SCORM (Sharable Content Object Reference Model) has become a standard for e-learning development, ensuring that online courses are compatible with Learning Management Systems (LMS). However, developing SCORM-compliant courses requires technical expertise, tools, and time. Organizations face a crucial decision: should they develop SCORM content in-house or outsource it to specialized vendors?
This article explores the cost factors involved in SCORM development and evaluates whether outsourcing is a more affordable option.
Understanding SCORM Development Costs
The cost of SCORM development can vary significantly based on multiple factors, including content complexity, interactivity, multimedia elements, and development time. Below are the primary cost components:
1. Personnel and Expertise
SCORM development requires instructional designers, multimedia developers, and programmers familiar with SCORM specifications. The cost of hiring and maintaining an in-house team includes:
Salaries: Hiring full-time instructional designers and developers can be expensive.
Training: SCORM standards evolve, and teams require ongoing training.
Project Management: Additional staff may be needed to oversee SCORM compliance and ensure project deadlines are met.
2. Software and Tools
Creating SCORM-compliant content requires various software tools, including:
Authoring Tools: Articulate Storyline, Adobe Captivate, Lectora, and iSpring Suite.
Multimedia Editing Software: Adobe Premiere Pro, Photoshop, and Camtasia for video and graphic development.
LMS Testing Platforms: SCORM Cloud for testing and debugging content before deployment.
Development Environments: If custom coding is required, additional tools such as JavaScript or HTML5 editors may be necessary.
3. Time and Resource Allocation
Developing SCORM-compliant content is time-intensive, involving:
Research and instructional design.
Scriptwriting and storyboarding.
Multimedia asset creation (videos, animations, quizzes).
Development, testing, and debugging for SCORM compliance.
LMS integration and troubleshooting.
These processes take weeks or months, depending on the complexity of the project, leading to indirect costs such as delayed course rollouts.
4. Maintenance and Updates
SCORM courses need periodic updates due to changing content, software updates, or LMS requirements. Maintaining an in-house development team incurs ongoing expenses related to:
Software subscriptions.
Staff salaries for continuous support.
Bug fixes and SCORM version updates (e.g., SCORM 1.2 vs. SCORM 2004 compatibility).
The Case for Outsourcing SCORM Development
Given the high costs of in-house SCORM development, many organizations opt for outsourcing. Below are the advantages of outsourcing SCORM development:
1. Cost Efficiency
Outsourcing eliminates the need for hiring a full in-house team and purchasing expensive software licenses. Instead, companies pay a one-time or recurring fee to specialized SCORM developers who already possess the required expertise and tools.
2. Access to Expertise
Outsourcing firms specialize in SCORM development and are familiar with industry best practices, reducing errors and ensuring high-quality content. These firms typically have experience with:
Complex SCORM interactions and compliance.
LMS compatibility testing.
Advanced multimedia integration.
3. Faster Turnaround Time
Outsourcing SCORM development allows companies to launch e-learning content faster since dedicated vendors have established workflows and pre-built templates. This reduces delays compared to in-house teams that might struggle with a learning curve.
4. Scalability
For organizations that need multiple SCORM courses, outsourcing provides flexibility. Companies can scale up or down based on their needs without worrying about hiring, training, or managing additional employees.
5. Reduced Maintenance Costs
Most outsourcing firms provide post-launch support and maintenance, ensuring SCORM courses remain up-to-date with evolving technologies and LMS requirements. This reduces the burden on internal teams and ensures compliance with the latest standards.
Cost Comparison: In-House vs. Outsourcing
Cost Factor | In-House Development | Outsourcing |
Salaries (Developers, Designers) | High (Annual salaries, benefits) | None (Project-based or subscription pricing) |
Training | Ongoing (For SCORM standards, software tools) | Included in vendor expertise |
Software Costs | Expensive (Authoring tools, LMS testing, multimedia software) | Included in vendor pricing |
Development Time | Longer (Due to learning curve, resource availability) | Faster (Pre-established workflows) |
Maintenance Costs | Continuous (Salaries, software updates) | Included in vendor support plans |
Scalability | Limited (Fixed team size) | Flexible (Scale per project needs) |
When Should You Consider In-House SCORM Development?
While outsourcing provides cost savings and efficiency, some organizations may benefit from in-house development if:
They require frequent updates and modifications to e-learning content.
They already have an experienced SCORM development team.
They prefer complete control over content creation, security, and intellectual property.
They have long-term training goals that justify investing in internal expertise.
Choosing the Right SCORM Outsourcing Partner
If outsourcing seems like the better option, selecting the right vendor is crucial. Here’s what to look for:
Experience: Look for firms with a proven track record in SCORM development.
Portfolio: Review past projects to assess content quality and interactivity.
LMS Compatibility: Ensure the vendor tests content on various LMS platforms.
Support & Maintenance: Check if the vendor provides ongoing support and updates.
Pricing Model: Compare fixed-price, hourly, and subscription-based models to find the best fit for your budget.
Summary: Is Outsourcing SCORM Development More Affordable?
Outsourcing SCORM development is generally more affordable than in-house development, especially for organizations with limited technical expertise or infrequent SCORM content needs. It eliminates high upfront costs, reduces software and maintenance expenses, and ensures high-quality content with faster turnaround times.
However, businesses that require constant content updates or have the resources to maintain an internal team might find in-house development more cost-effective in the long run.
The key to making the right decision lies in evaluating organizational needs, available resources, and long-term training strategies.
About LMS Portals
At LMS Portals, we provide our clients and partners with a mobile-responsive, SaaS-based, multi-tenant learning management system that allows you to launch a dedicated training environment (a portal) for each of your unique audiences.
The system includes built-in, SCORM-compliant rapid course development software that provides a drag and drop engine to enable most anyone to build engaging courses quickly and easily.
We also offer a complete library of ready-made courses, covering most every aspect of corporate training and employee development.
If you choose to, you can create Learning Paths to deliver courses in a logical progression and add structure to your training program. The system also supports Virtual Instructor-Led Training (VILT) and provides tools for social learning.
Together, these features make LMS Portals the ideal SaaS-based eLearning platform for our clients and our Reseller partners.
Contact us today to get started or visit our Partner Program pages
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