Corporate LMS: The Best Options for your organization 

By - chris
02.20.2023 10:00 AM

Corporate LMS: The Top Options to 
Transform Your Organization

Corporate learning management systems, or LMS, are software that provides personalized learning and development programs for businesses to use internally. LMS can transform unorganized training programs into well-oiled systems. 

Often when companies do not use a corporate LMS, they experience chaotic learning environments, poor engagement, and an unclear way to report on or track progress.

What is a Corporate LMS?

Corporate learning management systems are software for corporate training programs designed to house training courses and modules, such as for employees, students, or customer education. 

Corporate LMS can be used to onboard new hires in an organized way, by presenting them with the knowledge and skills for their role and providing them with a better understanding of the company.

Companies that use a corporate learning management system save money by reducing costs associated with training and onboarding. The use of a corporate LMS removes the need for in-person training and the overhead of classroom environments. 

These systems allow new employees to complete learning content at their own pace, whenever it is convenient for them, and in any geographic location. 

Who Uses a Corporate LMS?

Small businesses, large corporations, nonprofit organizations, and government organizations can all benefit from the use of a corporate LMS. Any sized company can incorporate LMS technology into their business operations to maximize efficiency and reduce costs. 

Types of Corporate LMS

Several aspects of corporate learning management systems can vary, depending on the type. These aspects include being open-source, commercial, cloud-based, or locally-hosted. The type your company decides to adopt will depend on your business needs and student experience.

These are the most common types of corporate LMS:

Locally-Hosted LMS

If an LMS is locally-hosted, that means it is maintained in-house. Locally-hosted learning management systems are hosted on your company’s servers, allowing for control over how and where data is stored. 

Locally-hosted LMS include both 3rd party software available for an often high fee, and custom-built learning management systems that are created to fit your business’s exact needs. A benefit of locally-hosted LMS is having authority over the server and its security, but it can be costly to maintain and requires a lot of server space.

Open-Source LMS

Open-source LMS are open-code and license-free LMS solutions that, though accessible for businesses with limited budgets, will require someone with an IT specialty to maintain. This could be a good option for companies that want to develop a custom learning management system, but don’t want to start completely from scratch.

A benefit of open-source LMS is the ability to customize it by altering the open-source code. The downside of using an open-source LMS is it can be complicated to update and requires certain expertise to maintain.


Software as a service (SaaS) learning management systems provide a quick way to get your corporate learning system up and running. These LMS are hosted by a provider and make clear, simple, and plug-and-play customization options accessible. 

SaaS LMS vendors take responsibility for system maintenance and server storage. Often SaaS LMS include integrations that will provide your company with the learning experience that best fits your needs.

The major benefit of a SaaS LMS is the speed at which you can launch it in your organization. Some SasS learning management systems are limited in their personalization capabilities which can distract readers and limit learner engagement.

Commercial LMS

Commercial learning management systems are proprietary systems that are well-known and sometimes overlap SaaS LMS. Commercial LMS promise more stability than some of the other LMS options because they have been on the market longer.

This software is highly scalable and can manage a large number of users. As such, there is usually a high level of support available with commercial LMS.

The downside of commercial LMS is the lack of customization capabilities, a design that may be too tool-centric for what some businesses need, and a high cost. The proprietary technology may make it difficult to transfer content from a commercial LMS to another system if the need to switch were to arise. Additionally, the system upgrades are determined by the vendor, so some businesses may find requests for support aren’t resolved promptly.

Cloud-Based LMS

Cloud-based LMS are hosted on the cloud, meaning you would not be required to install hardware or software to access the LMS. Cloud-based systems are accessed by logging into a web portal.

SaaS and cloud-based LMS have a lot of overlap and SaaS management systems are often hosted by cloud providers.

These learning systems are usually subscription-based and have tiered pricing plans depending on the business’s size and needs. This makes cloud-based LMS cost-effective and easily configurable.

Features to Expect in a Corporate LMS

Investing in employee development is essential for organizational success. Corporate learning management systems can be used not only for onboarding new employees, but also for ongoing employee training and development that will help your organization stay competitive.

These are the most important features to look for in the corporate LMS your company decides to use:

  • Personalization: The ability to customize design, learning format, and language.

  • Multimedia capabilities: Images, slide deck presentations, audio, and video content keeps learning engaging and interactive.

  • Mobile support: Access to corporate learning via mobile devices is essential.

Frequently Asked Questions

What is SSO and LMS?

Single Sign-On (SSO) is a type of access for LMS systems that allows users to log in to multiple systems with a single ID and password. SSOs are convenient, efficient, and provide security for users of learning management systems.

What is the difference between LMS and a learning platform?

LMSs and eLearning platforms have similar functions but are different types of tools for learning content. Learning management systems are usually more comprehensive, require more time to get set up, and have higher costs than eLearning platforms. 

Will a corporate LMS improve organizational efficiency?

The use of a corporate LMS can reduce resources required for onboarding and allow new hires to consume learning modules at their own pace, in their own time, wherever they are physically located. All of these benefits can cut onboarding costs and improve organizational efficiency.