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What Is a Learning Curve? Formula, Calculation, and Example

what is learning curve

The task needs to be repeatable, measurable, and consist of only one variable within a procedure; it cannot measure an entire procedure on its own. The latter half of the curve indicates that the learner now takes less time to complete the task as they have become proficient in the skills required. Often the end of the curve begins to level off, indicating a plateau or new challenges. The bottom of the curve indicates slow learning as the learner works to master the skills required and takes more time to do so.

what is learning curve

In such situations, it is easy to learn a task and the progression of learning is thus at a quicker pace at the onset until the learner achieves full know-how. There comes a time when a change is taking place, and the learner is no longer progressing. The concave learning curve occurs in a learning situation where the task looks complicated at the beginning, but the learner gains mastery at the end because of increased practice. Tasks that require a considered, committed, often continual learning process are best represented by the complex learning curve. Below are a handful of the benefits your workplace will reap with a learning curve model. While delving too much into Learning Curve Theory might feel a bit esoteric for most business owners, it can help you figure out how fast a skill or knowledge can be learned.

For example, the Windows program Notepad is extremely simple to learn, but offers little after this. At the other extreme is the UNIX terminal editor vi or Vim, which is difficult to learn, but offers a wide array of features after the user has learned how to use it. For surgeons in the operating room, many procedures will involve the same repetitive tasks.

Personalized training

In the example of learning to read, the variables could include phonetics, vocabulary, type of reading material, teaching methods, motivation, previous knowledge or experience, quality of practice, and much more. This model represents a more complex pattern of learning and what is learning curve reflects more extensive tracking. The 2nd illustrates an eliminative, or declining, curve of time needed to perform the same task. That more production leads to falling prices is not surprising – such ‘economies of scale’ are found in the production of many goods. If you are already making one pizza, making a second one isn’t that much extra work. The third curve is an integration of both concave and convex curves and hence is known as a concave-convex curve.

what is learning curve

Intermediate stage

The learning curve theory is that tasks will require less time and resources the more they are performed because of proficiencies gained as the process is learned. The learning curve was first described by psychologist Hermann Ebbinghaus in 1885 and is used as a way to measure production efficiency and to forecast costs. For example, the learning curve can play a fundamental part in understanding production costs and cost per unit. As the employee becomes more proficient at their job, they will be able to manufacture more goods in a smaller amount of time (all else being equal). In this example, a 90% learning curve would mean there is a 10% improvement every time the number of repetitions doubles. In the long run, a company can use this information to plan financial forecasts, price goods, and anticipate whether it will meet customer demand.

It shows that for every doubling of a company’s output, the cost of the new output is 80% of the prior output. As output increases, it becomes harder and harder to double a company’s previous output, depicted using the slope of the curve, which means cost savings slow over time. When onboarding and training new employees, L&D teams are tasked with accelerating the time-to-productivity for new hires. Organizations can predict this reduction in per-unit cost by modeling the change with the learning curve. This is done by considering labor costs and employee training and will impact the cost of a good or service. Initially, the product may reach the market at a higher price point because of the high per-unit cost to produce a good.

For example, the 600 hours of incremental time for task No. 2 is the time it took to yield one additional task. However, the 960 hours in the next row is the time it took to yield two additional tasks. If you want to know what the future looks like, one of the most useful questions to ask is which technologies follow a learning curve.

The term “steep learning curve” is often used to describe situations where the learning process is challenging or complex. In this context, “steep” implies that a significant effort and time-frame are needed to make real progress. The term “learning curve” is commonly used to describe the rate at which someone acquires a new skill or knowledge. In its simplest form, it is a graphical representation that plots the progress of learning against the time or effort invested. More organizations are leveraging employee training software to implement effective training with personalized learning content that uses user analytics to help shorten the learning curve across employees. With project management, teams become more proficient by processizing repeated tasks or similar projects.

How Is a Learning Curve Measured and Calculated?

It presents a significant barrier to change management that involves overcoming a complex learning curve. The overall theory of the learning curve formula says that as the number of times a person attempts a task increases, the overall amount of time to complete the task will decrease. Manufacturing costs as related to workforce performance can be tracked by using the learning curve. Instead of performance and number of attempts, the values could be unit cost or unit labor hours and cumulative production in units. A high or steep learning curve indicates that it takes a substantial amount of resources to perform an initial task. However, it also signifies that subsequent performance of the same task will take less time due to the task being relatively easier to learn.

  1. A prime example of Increasing-Returns Learning Curve is a challenging, new and complex task where the learner is slow in learning at the initial stages but picks up speed as soon as he starts understanding the basic concepts.
  2. If the software is important for productivity, then employee performance could decrease over time if employees cannot effectively use the software.
  3. Organizations can predict this reduction in per-unit cost by modeling the change with the learning curve.
  4. In addition, note that the incremental time is a cumulation of more and more units as the table is extended.
  5. As a result, the lower the learning curve percentages, the steeper the slope of graphs.

In the diminishing-returns learning curve, the rate of progression increases rapidly at the start of learning and decreases over time. This can describe tasks that are easy to learn and rapidly progressing skills. Activities that follow a diminishing returns learning curve are more straightforward when measuring and predicting how the workforce’s performance and output will change over time.

As everyone in an organisation climbs the learning curve, the risk factor descends. This is when the learner is unaware that they have a specific skill or knowledge gap. There are a few different types of employee training software that can be leveraged for creating and managing employee training programs. In healthcare, the learning curve can be applied to various aspects, such as surgical procedures, diagnosis methods, and patient care techniques. Whatfix enabled REG to standardize its end-user training via contextual in-app guidance in the flow of work.

Stages of using learning curve

A learning curve can also be depicted between axis points in a chart as a straight line or a band of points. Integrated circuits are the fundamental technology of computers, and Moore’s Law has driven a range of changes in computer technology in recent decades – computers became rapidly cheaper, more energy efficient, and faster. One of the significant uses of the learning curve is in setting up an incentive structure. The good news is that you can easily leverage Thirst’s innovative L&D platform and build a robust L&D infrastructure that reflects an optimum learning curve to bolster scalable learning across the whole organisation. Organisations must get employees up to speed fast, implementing scalable learning strategies to continually optimise learning as quickly as possible. A skill that’s difficult to grasp, followed by competence the more experience as you garner more experience, and then more concerned effort to master, is defined by the S-curve.

Introducing new technology in an organization typically involves multiple learning curves. Let’s look at technology adoption from an enterprise perspective, specifically implementing a new technology like a CRM or ERP. In this article, we’ll explore the Learning Curve Theory, its history, advantages and disadvantages, types of learning curves, how to calculate it, and its application for modern learning and development strategies. Because a surgeon is essentially practicing the same skill over and over whenever that procedure is done, the learning curve can be applied to show individual learning and performance over time.

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