Its not a secret that today the employee professional development or, in other words, corporate training, is the key to a company success. Corporate competitiveness increasingly depends on the employee qualification level. One of the very first steps any company has to take in order to optimize its activity is professional development of its employees. According to the American Society for Training and Development (ASTD), investments in staff training significantly increase the company's financial performance.
With a training investment of $ 860 per employee the profit will grow by 6%. Based on data from 575 companies within a 3-year period researchers discovered an interesting fact. Companies that make large contribution in employees training, have an average of 36% total revenue as compared to 25% return in other companies. Such income is 45% more than a market average. Larger profits therefore lead to bigger income of the company employees and higher stock prices (see Howard Community College for the details).
Well, what is corporate training?
In brief its improvement of employees professional knowledge and skills that the company needs to conduct for its business success and development.
Many companies invest 2-10% of payroll in training their employees. At the end of the training period they expect return on investment, increase in productivity, and hence, sustainable profit growth.
What should an effective corporate training include?