Scenario of a small training organization:

In this company no one has put a dollar figure on the value of training to the company. Some training is sold to customers, but most of it is internal. There are no statistics on the performance of employees before and after training, nor is there any budget to collect them. The training manager discusses this with the other department managers and between them they arrive at a figure of 20% as the increase in productivity produced by training.

The employees receiving training produce $1 million net revenue to the company. Therefore, training has produced a net benefit of $200,000 to the company. The budget of the training is $150,000 per annum, so the net return on investment is: $ROI=\$200,000-\$150,000=\$50,000$ or $(\$50,000/\$150,000)*100=33\%$

Assuming that the cost of implementing the UCS is also $50,000, the task of the training manager is to show where $50,000 of benefit (or more) will result from the new system. It is also important to note that this kinds of content repository works best as an entrprise implementation: a repository used by anyone who has need of accurate and consistent content, not just training.

The following graph shows the annual savings per numbers of employees². The following assumptions were made:

• Burdened rate = $100/hr.
• Hours per year = 2000
• Percent of time spent creating content = 75
• Percent of content reuse = 50