Why Measure? Metrics and the Business Case for Training

What Does it Mean to Make a Business Case for Training?

Imagine a sales organization only looking at the number of calls representatives make, and not gathering sales data to determine the level of performance. While that would seem odd, it is exactly what many training departments do in determining how successful they are in their work. Too many training departments focus on activity measures, rather than performance measures. They forget that the value they bring to the company should be measured in performance, and that training is one of the many business tools that can deliver improved performance to an organization.

The way in which each company measures improved performance due to training can vary: increasing credibility with customers, advancing the reputation of the company, or improving market share. But it all sends the same message: training is aligned with the business and makes a defined, valuable contribution.

For a pharmaceutical training department, making the business case for training means showing how training directly impacts performance and how improved performance directly impacts the business. And the only way to demonstrate these causal links is by having valid and reliable metrics.

The Crucial Difference Between Training and Education

Training and education, while perhaps of the same species, are clearly not the same animal. The difference lies in the objectives of learning. Educational objectives normally identify cognitive or reasoning skills to be applied by the learner in a variety of life situations. While education focuses on broader “terminal” objectives, training relies on enabling objectives to define how knowledge and skills will be applied at a practical level.

Objectives outlined in training classes must always be directly related to the specific job of the individual receiving instruction. Transferring knowledge and skills consistently to a large number of people performing the same task is what training is all about.


In accordance with Malcolm Knowles' well-known rules of adult learning, training needs to be immediately valuable to the employee.

Our challenge as trainers is to demonstrate that we have effectively transferred the appropriate knowledge and skills to the sales representatives and that they in turn can apply what they have learned on the job.

The Art and Science of Training

We are not far removed from a time when measurable outcomes from training programs were the exception rather than the rule. The dot com era spawned great "art" in training programs but little urgency to demonstrate the performance benefits of this increasingly expensive "art." Today, we are all well versed in Kirkpatrick's Levels of Evaluation and Jack Phillips' ROI methodologies. But still we struggle to operationalize these concepts. We are not certain how to ensure that our Level 2 exams are valid; we don't know how to develop reliable rubrics for skills assessment; showing Kirkpatrick Level 3 and 4 results is difficult; and demonstrating clear ROI is often viewed as impossible.

At Bristol Myers Squibb Co. we believe that the key to success is not merely to measure but to measure within the context of a measurement strategy.

The Need for a Measurement Strategy

Bristol-Myers Squibb is developing and continuing to hone its measurement strategy. We are doing this with the belief that establishing consistent expectations will raise the bar across all training organizations and ensure consistency and quality in the performance our organization delivers to the company and our customers.

Without a clear strategy around our measurement efforts, we would not be able to establish a big picture vision for the outcomes we are achieving, and instead would be creating simple snapshots in time, which provide little strategic value to the organization. In a company that measures the success of its sales representatives on behaviors as much as results, our Learning and Organization Department is committed to providing clear evidence that we are delivering the knowledge and skills our representatives need to achieve our company mission.

Bristol-Myers Squibb believes that valid and reliable measurements showing high levels of knowledge and skills in a sales force provide a distinct advantage to a pharmaceutical company. This evidence of organization capability can be leveraged when it comes to joint venture decisions or achieving other business goals, especially when combined with market research data showing that representatives are perceived by customers as credible resources able to deliver accurate and relevant product information.

Defensibility of data is a key issue in any decision to measure the knowledge and /or skills of a sales representative. While some organizations may simply want to have a general idea of where their strengths and weaknesses lie, others may want to make employment decisions and leverage testing to raise organizational standards of excellence. A validated and documented measurement approach is essential when decision making is involved.

Validation is more than just a way of providing defensibility for the company’s protection, it improves learning outcomes by increasing the quality and relevance of testing in the learning process. By having a number of qualified subject matter experts review and validate each question on every test, we believe our tests are much more likely to measure knowledge essential for job performance. The reaction from the subject matter experts has been overwhelmingly positive. Some comments made after the process noted the resulting tests were more direct and clear in their presentation, trivial items had been removed, and the final test is seen as more relevant by the test takers.

The Bottom Line: Create Clear Performance Criteria and Measure Them

Once your organization has validated its metrics, next, set clear performance goals using specific and quantifiable indicators, and implement a measurement strategy targeted to the critical data points. The difference between measuring and measuring within the context of an overall strategy is the ability to create and evolve a performance dashboard showing continued growth and a clear direction aligned with business goals. Without objective measurements and data a company will find itself unable to define its baseline state, demonstrate performance improvements and ultimately differentiate itself from its competitors.

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