what is an lms and what is it used for

The growing demand for learning technologies reflects the enormous change in corporate culture. Workplaces are now distributed far and wide instead of being localized in central offices, as was the case just a few years ago. Skill sets that were considered high in demand are now becoming obsolete due to digital transformation. 

Combating these challenges and retaining a talent pool without incorporating the use of an LMS is certainly not an easy task in today’s time and age. Wondering what is LMS and how it can benefit your company? This article delves deeper into the intricacies of learning management systems. Continue reading!

Key Takeaways
  • LMS is essential for modern workplaces
  • LMS manages the entire learning process
  • LMS, LXP, and LCMS serve different purposes
  • LMS benefits various organizational needs
  • Choosing the right LMS is crucial

What Is LMS Software?

what is an lms

A learning management system (LMS) does exactly what its name implies – it manages the learning process. From course creation to delivery and overall management, an LMS oversees the entire training process for employees. 

Earlier, the use of LMS was limited to mainly storing course content in different forms, such as videos, presentations, or text. However, online learning platforms have changed vastly, and currently, they are much more than merely a course storage feature. 

Modern platforms come enriched with multiple features that work together to streamline different aspects of learning management. They use advanced tools that enable managers to identify skill gaps, monitor performance, and make the entire learning experience more fruitful and transparent, thereby broadening the definition and meaning of LMS platforms. 

LMS Vs. LXP And LCMS 

LMS Vs LXP And LCMS

A learning management system is often confused with a learning experience platform (LXP) and a learning content management system (LCM). However, these are vastly different platforms that aim to solve different problems.

LMS Vs. LXP 

Let’s start with the LXP vs LMS debate. The former focuses on the learner's experience, while the latter emphasizes managing the creation of the learning experience. In the case of LMS, the main objective is upskilling and onboarding training. On the other hand, LXP is mainly concerned with tailoring the entire experience for learners. It prioritizes employee engagement and creates a personalized learning path for them. 

LCM Vs. LMS 

The difference between LCM and LMS is quite straightforward. The former is mainly for content authors. It simplifies the process of creating and managing learning content. The latter, on the other hand, is for learners. It works by delivering and managing the company’s learning content. 

What Is An Example Of LMS? 

The features and benefits of a learning management system (LMS) can be better explained with examples. However, not every LMS has the same set of features, so it may not suit all types of organizations.

What Are The Main Components Of LMS?

Main Components Of LMS
Now that you know what does LMS mean and how it differentiates from similar platforms, let’s examine its main components:
  • Creation Tools: These tools allow administrators and trainers to create courses for learners using a built-in course builder. Some platforms also enable users to import courses from third-party sources
  • Document Management: This feature enables users to upload and manage relevant documents, including coursework, supplementary course material, or anything else related to the curriculum
  • E-Learning Standards Compliance: It helps maintain e-learning standards compliance, such as Tin-Can and SCORM, when exchanging data with other solutions
  • Multichannel Access: This component facilitates learners' seamless access to the LMS training software from different devices, such as tablets, smartphones, and desktops
  • Course Calendar: It supports users in creating and maintaining course schedules, competition deadlines, and assessment dates. This gives them a comprehensive overview of their progress
  • Tracking and Reporting: LMS platforms typically offer detailed reports comprising insights on learners’ performance. These platforms also enable learners and admin staff to track progress and view assessment scores
  • Social Features: These include discussion forums and messaging, encouraging learners to collaborate and share knowledge. The presence of these features also increases learner engagement
  • Assessment and Certification: Lastly, most LMS platforms support assessment and certification. The learner is required to complete an assessment after the completion of the course and receive their certification

What Is An LMS Used For?

What Is An LMS Used For

A learning management system can help companies in various ways. While an LMS is primarily used to streamline the training process, its actual role may vary depending on the needs of an organization. Continue reading to know what does an LMS do for different companies: 

Onboarding And New Employee Training 

For starters, you must know that onboarding and new employee training are two different things. The former is geared toward getting the new hires acquainted with the company’s culture and policies, while the latter involves training them on the skills required for their position.

An LMS can help with both onboarding and new employee training. It enables administrators to add specialized courses for new recruits based on their designation, in addition to onboarding material that helps them get started. 

Employee Development And Retention 

The use of LMS plays a pivotal role in employee development and retention. Through this system, specific courses are assigned to learners to develop and improve their skill set. This feature also helps in keeping the team informed about product changes and compliance knowledge. 

Sales Training 

This is another area where an LMS can help. It supports customer interaction training, the creation of product knowledge seminars, and case study-based tutorials, all of which aim to equip the salesforce with the desired ammunition to generate more leads and score higher conversions. 

Blended Learning 

Most LMS management solutions support a blended learning experience. For the uninitiated, blended learning is a combination of a traditional classroom approach and online learning tools. It is often considered more effective compared to face-to-face training as it supports instructor-led training incorporated with digital learning content for customized learning paths. 

Who Can Benefit From LMS?

Who Can Benefit From LMS

Incorporating a learning management system in your organization can benefit the following: 

Employees 

An LMS presents employees with a well-thought-out training plan that elevates their learning and makes them integral to the company’s success. This plan also helps them grow their professional skills and map their career paths. 

