L&D is not just a checkbox, it’s the future
In the search to find new ways of improving and investing in your organization’s Human Capital – The main resource in moving the well oiled machine, L&D, has become the crucial point in both preserving your employees and also giving them True Value by investing in their professional development through training.
However, in order to make a vast impact for the future, professionals are still faced with the challenge of needing to demonstrate to upper management the supporting data which reflects the importance of investing and developing in L&D training programs, by showing the financial value to the organization’s investment.
Employee retention as a tool
It is no secret that today, many employees choose a workplace where they will have a good time “spending” most of their waking hours, rather than a place they feel as another insignificant part while getting a decent salary.
While 24 ice-cream flavors and awesome pool parties have lost their “decoy effect”, there is now a new understanding of what truly matters to an employee in 2022.
Studies show that employees who spend time at work educating themselves by professional training report being calmer, more productive, successful, and ready to take on more responsibilities while being more confident and happy with themselves. The more you educate your talents, the happier they become.
Investing in human capital by L&D leads to higher profits
Some of you are still wondering where is the profit of investing so much in employee training and organizational learning.
When looking at the connection between organizations’ profits and their reskill or upskill programs, we can learn that organizations who invest the most in L&D enjoy a 24% increase in profits and a higher income of 218% per employee! Studies have also proven that this investment helps predict the change in the share price and dividends issued during the future year of the organization.
Bottom line – companies that are considered successful are the ones whose primary differentiation is how they constantly train their employees.
Learning leads to higher ROI and ROV for the organization
Expenses of hiring or replacing team members can be significant for organizations – which estimates to 5-6K. As we know, hiring new employees takes time and money (loss), until the employee has reached full potential productivity (Aprrox. 7 months).
However, when you do find the talent you seek, you still hope that the employee won’t resign, because it is quite common for employees to resign if they feel they lack good management, don’t have opportunities to advance their career, or don’t feel part of the organization at all.
On the other hand, we have learned that companies and organizations that implement online professional training resources have seen productivity improvement, reduced time in training new employees, and even more outstanding results once the employee has reached full preparedness.
So yes, Learning & Developing is not just “a trend”. Employee training has become an essential key to employee retention, therefore, securing the future of a healthier, more profitable organization.
Invest in your human assets with Elevation’s reskill and upskill Academies.