Performance Consulting & ROI Measurement Flashcards
7 cards from real CPT practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Performance Consulting & ROI Measurement flashcards as text
What is the primary goal of performance consulting in a training context?
Answer: To identify root causes of performance gaps before recommending solutions
Performance consulting focuses on diagnosing root causes of performance gaps rather than immediately prescribing training solutions.
Which model is most commonly associated with calculating training Return on Investment (ROI)?
Answer: Phillips ROI Methodology
Jack Phillips extended Kirkpatrick's model by adding a fifth level (ROI) and a methodology for calculating the monetary return of training.
In the Phillips ROI process, what must be done before calculating ROI?
Answer: Isolate the effects of training from other variables
Isolating the effects of training is a critical step to ensure that measured business improvements are attributable to training rather than other factors.
A performance consultant discovers that employees already know how to do their job correctly but choose not to. This is BEST described as a:
Answer: Motivation or consequence gap
When employees have the knowledge and skills but don't perform, the issue typically lies in motivation, consequences, or work environment rather than a training need.
Which of the following is a non-training solution a performance consultant might recommend?
Answer: Redesigning the incentive and rewards structure
When performance issues stem from misaligned incentives, redesigning the reward structure addresses the root cause without relying on training.
When converting training benefits to monetary value in an ROI study, which approach involves asking managers to estimate the value of a performance improvement?
Answer: Expert estimation
Expert estimation uses the informed judgment of managers or subject matter experts to assign monetary values when hard data is unavailable.
The formula for calculating training ROI is:
Answer: (Net Benefits / Training Costs) x 100
ROI (%) = (Net Benefits / Program Costs) × 100, where net benefits equal total benefits minus total program costs.