How can I measure the impact of employee training?

In today’s fast-paced business environment, continuous employee learning and training are crucial for the ongoing success of any organisation. This approach enables employees to adapt to and excel in increasing job demands, thus allowing businesses to maintain a competitive edge. However, it’s surprising that many organisations don’t measure the impact of their staff training and development on performance.

Understanding the Need for Measuring Training Impact

Without a system to gauge the effectiveness of training programs, organisations risk not knowing if their investments in employee learning are yielding the desired results. Evaluating training programs is vital to determine their impact on individual performance and overall organisational success.

Training effectiveness refers to the degree to which a training program achieves its intended goals and yields desired outcomes. It involves evaluating the transfer of learning from the training environment to the workplace and assessing the training program’s tangible and intangible benefits.

Starting Points for Measuring ROI in Training

1. Calculate Average Training Time per Employee: Total your previous year’s training time costs. Divide this by the number of employees to determine the training costs and times per person.
2. Align Training with Organisational Priorities: Check if the training matches your organisation’s strategic priorities, legislative demands, certification requirements, customer satisfaction surveys, staff feedback, and appraisal insights.
3. Identify Criteria for Training Success: These can include direct and indirect costs, trainee feedback, examination success, performance enhancements, increased productivity, and improved income generation.

Measuring at Employee and Business Levels

• Employee Level: Develop plans outlining core competencies for each role and measure individuals against these. Incorporate 360-degree feedback involving the employee, their managers, and colleagues.
• Business Level: Measure training spending as a proportion of wage expenditure and correlate this with improvements in competence.

Innovative Approaches to Measuring Training Effectiveness

• Visual Authentication: Use visual confirmations, like videos or images, to prove task completion post-training.
• Intelligent Measurement with xAPI: Leverage Experience API (xAPI) to track and store learning-related activity from various sources, providing richer insights into training effectiveness.

The Kirkpatrick Evaluation Model

The Kirkpatrick Model is a widely used framework for evaluating the effectiveness of training programs. Developed in the 1950s by Donald Kirkpatrick, it consists of four levels:

Reaction: This level measures how the trainees reacted to the training. It seeks feedback on the training program’s content, structure, and delivery.

Learning: This stage assesses what the trainees have learned. It involves measuring the increase in knowledge or capability post-training through tests or assessments.

Behaviour: This level evaluates the transfer of learning to the workplace, observing if trainees apply their new skills or knowledge.

Results: The final level measures the impact of the training on business goals and outcomes, such as improved productivity, higher quality work, or increased sales.

Each level provides valuable insights, helping organisations understand the efficacy of their training programs and make informed improvements.

Four Alternatives to the Kirkpatrick model 

1. Phillips ROI Model: Developed by Jack Phillips, this model adds a fifth level to the Kirkpatrick Model, focusing on Return on Investment (ROI). It measures the training program’s financial return by comparing its costs and benefits.
2. Kaufman’s Five Levels of Evaluation:This model expands the focus to societal impact. The levels include input, process, output (similar to Kirkpatrick’s first three levels), results (the organisational impact), and consequences (the societal or environmental outcomes).
3. Anderson’s Model of Learning Evaluation:This model focuses on the change in behaviour and results, emphasising the importance of the learning environment and the support system in facilitating effective learning.
4. Summative vs. Formative Evaluation:This approach distinguishes between formative evaluation, conducted during the development of a training program to refine it, and summative evaluation, which assesses the effectiveness of a completed program.

How to implement your process

To implement training evaluation processes like the Kirkpatrick Model or other alternatives, a company in the UK should:

1. Define Aims: Identify the objectives of the training programme, such as skills enhancement, knowledge acquisition, and expected business outcomes.
2. Select an Appropriate Model: Choose an evaluation model that aligns with your specific training goals and organisational culture.
3. Data Collection: Implement tools and methods for collecting data at various stages. Consider from immediate feedback after the training to the long-term impact on the business.
4. Analysis and Interpretation: Analyse the gathered data to understand the effectiveness of the training programme.
5. Implement Improvements: Use these insights to inform decisions and refine future training programmes.

Measuring the effectiveness of employee training is crucial for enhancing the strategic alignment of training initiatives with organisational goals. By adopting these methodologies, organisations can ensure that their investments in employee development contribute to overall success. Explore Monster.co.uk’s insights on measuring employee loyalty and satisfaction and tracking ongoing employee performance further to enhance your understanding of employee development and performance. Additionally, learn about hiring for attitude and training for skill.