Banks and financial institutions are major pillars of the economy. They are the ones that design and implement monetary policy. They keep our money safe in deposits, provide us loans for investment and hence protect our money from losing its value during inflation.
Today, this industry is witnessing immense growth as well as competition. The employees are the face of the banking and financial institutions. They bring the organization, customers, and products in place. Thus, for an organization to flourish, the employees need to be efficiently trained and conversant to gain a competitive edge in the market.
After experiencing strong jerks from coronavirus, this industry too has started embracing online training and learning. Though the primary reason for doing this was to uphold social distancing mandates and abide by government laws, today the concept of eLearning has become a common thing due to rapid digital transformation.
A learning management system or an LMS is a web-based technology that helps in designing, implementing, and tracking online training and learning activities. It is this tool that facilitates eLearning.
Benefits of an LMS for banking and financial institutions are
1. Compliance training
Regulatory compliance is a precondition for ensuring the safety, security, and efficiency of any organization. Any violation of the organizational code of conduct or state policy might have an adverse effect on the organization by inviting various penalties, fines, and criminal charges.
The banking and financial institutions have to ensure various categories of compliance. This includes lending compliance, deposit compliance, customer information security compliance, and so on.
The amount of information banking employees need to know is enormous. Moreover, regulatory requirements can change based on various factors, so employees must be able to quickly retain and absorb new information. For this, compliance training is important.
Compliance training is the process of ensuring employees get familiar with all the pertinent laws, regulations, and internal policies that administer the function of your organization. It helps them in understanding what and why aspects of governing laws.
2. Sales training
Sales training is a process of developing skills and knowledge in employees to create sales opportunities, close deals, and build relationships with customers and clients.
The sales team plays a crucial role in funneling profits for any organization. It is this team that acts as the face of an organization to sell products and services. It is important to ensure that the sales team is well equipped with the skills and knowledge essential for selling a product or service. This can be done by giving sales training.
The LMS can help here in the following ways:
- Providing eLearning courses that can help them improve their soft skills (communication skills, teamwork, problem-solving, leadership skills, etc) and hard skills (computer skills, coding, typing speed, etc).
- Storing all the eLearning resources on a centralized platform
- Quick online training assessments to figure out strengths and weaknesses
- Giving automated feedback to employees
Recently the use of artificial intelligence in sales training is also increasing. With a learning management system like Docebo, this becomes easier. Know more about them on their official website.
3. Product and services training
Banking and financial product & services like a certificate of deposits, credit/debit cards, funds remittances, discounting on bills of exchange, etc are important for the customers to know. To ensure that the information regarding this reaches unfiltered to the customers, employees need to be trained effectively. In this way, the customers can make better decisions.
4. Technology training
With advancing technology, the employees’ training needs to be upgraded too. With the rise of new technologies like blockchain, artificial intelligence, machine learning, robotics, and cloud computing, the need for technological training has become inevitable. Also, rising cyber crimes have made cybersecurity awareness training necessary.
Onboarding is the process of induction and introduction of an employee into an organization. An LMS streamlines the entire onboarding by digitizing the entire process. This can be explained as follows:
- An LMS completely automates the enrolment process. The new employees are assigned to a team leader, mentor, and manager.
- Through the self enrolment feature, the new employees can be taken to their respective LMS accounts by simply registering.
- New employees can be welcomed using online presentations. This eliminates the need for the entire institution to be present in one place.
- The eLearning project managers can simply create an e-guidebook or a small online tutorial video that answers important questions like- where to access eLearning material, the contact information of HR, eLearning course registration and recommendation, and so on.
- Small eLearning templates can be used to explain operating procedures, policies, compliance regulations, information related to professional ethics, etc to the new employees.
6. Mobile learning
We know how arduous it is for banks and financial institutions’ employees to strike a balance between work and training. They have a perpetual fear of reaching late or missing training sessions.
However, an LMS wipes off these problems. Through mobile learning, the employees can get online training anytime and anywhere. All they need is a mobile device with a good internet connection. So even during travels and free time, the employees can get access to eLearning material.
7. Social learning-
With the rapid growth and expansion of social media, banking and financial institutions should also infuse social learning tools in online training.
Not everything can be told by the online instructor. Sometimes, peer-to-peer interaction can do wonders because it helps one to learn from others’ experiences. Since banking and finance is an industry that faces new challenges every day, strong communication can be cultivated using social learning tools like discussion forums, private chats, etc.
8. Security and privacy
Nearly all the information with banking and financial institutions is confidential. To ensure the security and privacy aren’t breached, a cloud-based LMS can be used.
It’s high time for banking and financial institutions to unlock the benefits of a learning management system. It not just assuages online training but is also a cost-effective and flexible mode of training. It ensures that the institutions are responding and innovating to adapt to the changing market needs.