It won’t surprise anyone to learn that the corporate training market is growing larger than ever, with the job market expecting to have close to 78 million new jobs. Many of these roles will require specialized skills in emerging technologies, creating an inevitable skills gap. As a result, training professionals are scrambling towards upskilling and reskilling initiatives – not only in technical areas but also in essential soft skills such as leadership, communication, and project management.
With high demand and low availability of the right talent for roles, L&D professionals will need to address their options in the current labor market with employee needs of professional growth and work location preferences. 2025 will be an exciting year for the training industry. Let’s look ahead at upcoming challenges and advancements L&D professionals should keep their eye on.
Trend #1: BPO as the answer to talent shortages?
Business process outsourcing (BPO) is a method of subcontracting your business-related operations out to third-party vendors. However, the BPO outlook seeks to transform more into just the standard call center rep or virtual online assistant.
Organizations in nearly every industry will utilize an offshore outsourcing talent pool in some capacity in the next decade due to a combination of the creation of new jobs, industry-specific skills shortages, and the increasing price of onshore talent.
Because of these trends, we expect BPO services to be valued at $525 billion by 2030 as companies continue to invest in more cost-efficient human talent. Outsourcing certain processes can cut labor costs by as much as 70%, so it’s easy to see why organizations in North America and Europe would choose to outsource more of their business processes.
64% of small and medium businesses outsource at least one business process within their product and service offerings. Research suggests that the trend of BPO services is expected to increase on average 9% year over year by 2030.
Even more so, the selection of offshore talent is methodical in that the service needed correlates with the country. Based on one BPO industry research study, popular selections for countries based on service needed include web development in Colombia, IT and web operations in India, as well as marketing, HR, and administration support in the Philippines.
Professionals in these regions are popular picks by enterprise and SMB organizations as they tend to have advanced degrees and advanced proficiency in English. In 2025 and beyond, the scope of what services are outsourced is expected to expand. While the usual outsourced services of human resources, telecommunications, and IT support will continue to grow, the BPO market will see a demand in offshore talent with technical skill sets including accounting & finance, energy management, and cybersecurity.
What does BPO mean for L&D Strategy and Training Departments?
Despite their highly skilled acumen, outsourced talent needs proper onboarding training to be integrated with onshore team members. To add to this, one key consideration for training teams is that no matter how experienced they may be, offshore teams won’t be entirely skilled in the organization’s specific processes from the start.
With an expected large portion of a business outsourced, it’s expected that L&D teams must deliver an efficient training protocol that offshore talent can consume, digest, and execute in a matter of minutes. The first thing that comes to mind is serving up a predetermined training course through your learning management system that can be completed at the learner’s pace.
This solves the matter of “knowledge training” for the parent organization but doesn’t put the “skills learned” aspect to the job. Why? Whether offshore or onshore, eLearning has its pros and cons in effectively training new employees; eLearning has its strengths and limitations. If BPO processes are going to be a success for your company in 2025, L&D needs to cater their learning operations strategy for both efficiency and quality, utilizing instructor-led training programs as their main component.
L&D teams can look to deliver training in dual fashion by having both in-person training for onboarding done at select locations (ILT) or better yet, have organizations spearhead in-person training online (VILT) to account for learner time, location, and preference. If your organization’s training department finds the delivery of ILT/VILT methods to be too difficult to manage, it may even be possible to contract with a managed learning services team to handle it.
Trend #2: Continued growth and popularity of learning management systems and eLearning – and ILT/vILT
The novel days of learning software were exciting. According to Josh Bersin, the LMS market was quite small in 2002 with just a handful of learning software providers having their “proto eLearning” served on CD-ROMs. Flash-forward to 2024 and the Learning Management System (LMS) market has exploded.
Safe to say the LMS as a model for online learning isn’t going anywhere anytime soon, with the LMS and learning tech market expected to reach $82 billion by 2032. As the skills gap increases and new learning systems come into play, 2025 will only see the market continue to grow.
It’s expected that some of the heavy hitters in the LMS space, including 360 Learning, Cornerstone, and Docebo will attract more customers to help deploy learning courses that meet the professional needs of learners and the talent demands of organizations. Organizations will continue to rely heavily on their LMS platforms to boost efficiency in areas such as:
- Compliance and industry-specific regulatory training
- Employee onboarding
- Sales enablement
- Product training
- Upskilling and reskilling
- Clinical study best practices
- Sales enablement training
Beyond the LMS
In terms of training tools for 2025, businesses will be looking beyond the standard LMS toward more complementary learning technologies to supplement learning delivery strategies. Beyond the standard LMS platform, the eLearning industry has pioneered tech designed to be more learner-centric to develop more efficiency and better outcomes. Learning technology that we’ll see implemented into the learning strategies in 2025 and beyond will include:
- Mobile and on-demand apps for 24/7 access to anytime, anywhere learning
- Increased usage of virtual reality (VR), augmented reality (AR), and extended reality (XR) in facilitators’ training toolkits.
