Employees training and development remains on of the paramount factors in conducting successful and competitiveness business in our rapid changing world. Despite this fact is accepted all over the world, there are companies which ignore providing their staff with training programs or seminars. Implementation of development programs can be too expensive for company’s pocketbook, which is one of the possible reasons to reject them. Other issues might be constant economic recessions, instability of market policies and credit crunches which may seriously impact on owner’s firm. Thus the companies may consider that there is no need for investing immense sum of money on staff training which can be in future their fatal flow. Noe R. (2005) claimed that “Training and development is including activities that help cultivate employees' skills, knowledge, and abilities. Trained employees have competencies to meet the current and future needs of organization. Through the training and intervention measures, the human resources departments help organizations to establish a high-performing, active and engaged workforce”. This essay will outline and point out major advantages and disadvantages of trainings and development programs for organizations and employees itself. Also there will be addressed the critical issues of the employees’ impact on company profitability and productivity, and if the impact is significant why firms are reluctant to invest in training and development activities for their personnel. The companies all over the world are struggling to be the first on the economic market or at least to get leading positions on the market arena. Our fast progressive business environment gives a chance to survive just the strongest players; the most competitive organizations would gain huge profits and merge others. The essay will try to examine how both the employees and employers benefit from training and learning programs and why the companies restrict their investments in this activity.
Significance of employee’s training and development
Personnel development and training plays a vital role in achieving high-performance and success of the company. As a result of constant trainings the organizations will be able to observe the positive influence on the company performance in general. The core driver to motivate and persuade into providing various developing programs may serve the avoidances of heavy losses, correct decision-making, maximizing staff potential and increasing proficiency. In terms of hard time of overload at the working places the skills and productivity are especially required. The ability to organize the time and recourses are essential for employees. It comes that all above mentioned factors and reasons are fundamental components for achieving success (York, 2010). Focusing on the future of company is the main reason for initiating the training and development for your staff. It is seen to be extremely important fact that the companies need to put enormous efforts to be a genuine international competitor and keep the existence in terms of industry they operate. Competitive advantage of the company depends directly on high qualifies staff and intelligent workforce. Each firm should have the organized program on development; otherwise the personnel might be seeking and practicing some different forms of development which can bring threat for the company performance. The types of trainings may be various: team performance or individual performance. As we discussed earlier, parties, company and employee would get benefit from implementation of training and development programs. Employees in their turn receive additional knowledge; skills and practice for prospective job, as well as company get...