Is internal employee training really worth the cost and time?

Home / General / Is internal employee training really worth the cost and time?

Is internal employee training really worth the cost and time?

In General

What does ”employee training” mean to you as a Manager? Do you associate it as needing to train people who should already be all ”trained up” and never needing any form of further training? Or do you agree,  even though your staff are well experienced, with the need for consistent innovation, growth and new ways of doing business, on going employee training is well worth the effort, time and money?

While that is up for debate (not that it should even be a debate) we noticed how some managers still struggle with the realization of needing on going, well designed employee training.

The two biggest resources used for job training are time and money. Some of the excuses not to train are:

“We are too busy to learn something new right now”

“We just don’t have the money to pay for training.”

Training employees costs time, money, and materials. Often, third parties are needed to conduct job training. Not only will there be missed time and unbillable hours, but there will also be additional costs. Another reason businesses often neglect to train employees is because of past training experiences. Sometimes the training was done poorly, or the topics just didn’t help. That could happen for several reasons. Failed training comes at a high cost, and businesses often don’t want to take that risk.

BUT DO YOU KNOW WHAT THE BIGGEST RISK IS? 

Not training your employees. This is where you most certainly will loose money, time, and business growth will certainly go down the drain. Keep in mind one critical factor:

Your employees are the ones who make your company a success, not your product or brand value. Employees first, revenue later. 

Not training your employees comes at a bigger cost.

1. UNTRAINED EMPLOYEES = UNHAPPY EMPLOYEES.

Employees who feel inadequate, underachieving, or unsupported are unhappy. They aren’t satisfied in their work, which will cause them to underperform, make mistakes, and not care about their work product. That costs the business in lost time and money.

2. UNTRAINED WORKERS HAVE A LOW PRODUCTION VALUE.

The quality of their work is lower and of less value. The quality in performance is lower than it could (or should) be.

3. UNTRAINED WORKERS ARE INEFFICIENT.

More time (and therefore money) and effort is spent when employees aren’t fully or properly trained to perform their tasks or to fulfill their responsibilities. It takes them longer to do the work.

4. LOST TIME/MONEY DUE TO MISTAKES.

When an untrained worker makes a mistake, the time and materials used are lost. The work then has to be done again. Or worse, the inadequate product was delivered to the client.

5. AN INCREASE IN MISCELLANEOUS EXPENSES.

These are more difficult to track or attribute to untrained workers, but they are there. For instance, a Finance team who bills incorrectly due to not understanding their finance system or correctly tracking outstanding fees means going through the accounts yet again, needing to use a fine tooth comb to understand where human error occurred and worse – explaining to the customer they either need to pay less or pay more than what was originally invoiced.

6. INSUFFICIENT STAFF TRAINING MEANS LOST CUSTOMERS.

Untrained employees can cause many of the mistakes listed above, and those mistakes and inefficiencies can cause your business to lose customers. That is the worst possible scenario, but it can happen.

Training programs and costs have an easily measured up-front cost of time and money. Those line items are difficult to handle on a tight budget. However, added costs of poorly trained staff shows the importance of training employees. These costs do not come in the form of line items, so they are often ignored or unseen.

These are just 6 examples of where the costs, time and effort can and will unnecessarily increase, and where your brand value, employee and customer satisfaction can decrease significantly. How can this be resolved? One of the most proven ways of training staff is to incorporate eLearning into your organizations training program. In fact, a new study found:

  • 72% of companies state that eLearning helps them to keep up-to-date in their industry.
  • Companies that have a strong training culture have been shown to do better in their market compared to those who do not.
  • Companies are 46% more likely to be the leader in their industry with a robust learning program.

Having a well trained workforce means your workers are learning new skills, whether directly job related or skills that may actually up skill them to suit another role your company will benefit from. Add this to the fact that on going training will improve production, cut time spent in creation of your product (or service), reduce production costs, reduce mistakes, build confidence in your workforce, and create a better working environment.

Should you have any training and/or eLearning requirements  New Leaf Technologies, are the sole distributor of the Bill and Melinda Gates Foundation eLearning platform, aNewSpring. Please visit New Leaf Technologies for eLearning corporate requirements

 

Recent Posts

Start typing and press Enter to search