ROI of Trainings

Click here to load reader

download ROI of Trainings

of 18

description

ROI calculation for trainings, effectiveness and evaluations for training programs with impact on the ROI, facts and figures for an incresase in ROI by trainings

Transcript of ROI of Trainings

  • 1. Training as an Effective Measure to Increase ROI Example: InterculturalCommunication Trainings

2. Case Study: Intercultural Communication TrainingsCurrent Situation:o A large number of IT projects fail, because ofmissing intercultural skillso The potential of multicultural IT projects cannotbe exploited at a percentage larger than 50%Benefit of intercultural Seminars:Participants learn how to,o recognise and structure interculturaldifferences and experienceso overcome challenges in intercultural contexts 3. Why Trainings in InterculturalCommunication?Improvement of communication skillsin an international context:According to studies, 70% of all errorsin IT Projects are based on failure incommunication. 4. Intercultural Trainings leadto.. decrease of LossesCaused by interculturalmisunderstandings 5. Intercultural Trainings leadto..faster success in projectexecution due to improvedcollaboration 6. Intercultural Trainings leadto....better team spirit in projectteams and higher chances to build aHigh Performance Team 7. Intercultural Trainings lead alsoto.. .. A significant competitive edge ...more effective communication decrease of misunderstandings and its costs improved mutual understanding 8. How Effects of Trainings can be Measured in Numbers? Isolation of training effects in a controlgroup Monitoring of visible results Estimation and statements of theparticipants Estimation of the project team leader(Supervisor Assessments)->Conversion of data in solid numbers and results 9. 4- level Model of TrainingEvaluationROI Level 2Level 3Level 4 Level 1 Return onLearning Behavior Business Invest ofReaction ChangeResults Trainings Nach Donald Kirkpatrick 10. Intercultural CommunicationTrainings Impacts on the BusinessWhich results are achieved in the context ofintercultural communication? Higher level of cultural awareness, understandingof the functions, what means culture? Negotiation skills in an intercultural context, focuson Sales Presentations Awareness of the meaning of time in differentcultures Ability of effective virtual communication/videoconferences 11. Examples for Seminar Content onIntercultural Communication o Negotiations in an intercultural environment o Practicing of different communication styles o Presenting in the context of another culture, e.g. Sales Presentations o The meaning of time in different cultures o Practices for virtual communication o Support of adaption of agility (e.g. Scrum) 12. Evaluation of Trainings- Guidelines-o Compare with a seperated controlgroupo Concede sufficient time for visibleresults in behavior changeo Implement measures before andafter the programo Evaluation questionnaires:Questioning of theparticipants, supervisors, co-workers, etc. 13. Performance Indicators and MeasurableImprovements (after the Training): Hard FactsSoft Facts Duration of the project Effective communication % of Unproductive Employee satisfaction working time Quality in decision Customer satisfactionmaking Need of extension of Lower stress level project time Error in the project Higher level of agility Number of units with re- working 14. Significant Cost Cuttings due to.. o Shorter project durationProjects can be realised within an -> average of 2 months quicker o Significant reduction of ineffectivecommunication o Improvements of communication in video conferences -> Costs for travel and face-to-face meetings can be lowered -> Effective Working in Offshore Situations 15. ROI- Calculation for Trainings on the Topic of InterculturalCommunication in IT OffshoringProjectsProject Time with and without Trainings in months6543210 2007 ohne2012 mit TrainingTraining 16. Calculation of ROI forTrainingsROI = Total Benefits Total Costs x 100 = Total CostsFigures:100.000 Cost cuttings by shorter project duration25.000 Expenses for inhouse seminars Intercultural CommunciationROI = 100.000 25.000x 100 = 300%25.000 17. Immaterial Effects of Seminars (Intangibles)Some effects of Trainings are intangibles and cannotbe measured in numbers Z.B. increased self esteem and motivation of the employees increased employee satisfaction increased communication skills improved Customer Service Skills ability, to work and communicate in a functioning team structure Agility, agile and motivation with a high level of motivation 18. Thank you for your attention!Should you have further questions, pleasedont hestiate to contact us!MBO ConsultingSonja UhlManager Trainings & [email protected]