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Measuring Corporate IT Training Value Helps Justify the Cost

Training is usually nice to have, but at the same time, if it’s not built to provide value, then it’s a nice not to have. That’s why even training for new company software must have value behind it and be tied to the overall business goal.

All training should provide value to the organization in one way or another. That means it either benefits the company directly or contributes in some way. But we know digital training solutions are popular, but they’re not all created equally.

Even though digital training is popular and a great way to train employees in a distributed workforce, it provides little value if done poorly. So, how can organizations measure the effectiveness of these training programs and justify the costs involved?

There are many ways to measure effectiveness and value, which is something every training program should strive to measure. Training initiatives should never be implemented without clearly understanding their impact on the bottom line or at least being tied to company goals.

As companies invest significant resources into developing and delivering custom digital training solutions, concrete evidence is needed to demonstrate the return on investment (ROI), or in better terms, a cost/benefit analysis is required.

Training without an eye on value is a wasted opportunity.

Does the training pay for itself in increased profits, saved money, or some other way that makes the training not a drain on the company’s finances?

This isn’t just about tracking the number of participants or completion rates; it’s about assessing the value these training programs bring to the organization. Measuring corporate IT training value involves either a close tie-in to business goals or a comprehensive evaluation of various factors that contribute to the program’s success in terms of things that matter to the organization.

Training isn’t about the learning experience; it’s about the performance experience and whether that performance contributes to the organization somehow. By having key performance indicators (KPIs) that the training is tied to in some way, you can gain valuable insights into the effectiveness and impact of custom digital training solutions.

A KPI for training helps you make informed decisions about future investments and allocate resources more efficiently. It also provides insight into the actual value of training that can lead to more investment and more value for training in the company.

Value is the only measurement of training that matters; engagement is only secondary if that.

This post explores the different methods and approaches organizations can use to measure the value of their corporate IT training programs. From evaluating employee performance improvements to assessing the alignment of training outcomes with business objectives, this post is all about the intricacies of measuring the value of training.

But why would you need to measure the value of corporate IT training in the first place? Don’t organizations inherently know the value of training? Should the training department get a blank check?

I wish! But no, there are no blank checks in companies unless the desire is to run the company into the ground.

Why Measuring Value Is Important

No training initiative should be implemented without understanding their impact or how they tie into the company’s bottom line. While a needs analysis can’t tell you everything, it should tell you first if training is the ideal solution and second how that training will benefit the company.

Yes, the needs analysis will tell you a lot of other information, but it’s just a waste of money without measuring how training benefits the organization. Assessing the actual value or how training links to an initiative that will ensure training is valued and will contribute to the company’s growth.

We all want training to be valued, but it can’t be valued unless value is shown somehow.

Tracking the number of participants or completion rates isn’t valuable; it’s just a vanity metric. Measuring value is about assessing the actual value that these training programs bring to the organization. Leaders won’t value training without that tie-in, and the training budget will slowly dwindle.

Measuring the value is essential to figure out the true worth of training. It could be in terms of the actual value of the training or how much it contributes to the success of some other business metric that does provide value.

Methods for Measuring Corporate IT Training Value

Organizations can employ various methods and approaches to effectively measure corporate IT training value. Smile sheets don’t cut it, but that doesn’t mean you should eliminate them. They just don’t prove anything. More meaningful methods must be used to truly prove value.

These methods go beyond just assessing employee performance or satisfaction levels; they provide a holistic view of the overall impact of the training program. These are some methods that can help you show training effectiveness and value.

Evaluating Employee Performance Improvements

One way to measure corporate IT training value is by evaluating employee performance improvements before and after participating in a training program. For new corporate IT software, this one won’t work, but if the goal is to improve training, then you have an excellent foothold for proving value.

By conducting pre and post-training assessments, organizations can gauge how much knowledge employees have gained and how well they applied it in their roles. Things like help desk calls for specific software can also be evaluated before and after training. Did the call number reduce? By how much? Did the training save the organization money/time?

Looking at help desk calls can tell you a lot about employee performance and if training worked.

If you go the knowledge and assessment route, the assessments can include quizzes, practical assignments, or simulations that simulate real-world scenarios. By comparing the results, organizations can determine the effectiveness of their training programs in enhancing employee performance.

There are many ways to measure the data before and after to extrapolate employee performance. You have to find the best way based on your available data and what the organization can pull off. Before getting too far into creating training, determine how you’ll measure its success and value.

Aligning Training Outcomes with Business Objectives

This one is a biggie.

Not all training can have tangible financial value, but it doesn’t all need to. What all training should have, though, is a tie-back to business objectives. Any initiative in the company will require training that will contribute to it.

So, can your training be tied back to business objectives? If not, then you need to reevaluate the value of the training. If it’s not contributing to the organization’s bigger goals, will it provide value or value that matters?

