There are a number of components which go into creating a successful and profitable business. One of the most important of these elements is the calibre and skills of the company's employees. A well-trained and effective workforce can not only help to achieve the business's target such as high levels of profitability, but can often be the difference between viability and complete failure. It is for this reason that managers and employers view the continual development of their staff members as an essential priority upon which to expend time and resources, facilitating business coaching sessions and training courses on a regular basis.
Conversely, whilst a highly effective workforce can result in a successful business, a poorly trained workforce with a lack of necessary knowledge and poor team working can be disastrous going forward. Of the many problems which can come about, a lack of overall productivity is generally one of the worst which can befall a company.
First off, a lack of productivity will hamper overall output levels. With less goods being manufactured or fewer services being provided, there will be less sales revenue coming in. If this level falls below the level of expenditure flowing out, the business will find itself in financial difficulties, which may ultimately be fatal for it.
Secondly, a company which does not invest in the training and development of its employees may give the impression (which is perhaps justified) that it does not particularly care about the effectiveness or even the welfare of its employees. This can rub off on the employees who take the same attitude with regards to the future success of the company. When this slippery slope and negative spiral of apathy is begun, it often gets worse and worse and can be exceptionally difficult to get away from.
Not only can employees become apathetic and reduce their individual and collective productivity levels, but the lack of training and development opportunities may cause some to seek them elsewhere with another company. Losing talented employees is bad enough in its own right, but there will also be the additional costs of the recruitment and selection process, thus placing further financial burden upon the company. Add to this the potential for those leaving to take with them certain knowledge and information to a rival company, and the consequences for failing to invest in training and development can truly be dire, especially in the long term.
To avoid these drops in productivity and all of the associated issues that can come with such an occurrence, it is imperative that managers, directors and company owners place great importance and value upon the professional development of their staff members. From facilitating training courses, bringing in the services and expertise of an experienced business coach, or even simply allowing employees some time to self-study and conduct research on their own, instigating and encouraging professional development can avoid problems and significantly increase the likelihood of success.