Employee and team development- whether through training or interventions- is a critical element to the adaptation and ultimate success of a business in the ever-changing landscape of the global economy. Measuring the direct effect on human performance based solely on training is virtually impossible. There are a multitude of variables that are always changing inside and outside the business that effect measured outcomes- with or without training. The effect of any training program can be- and should be- measured over time. Even then, the impact training has on productivity can only be measured in general terms relative to some norm.

Some executives may feel that only way they can be sure they are going to get what they pay for is to ask the training provider to guarantee an ROI. This is a bizarre twist of everything we (and any executive) experienced from kindergarten through college. Accountability to learn the course material rests entirely on the student to study course material, pass the tests, pass the class, and earn a degree, no matter how good or bad the professor is or how relevant or irrelevant the course is for the student. Additionally, there is some substantial financial skin in the game on the part of the student.

In the business world, that accountability shifts to the trainer and the training program- and there is no financial skin in the game for any trainee- student. It doesn’t take a lot of intuition to figure out that the college student is significantly more focused and vested in learning than their business trainee counterpart because the college student is accountable for learning and paying for the experience.

Once the accountability for the ROI of training is placed where it needs to be- with the trainees- then businesses will see significantly better ROI’s for their training investment.

The best way to ensure a proper ROI for training is to clearly define the objectives- the problem to fix or the goal to achieve- that will provide a measurable return over time. Then, perform due diligence on the training firm hired to make a confident decision. Training shouldn’t be a cost line item or a department that has to justify its existence- it should be part of the business culture. Making it a part of the culture will always net an ROI.