Podcast 80: Using XR to Level Up Skills Training

EPISODE 80: How to Level Up Skills Training With XR

Richard Adair, CEO, The Learning Network

As with so many recent advances in learning technology, hype tends to grab the spotlight before the business benefits are clear. This has been the case for extended reality (XR). But this concern is fading quickly, thanks to powerful immersive learning success stories from multiple industries.

That’s why I’ve asked Richard Adair to join us for today’s show. Richard is an expert in XR-based training applications. And as CEO at The Learning Network, he helps companies across all industries leverage XR to transform workforce skills development.

Immersive learning solutions are fascinating. And they’re leaving their mark on a wide range of organizations. So join me as we dive in deeper on this episode of The Talented Learning Show…

How to Level Up Skills Training With XR — KEY TAKEAWAYS

• People often say XR is cool, but they assume it’s too expensive and futuristic for practical use. I used to agree. No more. Just look around and you’ll find a growing number of organizations achieving strong business results from training based on extended reality.

• XR comes in multiple flavors, each with distinct strengths. So before committing to a particular approach, it pays to define your needs carefully and consider how others address similar challenges.

• XR-based training can yield significant ROI — not just from faster skills development and improved job performance, but also reduced operating costs that drive better bottom-line outcomes at scale.

• With an XR solution that sits on top of an LMS, organizations can capture time, motion and distance data. This provides much deeper insight into the impact of immersive training experiences.

How to Level Up Skills Training with XR — Q&A HIGHLIGHTS

Welcome Richard. Before we dig into XR specifics, why don’t you tell us about your organization?

Thanks. Sure, John. The Learning Network has been around for 28 years. And with offices in Canada, the US and the UK, we’ve developed over 2,000 courses for clients in all industries.

We offer three learning management systems, so we can cover nearly any business scenario. The low-end LMS is cheaper and easy to spin up, while the mid-level handles more sophisticated needs. And for Fortune 500-type companies, we have an enterprise-level system.

Impressive — 28 years and 3 learning management systems…

We like to say we focus on learning that’s driven by data and backed by science. So, if you look at how technologies have evolved – going back to Flash, through Storyline and now XR – we’re always applying learning science to these technologies as they develop. And now we’re applying it to XR, which is very exciting.

This differs from other XR companies that come from a gaming background. They may be great at creating virtual environments, but don’t have the background in instructional strategies and techniques that maximize the effectiveness of the learning.

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Let’s step back for a moment and define XR. Many people aren’t sure how it differs from VR, AR and MR. Could you clarify?

Sure. XR is short for extended reality. It’s an umbrella term that includes VR (which is virtual reality), AR (which is augmented reality), and MR (which is mixed reality). So to be more specific…

• With VR, you wear a headset and you’re immersed in a virtual world. There’s no interaction with your physical environment. Think of games you could play on the Meta platform.

• AR basically overlays digital content onto the real world. For example, we’ve done a hunting poster, believe it or not, where the animals jump out in a way that seems like 3D when someone looks at it. That experience is augmented reality.

• Mixed reality is a bit more sophisticated. With this, we integrate virtual objects into the real world and enable users to interact with them. One example is in the automotive industry, where one of our clients is training technicians in how to service electric vehicles. So when someone is learning how to build a circuit board, they move virtual objects from a tool tray onto a physical board.

All of these are different flavors of XR. They involve different budgets, but you can basically pick what you want to achieve the best ROI for your needs.

Got it. So, how popular is XR in corporate learning these days?

Well, it’s interesting. Everybody knows XR is coming. But L&D groups usually say they need to understand what it can do for them. They’re still trying to figure out how it fits their business and industry.

Also, we’re seeing hardware costs coming down significantly, which makes XR more accessible. And we’re seeing broader adoption across industries. So, it helps when Meta and now Apple come out with headsets. This gets consumers more familiar with XR, and in turn, it filters back into business environments.

Want to see up close how XR can work for you? Visit The Learning Network website for more information and request a demo…

No doubt. So, what is the cost of an XR headset these days? $5000? $500…?

Actually, virtual reality headsets are quite affordable now, about $600. Higher-end mixed reality headsets are a couple thousand dollars, but that’s much lower than $5,000, which was common about 4-5 years ago.

Great. That’s another step closer to being ubiquitous. So, what kind of business challenges are driving organizations to invest in XR at the high end?

Well, I ask potential clients to think about whatever they can’t do with traditional training.

For instance, think about high-risk situations. Say you want to train somebody in how to make repairs at a nuclear power plant. You can’t expose people directly to radiation. But you can virtually simulate that environment with training that doesn’t put anyone at risk.

Mmhmm…

Not surprisingly, most of the applications we’re seeing focus on operational efficiency and cost savings. My favorite example involves heavy equipment inspection systems.

Think about mining operations, with all those large trucks hauling ore from mines that are five stories high. Those vehicles need to be inspected and their drivers need to be trained. But when a truck isn’t moving ore around, the lost revenue is about $468,000 per shift. So, taking that machine out of production for training and inspections is very expensive.

But we can do it in virtual reality. This means the training is safe and the organization is performing planned maintenance. At the same time, it saves the expense of taking these trucks out of production.

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Wow. So the ROI equation is the same as any training, but the risk factor makes the numbers much higher. What other industries benefit from this? I imagine aviation and the military…?

Yes. In the past, aviation and the military often relied on very expensive flight simulators. But an XR solution is much more affordable.

We’re also seeing applications in healthcare, manufacturing, automotive and energy. The benefits come in when organizations can avoid lost revenue or unplanned downtime or excessive scrap. Generally, we’re able to demonstrate ROI within less than a year, or sometimes even a month.

Also, the course element is not as expensive as you might think.

How so?

We can develop a virtual reality course for $75,000-$100,000. And AR mixed reality is usually in the $30,000-$50,000 range. So, we’re not talking millions of dollars.

I think many people assume that with the hardware and the course, an XR solution costs hundreds of thousands or even millions of dollars. But actually, it’s not far from the typical pricing structure for elearning.

This means XR becomes quite compelling, as long as you can show the ROI with savings in specific uses where you cannot otherwise do standard training.

Makes sense. So, what kind of capabilities should L&D teams have for XR?

There are two key elements:

• Organizations need to understand what kind of application makes sense for their particular situation.
• Plus, they need people with a skill set that is much more like software development than elearning course development. And typically, they don’t have those skills in-house.

So, most organizations need a partner with the expertise to help them, both with a needs analysis and with design, development and deployment.

Let’s talk for a minute about measurement. What kind of data do XR applications produce and how can organizations use that data effectively?

Great question. With XR solutions like ours, the depth and breadth of data collected goes beyond standard elearning metrics such as course completions and pass-fail rates. We can track distance, time and motion, so you can look more deeply at ergonomics and efficiencies…

…For complete answers to this and more questions about how to level up skills training with XR, listen to the full 30-minute podcast on Apple Podcasts, on Spotify, on Amazon Podcasts, or right here on our site.

Watch This Podcast on YouTube

Preview XR In Action Right Now

Check out this demo from The Learning Network as Richard Adair walks through several solutions with me on our YouTube channel…

Looking for an LMS to Drive XR-Based Training?

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