Measuring the ROI of training a leader vs. hiring into a leadership role
Corporate succession Guru and management consultant Darleen DeRosa recently wrote an article featured in Business 2 Community, exploring the ability to measure the ROI of leadership development. In an ever-changing economic environment, CEOs need hard facts in order to make decisions, DeRosa expresses her advocacy not only for the training programs, but also its cost efficiency in the long run. She explains, the mistakes management make by axing development programs and the manner in which to solve it.
A survey conducted by Strategy&, formerly Booz & Company, encompassing more than 500 executives found that 27% of respondents believed they were winning the market due to their leadership vs. 25% basing their success in distinct capabilities of the firm. DeRosa explains the astonishing reasons behind these low numbers as an inability by HR managers to properly track training programs; stating that they need to:
- Conduct a pre & post training assessment
- Collect 360 feedback from direct management / reports
- Appraise the retention of managers
- Track succession of training attendees
At The Emerge Group, we have managers fill out pre-workshop assessments of employees and six months later, after the workshop, send them a second assessment measuring the progress and growth that the workshop has provided them with. This 360 feedback process not only tracks progress over time but also vertical progress from direct management to reports. Our workshops and on-site trainings offer tangible and implementable insights that will impact the strengths and productivity of your managers as well as the cohesion of your team on a whole. Don’t believe in training? The Emerge Leadership Group can provide you with a detailed analysis identifying the costs associated with not addressing key areas in your business. Examples of these areas include: employee turnover, customer satisfaction, and employee productivity.
We understand the challenges of the transition process and specialize in tactics to conquer these obstacles. Emerge Leadership Group provides management with the tools necessary to retain their high-impact managers while tracking the succession rate of training attendees via the deployment of industry surveys. Surveys provide research into key points of tension in the transition process as well as the latest information and approaches used in regards to developing leaders at all levels. The results of these surveys are available via our website.
To read the full article by Darleen DeRosa, click here: