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How to Create an Effective Employee Training and Development Program

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Indeed’s Employer Resource Library helps businesses grow and manage their workforce. With over 15,000 articles in 6 languages, we offer tactical advice, how-tos and best practices to help businesses hire and retain great employees.

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Building an effective employee training and development program is one of the most important investments you can make. If you want to improve your onboarding process for new hires or have your current employees grow their skills and technical knowledge, a training program can help you build a productive and motivated team. By learning about the different instructional methods and development options, you can design a training program that works for your goals, budget, and needs. In this article, we’ll describe employee training and development plans and their benefits, discuss effective methods to use when creating one, and provide clarity on frequently asked questions about the topic.

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What is an employee training and development program?

An employee training and development program is an instructional plan a company can use to help employees grow their skills. Businesses often implement an employee training program as part of their onboarding process, where they train new staff members for their roles. Companies can also use a training and development program to further develop their current employees’ skills.

These programs can cover a variety of educational topics, including technical skills, responsibilities, workplace culture, company handbook and mission, and other topics essential to your business. With focused employee education, you can help create a more skilled workplace, which can lead to higher retention rates, employee satisfaction, and improved productivity.

Benefits of employee training and development programs

There are many potential benefits of an employee training and development program when implemented effectively. A successful program can benefit both individual employees and the entire company.

Here are some of the common benefits of employee development programs:

  • Increased productivity: with proper training, employees can complete their daily tasks more successfully, which can boost your company’s productivity and efficiency.
  • Improved quality and performance: specialized training can help your employees develop their technical skills, which can improve their overall performance and the quality of their work.
  • More innovation: a thorough development program focuses on the future and looks for ways to improve your team. This can lead to higher rates of innovation as your company continues to progress through changes.
  • Improved recruiting methods: if you have a growing business, a strong employee training program can help improve your recruiting efforts. Many people want to work at a company where they feel they can grow and develop, and you may attract more candidates if you share your development program.
  • Higher employee satisfaction: an effective training program can help show your employees that you value and appreciate them, which can lead to higher rates of employee satisfaction.
  • Increased confidence and retention: with specialized training and development, employees can develop the skills to feel more confident in their roles. This can lead to increased happiness and retention rates.
  • Reduces gaps in skills: a training and development program can improve your team members’ skills. Your employees may each have their individual strengths and skills, and effective training can help you grow a workplace with minimal gaps.

Effective employee training methods

Here are some of the most common instructional methods and tips you can use to design an effective employee training program and determine which is right for your company:

Online training

Online learning, also called e-learning, is a popular training strategy you can use with in-person employees and remote workers. This strategy uses tools like videos, quizzes, games, webinars, and eBooks. Employees can complete their sessions either at work or on their own time. This allows for more flexibility, which can be helpful if you have staff with different hours or remote options. Depending on the tools you use, your employees may access the information again over time, such as with an eBook or online document, which may help improve long-term learning and knowledge retention.

Classroom instruction

Classroom instruction is a live training session that typically takes place in person, although you may also offer virtual classes to remote employees. In this style, a facilitator or instructor teaches a lesson to a group. The instructor can use tools, such as a presentation, whiteboard, digital slides, handouts, and videos. This type of instruction is effective when you have a group of employees that need to learn about a topic at the same time. For example, if you want to train your entire team to use new software, you might have an in-person seminar for the group.

Also, if you’re onboarding a group of employees with the same start date, you can use classroom instruction to review the employee handbook, protocols, and technology. A benefit of this training style is that employees can ask the facilitator questions and receive immediate feedback. It also has a low cost, since specialized tools or programs may be unnecessary.

Interactive lesson

This instructional method involves employees interacting with one another and the course material. You can adapt an interactive lesson to fit your employees’ needs. You might use games, quizzes, simulations, or role-playing as interactive tools. Depending on your industry, this can be a very cost-effective strategy. For example, you may have your customer service employees role-play conversations with one another, practicing for real-life situations with customers. This only requires grouping your team members and giving them instructions.

You may use interactive lessons, in-person and online, which can be helpful if you have remote workers. For example, you can have employees complete an online trivia game covering a lesson’s material. You may also have team members do virtual role-playing by communicating over video calls.

Coaching or mentoring

Coaching involves pairing a new employee with an existing team member. The experienced professional can offer guidance, answer questions, and provide feedback to the new employee. This can be a great way to train your new staff for their daily duties, but the employee who becomes the mentor needs to take time out of their day to train the newly hired employee, which may be a challenge in some workplaces.

Many companies combine a mentoring program with other instructional methods. For example, you might onboard new hires using classroom instruction before pairing them with a mentor. To make mentorship more effective, consider personalities, working styles, and communication preferences when matching employees.

On-the-job training

On-the-job training is when employees learn tasks while performing their work. This helps train new employees, especially when you need them to start right away. To make this method more effective, you may combine it with another method, such as an initial onboarding classroom lesson or a mentorship where the new hire has a coach they can rely on for assistance.

Case studies

Case studies are a training method you can use independently or in small groups, either in-person or online. In a case study, you give employees a real-life case or imagined scenario to read through. They use their problem-solving skills and analysis to create a solution. This can be a cost-effective and efficient way to develop soft skills, like analytical reasoning and critical thinking, as well as technical knowledge related to your industry.

