Cost Of Corporate Training
The verdict is in – the cost of conducting corporate training services has been skyrocketing across the globe. In just the last year alone, there has been a global increase in this field to over $130 billion and US alone has seen an increase up to $70 billion. But what is the cause behind this phenomenon?Do you want to learn more? Visit Pici&PiciInc.
The most obvious cause is the ever-increasing skill gap that companies have come to identity. With this awareness comes the realization of the need for effective and conducive in-house training just to get the employees up to speed on the needs and growing requirement of the corporate world. There may be many contributing factors to these gaps; ranging from poverty to incomplete education to a lack of confidence or inherent insecurity. Such factors and adverse cultures play a part in candidates being ill-equipped for a competitive market. This disparity of course does not change the fact that companies still need incredible amounts of skilled manpower in order to function at a cutting edge level. Thus the need for effective in-house training programs only increased steadily.
Corporate training programs are always a good litmus test for determining the economic health of the company. When companies are spending and investing in personnel training, it generally shows an interest in growth and diversification. When times are hard and the budget does not allow for training expenditure, discretionary spending is most emphatic especially in this area. Research and statistics strongly emphasize the fact that more than 70% of companies claim ‘skill gaps’ as one of their top five problems. Statistics show that it takes an average of 3-4 years to train an ordinary employee up to a professional level and convert that into productivity. This is especially telling in certain specific industries within the US as well. The Oil and Gas industry in the US requires at least 60,000 petrochemical engineers by 2016 but only 1600 students graduate from those fields every year. Thus the immense need to train, retrain and sustain employees is constantly growing.
The benefits and results of effective training programs are seen across different platforms in the corporate world, ranging from personality development to increased professional skill sets. The module itself extends into many aspects of any corporate structure starting from business etiquette to leadership development.
Corporate Training is essential to help companies maintain their cutting edge in a rapidly growing, fast paced business world.