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5 Reasons You Have to Invest in Training Your People


by Glenn Shepard
September 6, 2016
Category:  Management



Houston, TX Sep 20
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Ask Glenn

Dear Glenn,

     I'm the Practice Manager of a Vet clinic and have a new employee, “Jane”, who’s emotionally draining on me and my staff. She thinks everyone is out to get her, doesn't like her, or wants her to just leave.
     The staff doesn't feel that way; or at least they didn't, but now they don't know what to say or do around her for fear of being accused of something. This is an EVERY DAY occurrence.
     Her work is good, it's just the emotional aspect that's draining. I'm getting pretty exhausted mentally from the roller-coaster ride. HELP? How do I deal with this situation?

Roller-Coastered Out in the Northeast

Dear Roller-Coastered,

     Being good at what one does doesn’t make them a good employee; it only makes them a good worker. In order to be a good employee, people have to be play well with others, and be relatively easy to manage.
     Put Jane on notice of this and if she doesn’t shape up, she’ll need to ship out – no matter how good her job performance is.

Thanks for your question.

- Glenn in Nashville, TN

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A small business owner once told me he didn’t spend much on training his employees because he has high turnover, and will have wasted the money if they leave.

But as Zig Ziglar said, “The only thing worse than training an employee and losing them is not training them and keeping them.”

Proof that training your employees increases productivity and profits is everywhere.

For example, The Cheesecake Factory invests about $2,000 in training for each employee each year. They also have sales of about $1000 per square foot, which is nearly double the industry average.

Here are four more less obvious – but VERY valuable – reasons you need to do this:

1. The Equivalent of a 17.7% Raise
A university study of 5,000 workers found that employer provided training increased job satisfaction by the same amount as a 17.7% pay increase.

2. It Slashes Turnover
People will forget what you say and do, but they’ll never forget how you make them feel. When you invest in people’s development, they feel valued, and see a future with your company. This is huge, because a Mercer survey found that 78% of workers said they’d stay at their job longer if they saw a career path with their company.

3. It Teaches People (Including Managers) to Accept Change
The workforce is changing - DRAMATICALLY. The Millennials became the largest living generation as of April 2016, and with 10,000 Baby Boomers retiring every day for the next 15 years, people are changing almost as fast as technology. A Deloitte study found that 44% of Millennials expect to leave their present employer in the next two years.

4. It Makes People Easier to Manage
The better trained people are, the better they work independently. For example, it’s not by chance that your UPS driver honks when he pulls up. UPS’s “Friendly Honk” (2 short taps) is one of over 600 methods drivers are taught in their legendary training program, called “Quaker Boot Camp” (because of its focus on ethics and safety). When UPS adopted the slogan “We run the tightest ship in the shipping business”, they were serious.

I admit that I could be biased because corporate training is what I’ve done for three decades. But even if I hadn’t, one thing remains incontrovertible:

Because payroll is the biggest expense for most businesses, investing in its people is the best investment a business can make.

To Your Success,

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