The degree to which employees in your organization are “engaged” (meaning truly committed to an organization’s success vs. “doing a job”) has been shown to have a direct impact on profitability.
A motivated, engaged and well-trained workforce can help increase value-added revenue per employee by $5,000 to $10,000 and sometimes even more.
For these reasons, it is critical to your organization’s success and overall bottom line to have an effective HR leader work with department heads, top management and consultants to better understand team and department needs. Understanding these needs will then allow HR to devise the most appropriate training.
Implementing a truly effective training and development program is a complicated and time-consuming process that must be tailored to an organization’s specific needs and goals. Although there is no road map for developing the perfect program, we have devised a list of 6 functions you should not be missing.
Training and Development Must-Haves
Training and development programs typically include the following at a minimum:
- On-boarding and orienting new employees at all levels of the organization
- Technical training for specific jobs or departments
- Skill development for supervisors and managers
- Diversity training
- Executive and management development programs
- Safety programs
HR leaders typically do not provide all of this training but need to effectively manage this area, whether by mentoring, contracting for off-the-shelf programs and study courses, hiring outside consultants or leveraging train-the-trainer programs offered by suppliers. Experienced HR leaders should be knowledgeable about securing training grants from local, state and federal sources when it makes sense. These dollars can be significant in some cases, bringing in $20k, $30k and sometimes more than $100k per year depending on the training programs and the size of the workforce.
The right training programs should make a significant impact on profitability by getting new employees and management team members up to a productive level sooner and retaining employees by providing opportunities for growth and development. They should contribute to decreasing turnover and its associated costs, thereby increasing the quality of a company’s product and customer service and improving decision making at the supervisory and executive level.
For more information on designing the most effective training and development program for your organization, download The Overture Group’s free white paper How An Effective HR Leader Can Help Drive Results or contact us here.