70/20/10 model (learning and development)
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There are two 70/20/10 models in business: education and managing innovation.
Learning & development
The 70/20/10 Model for Learning and Development (also written as 70-20-10 and more commonly as 70:20:10) is a learning and development model based on research and observation carried out from the 1960s until present.
Morgan McCall and his colleagues working at the Center for Creative Leadership (CCL) are usually credited with originating the 70:20:10 ratio. Two of McCall's colleagues, Michael M. Lombardo and Robert W. Eichinger, published data from one CCL study in their 1996 book The Career Architect Development Planner.[1]
McCall, Lombardo and Eichinger's survey of high-performing managers revealed that:
“Lessons learned by successful and effective managers are roughly:
- 70% from tough jobs
- 20% from people (mostly the boss)
- 10% from courses and reading”
Lombardo and Eichinger expressed the rationale behind the 70:20:10 model this way in The Career Architect Development Planner.:[2]
“Development generally begins with a realization of current or future need and the motivation to do something about it. This might come from feedback, a mistake, watching other people’s reactions, failing or not being up to a task – in other words, from experience. The odds are that development will be about 70% from on-the-job experiences, working on tasks and problems; about 20% from feedback and working around good and bad examples of the need, and 10% from courses and reading.”
The 70:20:10 model for learning and development is based not only on this CCL study, but also on other surveys and empirical studies[3][4] that indicate most learning occurs as part of the workflow and not in away-from-work training situations.
Early work on adult learning projects by Professor Allen Tough in the 1960s and 1970s found that the majority of learning occurred as self-directed and in the workplace. In researching adult learning and intentional change, Tough identified that ‘about 70% of all learning projects are planned by the learner himself’.[5]
Many organizations have embraced the 70:20:10 model. To date these include global brands such as Medtronic, Essilor, SAP, Ernst & Young, KPMG, PwC, Nike, Nokia, Microsoft,Dell, BAT, Oracle, HP, Sony Ericsson, Morgan Stanley,Standard Chartered, NAB, Philips, Avery, Westinghouse, Holcim, Coca Cola Amatil, American Express, Bank of America, Rabobank, Goldman Sachs, ANZ Bank, GAP, Irish Life, Caterpillar, Wrigley, Mars, Coca-Cola, Home Depot, Best Buy, L’Oréal, BT, Boston Scientific, Maersk, Creganna-Tactx Medical, Eli Lilly, GlaxoSmithKline,Herbert Smith Freehills, Cranfield University, Princeton University, George Washington University, Nestle, and the Australian Federal Government.[6]
Managing innovation
The 70/20/10 Model is a business resource management model pioneered by Eric Schmidt and articulated about Google in 2005.[7]
This model dictates that, to cultivate innovation, employees should utilize their time in the following ratio:
- 70% of time should be dedicated to core business tasks.
- 20% of time should be dedicated to projects related to the core business.
- 10% of time should be dedicated to projects unrelated to the core business.
References
- ^ Lombardo, Michael M; Eichinger, Robert W (1996). The Career Architect Development Planner (1st ed.). Minneapolis: Lominger. p. iv. ISBN 0-9655712-1-1.
- ^ Lombardo, Michael M; Eichinger, Robert W (1996). The Career Architect Development Planner (1st ed.). Minneapolis: Lominger. p. iv. ISBN 0-9655712-1-1.
- ^ Tough, Allen. The Adult's Learning Projects: A fresh approach to theory and practice in adult learning (Research in education series) ISBN 9780774400596
- ^ The Teaching Firm: Where Productive Work & Learning Converge. Education Development Center (EDC) Newton, MA 1998
- ^ Tough, Allen. The Adult's Learning Projects: A fresh approach to theory and practice in adult learning (Research in education series) ISBN 9780774400596
- ^ Jennings, Charles. This is a partial list from the 70:20:10 Forum. 2013.
- ^ John Battelle (December 1, 2005). "The 70 Percent Solution: Google CEO Eric Schmidt gives us his golden rules for managing innovation". CNN Money magazine. Retrieved August 12, 2011.