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RE-IDENTIFYING STAKEHOLDERS FOR A GREATER RETURN ON TRAINING INVESTMENT(ROTI) IN


CORPORATIONS

BY
SAMUEL SULE, Ph.D.

INTRODUCTION
The Corporate Organization creates and implements a structured learning and development pro-
gram that aligns with the organization's goals and objectives. The role of the Learning and Devel-
opment (L&D) department in Organizations is to design, implement, and manage training pro-
grams and initiatives to appropriately improve employees' skills. This is done in a way and manner
that will help the Organization achieve its set goals and objectives. No organization is capable of
handling all its training needs internally. This would amount to establishing a University for the
Corporation. Even then, no University is large enough to handle all field training. This is where the
VENDOR comes in. The Vendor complements the role of the L&D team, or it can be said that the
Vendor gives the training that the L&D department cannot provide or the training that cannot be
generated internally from within the Organization.
No matter how diverse Organizations are in their formation, they all have a major
common objective: maximize Return on Investment.
This paper takes a deep look at how these entities (the Organization, the L&D department, the
Vendor, and the employee) must interact and play their roles effectively for the Organization to
maximize its Return on Training Investment (ROTI).

THE LEARNING AND DEVELOPMENT (L&D) DEPARTMENT IN THE CORPORATE


ORGANIZATIONS
The main goal of L&D departments is to enhance the overall performance and productivity of the
organization by equipping its employees with the appropriate and relevant skills they need to be
ahead of the competition. The Learning and Development Department's L&D departments typi-
cally offer a variety of training programs. This includes 1) Onboarding programs to help new em-
ployees familiarize themselves with the organization to properly fit into the company policies,
procedures, and culture. 2) Skill-based training that helps employees develop specific technical or
soft skills needed for their job, to list but a few. The L&D departments must work closely with
managers and human resources to identify the training gaps of employees and to fashion out pro-
grams that meet those needs. They use various valuation techniques to measure their training
programs' impact so they can improve on them. Apart from measuring the impact of training pro-
grams, another very important role of the L&D department often played down is the assessment
and evaluation of the Vendors. In this write-up, the vendor is understood to be the one directly in-
volved in the transfer of knowledge and skills to the trainees. The Vendor must know that both his

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methods of passing knowledge and the quality of the materials are being assessed and evaluated.
In some L&D departments, training is deemed not completed until the trainee completes the as-
sessment form. This is commendable. However, these assessments or training evaluation forms
must be treated with the utmost severity it demands. One person or a group of people must be
responsible for submitting either a quarterly or bi-annual report on the assessment of the Vendor
to the management to determine if the Vendor should be retained or not. Often the assessment
forms are not followed up.
Overall, the role of L&D in supporting the growth and success of corporate organizations by ensur-
ing that their employees have the skills and knowledge they need to perform their jobs effectively
cannot be over-emphasized.

THE ROLE OF VENDORS IN THE LEARNING AND DEVELOPMENT STRUCTURES OF


CORPORATE ORGANIZATIONS
Vendors play an important role in the Learning and Development (L&D) structures in a corporate
organization by providing specialized knowledge and expertise in specific areas. Vendors are usu-
ally scouted for and recommended for engagement by the L&D department to the management
based on their credentials. Some of the key roles that vendors play in L&D structures include Con-
tent creation and delivery: Vendors create customized training content to meet the organization's
specific needs. This may include instructional design, multimedia production, and content man-
agement. The content delivery may be in the form of instructor-led training (ILT), virtual instruc-
tor-led training (VILT), or hybrid mode.
Overall, vendors play a critical role in supporting the L&D function by providing specialized
knowledge and expertise, as well as the resources and technology needed to deliver effective
training programs. By working closely with the L&D department, vendors help to ensure that
employees receive the training and support they need to succeed and that the organization
can achieve its training and development goals.

REQUIREMENTS FOR APPOINTING OR RETAINING VENDORS BY L&D FOR


THE CORPORATION
For maximum return on training investment (ROTI), when appointing vendors for Learning and
Development (L&D), organizations should consider some important requirements to ensure
that they can deliver training programs that meet the needs of the organization. It is important
to point out here that it is not just only the training quality programs and materials that matter
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but the quality of interaction with the trainees is very important. The vendor cannot just de-
liver the quality materials not minding how much of this is understood by the trainees. The
Vendor must have some knowledge of pedagogy. He must make time to repeat, ask questions,
and let the trainees put in their own words what they have learned. When necessary, he must
demonstrate practical aspects of the subject matter. The vendor or the instructor must be
knowledgeable in the language of instruction. This is to avoid using confusing words or termi-
nologies. All these aspects of the training must be taken into consideration to allocate the
proper timing and resources for effective training. Training that is short of these components is
designed to fail from the start. It is therefore important that the Vendor must have some ele-
mentary background in pedagogy. This is not too much to ask if you have chosen this career
path. Some other key requirements that organizations should consider when selecting L&D
vendors include relevant expertise: Organizations should look for vendors who have a proven
track record of delivering effective training programs in the relevant area of expertise. This may
include experience in delivering specific types of training such as leadership development, di-
versity, and inclusion, or technical skills training.
By considering these important requirements in appointing vendors for their L&D programs, or-
ganizations can be sure of having high-quality training programs that will guarantee a good re-
turn on training investment.

