1 of equipment. While we consider the latter ratio excessively high, the message is the same, namely, you should never underestimate the importance of training in your overall project success.

Training can take many different formats. Among the most common are:

Initial User Training

Assuming you end up purchasing off-the-shelf software, initial user training is often included or can be negotiated into the overall price of the software. Initial user training may consist of training sessions held at your facilities, at the vendor's facilities, or at a third-party site. A small number of vendors, especially those that provide Web-based software applications, are beginning to offer online training using collaboration tools and services. If your company has developed the software in-house, you will need to plan for this training separately.

Initial user training sessions tend to last one to two days, though some carry on into a third and even fourth day depending on the complexity of the system. Typically, the number of user participants at these sessions range from three to 15 participants, but should not exceed 15. Ideally, there should be one instructor for every three or four participants.

It is essential that these training sessions include hands-on training, i.e., participants should have equipment for system access (e.g., PCs, handheld devices) assigned to them, with printers, Internet access, etc. so that as the instructor explains a function or feature, participants can immediately perform the same function or feature on their PCs. In this regard, it may be useful to have a teaching script prepared to ensure that the training realistically supports your company's way of conducting business.

The objective of the initial user training is to provide users with an overview of the system, then to go into individual system functions and features. After each section of the training, be sure that participants are required to complete a hands-on test to show that they have understood how to use that section of the system effectively. This may be accomplished via the use of a computer-aided training program, whereby the user takes a test and the program automatically scores the user's test results. Each participant also should be provided with a set of User Documentation during this training session.

Train the Trainer

This type of training is used when your company prefers to do its own training or when there are so many system users that it becomes unrealistic to train them all at once. The objective of this session is to bring together internal trainers so that they may learn how to use the system as well as how to teach others to use the system.

This session should follow the format for initial user training, but in addition, each trainer should be provided with a training manual from which to implement required user training.

There are advantages and disadvantages to training the trainer. The key advantage is that you have an internally controllable, cost-effective means to train a large number of company personnel. The key disadvantage is that you are dependent on your in-company trainers and should these individuals get busy on other assignments, as often may be the case, this may delay the training of users on your CRM system.

Systems Administrator Training

If the software has been purchased from an external vendor, this training takes place between the vendor and your assigned systems administrator(s), that is, the individual(s) who will be performing day-to-day maintenance on the system such as assigning passwords, customizing screens, updating databases, etc. If the software has been built in-house, it is still critical that your systems administrator receives proper training.

Typically, this training takes three to five days to complete (though up to two weeks is not unheard of). Again, the training should be hands-on training, and there should be one instructor for every two to three participants. In addition to hands-on examples, each systems administrator should receive comprehensive system documentation during this session.

Periodic Training

Individuals trained on the system and who use the system shortly thereafter are likely to retain much of their training. Nonetheless, the most seasoned learner benefits from periodic training, particularly if there are new systems releases that include new functions and features. Therefore, we recommend a periodic training session no more than six months after the system has been implemented, and at least annually thereafter. As was mentioned before, supplemental training can be accomplished via e-learning and Internet/Web-based online training. Ask your vendor what capabilities are available in this area.

Regardless of the training format(s) you choose to implement, your company should take training very seriously. On more than one occasion, ISM has seen a CRM automation system fail because of insufficient training. One company, where we had been asked to assist in the training, did not have PCs set up, the software had not been loaded, there were no printers available and there were no modems installed to properly conduct training. It should come as no surprise that this company's CRM system was in trouble from the start.