How to Make a Successful Case for Learning by Connecting It to Critical Business Outcomes

Making the case for investing in a learning solution isn’t always easy because many business leaders see learning in the workplace as a perk. The problem with this thinking? Perks and benefits exist as add-ons rather than integral parts of the employee experience. But workplace learning isn’t just a “nice to have” bonus. It’s a critical component of the employee experience and an essential element of overall organizational strategy that can significantly impact your business.

To create a successful business case for learning, HR and Learning and Development (L&D) leaders must connect learning to critical outcomes their executive teams prioritize. These outcomes often include the following: reducing costs, increasing productivity, improving employee retention, driving growth and revenue, and promoting business continuity. Here’s a breakdown of how learning impacts these critical business outcomes. Use these points when building a business case for learning in your company. 

Reduced costs

Analyst Josh Bersin shares an example of what it costs to “build” talent internally versus hiring or “buying” it externally: “Research suggests that the cost of recruiting a mid-career software engineer can be $30,000 or more including recruitment fees, advertising, and recruiting technology expense. This new hire also requires onboarding and has a potential turnover of two to three times higher than an internal recruit. By contrast, the cost to train and reskill an internal employee may be $20,000 or less, saving as much as $116,000 per person over three years.”

Increased productivity

When your employees get the opportunity to develop critical skills, they work faster and smarter. For example, workers who gain technical certifications complete advanced tasks 37% more effectively than non-certified workers. And an overwhelming majority — 91% of companies and 81% of employees — believe reskilling and upskilling have improved productivity at work.

Improved employee retention and experience

There’s a clear connection between growth opportunities and employee retention. Companies with a strong learning culture and high level of L&D maturity are over seven times more likely to engage and retain employees. Employees who feel they have room to grow and develop new skills are much more likely to stay with a company.

More growth and revenue

Learning can help employees better understand company strategy and ensure their work aligns with high-level business goals. Top-performing companies are nearly five times more likely than low-performers to have learning cultures, according to ATD. 

Support for business continuity

Business continuity and the learning agility of your workforce tend to go hand in hand. Companies must be able to tolerate ambiguity and make decisions in the face of it. Getting lost in decision paralysis all but guarantees that competitors will swift decisions and outpace your organization’s growth. When employees learn to cope with disruption and function in uncertainty, they will save your company time and money.

Aligning learning to clear business strategy isn’t an overnight process. Developing a concise business case that connects learning initiatives to actual business results will set you up for success in your goal of getting budget and buy-in from your business leaders.

Ready to make learning a priority that gains enthusiastic executive support? Use this tactical, step-by-step guide to help you create a strong business case for an integrated learning solution at your company.