It’s a shame that a training policy and personal development plan aren’t standard practices across all businesses. For various reasons, many organisations do not put it at the top of the agenda. However, here’s why they should.
The Cost to Businesses
Training doesn’t always have to mean expensive courses in external venues. Employees can acquire new skills and develop professionally through in-house initiatives. For instance, in one company I worked for, we established a coaching network accessible to everyone. This network enabled people to receive support, improve their performance and overcome obstacles in order to achieve their work goals.
Mentorship is another valuable tool for team development. It helps people feel invested in, listened to and valued by the business. A close friend of mine works for a large UK optical firm who have a strong focus on their people (no wonders she’s been there 20 years) and are consistently ranked in the top 20 of the best companies to work for. Why? Well, there will be a number of reasons, but a key one is how much effort they put into professional development of their people. They have a programme that recognises up and coming talent, developing their team in house to build the managers and directors of the future. They see this as an investment—retaining talent reduces recruitment costs, onboarding efforts, and lost productivity. A study by Gallop in 2019 calculated the cost can range from half to 2 times their annual salary, depending on various factors. [i] As their article points out, the ripple effects of employee departures—like reduced morale and a weakened company culture—can also be costly.
Some training, such as health and safety or GDPR (for those handling personal data), is mandatory. Businesses can either create in-house programs or use online courses with post-training tests to ensure comprehension.
Other training is vital to safeguard your business. Employees unaware of cybersecurity risks can unknowingly become points of vulnerability. Without proper training, they cannot be expected to protect the organisation from threats effectively.
[i] https://www.gallup.com/workplace/247391/fixable-problem-costs-businesses-trillion.aspx
Recommendations
Create a Policy
A formal training policy demonstrates that you value your team and their development. It sets clear expectations and emphasises your commitment to their growth.
Establish a Mandatory Training Programme
Identify essential training topics and implement a program to address them. At a minimum, health and safety training is crucial for all employees, while GDPR training is essential for anyone handling personal data. Extending this training to the entire team is a good practice. There are various systems available to manage this, and we’d be happy to showcase ours if you’re interested.
Prioritise Security Training
To empower your team as guardians of your business, provide training on identifying risks and protecting your assets. Preventative measures are far more cost-effective than addressing security breaches, which can result in hefty fines, reputational damage, and resource-intensive repairs. Many businesses neglect security as a cost-saving measure, but this often leads to significantly higher costs later. Check out the enforcement actions taken by the ICO for real-world examples: ICO Enforcement. Don’t assume they are all rogue traders, read through and see how many have just been in breach of regulation they just weren’t aware of.
Tailor Job Specific Training
Analyse each role in your organisation and determine its unique training requirement. That might be in the shape of mentorship, as mentioned earlier, or specific training, such as project management. In one business we started training in house to provide employees with a foundational understanding of how we had applied methodology in our processes. In the second year we budgeted for external courses so people could apply the new learning to our business processes. This supported business transformation; as we transitioned from waterfall ways of working to Agile, our project managers attended Agile project management training rather than PRINCE 2 training, bringing relevant new skills into the business.
Always allocate a portion of your budget for training. This allows you to provide courses that may be hard to deliver in-house, such as mental health first aid or Lean Six Sigma certification.
Set Up Coaching and Mentoring
Consider creating an internal coaching and mentoring system. This approach not only prepares employees for management roles—saving on external recruitment costs—but also helps them develop valuable soft skills, like presenting or handling difficult customers.
The Impact of Training
When you implement a well-structured training plan supported by a clear policy, your business will thrive. You’ll cultivate a culture of growth and collaboration, where employees support each other. Investing in learning and development shows your team they are valued, improving retention rates. [i] Skilled employees, in turn, will contribute to the security and success of your business.
In short, training isn’t just a cost—it’s a cornerstone of long-term business success.
[i] https://www.techuk.org/resource/navigating-attrition-unravelling-the-impact-of-learning-and-development-on-employee-retention.html