Speaker 1: Employee training is crucial for any business, but it's also not cheap. For example, in 2021, US businesses collectively spent $92.3 billion training their employees. But how can you know whether the money spent on training is worth it? The answer is simple. You need to measure training ROI. Let's find out how. Hi, I'm Nelly. Welcome to this episode of Learning Bites. In today's video, we'll talk about what training ROI is and how you can measure it using the Kirkpatrick model of training evaluation. If you want to know more about how you can use the Kirkpatrick model, check out our in-depth guide on measuring learning effectiveness using the link in the description below. And as always, don't forget to subscribe to our channel. Hit the notification button and like this video. Now let's dive in. Training ROI measures how much an organization gains from its investment in training. It measures the impact of training on the trainee's knowledge, skills, performance and the company's ROI. You need to measure training ROI to make a case for spending money on training. Ensure that you're investing in the right training programs. Prioritize training that has the highest impact on your organization. Quantify the value of your training. To measure training ROI, you can use the Kirkpatrick model of training evaluation. This is a four level model used to determine a training program's effectiveness. The first level is reaction. The second is learning. The third is behavior. And the last level is impact. Now let's take a closer look at each level. Level one, reaction. At this level, you need to evaluate learners' reactions and responses to the training. Your goal is to understand participants' level of satisfaction and identify any patterns and areas for improvement. KPIs for level one include participation rates, completion rates, net promoter scores. You can gather the data for these KPIs using surveys and questionnaires. You can use questions such as, on a scale of 1 to 10, how valuable did you find this training? On a scale of 1 to 10, how likely would you recommend this training program to a colleague? Level two, learning. The focus of this level is on finding out the knowledge and skills your employees have gained after your training. KPIs for level two include acquired knowledge and or skills, transfer of training into daily performance. You can measure this by observing employees' performance on the job and noting if there is any improvement or if they've gained any new skills. You can use peer reviews, assessments, or pre- and post-training questionnaires. Include questions like, how confident are you in your ability to perform in your job since your training? What did you learn from your training to help you perform at a higher level in your role? Level three, behavior. At this level, your goal is to find out how your employees' behaviors have changed due to training and to what degree. KPIs for level three include employee engagement, morale. This can be measured through observation and reviews pre- and post-training. Ask questions like, how have you put what you learned in training to use in your job? How confident are you in teaching your acquired knowledge and skills to someone else? Do you feel like your behavior is different now than it was before the training? Level four, impact. The goal of the final stage is to measure your training's impact on business results. You need to look for key indicators such as increased employee retention, higher productivity, higher sales, customer satisfaction. You can use focus groups to measure customer satisfaction. Conduct interviews with managers to see if they notice a change in employee productivity and analyze data on employee turnover and commercial performance. And that's how you can use the Kirkpatrick model to measure training ROI. If you want to learn more about this model, download our guide on how to measure training effectiveness using the link in the description below. In the meantime, don't forget to like our video, hit the notification button and subscribe to our channel. We really appreciate it. Thank you and see you soon for another Learning Byte.