E-learning and Calculating Return on Investment

E-learning ROI

Any time a major corporation, government agency or other organization conducts training they are making a substantial investment in their employees. This is measurable through sometimes complex calculations that factor in several variables to determine a return on investment (ROI).

As an individual seeking a degree, continuing professional education, certification, or new skills, education is a strong investment in your future and you can measure your return on investment as well.

The goal for individuals and corporations is generally the same - to use education and training time effectively and come away with new knowledge and skills to apply in careers.

Here are some things business and industry training managers use ROI measurements for, juxtaposed with examples of how an individual might measure ROI when undertaking their own education.

• Defend the cost of training (demonstrate enhanced productivity)
• Practice Kaizen (improve courses through review and evaluation)
• Substantiate training as a viable business function (tie it to a business objective)

• Increased income potential (higher education is associated with higher lifetime earnings)
• Greater global awareness (better comprehension of local, national, and world issues in your chosen field)
• Ability to share knowledge learned (giving back to family, friends, and community)

E-learning makes education more accessible and has great payoffs for both the corporate world and the individual. The anytime, anywhere delivery of elearning is appealing to big companies as it allows employees to access the training at the most convenient times, eliminates the need for a traditional classroom, cuts travel costs, and brings business objectives to the desktop. All of these factors combine to improve productivity and the bottom line.

For individuals, elearning brings education to your home on your time - very appealing to many of us who are busy with careers, raising a family, or are place bound. Travel costs (including fuel, parking, and vehicle maintenance) are all but eliminated. Other tangible costs such as child care and food can be drastically reduced. The benefits also include being able to spend more time with family and learning when your motivational level is highest.

Use the detailed subject category listings of online education and training providers at World Wide Learn to find your future today, and begin to calculate your own return on investment.

By Bob Embrey
Contributing Writer to World Wide Learn. © 2005. All Rights Reserved.