What is a Training Management System (TMS)?

A Training Management System (TMS) is a software system used to manage training activities efficiently. In addition, systems of this type are sometimes also called Training Content Management Systems (TCMS). Although less common, the term Training Resource Management System (TRMS) is also used.

Furthermore, the training activities can belong to a state educational institution, such as a school, university, or other public or private institute. However, they can also be offered by a private training provider or by a company department, for example in personnel development.

In detail: A Training Management System

The TMS supports people who use the system to manage training courses and the associated data and information. Some tasks must be performed digitally within the system or as a digital representation of real-world activities. For example, maintaining training content for a catalogue is a fully digital process. Meanwhile, providing equipment in a meeting room for an event is a real-world task that must be mapped digitally.

Therefore, some systems are also called “Training Resource Management Systems,” which reflects this digital mapping aspect. In contrast, systems that focus on training content are called “Training Content Management Systems.” However, this naming can create confusion, because standard Content Management Systems (CMS) also manage content. Typically, most CMS specialize in media content, such as images or videos, particularly for web publishing. Although this content can be used for learning, training management usually requires far more information and functionality than a CMS provides.

Furthermore, the focus of a system depends on the type of training organization, its processes, and how much of them are already digitized or can be digitized.

A training management system functionally supports end-to-end processes

The extent of a software’s functions naturally depends on the supplier. However, a commercially available TMS usually aims to map the administrative processes of the education portfolio. These processes typically include:

  • The (digital) creation of training content

  • The provision and distribution of this information

  • Use in bookings and, for example, communication with building services

  • Offsetting, if necessary

  • Evaluation of training activities

  • Portfolio optimization

  • All other related steps

Therefore, a TMS covers the complete end-to-end process of a training company. In this way, a TMS can be considered similar to an Enterprise Resource Planning (ERP) system for a company.

Comparison of requirements with necessary functions

Similar to an ERP, it may still be necessary to use additional special tools or optional modules. For example, a Customer Relationship Management (CRM) system can support customer management in a sales company. Consequently, TMS are usually excellent at integrating or connecting with other systems in the IT landscape, unless they already handle these tasks themselves.

When researching a TMS, you quickly realize how large the market is. Thus, it is important to clearly define the software functions you need and the company’s own requirements. For instance, consider whether the focus is on managing content, resources, or delivering learning content, which is typically the task of a Learning Management System (LMS).

Because a TMS focuses on implementing processes, examining specific functions should be a top priority. In terms of design, interface variants may be rated positively or negatively depending on taste. However, while the interface can usually be customized easily, adding missing functionality is much harder.

What do companies use a training management system for?

To the question, “What is a training management system?” The question usually follows directly, what for. Partially hidden behind the question: “Isn’t that also possible with Microsoft Excel?”. What a company uses a TMS for depends heavily on the importance and scope of the training activities in a company. In principle, a distinction can be made between two purposes of use by companies. On the one hand companies in which training processes form a sub-process, such as in personnel development or product training for customers in the manufacturing, which are usually assigned to after sales. Or companies where training processes represent the core process because the product of the company is training.

Training Management System as support for sub-processes

Small and medium-sized companies can often still manage employee training efforts efficiently using Microsoft Excel. However, it becomes more difficult when companies are required to provide training based on regulations. Because in that case, they are also legally obliged to document these training measures.

For example, companies must show which employees participated in which training and when, and sometimes even with what success. Therefore, if a company is subject to such obligations, the effort to ensure all legally required trainings take place on time increases significantly.

Factors for the complexity in training management

How much the effort increases depends on the amount of training. Generally, complexity rises with company size and the number of employees. Moreover, the number and variety of training sessions also increase administrative effort. Another factor is whether training sessions are independent or contextually dependent. In the latter case, the administrative and documentation effort rises exponentially. Furthermore, offering a catalog of training courses adds another component to manage.

Above a certain size, training courses are often no longer created and conducted internally. Instead, training service providers are involved. As a result, additional administrative work is required, and supplier management gains importance. In addition, selecting a training provider usually involves an interface with purchasing.

Another level of complexity comes from resource management. Resources include internal and external trainers, training rooms, and any physical equipment required. This is especially true for product training. Moreover, searching for free capacities and optimizing utilization efficiently are critical tasks.

Regardless of company size, employees, customers, and trainers represent personal data. Therefore, this data must be handled carefully. A market-ready TMS should meet this as a basic requirement. In addition, co-determination bodies in companies should also be considered.

A TMS functionally covers this dimension of administration. However, these are only the basic requirements, regardless of the company’s domain.

Training Management System as „ERP for training provider“

The above statements also generally apply to an education provider. However, it must be considered that the training process is the company’s core process. Accordingly, IT support for this process is critical to the organization. Therefore, it is especially important that all expected or required functions are available at the necessary quality.

In this context, commercial handling is also essential. Since training providers earn revenue through their knowledge, a TMS should include functions for commercial processes. Alternatively, if not, it should be able to communicate via interfaces with systems handling these processes. Moreover, when working with customers, the sales process receives higher priority, which emphasizes technical requirements in the CRM area.

Furthermore, these functions can be relevant for sub-processes, such as product training for customers, but not to the same extent as for a core process.

Summary of the question “What for?”

At the beginning, we asked, “What is a training management system?” One answer to the question ‘why?’ highlights an important aspect: a company must ensure that potentially business-critical processes are digitized. However, this should be done in a way that allows tasks to be completed cost-effectively and time-efficiently while complying with data protection principles.

Moreover, another consideration is that legally required training must be auditable. Therefore, it makes sense to select a TMS with mature and reliable processes.

Who uses a Training Management System?

Part of the question “What is a training management system?” is also who uses it and how. Beyond the question of which companies use a TMS – as seen in the previous chapter: both companies that have training as a core process and companies in which training is a sub-process – there is also the question of which roles and positions people play in a company companies that use a TMS.

Before this question, however, there is an even more detailed definition of which companies use a TMS and how.

What kind of company deals with a training management system and how?

Training management system for training employees If a company creates a TMS, e. g. B. due to its size and the number of its employees, it is usually used in the human resources or HR department or a sub-department assigned to it. The objective is then to ensure that the company builds up or keeps up to date the skills among existing employees that it will need for the future.

A special form arises when employee training is primarily driven by regulations (e. g. in aerospace and aviation, pharmaceuticals and medicine or in the financial sector). In this case, there are additional processes such as the preparation of audits and reporting obligations, which a TMS should meet.

In the context of IT networking, this usually means a connection to HR systems and use via the intranet.

Training management system for training customers

If a TMS is used for training for customers, this often has a sales character, as mentioned before. In this context, commercial issues must therefore be taken into account.

In the context of IT networking, this usually means a connection to CRM and ERP systems and use via the Internet.

Training management system for training employees and customers

In individual constellations – especially in the area of product training – both employees and customers or external employees (e. g. in free sales) are trained in the same system.

The complexity begins here with the variability of the source systems (HR and CRM) via billing (internal billing models combined with commercial processing processes mostly via ERP) access via the Internet and intranet. There are also procedural questions as to whether there are joint or separate pools of training. Whether employees and externals are allowed to take part in the same event and much more.

Asked from this division: So who uses a training management system?

The following are the roles and positions in the company that use a TMS – Administrator:in is actually self-evident and should always be planned for when introducing an IT system and is actually only listed for the sake of completeness. The roles of product manager and organizer are the absolutely classic roles in the system. The other roles depend on external criteria such as the size of the company and the function of the system in the company; are therefore only relevant under certain conditions.

Administrator

Depending on the size of the company, administration can be divided into functional and technical administration – or remain combined in one role. This primarily means the administration of the system, which – depending on the system – is required via programming and customizing or is made possible by the TMS provider. The scope of the administrative tasks can differ significantly depending on the TMS and in consultation with the supplier.

Product manager:r

In the case of training for employees, this strategic task usually falls under the leadership of the HR or personnel development department; in the case of product training, this can be portfolio or product managers. However, those responsible for quality can also be affected by regulation.

You are responsible for ensuring that the training courses meet the needs of the company and the regulations and that they address and reach customers on the open market. You need to analyze how the needs and the market are changing and adjust the portfolio of training content.

Organizer: in

Regardless of the type of company, these people are entrusted with the operational business. You maintain all the necessary data for training events, make bookings and, if necessary, settle accounts.

