Cutting back on training- is it really such a wise business decision?

During these challenging business conditions I'm aware that many businesses are once again (as always happens every downturn of business cycle) cutting back on training and development initiatives for their employees in a bid to save costs but my challenge is to consider carefully whether costs are truly being saved?

From a perspective that includes both short, medium and long-term time frames here is a different take:

Firstly, an effective programme of development training for key leaders within a business should bring at least a 7-10 fold ROI - if not then I would suggest you're working with the wrong training provider!

Losing such a return on your investment surely outweighs any small cost saving?!

Secondly, if your competitors are holding back on training provision and you go ahead you will be in a superior position to increase your market share as your business delivers superior performance during this time. This will help you not just during the period when you're investing in your people and your competitors aren't but coming out of the tough business conditions you're absolutely going to be driving home your competitive advantage.

Thirdly, consider the important matter and cost saving implications of retention of your top talent. Top talent invariably thrive on being given development opportunities - if you hold back the important development need of your key talent they will most undoubtedly go elsewhere to find it - how much does replacing your top talent really cost?

Considering the three above aspects alone and maybe the cost saving of pausing training doesn't make so much sense?!

Clearly there are occasional valid reasons for pausing training, oftentimes business cash flow simply prevents even investing when it makes absolute financial sense but then surely this points to shortcomings in cash flow management?

There's a good analogy in the field of investment where those at the top of the game always seem to have the reserves to invest at all the right times such as when everyone's panicking and selling cheap!

Your people, particularly your most talented staff and those in key leadership positions need all the support they can get in stressful and challenging business conditions. They are the ones in whose hands not just survival but business thrival lays.

Give them the development they need and they will deliver for you ...it's always the wise call!

#leadership #teambuilding #talentdevelopment #investinginpeople

#successthroughfulfilment