How to find the Return On Investment (ROI) of your Next Training Initiative
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Read this presentation to know : ROI Comparison of Traditional Training vs. eLearning How to calculate ROI on your training model What usage can be expected from eLearning How to reduce scrap learning Visit www.24x7learning.com/resources.html To download the presentation Or Write to vinita.tyagi@24x7learning.com if you want a copy of this presentation Connect to Us: Facebook: facebook.com/24x7LearningIndia Twitter: twitter.com/24x7learning LinkedIn: lnkd.in/6qD2pY
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How to find the Return On Investment (ROI) of your Next Training Initiative
- 1. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. > © 2013, Copyright, 24x7 Learning Private Limited. Presented by Nidhi Khanna L&D Consultant – 24x7 Learning How to find the RoI of your Next Training Initiative? nidhi.khanna@24x7learning.com
- 2. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. What do we stand for We help the corporates leverage technology enabled learning to achieve positive business impact
- 3. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Top 100 emerging companies in Asia – Red Herring 2006 Top 10 emerging companies in India – Business Today 2007 Listed among NASSCOM’s 100 IT Innovators Winner Deloitte Technology Fast 50 India and Fast 500 Asia 2007, 2008, 2009 Invited by Bureau of India Standards to help setup India eLearning Standards The Journey so far PC Quest Best Implementation Award 2008 & 2009 Highest Performance and Moderate Financial Capability ~ SE1B CRISIL rating
- 4. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Learning Solutions • 24x7 LearnTrak(Learning Management System) • Custom eLearning • Off the shelf courses (IT, Oil & Gas, Steel, BFSI, Telecom, Pharma, Business skills) • Books 24x7 (eBooks on Finance, IT, Business & Engineering) • 50Lessons (Over 1200 digital business lessons featuring more than 250 recognized global business leaders)
- 5. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. 1. A comparison in the ROI of traditional training versus eLearning 4. What is scrap learning and ways to reduce it 3. What usage can be expected from eLearning 2. How do we calculate the ROI for our training model Our agenda….
- 6. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. What is ROI?
- 7. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. eLearning benefits versus traditional training 1. Saves time without decaying learning benefits 1. Saves time without decaying learning benefits 5. Consistent course delivery5. Consistent course delivery 4. Flexible4. Flexible 2. Cost effective2. Cost effective 3. Minimizes travel costs3. Minimizes travel costs
- 8. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. ROI comparison of traditional training vs. eLearning Classroom Training E-learning Wages of Trainees ($20/hr, burdened) $ 400,000 $ 240,000 Travel Costs (50% of people traveling) $ 250,000 $ ---------- Trainer Wages $ 47,500 $ 11,400 Trainer Travel $ 20,000 $ ---------- Development Costs (custom training) $ 160,000 $ 400,000 Delivery Systems (1st year amortized) $ --------- $ 35,000 Totals $877,500 $686,400
- 10. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Training process
- 11. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Return on Investment Formula Formula 1: ROI: The Costs were X; the Benefits were Y Formula 2: ROI = Benefits – Costs Formula 3: ROI = Benefits/ Costs Formula 4: ROI = Benefits-Costs/ Costs
- 12. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. ROI of Training Model CollectCollect DataData Isolate the Effects of Training Convert Data to Monetary Values Calculate ROI of Training Tabulate Program Costs Identify Intangible Benefits
- 13. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Collecting Data • Identify appropriate performance indicators • Develop a collection plan CollectCollect DataData
- 14. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Example of performance indicators • Units produced • Items sold • Work backlog • New accounts opened • Productivity • Inventory turnover OutputOutput • Equipment downtime • Overtime • Time to project completion • Processing time • Repair time • Lost time days TimeTime
- 15. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Example of performance results Some performance results after training programSome performance results after training program
- 16. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Isolating the effects of training Methods to Isolate the Effects of Training 1. Using Control Group 2. Trend Lines 3. Participants Estimate 4. Supervisors of Participants Estimate
- 17. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. 1. Using Control Group • A control group arrangement can be used to isolate training impact • With this strategy, one group receives training, while another, similar group does not receive training • The difference in the performance of the two groups is attributed to the training program. Isolating the Effects of Training
- 18. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. 2. Trend Lines • Trend lines are used to project the values of specific output variables if training had not been undertaken. • The projection is compared to the actual data after training, and the difference represents the estimate impact of training. Isolating the Effects of Training
- 19. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Trend Lines Analysis Jan Feb Mar Apr JulJunMay Aug At the beginning of May, a Sales training Program session was held VolumeofSales The difference represents the estimate impact of training. Trend Projection Actual sales performance
