How to convince top management of plant for workforce training

Training ROI

How to convince top management of plant for workforce training

02 Mar. 2022
13 min read

One of the biggest challenges that industrial plant managers face is how to persuade the top management to invest in workforce training. Many times, the benefits of training are not obvious or quantifiable, and the costs are seen as too high or unnecessary. However, ignoring the need for training can lead to serious losses due to ill-trained staff, such as low productivity, poor quality, high turnover, accidents, and customer complaints.

In this blog post, we will discuss how to build a compelling case for workforce training by following a stepwise approach that covers the following aspects:

Assessing the current competency level of the staff and identifying the gaps

Developing a training plan that aligns with the strategic goals and objectives of the plant

Estimating the costs and benefits of the training plan and calculating the return on investment (ROI)

Presenting the training plan to the top management and addressing their concerns and objections

Assessing the current competency level of the staff and identifying the gaps

The first step in convincing the top management of the need for workforce training is to conduct a thorough assessment of the current competency level of the staff. This can be done by using various methods, such as surveys, interviews, tests, observations, performance reviews, and feedback. The assessment should cover both technical and soft skills, such as knowledge, skills, abilities, attitudes, and behaviors.

The assessment should also identify the gaps between the current and desired competency level of the staff. The gaps can be classified into three types:

Knowledge gaps: The staff lack the necessary information or understanding of a topic or task

Skill gaps: The staff lack the ability or proficiency to perform a task or activity

Attitude gaps: The staff lack the motivation, confidence, or willingness to perform a task or activity

The assessment should also prioritize the gaps based on their impact on the plant's performance and goals. For example, a gap that affects safety, quality, or customer satisfaction should be given more attention than a gap that affects efficiency or innovation

Developing a training plan that aligns with the strategic goals and objectives of the plant

The second step in convincing the top management of the need for workforce training is to develop a training plan that addresses the identified gaps and aligns with the strategic goals and objectives of the plant. The training plan should include.

The learning objectives: What do you want the staff to learn or achieve as a result of the training?

- The learning content: What topics or subjects will be covered in the training?

The learning methods: How will the staff learn? Will it be classroom-based, online, on-the-job, or a combination?

The learning resources: What materials, tools, equipment, or facilities will be needed for the training?

The learning evaluation: How will you measure the effectiveness and impact of the training?

The training plan should also consider the characteristics and preferences of the staff, such as their learning styles, motivation levels, availability, and feedback. The training plan should also be flexible and adaptable to accommodate any changes or challenges that may arise during the implementation.

Estimating the costs and benefits of the training plan and calculating the return on investment (ROI)

The third step in convincing the top management of the need for workforce training is to estimate the costs and benefits of the training plan and calculate its return on investment (ROI). The costs of the training plan include

The direct costs: The expenses incurred for delivering the training, such as instructor fees, materials, equipment, travel, accommodation, etc.

The indirect costs: The expenses incurred for supporting or facilitating the training, such as administration, coordination, communication, etc.

The opportunity costs: The losses incurred due to taking time away from work for attending or conducting the training, such as reduced output, sales, service,

The benefits of the training plan include:

The tangible benefits: The measurable outcomes or results that can be attributed to

improved performance after receiving training such as increased productivity, quality, revenue, customer satisfaction, etc.

The intangible benefits: The non-measurable outcomes or results that can be inferred from improved performance after receiving training such as enhanced morale, loyalty, innovation, reputation, etc.

The (Return on Investment) ROI of the training plan is the ratio of the net benefits (benefits minus costs) to the total costs expressed as a percentage. For example,

ROI = (Net Benefits / Total Costs) x 100%

A positive ROI indicates that the benefits outweigh the costs and the training is worth investing in. A negative ROI indicates that the costs outweigh the benefits and the training is not worth investing in.

The solution: What is the proposed training plan and how will it solve the problem?

The benefits: What are the expected outcomes and results of the training plan?

The costs: What are the estimated expenses and losses of the training plan?

The ROI: What is the projected return on investment of the training plan?

The evidence: What are the facts, data, or examples that support the training plan?

The presentation should also anticipate and address any potential concerns or objections that the top management may have, such as:

The timing: Is this the right time to invest in training given the current market conditions, budget constraints, or competing priorities?

- The feasibility: Is this the best way to address the competency gaps given the available resources, staff preferences, or organizational culture?

- The credibility: Is this a reliable and valid training plan based on sound research, best practices, or proven methods?

- The risk: What are the possible challenges or drawbacks of implementing the training plan?

And finally the presentation should also include a call to action, asking the top management to approve, support, or participate in the training plan.