Return on Investment (ROI) pilot project review

The Return on Investment (ROI) pilot is one of a number of interventions designed to implement the objectives of the 'In-Work Training Strategy Statement' prepared for the Scottish Enterprise (SE) Dunbartonshire Board in response to the priority requirement to increase demand for and participation in training and development by both employers and employees. The project targets a key group of Dunbartonshire Small and Medium Sized Enterprises (SMEs) (especially those with a limited commitment to employee development) and managers/supervisors and low skilled/low waged employees within these SMEs. The evaluation aimed to review and evaluate how robust and 'fit for purpose' the process and procedures developed through the pilot project are; assess the effectiveness of the pilot in meeting its strategic objectives; and provide recommendations for the future development or modification of the project.

The evaluation methodology consisted of desk research and telephone interviews with personnel from a number of key organisations.

The evaluation concludes that the project, whilst still in the early stages of its development, is providing a valuable resource to businesses by clearly demonstrating to SMEs the positive effects of people development on their profitability. It notes that, whilst many businesses may already accept this principle in theory, ROI provides a very practical framework in which to measure success. It finds that the ROI Project could benefit from some minor adaptations to delivery and needs to be viewed in the long term context of embedding into the existing business support infrastructure, especially the Business Gateway (BG). The report states that the ROI process is valuable in its own right and could add value to a number of existing and emerging national initiatives if correctly presented and positioned.

Key recommendations include that: ROI should be promoted and marketed to an appropriate target group of clients using success stories and business ambassadors from the first group to explain the benefits; there should be a re-evaluation of the prime client target for ROI and a set of criteria introduced to ensure that those businesses that stand to benefit the most are in receipt of the highest levels of support; and the programme should be ‘fire proofed’ by setting entry and exit criteria.