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Techlearn
Retail case study: JC Penney
Key learning points:
- Return on investment is
the key driver
- Keep content in short chunks
- E-learning (motivating, little text) with coaching, is
their preferred delivery method
- Simulations are important
JC Penney has over 93,000 store associates and has been moving
from instructor-led training to distance learning since 1996.
Their primary aim is bottom line growth and proving the link
between learning and profitability.
Every initiative has to be approved on the back of a clear
ROI with sign-offs by senior management. These ROI calculations
are then checked on completion. Their aim is to both reduce
training spend and increase the amount of training. This they
achieved in comparing 2001 with 2002. A typical saving in
a module may be a reduction in spending per employee from
$184 to $28 with a better simulated example, compared to traditional,
text-based workbooks.
Interestingly, they never did measure the old training, other
than in costs, mainly the 1000+ trainers. The e-learning has
forced them into taking this seriously, but as a result they
are taken more seriously by the business. The CEO is reasonable
in not demanding absolute proof, but he does want to see an
awareness of costs/benefits and numbers. They have to report
on ROI every quarter (current savings in excess of $1 million)
with case studies and summaries.
Their design principles are interesting, relying on Quick
Clicks (1-3 minute segments). Realism is another feature,
for example, in secret filming of their top curtain sales
person in action with a customer. Interactive, reality-based
simulations were seen as the most effective training methods.
Their method is to put everything on the web and not have
anything in print, which merely encourages old and bad practice.
Email is used as a pre-read mechanism and scores on assessment
used to identify stores weak on skills and training. Typical
modules includes mastering POS, POS catalogue referral, Managing
pricing etc.
Techlearn 2002: Intro
Retail case study: McDonalds
Retail case study: Home Depot
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