- The use of training operations platforms for training resource management
- Self-directed learning for more efficient, learner-friendly training
- Gamification to introduce friendly competition and motivational techniques
- Training scheduling software will make it easier to assign instructors to training classes.
These training trends began gaining traction as far back as 2023 but are only now gaining interest because of their ease of use for L&D operations. But the real reason why training departments are so interested in them? CLOs want to increase the amount of training delivered but also reduce training budget spend and improve training ROI.
What does the growing popularity of LMS software mean for the future of instructor-led training?
The future of instructor-led training may seem uncertain given the high level of convenience provided by the “LMS popularity boom” and other learning tech. However, ILT is unlikely to disappear anytime soon. In fact, as the LMS and other eLearning technologies become more widespread, the demand for strategies that include instructor-led training is expected to grow.
Combining eLearning with instructor-led training enhances professional value and learner experience.
Why would we expect to see more ILT in the future? Between organizations, trainers, and learners, all three want efficiency, effectiveness, and professional development out of their learning programs. Unfortunately, LMS-based platforms and eLearning are quite limited with regards to these three L&D metrics.
- Efficiency: eLearning excels at enabling “learn at your own pace”, but lacks the benefits of face-to-face interaction and demands a high level of self-discipline.
- Effectiveness: Learners may demonstrate accuracy of the training program’s learning material, but they might face challenges in comprehension and application of learned material on the job
- Professional Development: With limited practical application, learners face a lack of opportunity to practice and develop critical soft skills like communication, teamwork and leadership via eLearning
Hear Dell Technologies and Wells Fargo talk about how they optimized instructor-led and virtual instructor-led training programs. Watch the roundtable led by Brandon Hall Group.
LMS and eLearning aren’t leaving, and neither is instructor-led training
Some training managers may think that classroom training is dead or that instructor-led training is obsolete, but it’s far from the case.
With relation to meeting business objectives (more on that below), ILT will often be revisited to meet the more technical skills demands of industries like healthcare management and mining. At the very least, training programs in the future will implement a blended learning model that will use a combination of LMS & ILT/VILT to meet training needs.
Training teams must also readily assume that an LMS or eLearning component will be part of their learning operations, regardless of size, sector, or location. The LMS will be an inseparable part of their L&D protocols, so training teams must be 100% confident in their ability to maximize the value of their learning platform to secure the best learning outcomes.
Trend #3: The effect in-office, remote, & hybrid work will have on learning strategies
Three work models dominate organizations today: In-office, remote, and hybrid work. The preferences of employees and that of an organization’s management will impact how training departments execute their learning strategy.
Surprisingly, Gen Z employees are in favor of ditching remote work and actively working in offices. Similarly, Millennials are divided on whether to remain remote or head back into the office. At 59%, both generations of office workers agreed that a hybrid work environment was best as it provided mental clarity and flexibility. Other generations, such as Millennials and Gen X, are less tied to the idea of the traditional 9-5 in the office.
Most are open to hybrid working but don’t want to return to the office full-time. Huge numbers of Millennial and Gen X employees have warned that they would rather quit their jobs than relent to a mandatory return-to-office (RTO) policy. A survey from KPMG suggests that employees will fully return to the office by 2026 – but will Millennials or Gen X employees ever get back on board with pre-pandemic office-based roles?
In the survey, 87% of CEOs say they would consider linking rewards, salary increases, or promotions with office attendance, showing the awareness that many employees will need some coaxing to comply with RTO policies.
The remote vs RTO argument also puts the spotlight on work-life balance. Younger workers in particular prefer jobs offering stability, flexibility, and professional development, making it essential for organizations to work with their employees to strike the right balance.
What does return to office and the culture of work mean for L&D and Instructor-led training?
Whether in-office, remote, or hybrid, the back-to-office “renaissance” and the demand for new skills training by eager professionals will usher in an increased demand for ILT-based learning initiatives. To satisfy a younger generation, training teams must deliver a learning experience that:
- is convenient for learners in both remote and in-person settings
- provides guided facilitation for both knowledge retention and skills development
- offers hard and soft skills that lead to career progression and organizational goals.
- Reduces dependency on LMS-based tools for in-demand skills.
This will also require training teams to consider which elements of their programs are better suited to eLearning via the LMS and ILT, whether delivered in-person or online as VILT.
Some topics are best delivered live, while others work well through self-paced online delivery. For instance, upskilling and reskilling programs may be better suited to ILT or VILT, as the live delivery allows for more expert guidance and real-time feedback.
Trend #4: AI won’t replace your LMS, trainers, or instructors
The L&D industry has been raving about AI capabilities and potential but is equally nervous about it. Some L&D professionals are worried about the possibility of artificial intelligence to replace instructors in the classroom. To set the record straight, AI won’t be replacing teachers anytime soon, no matter how advanced the technology gets.
Artificial intelligence has had a huge impact on every software-driven sector worldwide, but no matter how sophisticated AI models may be, we’re confident that it won’t replace traditional in-person instruction or even eLearning entirely. Leading L&D experts like Josh Bersin and John Leh expect to see AI serve more as a supplementary tool for L&D in a variety of ways.
