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ROI Determination
Today, more than ever—there is a need to assess the business impact of trainings. See how we can help you assess the impact of your trainings and enable you to secure a high ROI.
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To determine the ROI of your training, you need to measure its impact on both learners and business.
How does EI measure the business impact of training programs?
We use an adaptation of the Kirkpatrick’s model of training evaluation to measure not only training effectiveness but also its impact on business.
Our Approach
During the TNA phase, we identify the L&D Metrics along with the Business Metrics to evaluate the impact of training on learners and if it impacted the business KPIs.
To achieve the goal of positive ROI, we work with our customers on key enablers that need to be in place:
- Learner motivation (do they see value in training).
- Their response to the training (experience would help them do their job better/faster).
- Efficacy of the learning design (did it create sticky learning, effective application, and triggers for change in thinking and behavior).
Here is an overview of the key steps that we follow.
Level 1: Reaction
We begin the exercise with ascertaining the learners’ reaction. Typical insights sought are if the learners found the training to be relevant, engaging, and easy to internalize and apply.
Approach taken: This is done through polls and online surveys.
From an evaluation perspective, this feedback allows us to confirm that the basic goals have been met and if there are any gaps, they should be addressed through remediation/additional intervention.
Level 2: Learning
At this stage, we validate if the training’s learning outcomes were met. The right assessment strategy is critical in determining if the required cognition levels were met.
Approach taken: The key measure here are the scores of the summative assessment.
From an evaluation perspective, this feedback allows us to gauge if the training met the requisite learning outcomes. If any gaps are identified, the required action can be taken.
Level 3: Behavior
At this stage, validate if there is a change in the learner behavior that is directly attributable to the training. This is typically done by polling the learners and their supervisors after 30/60/90 days, and a validation of the required gain is done.
Approach taken: The gain is measured through a combination of L&D Metrics and, more specifically, Business Metrics.
From an evaluation perspective, this feedback is the crucial validation of internalization of learning, its application on the job, and its ability to trigger behavioral change.
Level 4: Impact
Here, a validation is done if the training created the required value for business and was it able to impact the business KPIs.
Approach taken: This is done by tracking the parameters captured in the Business Metrics.
From an evaluation perspective, this feedback provides the crucial validation that the business impact goal was met.
Finally, the ROI determination is done by monetizing the impact and dividing it by the training cost.
Best Practices to Measure and Maximize the Business Impact of Training
1
Set the Right Foundation
During the TNA, we concentrate on the learning objectives and what strategy would enable them to achieve these objectives. Post the training, there are set parameters to measure its effectiveness.
2
Choose the right Evaluation Model
Recognizing the Evaluation Model is imperative for workforce development. This helps us gain clarity on what is being measured, how will it be measured, and how will the evaluation outcome be processed.
3
Work with a holistic approach
Rather than focusing on discrete trainings, we use a holistic Learning and Performance Ecosystem approach that has several components – that touch the learners at different points of their learning journey.
4
Spot-check periodically
Post the training delivery and completion by the learners, we determine its impact on business. We use the Evaluation Model for the Business Metrics and collate/analyze the data on the impact.
5
Sustain and maximize the business impact
Once you start seeing the impact of the workforce development programs, we recommend an investment in measures to sustain this momentum and maximize the impact.
Want to learn how you can assess the impact of your trainings and achieve a high ROI?
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