The CIPD survey (2009a) stated that the biggest change in learning and development over the next five years is expected to be “a closer integration of Learning and Development activities with the business strategy” and “a greater emphasis on the monitoring and evaluation of training effectiveness”. This presents a significant challenge for learning and development professionals as in the Value of Learning Poll (2009b) 70% of HR and training professionals stated that ‘serious’ evaluation is too time consuming and costly and that they had other priorities. 51% of HR and training professionals felt that they lacked effective evaluation techniques. 53% said that future decisions regarding learning were not influenced by the evaluation of previous learning interventions. 60% felt that the benefits of learning and development were too difficult to measure. Despite these difficulties, UK organisations spend £38.5 billion on training each year. (CIPD 2009c)

The blackswan learning model aims to support learning and development practitioners, HR managers and coaches to measure the value of learning activities and return on investment.

Should we always measure Return on Investment?

There are significant benefits of measuring Return on Investment. It is a term that is understood at senior management levels and can help to build a business case and credibility for the learning activity by demonstrating a clear impact on the bottom line.

The decision to measure ROI will depend on the objectives of the learning activity. Where outcomes are tangible, ROI will be a very effective way of measuring the contribution of the learning activity to the organisation and the financial returns. Where the objectives of the learning and development activity are intangible then it may be less helpful to measure ROI as the data may be less meaningful. In this case the learning should still be measured but an ROI need not be calculated.

Two processes are outlined to support the measurement of value and the measurement of ROI in learning.

The blackswan Learning Value Model, building upon the work of Kirkpatrick (1979), Hamblin (1974) (in Harrison 2005) and Phillips (2007) demonstrates the benefits of learning and development over time. The axes in the model above show the timing of the returns and the depth of the learning that has been embedded into the organisation. The three levels of measurement include face validity, outcomes and impact and these are described below.

Face validity measures feedback on the learning activity. How well was it carried out? How relevant was it? What are the initial impressions?

Outcomes are divided into two subcategories:

• Knowledge and skills including new knowledge, information, skills and techniques acquired by the learner as a result of the learning activity.

• Behavioural measures will determine how far the learner has been able to implement the knowledge that they have acquired. How far have their behaviours and habits changed at work? At this level the learning will have an impact on improved individual performance in terms of discernible, measurable changes.