How to Measure Success with L&D KPIs

Embracing effective, modern digital learning is a simple way that businesses are streamlining internal training and reducing training costs.

Using quality eLearning courses ensures employees complete up to date, relevant, consistent and targeted training and the business saves significant costs of traditional training methods.

KPI: Cost Savings from eLearning
Measurement: Track the percentage reduction in training costs achieved by implementing eLearning compared to traditional training methods.

Teams often spend a significant amount of time on administrative tasks.

Implementing automated systems, such as with a robust Learning Management System (LMS), can yield significant advantages. Your employee learning professionals can free up resources and focus on strategic and personal aspects of their roles.

Replacing manual admin processes with automated solutions enables teams to optimise their efficiency and productivity, leading to improved outcomes. Learning management systems on average reduce training costs by 25% to 40% .

KPI: Efficiencies of Administrative Tasks
Measurement: Quantify the number of hours or percentage of time saved by automating manual administrative processes in the L&D department. Quantify reduction of errors or delays due to manual processes.

Consider training KPIs for evaluating training effectiveness. This is essential to unlock the full potential of specific training initiatives.

By measuring pre and post-training skills levels organisations can gauge the impact of training programmes on employee skills development and overall success of skills training initiatives.

KPI: Skills Training Effectiveness
Measurement: Assess effectiveness of programmes through training KPIs such as skills based score improvements, supervisor feedback on performance enhancements, and the decrease in errors related to specific skills.

Further important training KPIs are completion rate, and completion timeframe measures. These demonstrate not only participant engagement, but are also indicative of any barriers to the training programmes.

For example, are staff finding your training tools hard to use?

Are the courses dull and off putting, or lacking credibility?

An elevated completion rate within a condensed timeframe indicates motivated employees who possess the necessary tools to effortlessly accomplish the training.

KPI: Completion Rate within Time Frame
Measurement: Calculate the percentage of employees who successfully complete assigned training within a specified timeframe. If rates are low, gather employee feedback to find out why.

Effective training plays a crucial role in preventing regulatory fines and safeguarding a company's reputation.

By implementing risk-based training, organisations can minimise compliance breaches and potential reputational damage.

For instance, cybersecurity training alone can reduce the risk of breaches by 77%, saving businesses an average of £5,600 annually.

KPI: Compliance Training Effectiveness
Measurement: Assess the percentage of employees who successfully complete compliance training and pass related assessments or evaluations.

Assess the level of interest and involvement of employees in voluntary learning activities.

Measure the number of employees actively participating in learning initiatives, their frequency of interactions with learning platforms, and feedback scores on learning experiences.

KPI: Non-compulsory Engagement Rates
Measurement: Track the participation rate of employees in learning activities such as eLearning modules, along with their frequency of interactions with learning platforms such as Personalised Learning and Self Directed Learning.

Tailoring learning journeys to meet individual employee needs and interests can boost engagement and increase staff satisfaction. Studies show that companies with high engagement levels achieve, on average, 21% higher profits.

By aligning learning initiatives with employee preferences, organisations can create a positive and engaging learning environment.

KPI: Employee Engagement Index
Measurement: Conduct regular surveys or assessments to gauge employee engagement levels and calculate an engagement index score.

Investing in mental health courses can have a significant impact on employee wellbeing and overall business performance.

Employers who spend £1 on mental health initiatives can expect a return of £5.30  through reduced costs associated with absence, presenteeism, and staff turnover. Prioritising mental health not only benefits individuals but also contributes to a healthier and more productive work environment.

KPI: Return on Investment (ROI) of Mental Health training
Measurement: Analyse the financial impact of mental health initiatives by comparing the costs saved on absence, presenteeism, and staff turnover against the initial investment in a quality mental health learning programme.

Efficient onboarding processes are vital for ensuring new employees reach their full potential quickly.

By investing in systems, such as an LMS, that facilitate seamless onboarding and initial training from any location, organisations can accelerate time-to-competence and achieve greater agility.

Optimised onboarding leads to better employee performance and smoother integration into the company culture.

KPI: Time-to-Competence
Measurement: Determine the average time it takes for new employees to reach a specified level of competence or productivity, starting from their onboarding date.

Soft skills are increasingly valued in the workplace. Investing in the development of these skills can yield substantial returns.

Studies indicate that organisations that focus on enhancing soft skills across their workforce can experience up to 250% ROI over an 8-12 month period. By fostering skills such as communication, leadership, and adaptability, companies can enhance employee performance and drive organisational success.

A Personalised Learning system is an example of how to provide soft skills development for every employee.

KPI: Soft Skills Development Index
Measurement: Evaluate the progress and improvement in specific soft skills areas, such as communication, leadership, or teamwork, through self-assessment, feedback surveys, or performance evaluations.

Employee turnover can be costly for organisations. By focusing on personal development opportunities, L&D programmes can reduce staff turnover rates.

In fact, lack of personal development was cited as the top reason for job dissatisfaction in 2022.

Implementing effective learning initiatives that address this concern can save businesses an average of £3,000 per employee replaced.

KPI: Employee Retention Rate
Measurement: Calculate the percentage of employees who remain with the organisation over a specific period, such as annually.