Redefining learning and development success metrics

 

Learning is the process of acquiring knowledge and skills useful for the organization (Akella, 2020). The learning function of an organization plays a strategic role in five areas. They are attracting and retaining talent, developing people capabilities, creating values based culture, building an employer brand, and motivating and engaging employees (Kiyana et. al, 2017).

Figure 01: 5 strategic areas of learning and development


Source: Kiyana et. al, 2017

Organizational performance is a multidimensional construct and a dependent variable on the investment in training, human resources, operational and financial dimensions (Garavan et. al, 2019). L & D programs are difficult to evaluate in monetary terms (Schoeb et. al, 2019). Technology has grown to influence the success of each department in an organization with the data measurement at every customer touchpoint. This has brought drastic changes on Key Performance Indicators (KPIs) and other success metrics from marketing, research & development (R & D) to product, customer support and sales. Success metrics driven by data-driven culture is propelling new levels of efficiency and productivity. The adoption rate of digital transformation and automation increased rapidly coupled with the impact of COVID-19. Companies largely invested in online marketing which led to the introduction of Return On Investment (ROI) to determine the success of marketing initiatives. The first step towards measuring the effectiveness of learning and development is analytics (Bennington et. al, 2012). Analytics enable to measure the cold and hard cost of training, a rise or decline in operational efficiency, progress for both the company and the employee, and learner’s feedback on the trainer. Forward looking companies are aligning the metrics of their L & D programs in relation to the effect they have on the bottomline (Garavan et. al, 2019).

L & D has shifted from being an employee benefit aimed at enhancing motivation to a strategic organizational asset that will help to develop competitive advantage for the organization (Karim et. al, 2019). With digital transformation and automation, digital competency and knowledge has become mandatory. Employee’s ability to learn and perform the work using technology has become a critical factor in determining organization’s success. Also, technology evolves from time to time which requires on-the-job reskilling to unlock growth and ensure competitiveness. With COVID-19 companies are trying to achieve efficiency by “doing more with less” due to significant budget cuts. Learning helps organizations to become more resilient (Blanco, 2018). Learning without resilience does not lead to development specially to sustain crisis. Learning from experience is a critical factor in developing organizational resilience. Organizational resilience refers to the organization’s ability to manage shifts in learning process (Hillmann et. al, 2021). Organizational resilience is vital to overcome the effects of COVID-19.

Prior to COVID-19, Seylan Bank PLC heavily relied on internal and external training programmes to enhance learning and development. During COVID the group implemented customized E-learning opportunities to stimulate learning and provide career development opportunities. The bank spent LKR 25 million on training during FY2020 which was 43% less than what was spent in FY19. The group was committed to “achieve more with less”. The group implemented 226 programmes with a total participation of 10,999. Although participation was 7.7% less in FY2020 from FY2020, the group saved 43% of its budget and explored new platforms such as “Internal-online” to spur learning (Seylan, 2020).

Figure 02: Number of Duration and Training Programmes

Source: Seylan.lk

Metrics for measuring learning and development varies from company to company based on the nature of the industry (Hervie et. al, 2018). For instance, metric used to measure learning and development for teachers is student achievement whilst, for a chef is average time taken to serve a customer. Metrics are vital to evaluate the effectiveness at meeting the training needs (Armstrong et. al, 2018). There is no specific metric used in Seylan Bank PLC to evaluate the effectiveness of learning and development initiatives at meeting the training needs of employees. General measurements such as mid-year review and annual performance appraisals are conducted to determine the skill gaps and develop training programmes to reduce those gaps. L & D targeted metrics can help to identify motivation, job involvement, career orientation and self-efficacy (Sung et. al, 2018).

Gamification is a growing in popularity in learning and development (Obaid et. al, 2020). Adopting gamification into learning design helps to provide behavior-modeled learning experience for employees, and improving employee engagement with learning content and peers (Armstrong et. al, 2018). Gamification incorporate points and badges which makes it easier to measure the success of training programmes (Obaid et. al, 2020). Therefore, companies need to adopt a more technologically integrated training design and methods to encourage employees upskill and drive the organization towards success.