Instructor

Depending on the objective and the division of tasks, it may be that trainers themselves are responsible for maintaining individual content or descriptions in the system. Then you need corresponding functions.

Participation bodies

If agreed accordingly, a co-determination committee will also have access to the TMS, but this is only relevant when training the workforce.

Sales/Controlling/Accounting

If the system has commercial relevance, it may need to be used by different stakeholders in the process.

Who doesn’t use a training management system?

In order to make the distinction from other systems even clearer, here is the list of users who *do not* use the TMS. Depending on the software product and the functions of other systems that it offers, it is possible that they work in your software product, but according to the definition do not use TMS functions.

Learners

Probably the most confusing piece of information if you haven’t read our differentiation of TMS vs LMS. But the learning, delivery and use of the content is part of the learning management system. Certainly nobody offers a TMS without at least rudimentary LMS functions and vice versa no LMS without at least rudimentary TMS functions. Accordingly, learners then use LMS functions and not TMS functions.

eLearning authors

To create an eLearning, authors used an authoring tool. An authoring tool may or may not be integrated with a TMS or LMS.

Summary of the question “Who?”

Initially we asked “What is a training management system?” – the answer to the question “Who?” is another facet of the answer. A TMS must support the roles that a customer already knows during the requirements phase – and therefore needs after the introduction of a tool – in their tasks.

The number of bookings of a training provider is a metric for evaluating the success and the scope of a learning activity. During their lifecycle, bookings permanently have a status, so that reports on bookings always allow precise information about activities and results.

Functional list of a Training Management System

So what belongs on the list of functions of a TMS? As already described, this depends very much on what exactly needs to be solved for a task.

Accordingly, there are functions that simply cannot be missing, no matter in which context of use.

But there are also a number of functions that are optional because they depend on whether or not they serve the business model and the task.

 

The absolute must-haves:

What every software should have:

First of all, there are must-haves that also apply to *any other* software. These are:

  • a roles and rights concept with which you can control functions and data views
  • a data security concept – part of which should also be a deletion concept that customers can adapt to their requirements for GDPR compliance
  • the ability to create/use interfaces to other systems
  • Traceability functions to be able to track what happened before in the event of malfunctions and errors.

These things are simply assumed by many customers. They are all the more shocked when a provider doesn’t have a solution – sometimes not even concepts! – is available for this.

The core functions of a training management system:

These are the features that define a TMS and therefore *must* be there

  • Catalog management: Structuring and sorting of the training products or learning content for later display in the LMS
  • Product management: Maintaining learning content and presenting it clearly, is sometimes also called course administration or course administration.
  • Event management: necessary if the training is not fully digitized, but training with trainers is also being carried out. In this case, appointments must be planned for trainers and learners to come together.
  • Booking management: Book, rebook and cancel participants on the products – i.e. all operational activities related to participation
  • Cost management: Management of the costs of individual training elements, such as daily rates for external trainers, travel expenses, room rental and more.
  • Participant management: Administration of the data of organizations (internal e.g. departments – external e.g. companies) and people (participants)
  • Trainer management: Management of the data of training organizations and trainers as well as their skills
  • Communication processes (e.g. mail traffic)
  • Reporting

 

The usage-dependent – and therefore optional – functions of a training management system:

When used as a tool for internal training:

  • Interface for employee data: Depending on which HR system is responsible for which data, this interface must potentially function bi-directionally. It should be able to be expanded from manual to fully automatic, which depends on the capabilities of the TMS and other HR software.

When used as a tool for training with regulations:

  • Qualifications management: Mapping the current knowledge and skills of learners and planning the knowledge and skills to be achieved
  • Authorization management: This represents the transition from “learning” to “doing”. For particularly critical tasks, tests may be necessary. For each task to be assigned, the TMS checks in real time which employees have the necessary qualifications for the task. Only these people are then systematically authorized to take on this task.

