Evaluating Training ROI for Businesses

𝐓𝐡𝐞 𝐝𝐚𝐲 𝐚 𝐬𝐚𝐥𝐞𝐬 𝐭𝐞𝐚𝐦 𝐰𝐞𝐧𝐭 “𝐨𝐟𝐟 𝐰𝐨𝐫𝐤. It was a Friday evening The sales floor was quiet Systems shut down, chairs empty, reports closed But here’s the truth: 👉 A sales team never really goes off work. Because their performance echoes in numbers, in client relationships, in revenue lines & even after office hours. Then why is it that Learning & Development is often treated as an afterthought? Why is training considered an “expense” instead of the same “investment” lens applied to hiring? 🔹 Hiring looks expensive. 🔹 Training looks cheap. Yet without training, even the most expensive hires struggle — and companies keep wondering why the numbers don’t move. Case in point: We recently worked with a CRM team in real estate. Pain points were clear: Long talk-time with clients High escalations Poor feedback scores Through a structured 6-week learning journey, we helped the team: ✔ Reduce average talk-time by 17% ✔ Cut escalation cases by 23% ✔ Improve feedback ratings from 3.2 to 4.5 That’s not “soft skills.” That’s ROI in action. 3 takeaways for trainers & brands: 1. Quantify impact — Always tie your program to numbers leaders care about. 2. Diagnose before you deliver — Pain areas first, modules later. 3. Sell transformation, not training — No one buys sessions. They buy outcomes. 𝐈𝐟 𝐲𝐨𝐮’𝐫𝐞 𝐚 𝐜𝐨𝐦𝐩𝐚𝐧𝐲 𝐥𝐨𝐨𝐤𝐢𝐧𝐠 𝐭𝐨 𝐚𝐜𝐭𝐮𝐚𝐥𝐥𝐲 𝐬𝐞𝐞 𝐑𝐎𝐈 𝐟𝐫𝐨𝐦 𝐋&𝐃 , 𝐧𝐨𝐭 𝐣𝐮𝐬𝐭 𝐭𝐢𝐜𝐤 𝐚 𝐭𝐫𝐚𝐢𝐧𝐢𝐧𝐠 𝐛𝐨𝐱 ... 𝐥𝐞𝐭’𝐬 𝐜𝐨𝐧𝐧𝐞𝐜𝐭 We’ve done it across 1,100+ brands, and we’d love to do it for you.

Last week, I helped a sales VP at a $850M+ company build a business case for a $50K sales training investment. His team was trending toward a $15.2M miss. Here's the exact framework we used to get it approved: STEP 1️⃣ Lead with the math problem, not the solution Don't walk in saying "we need training." Walk in saying: "Our org restructure and new quotas created a math problem. 50% of reps are under 20% to target, pipeline multiplier is 2x when we need 3.5x. We're trending towards 43% attainment despite showing 130% YOY growth." Numbers don't lie. Executives respond to math. STEP 2️⃣ Show what you've already tried "Here's what I've implemented: structured prospecting, improved joint sales planning, individual coaching, and a hiring pipeline." This proves you're leading, not making excuses. STEP 3️⃣ Zoom out to the bigger picture "Looking regionally, we're at $41.5M vs $150M target (27.7% attainment). Even our best territory is under 35%, with most averaging just 25%." Now it's an organizational issue, not just your team's problem. STEP 4️⃣ Present three scenarios Do nothing: 43% attainment Base case: 70% attainment with systematic approach Best case: 85%+ attainment with full implementation STEP 5️⃣ Make it easy to say yes Option 1: Pilot with one team ($25K) Option 2: Full organization ($50K) The secret? You're not asking for training. You're solving a business problem. The result? His RVP said "This makes complete sense. Let's move forward and get enablement involved with planning. Most sales leaders fail because they lead with solutions instead of quantifying the pain first. Bottom line: A $15.2M miss costs infinitely more than a $50K investment in systematic improvement. When you frame it as de-risking the business rather than asking for development budget, the conversation completely changes. Ready to build your own bulletproof business case? Here's what successful VPs do: 1. Run the math on your current trends 2. Document actions you've already taken 3. Present the strategic choice between hope and systems 4. Build your coalition before the big presentation The companies that consistently hit their numbers don't rely on heroics. They invest in systematic excellence. — Sales Leaders, want to be a world class sales manager and get your team crushing quota? Go here: https://lnkd.in/ghh8VCaf

