Return on Investment in Training

Return on Investment (ROI) in training measures the value gained from employee development activities relative to their cost. It helps organizations determine whether the benefits—such as improved skills, increased productivity, or better performance—justify the expenses of training programs. Essentially, ROI in training answers the question: “Did the investment in training lead to meaningful improvements that positively impact the organization?” A positive ROI indicates that the training was effective and worthwhile, while a lower or negative ROI suggests a need to evaluate or adjust training strategies for better results.