The current business environment is fast-paced, demanding, and constantly evolving. To keep up with the pace, you need skilled employees who can drive innovation that’s in sync with the current market landscape. Without a second thought, employees are a company’s biggest asset, and investing in talent is vital to sustainable business growth and success. Businesses go through lengthy and painful processes to recruit/hire qualified and suitable staff. But unfortunately, the emphasis on implementing effective learning and development programs is taking a halt due to reasons many.
To add on, Gallup estimated that employee replacement costs can be 150% of the workers’ annual salary or more. Moreover, according to a recent Gallup study, organizations that implemented effective learning and development programs saw their sales increase and profits double compared to the ones that didn’t implement at all. Thereby, dedicated training and development – in other words, effective learning and development programs foster employee engagement. And engagement is critical to your company’s financial performance.
So, without further ado, let’s dive into the 3 key reasons why you should implement effective learning and development programs and how this can drive your business growth!
3 Reasons to implement effective learning and development Program
1. Improved employee performance and engagement
By investing in effective learning and development programs, you send a message that your employees are a significant part of your organization.
Firstly, the training/learning and development programs create a supportive and learning-oriented work environment. Secondly, employees may gain access to the training they wouldn’t have otherwise known about or sought out themselves. Moreover, employees who feel appreciated and challenged through learning and development opportunities may feel satisfied and happy to do their jobs. Because proper training and upskilling makes them feel well-equipped and prepared to handle the different work challenges thrown at them.
In other words, the effective learning and development programs will give employees a greater understanding of their responsibilities that’s beyond the job-role as well. Thereby, building and boosting their confidence. And this confidence will enhance their overall performance and this can only benefit the company. To add on, employees who are competent and on top of changing industry standards help your company hold a position as a leader and a strong competitor in this ever-evolving market landscape.
2. Better productivity and revenue
According to a recent IBM research, an increase in skill levels linked to business value can result in $70,000 in annual savings and a 10% increase in productivity when teams are well trained.
To add on, effective learning activities can also lead to greater employee motivation, engagement, and satisfaction as employees feel valued. And most importantly, learning and change are interlinked because it enables organizations to respond to changes and adapt to an increasingly competitive and an ever-changing market.
Thus, with effective learning & development programs focusing on filling in knowledge gaps and upskilling employees by helping them build their strengths, companies can create magic. As a matter of fact, a recent study claimed that a company that implemented a well-planned out learning and development program reported having witnessed a 14%-29% increase in profit.
Also, an IBM study found that well-trained teams increased their productivity by 10%. Equipping employees with the ability to do their jobs better is definitely a smart move. And, what’s a better alternative than implementing effective learning and development programs. This will not just help your employees upskill, but will also help them climb up the career ladder. Thus, coaching and training employees is a great way to empower them to succeed, which in turn will spike the company productivity and revenue.
Not just that, there is an added bonus of improved customer service and satisfaction. Thereby giving an additional boost to your company brand.
How do you ask?
Customers look at company employees as experts in their fields with the ability to deliver information through dialogue. When a customer approaches your company for something, it is critical for employees to resolve their queries. And an empowered and well-trained employee can do wonders – from enhancing the customer experience to strengthening customer loyalty.
Did you know? Companies that utilize learning technology witness a 16% spike in customer satisfaction!
3. Reduced employee turnover
As per a recent survey, 94% of employees would stay at a company longer if it invested in their career development. Also, if your employees feel that you genuinely care for their growth, they are less likely to leave the company.
To add on, training and development today is seen as an additional company benefit and not as a cost. Because recruitment costs are way greater when compared to training employees. Also, providing learning and development opportunities strengthen employee loyalty. Thereby, reducing employee turnover.
Today, there is a great need to train your employees – both new and experienced. Progressive companies today are changing how they view learning and development, as the business environment evolves. They are creating an employee-centric process where learning is a continuous event that the entire company is a part of. If you haven’t implemented learning and development programs, now is the time to do so!
Grow your business by growing your people. Witness the magic!