How to successfully manage your training budget in 2019
At the heart of any successful organisation, well-trained staff and workers are important. Despite this fact being understood and appreciated one of the first areas of a budget that is cut in these tough times is unfortunately training. Cutting the training budget nearly always looks like an easy and quick area in which to save money but the actions of cutting this budget are rarely properly thought through. There are longer-term implications that should be considered before cutting the budget and these nearly always far outweigh the actual cost savings.
So, just how can you successfully manage your training budget in 2018?
What training is needed?
First of all, a review of all your training should be considered. The importance of training cannot be overlooked as the well-trained staff really to play an important part in driving your bottom line. Accountants often see training as a cost to the company or a liability whereas an HR department will see training as an investment or asset to the business. Understanding what training is needed, regulatory or general skills development is therefore vital in presenting, preparing and managing a training budget.
A training budget needs to be forward thinking, even if it is reduced, it needs to be carefully planned and considered. The budget for training has a number of cost aspects that have to be taken into consideration such staff salaries for training if internal staff is used, the cost of contracted trainers, tools, and equipment needed for training and travel-related expenses for training. While these can be accurately recorded the value of training received is often overlooked, a conference, for example, may bring information into your organisation that can be shared with your staff and implemented.
Actually understanding what training is needed and why as well as setting an outcome from said training is vital and assists in creating a budget that brings in more income than it actually spends. The definition of training needs to change from a cost to investment and if that investment can be achieved by spending wisely then even better.
Use of Technology and eLearning
Having established what training is needed one needs to become innovative in how the budget is best utilised. One of the more powerful areas to consider when it comes to managing and improving training budget spend is the incorporation of eLearning. In the last few years, eLearning has seen a considerable rise in popularity and the quality of training delivered has improved significantly. Platforms such as HL Online training have helped number organisations in the healthcare sector manage their training budgets better with the added benefit of exceptionally skilled and motivated staff on the flipside.
Incorporating technology and innovative training solutions into your training budget will reduce training costs without impacting on the quality of the training your staff receives. Not only is the training itself more affordable but the time taken out of the workplace to study and learn is reduced and the burden of paying staff while training them is reduced. Online training is a way that can make managing your training budget in 2018 a great deal easier and make any spending more worthwhile and rewarding.
Align Training with company goals
A training budget is not just about spending an allocated amount but should ideally be about seeking a return on investment on the spend. At the end of the day, any training will only ever deliver a return if your staff are committed to it and while their jobs should not depend on it they must see how it can improve them and their employer and be a mutually beneficial and even enjoyable part of a person job. With well-aligned company goals and objectives that are balanced with a desire for well-trained staff, your annual training budget will feel a little less painful on the pocket. Setting clearly defined training goals for staff that use a carrot approach to self-development rather than a stick makes training less of a chore and more of an incentive. Online training solutions such as HL Online Training achieve this with relative ease making cost-effective, high quality training a morale-boosting, company growing solution.
It is fair to say many organisations will have tighter training budgets in 2018 and logical thinking, clear planning and innovative ideas can and will help manage your training budget better