A company’s employee training plan serves multiple roles. It determines which employee training techniques are used in training company personnel. If a company relies on e-learning and virtual classrooms, a training plan can be used to determine the appropriate type of employee training software to be used for the virtual learning program. Finally, training plans can be used to track the performance of the trainees themselves, so that they will be able to meet the company’s training goals.
The most important aspect of an employee training plan is that it allows organizations to create a comprehensive strategy for achieving its personnel training goals, which in turn are determined by the company’s long-term business objectives. So if you would like to know why training plans are important then the following information should address some of your questions.
Facts About an Employee Training Plan
In order to fully appreciate the importance of your company’s employee training plan, it’s important to start at the top. This information can help you and your organization better understand the costs and effects of having a well-developed training plan, and how they can be integrated into your organization’s training program. So if you want numbers and statistics on why training plans matter then here’s what you should look at.
The Toll of Employee Churn
According to Bloomberg, around $11 billion is lost every year due to employee turnover. This is particularly true for certain industries, such as Banking and Finance (13.3% yearly turnover), Hospitality (20.2% yearly turnover) and Insurance (11.2%). Therefore, considering how employee training helps to reduce the turnover rate, it follows that a well-developed training plan can help to reduce employee turnover.
The Benefits of Good Employee Engagement
According to Dale Carnegie, companies with engaged employees outperform their competitors by a little over 200%. Employee engagement is not possible without employee training, it follows that having a good training plan in place in can help boost your company’s ability to engage its employees.
Various research groups have also found out that Employees who undergo training and employee engagement have personnel who are 2.5 times more likely to work late if their help is required. Furthermore, they are also twice as likely to help their coworkers, three times as likely to do something good that is not expected of them and five times likely to recommend people they know for a job at the organization they work for.
Finally, Gallup estimates that only about 13% of employees worldwide are engaged and subjected to employee training. This is a very low number that requires the attention of companies and business leaders, because, without employee training and engagement, these companies will continue to have lower than average productivity.
These statistics are not meant to convince you of the benefits of developing a training plan for engaging your employees. Instead, they are here to show you how training plans work and what their effects are on the organizations which adopts them. Although training tools, like employee training tracking software, can certainly boost training efficiency among your personnel, it will not be as effective is there is no employee training plan to organize everything into a cohesive system.
So the important takeaway from all this is that your organization should understand the actual rewards of developing an effective training plan. These rewards are only possible if your company develops them in such a way that addresses the unique issues faced by your organization.