roi: enabling your learning initiatives to connect to the bottom line

Bob MosherChief Learning Evangelist

Conrad GottfredsonChief Learning Strategist

#EnableROI

[email protected]@bmosh

@congott

Bob MosherChief Learning Evangelist

Conrad GottfredsonChief Learning Strategist

ROI: Enabling Your Learning Initiatives to Connect to the

Bottom Line

©Ontuitive® 2013 #EnableROI

Agenda

Current approach to measurement?

Enabling Kirkpatrick

Who’s doing it and how?

Wrap-up


Agenda



Poll: How do you measure the success of your learning/training initiatives?

1. Increased/Improved Employee Performance Metrics

2. The 4-Level Kirkpatrick Model

3. Six Sigma

4. Voice of the Customer (through surveys, interviews,

smile sheets, phone calls, etc.)

5. Training Effectiveness Dashboards

6. Mapped to KPI’s


Poll: How do you measure the success of your learning/training initiatives?


Chat:

What are your biggest obstacles to measuring “True” ROI?

©Ontuitive® 2013 #EnableROI 7

ROI ChallengeLinking learning to business impact

With Performance Support: able to move beyond gathering the usual learning metrics (pass/fail rates, number of student days, percentage of course completions, smile sheets, etc.) and on to those directly tied to business impact and financial/strategic benefit.

With Performance Support: monitor adherence to process, verify successful performance, and tie it all to improvements in actual work performance.

And: correlate what each worker's improvements actually mean to the business (faster, better, cheaper), and turn that into hard dollar numbers.


Making the connection

Traditional Learning Analytics• Percentage of course completions• Pass/fail rate• Student/instructor ratio • Number of "no shows", drop-outs, and last

minute cancellations • Dollars charged back to departments using

training • Percent utilization of facilities • Cost per student-day • Average "satisfaction" scores on our "smile

sheet" evaluations • On-time completion and on-cost development

of new courses • Actual vs. planned operational budget

expenditures.

Business Impact Analytics• Successful performance for business critical

skills• Reduced time to proficiency

• Completion of job-related tasks• Reduced time away from job• Reduced training footprint

• Reduced time to changed performance.• Lower support costs• Increased user adoption• Optimized business processes• Customer/employee loyalty, morale, and/or

retention• Usage of business critical PS assets (policies,

business rules)• Work shift to less experienced employees or to

customers • Reduced implementation costs (for a system,

product, new process, etc.) • Reduced handoffs of work, calls, problems to

others • Decreasing the gap between less experienced

and star performers


Business impact’s link to financial/strategic benefitClient example of outcomes:

• An organization implements Salesforce as their CRM along with an

overarching sales process.

• Those members of the sales team who are adhering to the process and

working effectively within the applications, and have therefore increased

their respective pipelines by 28 percent (Business Impact).

• The following quarter, individual and collective financial targets are met

(Financial Benefit), which in turn increases the market value of the

organization (Strategic Benefit).


AgendaCurrent approach to measurement?

Enabling KirkpatrickEvaluation of

results(business impact)

Evaluation of behavior

(transfer of learning to workplace)

Evaluation of learning(knowledge or skills acquired)

Evaluation of reaction (satisfaction of happiness)


Making the connection

“Today, I encourage different measures. It's much easier to actually employ these assessments in a performance support environment because the connections between performance support in the

actual work context is so much more direct than the distance between training events

and work performance.”

Gloria Gery


Connect the dotsPath from learning to performance

Enabling the Kirkpatrick’s Model

Learning Performance Support

Business Impact

Financial/Strategic Benefit


Business impact’s link to financial/strategic benefit

Background: An organization implements Salesforce as their CRM; they also implement an PS solution within Salesforce.

Client Example of Outcome:


Business Impact



Learning: The sales teams were trained on Salesforce. During their training they use the integrated PS solution which provides contextual support to the sales team, but also ties Salesforce to the other software applications, non-system sales tasks, and tools needed to effectively follow the company’s overarching sales process.


Learning



Performance Support: On-the-job the sales team works within the PS solution to help them access the tasks and resources needed to help them work as a team throughout the sales process. Independent of where they are, they have access to what they need within 2-clicks/10-seconds.





Business Impact: The PS solution’s monitoring capability shows those members of the sales team who are adhering to the process and working effectively within the applications, and have therefore increased their respective pipelines by 28 percent.



Business Impact



Financial Benefit: The following quarter, individual and collective financial targets are met…Strategic Benefit: …which in turn increases the market value of the organization.



Business Impact




Chat:

What is a key business impact, you would like to be able to measure?


