Business Benefits

Regardless of the size or type of an industry or business, training can have a measurable impact on performance and the bottom line.

Research shows that productivity increases while training takes place. Staff who receive formal training are much more productive than untrained colleagues who are working in the same role.

High labour productivity increases business output and can open a greater share of the market or expand it by improving products, services and reputations.

Successful training is focused on supporting your business objectives.

The benefits of training in one area can flow through to all levels of an organisation.

Over time, training will not only boost the bottom line, but reduce costs by decreasing:

Staff benefit too, learning new skills and becoming a valued asset in any organisation. Training brings direct benefits to business and can be calculated as a return on investment.

Staff retention

Training increases staff retention which is a significant cost saving as it gives employees an incentive to stay on. In some companies, training programs have reduced staff turnover by 70 per cent.

Improved quality and productivity

Training that meets both staff and employer needs can increase the quality and flexibility of a business's services by fostering:

·         Accuracy and efficiency

·         Good work safety practices

·         Better customer service

·         Company loyalty

Most businesses provide on-the-job training, particularly during induction. Ongoing training almost always shows a positive return on investment.

Staying competitive

Staying competitive is the key to sustainability. Industry must continually change their work practices and infrastructure to stay competitive in a global market. Training staff to manage the implementation of new technology, work practices and business strategies can also act as a benchmark for future recruitment and quality assurance practices.

As well as impacting on business profit margins, training can improve:

·         Staff morale and satisfaction

·         ‘Soft skills’ such as inter-staff communication and leadership

·         Time management

·         Customer satisfaction

·         Improved staff attitude

People enjoy learning when the material is relevant to their interests and will be eager to apply their new skills and knowledge in practical situations.

Staff who possess diverse skills are generally more satisfied and positive in their jobs. This decreases the occurrence of work-related stress and improves the overall work environment.

By investing in their training, staff often feel:

·         You have confidence in them to do the job

·         The business values them and is giving something back over and above wages

·         As a result, they will become self-starters and develop further competencies such as leadership and team-building and be more willing to undertake further training

Training Needs Analysis Explained

Training needs analysis is the first critical stage in the training cycle.

There are many aspects to training needs analysis, but the essential activity involves:

• Determining what is required to complete the work activity;

• Determining the existing skill levels of the staff completing the work:

• Determining the training gap (if any).

Selecting effective training for your employees can vastly improve your chances of success.

When choosing training courses for your employees, it is a good idea to bear in mind that people learn in different ways. Training will be more effective if it meets employees' individual needs as well as your business needs.

A training needs analysis (TNA) is an effective way to identify any gap between the skills your business needs and those your employees have. It involves gathering information to identify areas where your employees could improve their performance. You can use employee surveys, management observations, customer comments, company meetings and inspections to collect this information.

A TNA can help you clarify your objectives in training your staff. This is invaluable for ensuring that money is spent on training that will help your business to achieve its objectives. 

To carry out a TNA, you need to:

• analyse your business goals and the skills required to meet these goals

• determine whether you are changing your products or business processes and what information or training employees will need to be effective in their job

• evaluate who you want to train and how best to reach them

• establish how employees will best accept and integrate training and their preferred learning method

• evaluate the training in place and decide what your company can and can't provide in the way of in-house training, funding and time

• assess which consultants or training providers can fill in these gaps

• take a decision on which type of training fits your needs best

It is crucial to assess skills gaps at all levels of the business, including senior management.