Where Companies Go Wrong with Learning and Development

Here is an excerpt from an article written by Steve Glaveski for Harvard Business Review and the HBR Blog Network. To read the complete article, check out the wealth of free resources, obtain subscription information, and receive HBR email alerts, please click here.

Credit:  Gregor Schuster/Getty Images

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Organizations spent $359 billion globally on training in 2016, but was it worth it?

Not when you consider the following:

  • 75% of 1,500 managers surveyed from across 50 organizations were dissatisfied with their company’s Learning & Development (L&D) function;
  • 70% of employees report that they don’t have mastery of the skills needed to do their jobs;
  • Only 12% of employees apply new skills learned in L&D programs to their jobs; and
  • Only 25% of respondents to a recent McKinsey survey believe that training measurably improved performance.

Not only is the majority of training in today’s companies ineffective, but the purpose, timing, and content of training is flawed.

Learning for the Wrong Reasons

Bryan Caplan, professor of economics at George Mason University, and author of The Case Against Education, says in his book that education often isn’t so much about learning useful job skills, but about people showing off, or “signaling.”

Today’s employees often signal through continuous professional education (CPE) credits so that they can make a case for a promotion. L&D staff also signal their worth by meeting flawed KPIs, such as the total CPE credits employees earn, rather than focusing on the business impact created. The former is easier to measure, but flawed incentives beget flawed outcomes, such as the following:

We’re learning at the wrong time. People learn best when they have to learn. Applying what’s learned to real-world situations strengthens one’s focus and determination to learn. And while psychologist Edwin Locke showed the impact of short feedback loops back in 1968 with his theory of motivation, it’s still not widely practiced when it comes to corporate training. Today’s employees often learn uniform topics, on L&D’s schedule, and at a time when it bears little immediate relevance to their role — and their learning suffers as a result.

We’re learning the wrong things. Want to see eyes glaze over quicker than you can finish this sentence? Mandate that busy employees attend a training session on “business writing skills”, or “conflict resolution”, or some other such course with little alignment to their needs.

We quickly forget what we’ve learned. Like first year college students who forget 60% of what they learn in high school, studying merely to get the CPE credit suggests that employees, too, will quickly forget what they learn. German psychologist Hermann Ebbinghaus pioneered experimental studies of memory in the late 19th Century, culminating with his discovery of “The Forgetting Curve.” He found that if new information isn’t applied, we’ll forget about 75% of it after just six days.

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Here is a direct link to the complete article.

Steve Glaveski is CEO and co-founder of Collective Campus, a corporate innovation and start-up accelerator based in Melbourne, Australia. He hosts the Future Squared podcast and is the author of Time Rich: Do Your Best Work, Live Your Best Life, and  Employee to Entrepreneur: How to Earn Your Freedom and Do Work That Matters.

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