ROI Quiz

ROI is possible for all types of programs. Soft skills programs such as leadership development and coaching are ideal candidates for ROI because they are the types of programs on which many executives shine the spotlight.

If senior executives are asking for it and you don't have it, you're probably too late. Develop capacity in the ROI Methodology sooner than later.

While control group arrangement is the ideal approach to isolating the effects of a program on results, setting up one is not always feasible. However, there are other options. One technique that is always an option is the use of estimates.

Of course not. The two very simple formulas, the BCR and ROI, are developed by comparing the monetary benefits of a program with the costs -- it's that simple.

Program evaluation is all about process improvement.

While the true ROI of a program is developed on past performance, ROI is routinely forecast for programs and projects before they ever get off the ground.

The ROI Methodology generates six types of data: reaction, learning, application, impact, ROI, and intangible benefits.

That is correct. Once your system is in place and you are working with the standards and guidelines as they are intended, you can conduct all of the evaluation you need to for only a small portion of your budget.

This is true. Not all programs need to be evaluated to impact and ROI. Programs and projects that are expensive, have a long life-cylce, reach a large audience, and have the attention of senior executives and administrators are candidates for evaluation up to impact and ROI.

Actually, the ROI would be 100%.

The ROI Methodology is intended to evaluate programs, not people.

No way. The best time to think about ROI is before the program is designed.

The key words here are "always" and "credibly." While you can always convert a measure to money, that does not mean you should always convert it to money. If converting a measure to monetary value costs too much or positions the evaluation to be perceived as lacking credibility, don't convert the measure money. It is better to have a moderate to low ROI with strong intangible benefits than an extremely high ROI that you spent a lot of money on and no one believes you.

While from time-to-time some executives are unaware that a program is adding no value, for the most part, they are very much in touch with the success (or lack thereof) of HR/learning and development programs.

While senior executives value the data derived from an ROI study, they are quick to realize it is not necessary (nor feasible) to conduct ROI studies on all programs.

We would say false. If the course is providing employees the fundamental skills they need to do their job and it is somewhat inexpensive, you probably do not want to evaluate the program up to ROI.