- 20. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. 3. Participants Estimate of Training’s Impact • This method rests on the assumption that participants are capable of estimating how much a performance improvement is related to the training program • Because their actions have produced the improvement, participants (and their supervisors) may have very accurate input on the issue • They should know how much of the change was caused by applying what they have learned in the program Isolating the Effects of Training
- 21. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. 4. Participants and Supervisors of Participants Estimate of Training’s Impact Typical Questions to Estimate :Typical Questions to Estimate : • What percent this improvement can be attributed to the application of skills/techniques/knowledge gained in the training program? • What confidence do you have in this estimate, expresses as a percent? • What other factors contributed to this improvement in performance? Isolating the Effects of Training
- 22. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Converting Data to Monetary Values ConvertingConverting Data toData to MonetaryMonetary ValuesValues Steps to Convert Data to Monetary ValuesSteps to Convert Data to Monetary Values 1. Focus on a unit of improvement 2. Determine a value of each unit 3. Calculate the change in performance data 4. Determine an annual amount of change 5. Calculate the annual value of improvement
- 23. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Steps to Convert Data to Monetary Values An example to illustrate the steps to convert data to monetary values 1. Focus on unit improvement • Reaching the measure unit in the four-step customer complain resolution process Steps Illustration 2. Determine a value of each unit • Using internal experts, the cost of an average complaint was estimated to be $ 6,500 when considering time and direct costs (V = $ 6,500)
- 24. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Steps to Convert Data to Monetary Values 3. Calculate the change in performance data • Six months after the program was completed, total complains per month declined by ten • Seven of the then grievance reductions were related to the program as determined by supervisors (isolating the effects of training) Steps Illustration 4. Determine an annual amount for the change • Using the six month value, seven per month (complain reductions), yields an annual improvement of 84 (7 x 12 months)
- 25. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Steps to Convert Data to Monetary Values 5. Calculate the annual value of improvement • Annual value = value (units appreciated x 6,500) 84 x $ 6,500 = $ 546,000 Steps Illustration
- 26. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. TabulatingTabulating cost of thecost of the programprogram • Tabulating the costs involves monitoring or developing all of the related costs of the program targeted for the ROI calculation Tabulating Cost of the Program
- 27. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Tabulating cost of the program Cost components that should be included are : • Travel, lodging, and meal costs for the participants • Salaries, plus employee benefits of the participants who attend the training • Administrative and overhead costs of the training function, allocated in some convenient way • Cost of designing developing the program Tabulating Cost of the Program
- 28. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. An Example to Illustrate ROI analysis A sales training program delivered to 34 retail sales associates, which results in an increase in sales contributing an increase in profits to the organization of $120,000 per year. The total cost of the program was $90,000 The benefit cost ratio is BCR = $120,000: $90,000 = 1.33:1 In other words, for every $1.00 spent on the training program, $1.33 is a return
- 29. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. The ROI of the program is: ROI= Profit – cost of program x 100 Cost of program ROI = $120,000 -$90,000 x 100 $90,000 = $30,000 x 100 $90,000 = 33% This means that every dollar spent on the training program is returned and an additional $0.33 is returned as profit or a profit of 33% An Example to Illustrate ROI analysis
- 30. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Intangible Benefits Intangible variables includes such as • Stress reduction • Employee engagement • Grievance reduction • Improved customer satisfaction • Complaint reduction • Conflict reduction/avoidance
- 31. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. What usage can be expected from eLearning
- 32. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Learning Growth Model *Adapted from Skillsoft
- 33. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. To gauge what kind of adoption of eLearning may take effect in your organization, take one can look at the indicators of the learning growth model as a diagnostic way Review the descriptions of the following indicators within each of the five stages: • Business Drivers for Learning • Business Case for Learning • Learning & Development Department’s Role • Blended Learning Design • Marketing of Learning • Evaluation of Learning Gauge adoption within your organization…
- 34. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Guide to reducing scrap learning Scrap learning—The failure of learning transfer
- 35. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. What is scrap learning • “Scrap Learning" is learning that successfully occurs but is not applied • Learning that fails to meet the expectations for improved performance • Just like manufacturing scrap, learning scrap also has a high cost – ̶ Direct costs for trainers, travel, material, etc. ̶ Opportunity costs of people spending time learning things that they cannot or will not use ̶ Cost of customer dissatisfaction when departments that invest in training observe no subsequent improvement
- 36. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Learning interrupted
