Training Cuts

In the first article of my new blog I touched upon my optimism that corporate training within multinational companies is on an upswing. High-level managers are becoming wise to the fact that severe cuts to training might save large amounts of money now but will cost substantially more in the future.

I recently read a report titled, “Knowledge- the New Commodity,” by Cognisco, which makes the case that investment in training is tied to global competitiveness, not just annual survival.

Emerging markets, such as China, are not cutting employee development to the same degree as America and European countries and will therefore be in a better position when the economy recovers, according to the Cognisco report.

However, as a Corporate Training Professional, it has been my role to convey this truth despite the tightening budgets of multinational companies. Training Managers are, understandably, afraid to invest large sums of money when the future is so unclear, and therefore ask the question, “why does training matter?”

Well, this is a simple question with a very simple answer… If you want to do business effectively, training DOES matter.

My experience of corporate training is predominantly within Asian markets and from business meetings and industry research it has become evident that an inadequately trained workforce is the most difficult obstacle for high-level managers doing business in an emerging market. Whether the employees lack presentation skills, engineering knowledge, or communication skills, lack of training can only amplify the effect of these obstacles and lead to an inefficient workforce.

British research analyst IDC, reports that 19 billion pounds (190 billion Chinese Yuan) was lost in 2008 because of employee misunderstanding. With a figure like this, can your company afford to cut training?

Increasing your internal training now might cost less than you imagine (some corporate training companies have very competitive prices right now) and the enhanced efficiency of your employees will ensure your company has the competitive advantage when the recession becomes a distant memory.

Thanks again for reading,

Emma

For further information on corporate training or seminars, please do not hesitate to contact me on eharradine@hotmail.co.uk