When used as a tool for external training:

  • Interface for customer data. Interfaces can come from a CRM or ERP or can also be maintained directly by the customer himself when using an online catalog with a registration process.
    • Registration management: If customers can register externally manually, the quality of the data stocks usually still has to be ensured by checking.
  • As an alternative to a CRM interface, CRM functions can also be available in the TMS.
  • Revenue management: Administration of revenue per booking or event. If necessary, also a comparison of the costs.
  • Order processing:
    • Internationally, order processing in the B2B environment is basically the same: the customer’s request is followed by an offer from the supplier. If the customer confirms the offer, an order confirmation follows. An invoice will follow before, during or after the (training) service has been provided. Depending on national law, individual steps may be omitted (e.g. in Germany for online sales the re-sending of an offer – especially in the case of digital content that buyers can consume ‘immediately’). A TMS should be able to map this process in a documented and legally secure manner. Ideally, individual steps should be optional in order to be able to react flexibly to variants in the requirements.
    • In B2C business, the requirements for this process differ more internationally. In Germany, it is particularly important to pay attention to the GDPR regulations and, especially in the case of digital content, to take into account the right of withdrawal in distance contracts.

When used as TRMS – i.e. with a focus on resource management:

  • Resource management:
    • Maintaining the various resources such as trainers, rooms or physical equipment
    • suitable functions to manage, such as a resource planner
    • Absence or non-availability documentation

When used as a TCMS – i.e. with a focus on content management:

  • Content management: Functions for the central creation of content (from images to videos to PDFs and in the context of learning also eLearning) and for global use.

When used in larger teams with division of labor:

  • Internal collaboration tools:
    • Generate lists to process
    • Tasks/to-dos with forwarding and substitution regulations etc.

 

Special Functions

These are functions that are only required in very specific constellations. There is sometimes also dedicated special software for them, which can be purchased in addition to a TMS and should then be integrated via interfaces.

Multi-client capability:

  • Does your company have its training activities e.g. B. according to departments or is it a group with subsidiaries? It can then make sense to divide the system into clients for various reasons.
    • A client can then only see and use a section of the overall data. Depending on the capabilities of the software, a client can also offer different role and rights schemes or even a different range of functions.

Hotel management:

  • If your trainers and/or participants are accommodated in a hotel, managing these external hotel rooms is enormously helpful
  • If you even manage your own overnight accommodation capacities, room/bed management makes sense
  • There is special software for these functions – called “hotel management software”. Due to its specialization as individual software, this is usually more powerful than a solution integrated into a TMS. However, you then use two systems and two data pots. These must be connected to each other via manual or digital interfaces in order to have correct/same information everywhere.

Testing:

  • If you end your training with a certificate of achievement, your LMS should offer functions for the exam. On the other hand, the TMS should also be able to show the success of the learner in a booking
    • When checking an IT system, it is important to distinguish whether it is “physical” or can be done digitally. Because in the first case, the results have to be entered manually in the system; the system cannot issue any information about success or non-success beforehand. Digital exams lead to a result that can be evaluated immediately by the system itself and then leads to an automated conclusion (e.g. certificate).
  • There is dedicated software for exams called “exam software”. Due to their specialization as individual software, these are usually more powerful than a solution integrated into a TMS. However, you then use two systems and two data pots. These must be connected to each other via manual or digital interfaces in order to have correct/same information everywhere.

Training management:

  • The German dual training system – unique in the world – can also be meaningfully integrated into a TMS. You can map the training plan, block periods at vocational school and practical phases and map assignments to departments and supervisors. There is dedicated software for training management.
  • Due to its specialization as individual software, this is usually more powerful than a solution integrated into a TMS. However, you then use two systems and two data pots. These must be connected to each other via manual or digital interfaces in order to have correct/same information everywhere.

Internationalization:

  • In order to operate a TMS that can also be used internationally, there are a few technical requirements and functions that must be in place. On the one hand, this includes the possibility of displaying several languages and therefore being able to maintain them in the TMS.
  • Some foreign languages require a completely different character set, which on the one hand has to be able to be processed technically, but on the other hand has to be planned conceptually in order to prevent the barriers between cross-border teams.

Short comparison: Training Management System vs Learning Management System

If you summarize the direct comparison between a Training Management System (TMS) and a Learning Management System (LMS), the phrase “two sides of the same coin” describes it best.

What you create administratively in the TMS is delivered through the LMS. However, a pure administration tool (TMS) has little value without a delivery option. Likewise, a delivery-focused tool (LMS) is limited without an administration component. Therefore, LMS and TMS are complementary: the TMS supports administration, while the LMS supports users, and together they form a complete system.

