Is Training People the Most Profitable Investment ?

Carole Bousquet () and Miguel Delattre ()
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Carole Bousquet: IDRAC Business school Lyon - Institut pour le Développement et la Recherche d'Action Commerciale - Université de Lyon
Miguel Delattre: ISEOR - Institut de Socio-économie des Entreprises et des ORganisations - Institut de socio-économie des entreprises et des organisations, MAGELLAN - Laboratoire de Recherche Magellan - UJML - Université Jean Moulin - Lyon 3 - Université de Lyon - Institut d'Administration des Entreprises (IAE) - Lyon

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Abstract: Any organization, whatever its size or sector of activity, experiences dysfunctions linked to problems of training/job mismatch and a lack of development of individual and collective skills. Although companies are aware of the need for professional training, in reality, they have difficulty overcoming the related dichotomous reasoning: training is mainly seen through its "social" benefits, while its economic impact is mainly reasoned as a cost to the employer, disconnected from the company's strategy and concrete performance objectives. How can we measure the return on investment of training initiatives? How to better manage them? This paper, based on 24 case studies, aims to present a method for managing and calculating the ROI of training actions, or "Intangible Investment on Qualitative Development of Human Potential" (Savall & Zardet, 1987, 2018), accessible to both academics and practitioners.

Date: 2023-08-04
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Published in Academy of management, Aug 2023, Boston (Massachusetts), United States. ⟨10.5465/AMPROC.2023.14998abstract⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-04252669

DOI: 10.5465/AMPROC.2023.14998abstract

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