The High Cost of Scrap Learning in L&D Departments

Unveiling the Impact of Scrap Learning

Driving down the road near my neighborhood, I came across a billboard that instantly caught my attention. It boldly stated, “HOLY SCRAP, WE’RE 100!” as it showcased a recycling company’s anniversary. The play on words using “Scrap” instead of the more common expression made me chuckle. As a company that focuses on recycling scrap metal, their creativity in advertising was commendable.

Photo from Lamar Advertising’s Facebook page

However, when the terms “scrap” and “learning” come together, it’s no longer a humorous play on words. Instead, it reflects a prevalent issue in corporate training known as scrap learning.

Understanding Scrap Learning

Scrap Learning refers to the situation where employees go through training but fail to apply it in their work environment, leading to a waste of resources and decreased productivity for the organization.

Within the realm of corporate training, scrap learning poses a significant challenge that needs to be addressed effectively.

Identifying the Causes of Scrap Learning

• Lack of Strategic Alignment: When training programs do not align with the organization’s strategic goals and actual business needs, the acquired knowledge becomes irrelevant, resulting in wasted efforts.
• Inadequate Course Design: Ill-designed courses that lack focus on learners’ requirements, offer insufficient practice opportunities, or lack supporting materials do not lead to substantial knowledge retention or behavioral changes. Such courses end up as scrap!
• Ineffective Instructional Delivery: Issues related to instructor performance, such as unengaging delivery, irrelevant examples, or lack of subject matter expertise, contribute to scrap learning.
• Unclear Learner Direction: Without understanding the learning objectives or choosing irrelevant courses, employees may waste time on training that doesn’t align with their roles. Providing proper guidance can prevent scrap learning.
• Insufficient Support and Follow-up: Learners might struggle to retain or apply acquired skills when adequate support and follow-up post-training are lacking, including opportunities for practice and feedback.

Identifying the root causes of scrap learning is the initial step towards minimizing its occurrence and enhancing the effectiveness of training programs.

Unveiling the Financial Implications of Scrap Learning

In a study conducted by Gartner in 2014, it was found that an estimated 45% of training provided is not implemented in job roles, converting it into scrap learning.

Another study by Rob Brinkerhoff, a professor at Western Michigan University, revealed that:

• Nearly 20% of learners never apply the acquired knowledge from training
• 65% attempt to apply what they learned but revert to their pre-training habits

These statistics paint a grim picture, showcasing how a considerable amount of resources and time devoted to training go to waste due to content not being applied in the workplace.

Organizations aiming to calculate the cost of scrap learning need to consider two vital metrics:

1. The total annual expenditure on all Learning and Development (L&D) initiatives, encompassing administrative, development, delivery, technology, and travel costs.
2. The organization’s overall scrap learning rate, which can be determined through detailed measurement and analysis.

By multiplying the total L&D spend by the scrap learning rate, organizations can ascertain the annual cost attributed to scrap learning. The table below provides illustrative examples:

It’s evident that organizations are at risk of squandering significant financial resources due to scrap learning.

Moreover, monitoring scrap learning at the program or course level can provide valuable insights for improvement. While calculating precise costs for each program may involve some assumptions, tracking the scrap learning rate for high-volume courses enables organizations to target areas with the most potential for enhancement.

By comprehending the financial repercussions of scrap learning, organizations can establish a compelling business case for investing in strategies that enhance training effectiveness and optimize resource utilization. One such approach includes opting for custom-built courses to prevent scrap learning, as they cater to specific organizational needs and drive superior learning outcomes.

ELB Learning is committed to assisting you in crafting exceptional learning experiences through our custom eLearning course development services for corporate staff development. Partner with our training and development experts to elevate employee productivity with engaging, skill-enhancing courses.