LOOKING AT LEARNING THROUGH THE LENS OF THE EMPLOYER


When viewed through the lenses of an employer, learning is an investment in their employees.
By providing opportunities for employees to develop new skills and knowledge, employers can
increase the overall productivity of their workforce. This will improve job satisfaction and in-
crease job retention.

It is necessary to point out here that the employer looks at training with a sincere and opti-
mistic view. The views are indeed noble from the employers' point of view, but training as pro-
ductive as it is, can be a double-edged sword in the hands of
the employers. We will examine this in the next section.
In conclusion, when viewed through the lens of an employer, learning is an essential aspect of
a successful workforce. However, training can be a double-edged sword in the hands of em-
ployers.

LOOKING AT LEARNING THROUGH THE LENS OF THE EMPLOYEE


When viewed through the lenses of an employee, learning represents a personal investment in
their career development and future success. Learning new skills and knowledge can lead to
increased job mobility, greater job security, and job satisfaction.
Employees may choose to focus on developing specific skills that are directly interesting to
them in their current job, or they may choose to broaden their knowledge and skill set in other
areas. When we looked at the employer’s view of training, we saw that he did not see these
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two important points: increased job mobility and broadening the knowledge and skill set in
other areas for the employees. Yes! Some and possibly many employees see training as a way
of preparing or equipping themselves for their next job. A lot do not go through training with
the mind of improving themselves for their current jobs. Why should they? They already have
this one after all. If this is the case and it is, the question is, should corporate organizations
stop training? Of course, no!
The Corporate Organization must come out with a way to maximize its return on training in-
vestment and not train its employees for others or competitors.

In conclusion, it must be understood by the employers of labor that as good as


training can be in the interest of the organization; it can have some disadvantages, if not prop-
erly implemented.

MANAGING THE DIFFERENCE OF LEARNING INTERESTS BETWEEN THE EMPLOYEE AND THE
EMPLOYER IN THE INTEREST OF BOTH PARTIES FOR MAXIMUM ROTI
We have seen the area of conflict of learning interest between the employee and the em-
ployer: Increased job mobility and broadening the knowledge and skill set in other areas for
the employees. This is totally in the interest of the employee and not the employer. To navigate
around this and come out with a win-win situation for both, the corporate employer may need
to review her career growth policy where the role of learning and development of the em-
ployee is properly entrenched. Needless to say here the lack of concrete policy on career
growth in some corporations does not help anyone. Organizations cannot afford to leave the
matter of career growth to chance. A proper career growth pattern states a no of measurable
performance indexes that must be achieved within a specified time for an employee to earn a
promotion to the next level of his career path. When an employee is left on the same level for
more than two to three years, you cannot motivate such an employee with training. It is al-
most impossible. Therefore, to motivate the employee for effective training in the interest of
both the employer and employee, the organization needs to stipulate a reasonable number of
RELEVANT pieces of training or a number of hours of relevant training within a specified time
frame along with some other measurables to earn a promotion. For instance, in two years an
employee must have attended five trainings, or a total of five hours of training, and must be of
good behavior, without warning against him/her and the likes. It should not be forgotten that
as the employee waits for his next promotion, he needs to be given annual increments. To un-
derstand the importance of a reasonable annual increment for the employee, it is important to
consider the fact that an employee who has worked in your corporation for one year and has
enjoyed some training benefits stands a chance of being employed by a competing Organiza-
tion with up to double the pay rise.
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Properly managing the difference of interests in learning between the employer and employee
is key in return of training investments for the employer. This involves a review of the organiza-
tion’s policy on career growth and incorporating the clause on learning.

INTEGRATING THE ROLES OF L&D, VENDORS, EMPLOYERS, AND EMPLOYEES FOR THE BEST RE-
TURN ON LEARNING INVESTMENTS.
Integrating the roles of Learning and Development (L&D), vendors, employers, and employees
is key to maximizing the return on training investment (ROTI) for corporations. These entities
cannot be seen in isolation but wisely interwoven. Each entity’s responsibilities are different
but each one is indispensable in realizing the organization’s set objectives. They must see each
other as key or primary stakeholders in the organization.

CONCLUSION/TAKEAWAY KEYS
In conclusion; by working together, L&D, vendors, employers, and employees seeing one an-
other as stakeholders in the training structure of an organization and creating a supportive and
effective learning environment will maximize the return on training investment ROTI for their
corporations. The key issue here is seeing each other as stakeholders in the organization.

Properly managing the difference of interests in learning between the employer and employee
is key in return of training investments (ROTI) for the employer. This involves a review of the or-
ganization’s policy on career growth and incorporating the clause on learning.

When viewed through the lens of an employer, learning is an essential aspect of a successful
workforce. However, training can be a double-edged sword in the hands of employers if not
properly utilized.

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