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Top 4 Risks To Keep In Mind When Outsourcing Corporate Training

Outsourced training is a common option for organizations that don’t have the capacity to hire and manage an internal L&D team. 

When outsourcing for the first time, organizations should keep these 4 risks in mind to ensure a seamless process:

  1. Managing Unexpected Corporate Training Expenses
  2. Project Deliverables Fail To Meet Expectations
  3. Project May Not Follow Intended Timeline
  4. Potential Exposure Of Proprietary Information And Data

So, you’ve decided to outsource your new training program. Whether it’s your first or 100th time, navigating a new client-vendor relationship doesn’t always work the same. 

Outsourcing corporate training is an exciting process that allows your organization to collaborate with industry experts to create a cutting-edge training program, but the process doesn’t always run smoothly. 

Luckily, we’re here to provide your organization with 4 potential risks to keep in mind when outsourcing your training program, as well as tips to prepare for this process. 

Our team of experts has partnered with a variety of clients across different industries, from manufacturing and retail to supply chain and consumer goods. We know what it takes to create a successful partnership between our clients and team, and are here to provide insight to help your organization receive the best product possible. 

This article will define outsourced training, dive into 4 risks to keep in mind, and provide tips to avoid experiencing these risks for successful outsourced training. 

What Are The Benefits To Outsourcing Corporate Training?

Outsourcing corporate training is the preferred option for organizations with diverse training needs, time and budget constraints, and a lack of technical expertise in multiple areas.

By outsourcing corporate training, organizations experience a variety of benefits, including:

  1. Develop Training at a Lower Cost – Outsourcing training is about 20-35% less costly than developing in-house. 
  2. Access Experts with Diverse Skill Sets – Outsourcing training allows organizations to access experts in instructional design, authoring software, and various training topics. 
  3. Mitigate Safety Risks with Industry Experts – Outsourced training programs help mitigate real-life safety risks by better preparing employees for their job because training is developed by industry experts. 
  4. Short-Term Commitment to Developers – Developers for outsourced training typically work on a project-to-project basis, meaning there is no long-term commitment to them. 
  5. Faster Turnaround Time for Development – If your vendor has streamlined processes with a minimum number of challenges and delays, it’s likely that your training will be developed faster than it would be in-house. 

Organizations can experience these benefits when they find a reliable vendor. From examining vendor portfolios to reading reviews and ratings, organizations can find a trustworthy partner that will successfully deliver their corporate training. 

Top 4 Risks To Keep In Mind When Outsourcing Training

  1. Managing Unexpected Corporate Training Expenses

As with any project, unexpected costs may arise as the project progresses. Deliverables may become out of scope and come with additional costs. 


You can ensure your outsourced training stays within budget by considering these 4 tips: 

  1. Set budget expectations early-on
  2. Ensure you have a complete list of what will be considered in scope
  3. Determine how out of scope items will be billed
  4. Make sure both parties involved understand how to identify if things go out of scope
  1. Project Deliverables Fail To Meet Expectations

Throughout a project’s lifespan, it’s likely that your organization will see several versions of the product. From Alpha to the final product, you’ll see a variety of deliverables that may not initially meet your expectations. 

Perhaps the version you’re presented fails to meet your brand standards or maybe the project doesn’t include all of your specific learning objectives


An organization can ensure their deliverables meet their expectations by using an iterative approach with their vendor. Instead of waiting until the project is complete, organizations should work with their vendor during the development process to be sure the vision is being captured and deliverables are meeting expectations. 

Keep in close contact with your vendor so you can ask critical questions and provide real-time feedback to make improvements before the final product is delivered. 

  1. Project May Not Follow Intended Timeline

It’s important to realize that your program may not follow its intended timeline. Unexpected challenges and hurdles may arise that delay your project’s delivery, including miscommunication, software issues, unclear learning objectives, and more. 


To keep training on track, we recommend that organizations complete the following steps:

  • Ask about the project management process
  • Schedule status check-ins
  • Consistently review timelines
  • Ensure delays are communicated clearly if they occur
  1. Potential Exposure Of Proprietary Information And Data

Unlike in-house training programs, outsourced training comes with the risk of exposing proprietary information and data. Working with a vendor requires your organization to share a variety of confidential assets, including: 

  • Core operations
  • Trade secrets
  • Sensitive employee information
  • Business plans
  • Private data on your customer base


Your organization can ensure complete security over your data and confidential information by ensuring that a non-disclosure agreement (NDA) is signed with the vendor before sharing any proprietary materials. An NDA should explicitly state every part of the process, including your vendor’s responsibilities, as well as an agreement from both parties to keep certain information confidential. 

In addition to an NDA, organizations may also have their IT department conduct a risk assessment to make sure shared data is stored in a secure manner.

Don’t Be Out-Of-Style With Your Outsourced Training! 

This article has covered what outsourced training is and the top 4 risks to keep in mind when working with a vendor. We hope that your organization feels confident that you can maintain a successful relationship with your training provider. 
Looking to find a trustworthy vendor to outsource your training? Our team of experts is ready to meet with you and determine the best steps moving forward with your training program. Feel free to schedule a meeting with our team or book a demo today!

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