One of the many challenges confronting information technology (IT) managers is how to successfully train and retrain their employees.

The IT training and education industry is in the midst of a major transformation from a traditional instructor-led training environment to one which uses Internet- and intranet-based technologies to provide distance learning to corporate students.

Corporate training providers are in search of an effective balance between personal interaction and technology-based training tools. Value-added services are becoming not only a strategic advantage, but a must. The mix of vendor training services that are available is making the market much more complex.

Training providers have to move away from selling just a product and begin developing relationships with their clients by providing consulting services and assistance.

According to a recent study by International Data Corp. (Canada) Ltd. (IDC), 40 per cent of all Canadian companies surveyed said they believed that value-added services are very important.

Corporate buyers of IT training are becoming more knowledgeable about what they need in terms of training and what is available to them, says Julie Kaufman, skills research manager, IDC Canada, adding that because of their increased knowledge they are demanding more.

No longer can training companies consider themselves to be just that; companies that provide IT training should begin to consider themselves skills development services, said Kaufman.

Training companies need to look at the overall skills set of their clients' employees and figure out the best plan for them.

"There are very few clients in Canada who simply want to send their people out for ad hoc training without any real purpose, or any sort of strategic thought behind it," said Kaufman.

Personnel in charge of purchasing training programs want to know what results they should expect from a training solution.

They want to know that the training courses will address the needs of their employees, she said.

"They are looking for assistance in order to filter through what is becoming an increasingly complex training market," said Kaufman, adding that a company's options don't just include instructor-led training anymore.

"Today you have to figure out [what type of training] is best for which type of person and how to do that, when to do that and which is more effective."

Corporations are starting to look for input from their training provider before and after the training is complete.

"No one solution fits everybody," says Craig Slaney, director of research, human resources development for Operation ONLINE, of St. John's, Nfld.

More tools are becoming available to help managers address their employees' training needs, but these tools require dedicated staff to use them, he added.

Outsourcing these types of functions can often ease the pressure put on IT managers, but according to Slaney if corporate users don't have a relationship with their training provider, they aren't going to trust an outside agency with their training requirements.

Building a relationship with their clients is really key for training provides, he says.

According to Kaufman, training effectiveness analysis was ranked second by corporate education buyers in terms of the level of importance of any type of value-added service, custom curriculum ranked first.

A lot of companies don't provide this type of service as it is very difficult to offer, and although corporations say they rank it as important, they are still unsure of the provider's ability to offer it so they simply don't purchase it even if it is available.

Post-mentoring and training support was considered the third most important value-added service.

The education buyer is looking for something very different and these training providers have to start realizing that and reacting to it, said Kaufman.

"Those who can't react to it are going to merge with a company that is moving along that path."