Decoding the True Cost of Virtual Behavioral Training: A Strategic Cost Analysis A strategic cost analysis helps in making informed investment decisions and optimizing training effectiveness. Let’s analyze the true cost of a two-day virtual behavioral training for 60 mid-level managers, facilitated by two in-house trainers, with an annual salary of ₹30 LPA each. 1. Direct Costs: Explicit Expenditure a) Trainer Cost (Internal Facilitators) Since the trainers are full-time employees, we calculate their cost per day: • Annual salary per trainer = ₹30,00,000 • Annual working days = 250 • Daily cost per trainer = ₹30,00,000 ÷ 250 = ₹12,000 • Cost for two trainers over two days = ₹12,000 × 2 × 2 = ₹48,000 Trainer Cost: ₹48,000 b) Technology & Platform Costs Assuming the organization uses an internal virtual learning platform (e.g., Microsoft Teams, Zoom, or an LMS), the marginal cost per session is low. However, factoring in licensing, tech support, and bandwidth usage for 60 participants, we estimate: Technology Cost: ₹30,000 c) Learning Materials Digital workbooks, assessments, and post-training resources could cost around ₹750 per participant: Materials Cost: ₹750 × 60 = ₹45,000 d) Administrative and Support Costs Includes training coordination, pre-session readiness, IT support, and evaluation setup: Admin & Miscellaneous: ₹40,000 2. Opportunity Cost: The Hidden Economic Impact a) Participant Salary Cost Each participant earns ₹30 LPA, so their daily salary cost is: • Daily salary per participant = ₹30,00,000 ÷ 250 = ₹12,000 • Cost for 60 managers over two days = ₹12,000 × 60 × 2 = ₹14,40,000 Participant Salary Cost: ₹14,40,000 b) Productivity Loss (Opportunity Cost) While training enhances long-term performance, it results in a temporary dip in operational output. Assuming a 25% productivity loss multiplier (lower than in-person training since managers can still manage urgent tasks), the opportunity cost is: ₹14,40,000 × 25% = ₹3,60,000 3. Total Cost of Virtual Training Trainer Cost ₹48,000 Technology & Platform ₹ 30,000 Learning Materials ₹45,000 Admin & Miscellaneous ₹40,000 Participant Salary Cost ₹14,40,000 Productivity Loss ₹3,60,000 Total Training Cost ₹19,63,000 4. Strategic Insights: Ensuring ROI on Training Investment While a virtual format reduces logistics costs, the largest cost driver remains participant salaries and lost productivity. To optimize ROI: Ensure training relevance: Align content with business objectives to maximize post-training impact. Incorporate blended learning: Spread learning over multiple short sessions to reduce productivity loss. Implement pre- and post-training interventions: Reinforce learning through coaching, peer discussions, and real-world application. Ultimately, the real return on training isn’t just cost efficiency—it’s behavioral transformation that drives business results. Would love to hear how your organization measures training ROI. Let’s discuss in the comments!

