What’s the most important factor in business? Many business owners and managers would say “profit.” And, they wouldn’t be completely wrong about this. If you’re going to devote your time to selling products and providing service, you’ll need to bring in more money than you send out. But somewhere between the spending and the final number, you’d be wise to understand the idea of return on investment (ROI).
To get the “return” part of the equation to a level you can live with, you’ll have to make the right decisions on the “investment” factor. Most business managers and company owners understand they have to invest in plant and warehouse facilities, as well as in equipment and fittings for their work space. This is always accepted as a necessary part of building and maintaining a commercial operation.
But there’s another asset, and investment, that’s just as important (maybe more important). If you want to help your company move forward consistently and end each period with a positive number (return), you should focus on employee training, for the best long-term results.
Goals and Measurement
Opinions vary as to where this belongs in the process, but you must know where you’re going before you can try to get there. Share these goals with employees and have a method of measuring progress toward those objectives. Annual performance reviews can help, but this process must be related to training programs designed to yield improvement.
If you spend all your training money on outside “experts” you may be missing a great opportunity. Look for individuals within your organization who communicate well and have the knowledge and skills your employees will benefit from.
Using Professional Trainers
If you need professional assistance with your training programs, take time to evaluate the benefits of on-site and off-site programs. Make this decision carefully and be sure you use your evaluation/measurement plan to determine if you get the return you need from this investment.
Save With Technology
When you’re considering the last two training steps, don’t forget to take advantage of the excellent online training programs and information. A successful company in the 21st century will make extensive use of electronic communication.
In Your Industry Sector
Look within the industry sector for focused training. Industry associations and trade groups can be an excellent source for employee training and specific information. This may be one of your most valuable assets when it comes to moving your company in the right direction.
As you look within your organization for training expertise, you might want to give serious consideration to having more experienced employees work closely with new members of the staff or with less-experienced employees.
Some of the most important exchanges of information and techniques take place during informal discussions and lunch conversations. As a business owner or manager, you should encourage employees to share information and assist each other. Remember, your people are not robots. They should be comfortable with informal interaction. If you’re managing a company like Rental Center Crete, this can be a key method of improving ROI."
In an area related to the informal exchange of ideas and information, you should encourage individuals to share their skills and knowledge, even to the point of cross-training. You may even want to rotate work roles so your employees are learning consistently.