Reporting Training's Return on Inve

Reporting Training's Return on InvestmentBusiness managers expect to know the return they are getting for their investments. This is true of expenditures in training, just as is it for money invested in new equipment or One of the ways human resource professionals can demonstrate the impact of training on the goals and objectives of an organization is by conducting return on investment (Roi)analysis and annually reporting the results to management, just as other business units report on their capital investments.Such an annual report on training serves two important purposes. First, it justifies the training function by showing the value of training to the bottom line. Second, it helps the training department assess itself internally and make adjustments For example, at Home Depot, new cashiers were trained both in classroom sessions and with two hours of practice in a simulated work environment. An annual analysis showed that the effectiveness scores for cashiers were primarily influenced by the classroom training Practice in the simulate work environment had little value. As a result of their analysis, the practice portion of the training was eliminated, and the company significantly reduced their training expenses.