Research by investment analyst Laurie Bassi, founder of Knowledge Asset Management, demonstrates a link between employee development efforts and an organization's stock market performance. A five-year, back tested study of companies that made a significant investment in employee development showed a strong correlation between training investment and economic value added (a performance measure most directly linked to creation of shareholder wealth).

 A Society for Human Resource Management employee development survey published in April 2005 provided startling results.  In almost all instances, Employee Development is deemed to be of strategic importance as it increases the likelihood of retaining talent and equips the organization for growth. However, formalized avenues for development are not the norm. 83% of development programs are informal, unstructured and not measured.

 As a consequence, random results from professional development are the norm because “Most organizations lack the mechanisms necessary to assure their investments bring the anticipated return.”