Upskilling with results? These 5 strategies make it measurable! 

Many organizations find it difficult to make the impact of learning and development concrete. As a result, upskilling is often still seen as a cost rather than a strategic investment. This makes it difficult for HR to gain sufficient support and budget, while upskilling contributes to productivity, retention and innovation. 

Still, the question remains: how do you measure the Return on Investment (ROI) of upskilling? In this blog, you will discover how, as an HR professional, you can provide insight into the impact of learning and link upskilling to business goals. 

Why is the ROI of upskilling so difficult to measure?

Many organizations evaluate training based on participation rates or satisfaction scores. But does a high number of participants say anything about the actual impact on the organization? Often it doesn't. 

The main challenges in measuring the ROI of upskilling are:

• Lack of measurable KPIs: often training is viewed in isolation from strategic goals, so concrete results are lacking. 

• Long-term effects: the impact of learning is not always immediate and may take months or years to become noticeable. 

• Connect to business results: upskilling is more than just acquiring knowledge; it must also lead to better performance and business results. 

A structured approach is needed to make the impact of upskilling measurable. 

Measuring ROI in 4 steps

Step 1: Set strategic KPIs for upskilling 

Many HR teams focus on operational data such as the number of training sessions taken, but to demonstrate impact you need to look beyond that. Ask yourself: what business goals are we supporting with upskilling? 

Effective KPIs for upskilling include: 

• Productivity growth: how much faster or more efficient do employees work after training? 

• Decrease in errors or complaints: are fewer operational errors made after training? 

• Employee satisfaction and retention: will employees stay with the organization longer if there is investment in their development? 

• Time to independence: how quickly does a new employee become fully productive? 

• Less absenteeism: does investing in development contribute to job satisfaction, mental resilience and thus less absenteeism? 

By defining these KPIs in advance, you link upskilling directly to business objectives.  

Step 2: Make learning data-driven 

With modern learning analytics, you can measure much more than participation. Use data to analyze the impact of training and make adjustments as needed. Some valuable ways to use data to measure learning effectiveness: 

• Learning analytics dashboards: track which training courses are most frequently attended and whether they lead to better performance. 

• Performance tracking: compare employee performance before and after training. 

• 360-degree feedback: ask executives and colleagues about noticeable improvements in skills. 

• A/B testing: compare teams that did and did not participate in specific training to measure the effect. 

When you measure upskilling with hard data, learning becomes a strategic tool.  

Step 3: Link upskilling to financial impact 

Management not only wants to know that employees are learning, but more importantly, what it will yield. That's why it's important to financially back up the payoff of upskilling whenever possible.
A common way to do this is through an ROI calculation: 

ROI (%) = [(Revenue from upskilling - Cost of upskilling) / Cost of upskilling] x 100 

Although this formula is simple on paper, in practice it remains difficult to express revenues directly in euros. Therefore, see if you can make a financial estimate using the factors below: 

• Cost savings: for example, through lower familiarization costs, less external hiring or a decrease in errors and repair work. 

• Productivity increase: employees work faster, more independently or deliver more output. 

• Increased customer satisfaction: better trained employees result in higher NPS scores or customer retention. 

• Lower turnover: employees stay longer, leading to lower recruitment and onboarding costs. 

By making these effects as concrete as possible, you can better substantiate upskilling to management and more easily create support for further investment in learning. 

Step 4: Make upskilling an ongoing process 

One-time training often has limited impact. If you really want to create value with upskilling, it must become a permanent part of the corporate culture (link learning culture). There are several ways to make learning part of daily operations. 

• Workflow learning interventions: offer microlearning or performance support at times when employees really need it.   

• Personalized learning paths: tailor training to employees' specific needs and aspirations. 

• Blended learning: combine e-learning with coaching and practical assignments to make knowledge more memorable. 

• Continuous evaluation: use learning analytics to continue to monitor and adjust the impact of training. 

By structurally integrating learning into the work process, it no longer becomes an isolated activity, but a continuous improvement process.  

How SkillsTown helps make upskilling measurable

SkillsTown offers smart learning solutions that help HR teams understand the impact of upskilling. With learning analytics, personalized learning pathways and performance tracking, upskilling becomes not only more effective, but also measurable. 

• Personalized learning paths: ensure that employees take relevant training courses that align with their development goals. 

• Learning analytics dashboards: get real-time insight into learning progress and performance. 

• Blended learning solutions: combine e-learning with hands-on applications for maximum impact. 

Want to demonstrate the ROI of upskilling and have HR play a strategic role in your organization's growth? Find out how SkillsTown can help you do this and schedule a demo. 

Request a free demo