When deciding whether to complete a training program in house or to

outsource some aspect(s) of it, what factors and perspectives should train
manger consider?
Nowadays, many organizations pay significant importance when it is about learning and training their members,
knowing that well trained staff bring high value to their company. When it is about deciding what kind of training
program is necessary, an appropriate analysis is needed, thus train managers need to decide what fits the company’s
interest best; a training program in-house or an outsource one. This essay will discuss what elements and points
train managers should consider when completing a training program.

The first important aspect that companies need to consider when conducting a training program is the costs and
available budget. Companies need to have a certain perspective over their budget availability to determine the best
option and how to spread their costs in an efficient manner. To illustrate, outsourcing and in-house cost-efficiency is
given by how often the training service is required. When training is needed frequently, a separate in-house training
department is less expensive, as opposed to outsourcing. The company is saving on travel expenses and since the
employees are already paid by the firm, no additional training costs are needed. However, if training is required
infrequently then outsourcing becomes a variable cost which in this case is more beneficial than maintaining an in-
house training department. In-house trainers will represent unnecessary fixed costs for a company considering that
their service will be barely needed, thus savings can be made on recruitment and operational costs, amongst others.

Another relevant aspect concerns the expertise of the company in the domain in which they want to conduct a
specific training and the quality of the training itself. If the company has in-house trainers, specialized on that
specific matter, then an in-house training could be a better option. Nevertheless, occasionally, lack of expertise of
the in-house training department, makes companies to appeal on outsource training that is specifically qualified on
the domain requested. Sometimes even if the company has an expert in a specific field, it does not mean the expert
has the right training skills to give a quality training and pass on his knowledge. Outsourcing training companies,
however, not only have the right knowledge, but also invest more in the training-skills of their staff, making them to
be the best teachers possible. As a result, the training is carried out with more quality and knowledge is passed on
more effectively, in comparison with an internal source.

Furthermore, timeline plays a significant part as well. When an in-house training department has sufficient time to
complete a training without any obstacles, there could be no need for outsourcing. However, it might occur that,
due to specific training projects with tight deadlines and a lack of training material resources, the pressure of
delivering a training on time is too high. In such situations, the train manager can orientate for a more feasible
solution such as an outsourcing trainer with more material resources and more skills as well. In this way the time
that will normally be spend on developing an in-house training program, will be now spend on different and more
profitable projects.

Even though an external trainer seems to be more convenient when a tight deadline is in play, other factors such as
understanding of the business of the customer department don’t need to be elapsed. In-house trainers will, since
working directly for the company, most likely know the company’s needs, taking advantage of the customer
satisfaction survey’s records. Therefore, they are able to develop a customized training program that fits on the
company’s needs. On the other hand, outsourcing companies very often use generalized training programs that
might not fit the company’s needs. To illustrate, a company might want to train their staff on a specific aspect of
some software, while an external source will offer a very general training about the software.

To conclude, when choosing between an internal training program or outside kind, factors such as the cost and
budget, efficiency, time, understanding of the business core, quality and competency, need to be all taken in
consideration before any decision-making. Knowledge of these factors is important in order to maximize company’s
cost, efficiency and needs.