It’s essential that skills and knowledge from training directly contribute to organizational goals. Companies can measure their impact more accurately by aligning training programs with specific business objectives.

Every training initiative should be linked to business objectives or operational activities.

Even if the direct contribution of training is nearly impossible to figure out, the training still contributes to the business objective overall. Not all IT initiatives are easy to tie back to real dollars and cents, but telling the story helps show value.

Computers are a good example; how much they contribute to company success is almost impossible to determine, but they enable value creation and help the company meet business goals.

Tieing training to business objectives can be done by setting clear objectives at the beginning of each training. We think it’s best not to use learning objectives and instead go with performance objectives. They aren’t the same thing, and it’s an entirely different way of thinking about training.

Surveys and Feedback

This is one of the weakest methods of proving value, but it’s sometimes better than nothing. If you can’t achieve any other method of establishing value, you should fall back on surveys and feedback.

If you do use surveys and such, then make them count. Simple smile sheets and NPS scores don’t help. There are ways of creating helpful training surveys that can prove value. There’s a great book by Will Thalheimer on the subject because it’s all about creating performance-focused surveys.

A well-crafted survey can tell you a lot. A poorly crafted survey will tell you little to nothing.

Rather than sticking to questions about the learning experience, a good survey will focus on the value employees got out of the training. Will it help them perform their jobs better? Do they feel more prepared? It will answer the critical questions for providing real value to the organization.

Organizations can gain insights into what worked well and what areas need improvement. This feedback helps shape future training programs to meet employees’ needs better.

Tracking Training Effectiveness Over Time

Tracking training effectiveness over time helps measure corporate IT training value. By monitoring participants’ progress and performance after the training program, organizations can assess the long-term impact of the training on employee productivity and overall business outcomes.

One indicator of performance after corporate IT training is whether the employee called the help desk or not. If employees who took all their training for new IT systems aren’t calling the help desk as much as employees who didn’t, you know what’s different.

We’ve built custom eLearning courses for corporate IT training, and there is typically a direct correlation between employees who complete their training and those who are successful in the system. Those who don’t take their training (tisk tisk) often must call the help desk more and don’t know how to use the software.

Sometimes you may not have to rely on data at all. If managers follow up with employees, they can get a good feel if training provides value. These conversations ensure that employees get the training they need and make it known if training is delivering value or not.

Making Informed Decisions About Future Investments

Training evaluation that covers value enables organizations to make informed decisions about future investments in training initiatives. By understanding the impact and effectiveness of current programs, companies can allocate resources more efficiently and invest in areas that yield the highest returns.

If a learning & development department is getting its budget cut, just like any other department, it’s because leaders don’t see value. While it’s not true that learning & development consistently get budget cuts first, they will without proven value. But then again, even sales, which are money makers, will get cut if they’re not providing enough value.

Leadership can only make informed decisions if they’re shown the value of your department.

A data-driven approach ensures organizations invest in training programs that deliver tangible benefits to both employees and the business. Use whatever blend of methods above to show value. That will allow the company to make good decisions that ultimately benefit everyone.

Leaders will make the right call if learning & development are proven to provide value. They’ll make informed decisions based on information provided to them and make wise investments that grow the whole organization. That means everybody wins.

Efficient Resource Allocation for Training Initiatives

Measuring corporate IT training value also helps organizations allocate resources more efficiently. By identifying what in the organization is proving value, companies can prioritize their investments accordingly.

In tough times and in good times, companies must allocate resources in ways that make the most sense. It ensures resources are allocated to areas where they will significantly impact the bottom line for companies.

Showing the value that corporate IT training makes will help leaders allocate resources to the right places. It’s the job of training to show that value.

Of course, providing more resources to help employees doesn’t just benefit the company; it helps employee development, saves them time, and provides a lot more value to all aspects of the company.

Efficiently allocating resources in the organization and making informed decisions are among the main tasks of leadership. By providing them with the actual value of training, they can make decisions that will ultimately benefit everyone, especially the training department, as long as they provide value.

Wrap Up

Measuring corporate IT training value is essential for justifying the cost of custom digital training solutions. We focus solely on that at the beginning of every project. You shouldn’t have training unless necessary and the value can be tied back to company goals.

It allows organizations to demonstrate a positive return on training programs. It’s all about a cost/benefit analysis proving training contributes to overall growth and improvement. This can be done by evaluating employee performance improvements, alignment with business objectives, surveys/feedback, and tracking effectiveness over time.

With the methods in this post, companies can make informed decisions about future investments and allocate resources more efficiently. There’s no better way to get a seat at the table and prove training value than showing the value.

We’re focused on providing valuable custom digital training solutions to your organization that can be tied back to business objectives or tangible financial benefits. If you have a corporate IT project coming up, we specialize in corporate IT training that provides real value. Schedule a free consultation to discuss your project and how our custom digital solutions can provide real value to your organization and employees.

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