Dear Ankit, the route that you have advised Tusharika to adopt is outdated. You will find the same information in hundreds of HR or Training books. However, the question remains: has this method of TNA helped in measuring ROI on Training? Not really. In fact, the first source of TNA should be the company's balance sheet.
A significant reason many training managers fail to measure ROI on training is due to faulty TNA. I have previously provided a detailed response on employee training; you can refer to it by clicking the following link:
https://www.citehr.com/523786-traini...ml#post2222367
Personal Experience: Let me provide an example from a client with whom I conducted training. Over the last five years, their "percentage of inventory against sales" has been continuously increasing. Is there better evidence of decreasing operational efficiency? Surprisingly, the HR or Training Head was unaware of this organizational failure despite spending almost Rs 1 Cr on training during the same period. Can there be a clearer example of misplaced training efforts?
For Tusharika: Employee training is an HR intervention that must meet the organization's needs, and training is no exception. Instead of focusing solely on individual needs, I recommend concentrating on driving organizational change. Start by measuring the following:
a) Customer Dissatisfaction
b) Operational failures or quality issues
c) Maintenance problems
d) Under-utilization of capacity
e) Departmental costs
f) Reduction in process turnaround time, etc.
Employee training should address the above-mentioned issues or similar ones. Any improvement or reduction in ratios or costs will help measure training effectiveness.
Thanks,
Dinesh Divekar
[Phone Number Removed For Privacy-Reasons]