9 Reasons You Can’t Ignore the Importance of Training and Development in the Workplace

Training and development are critical for organizational success in today’s business environment.

Training and development programs equip employees with the skills to succeed in their roles and stay motivated. Training programs also help employees develop adaptability, which is critical in today’s rapidly-changing business landscape.

Think of it this way. Whichever industry, product or service your company is located in, changes that impact your business will occur more than once a year. For most companies, changes go down far more often than that.

But if your business only thinks about training employees when they onboard, helping them adapt to important changes throughout the year, the quarter or even (gulp) the week--will be tough.

Employee training needs to beyond the occasional mandated video series or sending email updates. Here's why.

1. We are way beyond task-completion as a workforce

Employees today (in the age of AI and automation) must be able to do more than just routine task completion. They need to be able to understand the big-picture and how an organization works conceptually.

This requires cross-functional employee training and collaboration. If you leave each individual working in silos, very few employees will have the awareness they need to adapt to changes in the market.

Employee training (especially external) encourages knowledge development, cross-industry schemes, creativity and cross-functional awareness which allows employees to connect their tasks with the organization’s broader goals. Training increases employees’ ability to problem-solve, ideate and approach challenges from different angles.

2. Employees like seeing you invest in their development!

Training and development are highly-valued initiatives amongst employees. Investment in employees through training and development is a clear indicator that an organization values its workforce. Employees see this investment, and it helps drive positive feelings towards the organization’s leadership, mission and vision.

Employee engagement is so often about each individual understanding their impact and having a path forward in the company. Organizations that understand the importance of training and development in the workplace see improved performance because their employees feel confident and competent in their roles.

When companies invest in their people, employees feel respected, which directly correlates to satisfaction and retention. Satisfied employees are less likely to leave their jobs, which reduces turnover rates and saves on the costs of recruiting, hiring and onboarding new staff. Retaining experienced employees also ensures continuity and stability, which benefits the organization’s culture and morale.

Internal promotion and succession planning are key components of a successful organization, and training and development play crucial roles in both. Promoting from within boosts employee morale and motivation, as it signals that hard work and career development are rewarded.

Succession planning ensures that an organization has qualified individuals ready to step into leadership positions when needed, reducing disruptions and maintaining continuity.

Plus, your company culture will likely see a boost from camaraderie developed during on the job training (if any of it happens in group contexts).

The long-term returns of investing in people are substantial, even in terms of employee engagement alone.

3. Continuous learning will go beyond the training you offer

Development initiatives often have the positive effect of starting a culture of ongoing learning.

A focus on continuous learning enables employees to acquire new skills in response to industry shifts, organizational changes and emerging factors in the external environment like regulation and technology.

Continuous learning and development fosters a culture where employees are motivated to experiment, challenge the status quo and push the envelope on new ideas and innovation. Thus, training and development impact an organization’s ability to grow and advance.

4. Less bias and more innovation

Training and development programs also play a critical role in fostering inclusive and equitable work environments.

In diverse workplaces, employees come from varied backgrounds with different experiences, identities and perspectives. Programs focused on bias reduction and cultural competence help employees recognize and mitigate their biases while fostering an appreciation for diversity.

The benefits of that really extend beyond interpersonal interactions. When employees don't feel valued or respected in their work environment, it's far easier to find a new job than to challenge that environment. A training and development program that reduces bias will therefore also help reduce turnover.

But this is about more than retaining your talent. Diverse teams and workforces bring varied perspectives that lead to more creative and comprehensive solutions. When employees feel empowered to share their ideas and perspectives without fear of bias or judgment, they are also more likely to contribute fully, strengthening the company's financial performance.

5. Wouldn't you love to have more talented specialists?

In many organizations, training and development is singularly focused on managerial training. However, career advancement shouldn’t be synonymous with managerial roles. Not every employee aspires to management.

Training and development programs that offer pathways for non-managerial advancement are crucial to retaining talented employees who may not be interested in people management but excel in technical or specialized fields. Skill development and technical training is just as valuable as improving the quality of your managers.

And offering development opportunities for employees who love the work in their chosen fields contributes to higher job satisfaction while maximizing individual and organizational potential.

6. Wouldn't you love to have more effective leaders?

Development initiatives and employee training are good for an organization’s leaders and managers as well! Training and development programs play a significant role in shaping future leaders. They also increase the effectiveness of current leaders and managers.

