Advantages of employee training
Implementing an employee training program is important to maximizing human capital, gaining a competitive edge, and ensuring employee satisfaction! Read on to learn more about its important role.
Advantage 1: Increased job satisfaction and employee engagement
When employers invest in their training, it shows them that they are valued
One of the main benefits of employee training is that opportunities for learning and career growth increase employees’ levels of job satisfaction. Many things contribute to job satisfaction, but it all boils down to people feeling good about their work. When employers invest in their training, it shows them that they are valued. It also gives employees the tools they need to grow and feel confident in their job! Job satisfaction is closely tied to an employee’s level of engagement. In today’s workforce, engagement is quite low; only 13% of employees feel engaged at work worldwide! This should not be ignored, as satisfied and engaged employees are more profitable, less likely to miss work, and provide better customer service.
Advantage 2: Increased employee motivation
When a company provides learning opportunities by hiring an external training partner, the employees can apply their new skills and take on new challenges at work, improving their enthusiasm for their job.
According to inc.com, employee motivation refers to “the level of energy, commitment, and creativity that a company's workers bring to their jobs”. Like job satisfaction and engagement, motivation has many benefits, such as lower turnover and increased productivity. Surprisingly, material benefits, such as a company car, influence motivation less than you might think. Instead, employees want to feel empowered, valued, and inspired, which learning opportunities and training can address where material items fall short.
Advantage 3: Improved knowledge equals increased profit
The know-how and skills employees learn through successful training programs translate to tangible benefits like increased sales, improved processes, and more satisfied customers. All of which positively affect the company’s bottom line. In a 2011 survey of 2,500 companies, companies with comprehensive training programs had 218% higher revenue per employee and 24% higher profit margins! Also, employee training is also often established to comply with the latest laws and regulations that are meant to keep them safe (either physically or from data leaks). As well as improving profit, compliance training saves money. Although there is a cost to implement compliance training, non-compliance can cost even more. This may include legal fines, business disruption, and losses in productivity and revenue, which can equate to around $14.82 million.
Advantage 4: Increased employee retention
An average company loses 41% of its staff within three years, and one method to slow this is to provide adequate learning and development opportunities. Losing employees comes with a big price tag. Employees take their knowledge and productivity with them when they leave, while the company gets stuck with new hiring costs and low morale. When a company provides employees with learning opportunities, they see that companies are willing to invest in their success. This trend is especially true of Generation Y, who find opportunities to learn and grow extremely important. In turn, they feel like a valued part of the company and more empowered to do their jobs. And employees that feel valued and empowered stick around!