Managers 

An LMS allows managers to track learners’ performance, generate detailed reports, and design the course outline. This gives them an idea about their team members' skill levels, enabling them to allocate tasks accordingly.

Organization 

A company benefits by implementing an LMS. As it helps with upskilling and onboarding, employees gain valuable training in different aspects that enhance their performance. Similarly, companies can also use an LMS to conduct a product knowledge training program, which, in turn, helps boost sales and customer support.

What Are The Types Of LMS?

Types Of LMS

Not all LMS platforms are the same. They vary in terms of features included, deployment, and pricing plans. Let’s delve deeper and discuss the main types of learning management systems: 

Cloud-Based 

As the name suggests, these are hosted on the cloud and, in most cases, follow a software-as-a-service (SAAS model). The system is maintained by service providers. They are also responsible for updates and upgrades. Users can access the system from anywhere with an internet connection using their credentials. 

Self-Hosted 

A self-hosted learning management system is installed on the organization’s system. Therefore, the company is responsible for its maintenance. Although it offers more control over the system, upgrades and updates may incur additional costs.

Third-Party Hosted

These systems are hosted on a third-party system. Users can obtain courses from the training company’s private cloud, data center, or public cloud location. 

Desktop Application 

These are deployed on every user’s individual desktop system. However, in most cases, they can be accessed on multiple devices.

Mobile Applications 

These systems are specifically designed to support a mobile learning environment, which makes them accessible on the go.

How Does LMS Work?

How Does LMS Work

After understanding what is a learning management system and its types in detail, the next step is knowing how an LMS works. It is important to know that different platforms work in different ways. However, here’s a rundown of a typical learning management system: 

Generally, an LMS comes with two interfaces: ‘admin view’ and ‘user interface’. The admin view is for managers or trainers to build courses, add material, oversee trainees’ progress, and generate reports. It offers many features that simplify the process for managers. 

Trainees have access to the user interface. Through this interface, they can find a list of courses available to them and enroll in the course of their choice. Some platforms also give users the option to create groups organized by designations, specific training needs, or departments. Trainees can also view their progress and fetch performance reports.

What Are The Advantages Of Learning Management Systems?

Advantages Of LMS
This section covers the many benefits of LMS, which make it indispensable for any organization that wants to upskill its team.
  • Flexibility: LMS platforms offer a great level of flexibility as they allow trainees to complete courses at a time that’s convenient for them. While there may be a deadline for completing specific courses, employees still have the freedom to progress through the material at their own pace
  • Time-Saving: Traditional training methods consume a lot of time. Employees have to spend hours attending training sessions, which often causes them to miss their work. Implementing an LMS management tool saves time as users can complete their courses easily at any time
  • Variety: Most learning management platforms provide users access to various interactive activities and a range of multimedia resources, enhancing the overall learning experience
  • Cost-Saving: Traditional training methods involve many cost elements, from sourcing training materials to hiring a trainer and arranging a location. Implementing an LMS reduces these costs greatly. The initial set-up cost may be high, but in the long run, it helps bring down the overall L And D costs
  • Improved ROI on Training Initiatives: Learning management platforms play a vital role in improving ROI on training initiatives, with reduced training costs and a higher knowledge retention rate
  • More Comprehensive Onboarding: Companies with robust onboarding processes enjoy a greater retention rate. And an LMS helps with just that. It provides new hires access to all the content required to get acquainted with the company in one place, making the entire process quite convenient
  • Helps Build a Powerful Workforce: Deploying an LMS can help build a strong team by helping employees improve their skills, giving your organization a competitive edge. It can be used to conduct skills gap analysis and find areas that need improvement
How To Select The Right LMS

Remember that relying on a learning management system that doesn’t align with your organizational goals or is not fit for your company’s scale may prove to be a burden rather than a utility. This is why it is of utmost importance that you choose the right LMS for your business.

However, with so many options available, selecting the right one for your company can be challenging. Consider these factors to make the right call:

To begin with, evaluate your business's needs. For example, some businesses do not create their own courses but source them from third-party systems; therefore, they wouldn’t require an LMS with a course authoring feature.

Similarly, businesses with remote teams should prefer cloud-based systems to make them easily accessible to everyone.

Every LMS has its own set of features. Therefore, you must decide beforehand which features you need in your preferred system. Ideally, you should create a list of required features and then look for an LMS accordingly.

This is an important part of the selection process since it directly impacts your company’s resources. Typically, different vendors offer multiple pricing plans to cater to organizations' diverse needs. They differ in terms of features included.

Some vendors also offer tailored pricing options. This way, companies can select the features of their choice at a cost that’s affordable for them.

Make sure you’re doing detailed marketing research before making your pick. Try and find out which learning management systems are used by top companies in your industry. This will help you find credible and trusted platforms.

Once you have shortlisted a few names based on your market research and the list of available features, the next step is to read reviews. Make sure to read reviews at unbiased platforms to make an informed decision. You can check out the LMS software to find potential solutions and read unbiased reviews from real users.

Take Free Trials

Lastly, remember to take advantage of the free trials most LMS platforms offer. This will help you assess the software’s usability and determine whether it works for your business.

Now that you’ve understood what an LMS platform is, its features, benefits, and how it can help your organization, it’s time to choose one. We have you covered. Browse our LMS software category page or call us at (661) 384-7070 for expert opinion.