Illuminating the ROI of Learning Initiatives

Like most great works of art, our blog unfortunately can’t address everything we feel about a topic. Sometimes, we’re constrained by word count. Other times, we recognize that a “quick aside” has transformed into a diatribe. (Writers, amirite?) 

As we wrap up our month of return on investment (ROI) conversations, we’re highlighting our favorite statistics that didn’t make it into our previous posts. These can help you make sense of some influential learning and development (L&D) reports from 2023. We’ll discuss how they apply to you, your learners, and your company’s ROI.

From Training Mag’s 2023 Training Industry Report: 

On average, organizations spent 16 percent of their budget or $360,164 on learning tools and technologies.

L&D can represent less than a fifth of company budgets. While we’d like to believe that everyone loves training as much as we do, we know that’s not always the case…at least, not yet. Training teams often need to collect data to connect their work (and the impacts) to their company’s business objectives. By demonstrating the instrumental role of L&D, teams can hopefully secure more funding, support, and resources in the following year. Who knows, you may even decide to collaborate with a training partner for something like your learning management system (LMS).

From D2L and Training Industry’s 2023 Redefining the ROI of Corporate Learning survey:

33% of organizations explicitly measure the impact employee training makes on its financial outcomes.

The key here is a direct connection training to ROI. We’ve covered that identifying a tangible relationship can be difficult. This is especially true for “soft skills” or leadership training. In fact, the survey also found that “nearly half (46%) [of those organizations] find that demonstrating return on investment (ROI) from employee training is a challenge.” So, how can you make that connection a little clearer? 

• First, align on business needs, program goals, learning objectives, and corresponding assessments before developing your training.
• During these conversations, meet with senior leaders to ensure they’re informed on how training will address business needs. 
• Communicate a realistic timeline for realizing the ROI.

Of course, we know that what works for one business won’t work for another – that’s why we champion customized learning solutions!

From the 2023 LinkedIn Learning Workplace Learning Report:

89% of L&D pros agree that proactively building employee skills will help navigate the evolving future of work.

This statistic highlights how L&D teams can take a forward-looking approach to meeting business needs. Luckily, Unboxed has already written about how upskilling and reskilling employees can build a future-ready workforce! This approach can increase cost savings by reducing recruiting and onboarding efforts while increasing retention rates. In fact, customized content further empowers your current talent pool by giving them targeted, relevant training to meet business needs. 

Realizing the Unboxed Vision

At Unboxed Training & Technology, we specialize in creating custom training content to meet your unique business needs. We craft learning experiences that inform and inspire, driving real behavioral change and delivering measurable results.

Request a demo of our custom training content to see how we can support your efforts in fostering an environment of continuous learning while empowering your business to thrive in the face of change.