"L&D ROI is more than a buzzword-it's the key to turning Learning and Development (L&D) from a perceived cost center into a proven value driver. Yet many companies still see L&D as just a checkbox for onboarding or compliance. To get executive buy-in for new learning technologies and initiatives, L&D professionals need to demonstrate clear, measurable returns. From reducing turnover to boosting productivity and enabling reskilling, a strategic L&D program-powered by the right tools-can deliver real business impact and a strong Return On Investment."
"What Is L&D ROI? Return On Investment (ROI) tracks the value generated by L&D initiatives compared to the money spent on the initiative. It seems straightforward, right? But there's more to it than meets the eye. Let's break it down. How To Measure ROI (%) In L&D Here's the formula: Learning ROI (%) = 100 x (Benefits from Learning - Cost of Learning) / Cost of Learning"
"Costs Of Learning Figuring out the "cost of learning" part is usually pretty clear-cut. It's all about tallying up the resources for the training and the time spent by everyone involved. Benefits From Learning "Benefits from learning" is a different story. L&D brings a mix of tangible and intangible benefits. Tangible benefits: easier to track Time savings through streamlined processes, improved productivity, or learning new systems. Enhanced employee performance, leading to increased sales, better customer satisfaction and retention, and safer work environments."
Return On Investment (ROI) compares value generated by L&D initiatives to the money spent using the formula: 100 x (Benefits from Learning - Cost of Learning) / Cost of Learning. Cost of learning includes training resources and employee time and is usually straightforward to tally. Benefits from learning include tangible outcomes such as time savings, improved productivity, adoption of new systems, increased sales, better customer satisfaction and safer workplaces. Intangible benefits include higher employee satisfaction, reduced turnover, succession planning, retention of institutional knowledge, reskilling, and improved soft skills. Demonstrating clear, measurable returns enables executive buy-in and positions L&D as a value driver.
Read at eLearning Industry
Unable to calculate read time
Collection
[
|
...
]