This overall picture also explains why the term LMS has become the generic term for both systems in the German market. Even in markets where TMS and LMS are differentiated, such as the US, almost no software exists without components of both.

So how should you decide which tool to buy?

The answer depends heavily on your specific requirements. Clearly, TMS strengths lie in administration. Therefore, it is ideal for companies with many training products, trainers, rooms, equipment, or face-to-face appointments.

Moreover, TMS is essential for companies where training is the core process, because administration is a business-critical process. In this sense, TMS can be seen as an ERP system for training providers.

In contrast, an LMS focus is more relevant for organizations with few administrative needs beyond digital training sessions. As a result, administrative effort is reduced, and delivery becomes the most critical function.

Short Comparison: Training Management System vs Learning eXperience Platform (LXP)

A direct comparison between a training management system and a Learning eXperience Platform shows that an LXP works additively to a TMS. Especially if the TMS already offers good LMS functions. Especially in this case, the LXP can take over the remaining/missing functions and take on the cooperative, personalizing aspects.

The aim of such a tool cooperation would be the democratization of the educational process, with the TMS offering the learners the content pre-planned by L&D or HR and the LXP the mix with UGC (user-generated content), third Party content (German: content from third-party providers) such as e. g. YouTube, LinkedIn Learning etc. enriched. In this way, the company can combine a mixture of legally required or strategically relevant content together with acutely necessary content for learners.

Accordingly, the choice at this point is usually not an “either – or” but an “as well as”.

However, the important question is whether you need all of these options (read our article: “What is an LXP?”, in which we also provide a list of functions). If you only need some of them, the question is whether you need your own tool or whether you can find this function in a TMS.

Short Comparison: Training Management System vs Learning Record Store (LRS)

When comparing a Training Management System (TMS) and a Learning Record Store (LRS), one quickly notices an overlap: both store information about what a learner has already completed.

However, an LRS does more than store company training data. For example, it can also include information from third-party providers. On one hand, this offers the most complete educational history possible. On the other hand, it provides a solid basis for analysis purposes.

Based on this data, an LXP can show how existing knowledge, interests, and preferences can be combined. In this way, the educational offer can be personalized so that learners receive useful suggestions.

This raises the question of how much added value an LRS provides to a TMS. Certainly, it is useful when using an LXP. However, even then, the information in a TMS might be sufficient.

Therefore, it is important to carefully weigh the value of adding an additional tool.

Finally: Development of Training Management Systems

Historically, Training Management Systems (TMS) were used as early as the late 1980s and early 1990s. Initially, development started in the context of HR suites. These software systems aimed to bundle all necessary HR functions in a single system.

With the growing appreciation of employee development, demand in the market increased. At the same time, advancing technology also expanded supply. Moreover, specialized tools, such as authoring tools, initially serving niche problems, began developing additional functions that also mapped TMS or LMS.

When computer-based trainings (CBTs) gained importance and became widely accessible via the Internet and cloud technologies, also known as eLearning, the market received another boost.

Finally, the COVID-19 pandemic gave digital and online learning yet another significant push.

And today… the landscape of TMS and eLearning continues to evolve rapidly, integrating modern technologies and user expectations.

Gartner currently (as of 07/2023) lists around 400 LMS for corporate learning. The comparison platform Capterra, which also belongs to Gartner, lists 1,219 LMS products globally and still 50 for LMS from providers based in Germany. On closer inspection, however, some are not equipped with the extensive functions to also be considered a TMS, while others are entire HR suites.

In general, companies that offer a TMS on the market often follow digitization and gradually develop their TMS with additional functions to mature LMS. It is therefore reasonable to assume that LXP and LRS functions will also find their way into TMS (and LMS) over time.

It is all the more important to be clear about what kind of software or tool you need to meet your own requirements and then to make an informed choice.

Is cimoio a Training Management System?

After you have found out what a training management system is, you naturally want to know: is cimoio a TMS?

To put it bluntly: we see cimoio as a system that fully integrates TMS and LMS. We will go into more detail on what this means for us in an article that will be published later. You can currently find our point of view on this in our article on “What is cimoio?".