Learning and development (L&D) strategically aligns employee skills with business objectives. Yearly, millions embark on L&D journeys, spanning compliance, soft skills, upskilling, and more. COVID-19 amplified corporate investment in these programs, with 2022 investment statistics revealing heightened commitment across diverse company scales. However, a gap remains; only 8% of L&D teams quantify their return on investment (ROI), leaving most programs without success metrics.
Calculating ROI involves understanding various expenses: time, effort, and money. Complications arise when creating corporate learning content, requiring 55-177 work hours for a mere 20 minutes. Employees often sacrifice valuable work hours for traditional courses, leading to substantial sunk costs. Additional monetary commitments include transportation, venues, and equipment. Surprisingly, digital platforms can sometimes be just as costly.
Despite substantial investment, satisfaction remains low. Only 10% of traditional L&D expenditure yields tangible results, while ineffective training drains companies of resources, costing up to $13.5 million per 1,000 employees. But hope persists, as each dollar spent on L&D increases revenue by $4.70. The trick lies in selecting the right tool.
Arist, a science-backed microlearning platform, measures ROI using modern key performance indicators (KPIs) and reduces time, cost, and effort spent, thereby amplifying ROI and redefining corporate learning economics. This innovative approach fosters increased confidence, learning adoption, and content creation speed, carving a promising path in the corporate learning landscape.
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Source: Arist
