A group of HR professionals from a financial institution are sitting in a classroom eager to learn and build capability with the ROI Methodology. They all have been asked by their superiors to show the value, impact and ROI of specific initiatives. Initiatives such as the Leadership Development program, the Coaching Program and the Employee Recognition program. HR knows these programs add value to the organization and have presented the Executive Team with feedback from participants. The feedback includes testimonials from managers stating the Leadership Development program is an excellent program and has made a difference in how they manage their team. Participants in the Coaching program have answered a survey and the results indicate that the Coaching Program is valuable, has caused improvement in their communication and interactions with others. The Employee Recognition program has increased the employee engagement score in the last year. The Executive team responded to the HR team stating that this feedback does not prove value, impact or ROI. The Executive team provided HR with some direct questions:
- What difference do these programs make in our organization?
- We have a turnover problem, can you show us how these programs are improving turnover?
- What were the impact objectives of the Coaching program
- How does an improvement in the employee engagement score impact the business?
- How do we know it was the Employee Recognition program that caused the employee engagement score to improve?
- Do the benefits derived from these programs outweigh the costs?
- Is the Leadership Development program aligned with our organizational needs and goals?
- Is there a process we can implement to evaluate our HR programs credibly to prove the value, impact and ROI?
The HR professionals in the classroom are about to learn about the ROI Methodology and will be able to answer the Executive team’s questions, using a credible process.