- 37. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Why should organization be concerned about it •Silent drain on learning investments •Costs organizations productivity •Prevents achievement of what matters most to the Executives…
- 38. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Five key ways to reduce scrap learning
- 39. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Final word Building a culture of eLearning with 24x7 Learning We consult you to … 1. Integrate eLearning into other HR programs like PMS, Leader feedback, mentoring 2. Create internal communication to encourage staff & leaders to learn 3.Utilize onboarding to orient new hires 4. Design Rewards, recognition and/or incentives to learners 5. Make training relevant, self-paced & flexible 6. Set stretch goals to push learning 7. Encourage both formal (e-learning, coaching) & informal (on-the-job special projects) learning
- 40. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. Get your free SPHR certification courses by answering a simple survey on 'eLearning - Effectiveness and Best Practices in Corporate India' We invite you to participate in the survey on 'eLearning - Effectiveness and Best Practices in Corporate India’, conducted in association with the University of Hyderabad. This is a short survey and would not take you more than a few minutes. And as a token of our appreciation, we are also giving way free courses on SPHR. Free Courses for grabs: Human Resource Development: Regulations and Organizational Development Human Resource Development: Employee Training
- 41. www.24x7learning.com © 2013, Copyright, 24x7 Learning Private Limited. contactus@24x7learning.com www.24x7learning.com www.learntrak.net 24x7 Learning Pvt. Ltd lnkd.in/6qD2pY twitter.com/24x7learning facebook.com/24x7LearningIndia Ulsoor Lakefront, Bangalore,India Phone: +91 80 4069 9100
Editor's Notes
- In these days of tight budgets training is one of the first areas to come under pressure for cost cutting. Often this is a short term view as good training often contributes to the bottom line. In some industries training is mandated so companies are looking at getting the “Best Value” out of training. We must persuade senior management that training is value for money, and to look at the best method of achieving a training goal we must look at the Return on Investment or ROI. For some items, working out ROI is simple, for example, for mandated training is it more cost effective to use Instructor Led Training (ILT) or online eLearning? Unfortunately often we need to justify new training and measuring the return on this investment may be difficult, for example how do you give a monetary value to customer satisfaction? ROI is defined in the accounting discipline as earnings per dollar of investment. An ROI evaluation compares solution cost to the monetary benefits that result from the learning solution. Therefore, ROI enables an organization to determine if the solution breaks even or contributes to the bottom line. An ROI of 25 percent means that the investment cost is covered and an additional 25 percent of the investment is returned as earnings. In other words, for each dollar ($1.00) of investment, 25 cents ($0.25) is returned as earnings. An ROI of zero percent means that the investment breaks even.
- eLearning saves time without decaying learning benefits Many independent studies have found that Technology Based Training (TBT) yield time savings of 35-45% over traditional classroom instruction while obtaining equivalent or better gains in learning retention and knowledge transfer. The amount of reduction in time ranged from 20-80% with 40-60% being the most common range for time saving. > eLearning minimizes travel costs As corporations become more global, the cost of moving and housing employees will only increase. But there is still hope. Numerous studies have shown that e-learning can minimize the travel and entertainment cost associated with training employees by at least 50%. > eLearning is cost effective The cost of developing multimedia training is significantly higher than creating custom classroom instruction. It is not uncommon for development costs for multimedia to be four times that of traditional classroom instruction. This is obviously not cost effective for small class size. But as the number of employees goes up, the cost per employee is dramatically reduced. This is the cost efficiency of e-learning; it can reach more people in a shorter amount of time than traditional learning. If this cost is spread out even further by purchasing off the self multimedia training on a "per head" basis the total cost is significantly lower than traditional instruction. > eLearning can better meet the needs of geographically dispersed employees eLearning is flexible. It is self-paced and can occur any time and any place. As such, it is ideally suited for training employees who are dispersed globally. eLearning is easily modified (especially web delivered content) thus making it more adaptable for translation and change of content for different cultures and languages. > eLearning provides more consistent course delivery The instructor can review, edit and re-edit their presentation until it is just right. In addition no matter how many times the class or learning module is presented it will not change or vary. Each employee will get exactly the same material no matter when they take the course. This leads to very consistent delivery of material that is not possible in a traditional classroom approach. Today, organizations are making investments in e-learning solutions with the expectation that these solutions will have a measurable impact on their performance by achieving specific business outcomes. While the most obvious impact of e-learning on ROI is the significant cost savings it can produce over traditional training, more significant impact on ROI can be achieved as a consequence of e-learning. Therefore, e-learning is not only faster and less expensive than classroom training but also more effective.
