ROI

The ultimate aim of any training program is to improve organisational performance that will
add to organisational effectiveness and profitability. In order to measure performance, a
company needs to determine the monetary value of the performance in its current status. After
the training intervention has taken place, the learners' performance needs to be measured again,
thus determining if there was an improvement.

Return on investment (ROI) is a measure of the monetary benefits obtained by an organization

over a specified time period in return for a given investment in a training program. Looking at it
another way, ROI is the extent to which the benefits (outputs) of training exceed the costs
(inputs).

Return on Investment as a measure

ROI can be calculated through a cost-benefit analysis by determining the cost (investment in
training) versus the benefit of the learning that has taken place, i.e. the benefit of learning as a
result of training.

ROI can be used both to justify a planned investment and to evaluate the extent to which the
desired return was achieved.

The cost of training is the money invested in the training program. The benefits of the training
program would be the measurable output, like increased productivity, efforts reduction, other
cost saving, income generation, decrease in employee turnover, increase in closing of deals,
increased customer satisfaction resulting in loyalty.

Training interventions from Corpoway will always have assured positive ROI.

Calculation
ROI can be calculated by using following formula: