The Hidden Benefits of Investing In Training and Development

The Hidden Benefits of Investing In Training and Development

Henry Ford famously said “the only thing worse than training your employees and having them leave is not training them and having them stay”. But the reality is, many businesses are currently falling short when it comes to their investment in training, developing and upskilling their people.

For small businesses in particularly, training can seem like just another cost, another thing they need to find budget for, so it’s unsurprising that unless there is an urgent need to provide training in order for operations to continue, it often gets over looked or pushed to the bottom of the pile.

Here’s the thing though, when we reframe training, upskilling, knowledge acquisition and staff development into an investment in our business, rather than a cost of having employees, it can really switch our perspective. Do you invest in other things to support your business and it’s growth? Software, equipment, advice? Of course you do, so why not invest in the development of your people who are so important to the success of your business?

In a national survey conducted by Swinburne University in 2021, called the Peak Human Workplace Report they surveyed a wide cross section of Australian workers across various industries,
occupations, education levels and from all levels within organisations. The results around attitudes to workplace learning were fascinating. The report found that learning at work is not keeping up with the changes that workplaces are experiencing, and that more than 60% of workers are not confident that the skills they have now will equip them for their current roles in the next 5 years. Add to this the data that showed only 42% of respondents had done any kind of formal training at work in the previous 12 months it becomes apparent that we’re trending in a dangerous direction when it comes to work[lace learning.

So we know we need to do more when it comes to workplace learning, but what’s in it for us as business owners, leaders and managers? The good news is, that just like any smart investment, you can really reap great rewards by investing in training and workplace learning initiatives for your team. The even better news is that learning at work doesn’t have to be expensive – workplace learning and training can take many forms, from formal education through to mentoring and knowledge sharing, so the options are vast and varied.

So let’s look at some of these pay offs and hidden benefits to making the investment in training and developing our people. We all know the obvious ones, that skills will improve, you can increase capacity to perform new tasks, you’ll likely see an increase in performance and hopefully even productivity, and you’ll be filling any skills gaps which currently exist.

Beyond that though there is so much more. One of the key things we see when a team has been able to upskill, have training opportunities and are constantly learning is that morale of the team is improved. Naturally employees feel valued when you invest in them, and this improves morale.

Just like any team with a great morale, you can also expect to see increase in motivation and engagement (and who doesn’t want more of that). There is no doubt that boredom kills motivation, and a lack of motivation reduces engagement, which has a flow on effect to productivity. Training turns this around, it amps up motivation and engagement which has a direct impact on productivity and ultimately profitability.

An interesting side benefit of training and development initiatives is an increase in innovation from your team. Learning generates creative thinking and the investment in your team, leaving them feeling valued, creates a law or reciprocity situation where they want to give back – often by coming up with new and innovative ideas. Employees feel more confident to bring these ideas to the table and are empowered to take their learning and apply them at work.

Finally, but perhaps most importantly is the clear trend that investing in developing your people, whether through formal training, learning opportunities, on the job training or knowledge sharing improves retention and reduces staff turnover. Now for me, that in itself makes the investment an absolute no brainer.

So if training and workplace learning is something that isn’t already a priority for you, hopefully these hidden reasons will be enough to get you re-thinking your investment in this critical aspect of growing and keeping an amazing team.

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