This begins with us looking at exactly what LMS is as well as its place in the world of education and learning management. Once we have that under our belt, we can look at the different ways in which certain systems are priced. With that out of the way, let’s begin.
LMS: basics and details
How much does it cost to develop LMS which is short for Learning Management System? The answers to this question are not straightforward and demand that we first look at what LMS is. The simplest definition of it is that it is a system that serves the purpose of ensuring that anything education-related online runs smoothly according to Inoxoft. This includes online lectures and the storage of all relevant student data. Even before the pandemic hit, it was well on its way to becoming the norm. Now that even the highest learning institutions have adopted it, it’s safe to say that it is the norm. That said, the uses of these systems go far beyond the realm of education and reach into that of business. Most corporations are looking for them in their best forms irrespective of how much they cost. This is because they do the following:
They save time due to work being done anywhere, making them more flexible; They ironically save money in the long run because no excessive amounts of money will be spent on a building or fixtures; They give employees incentive to work because the workload is easier to track; They leave a better data footprint that allows employees to be replaced based on skill set; Through the online experience, employees see that work becomes more engaging, thus keeping them working for companies over longer spans.
How much does a system cost
Once you decide to incorporate them into your business, you will see that LM Systems are quite expensive, even on the low end. From the point of business creation and throughout its expansion it can go from a little over $50,000 to well over ten times that. However, there is a way to mitigate these prices slightly and that is the development of these systems via open-source means. This means that some of the features added will cost nothing.
Different versions of systems
It is also important that the stage of a company’s growth is not the only factor that affects an LMS’ price. The prime factor is that there are simply different types of systems. Below are the most popular ones and how they operate.
Installed version
These systems are built to be fitted into a server. What makes them particularly advantageous is that they can be customized to fit your software’s specifications. Another benefit of this is that all data is personal, making their storage safer. This unsurprisingly comes with a hefty fee as a personal team will be needed to make sure that they are functional and up-to-date.
Web-based version
These systems are the cheapest alternative as there is no need for an installation fee. This is because they are free to access on any browser. That said, it is still a service that you should pay for, and that fee is also in the thousands monthly, but the lack of installation fees makes it the most accessible.
Open-source version
These systems are founded on the provision of open-source code that can be used to form custom software by anyone with coding experience. They are also one of the more affordable LM Systems because access to the code is relatively inexpensive. In addition to this, the features that come with them are free for the most part.
Other factors that determine the price
It is important to note that all of the above systems have their price ranges. These are also determined by the stage in which a business is currently. In simple words, startups have it cheaper and more established companies are at the opposite end. There is also the fact that different countries are prone to issue their policies and that will affect their LMS price range. Also present are factors like:
customization company policy time
The first two factors in particular are probably the most complex and are often intertwined. Once development time is taken into consideration, prices become a bit more precise.
How much do the main parts of the systems cost
Your average LMS is made up of two interfaces; one for the Administration and the other for the user. Their development is the main reason for these systems’ prices. Which begs the question, how much does their development cost?
The administration’s end
This is used on the part of managers that are in charge of training. Through it, the managers can properly organize programs and put out new lessons. The cost of their creation ranges between $2000 and $8000.
The user’s end
This is going to be found in a User’s browser and can be accessed by people looking to follow your lesson. To be most successful, it has to be eye-catching and easy to operate. The cost of its creation is up to $150 an hour.
Final thoughts
We have already established the importance of an LMS and how they make life easier for yourself and your online learners. With that in mind, they are on the expensive side and most people are afraid of this. There are different reasons why this is the case and they have to be looked at. Despite this fear, Learning Management Systems are necessary for a functioning operation. This is especially true now that just about every successful company is using them. With that in mind, you should think about making that investment, because a quality product will not be possible without it.
