Describe the trend and how it applies to your organization
Phillips (2010) focused on various trends and measures that businesses are employing to foster growth and development. For the purpose of this essay, the return on investment (ROI) of major programs will be considered. The return on investment is the measure of the benefits accrued from the initiate programs. One of the main forces that have prompted organizations to put more emphasis on return on investment of proposed programs was the 2007/08 global economic recession. The economic recession had a major impact on the general performance of many organizations. A significant number of companies closed down, while some began the process of downsizing. Today, most of the organizations have learnt from the past mistakes. This explains why the main goal is to apply more scientific approach to measure the monetary returns of various programs before they can be adopted. Organizations want to increase efficiency, effectiveness, and reducing the cost of production. All these measures are aimed at enhancing the competitiveness of organizations as well as fostering sustainable development.
Identify the challenges and benefits of the trend
The return on investment of major project has many benefits in organizations. Firstly, the ROI analysis and measures are aimed at ensuring that only projects that are profitable are pursued (Patton, 2002). The management seeks the advice of consultant firms, who have the capacity to conduct evaluation and analysis of project to determine their estimated returns to an organization. Secondly, there is a need assessment in an organization. The need assessment is done with an aim of ensuring that only the most relevant projects are initiated and pursued. This ensures that organizations do not misuse resources on projects that are not aligned with vision and goals. Thirdly, the return on investment assessment plays an imperative role in enhancing growth and productivity in organizations. This is achieved owing to the fact that organizations only pursue projects that are relevant and profitable. As a result, the financial performance of an organization is enhanced. On the other hand though, one of the main weaknesses is that even after the evaluation determines that a particular program will yield good returns, there are forces, such as economic, political, and legal that may still hamper such achievements. A business may not any control over the external factors. Again, the evaluation may not provide the actual returns that an organization will gain.
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Discuss the trend towards measurement and evaluation as it applies to your organization
The evaluation and measurement of return on investment of projects is applicable in most organizations. In the current organization (My organization) the evaluation and measurement of the return on investment has been an ongoing process. Normally, the management is focused on fostering growth of the organization to ensure that it maintains its competitive advantage. The management fosters a collective decision making, where all the stakeholders participate. However, even after agreeing on the proposed projects, the management has to seek the advice of experts on the viability of such programs. The evaluation of such programs is done in relation with the organization’s current financial position. Also, the program must be able to fulfill the organization’s objective and vision. Currently, the organization aims at being financially independent, which mean that it runs all its functions and projects without relying on loans from financial institutions. Additionally, the management has its priority, and will only pursue programs that are very urgent. For instance, one of the current programs has been the automation of most of the functions. The goal has been to enhance efficiency and effectiveness in an organization. Therefore, the return on investment evaluation has played an important role in ensuring the organization gains a competitive edge and achieves its main objectives.
Discuss the need for results-based evaluation as it applies to your organization
One of the main goals in an organization is to ensure that every project/program provides positive results (Hatry, 2001). It is necessary that the management in every organization consults experts to evaluate if a given program will provide the desirable results. One of the importance of result-based evaluation is to ensure that only the most relevant projects will be pursued. As mentioned before, the projects must be aligned with the vision and objectives in the organization. The result-based approach helps the management to eliminate all the proposed projects, which may be vital, but give little or no returns (Hatry, 2001). Every organization wants to avoid unnecessary losses and maintain their strong financial positions. This explains why a need assessment is also necessary. Some projects are important, but they are not needed at a given period. In my organization, results-based evaluation is also conducted. Only the programs that are likely to give positive returns are pursued. This may partly explain why the organization has remained productive, with positive financial performance.
Identify evaluation areas in need of improvement in your organization
While the organization has done well in evaluating the return on investment, there are other areas that need attention. More attention ought to be focused on training of employees, especially after the automation of most of the functions in the organization. With the changes in the business world, it is important for an organization to ensure that it has employees who have the required skills and competence. Therefore, there is a need to evaluate whether the current level of skills matches the demands in the organization. The evaluation will establish whether any form of training is required. Secondly, there is a need to conduct an analysis on the employee job satisfaction. In the past, incidences of employee turnover have been witnessed in the organization. When this happens, the organization has always made financial losses due to more recruitment. The evaluation will help in getting crucial information and taking necessary measures to avert turnover.
Provide a rationale for your recommendations
The recommendations proposed above are informed by the developments in the organization. The success of the proposed projects can only be realized when the workforce has the necessary skills and competency. Therefore, training will enhance the employees’ skill levels. Apart from ensuring that employees become more productive and efficient, training assists in fostering employee autonomy. Employees are able to work with minimal supervision. Employee autonomy increases job satisfaction since employees can perform their duties at ease. Employee retention is also important for the transfer of knowledge within the organization. As indicated before, the evaluation will determine the issues affecting employees in order to have them addressed. This is one of the ways to minimize employee turnover rate. The rationale is to ensure that the organization does not incur more financial resources in the training of its workforce.
References
Hatry, P. (2001). “ What Types of Performance Information Should be Tracked ,” in Dall W. Forsythe, ed., Quicker, Better, Cheaper? Managing Performance in American Government. Albany, N.Y.: Rockefeller Institute Press.
Phillips, P. (2010). Measuring and Evaluating Training . ASTD Press.
Patton, Q. (2002). Qualitative Research and Evaluation Methods , 3rd ed. Thousand Oaks, Calif.: Sage Publications.