References

Akella, D. (2020). A learner-centric model of learning organizations. The Learning Organization, https://doi.org/10.1108/TLO-06-2020-0117

Armstrong, M., B. & Landers, R., N. (2018). Gamification of employee training and development. International Journal of Training and Development, Vol. 22 Issue:2, doi: 10.1111/ijtd.12124

Bennington, K. & Laffoley, T. (2012). Beyond Smiley Sheets: Measuring the ROI of Learning and Development. Public Surveillance. Retrieved on May 5, 2021 from http://publicservicesalliance.org/wp-content/uploads/2013/01/Beyond_Smiley_Sheets_-_A_UNC_Executive_Development_White_Paper.pdf

Blanco, J., M., M. (2018). Organizational Resilience. How Learning Sustains Organizations in Crisis, Disaster, and Breakdown by D. Christopher Kayes. The Learning Organization, Vol. 25 Issue: 2, pp.143-146, https://doi.org/10.1108/TLO-07-2017-0074

Enhancing Teachers’ Performance through Training and Development in Ghana Education Service (A Case Study of Ebenezer Senior High School). Journal of Human Resource Management, Vol. 6 Issue: 1, doi: 10.11648/j.jhrm.20180601.11

Garavan, T., McCarthy, A., Sheehan, M., Lai, Y., Saunders, M., N., K., Clarke, N., Carbery, R. & Shanahan, V. (2019). Human Resource Development Quarterly, Vol. 30 Issue: 3, pp. 291-309, DOI: 10.1002/hrdq.21345

Hillmann, J. & Guenther, E. (2021). Organizational Resilience: A Valuable Construct for Management Research?. International Journal of Management Reviews, Vol. 23, pp. 7-44, DOI: 10.1111/ijmr.12239

Karim, M., Choudhury, M., M. & Latif, W., B. (2019). The impact of training and development on employees’ performance: an analysis of quantitative data. Noble International Journal of Business and Management Research, Vol. 3 Issue: 2, pp. 25-33.

Kiyana, L., C. & Bett, S. (2017). Training and Development Practices and Employee Performance of Turkana County. Vol. 1 Issue: 1, pp. 153-165

Obaid, I., Farooq, M., S. & Abid, A. (2020). Gamification for Recruitment and Job Training: Model, Taxonomy, and Challenges. IEEE Access, Retrieved on May 01, 2021 from https://ieeexplore.ieee.org/stamp/stamp.jsp?arnumber=9050550

Schoeb, G., Lafrenière-Carrier, B., Lauzier, M. & Courcy, F. (2019). Measuring transfer of training: Review and implications for future research. Canadian Journal of Administrative Sciences, Vol. 38, pp. 17-28. DOI: 10.1002/cjas.1577

Seylan. (2020). Annual report. Seylan. Retrieved on May 5, 2021 from https://www.seylan.lk/uploads/3BdAqsoAMIYoAOSxbhKwIxTk52oJ__Seylan%20Bank%20AR%202020.pdf

Sung, S., Y. & Choi, J., N. (2018). Effects of training and development on employee outcomes and firm innovative performance: Moderating roles of voluntary participation and evaluation. Human Resource Management, Vol. 57, pp. 1339-1353, DOI: 10.1002/hrm.21909

Comments

  1. gagana_amadoruMay 10, 2021 at 9:51 AM

    I agree with your views. Learning and development will reflect many key processes of human resource management. Employees are the backbone of the organization. The accomplishments or issues experienced by the organization are contingent on the performance of its employees (Mwema &Gachunga, 2014). Therefore, it is vital for organizational leaders to recognize the importance of training and development in employee performance and evaluation. Enhanced capabilities, knowledge, and skills are the foundation for the organization’s competitive advantage in today’s global market. Employee training and development is a vital component of Human Resources planning activities, because it not only maximizes the returns of individuals, but it may also attract better talent to the organization (Bapna, et.al, 2013).Furthermore, learning and development process develops the thinking abilities and creativity of individuals for better decision making, customer service, complaints handling.