Employee training and development structures

Here are some structures you can choose from when designing your program:

  • Individual or group training: you can customize individual training to help your team members develop specialized skills, but group training may be a more efficient and cost-effective choice.
  • Internal or outsourced program: in an internal program, you or an experienced employee instructs your other employees, which can be a cost-effective option. An outsourced program can provide more advanced training from a professional instructor, but often at a higher cost.
  • In-house or external development: you may choose to have your training sessions on-site, or you may attend an industry conference, retreat, or event space. If you’re training a large group of people at one time, you may need more space than your office.
  • Technical or soft skill instruction: the method you choose can depend upon your content. For example, interactive and case study instructional methods may help your team develop interpersonal skills, while classroom instruction is better for technical knowledge.

Employee training program costs

Your costs may vary depending on the tools you choose. When creating your employee training program, it’s also important to consider the costs and your budget before you design your instructional plans. Some training, such as in-person classroom or role-playing, may be free for your team if you have space and equipment, such as a whiteboard. If you choose to use online platforms and advanced training tools your costs may rise, but there are a variety of options for different budgets.

While training might seem like a high cost initially, it can help in the long term. Trained staff may improve productivity, quality, and efficiency, which can save your company money. An effective training program can also help you reduce turnover, which can help lower your costs overall. As stated in a report by SHRM Foundation, studies show the average cost of losing an employee is approximately 50-60% of that employee’s annual salary. Improving your retention rates can help you save the cost of finding, hiring, and training new talent.

How to create an effective employee training and development program

Here are the steps you can take to help you create an effective training and development program:

1. Conduct an initial evaluation

Before drafting your program, you need to know what your company’s current needs are. Consider using tools like employee performance evaluations, anonymous surveys, employee satisfaction surveys, and supervisor reports to learn more about your company’s gaps. Look for areas you could improve in terms of performance, skills, and satisfaction. In your surveys, you can also ask employees directly what training they’d like to have. This can open up communication and help you find an effective program for your team.

2. Identify your priorities and business needs

Every company has a unique set of skills and knowledge required for success. For example, a customer service centre requires extensive customer service skills and knowledge. Make a list of the skills and knowledge your team members need to succeed in your workplace. This can include both technical skills and knowledge, as well as interpersonal skills, qualities, and behaviours.

You can then rank your list to help you prioritize your instruction. For example, if communication is the most essential skill in your workplace, you might begin with a lesson on effective communication techniques.

3. Consider outside help

You may have someone from your company or HR team lead a training session. For example, a sales manager could lead training for new sales associates, or your hiring manager might lead the onboarding training sessions. You can also use outside professionals to lead your training and help you design the next stages of your plan. Consider researching instructional designers, local instructors, or online resources to help you find a training professional.

4. Draft your plan

After identifying your needs, you can begin drafting a training program that covers the most essential topics for your workplace. In your training plan, list the main skills you want to teach as well as your current gaps. Then, identify how your training program addresses each one. You can include the following information in your plan:

  • Training budget and projected costs
  • Training timeline and schedule
  • Program structures for each session, such as on-site and group training

You may also include details regarding the end of the training, such as whether employees earn a certificate, badge, or award for finishing a program.

5. Perform a test session

Before beginning your training session, conduct a test session with a select group. You can use surveys or a discussion panel to get feedback on the program. Consider asking questions about the content, the instruction style, and the difficulty. Ideally, your program is challenging enough that employees feel engaged but also easy to understand so they can learn the content. Using your test results, review and revise your plan as needed.

6. Track your results

Tracking your results is an essential part of building an effective training program since you can use measurable data to determine the effectiveness of your plan. Consider using surveys, quizzes, and interviews to help you collect data. For example, you might interview supervisors and ask how their team has improved since completing the training program. You can also track your retention rates and employee satisfaction over time to see how the training is benefiting you.

7. Adjust your plan as needed

A successful training and development program meets the needs of your business, which can grow and adapt. Review your plan regularly and add content as needed. For example, as you grow and take on more projects, you might need to train employees on a new software program or tool. Consider scheduling time to reassess your needs and add them to your plan as necessary.

Employee training and development FAQ

Is it better to train in-house or hire an external instructor?

Whether it’s better to train in-house or outsource an external instructor depends on your budget, goals, and employees. If you have an employee who’s trained in presenting and instructing, they may lead a successful training session. You can also train your employees on how to provide instruction, or hire an HR professional specialized in instruction to help you build your in-house staff.

How can I help employees retain their training?

Retaining content is an essential part of an effective training program. You can use handouts, online files, and emails to share the most important information. For example, after a training session, you might email your staff a flyer with the key points listed for their future reference. You can also introduce learning activities, such as weekly quizzes or monthly review sessions, where you can quickly review the most important information.

What are some common mistakes to avoid when creating a training program?

Learning about the common pitfalls that can make a training program ineffective can help you avoid these mistakes and make a successful plan. Here are some practices to avoid:

  • Relying solely on one instructional style that is unsuitable for some learners
  • Lecturing content rather than using engaging learning tools
  • Forgetting to follow up or review the essential information after the training program
  • Planning a one-time training session rather than building a comprehensive training and development program

Please note that none of the companies mentioned in this article are affiliated with Indeed.

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Indeed’s Employer Resource Library helps businesses grow and manage their workforce. With over 15,000 articles in 6 languages, we offer tactical advice, how-tos and best practices to help businesses hire and retain great employees.