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Strategies to Implement ROI and Evaluation in any Organization Premium Content

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Thursday, September 14, 2006 - by Gerry Doyle

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The challenge of implementing ROI and evaluation in a comprehensive and sustained way requires a range of responses, including capacity building, competence development, the adoption of new methods, and changes in processes and behaviors. For many practitioners to sustain ROI beyond the first study, and more crucially, ensure that it becomes integrated in the learning and development function has been a daunting task. Success requires a clear and disciplined strategy. Here are six key steps to consider:

Step 1: Build Awareness

Be specific. Know the concept and detail of the ROI/Evaluation method or process you are implementing. Then, explain the model and explain what you propose to do to managers or clients and people in a position to influence implementation.

Don't skimp on this step. Use good materials, clearly written with diagrams and charts. Test them beforehand. Put up posters, get mentioned in newsletters and bulletins. Use your intranet or set-up a blog on the Internet. Use every opportunity to make the case, especially where issues have to do with value and return.

The German manufacturer of heavy dies and tools, Apple AG, faced the task of self-insuring the operations at its manufacturing plant in South East Ireland. The Safety and Training Officer thought this would be a good issue on which to apply the ROI methodology and conducted an ROI study of the impact of training and support of safety personnel on the company's operations. Not only was the result a positive ROI, but the exercise helped build awareness of how the process works. This is an example of how to piggyback on other issues, events, and activities to build awareness about what you are doing.

Step 2: Build Alliances

Identify potential champions. Then, bring them on board by

  • knowing what's important for them in terms of ROI and evaluation
  • showing them how the method meets their needs
  • showing them how implementation can add value to the organization.

A key goal of the HR department in Braun Oral B (Ireland), part of the Gillette organization, was to become more integrated with the shop floor. The company also wanted to standardize the approach to problem solving on the shop floor and move toward operating in multifunctional teams. A pilot problem-solving training program presented the opportunity to build important alliances and the ROI study was the main vehicle for achieving this purpose. It brought the HR team, with its unique ROI evaluation capacity, into a central role in the group responsible for the project and created a pool of potential champions for the ROI process going forward.

Step 3: Build Competence

If you can do it, you can sell it! And if you can't, develop your knowledge, skill, and ability to undertake full ROI studies. Take part in the ASTD International Conference within a Conference on ROI and Evaluation. Read the huge range of ASTD case studies and training manuals on ROI. But don't assume that just by reading up on this stuff that you understand it and can then implement it. There is no substitute for taking part in professional training programs. I recently attended a briefing by the CLO of a European subsidiary of a major multi-national corporation where he spelled out how the company has a comprehensive ROI evaluation strategy for all its programs. When I asked how he isolated the impact of the learning programs from other factors, he was stumped. He wasn't using any isolation method. "We don't really need to do that," he said. But after the event, he contacted me to discuss how he might do it!

Step 4: Build Adoption

Set realistic targets and meet them. After you get some comprehensive training, carry out some studies, or at the very least do one study. It may be a good idea to plan a series of studies (two or three) over a 12 month period. Chose the programs carefully based on transparent and consistent criteria. Jack Phillips has identified six criteria for choosing the right programs: lifecycle of the program, size of audience, cost, visibility within the organization, link to strategic objectives, and management interest.

Half finished work is of little benefit to you or your organization. Finish the studies and make sure they are valid and accurate by getting a second opinion from other skilled practitioners. Finally, write it up, it helps you identify learning, record achievement, and build credibility.

Step 5: Build Acceptance

The quickest way to get recognized inside the organization is to get your study published outside the organization! Credibility of results enhances acceptance, make sure it's done correctly. Acknowledge involvement of others in the study.

Step 6: Build Organizational Capacity

The organization (not just you) must adopt the process in order for it to be sustained in the long term. It is never desirable to plough a lone furrow in this work. Get others actively involved early on. Make sure they are fully trained and skilled to use the method. Include as many departments as possible. The support, advice, and insights of colleagues are hugely valuable. Create a buzz around the process.

Final Thoughts

Three words to create successful practice:

  • Resolve. Don't just think about it, get that training and then get that ROI study completed.
  • Renew your energy by staying in touch with other practitioners who face the same issues as you.
  • Review what you are doing and how far you have come.

Then go out and celebrate!

Strategies to Implement ROI and Evaluation in any Organization

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