The Value of Training an Employee

The Value of Training an Employee

When a light bulb burns out, do you throw away the lamp? If you do, then you are either incredibly rich or possibly have a weird thing for new lamps I guess. But, if you’re like the majority of the lamp-owning world then you likely just replace the bulb. It allows you to save money and enjoy a brighter room too. Let’s know more about ‘The Value of Training an Employee’.

Unfortunately, when it comes to fixing an existing employee, over hiring a new one, managers often throw out the lamp. The companies have a pretty clear idea of what it costs to train an employee. The Real Question is : What is the cost of not training an employee?

The True Cost of Not Providing Employee Training

"If you believe that training is expensive, it is because you do not know what ignorance costs. Companies that have the loyalty of their employees invest heavily in permanent training programs and promotion systems.”

-Michael Leboeuf in his book "The Great Principle of Management”

The problem is that many organizations see training as an expense and not as an investment. Untrained employees will, inevitably, lack the motivation and knowledge to use company resources properly. It will lead to waste of service industry, lack of knowledge about procedures will affect customer interaction and retention. Because of this, your employees, your company, and your clients will all suffer.

A company is only as good as its employees, employees are only as good as the resources put into them. When workers perform poorly, it reflects negatively on the business and affects the bottom line. But, when you have a high turnover rate with dozens or hundreds of employees making the same mistakes, then it’s time to look at the training provided, not the employees themselves.

Proper training will make employees better and more capable of their jobs. It will eventually reduce the time it takes to search for information as they are working. This also helps to quell redundancy of effort where multiple employees are attempting to perform the same task. They don’t realizing whose job it is because they have never been trained otherwise.  The time and money it takes to correct mistakes are also lessened greatly when employees have the tools to do the task right the first time. 

It may seem overwhelming to provide a week long training course to employees, but there is a better alternative.

Image Source : www.shiftlearning.com

Before forgoing training always consider how much more expensive it is NOT to train. 

Consider productivity loss, the cost of employee turnover and lost customers due to mistakes made by improperly trained employees. Your employees’ training and happiness is just as much an asset as the workers themselves.

The current and up coming workforce believes in the value of training and the opportunity to advance in a position. Because they are aware of the competitive world they live in, a job that provides training opportunities satisfies their need to stay ahead of the curve.

A survey conducted by PwC asked Millennials, “Which of the following characteristics make an organization compelling to work for?” This is what they answered:

Image Source : www.shiftlearning.com

Conclusion

Conversely, untrained and unhappy employees who feel that they are being underutilized are more apt to become frustrated with their job and be less loyal to their company meaning they will make more mistakes and fail to meet even minimum standards. Management often assumes that providing training will lead to employees moving on to other companies, but this simply isn’t true. With proper training, employees feel like they are valued and are happier in their jobs plus a job that comes with training will attract a higher class of candidate. This is all about ‘The Value of Training an Employee.’

For Business Expansion, Finance, Compliances, Employee Management, Vendor Management, Branding, Digital Marketing & other Business Consultations, Get in touch with us: www.expertgraph.com

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