Abstract: The leaning systems in Iraqi universities face many challenges of managing the learning efforts such as activities, services, and infrastructures. The universities budgets are restricted which maximize the difficulty of provide efficient learning services. The universities need to manage their learning environment aspects effectively to minimize the learning resources costs and maximize the level of learning environment management. This paper presents proposed E-learning system for Iraqi universities in order to manage the learning environment and reduce the expenses of the learning processes; the quantitative approach using questionnaire used to analyze the current challenges of learning environment; the qualitative approach using interview used to analyze the most suitable E-learning features and characteristics to avoid the current challenges of leaning environment in Iraqi universities.