Training is an opportunity to expand the knowledge of your employees – allowing both you and them to reap the benefits. Companies that offer comprehensive training programmes will enjoy a 24% higher profit margin compared to those that spend less on training. Despite this, many will skip training because they see it as costly and time consuming.
However, training your employees can improve their performance, increase employee satisfaction and reduce employee turnover. So, to help you out, we’ve put together the main reasons for training and a breakdown of the main training techniques.
How training can boost your business:
- Improve employee performance – First and foremost, training will allow employees to perform their jobs better. It gives them a greater understanding of the skills required to fulfil their role and build their confidence. It is also important to be on top of changing industry standards and any new regulations.
- Improve employee satisfaction – Taking part in staff training shows your employees that they are valued and you are investing in them in the long term. People want to learn and be continuously improving for their current role and their career. This will make them more satisfied, engaged, productive and efficient.
- Address weaknesses – Nobody is perfect and most employees can recognise were their shortfall lies. An ongoing training programme allows your employees to address and improve on these areas. It also means your employees can work more independently and cover for each other if necessary.
- Reduce employee turnover – One of the main reasons people move on is because they feel undervalued. By investing in a training programme, your staff will feel appreciated and therefore less likely to leave. Training and development is seen as an additional company benefit that your employees will appreciate. This will reduce your recruitment costs and onboarding training, meaning you can invest in other areas.
- Enhance company reputation and profile – Having a strategic and consistent training programme develops employee brand and your company profile. It is seen as a great employee benefit and something that will attract potential workers to your company, increasing the calibre of talent applying. Highly qualified staff can also help to position your company as a leader within your industry.
Types of training you could use:
There is a wide variety of training options you could use to take your business to the next level.
- On the job training – This is the “learning by doing” method. Create a programme or schedule where you give them additional responsibilities and have someone teach them how to do it. It is simple and cost effective.
- Mentoring schemes – Connecting experienced employees that have certain skill sets with less experienced colleagues that are looking to build up these skill sets. It’s cost effective and keeps your employees engaged and motivated.
- In-house training – Training that is covered by internal employees, led by the company. It can be cost effective and is useful if you hire regularly and have unique training needs.
- Individual study – This type of study is completed by the individual, often alongside their day job. Typically it will take place offsite or online. Specific courses can be expensive, but the range of online training modules now available has made this more accessible to all businesses.
- External training courses – This training is provided away from the usual day activities. It can take the form of workshops or seminars and are designed to get staff up to speed on a new skill quickly.
If you’re looking for finance to invest in staff training, check if you qualify for a business loan in 30 seconds at fundingcircle.com/businesses.