Assessing the ROI of training

Overview

The evaluation of training is a good thing. But, short term priorities always crowd out their longer term competitors so it's typically something we plan to do better next year

What will be enough to back up your arguments when there is a need for a greater investment in training, when major changes need to be made in direction, when there is stiffer competition for resources, when times get tough?

The process of Calculating ROI

ROI = measurements of the costs and benefits associated with a training program

ROI = (benefits / costs) x 100%

Forecasting and measuring costs= Design and development costs + Promotional costs+ Administration costs + Materials + Facilities + employee costs + Evaluation costs

Forecasting and measuring benefits = Labor savings + Productivity increases + Other cost savings + Other income generation