It pays to train! Training is an investment in the immediate future. It’s not just an overhead cost! As well known American seminar speaker, Tom Hopkins is oft to say, “No train … no gain”.
High performance businesses are twice as likely to train the owners and managers and to train twice as many employees as low performance businesses.
No matter what the industry, or the size of your business, both international and national research shows that training brings direct benefits to business –
- profits – a positive return on investment – of more that 30 per cent – “money in the bank”
- productivity – greater output. People who receive formal training can be 230 per cent more productive than untrained colleagues who are working in the same role- opening a greater share of the market, or expanding it by improving products, services and reputations.
- staff retention – which is a significant cost saving, as the loss of one competent person can be the equivalent of one year’s pay and benefits. In some companies, training programs have reduced staff turnover by 70 per cent and led to a return on investment of 7,000 per cent.
- accuracy and efficiency
- good work safety practices
- customer service and satisfaction
- staff morale and satisfaction
- ‘soft skills’ such as inter-staff communication and leadership
- time management.
- wasted time and materials
- maintenance costs of machinery and equipment
- recruitment costs through the internal promotion of skilled staff
The decision to spend dollars on training is similar to any other business decision. The fundamental question should be:
“Will I get more back in increased productivity, quality of life and/or enjoyment than the actual cost of the training?”
If the answer is “yes”, the decision to proceed is obvious.