Training and developing employees is extremely important for organisations to remain competitive, i.e. to outperform competitor organisations with the help of highly skilled, productive staff. Furthermore, staff is supposed to be retained to avoid losing key employees and consequently valuable knowledge to competitor organisations.
In recent decades, the organisational landscape has changed fundamentally due to technology and digitisation. This radical change will continue to shape the business context in the future. Training and development programmes will help keep employees up to date.
The importance of training and development programmes manifests itself on two levels, the organizational and the employee level.
Importance of training and development on the organizational level:
- Retaining high-performing key employees by presenting the prospect of promotions as a result of their skill advancement through training programmes
- Increasing profits and business growth by outperforming competition due to higher talent and productivity of staff
- Improving internal exchange of newly acquired knowledge due to spill-over effects in employee interaction
Importance of training and development on the employee level:
- Increasing employee satisfaction and motivation by acquiring new knowledge and skills that are beneficial personally and professionally
- Increasing employee engagement and empowerment which drives better staff dynamics in terms of cooperation and productivity in their jobs
- Better organisational reputation in the eyes of employees for enabling personal development which in turn leads to better employer reviews and word-of-mouth recommendation
If an organisation is able to master its training and development routine, it's looking at a win-win-situation that doesn’t merely improve the organisation's status quo, but also benefits staff.