According to a study by the Society for Human Resources Management (SHRM), many companies spend six to nine months of an employee’s salary trying to hire talent from outside the company. And, it does not stop there. There are intangible costs such as what could be incurred by way of onboarding.As a sign of hope, there are companies that are now trying to ‘create’ the skills within the organisation by putting their employees through ongoing learning programmes. These enterprises have found out that the cost of training employees is significantly lower than hiring new employees.
According to the SHRM 2016 report on job satisfaction, millennials place attacj great importance (95%) to job-specific training and career development opportunities. A study by the Hospitality Industry Education Advisory Committee (HIEAC) also suggests that almost 40% employees who receive poor training leave their positions within the first year.
Higher productivity
In knowledge-based industries, providing employees with intensive internal training leads to higher productivity. And, supplementing technical skills with business skills through training enables employees to get a deeper understanding of the industry and align their efforts with the company’s business goals. Millennials are now re-defining how companies operate. From work timings, company policies, perks and benefits to workplace lingo itself, everything is transforming as a result of millennnials joining the workforce. So when companies plan skilling and learning & development strategies, traditional methods of classroom training will not do. Virtual classrooms and self-paced learning methods that provide engaging content and allow the learner to take up a course at a time and place of his choice is going to be critical.
Above all, employees must feel that they are a part of the team and that they are contributing to meaningful work. So, while you focus on training your workforce, ensure you have a workplace that allows people to work and learn together.
(Krishna Kumar is CEO of Simplilearn)
