Cost Benefit Analysis for Training
April 3, 2025
As discussed in previous articles, it is very important to evaluate the benefits of the training and be able to put that in terms of numbers. Training comes at a cost and therefore any organisation would be interested in knowing the return on investment (ROI). Organisations use different methods to assess the benefits of training…
The process of needs assessment happens at three stages or levels, the organisational, the job and the person or the individual. This is the basis for any needs assessment survey and remains the same more or less in all organisations around the globe. There are however many techniques for collecting the data for training need…
The Benefits of Freelancing in Times of Job Insecurity In these times when job insecurity is rampant, and when professionals are increasingly finding their full-time jobs suddenly at the risk of downsizing and redundancies, there are many among these professionals who are considering switching to the freelancing mode. This way, they either become freelance consultants…
Training and development is vital part of the human resource development. It is assuming ever important role in wake of the advancement of technology which has resulted in ever increasing competition, rise in customer’s expectation of quality and service and a subsequent need to lower costs. It is also become more important globally in order to prepare workers for new jobs. In the current write up, we will focus more on the emerging need of training and development, its implications upon individuals and the employers.
Noted management author Peter Drucker said that the fastest growing industry would be training and development as a result of replacement of industrial workers with knowledge workers. In United States, for example, according to one estimate technology is de-skilling 75 % of the population. This is true for the developing nations and for those who are on the threshold of development. In Japan for example, with increasing number of women joining traditionally male jobs, training is required not only to impart necessary job skills but also for preparing them for the physically demanding jobs. They are trained in everything from sexual harassment policies to the necessary job skills.
Before we say that technology is responsible for increased need of training inputs to employees, it is important to understand that there are other factors too that contribute to the latter. Training is also necessary for the individual development and progress of the employee, which motivates him to work for a certain organisation apart from just money. We also require training update employees of the market trends, the change in the employment policies and other things.
The following are the two biggest factors that contribute to the increased need to training and development in organisations:
The critical question however remains the implications and the contribution of training and development to the bottom line of organisations performance. To assume a leadership position in the market space, an organisation will need to emphasise on the kind of programs they use to improvise performance and productivity and not just how much they simply spend on learning!
Your email address will not be published. Required fields are marked *