ROE over ROI: Why Sales Training Needs Accountability Not Investment

As a sales consultant, the pressure to help your customers demonstrate a clear return on investment (ROI) can be immense. Sales leaders and HR professionals constantly weigh the cost of training programs against the projected increase in sales, improved customer satisfaction, or other desired outcomes.

However, what if there's a crucial piece missing from this equation?

Introducing the Concept of Return on Expectation (ROE)

My experience as a sales consultant has shown me a recurring issue: companies prioritise ROI above all else, neglecting the importance of Return on Expectation (ROE).

Here's the distinction: ROI measures the financial benefit you get from an investment. ROE, on the other hand, focuses on the organisation's responsibility to take ownership and implement the action items derived from the training.

A Cautionary Tale: The Unfulfilled Commitments

Let me illustrate this point with a story. Years ago, I participated in a leadership training program for a company. It was a significant investment, and the leaders involved committed to specific actions and changes they would implement to achieve the desired results.

Unfortunately, those commitments never materialised. Fast-forward some time, and the organisation saw no tangible improvement. Inevitably, they questioned the ROI of the training program.

The Flaw in the ROI-Centric Approach

The issue here wasn't the training itself. It was the lack of follow-through. The organisation expected results without taking the necessary steps to make them happen. In instances like this, the blame might be placed squarely on the training engagement program for not delivering a return on investment when the real culprit was the lack of focus on Return on Expectation.

The ROE Advantage: Building Ownership and Sustainability

Shifting the focus to ROE offers several advantages:

• Empowers your organisation: By emphasising ownership of action items, you empower your team to drive their success.
• Improves engagement: Employees who feel responsible for implementing learnings are more invested in the process.
• Ensures sustainability: Change requires sustained effort, and focusing on ROE promotes ongoing action, not just a one-time event.

Building an ROE-Focused Training Strategy

So, how can you integrate ROE into your training programs? Here are some key steps:

• Set clear expectations. 
  • What specific goals do you want to achieve with the training? 
  • Communicate these goals clearly to all stakeholders.
• Involve key players. 
  • Get buy-in from leaders and employees alike. Their commitment is vital for successful implementation.
• Develop a post-training action plan.
  • This plan should outline how the learned skills and strategies will be put into practice and include monitoring mechanisms to track progress.

• Hold teams accountable. Schedule regular check-ins to discuss progress and celebrate successes. This helps maintain momentum and ensures continuous improvement.

Unlock the Full Potential of Your Training

I’ll close by saying this: by prioritising ROE, you shift the focus from short-term gains to long-term growth. Training programs become catalysts for transformation, not simply line items on a budget sheet. They empower your organisation to take charge of its success and unlock its full potential.

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