How to Show Real ROI with Operational Training and Development Investments
Management may think cutting back on operational training saves money but in the long run, it will eventually impact sales and profitability.
In a 2018 Deskless Workers Study only 1% of all IT software spending supports deskless workers— particularly frontline workers.
Industries where frontline workers are essentially the face of the brand, and who are responsible for guiding the customer experience are facing high employee turnover, due in part to gaps in training.
At the same time, companies are looking at where they can cut expenses coming out of the pandemic. And one area that’s getting more pressure to show business value with IT investments is L&D. But it’s shortsighted to cut back on operational training and knowledge for frontline workers since that can be the very thing needed to improve customer satisfaction, reduce turnover, and boost the bottom line.
When you’re trying to make a business case for L&D investments in operational training, there are four key areas to consider:
- Employee training savings: The biggest impact on ROI comes with onboarding and ramping up new employees because when new hires are successful in their jobs faster this reduces turnover and improves employee satisfaction.
- Headquarter training development costs: With modern, digital learning tools, you can reduce time and cost by as much as 60% by eliminating printing and shipping costs for paper binders, operational manuals, and other training materials.
- Operational cost savings: Easier access to training and knowledge material will reduce errors, making the job easier for employees and improving efficiency. Digital learning tools also provide a single source of truth, speeding the time employees spend finding and consuming training content.
- Revenue growth – Better training and knowledge among frontline workers can have a lasting impact on customer satisfaction, repeat business, net promoter scores, and other key metrics.
For more on achieving real ROI, read the in-depth article on HR.com from Inkling’s VP of Marketing, Chris Tratar: How Aligning L&D To Business Objectives Is Key To Delivering Strong ROI