Continued education is recognized as becoming an integral part of any modern business. Softwares, like Freestone, have been creating easy solutions to help companies of all sizes adapt to the changing tides. However, old obstacles seem to be creating confusion on this new front.
Businesses and their leaders are often under pressure to deliver to their “bottom line”. Consequently, areas of business that do not show a tangible impact on Return on Investment, or ROI, can be diminished or ignored. But for many organizations, this means a decrease in the importance put into learning and development within the company. Experts who believe that ROI does not always need to be influenced by classic metrics are altering the traditional example of ROI measurement and growth.
When it comes to measuring company training ROI, there are two schools of thought:
- The DuPont analysis to measure ROI, which results in less of a focus on the growth and education of employees within companies. The greater the focus on tangible capital investments, the less focus there is on learning.
- But experts, such as Ajay Pangakar, are proponents of reporting ROI training differently. Learning and development has been seen as a cost center, or one that does not produce directly but is responsible for costs incurred by the company. Pangakar believes that business leaders need to change this view of ROI.
Learning and Development
Learning and development does not need to turn employees into finance and business experts. What is important is that they become literate in the different parts of their companies. Having a keen sense of how one’s job impacts the business as a whole facilitates integration across departments that does not naturally happen. Companies, like Apple, have taken shortcomings in various departments and utilized data gleaned from testing to focus their development efforts. Apple specifically used millions of tests and subsequent data to deploy specific solutions for their customer service employees. This is where Freestone LMS can deliver a variety of high volume of live and on-demand learning courses as part of a comprehensive education training program that enhances the employee knowledge base across departments.
So how can you deliver training ROI to your organizations? Schedule a demo today to learn more about how Freestone closes the gap in learning management systems.