Learning & Development: “Order Taker” or True Business Partner? Robert Brinkerhoff AHRD Chicago 25 February 2011 …,Innovating How Companies Change, Learn and Improve

© BTS 2010 Partial List: Licensed Advantage Way Customers 3M Agilent Technologies American National Bank Ameriprise Financial Services Bank of America Cargill Catholic Health Partners Catholic Health Initiatives Cephalon Children’s Healthcare of Atlanta Clark County School District Dell Discover Financial Services Energy Australia Holcim IBM Insight Enterprises Johnsonville Sausage Kellogg’s Kroger Limited Brands Nike Novo Nordisk (Denmark) Plastipak Rice University Salesforce.com SPX Symantec Takeda Pharmaceutical Trinity Health Care Toyota Mfg. University of Virginia Medical Center Wrigley

© BTS 2010 © 2010 Robert Brinkerhoff & Advantage Performance Group & BTS – all rights reserved Training: Benefit vs Business Driver Training as a “Staff Benefit” Expectation: Participate, Appreciate Training as Business Driver Expectation: Focus, Participate, Learn and Apply

© BTS 2010 The Proper Goal for Training Not “Learning” or “Competency” or “ROI”…. To make important contributions to strategic initiatives

© BTS 2010 The Proper - “Business” -Goal for Training What are “important contributions…?” To Accelerate Execution of Critical Strategic Change

© BTS 2010 Accelerating Change and Adoption 100% 50% TIME 0 % ADOPTION Expected rate of adoption Accelerated rate of adoption

Two Realities of Training

© BTS 2010 COURAGEOUS TRAINING: Bold Actions for Business Results | February 2008 © 2008 Advantage Performance Group Predictable Training Impact Distribution > 15% DID NOT TRY IT AT ALL TRIED IT TO SOME EXTENT BUT GAVE UP < 15% TRIED IT AND GOT POSITIVE RESULTS

© BTS 2010 COSTS RETURN An Example ? % DID NOT TRY IT AT ALL ? % TRIED IT TO SOME EXTENT BUT GAVE UP ? % TRIED IT AND GOT POSITIVE RESULTS UNREALIZED VALUE Total = $500,000 90/100 did NOT use it or get results Unrealized value = $4.5 million!

© BTS 2010 Unrealized Value Example Good news! People loved it ! Overall rating 4.8 ROI = 200+%! Training for 300 people cost $900,000 Usage of training led to >$1.8 million in new income

© BTS 2010 Unrealized Value Example Bad news… Only 60 of 300 got value (20%) What if 60 more used it just half as well?

© BTS 2010 Unrealized Value Example Bad news… Only 60 of 300 got value (20%) What if 60 more used it just half as well? $900,000 more in value!

So What? Is 15% - 20% Good Enough?

© BTS 2010 Value of More Managers Applying Training [Value of one manager using training = $20,000] Increasingly more return Same cost

© BTS 2010 Lessons of Reality #1 Aim to “Grow” Impact Measure and convert “Unrealized Value” ROI is driven by number of Trainees USING learning The Mission: Not to “Do Great Training ” Instead: Help your company get Great Results from Training

© BTS 2010 COURAGEOUS TRAINING: Bold Actions for Business Results | February 2008 © 2008 Advantage Performance Group COSTS RETURN The Right Training Goal ? % TRIED IT TO SOME EXTENT BUT GAVE UP 90%+ TRIED IT AND GOT POSITIVE RESULTS

© BTS 2010 Failure Mode Analysis – Top Six causes? “Before” - Preparation and Readiness o Senior leaders did not see how the training could help the business and failed to support it o Trainees were not motivated to participate o Managers of trainees did not understand how the training would benefit them or their goals o Trainees did not see exactly how they could use the training in their work o Managers did not encourage trainees to participate “During” – Conduct Learning Intervention o The training facilitators did a bad job o The materials were not relevant to trainees o The trainees were not capable of learning the content o The training materials were poorly organized o The sessions were scheduled at inconvenient times “After” – Support Performance Improvement o Managers did not hold trainees accountable for applying the learning o The incentives for continuing to follow existing procedures were still attractive o The measurement and feedback systems were not sufficient to track new behaviors o Trainees did not get good coaching in how best to use the new behaviors they learned in training o Managers were pressured to keep top-line revenues up and told trainees to just focus on doing things the way they used to COURAGEOUS TRAINING: Bold Actions for Business Results | February 2008 © 2008 Advantage Performance Group

© BTS 2010 High Impact Learning Process Making Training Work

© BTS 2010 Impact of Training Training “Event” TE RESULTS ResultsResults “ Before” “ After”

© BTS 2010 Learning to Performance Process RESULTS Create Focus & Build Intentionality Provide Quality Learning Interventions Support Performance Improvement Greatest Opportunities for – Improvement – Leverage

© BTS 2010 RESULTS Create Focus & Build Intentionality Provide Quality Learning Interventions Support Performance Improvement A New Model for Performance Implementing this approach requires new actions from managers Sustaining this approach is a whole organization accountability – not just L&D’s accountability

© BTS 2010 Business Impact

© BTS 2010 Reality #2 Training alone is never the principal cause of success or failure STOP evaluating “training” Evaluate how well your company uses training to get results “Teach”: An organization cannot delegate results to the “L&D Department” Producing Results is a Whole- organization Responsibility

© BTS 2010 Business Goal The Anatomy of Training Impact: When training works, what happens? Impact occurs when: A training-acquired skill [S] is applied to improve performance in some part of a job that produces a Result [R] that contributes to a Business Goal Learning Intervention S S S S S SS R Individual or Team Job

© BTS 2010 Implication Don’t seek “learning transfer” Seek “Leveraged Application”

© BTS 2010 Manager & Learner Discuss Action Plan and Set Objectives The Advantage Way SM Process Overview CONDUCT LEARNING PROGRAM Clarify Overall Business Goal Linkage Educate and Motivate Managers Facilitate Impact Map Dialogue Between Managers & Learners Help Manager Understand and Plan to Address Performance Obstacles Engage Learners in Impact Map Reflection Prepare Facilitators to Leverage Impact Maps During Program Learners Identify On-job Learning Application Obstacles Learners Prepare Action Plan (based on Impact map) Other Resources Managers Provide Ongoing Coaching and Support ALL Measure Effectiveness and Impact With Success Case Study

© BTS 2010 Key Evaluation Questions Who used the training, how, when and where? When the training was used, what good did it do? When it was not used, why not? When it worked, why? Who did what? What needs to be done to get improved results?

© BTS 2010 Success Case Evaluation Method ® Findings

© BTS 2010 Summary Challenge How make the execution process (change) work faster? How measure acceleration? How do L&D Leaders lead the process? How do we create a “Learning Capable” organization that can: Out-learn in order to Out-execute competitors?

© BTS 2010 NEW BOOK! Published by Berrett-Koehler