🔍 Research Snapshot: Why Learning & Development Isn’t Just Nice—It’s Essential Today, I’m digging into evidence that L&D does more than spark growth—it fuels performance, retention, and revenue. 📈 1. L&D drives revenue According to Deloitte, a 1% increase in per-employee L&D spend is associated with a 0.2% increase in business revenue—which translates to ~$4.70 return for every $1 invested. 🔗 Deloitte: The Business Return on Learning & Development https://lnkd.in/eVyqGRYm 🔄 2. It retains talent Companies with strong learning cultures experience 57% higher retention than those without. And 94% of employees say they’d stay longer at a company that invests in their learning. 🔗 LinkedIn Workplace Learning Report - https://lnkd.in/eppTiNG3 Learning access reduces intent to leave, especially among Gen Z and Millennials. 🔗 UK Government Rapid Review on L&D and Retention - https://lnkd.in/e_94_2vz ❤️ 3. Engagement fuels performance & loyalty 92% of employees say professional development positively impacts job engagement. 🔗 Devlin Peck: Employee Training Statistics - https://lnkd.in/ekCTQ_SZ Gallup finds that learning investment strengthens connection, purpose, and intent to stay. 🔗 Gallup: Building a Culture That Retains Employees - https://lnkd.in/eBaY7naH 🧠 What This Means for L&D Teams: Stop calling it a cost. Start calling it what it is: a growth strategy. If you’re advocating for a 1–2% increase in L&D spend, you now have credible ROI benchmarks to reference. Don't just build programs—build a learning culture. That’s what drives outcomes that last. 💬 Over to You: What’s one L&D investment your org made this year that paid off in real impact—on revenue, retention, or performance? Drop it in the comments. I may feature a few in next week’s post (with your permission, of course). #HiddenValue #LND #StrategicLearning #ValueCreation #LearningCulture #BusinessImpact #TalentDevelopment #FutureOfWork #TrustedLearningAdvisor

Saturday is a good day for reflection. Here's something to think about: Do you know the real return on investment of your leadership development initiatives? Measurement is not optional 🤷♀️ . If you want leadership development to be real, durable and connected to the business, you need a structured approach that helps you see the return. ⚠️ A word of caution- the return may not be evident immediately, which is why we need a longitudinal approach to measurement. 👩🎓 I am a fan of The Learning Transfer Evaluation Model (LTEM) ( by Will Thalheimer). Instead of just asking if people liked the training or learned something new, LTEM asks whether they actually apply what they’ve learned- and whether it leads to real performance improvement. The key idea is simple: It’s not enough for people to attend or 'learn'- we need to know if they’re doing things differently and getting better outcomes. .... 📹 I have uploaded of short video, with an explanation of how I measure my own coaching programmes at individual level. You will hear me talk about psychometric assessment and facilitated self-assessment. You will hear me say why the latter is far more powerful... 📏 If we want to help people to feel more confident and competent in their role, we need a benchmark of where they are now....and their progress over months and even years. 💡 Self-assessment can be repeated at intervals so we can see the person’s own view of their growth - not just what they did, but how they feel they’ve changed. ..... While I don't mention it in this video, there is more to measurement than self-assessment over time. It's important to capture changes in performance, behaviour, and impact beyond the individual. Ultimately, effective leadership shows up in business outcomes. Depending on the organisation, this might include improvements in employee engagement, team productivity, quality, retention, customer satisfaction, safety, or profitability. By linking behavioural change to these kinds of metrics, we can demonstrate that the coaching programme isn’t just creating better leaders- it’s creating better business performance. Have you any tips on measuring leadership development initiatives? Leave your comments below 🙏 PS. Subscribe here to my Youtube channel if you want to be notified of every video I post: https://lnkd.in/eC7a5uzA

