The ROI of Training (Part II)

I noticed from the statistics of the blog that many browsers are on Das Humankapital through the research on the ROI of training. So I went to re-read the post I wrote last January and which lately seems to collect so much success (you can read the post here).

In the post I expressed my distrust of the metrics calculation training, especially if placed outside of an overall human capital management strategy, not only because not everything can be measured, but some investment should be part of a management system aimed at improving the welfare business!

It’s a little I wonder if there is an indicator called “ROI of training”, and of course the answer is NO! There are, however, in my humble view several indicators to understand the net benefit of investments in training activities, among them is the ROTI, and not roi, which stands for Return On Training Investment  and that is expressed by the formula : Value of Benefits ÷ Cost of training x 100. 

To calculate it I recommend to describe the training front and calculate both the costs and benefits of training. This is to facilitate the calculation of the index! Roti is a performance index and if it is used outside of a budget of human capital, or if it is not within human capital management policies, there is no need it!

The performance indices are used because they are part of a strategic system, otherwise their result is essentially counterproductive. (Best not to count it!)


Un commento Aggiungi il tuo

  1. Adele ha detto:

    Good Dav! 😉
    To say we give the definition about the right word! The calculations are required and have to exist if the conditions there are, otherwise it is all useless…

    Mi piace


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