Measuring ROI for soft skills training: A guide for smart decision makers

Are you considering investing in soft skills training for your organisation but feeling unsure about how to measure its impact? You're not alone. Many individuals and businesses are keen on enhancing their workforce's soft skills, but they often struggle to determine whether the investment is paying off.

Understanding Soft Skills Training

Before we dive into measuring the ROI, let's clarify what soft skills training entails. Soft skills encompass a range of interpersonal and communication abilities, such as teamwork, leadership, problem-solving, and effective communication. These skills are increasingly recognised as essential in today's workplace, as they contribute to improved employee performance, job satisfaction, and overall organisational success.

So, how can you measure the effectiveness of soft skills training? Here are some key steps to help you assess its impact:

Define Your Objectives

Before embarking on any training program, it's crucial to set clear and specific objectives. What do you hope to achieve with the training? Identifying your goals will make it easier to measure the results later on. For instance, you might aim to improve employee collaboration or enhance customer service. Have not only a goal but a key measure in mind you can refer back to. Often this can be outlined in coordination with the service provider delivering the training.

Assess Current Skill Levels

To measure the impact of training, you need to have a baseline to compare against. Conduct a skills assessment before the training to understand your employees' current proficiency levels. This doesn’t have to be overly complicated. A quick baseline measure of skill can be gathered in the first 5 minutes of a training session.

Choose the Right Training Program

Select a training program that aligns with your objectives and the specific needs of your workforce. Ensure that the content is engaging, practical, and designed to enhance the identified soft skills. With soft skills, often the most important aspect will be whether participants have had an opportunity to practice these skills and in what format that may take place. Without an opportunity for practical application, it’s likely the theoretical skills learned will not be embedded.

Post-Training Assessments

After the training is complete, conduct post-training assessments to measure skill improvement. Compare the results to the baseline data gathered earlier. Look for quantifiable changes, such as improved communication within teams or a decrease in customer complaints. This is something that can be coordinated by the provider running the training as well.

Gather Feedback

Don't forget to collect feedback from participants. This qualitative data can provide valuable insights into the training's effectiveness. Ask employees about their experiences, what they learned, and how they've applied their new skills in their roles.

Measure Tangible Outcomes

In addition to assessing soft skills, try to identify tangible outcomes that can be linked to the training. For example, increased employee satisfaction might lead to reduced turnover, which can be measured in terms of cost savings. Soft skill training can be linked to increased customer satisfaction as customers feel listened to and understood in interactions.

Actual return on investment (ROI) calculation

To calculate the ROI, compare the costs of the training program with the quantifiable benefits it has brought to your organisation. This could include improved employee performance, customer satisfaction, or any other relevant metrics. Be clear in how to make these net benefits into a measurable score. This is something your training provider can assist you with.

The formula for ROI is:

Measuring the ROI of soft skills training is essential for making informed decisions about investing in your organisation's development. By following these steps and maintaining a focus on your specific objectives, you can evaluate the impact of any training program effectively. Remember, it's not just about the numbers; feedback and qualitative data also play a significant role in assessing the true value of soft skills training. So, whether you choose our services or another provider, ensure that your investment in training contributes to the growth and success of your organisation.