The ROI (return on investment) of career development: A case study

Summary

H.J. Burkett's 2008 paper, "The ROI (return on investment) of career development: A case study," published in *Paradigm*, explored the effectiveness and financial justification of career development initiatives, particularly in the context of talent management and leadership succession planning. The study utilized the ROI process to evaluate a pilot career development program implemented in a dynamic international manufacturing organization, with observations drawn from entities in the United States, Ireland, and Singapore. The research aimed to demonstrate the business case for development planning by linking it to business needs and HR accountability. The methodology involved a case study approach, focusing on how the ROI process was applied to measure the impact of the career development initiative. This included assessing the link between participants' acquisition and application of learned skills and knowledge, and the tangible business outcomes. The abstract and search results indicate that the study also touched upon the role of leadership succession planning within talent management strategies. Through this examination, Burkett sought to identify critical success factors for career development programs that demonstrate clear value. The key findings revealed a direct and positive link between the on-the-job application of skills and knowledge gained through career development and the achievement of desired business results. The study highlighted that the ability of employees to apply what they learn, directly contributing to business goals, is a crucial determinant for investment decisions in talent development and leadership succession planning. Furthermore, the research underscored that successful career development initiatives require a "systems view," meaning they must be integrated with ongoing work initiatives and tightly aligned with strategic organizational objectives. The paper also suggested that leadership succession planning plays a significant role in talent management, influenced by implementation activities and other contributing factors.