As a training and development manager, you are responsible for developing a training budget that can demonstrate to senior management a good return on investment (ROI) for your company. To prove that the company has a good ROI, you need to show the link between employees' educational proficiency and corporate earnings.
Start by outlining the total cost of the training program and assessing the potential benefits to your organization. The budget must fund training that is both in line with your organization's requirements and adequate for your employees' needs. Next, assess how many people need the training and the type of training that would benefit them.
After you complete the needs assessment, it's a good idea to compare several implementation plans and to determine the most cost-effective plan.
Finally, develop your budget. By using an ROI approach to develop your training budget, and by comparing various scenarios to determine the most cost-efficient method of delivering a training program, you are more likely to win the support necessary to implement your program.
The following links provide you with the tools and information that you need to develop a cost-effective training budget and to realize a positive ROI for your company.
Assess training needs and develop your budget