- As you all know, the training process starts with training, needs identification; once these needs are identified, collated, categorized and summarized, then the prioritization of training needs is decided. Then for each program, one has to set learning objectives, which are measurable. This is followed by designing and developing training program, and delivering the training interventions, whether, it’s a classroom or eLearning mode. Finally we come to the evaluation step of the process where, we try to evaluate how much and to what extent did the training achieve the results that it set itself for.
- Formula 1: ROI: The Costs were X; the Benefits were Y Give Management information and let them make an intelligent comparison; the math obscures the magnitude and importance of the numbers in the ROI calculation Formula 2: ROI = Benefits – Costs Subtracting costs from benefits gives a simple number, while keeping the magnitude of the numbers in front of Management Formula 3: ROI = Benefits Costs Give Management a ratio; it’s what they are used to seeing – like Return on Assets and Return on Sales calculations Formula 4: ROI = Benefits-Costs Costs Give a ratio, but use both formulas 2 and 3 to deflate the ROI so it does not make us look like we want too much credit
- Data Collection A central challenge of the ROI process is data collection—selecting the most appropriate method(s) and the time table for gathering outcomes data at each evaluation level. Depending on the nature of the training program, hard data (representing output, quality, cost, and time) or soft data (customer satisfaction and job satisfaction) may be collected in the course of the evaluation. The following are some of the key data collection methods employed in the Phillips/Kirkpatrick approaches. Follow-up surveys and questionnaires to measure stakeholder satisfaction and reaction On-the-job observation to gauge application and use Tests and assessments to assess learning Interviews to record participant reaction and program implementation Focus groups to assess job application of the program Action plans to encourage application and record participants’ progress and impact realized Business performance monitoring of performance records or operational data to identify improvement
- Let ’ s look at some examples of performance indicators – process measures and hard indicators – outcome measures
- One of the most critical steps in a training evaluation is Isolation. Many other factors (e.g., marketing programs, employee bonus programs, etc.) can impact business outcomes after a new program is implemented. From the standpoint of credibility, therefore, it is important to use one or more isolation strategies to separate the business impact of the training program from the impact of other factors. The following are some of the most often used isolation techniques:
- Control Groups: The outcomes of pilot group of participants in a program are compared with the outcomes of a control group of participants who are not participating in the program. This is the most effective way to isolate training’s impact.
- ƒ Trend lines: Trend lines are commonly used to project expected business impact data into the future. Such projections are compared with the actual data after a major corporate program or initiative has been implemented to determine if the training has yielded improvement.
- Participants/stakeholders estimates: Participants are asked to estimate the amount of improvement directly related to a training or HR program. Because participants have received the training and are personally involved in applying the new skills and knowledge to the workplace, they are often in the best position to assess training’s relative impact.
- Converting Data to Monetary Values In order to calculate the ROI, the data collected in a Level 4 evaluation is converted to monetary values and compared to program costs. To do this, a value must be placed on each unit of improvement (output measure) impacted by the training program. Increases in output measures (increased sales, units produced, etc.) are converted to monetary values based on their unit contribution to profit. Often standard values are available for such measures in most organizations. There are several alternative ways to arrive at monetary value such as converting the value of quality improvements or using participants’ wages in those situations where the training has resulted in saving employee time
- Considerations: While all measures can be converted to money, several factors should be considered. One factor is the cost to convert the measure. You don't want to spend more on data conversion than the evaluation itself. Importance of the measure is another consideration. Some measures, such as customer satisfaction and employee satisfaction, stand alone quite well. In that case, you might think twice before attempting to convert the measure to money. Also consider credibility. While most business decisions are made on somewhat subjective data, the source of the data, the perceived bias behind the data, and the motive in presenting the results are all concerns when data is potentially questionable.
