ROIfor Training Initiatives
ROIfor Training Initiatives
Organizationsmake decisions depending on the return of the investments they make.More resources are channeled to activities that bring or save money.One way of helping a company achieve its financial objectives is bytraining the employees to equip them with better skills. Some peoplemay neglect the importance of training and development since it maynot be obvious to measure the impact on the finances of theorganization (Harrison, 2005). Companies have training anddevelopment departments and these may be the first to be closedduring tough financial times. This essay discusses the importance oftraining and development to an organization.
Employeesare motivate din their current positions by the way their employersequip them with new skills. A well trained worker is able to remainin a particular position longer than one who has not been trained.When a company loses a worker, there are more consequences than onecan see. With fewer employees, production or service deliverysuffers. The continuing workers are made to toil longer hours. Thisis wrong can damage their morale. The time taken to find and train anew employee can have a heavy toll on production activities(Harrison, 2005). It is therefore necessary to retain the trainingdepartment to ensure all workers have the right skills to enhanceproductivity.
Althoughtraining and development may be seen as a cost center, it indeedplays a very important role in the organization. Training helpscompanies to run their businesses smoothly. Well trained workers knowwhat is expected of them (Rothwell, 2005). Therefore, there will befew instances of disruptions in the flow of activity due to problemsassociated with the workers. Apart from teaching skills to theworkers, the trainers help new employees understand the culture ofthe firm so that they can blend in quickly without any problems.
Inthe current highly competitive world, it is important for firms toemploy workers who will contribute to the firm’s objectives.Workers are not motivated by just the paycheck alone. They preferemployers that will equip them with new skills (Harrison, 2005).Therefore, companies that do not invest in training will spend plentyof resources seeking suitable replacements. Failure to retain qualityemployees can cost the firm in the long run.
Employeesprefer positions that offer them job satisfaction. One of the factorsthat contribute to this satisfaction is the kind of training one getto provide new skills (Rothwell, 2005). When employees are welltrained, they become loyal to the company and this will help the firmachieve its objectives quickly. There are many ways of gaining theloyalty of employees and training and development is one of theseways.
Companiesare interested in workers who have a wide array of skills. This isnecessary as it makes workers flexible and versatile (Rothwell,2005). Through training workers can be equipped with the skills tohelp them function in various capacities. This method is crucial inmaking the operations more efficient. Internal training allows theemployer mold employees who will aid to get the best results for thecompany.
Inconclusion, the value of training and development is real although itmay not be so obvious. Eliminating training of employees can havevery serious effects on the firm in the long run (Harrison, 2005).Employers should evaluate the impact of training initiatives beforethey decide to do away with the programs. Training of employees is afunction that cannot be ignored in the current highly competitiveworld.
Harrison,R. (2005). Learningand Development.CIPD Publishing.
Rothwell,W.J, (2005). EffectiveSuccession Planning.AMACOMDiv American Mgmt.pp. xviii.