A recent survey indicates that 40 per cent of employees who receive poor job training leave their positions within the first year. They cite the lack of skills training and development as the principal reason for moving on. We have compiled some informative insights and tips to help you see "some" of the benefits to corporate training and the knock on effects of not training your staff that will combine to help you make an informed decision on how to maximise your remaining training budgets for this year end.
We have all seen the quote:
CFO asks the CEO "What happens if we invest in developing our people & then they leave us?"
CEO: 'What happens if we don't, and they stay?"
Consider the cost of turnover. With one fewer worker, your company’s productivity slips. Sales decline. Your current staff members are required to work more hours. Morale may suffer. To find a replacement, you spend time screening and interviewing applicants. Once you hire someone, you need to train that person. The cost of staff turnover adds up. Figures vary, but it can cost anywhere from €2,500 to €10,000 (excluding recruitment fees) depending on the position, to replace a front-line employee. That is a hefty price to pay for not training staff.
The value of training is in the application of the knowledge gained from a course that has been delivered in the context of the company from which the delegate has come from. It is critical to ensure that the learning is practical and can be applied post course to ensure both employee satisfaction and training budget ROI. Learning is a journey and the delivery of training is just one part of the process. It is important to integrate the learning across the company to ensure that learning complements each division and individual and does not negatively impact areas of the business. It is important to have a learning programme and competencies road map that works across the business and is focused on measurable business value to ensure ROI from your training spend.
Steven Long, SureSkills Certification manager - “Get employees on an individual learning/certification path, map out their competencies and address the gaps in their skillsets with certified training that aligns to business requirements. It is vital that traditional academic qualifications are supplemented with industry accreditation's and practical experience for your chosen field.”
Long also included “We always encourage our clients to do TNA’s (Training Needs Analysis) with their employees to ensure they are addressing the skills gaps within their workforce and in return get the technical (or practical) skills coupled with theoretical knowledge. We then work with our clients to ensure there is a structured learning path set out for each company employee to ensure their professional development.”
BENEFITS OF TRAINING
Despite the initial monetary costs, staff training pays back your investment. Here are just some of the reasons to take on development initiatives:
1) Training helps your business run better. Trained employees will be better equipped to handle customer inquiries, make a sale or use computer systems.
2) Training is a recruiting tool. Today's young workers want more than a paycheque. They are geared toward seeking employment that allows them to learn new skills. You are more likely to attract and keep good employees if you can offer development opportunities.
3) Training promotes job satisfaction. Nurturing employees to develop more rounded skill sets will help them contribute to the company. The more engaged and involved they are in working for your success, the better your rewards.
4) Training is a retention tool, instilling loyalty and commitment from good workers. Staff looking for the next challenge will be more likely to stay if you offer ways for them to learn and grow while at your company. Don't give them a reason to move on by letting them stagnate once they've mastered initial tasks.
5) Training adds flexibility and efficiency. You can cross-train employees to be capable in more than one aspect of the business. Teach them to be competent in sales, customer service, administration and operations. This will help keep them interested and will be enormously helpful to you when setting schedules or filling in for absences. Cross-training also fosters team spirit, as employees appreciate the challenges faced by co-workers.
6) Training is essential for knowledge transfer. It's very important to share knowledge among your staff. If only one person has special skills, you'll have a tough time recouping their knowledge if they suddenly leave the company. Spread knowledge around — it's like diversifying your investments.
7) Training gives seasonal workers a reason to return. Let seasonal employees know there are more ways than one to contribute. Instead of hiring someone new, offer them a chance to learn new skills and benefit from their experience.
Learning and upgrading employee skills makes business sense. It starts from day one, and becomes successive as your employees grow. Granted, it may take some time to see a return on your investment, but the long-term gains associated with employee training make a difference. The short-term expense of a training program ensures you keep qualified and productive workers who will help your company succeed.
Corporate training is always a very good indicator of economic activity: when companies slow down they often cut training spending, and then as business grows they ramp back up to train new hires, sales people, and leaders. This is among the most discretionary of all corporate spending areas, so it is an excellent guide for business confidence. SureSkills have been in the corporate training and L&D industry since 1993 and has seen many highs and lows in the market. Whether in times of adversity or prosperity training budgets always need to be optimised and planned in partnership with senior stakeholders and your trusted training advisor's.
SureSkills provide this End to End learning management through our Design, Development, Delivery, Support and Management of learning process.
Contact a SureSkills Learning Consultant today to ensure you maximise your remaining training budgets and plan a structured learning and development plan for you and your team to ensure business success in the coming month and year.
Did you know?
SureSkills offer training cards, a training card can be a very economic way of buying training in bulk to save your business time and money. By buying a training card you can avail of a corporate discount as well as a free consultation with one of our learning consultants to ensure maximum ROI on your training investment.
Contact us:
Contact your SureSkills learning consultant or email info@SureSkills.com to arrange a call/meeting to help maximise your training budget and development needs.