- Tabulating Program Costs In order to calculate the Benefit/Cost and the ROI, all of the costs involved in the program must be tabulated. Among the typical cost components of training programs that should be included are the needs assessment, cost to design and develop the program, the cost of all program materials provided to each participant, travel and accommodation, and the fully loaded salaries (i.e., salaries plus benefits) of participants and facilitators.
- Intangible Benefits In addition to monetary benefits, most training programs will have intangible, nonmonetary benefits. Intangibles are those measures that cannot easily be converted to monetary values. According to Phillips, “In some programs, such as interpersonal skills training, team development, leadership, communications training, and management development, the intangible (non monetary) benefits can be more important than tangible (monetary) measures. Consequently, these measures should be monitored and reported as part of the overall evaluation. In practice, every project or program, regardless of its nature, scope, and content will have intangible measures associated with it. The challenge is to efficiently identify and report them.” (Phillips 2003) Page | 8 Typical intangible variables include items such as Stress reduction Employee engagement Grievance reduction Improved customer satisfaction Complaint reduction Conflict reduction/avoidance
- Each organization must develop its own path for a learning strategy by reflecting on their business objectives and organizational culture. Every organization’s learning journey is as unique as the organization itself. That said, clients often ask SkillSoft what kind of usage they can expect to see from e-learning — whether it is to understand how many licenses they will need to start an e-learning program, or as a way to gauge “what’s normal” in a program that has been installed for years. With our experience helping thousands of clients implement e-learning programs, we have developed a good understanding of the factors that contribute to usage and other measures of success. This experience forms the basis for the SkillSoft Learning Growth Model® (LGM), a maturity framework that helps clients understand what to expect when implementing an e-learning program. The LGM breaks learning maturity into five distinct phases that progress from the most basic and tactical implementations to the most advanced enterprise learning approaches. Each phase has a unique set of indicators. Clients can compare their own situation to the indicators of each phase to determine where they stand in relation
- Phase 1: Initiate Learning The first phase is entered when an organization introduces e-learning for the first time. The goals at this phase are typically to address learning needs that can’t be met by traditional (classroom) methods, as well as cost reduction. The L&D group is typically focused on introducing this new learning modality to employees and building awareness of its availability. Phase 2: Manage Learning In Phase 2 organizations have begun to recognize the benefits of e-learning and start expanding its use within the organization, making it available to more employees on more topics. Blended learning programs are implemented and redundant learning content is eliminated. The L&D group is becoming more capable of measuring the results and learners are beginning to demand/expect more types of learning content. Phase 3: Align Learning This phase begins when learning is recognized as a strategic tool and applied to targeted job competencies within key organizational roles, such as sales, customer services, and IT. More complex blends and systems are implemented. This also marks the point where the L&D group gains a stronger voice within the organization and obtains key executive sponsors. Phase 4: Integrate Learning In Phase 4 the organization provides the necessary infrastructure and resources required to expand e-learning access to all employees, and a strong cultural value is placed on learning. This may include investment in a more robust learning management system, authoring and rapid development tools, web collaboration platform and more. This stage often requires significant integration efforts, as learning becomes part of the everyday flow of work. Phase 5: Enterprise-Wide Learning Phase 5 of growth is entered when all levels of management are committed to ongoing and comprehensive e-learning programs that are linked to the organization’s business and human capital goals. Learning is made part of the daily flow of work, and learners are just as comfortable accessing learning assets as they are using email or the Internet. A wide variety of e-learning and performance support resources are made available, and the value of having these resources is understood at all levels. LGM indicators as a predictor of usage One can look at the indicators of the LGM as a diagnostic way to gauge what kind of adoption of e-learning may take effect within an organization. The process is actually quite simple: 1. Review the descriptions of the following LGM indicators within each of the five stages: • Business Drivers for Learning • Business Case for Learning • Learning & Development Department’s Role • Blended Learning Design • Marketing of Learning • Evaluation of Learning 2. Identify the indicator descriptions that most closely resemble your organization. Note which LGM stage they align to. Keep in mind that you should select the description that most accurately reflects your overall corporate learning program, not the characteristics of one learning curriculum or initiative. 3. Determine which stage is noted most frequently. For example, you may find that your organization reflects indicator descriptions that are mostly aligned to stage three because four out of the six descriptions align to stage three. There may be instances where your learning program resembles one or two descriptors from another stage, but in this exercise you want to try to identify the stage that most closely describes your current program. Once you have identified the LGM stage that most closely aligns to the profile of your learning program, you will be able to see what kind of usage to expect. So, if your learning program closely fits the characteristics of stage three, then you can anticipate approximately 60% adoption within your connected employee base.
