Invest in your employees, or someone else will!
Take a look at your organization’s budget, where is your money going? To expenses, to stay afloat, buying capital equipment? While companies today are constantly striving to improve productivity and profitability they focus exclusively on the process and materials and forget that it’s their employees that can make or break the bottom line. The truth is that your employees are your most underutilized resource.
They are using training not as an event, but as an investment in the company and employee’s future. This means creating programs and initiatives clearly linked to the Strategic Plan and business objectives which can then be measured against original metrics. Makes sense, doesn’t it? Smart managers are tying every development opportunity directly back to the company’s vision/mission. This way, the employee knows that every daily action plan they have, every training/mentoring session, and every on-line course they take helps the company get to where they need to go.
In this economy the training mantra has been, “Well, we don’t actually have a training budget this year.” Companies have been trying to do all training internally (if they are even doing training at all), sending people to the big box seminars that are cheap but not effective, and doing away with their in-house Universities.
In addition, tuition reimbursements have gone out the window and managers are denying requests for attendance at professional development group meetings. What kind of sense does this make? It is like saying, “We need you to do more with less and be more effective and efficient Mr. Employee, but we are not going to train you, give you any additional resources, or support you in any way. Best of luck!”
Successful companies are realizing they cannot afford to not invest in their staff, their most valuable asset. Research on the return on investment (ROI) for training is that successful companies are not just looking at employee development as an expenditure on the books, but as an asset expected to generate income. According to the ASTD (American Society for Training & Development) leading-edge companies are spending between $900 and $1500 per employee per year on staff development, which can equate to one to three percent of their total payroll.