Team building. Everyone knows the positive effects of team building, such as better productivity and happier and healthier employees. But how do you know whether your team building event actually worked? Was the team building event actually worth the investment? To find out if your team building event actually worked, there are a few steps you should follow to determine the ROI (Return on Investment) from it.
Firstly, you should know what you want to get out of the team building event. Is it better productivity? Happier employees? Healthier employees? It’s not easy for a team building event to positively influence all these factors but it would be great to measure the effectiveness of your team building event by choosing one of the factors. By having an idea what you want to improve in your team, the event would be able to show the ROI from team building.
For example, if you find your company’s sales are low and you are looking to improve productivity, you can compare the change in sales before and after the teambuilding event to find out if there was any improvement in sales.
Another aspect of your company you might want to improve is your employees’ happiness level. If you are looking to have happier employees, you can measure their happiness by measuring the employee turnover rate after the event. Companies that have unhappy employees are known to have a high turnover rate, hence measuring the employee turnover rate of the year after the event would be a good gauge to measure employees’ happiness.
Additionally, you might have noticed that your company has been paying a large amount of medical reimbursements to your employees and you want to improve that situation. One way is to invest on getting cheaper or even free gym memberships for your employees so that they can keep themselves fit. Another possible option would be to have a monthly company fitness event where everyone gets to work out together. If the investments on teambuilding or fitness events reduce the amount of medical reimbursements significantly, it would mean the event has a high ROI.
There are many other ways to measure your team’s ROI depending on your objectives. But one thing is definitely certain – you should always have a goal in mind to be able to measure your team building event’s ROI.