How can AI Support Learning Strategies and Training Operations?
While leading learning experts have confirmed that AI won’t serve any traditional instructor role, it is for sure a solid tool in the learning ecosystem. When implemented into learning software, AI can help training departments with other components of the learning strategy including:
- Data processing for learner analytics reports
- Course development suggestions
- Suggest improvement for training content within an LMS
- Creating compelling promotional material to drive learner engagement
- Identifying and analyzing KPI areas for improvement using data from the LMS
- Summarizing metrics and data values in your learning analytics platform
- Automating administrative tasks with learning software
AI excels in many L&D functions but ILT.
AI-based tools have been touted as the most exciting innovation in tech. Despite its benefits, the limitations of AI outweigh the benefits of instructor-led training. Where AI falls short in L&D functionality is its delivery of facilitated training that produces results.
Compared to qualified trainers and SMEs, AI models can’t fully develop impactful, engaging, meaningful learning experiences in an in-person course or even a virtual session online. If anything, the explosion of AI and LMS software reminds us that the very essence of learning and development is based on human-to-human communication.
For a positive learning experience, learners should be guided by professionals with expertise to guide them through complex and tangible topics. In many ways, retaining that human element in learning delivery is how training providers can stand out in an age where automation and technology have taken over.
Unlike AI, humans can give direct feedback, facilitate discussions, and guide learners through training in real time. Where AI and LMS software often emphasize ease of use for learning specialists, ILT emphasizes the undeniable value of face-to-face instruction. What can training departments achieve with an ILT-based learning strategy?
- Improve training ROI to meet organizational goals
- Increase learner satisfaction
- Improve skills retention
- Reduce unnecessary training budget expenses
There are currently more than 2,000 different AI models used to help training providers and L&D teams manage processes, but not one is sophisticated enough to train human learners face-to-face in a classroom or in a virtual meeting room on how to perform a particular skill.
As AI implementation becomes more common in the world of professional learning, we may eventually go from the first AI chatbot to the very first virtual AI instructor. However, given the results of what some AI models have been producing and the qualities learners look for from instructors, we doubt an AI will lead an in-person training course anytime soon.
Trend #5: Business decisions will require input from L&D
To meet organizational goals and diversify their services, the C-suite of most organizations will find the need to consult with their training department. Whether led by a chief learning officer or head training manager, L&D providers will play a pivotal role in suggesting tactics to meet the skill gaps in their service capabilities.
We expect L&D to play an integral part in creating and maintaining talent development for new product development and continuous learning. In response to competitors, businesses are expected to pursue new product development and strengthen or diversify their service offerings. These pursuits will more than likely make a case for L&D to create more scalable and effective training programs.
Every business decision that affects its product or service offerings will require some level of talent development plan on the L&D side. In a time where total global GDP is expected to grow 130% by 2050, most companies have their sights set on achieving profits and beating out industry competitors in the years to come.
How ILT can serve as the premier learning strategy to meet business goals
Similar to how MBA programs produce CEOs, instructor-led training programs are key to producing highly skilled professionals. When an organization decides to develop new products or services or looks to expand existing lines of business, they’ll need to deliver L&D to ensure the employee is equipped with the skills and knowledge to deliver for the customer. For example, 87% of telecom providers are expected to expand services in another area in 2025.
In the US, the Bureau of Labor Statistics reports that there are roughly 278,000 technicians responsible for the installation, maintenance, and quality of satellites and towers. An expanding industry like telecoms requires more than eLearning to understand the nature of the job. Learning for the job needs to be continuous, with hands-on guidance in live seminars and face-to-face learning sessions for the tactile requirements of the job.
Technicians-in-training always learn best from ILT-based learning. To stay competitive in 2025 and beyond, companies need to stay competitive with how effective their learning strategies are deployed and may need to think twice before relying purely on eLearning.
Trend #6 (bonus): A better way to deliver and manage instructor-led training at scale
Going into 2025, managing Instructor-Led Training and Virtual Instructor-Led Training will rely on coordinating multiple training resources between L&D teams and learners. Doing this manually via spreadsheets and calendars just won’t cut it for anything beyond simple, one-off training workshops, and growing demand for human-led ILT and VILT means that a better solution will be needed to deliver ILT at scale.
A Training Management System (TMS) like Training Orchestra allows training departments and L&D teams to better coordinate training activities. From assigning trainers and instructors to managing site locations to staying on budget. TMS software is an essential investment for any training team looking to develop a more robust L&D program that utilizes ILT and VILT. Having a TMS can be a game changer in how your L&D team delivers training by significantly reducing admin work for training without the need for spreadsheets or calendars for scheduling.
Need to assess your training operations? Take a Self-Assessment to benchmark your organization’s readiness for scale.
Ready to tackle 2025’s training market trends with ILT and VILT?
Training Orchestra is here to help! Book your demo today to discover how our Training Management System can help you streamline your instructor-led training program to meet your talent development goals for 2025!
