True love isn’t found. It’s built. – unknown
This recognizable quote speaks to the effort that must go into a relationship for it to work and thrive.
What relevance does this have in an article about employee development?
Think about it. To achieve the team of your dreams, there is a process you must go through. While it would be great if every new employee turned out to be “the one,” chances are you’ll need to invest effort and resources to mold them into the employee you need.
Not every new hire will possess the qualities you seek, but if there’s potential, it’s in your best interest to make it work. Calling it quits can have costly consequences. According to SHRM, it costs up to 50-60% of an employee’s annual salary to find a direct replacement.
It’s best to nurture the talent you have by providing opportunities for them to learn and grow. Here’s why…
To Protect Your Investment
Assuming SHRM’s calculations are accurate, if a manager making $60,000 were to quit, it would cost your organization anywhere from $30,000-45,000 to fill the position. Providing the training necessary to groom your current employees is the more cost-effective alternative.
Having to replace employees can cost your organization more than money, it can also negatively impact your reputation. Your employees are the ones most familiar with your organization’s processes, products (or services), as well as your customers and clients. Turnover does not look good from a consumer’s perspective.
To Boost Attraction
Udemy’s 2018 Millennials at Work Report found that 42% of millennials believe that learning and development is the most important benefit when deciding where to work. While office perks are hyped as the best way to attract millennials, it seems that what they crave is more conventional.
According to that same report, less than half (42%) said their current employer provided learning, development, and training opportunities. Providing them with the development opportunities they seek is a great way to differentiate your employer brand from your competitors.
To Engage and Retain
If you build it, they will come…and stay.
Creating a workplace environment that motivates employees to perform at their peak has been a hot topic for some time and with good reason. High levels of engagement are associated with low turnover and high productivity.
Demonstrating a commitment to your employees’ growth and development through learning opportunities is a proven strategy. In fact, businesses with a strong learning culture enjoy employee engagement and retention rates around 30-50% higher than those who don’t. (Robert Half)
To Help With Long-Term Planning
If a key employee were to leave, have you identified someone who can step in and fill their shoes? Training programs help you fish for the next generation of leaders from your existing talent pool of superstars.
Promoting from within is good practice for many reasons. It’s a way to recognize and retain capable employees. When others see that loyalty and dedication are rewarded, it drives them to perform better. And it helps preserve the integrity of the company. Your current employees know your business best and can easily slide into their new position without missing a beat.
Good relationships don’t just happen, you have to work at them. The same is true in the workplace. Investing in learning and training opportunities for your employees is an effective way to nurture the talent you have. The payoff is a culture that encourages loyalty and success.
Want to Streamline Employee Training?
Balance Point’s e-learning solution can help centralize your efforts. The best part? It’s integrated within our HCM platform so you don’t need another system. Schedule a free consultation to learn more.