Effective leadership is crucial for guiding teams, making sound decisions, and inspiring a shared vision. Training programs designed to enhance leadership skills, such as emotional intelligence, conflict resolution communication, help leaders develop the competencies necessary for successful leadership.

These soft skills become a very serious matter when it comes to leadership.

Strong leadership drives team performance and cultivates a supportive work environment. A proactive approach to leadership development minimizes the likelihood of poor management practices that can lead to employee dissatisfaction and disengagement.

In addition, leadership training can address and minimize common issues that erode organizational culture, such as poor communication, resistance to change and unaddressed conflicts. Leaders trained in managing change and promoting inclusivity are better prepared to navigate workplace challenges, handle difficult conversations and guide their teams through transitions effectively.

For more on that, check out Leading Through Change: How Good Leaders Turn Chaos Into Closer-Knit Teams.

7. Leaning into your areas of strength is just good strategy

Did you ever get tutoring in school for an area you had trouble with? If so, you know there's a huge difference between working on an area of weakness vs. working on an area of strength.

Employee training can be all about building on those areas of strength. A strengths-based approach to development focuses on enhancing employees’ natural talents. To achieve this, organizations must implement individualized training and development plans that cater to the unique strengths, goals and interests of each employee.

Think about it this way, most people are pretty interested in their own career development. If you offer a training and development program that can really do something for them, both your company and your employees will benefit.

When growth and development opportunities actually match what people want and need from their careers—they are far more effective.

Customizing learning paths ensures that training is relevant, engaging and aligned with both organizational needs and personal aspirations. Strengths-based development leads to greater engagement, as employees work in areas where they feel most competent and effective.¹

This approach helps organizations build a workforce that is not only skilled but also enthusiastic, dedicated and intrinsically-motivated to perform well, creating a positive workplace environment and fostering long-term loyalty.

8. Your customers and clients will notice

In industries with similar products and services, employees often become the differentiating factor that sets a company apart. Employees who are well-trained, knowledgeable and customer-oriented will improve the customer experience, creating a massive competitive advantage.

Customer service training programs enable this type of competitive advantage by teaching employees to provide personalized service, solve problems effectively and suggest improvements, adding value to the organization in ways that cannot easily be mimicked.

Companies with strong employee development stand out in the marketplace, even in industries where competitors offer similar products and services. Another way to say this is--when employees are treated well (feel valued, respected, and trusted), they are more likely to treat the customer well.

Once again, you can't really quantify the benefits of an engaged workforce.

9. It's another selling point for your recruiters

An organization that invests in its people will develop a strong reputation as such.

Recruiters will be able to highlight how employee training and development is focus for your company, which tells prospective employees they could have a future with you as an employer.

This bolsters recruiting efforts for the best talent. Prospective employees are often attracted to organizations that prioritize personal and professional growth, seeing them as places where they can build meaningful careers. Additionally, a focus on employee development fosters a culture of learning and support, which improves morale and attracts talent with a growth mindset.

What's the return on investment (ROI) of training and development programs?

There's no doubt—training requires a financial resource commitment by senior organizational leadership. Poorly designed (or poorly implemented) employee training efforts can have the opposite impact of all these benefits. It's not something to cut corners on.

But good development programs ultimately yield a return that is higher than their cost.

When organizations consider the costs of turnover, lost productivity and recruitment, training is a cost-effective way to build a skilled workforce. Also, employees who are satisfied and engaged are much more likely to create a better customer experience and improved customer retention.

Get the most out of employee training and development!

Organizational leadership must provide diverse opportunities for development that include varied and unique internal training and funding for external professional development of choice (aligned to some function in the business).

This includes tuition reimbursement programs and funding for certification programs. Learning and knowledge help expand an individual’s ability to contribute in ways that the organization has thought of, but also in ways they may have never considered prior.

Training and development are powerful tools that can transform organizations from the inside out. By investing in these areas, companies not only enhance productivity and innovation but also foster a work environment that values growth, creativity and satisfaction.

If large-scale changes like this get your ideas percolating, you should check out What Is Organizational Leadership? HR's Other Half. This field of business leadership might be the perfect area of interest for you.

¹Rigoni, B., & Asplund, J. (2016, September 22). Global study: ROI for strengths-based development. Gallup. https://www.gallup.com/workplace/236288/global-study-roi-strengths-based-development.aspx