What business metrics are L&D and ID professionals expected to improve?

What business metrics are L&D and ID professionals expected to improve?

When creating training programs for a company, eventually someone from your team or leadership comes to you and says: “We’re going to talk about metrics today.” That’s because, while you might look at training in terms of engaging learning experiences, a business thinks in numbers.

And this is actually fine. After all, that’s why training exists in the first place: to help a business grow. So, you need to show that training is accomplishing this goal. That’s exactly what metrics do.

Below, you’ll find the most popular business metrics that L&D and ID professionals are expected to improve, along with their descriptions and examples.

  • KPIs

Measure progress toward business goals

Example: A sales-focused organization tracks the conversion rate of leads into customers as a key performance indicator. L&D and ID professionals design a targeted sales training program that equips sales representatives with effective techniques and product knowledge. By measuring the increase in the conversion rate after implementing the training, the impact of L&D and ID efforts on the organization's KPIs becomes evident.

  • Time to Proficiency

How long it takes an employee to be proficient in their role.

Example: A software development company aims to reduce the time it takes for new developers to become proficient in a specific programming language. L&D and ID professionals create an immersive hands-on training program that combines theoretical knowledge with practical coding exercises. By measuring the time it takes for new hires to reach a predetermined level of proficiency, they demonstrate the effectiveness of the training program in accelerating learning and reducing time to proficiency.

  • ROI

Used to understand the profitability of an investment.

Example: A multinational organization invests in a leadership development program to groom high-potential employees for future management positions. L&D and ID professionals track the financial impact of the program by analyzing metrics, such as promotions, performance improvements, and cost savings that result from better decision-making and leadership skills. The calculated ROI showcases the tangible benefits of the L&D investment and justifies continued support for similar initiatives.

  • Revenue

Average sales prices x units sold.

Example: A hospitality chain implements a comprehensive customer service training program for its frontline staff. L&D and ID professionals focus on enhancing communication skills, improving problem-solving abilities, and creating a culture of exceptional guest experiences. As a result, the organization sees an increase in positive customer feedback, repeat bookings, and upselling opportunities, all of which impact revenue growth directly and showcase the influence of L&D efforts on the bottom line.

  • Attrition

Percentage of employees who leave the company.

Example: A high-tech company faces challenges with retaining skilled software engineers due to intense competition in the job market. L&D and ID professionals develop a robust professional development program that offers opportunities for career growth, skill enhancement, and mentoring. By tracking attrition rates and observing a decrease in turnover among software engineers who actively participate in the program, L&D and ID professionals highlight their contribution to employee retention and organizational stability.

  • Net Promoter Score

Customer loyalty to the brand.

Example: A telecommunications company focuses on improving customer satisfaction and loyalty. L&D and ID professionals design a training program that emphasizes effective communication, problem resolution, and empathy skills for customer service representatives. By measuring the NPS before and after the training program, the organization can observe an increase in customer satisfaction scores, which shows the positive impact that L&D efforts have on enhancing customer experiences and loyalty.

Of course, knowing the metrics is just the first step. The next one is knowing how to improve them with training. If you want to delve deeper into this topic, check out the recording of this session with Holly Owens , “Mission Possible: Saving Time and Money While Improving Training Metrics,” where she shares a list of actionable strategies to improve training metrics through the power of instructional design.

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Holly Owens

?? Building Human Connections and Developing Authentic Relationships ?? | Podcast Maven ??| L&D Enthusiast ?? | Join 43k+ Followers

1 年

Thanks for the shoutout iSpring Solutions!

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