External Hiring vs. Internal Recruitment: How Companies are Doubling Down on Upskilling Employees
Performance-based Training for Long-term Behavior Change
As policies, procedures, new regulations and technological advancements drive changes in every organization, employees must adjust. Performance-based learning systems help employees to learn on-the-go. Expert L&D leaders know that learning should generate value for organizations but companies seldom quantify the benefits of employee training.
Yet, reskilling and upskilling employees is becoming crucial for business growth more than ever. A recent McKinsey Quarterly survey reports that 90% of respondents said building employee capabilities is a top priority. Only 25% said their programs effectively improve performance in any way they can measure. Only 8% even bother to track the ROI for the training programs on any learning experience platform. Then, how can an organization expect their training programs to develop the skills their employees need and see the actual impact on the company’s KPIs?
Performance-based training for behavior change
Performance-based learning driven by business KPIs generates the most value for organizations. So, what are those KPIs, and how can they be measured? Here are some examples of what companies use to quantify the impact of learning on their workforce performance:
- Front-line employees service quality measured through shoppers feedback
- Hospitality and restaurant industry workers assessed through customer satisfaction rates
- Salespeople productivity in terms of sales volumes and the number of orders
- Call center response quality measured by NPS and more.
Identifying the key challenges and opportunities for growth within your group of employees, combined with the unique KPIs in each industry, set the foundation for the development of any successful training program. Upon that, management takes steps to choose the right eLearning platform to deliver impactful performance-based training. Based on our experience, the most efficient training is the one that is delivered to the right individual at the right time through the right channel.
The KPIs chosen are different in every industry:
- KPIs are aligned with the strategic objectives of the organization (e.g. increased sales, decreased attrition, improved customer service)
- Measuring the wrong indicators can actually harm the business (e.g. measuring only activity levels such as the number of calls, when results, like the volume of sales, are more critical)
- KPI data must be reliable, accessible and timely (e.g. daily/weekly reports)
Some KPIs provide more useful information than others. But it’s not enough to use only one indicator to design and develop your training program. A set of company critical KPIs that cover key business challenges provides the foundation for performance-based training.
The development of any successful training program is much like strategic planning for other aspects of the business. Assess the current situation. Identify areas of struggle. Visualize the improved version. Then, plan how to move from the present into the future. The key challenge that companies face at this stage is the means of the relevant performance-based training delivery.
Data-driven, personalized learning is key for success
A significant problem facing employers is that employees do not want to be sent “back to school”. They often perceive an in-house 5-hour long training session as punishment. Most employee training systems smack of jumping through hoops. A natural resistance to changing ingrained habits is magnified with a lack of motivation to change for the sake of change. Setting a clear personalized learning roadmap helps each employee to see the end goal and to be more excited about the learning opportunities that drive their personal and professional growth.
Personalize and deliver the right learning for the right person at the right time
Each learner has a unique set of current skills and aspirations. Plus, everyone has learning gaps and missing skill sets that a company needs to fill. Personalized and targeted micro-learning builds on existing knowledge and live performance data filling in the gaps and equipping the learner with new skills. Bursts of task-based microlearning content delivered through a learning experience platform upskill employees to improve performance and competence rapidly as they apply their new knowledge right away.
Smart, data-driven gamification and engagement
Gamification applies game-design principles and elements like scoring points, friendly competitions, and rules of play in a non-game context. The aim is to drive desired behaviors to motivate and engage employees to reach and even surpass performance goals. This is where data-driven gamification shines as it creates a unique engagement experience personalized for each employee.
Gamification makes work and learning more interesting, fun, and memorable all while helping employees achieve mastery of new skills and growth in their careers. Gamification specifically enables parts of our brain that helps us achieve a state of focused motivation to tackle complex tasks.
Now, because of data-driven, automated systems, gamification has even greater potential. Technologically savvy millennial workforces require constant engagement, so 70% of Forbes Global 2000 companies use gamified eLearning platforms these days. The implementation of such platforms boosts employee engagement, staff retention and, ultimately, revenues.
The requirements for successful gamification:
- Clearly defined goals based on KPIs
- Measurable steps to progress toward the goals
- Increased status as the goals are attained
- Meaningful rewards for achieving the goals
Today, we see the ideal conditions for this new era of gamification as advanced data-driven systems measure progress with real-time analytics while presenting each employee with customized gamified engagement in work processes.
Promotions and pay raises are not the only ways to encourage motivation. Scientific research shows that incentives play a significant role in motivation, making it well worth for large companies to develop customized incentive strategies.
Incentive Research Foundation discovered that team incentives increase performance by up to 44%. Incentive programs increase engagement and interest in work with new incentives for completing tasks showing a 15% increase in performance.
- When employees are asked to persist to achieve a goal, their performance increases by 27% when supported by an incentive program (for KPIs influenced by persistence levels, like sales, this makes a significant difference)
- Incentive programs to encourage thinking smarter increase performance by 26% (for KPIs influenced by efficiency levels, like in service call centers, this makes a significant difference)
Rewarding performance based on meeting goals generates the most positive results. According to the research, open-ended, quota-based, and piece-rate programs, giving everyone a chance to win the rewards, are the most effective.
Companies get even more motivational impact for lower costs when employees are presented with customized rewards through performance-based training on an eLearning platform.
Performance-based training implementation
Data-driven talent development initiatives train, engage and motivate staff to drive tangible online and offline behaviors to achieve business objectives.
Rallyware Performance Enablement Platform was designed and developed based on the multi-year research to deliver ultimately personalized learning and engagement experience. Since each organization is unique, every deployment is tailored to specific business requirements, refinements, and customizations to achieve maximum impact.
Would you like to peek into the performance enablement platform that can bring the best in each of your people? Request a demo to see Rallyware in action!
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