To help you gauge the impact of your training initiatives on employee performance, we’ve gathered insights from six industry leaders, including co-founders and managing directors. From utilizing the learning gain metric to tracking return on investment, discover the key metrics and methods these experts rely on in their organizations.
- Utilize the Learning Gain Metric
- Apply the Kirkpatrick Evaluation Method
- Assess the Skills-to-Time Ratio
- Examine the Operational Efficiency Ratio
- Implement the Employee Net Promoter Score
- Track Return on Investment
Utilize the Learning Gain Metric
We have recently started using a metric called “learning gain.” This metric measures the difference between an employee’s performance before and after a training initiative. The learning gain gives us a good sense of how much employees have improved as a result of our training initiatives.
If the learning gain is high, it means our training initiatives are effective and are helping employees to perform better. If the learning gain is low or negative, it means we need to make some changes to our training programs.
Apply the Kirkpatrick Evaluation Method
The Kirkpatrick evaluation method is used to measure the effectiveness of training initiatives on employee performance.
Before attending or completing a training initiative, the employee’s performance against a particular skill is measured through a self-assessment form, and the line manager assesses the current proficiency of the skill using a skills competency matrix.
Immediately after the training initiative, employees complete a feedback form to help understand the employee’s immediate reaction to the learning, how the initiative has helped them develop their skills, and where they expect to apply their learning in the business.
Two to three months after training, activities are completed to help understand the “so what” and positive impact on performance. Employees either fill out a feedback form about their improved skills and job performance or chat informally with the People team. Line managers also reassess skills by observing work performance and using a competency matrix again.
Assess the Skills-to-Time Ratio
In our tech-focused company, gauging the impact of training on employee performance is vital. We assess this by analyzing the ratio of newly acquired skills to the time invested in training. It’s crucial because, as a leader in AI solutions, our employees need to adapt to evolving technologies continuously.
If the ratio is high, it means that our employees are quickly adapting to the new technologies and can use them effectively. If the ratio is low, it means that we need to invest more time and resources into training our employees.
By tracking the efficiency of our training programs, we ensure that the time spent on learning translates into tangible skill development. Furthermore, it helps us validate that our training investments align with our company’s goals of staying at the forefront of technological innovation. This method keeps our workforce agile, capable, and primed to drive our AI-based solutions forward.
Examine the Operational Efficiency Ratio
One method of verifying the effectiveness of learning and development initiatives is by looking at the company’s operational efficiency ratio before and after the training.
Operational efficiency is an organization’s ability to manage its resources (workforce, time, and money) most productively while still delivering high-quality service. Since it covers many business aspects, it also offers a complex insight into the employees’ progress once the learning process is finalized.
The aspects of this technique can vary depending on the company’s KPIs, but most commonly, they compare financial profitability, such as cost per unit, cost reduction, or overall turnover before and after.
But it’s not all about improving the numerical results. The criteria, such as customer satisfaction or workflow quality, are equally important to measure the effects of training and to assess staff’s or its particular members’ progress. The flexibility of this metric is very appealing.
Martyna Szcześniak, Community Expert, MyPerfectResume
Implement the Employee Net Promoter Score
For assessing the effectiveness of training initiatives on employee performance, one key metric used is the Employee Net Promoter Score. This metric measures how likely employees are to recommend their experience working with the business.
It is also useful in measuring how successful training initiatives have been. If the initiative has had a positive impact, then employees should be more likely to suggest that others seek out similar experiences. Therefore, the eNPS score should increase.
Track Return on Investment
An effective and unique metric to measure the success of training initiatives on employee performance is Return on Investment (ROI) tracking. ROI tracking combines both costs and benefits related to a training program in one cohesive number for review. It measures how well an organization can generate revenue through its investments in employees, as opposed to other methods that just track outputs, such as attendance or test scores.
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