Proving ROI in L&D

by Emily Wigley on May 24, 2021 2:22:49 PM

1 min read
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For years, L&D teams have been criticised for not being able to prove the impact of what they do. Evaluation has been determined by learner feedback, or the Kirkpatrick model of tracking impact, which was developed back in the 1950s. 

The fact remains that measuring whether a particular learning intervention has delivered real return on investment – or ROI – is genuinely tough. The key reason that it is difficult to prove ROI cited is because L&D professionals are identifying what they’re trying to do too late in the equation.

With the pandemic shifting budget priorities and how we work – not to mention how employees learn – the pressure to show that value is greater than ever. We’re in a climate where every penny counts, and business leaders want to know what’s being done is delivering value.

According to the CIPD’s Learning and skills at work report, published earlier this year, 70% of organisations do evaluate the impact of their L&D initiatives in some way. However, measures tend to only focus on learner satisfaction and feedback. Whilst engagement is an important measure just 16% of organisations assess any behaviour change in participants and how learning is transferred to their day-to-day work and worryingly only 14% of organisations link these to overall business strategy.

With this continuing pressure to prove ROI we work with our clients to devise and define KPIs within the scoping of the LMS, ensuring analytics and reports are implemented to provide insight, reporting and evaluation of the system against the organisations key metrics, whether they may be reduction in staff turnover, increased competence, compliance, or quicker more successful onboarding. This essential scoping function within our overall service is everything to us and it is what sets us apart from other providers.

We can deploy a wide range of KPIs to prove learning effectiveness and return on investment and we regularly review this data with our clients and can adapt these according to different markets or locations, ensuring multiple objectives are evaluated.

Here are some KPIs delivered to Volvo Car Corporation since implementation of the empowered LMS in 2015.

 

Time to competence reduced from 6 months to 6 weeks.

(data gathered from Volvo Cars Corporation - UK technician training programme)


Staff turnover reduced by 18%

(data gathered from Volvo Cars Corporation North America dealerships 2015 – 2017)


Engagement enhanced by 64%

(data gathered from Volvo Cars Corporation - compared to Volvo Cars Corporations previous Learning Management System)

 

Let Redware prove your L&D ROI in your organisation.

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Emily Wigley

by Emily Wigley
May 24, 2021 2:22:49 PM