If you’re not providing training for your employees, you could be missing out on potential revenue growth. In our recent HR Benchmark Report survey, we found that fast-growth companies were far more likely to offer employee development and training tools. Whether you use on-demand tools or tuition reimbursement, there are many ways to incorporate development programs into your organizational culture.

Why Is Employee Development Important? 

Employee development isn’t just a way to improve your company’s productivity. It can also help you attract new workers and retain your current employees. Workers want to know you care about their career growth. In fact, one study found 94% of employees say they’d stay at their current job if their employer invested in their development.

As a small business owner, employee development enhances your bottom line in a few important ways.

Easier Time Attracting Talent 

Workers want development opportunities, so they’re more likely to go to a company that supports employee growth. To maximize this effect, include information about your development programs in your job advertisements.

Better Retention

Employee development doesn’t just impact your ability to attract workers. It also plays a key role in convincing them to remain at your organization. When you train workers and support their ongoing growth, they are more likely to stick around.

Higher Satisfaction Rates 

When employees are more confident about their ability to do their jobs and hopeful about their career outlook, it leads to higher job satisfaction rates. In turn, this leads to less turnover and lower absenteeism. 

Enhanced Productivity 

Satisfied employees tend to be more productive employees. Additionally, any type of development helps your workers learn new skills that enhance their productivity. Because your workers are more likely to remain working for your company, you also get to have more experienced employees instead of constantly having to train new hires.

Increased Morale 

For all these reasons, employee development can help improve morale in your organization. Workers feel more optimistic knowing the company is committed to their success.

Improved Company Culture

Over time, development opportunities can become an integrated part of your company culture. The type of materials you use and the program’s focus can reinforce your brand’s mission and values. Training and development can enhance your company’s culture in a few key ways.

• Create a culture of curiosity and discovery.
• Give employees a safe environment for learning and making mistakes.
• Celebrate learning new things and sharing knowledge.
• Show your company’s commitment to its employees and their long-term growth.

Investing in your people isn’t just something that changes your culture. It also leads to concrete benefits. By offering development tools to your workers, you can increase your productivity, lower recruitment costs, spend less on turnover, and enjoy having a better-trained workforce. 

Become a Fast-Growth Company 

Employee development can take many forms. While some companies use on-demand technology, other businesses use in-person sessions and structured training programs. 

Recently, Asure conducted a survey of 1,065 small businesses about their HR practices. After finishing the survey, we asked small businesses whether they had experienced fast or zero growth during the previous year. 

Employee Development: Results From the HR Benchmark Report

When it comes to employee development, our survey revealed a strong correlation between providing development opportunities and becoming a fast-growth business. In a recent Mission to Grow podcast on, “Development & Training,” Asure’s VP of HR compliance, learning, and development, Mary Simmons, spoke about the importance of employee development for companies.

“Number one: your employees want to be trained. It shows you care about them. It shows you’re investing in them,” Simmons says. “Number two: it makes them better employees, which helps your growth. And number three, development can mean many things. If you’re not training them how to make the widget, then you’re not going to be successful making the widget or making it faster.”

Our survey responses demonstrated the importance of employee development. For the results of each question, read on.

Do You Use Technology Resources To Offer On-Demand Training for Employees? 

54% of zero-growth companies offer on-demand training resources.

75% of fast-growth companies offer on-demand training resources.

Fast-growth companies are far more likely to use technology for on-demand training resources. In fact, this 21-point spread jumps to 28 points when you only look at businesses that have less than 25 workers.

On-demand training doesn’t have to be challenging. You can use training courses from Linkedin Learning, YouTube, or Coursera. If you already provide in-person courses, you can always record them to create an on-demand course. For compliance and other HR topics, Asure has a library of training materials you can use.

Do You Provide Regular, Structured Training for Employees To Be More Effective in Their Jobs?

52% of zero-growth businesses give their workers structured training.

82% of fast-growth businesses give their workers structured training.

“If you train your staff and your managers, you will have better retention,” Simmons says. Employees want to have development opportunities, so you’ll get more applicants if you remember to add your development programs and benefits to the job posting.

The biggest reason companies say they don’t offer training is because they don’t have money or time. However, training workers leads to a more productive workforce, so you’re getting more time back than you used for the initial training. Plus, you can get free training programs from your vendors, Asure, and online sites. 

Do You Provide Leadership Training to Managers?

51% of zero-growth organizations give leadership training to their managers.

81% of fast-growth organizations give leadership training to their managers.

While small companies don’t have the same resources as large corporations, you can’t miss out on a development tool that has a 30-point spread between fast-growth and zero-growth companies. Plus, this remarkable difference jumps up to a 42-point spread if you look at organizations that have less than 25 employees. 

If you’re not able to pull staff members for management training, you can always do executive coaching. With executive coaching, small firms can train managers individually and see positive results in as little as three sessions. 

Do You Offer Reimbursement for Tuition or Training Expenses?

57% of zero-growth firms give tuition or training reimbursement to employees.

80% of fast-growth firms give tuition or training reimbursement to employees.

“Having better-trained employees and managers makes your company more successful and productive,” Simmons points out. While providing tuition reimbursement can be expensive, there are tax deductions that can lower the overall cost. Additionally, tuition reimbursement offers many benefits for retention, recruitment, and productivity.

Do You Frequently Assign Stretch Assignments to Your Employees? 

35% of zero-growth companies give stretch assignments to workers.

81% of fast-growth companies give stretch assignments to workers. 

When we asked this question, we found a 46-point spread between zero-growth and fast-growth businesses, which was the largest gap in the entire survey. Likely, this is because stretch assignments help your company in the following ways.

• Prepare your succession plan. 
• Show workers they are trusted and valued. 
• Increase employee productivity. 
• Boost knowledge. 
• Get workers ready for future managerial roles. 
• Empower workers to learn new things.
• Improve problem-solving abilities.
• Enhance employee engagement and satisfaction. 

More importantly, stretch assignments don’t cost anything to implement. You can get all the benefits of employee development without any of the costs. 

Discover What It Takes To Become a Fast-Growth Business

Fast-growth companies are significantly more likely to offer employee development opportunities. By training workers and management team members, they’re able to improve their productivity, boost their compliance rates, and improve employee retention. Fortunately, there are many budget-friendly training options you can use to start growing your company. 

If you’re ready to take the next step in growing your organization, reach out to our team of small business HR and payroll experts today.