Knowledge and skills development is vital to the health of organisations. We live in an information age today and organisations are routinely valued not just on their physical but on their intellectual capital. Training is one of the chief methods of maintaining and improving intellectual capital, so the quality of an organisation’s training affects its value. Untrained or poorly trained employees cost significantly more to support than well-trained employees do. Training affects employee retention and is a valuable commodity that, if viewed as an investment rather than as an expense, can produce high returns.
Training is organisational effort aimed at helping employees to acquire the basic skills required for the efficient execution of the functions for which they are hired. Development, on the other hand, deals with activities undertaken to expose employees to perform additional duties and assume positions of importance in the organisational hierarchy.
Skilling your staff is good for your business and good for your workforce.
Good for your business
Training can improve business performance, profit and staff morale. Advantages to your business include:
- You choose what new skills your workforce gains, targeting skills to meet the needs of your operation for now and in the future
- Training your staff can result in better customer service, better work safety practices and productivity improvements
- You demonstrate to your workforce that you value them enough to invest in them, improving loyalty and staff retention. In turn, retention is a saving to you.
Good for your workers
Training has many benefits for your staff:
- They acquire new skills, increasing their contribution to the business and building their self-esteem
- The training they do can take them into other positions within the organisation – positions with better prospects and/or better pay
- They’re up-skilled to do new and different tasks, which keeps them motivated and fresh
- Because they’re being trained on your time, they see that you value them enough to invest in them.
A good company is seen as one that retrains rather than churns.