Many companies use learning and development programs (L&D) to train employees and ensure company goals are met. However, the majority of these programs are ineffective and costly; in fact, companies spend up to 71 hours of training per employee, which equates to a sunk cost of $1,065 per employee based on a salary of $15/hour. This is a significant drain of time, effort, and money and begs the question: what can companies do to address L&D inefficiency?
The best way to measure L&D success is through ROI calculators, which attach values to various KPIs and identify how much revenue L&Ds produce. Arist has designed its own ROI calculator that is cost-effective, saving companies $480,000 annually. Arist’s calculator can also save L&D teams up to 82% on course creation and delivery.
Measuring ROI is important because a higher ROI has many benefits. For example, increased ROI leads to employees feeling 30% more confident in performing their roles and increases the speed of learning creation by 95%.
Companies are investing in training more than ever, and it is important that this investment is not ill-placed. Currently, only 8% of L&D teams calculate their ROI. Bringing this percentage up with the use of Arist’s ROI calculator could have a noticeable impact on the success of L&D programs.