Measuring ROI For Training

A business that makes nothing but money is a poor business - Henry Ford, founder of the Ford Motor Company.

Every L&D Practitioner knows that eventually the inevitable question will come: "What is the return on investment for the training done/to be done/proposed/budgeted for?" Our responses are usually filled with "hippy" statements of happier and more fulfilled; better skilled staff. We need to revolutionise the manner in which we answer this question. Kirkpatrick's model works well to justify training in OUR WORLD, but the financial manager usually wants a more definitive Rands and cents answer!

In order to start, you need to keep track of:

· Direct costs

· Indirect costs

· Efficiency - how much learning took place

· Performance to schedule - especially for Learnerships!

· The extent to which trainees mix

· Behaviour change

· Performance change

Work out the estimated cost of non-performance based on losses/time lost/etc. by keeping the following in mind:

· Design and development costs

· Promotional costs

· Administration costs

· Training Delivery costs

· Materials

· Learner costs (perhaps you provide things like files/transport)

· Assessment and Moderation costs

Contact Details

Contact Person: 

Gizelle Mc Intyre
Course Details

Course Delivery Method: 

On Demand


On Request

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