Coming soon · Book Profile
Return on Investment in Training and Performance Improvement Programs
This book presents a systematic, five-level methodology for measuring the return on investment (ROI) of training and performance improvement programs, enabling organizations to quantify their financial impact and justify expenditures.
A profile of this book is on the way.
What it’s about
In an era where every organizational expenditure is scrutinized, training and HR professionals are under increasing pressure to demonstrate the value of their programs. "Return on Investment in Training and Performance Improvement Programs" provides a comprehensive, practical, and proven methodology to do just that. Moving beyond simple satisfaction surveys and learning assessments, this book introduces a five-level evaluation framework that culminates in a credible ROI calculation. Author Jack J. Phillips guides you step-by-step through the entire process, from data collection and isolating the effects of training to converting program results into monetary benefits and tabulating costs. Packed with real-world case studies, practical techniques, and clear guidelines, this book equips you to measure the bottom-line impact of your initiatives, earn the respect of senior executives, and transform your training function from a cost center into a proven value-adding investment.
The through-line
- Who it’s for
- A training, HRD, or performance improvement professional who wants to prove the value of their programs, secure budgets, earn respect from senior leadership, and be seen as a strategic partner to the business.
- The problem
- They are constantly asked to justify their department's budget and the cost of training programs, but they lack a credible method to demonstrate a financial return. They feel frustrated, undervalued, and defensive, as their function is often perceived as a 'soft' cost center rather than a strategic investment, leading to fears of budget cuts and lack of influence.
- The plan
- Adopt the five-level evaluation framework to create a chain of impact.
- Learn and apply specific techniques to collect data and isolate the effects of your program.
- Master the methods for converting both hard and soft program outcomes into monetary benefits.
- Calculate the program's ROI and communicate the results effectively to key stakeholders.
- The payoff
- The reader can confidently present credible, data-driven reports to senior executives, proving the financial value of their programs. · The HRD function is transformed from a cost center to a respected strategic partner that contributes directly to the bottom line. · Budgets for effective programs are secured and even increased, and ineffective programs are improved or eliminated.
See our guide
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Additional reading
- Jack: Straight from the Gut · Jack Welch
The book critiques the widespread, unthinking adoption of GE's '20-70-10' performance ranking system as a prime example of management fad-following, which talentship aims to replace with context-specific, logical analysis.
- Moneyball: The Art of Winning an Unfair Game · Michael Lewis
Used as a key analogy for talentship. It demonstrates how a decision-science approach can identify undervalued, pivotal capabilities to create a competitive advantage, just as talentship aims to do for organizations.
- Work Rules! · Laszlo Bock
Written by Google's former head of People Operations, it provides detailed insights into how Google uses a data-driven approach for hiring and management, a core theme of this book.
- Data Strategy: How to Profit from a World of Big Data, Analytics and the Internet of Things · Bernard Marr
The author's own book, recommended for readers who want more detailed guidance on creating the data strategy that is presented as the foundational first step for data-driven HR.
- High Output Management · Andy Grove
Referenced in the book as an example of how to think analytically and build a business case for a management decision, specifically regarding the ROI of a manager training their own team.
- The Power of People: Learn How Successful Organizations Use Workforce Analytics to Improve Business Performance · Guenole, N., Ferrar, J., & Feinzig, S.
Cited in the book, this is a foundational text that aligns with the book's core theme of using workforce analytics to drive tangible business improvements.
- Human Capital Analytics: How to Harness the Potential of Your Organization's Greatest Asset · Pease, G., Byerly, B., & Fitz-enz, J.
Cited in the book and written by a pioneer in the field, this work provides a comprehensive view on human capital analytics, complementing this book's hands-on manual approach.
- Handbook of regression modeling in people analytics · Keith McNulty
The author's previous book, likely providing foundational quantitative skills for readers who are new to programming or data analysis in R.
- ggplot2: Elegant graphics for data analysis · Hadley Wickham
The definitive guide to the `ggplot2` package in R, which is the foundation for the `ggraph` network visualization package used extensively in the book.
- Stanford Large Network Dataset Collection (SNAP) · Stanford Network Analysis Project
A key public resource with a wide range of large network datasets, recommended by the author for further practice and exploration beyond the book's examples.