Imagine a world where some people cheat, but there’s no way to tell. And then suddenly, there is. The problem with LLM benchmarks is that they are contaminated. Model makers know the ��answers” ahead of time, and train on them. This may not even be intentional, but it is hard to avoid, because lots of people write about LLM benchmarks, and they get copied into different places that are then swept up in the maw of a model’s web scraper. Whether it happens by accident or on purpose, it is the same as feeding your “test” data into your training set. Also the same as cheating on a test. You end up with a high test score that doesn’t generalize to new questions. MIT has a new benchmark called LiveCodeBench that tries to get around this problem. They do so by continuously sourcing fresh questions from code competition sites like LeetCode. The questions are tagged with their release date. When you test an LLM, you only include code problems released after its knowledge cutoff. Viola. - GPT4 and Claude Opus top the new, decontaminated charts - DeepSeek shows significant overfitting. This model powers DeepSeek Coder. - Google’s Gemini Pro is in the middle of the pack Here’s the full chart: Paper: https://buff.ly/4aCb9Pw Code: https://buff.ly/4aUWlLD #OpenSource #AI #MachineLearning #GPT4 #Benchmarks #LLMBenchmarks #Overfitting #CodingBenchmark #LeetCode #KnowledgeCutoff #ModelEvaluation #CheatingDetection #ContaminatedData #ArtificialIntelligence

❗ Only 12% of employees apply new skills learned in L&D programs to their jobs (HBR).  ❗ Are you confident that your Learning and Development initiatives are part of that 12%? And do you have the data to back it up?  ❗ L&D professionals who can track the business results of their programs report having a higher satisfaction with their services, more executive support and continued and increased resources for L&D investments.    Learning is always specific to each employee and requires personal context. Evaluating training effectiveness shows you how useful your current training offerings are and how you can improve them in the future. What’s more, effective training leads to higher employee performance and satisfaction, boosts team morale, and increases your return on investment (ROI). As a business, you’re investing valuable resources in your training programs, so it’s imperative that you regularly identify what’s working, what’s not, why, and how to keep improving. To identify the Right Employee Training Metrics for Your Training Program, here are a few important pointers: ✅ Consult with key stakeholders – before development, on the metrics they care about. Make sure to use your L&D expertise to inform your collaboration. ✅Avoid using L&D jargon when collaborating with stakeholders – Modify your language to suit the audience. ✅Determine the value of measuring the effectiveness of a training program. It takes effort to evaluate training effectiveness, and those that support key strategic outcomes should be the focus of your training metrics. ✅Avoid highlighting low-level metrics, such as enrollment and completion rates. 9 Examples of Commonly Used Training Metrics and L&D Metrics 📌 Completion Rates: The percentage of employees who successfully complete the training program. 📌Knowledge Retention: Measured through pre- and post-training assessments to evaluate how much information participants have retained. 📌Skill Improvement: Assessed through practical tests or simulations to determine how effectively the training has improved specific skills. 📌Behavioral Changes: Observing changes in employee behavior in the workplace that can be attributed to the training. 📌Employee Engagement: Employee feedback and surveys post-training to assess their engagement and satisfaction with the training. 📌Return on Investment (ROI): Calculating the financial return on investment from the training, considering costs vs. benefits. 📌Application of Skills: Evaluating how effectively employees are applying new skills or knowledge in their day-to-day work. 📌Training Cost per Employee: Calculating the total cost of training per participant. 📌Employee Turnover Rates: Assessing whether the training has an impact on employee retention and turnover rates. Let's discuss in comments which training metrics are you using and your experience of using it. #MeetaMeraki #Trainingeffectiveness