    ReplyDelete
  2. Duminda PereraMay 15, 2021 at 8:24 AM

    Agreed Sathaharan As Burgoyne (1994) has pointed out, learning organizations have to be able to
    adapt to their context and develop their people to match the context. Many individual jobs could be learnt by processes of ‘natural discovery’ rather than formula learning.

    ReplyDelete
  3. Wasantha BasnayakeMay 15, 2021 at 10:10 PM

    Agree with you. As knowledge regarding human development and learning has grown at a rapid pace, the opportunity to shape more effective educational practices has also increased. Taking advantage of these advances, however, requires integrating insights across multiple fields from the biological and neurosciences to psychology, sociology, developmental and learning sciences and connecting them to knowledge of successful approaches that is emerging in education (Hammond,L.D. et al.,2019).

    ReplyDelete
  4. Harsha WijesingheMay 15, 2021 at 10:29 PM

    Agree with you. According to Langer and Yorks (2013), numerous primary HR disciplines can apply by a company where these allow a learning culture in the organizational environment; they are; secured professional environment, Instruction and training programs, common social acceptance, Participating culture, strong team spirit, Judicious recruiting process, and Great pay on performance.

    ReplyDelete

Post a Comment

Popular posts from this blog

Benefits and challenges of training and development

Image
  Benefits of training and development Training and development act as a motivator for employees. This can be justified through motivational theories such as Hergberg’s two factor theory and Maslow’s hierarchy of needs. According to Hergberg’s two factor theory, training and development act as a motivator resulting in advancement and growth. Therefore, the theory suggests that when employees are motived, it leads to job satisfaction (Carson, 2005). Further, as per Maslow’s hierarchy of needs (Figure 01), training and development addresses physiological, social and fulfillment needs of an individual (Ganta, 2014). Induction training sessions meet physiological needs as they prepare employees to the job and familiarize them with their job roles. Trainings designed to enhance communication skills, public speaking and team cohesiveness meet social needs of the employees. Leadership programs to prepare highly skilled employees to their next role as part of succession planning meets fu...
Read more

Motivating performance through organizational culture

Image
Culture can be defined as the shared beliefs, thoughts, morals, beliefs, prospects, attitudes, and norms that interweave a community together. Organizational culture is common beliefs and practices in the organization about how they should operate and interact within the organization (Prajogo et al., 2010). Organizational culture is a driver of organizational innovation and accomplishment (Ceausu, et al., 2017). What motivates employees are organizational behaviour which is based on organizational culture (Kanfer et al., 2016). Previous studies have suggested that there exists a relationship between organizational culture and its performance (performance is the ability (both physical & psychological) to carry out a particular task in a particular manner that can be measured as low, medium or high in scale. Uddin et al., (2013) debated on this point that organizational culture is essentially connected to company practices; therefore, organizational performance is dependent on orga...
Read more

Leading talent through the COVID-19 crisis

Image
  The COVID-19 pandemic originated in China in late 2019 which challenged the supply chains of every business since early 2020 (Keshky et.al, 2020). The World Health Organization declared COVID-19 as global pandemic on 11 March 2020. Although the outlook for 2021 looks promising with the introduction of vaccines, the pandemic has resulted in continuous profound changes for countries, organizations and individuals. According to Leavitt’s proposed model of organizational change, organizations are made of complex interrelated variables such as human, task, technology and structure (Hartmann & Lussier, 2020). The correlates of human variable are people which relates to number of employees, employee knowledge, competencies, personalities and other attributes. The task variable relates to the activities performed within organizational capacity (D’Auria et. al, 2020). These include marketing, sales, procurement of raw materials, production, financing operations, hiring and managing ...
Read more