Agenda





Business impact data

20

66% increase in sales personnel productivity enabled thru increased user adoption of a new CRM solution at a major insurance company

resulting in $2,375 cost-savings per employee per year

Over 50% reduction in product training classroom training time and expense at a global manufacturing company

HO

UR

S

Classroom Training

20

0T I M E

Cost-Savings to the Organization

$1,312,500*


12.5% reduction of help desk transactions & 50% reduction in classroom time for application migration project at a global

consulting firm resulting in $2M+ per year in operational

savings and $2M+ in productivity benefit.

Central line quarterly infection rates cut to zero saving an

estimated $175 million in costs and more than 1,500 lives.

Business impact data


Overall Usage of Performer Tools

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q7 4Q07 1Q08 2Q08

Care Performer Tools Sales Performer Tools All Performer Tools

Performer tool adoption The importance of consumption


How might you gather data? Digitally Monitored

From Performer

From Others

• Successful performance for business critical skills X X X

Critical How critical are the consequences of failure?1 2 3 4 5 6 7

Insignificant/ Minimal Moderate Impact (temporary) Significant Impact Catastrophic

The consequences are negligible.

No impact on outcome, I can readily recover.

No impact on others. There could be some

decrease in workflow efficiencies and/or increase in workload.

The consequences would not threaten successful performance.

The event may impact the attitudes and workload of self and or others

If there is reputation or monetary loss, it would have moderate or temporary harm, damage, or loss to the organization.

Consequences would require significant commitment of resources and/or lasting consequences for others.

Significant client or colleague harm with potentially permanent consequences.

Adverse impact on work environment, and culture.

Significant compromise to relationships, within and outside the organization.

.

Consequences cause major problem for others and/or the organization.

Reputational impact would be long-term

Irreparable and permanent harm, damage or loss.

Compromise of professional status, reputation, and ability do the work

Long-term compromise to relationships, within and outside of the organization.

Monitor Digitally (behind the scenes)Invest in Gathering Data from Performers

and Others

How helpful was this information?

Not at allSomewhatVery MuchExtremely


Mapping to KPIsThe process to make the connection

1 Chose project: business-critical process for taking new products to market

2 Perform “rapid task analysis”. Identifying and organizing tasks for which people need support.

3 Conduct critical skills analysis, rating each identified task between 1 & 7. Score represents criticality of the task to the process & degree of risk.

4 Implement performance support

5Monitor usage patterns within the PS solution for each area. If performance support is helpful, people will use it and usage (and performance) will increase. If usage is low or falling, that means PS is no longer providing the support that workers need.


Agenda




Wrap-up


The ROI challenge can be met!

“Ontuitive has helped us improve the productivity of thousands of employees and eliminated significant

training costs.”- Jeremy Smith, Senior Manager of Learning Solutions at Herman Miller

Our Performance Support results have equaled a “Quantum Leap” in terms of time savings and process consistency.

- Cigna Sales Leadership


PS bridges the gapTraining to Business Impact

Performance Support solutions correlate to improved performance:

86% daily use of PS solution

Increase in daily work productivity

use ratio of performance support vs traditional LMS eLearning approach

6-8% 80:1


Performance Support solutions correlate to improved performance:

15% year over year reduction in help desk calls

reduction in instructor-led training

adding PS reduces time to competency

Up to 70%by half

PS bridges the gapTraining to Business Impact


2013 monthly webinar seriesMarch: The PS Maturity ModelApril: “Smart” Performance SupportMay: The Power of Mobile Support June: Agile DevelopmentJuly: How are you doing? Self-evaluation

August: Competencies for L&D & performance September: Technology Needed to Author & Deliver PSOctober: People-Centered Computing November: Kill SearchDecember: IT – Love Them!

May 8-10: PS Lab & Seminar Hosted by The MASIE CenterSaratoga Spring, NY

http://masie.com/Performer-Support-Lab/performer-support-overview.html


Thanks!Next Steps & ResourcesBecome a member of our Performance Support Community – if you already are – invite a friend or colleague!

In the community you can:

• Discuss your ROI challenges, and receive feedback and solutions from your peers

• Read our blogs, watch past webinars, listen to podcasts

• Network

• Collect business case data

• Find resources to share with stakeholders to increase PS buy-in

Community Invite Link: http://performersupport.ning.com/?xgi=3bIevz1cS7jVN3

Contact Us: [email protected]

@bmosh@congott

roi: enabling your learning initiatives to connect to the bottom line

Documents

business rules

business impacts link

percent business impact

actual work performance

performance supportenvironment

business critical percentage

anoverarching sales

sales teams