When looking to make cost savings, most businesses will automatically reduce the budget allocated to training as a quick fix to save the pennies. Whilst this may prove successful in the short term, the impact on the overall growth of the business in the long term is likely to be negative as the workplace skill set plateaus against the continued need for expertise in the competitive market.
Employees tend to see training as a way to boost their skills and knowledge which leads them to feel they are doing their job better and gain a sense of satisfaction with their work. Training can often lead to achieving qualifications which they would generally not gain elsewhere; therefore career aspirations become more attainable.
These factors are important in developing a positive morale within the workforce to create a team culture where employees feel confident in working towards the organisations objectives.
Training is essential in employee retention; if your staff feel they are valued in the organisation and can develop themselves professionally, they are more likely to maintain an enthusiasm for their role and want to succeed. Ultimately the cost implication for replacing the skill set of an employee is far greater than the cost to retain and develop that employee.
It is important to consider that different employees will require different training depending on their role, current skills and the potential career development available to them within the organisation.
In a supply chain organisation there may be several different sector skills and levels of employee to train; typically this would present the challenge of identifying an awarding body to provide a course to suit each individuals needs. The Institute of Supply Chain Management has developed a range of courses covering various sectors of the supply chain, meaning minimal hassle for employers.
On-going training serves to not only refresh employee knowledge but is also proven to be a motivator for increased performance, leading to organisational success.