ROI, or return on investment, is a metric used to evaluate the profitability of an investment. It measures how much you gained relative to how much money you invested. This helps you determine if a particular venture gave you the expected financial benefits. It is a valuable tool for assessing the value of language training.
Companies find that investing in their employees’ language skills brings tangible benefits. It is not just about better communication; it also enhances competitiveness in the global market. ROI indicates what percentage of your investment in language training has been returned.
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How can you calculate the ROI of language training?
Start by gathering data on the costs and benefits of the training. Add up course fees, educational materials, instructor salaries, and additional expenses like travel and accommodation if the training is off-site. Include the cost of employees’ time spent in training instead of their regular duties.
Next, estimate the benefits of the training. These could include:
- increased productivity,
- better communication with clients,
- reduced time for project completion,
- lower costs from fewer errors due to language barriers.
Check if employees who completed the training have boosted sales or negotiated better contract terms. Once you have all the data, calculate ROI using this formula:
(Investment Gain — Investment Cost) / Investment Cost
If a company spends 50,000 PLN on language training and observes a profit increase of 100,000 PLN in a year due to improved communication, the ROI is 100%.
Also, consider long-term benefits. Language training leads to lasting relationships with international partners, increased employee loyalty, and lower staff turnover. These factors are harder to quantify, but still impact a company’s success.
Why does language training boost ROI?
Language training breaks down language and cultural barriers. It is invaluable during negotiations and in dealing with international clients. Employees fluent in foreign languages represent the company better abroad.
Language programs support personal development, and increase employee loyalty and engagement. Companies that take this step build stronger, integrated teams.
Global companies communicate with clients, partners, and suppliers who speak different languages. Proficiency in a foreign language helps better understand customer needs, negotiate terms more effectively, and avoid costly misunderstandings.
In negotiations with foreign partners, communication in their native language can be a deciding factor in closing a deal.
Employees often work in teams with people from various countries. In such environments, good communication is essential. Without it, respectful cooperation is difficult. Instead, there are delays and conflicts. Language training that addresses cultural aspects helps prevent these issues.
Factors that influence the ROI of language training
Training costs vary depending on the type of training, whether it is an online course or an in-person class, and the number of participants. Precisely estimating all training-related expenses gives a realistic picture of the investment.
Employees need time to learn, which means they will not be performing their regular duties during this period. Consider how many training hours are genuinely needed to achieve the desired goals.
Organise training to minimise work disruptions. You can offer evening or weekend courses. Remember that the number of hours required varies based on employees’ skill levels and prior language knowledge.
Even the best training will not give positive results if participants are not engaged and motivated. To boost involvement, choose a training tailored to the participants’ needs and levels, and create an incentive system.
Offer rewards for achieving specific language proficiency levels or opportunities for promotion upon completing the training. Highlight tangible benefits of learning the language, such as better career prospects and participation in international projects.
How do you select the right language training for your employees?
Determine what you aim to achieve. Is it to improve overall communication, learn industry-specific vocabulary, or prepare for a specific project?
Identify your employees’ proficiency levels. Conduct assessments to evaluate their current language skills. Our tool, Focus Audit Tool, can assist you with this.
Choose programs tailored to your company’s needs. Online courses save employees commuting time, while individual lessons are ideal for high-level executives, as they speed up learning. Check reviews and references of the language school.
How can you measure if the language training is effective?
Conduct language tests before and after the training to measure employee progress.
Assess how employees use their new skills in daily work through observations, supervisor evaluations, and client feedback.
Survey training participants to check course quality and identify areas for improvement.
Track increases in sales, improved client relationships, and smoother company operations. Positive changes in these areas indicate successful language training.
Language training in building a brand
Language training strengthens a company’s image in the international market. Employees fluent in foreign languages communicate better with clients and foreign partners.
Employee language skills directly impact the perception of the company. Those who can communicate freely in other languages are more confident in negotiations and customer service.
Companies that invest in language training are considered more innovative and committed to employee development. This approach attracts new clients and business partners.
Potential challenges and how to overcome them
Resistance comes from fear of difficulty, lack of time, or reluctance to change. Address this by explaining the benefits of training. Show how new skills aid career growth and make daily tasks easier.
Hold sessions before the training begins to clear up any doubts and concerns. Implement mentoring so that experienced employees can support those less advanced. Offer flexible learning options, such as online or in-person classes, to reduce resistance.
Language training requires finances and time. To manage costs, compare different offers and choose the best one. Negotiate discounts for larger groups with training providers, and seek external funding from EU funds or government programs. Plan training sessions during less busy periods to ease logistics and minimise disruptions to daily work.
Help your employees polish their language skills
Would you like your employees to improve their language skills and strengthen your company’s position in international markets? Do not wait for language barriers to become obstacles to growth. Invest in language training now. This step will bring long-term benefits to your employees and the entire business.
We offer company courses tailored to your needs in multiple languages, including:
- English
- German
- Chinese
- Spanish
- French
- Swedish
Our language courses are available in person and online. We can easily adjust the class schedule to fit your employees’ timetables. Using interactive educational materials, mobile apps, and e-learning platforms, we make learning enjoyable. Contact us today to achieve greater business benefits.
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