Today I've published an article on Market-Expected Return on Investment (MEROI) - a powerful framework that's transforming how I analyze companies in our increasingly intangible economy. I wrote this piece because I've grown frustrated with how traditional metrics fail us in a world where intangible investments dominate corporate spending. When companies like #Microsoft invest heavily in R&D, software, and brand building, traditional accounting treats these as expenses rather than the investments they truly are. This creates a ��𝐮𝐧𝐝𝐚𝐦𝐞𝐧𝐭𝐚𝐥 𝐝𝐢𝐬𝐜𝐨𝐧𝐧𝐞𝐜𝐭 𝐛𝐞𝐭𝐰𝐞𝐞𝐧 𝐫𝐞𝐩𝐨𝐫𝐭𝐞𝐝 𝐟𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥𝐬 𝐚𝐧𝐝 𝐞𝐜𝐨𝐧𝐨𝐦𝐢𝐜 𝐫𝐞𝐚𝐥𝐢𝐭𝐲. MEROI solves this problem by revealing what return the market actually expects a company to generate on its investments. Unlike backward-looking metrics like ROIC, MEROI decodes the expectations embedded in current stock prices. 𝐓𝐡𝐞 𝐤𝐞𝐲 𝐭𝐚𝐤𝐞𝐚𝐰𝐚𝐲𝐬: - Traditional accounting significantly distorts our understanding of companies with high intangible investments, creating market inefficiencies savvy investors can exploit. - By properly reclassifying portions of SG&A as investments rather than expenses, we get a dramatically different picture of a company's steady-state value versus future growth opportunities. - My detailed case study shows how MEROI for a software company drops from 25% to 16% when properly accounting for intangibles - completely changing how we should view market expectations. I've included a comprehensive framework for implementing this approach in your own analysis, from industry selection to expectation analysis. 𝐖𝐡𝐚𝐭 𝐲𝐨𝐮'𝐥𝐥 𝐥𝐞𝐚𝐫𝐧: - How to distinguish between genuinely unprofitable businesses and those creating substantial value through intangible investments; - how to identify expectation mismatches that could signal investment opportunities; and - how to more accurately assess whether seemingly high valuations are actually justified. For anyone serious about understanding market expectations in today's economy, MEROI provides a systematic edge that traditional metrics simply can't match. #valuation

A lot of time and money goes into corporate training—but not nearly enough comes out of it. In fact, companies spent $130 billion on training last year, yet only 25% of programs measurably improved business performance. Having run countless training workshops, I’ve seen firsthand what makes the difference. Some teams walk away energized and equipped. Others… not so much. If you’re involved in organizing training—whether for a small team or a large department—here’s how to make sure it actually works: ✅ Do your research. Talk to your team. What skills would genuinely help them day-to-day? A few interviews or a quick survey can reveal exactly where to focus. ✅ Start with a solid brief. Give your trainer as much context as possible: goals, audience, skill levels, examples of past work, what’s worked—and what hasn’t. ✅ Don’t shortchange the time. A 90-minute session might inspire, but it won’t transform. For deeper learning and hands-on practice, give it time—ideally 2+ hours or spaced chunks over a few days. ✅ Share real examples. Generic content doesn’t stick. When the trainer sees your actual slides, templates, and challenges, they can tailor the session to hit home. ✅ Choose the right group size. Smaller groups mean better interaction and more personalized support. If you want engagement, resist the temptation to pack the (virtual) room. ✅ Make it matter. Set expectations. Send reminders. And if it’s virtual, cameras on goes a long way toward focus and connection. ✅ Schedule follow-up support. Reinforcement matters. Book a post-session Q&A, office hours, or refresher so people actually use what they’ve learned. ✅ Follow up. Send a quick survey afterward to measure impact and shape the next session. One-off training rarely moves the needle—but a well-planned series can. Helping teams level up their presentation skills is what I do—structure, storytelling, design, and beyond. If that’s on your radar, I’d love to help. DM me to get the conversation started.

I used to think investing in L&D was simply about upskilling teams because "it’s the right thing to do." But here’s the hard truth: if it doesn’t deliver clear ROI, it’s just cost on paper. Over the years, leading Right Selection, I’ve seen countless programs with big budgets but no real impact, no boost in performance, engagement, or business results. That’s why I believe L&D must be ROI-driven. It starts with asking the tough questions: What problem are we solving? How does this learning tie to specific business goals? How will we measure success? When L&D is aligned with ROI, it moves from a checkbox activity to a powerful growth engine driving not just skills, but behaviors that transform results. We measure more than attendance; we measure application, impact, and business outcomes. And that’s how you shift learning from “nice-to-have” to “must-have.” So, how are you linking your team’s learning to real business impact? Or is it just an expense on your books? #leadership #culture #mindset #inspiration #lead