Author Ashley Casey
When things get financially tight in business, often employee training is the first thing to go. However, this is not necessarily a sound strategic move for a leading organization forging the way in a competitive industry.
Why invest in employee training during economically challenging times? The short answer is because training and developing your employees could be critical to the future success of your organization.
In the past, employees were rated on the 3 R’s: Reading, writing, and arithmetic. These skills are no longer enough for success in today’s unstable business environment that is continuously responding to technological advancement and a rapidly changing social and economic landscape.
For employees to be efficient, productive and adaptable, new skills are required, such as:
- Critical thinking and problem solving.
- Creativity and innovation.
Your employees are your biggest asset since they get the required work done so your organization can meet its business objectives. Effective training designed specifically for your organization can provide your employees with essential next-generation skills while bringing with it a host of business benefits.
Here we outline some critical reasons why you need to invest in employee training:
- Support succession planning.
Providing ongoing employee training and development supports succession planning by increasing the availability of experienced and capable employees to assume senior roles as they become available. Increasing your talent pool reduces the inherent risk of employees perceived as “irreplaceable” leaving the organization. Areas of training that support succession planning include leadership, strategic decision making, effective people management, and role-specific skills.
- Increase employee value.
Effective training can be used to “up-skill” or “multi-skill” your employees. Up-skilling involves extending an employee’s knowledge of an existing skill, providing more experts within a subject area. Multi-skilling is the process of training employees in new or related work areas to increase their usability within the organization. Employees with diverse skill sets can perform a variety of tasks and transition more easily into other roles within the organization.
- Reduce attrition rates.
Investing in the development of your employees can reduce attrition rates. Well-planned training can provide career pathways for employees making retention within the organization rather than seeing them seeking next-level opportunities elsewhere. Another positive is a reduction in recruitment costs.
- Enhance operational efficiency.
Training your employees can increase their efficiency and productivity in completing their daily work tasks. Training can also help your organization achieve greater consistency in process adherence, making it easier to project outcomes and meet organizational goals and targets.
- Exceed industry standards.
Training your employees in industry-standard best practices could also assist you in building your reputation, giving your competitors a run for their money! Many businesses operate in saturated markets, so often it’s the small things that will set your business apart from the rest.