7 Steps to Analyzing ROI for corporate learning programs

Corporate training, which is recently popular in the name of Workplace Learning, has proved to be beneficial for the employees.

The system of activities designed to educate employees or train them has added more productivity and less time consumption to do a particular work.

While it helps employers, it is also beneficial for employees as they can obtain knowledge and skills for both professional and personal development.

Our topic for today is “Analyzing ROI for corporate learning programs”, and let's start speaking about it. As we all know Analyzing ROI when it comes to planning and hosting a program is always beneficial.

The systematic approach of ROI Methodology® helps the organization in giving their best.

Here are the key elements to the analysis, the selection of the right factors to measure before, during, and after a corporate learning program is instituted.

1. Collect data at lower levels

Understand why you are organizing the corporate training program or initiative. Collecting data at the lower level help can help you to create a solid foundation for your program.

The key is to address the key questions about the evaluation and define how to know when success has been achieved.

2. Concentrate on only the important and vital aspects of your program

You must concentrate on only the important and vital aspects of your program. The plan begins with developing and reviewing the program objectives to ensure that the application and impact objectives have been defined.

Take into notice facts like “how long it takes a worker to produce a product” The shortest time the product has been produced” “Problems that were faced by the employees while producing the product”.

3. Use Surveys to corporate learning programs

Use only credible sources, user surveys and questionnaires, Facilitation assessments, Written test and exercises, Skill practices, Performance demonstrations, Simulations, Team assessments to get answers to your fundamental questions.

The theory of ROI suggests that “the implementation of a learning program is successful only when a greater number of items and services are produced per worker during the specified period. This increases the ROI index (DV).”

4. Do not forget to isolate the effects of a program

The first step in data analysis is to isolate the effects of the learning program on impact data. Isolation is often overlooked when evaluating the success of technology-based learning programs, yet this step answers the critical question, “How much real value or money did the corporate learning programs bring me?”

5. Measure your learning program

While calculating ROI you must use the exact cost that you have to expend for solutions, and also the exact number of money that you have received from the project or program. Only then you can receive the correct monetary value.

In the case of a corporate learning program what you should do is measure the time employees takes to produce a product or service after they have completed the learning program.

In your calculation if you see that the worker produces more products and the service providing duration has decreased on a selected period, then, this would reflect a positive ROI.

6. Remember Intangible measures cannot be converted to monetary values

Typical intangibles are Job Satisfaction, Organizational Commitment, Employee Engagement, Teamwork, Customer Service, Complaints, Brand Awareness and more that cannot be converted into monetary values.

But if your program is successful you will surely notice an improvement in the behaviour of your employees.

7. Communicate the results with your employees

Analyzing ROI is not individual progress it is the result of teamwork where every employee must participate. Therefore, if the corporate training program becomes successful you must provide appropriate information to all the employees and key stakeholders.

Key Takeaway

If the key elements are followed with precision while designing and evaluating corporate learning programs, surely your organization will benefit.

A positive ROI of corporate learning programs will always initiate value-added productivity, procedure improvement, increased profits, and customer satisfaction.