Blog Post

7 Ways to Measure the ROI of Learning and Development

Shannon Howard
November 13, 2025
Black illustration in Black for 7 Ways to Measure the ROI of Learning and Development

Almost any article you read about learning and development (L&D) talks about the importance of measuring impact.

But according to Brandon Hall GroupThink Like a CEO Study, nearly 40% of learning leaders report that they don’t know how their measurement approach reflects learning’s impact on individual and organizational performance.

Let’s change that.

The truth is, employee training has a measurable impact on business outcomes—from higher retention and faster ramp times to improved productivity and engagement. In fact, employee training statistics highlight just how much well-designed learning programs can drive growth, performance, and culture.

In this post, we’ll share seven measurable ways you can prove the ROI of your learning programs. And to keep it actionable, we’ll share metrics and examples you can start tracking right away.

1) Track Ramp Time for New Hires

For roles where time to productivity matters—like sales, customer success, or engineering—reducing ramp time is one of the clearest signs of L&D impact. The faster a new hire reaches full productivity, the sooner they contribute to revenue or output.

To measure this, compare the average time it takes for new hires to hit key milestones (like first closed deal or first completed project) before and after implementing a structured onboarding program. If new hires are ramping 20% faster, that’s a direct ROI you can calculate. Multiply the time saved by the average daily contribution per employee to quantify the impact in dollars.

What to measure: Time to productivity or time to first meaningful milestone (e.g., first sale, first closed ticket, first production-ready PR).

How to measure: Compare average ramp time before/after you implement structured onboarding and required learning paths.

2) Measure Employee Retention and Engagement

Research from The Predictive Index found that opportunities for learning and development were one of the top drivers for employee engagement and retention.

When employees see clear pathways to grow their skills and careers, they’re more likely to stay. And with employee turnover costing 50%-200% of an employee’s salary, there’s a direct line between education and cost savings.

Start by comparing retention rates between employees who’ve completed key programs (like leadership development or role-specific certifications) and those who haven’t. You can also track engagement scores or internal survey data for these same groups. If learners show higher engagement and lower turnover, your L&D investment is paying off through stronger loyalty and lower hiring costs.

What to measure: Voluntary turnover rate, retention at 6/12/24 months, and engagement scores for program completers vs. non-completers.

How to measure: Cohort analysis across programs (e.g., leadership pathway, role onboarding) and compare like-for-like roles/tenure.

3) Correlate Training with Performance Improvements

This is where L&D gets real business credibility. The goal is to show how learning programs lead to measurable performance gains.

Pick one or two KPIs that matter most to your business (e.g., sales revenue, customer satisfaction, error reduction, or project cycle time) and track how those metrics change after training. For example, after project managers completed a new process management course, your on-time delivery rate might increase by 25%. If your service team received advanced product training, customer satisfaction might climb by several points. That’s learning linked to business outcomes.

What to measure: Role-specific KPIs (sales per rep, CSAT/NPS for support, cycle time for engineering, quality/defect rates for ops).

How to measure: Pre/post comparison at the learner or team level; include a “did not train” control group when possible.

4) Quantify Skill Growth and Readiness

ROI isn’t always in the numbers. Sometimes it’s in the skills your workforce builds, helping your teams become future-proof. 

You can measure progress using assessments, certifications, or manager evaluations tied to specific competencies. For instance, after AI training, you might find a 40% increase in employees demonstrating proficiency in leveraging AI in their everyday workflows. 

What to measure: Skills assessments, certification pass rates, manager ratings against a competency model.

How to measure: Baseline → training → reassessment; track lift and time to proficiency for critical skills.

5) Connect Learning to Career Mobility

Career mobility is one of the most meaningful measures of learning success. When employees use training to move into new roles or advance in their careers, the value compounds: engagement rises, retention improves, and recruiting costs drop. (We’ve loved witnessing this firsthand with our customer Allied Universal!)

To measure this, track the percentage of internal promotions or lateral moves among employees who completed key programs. You might discover that 80% of promotions come from graduates of your leadership development track, or that employees who complete a specific certification are twice as likely to move into higher-impact roles. This data shows how L&D directly powers career growth and your organization’s talent pipeline.

What to measure: Internal promotions, lateral moves, and talent pipeline health for critical roles.

How to measure: Attribute promotions to completion of prerequisite paths (e.g., Leadership 101 → People Manager).

6) Link Training to Cost Avoidance and Efficiency

It’s worth saying again: Not all ROI shows up in revenue. Sometimes the biggest wins come from what doesn’t happen—like costly mistakes, compliance violations, or inefficiencies.

Compare metrics like error rates, safety incidents, or rework costs before and after targeted training. For example, after implementing a quality control learning path, your manufacturing team might see a 35% reduction in product defects. Or your compliance training might cut policy violations in half. These avoided costs add up fast and prove the preventive value of learning.

What to measure: Reductions in errors, rework, overtime, safety incidents, and compliance violations.

How to measure: Compare incident rates before/after targeted training; quantify average cost per incident avoided.

7) Evaluate Learning Engagement and Utilization (as Leading Indicators)

Engagement metrics (e.g., course completions, time spent learning, and repeat visits) are leading indicators of success. While they don’t show ROI on their own, they’re early signals that your learning programs are resonating and driving behavior change.

Track participation trends across teams or departments, then correlate those with performance or retention data. If the teams most engaged in learning also have the highest performance or satisfaction scores, you have a compelling case that education is fueling overall business health.

What to measure: Course completions, active learners, time spent learning, knowledge-check scores, repeat enrollments.

How to measure: Track engagement in your LMS and correlate with downstream outcomes like performance or retention.

Dive deeper into leading & lagging metrics in our guide to education metrics → 

Getting the Data (Even If Your Systems Aren’t Perfect)

Your data may live across multiple systems (e.g., your LMS, HRIS, and performance management tools), but even simple analysis can reveal powerful insights. Start small: pick one or two metrics that connect learning to outcomes your executives care about most.

Over time, you’ll build a more complete picture of how learning drives organizational performance and earn the data you need to advocate for more resources, visibility, and strategic influence.

Proving ROI isn’t just about showing that training “works.” It’s about showing that it moves the business forward. When you connect learning programs to productivity, retention, and efficiency, L&D becomes not just a function, but a competitive advantage.

Shannon Howard

Senior Director of Content & Customer Marketing
Shannon Howard is an experienced Customer Marketer who’s had the unique experience of building an LMS, implementing and managing learning management platforms, creating curriculum and education strategy, and marketing customer education. She loves to share Customer Education best practices from this blended perspective.