- Scrap learning—learning which is successfully delivered but not applied on the job—comes with high costs. When your employees can’t put what they’ve learned into practice, you’ve wasted effort, time, and money. Dr. Robert Brinkerhoff, an expert in training evaluation, estimates that scrap learning rates can be as high as 50%-80% of all learning delivered.1 “ No company could stay in business if its other processes were as inefficient as most learning and development programs seem to be,” says King. Fortunately, you can take action to ensure learning gets applied successfully, maximizing your return on investment.
- 1. Embed learning into the workflow Since 70-80% of learning occurs on the job, it stands to reason that learning should integrate seamlessly into one’s daily work. “Don’t solely rely on learners consciously making a decision to learn and find what they need,” King cautions. In addition to making learning available via a corporate learning management system (LMS), she advocates blending relevant learning into the workflow through business applications, SharePoint, intranets, and email. Learning must fit an employee’s schedule—breaking information into manageable chunks makes it more accessible and efficient. A short learning asset covering highly relevant content, available at the moment of need, offers a better investment than a longer learning experience with limited relevance. 2. Ensure quality content The first step in providing quality content: look for current content from credible sources. Next, examine the instructional design—your content should draw on adult learning principles. It should be performance-oriented and accommodate a variety of different learning styles and preferences. Sound instructional design includes observation, modeling, interactivity, assessment and practice. Dr. John R. Mattox II, director of research for KnowledgeAdvisors, stresses the importance of appropriate technology. “Learners are getting more savvy with higher expectations of quality. Learners will not suffer through pages and pages of text when interactive options are available,” he said.2 Videos, summaries, simulations, audio books, and e-learning courses can be as effective—or more effective—than instructor-led training. 3. Reinforce learning In the late 1880s, psychologist Hermann Ebbinghaus discovered that reinforcing training improves retention. He also observed that as the gap between training and practice or recall increases, so does the amount people forget. Nearly 125 years later, learning professionals still struggle to help workers retain what they have learned: this demands a shift away from the “one-and-done” or training as an event mindset. Work with employees to develop a learning plan so they have identified resources that complement and reinforce what they’ve learned. Spread refreshers across the days and weeks immediately following the training. 4. Align learning to business objectives Business-aligned learning requires an understanding of the organization’s objectives. “Learning solutions arise when a business driver calls for a certain type of performance. By partnering with business stakeholders to define performance expectations, learning professionals can translate performance criteria to a set of competencies or skills,” King says. She tells L&D professionals when they meet with stakeholders to plan training, the key question to consider is, “What are the business needs that you are seeking to impact?” not “What training needs to take place?” Once you’ve determined the business need, you can define the necessary performance requirements, align a learning solution and set goals to measure the impact. Consider what kinds of skills employees need to develop in order to achieve the desired performance, as well as the learning modalities and delivery methods that best suit the target audience. 5. Enlist greater manager support Managers should set expectations for training before it happens, detailing why the employee is getting training, the changes that should take place, and how training will be applied on the job. It is also recommended managers should evaluate each employee’s readiness for training—the person should have the appropriate knowledge and skills to draw value from the planned training. Post-training, managers should follow up with employees to ask what knowledge and skills they gained. Assigning projects that allow employees to reinforce those skills and recognizing performance changes have a powerful impact on reducing scrap learning.