Chief Learning Officer - January 2008 - (Page 48)

business intelligence Does Senior Leadership Buy ROI for Learning? Part II Dr. Warren Wilhelm In the last issue of Chief Learning Officer magazine, we introduced research around how ROI is measured in learning functions within specific companies. We asked the following question of more than 200 learning professionals who are members of Executive Networks: “Does your company have measure(s) of return on investment in learning that are accepted by your senior leadership as valid, rigorous and supportive of further investment in learning? If so, please tell us briefly what they are, and we will contact you to learn more about how you measure ROI on learning.” We received responses from 11 companies who believe their ROI measures for learning meet the above criteria. (More than 50 companies replied that they didn’t believe their metrics met those conditions.) Responses from the first five respondents were featured in the December Business Intelligence article. The remaining six participants are included below. Note: Chief Learning Officer magazine does not endorse any of the respondents’ methodologies as effective ROI measures, but reprints them to demonstrate the scope of how particular learning leaders view this subject. 1. Increased retention: For retention, we have done a matched control group comparison and a multiyear follow-up on leader development. We won a national award for the research. 2. Accelerated time to promotion: On acceleration, we measure with estimates of manager, HR and an interview. We then track actual time to promotion during and after the program. 3. Increased value to the company (measured in terms of getting paid more). 4. Contributions to business planning, process improvement, strategic initiatives (all by leader development groups working on business tasks), but no quantified ROI on this. 7. Global Electrical and Electronics Manufacturer We use several evaluation methods: • Happy sheets right after programs. • Online evaluations within two weeks after a program. • For external business school program: after four months, an evaluation on impact (online and interview). January 2008 I www.clomedia.com I Chief Learning Officer 48 6. Consumer Electronics Company We do periodic, intensive ROI analyses. Pretty well-accepted (measurements) in leader programs are: 8. Airline As I initially read this request for best practices in measuring the ROI in learning, I was prepared to respond with a cautious, “We haven’t http://www.clomedia.com

Table of Contents Feed for the Digital Edition of Chief Learning Officer - January 2008

Chief Learning Officer - January 2008 Editor’s Letter Table of Contents Imperatives Selling up, Selling Down Strategies Take Five Environment Sips of Knowledge at E. & J. Gallo Winery CLO Profile Productivity UST Global: Opening Employees’ Eyes to New Learning Tactics Applying CRM Concepts to E-Learning Human Capital Capital One: Experiences in Innovation Learning Solutions Macy’s: Using Feedback to Develop One Leader at a Time Case Study Business Intelligence Advertisers’ Index Editorial Resources In Conclusion

Chief Learning Officer - January 2008

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