WE DO NOT RISE TO THE LEVEL OF OUR EXPECTATIONS. WE FALL TO THE LEVEL OF OUR TRAINING. – Archilachus
BUILDING A RETURN ON INVESTMENT (ROI)
Safety training, like any other business activity, needs to be justified in terms of overall return on the investment (ROI). Overwhelmingly, business leaders believe that L&D programs are required to close the skills gap facing North American businesses in 2022 and beyond. Given that it is, on aver- age, 1/5th the cost to train/retrain/ upskill existing workers than to recruit new ones. Learning & development training, overall, has a significant impact on productivity and profits.
Professional services firm Accenture found that, for every $1 invested in training, companies received $4.53 in return, an over 350% ROI.
However, according to statistics re- ported in HR Dive, only 8% of CEOs re- port seeing any business impact from their L&D programs, and fewer (4%) saw a clear ROI.
WHY THE DISCONNECT?
- It’s hard to put a value on effective training because it is a long process with benefits that accrue in the future through positive changes in employee
- Training is focused primarily on prevention – harassment and safety for example – and it is very difficult to reasonably quantify “could have ”
Safety in the workplace, specifically, is a difficult thing to put a price tag on. If you’re thinking about how much your lack of safety training is costing you or how much implementing a successful safety training program might cost, it can be a daunting process. You may be wondering whether a safety training program is worth the investment or if you can even afford it.
ANSWERS TO THE ROI QUESTION
SafetyNow has gathered some information about the true cost of safety training that can help you to decide how you can fit it into your company’s culture and illustrate to your executive branch the real costs in not training effectively…