If you’re tempted to cut back on L&D when budgets are tight, think twice. ‘Isn’t it easier to cut staff training than to make cuts in other business areas?’ Easier, maybe; wiser, maybe not. Let me pose four inter-related reasons why business leaders should pause before letting the axe fall.
Consider your talent. Talented people are those who make a disproportionate contribution to your organisation’s success. They’re the ones who leave a big hole if they leave. They’re also the ones who will find it easiest to leave if you don’t invest in their learning and growth.
Consider what makes your business succeed. Whatever your business is and does, I can guarantee it will depend on knowledgeable, skilful people. Disinvest in people development and, over time, your knowledge and skills base will erode and your performance with it.
Consider engagement. Engaged people are those who put in discretionary effort, sell your business by their enthusiasm, inspire and motivate others to do their best. Such people love to learn and grow. Cut back on L&D and you risk losing the hearts of your most committed players.
Consider your customers. They look to your business with high expectations of high quality products or services, and high quality customer service. If customer experience is compromised by poor service from untrained or disheartened staff, you can wave goodbye to their cash.
But what are the corresponding demands on L&D? Is L&D as an investment of value per se? It does symbolise valuing and investing in people. Nevertheless, the onus lies on L&D professionals to ensure its value in terms of attraction, retention, development and business results.
I would be interested to hear of any examples from organisations where business leaders have chosen to continue or increase investment in L&D in hard economic times. For example, what were the drivers, what convinced you, how did you achieve it, what were the results?
Nick is a psychological coach, trainer and OD consultant with over 20,000 followers on LinkedIn. How can I help you? Get in touch! firstname.lastname@example.org