The Importance of Training & Development (OCR GCSE Business)

Revision Note

Written by: Lisa Eades

Reviewed by: Steve Vorster

Why Businesses Train Workers

Both new and existing staff need to be trained and developed appropriately
- Training is the teaching of specific new skills and knowledge
- Development is the improvement of existing skills or enhancement of worker skills over time

Training is needed when new employees start work, to share important diversity and safety details, to inform workers of product changes and to improve customer service skills — **Training is needed when new employees start work, to share important diversity and safety details, inform workers of product changes and improve customer service skills**

Some training is required to meet legal requirements
- Food safety regulations require workers to be trained in the safe handling of ingredients
- Businesses must ensure that some workers have first-aid training
- Employees working with hazardous chemicals must receive appropriate training

Factors that determine the training provided

The choice of training is affected by costs, the type of training needed and the skills of employees — **The approach to training is affected by costs, the type of training needed and the skills of employees**

The cost of training

The cost of training and development can be significant, especially if businesses make use of external training providers or enrol staff on courses to achieve formal qualifications such as degrees
- Businesses that are in a weak financial position often scale back training programmes, preferring cheaper on the job approaches

The type of training

The needs of workers will usually determine the type of training or development required
- Business-specific knowledge and skills may be best delivered in-house, as external course providers are unlikely to be able to meet trainees' needs fully
- Professional qualifications are often delivered by colleges or universities

Existing employee skills

Employees' existing skills and experience will determine how much and at what level of training or development they should be involved
- Experienced employees with effective communication skills are often well-placed to deliver training or oversee the development of others
- In some cases, there may be concern that poor working practices may be passed on to other employees

Induction Training

Induction training is usually delivered as soon as possible after new workers join a business
It introduces employees to the organisation, its culture, policies, procedures and their job roles and responsibilities
- E.g. Induction training for new employee at Marks & Spencer covers customer service procedures, product knowledge, store policies and safety procedures

Some aspects of induction training need to be revisited by employees regularly
- Health and safety training needs to be carried out regularly, especially when new regulations come into effect
- When business policies change, employees need to understand the implications for their job role

An Evaluation of Induction Training

Advantages	Disadvantages
It helps new employees understand their job roles and responsibilities Improves employee confidence and motivation Reduces time for new employees to become productive	It can be time-consuming and expensive to organise May not cover all aspects of the job role May not be effective in all cases, leading to employee dissatisfaction and higher turnover rates

Examiner Tips and Tricks

A common misconception is that training only occurs at the start of employment. However, training is usually ongoing and, in many cases, businesses invest heavily in staff training over the whole period of workers' employment.

Benefits of Training and Development

Training and developing a workforce is beneficial to a business for several reasons

The Benefits of Training and Development

Benefit	Explanation
Productive staff	Employees work enthusiastically at the things they’re good at E.g. Employees trained in managing quality are more likely to think about how to improve product standards Output levels of well-trained staff are likely to increase, as they are confident in business processes and work efficiently
Valued staff	Well-trained employees are likely to be satisfied They recognise that their employer is spending money and investing time in their development This is attractive to job applicants
Loyal and flexible staff	Labour retention should increase as employees feel they are becoming better at their job and want to keep developing Skilled and confident staff are likely to be capable of taking on new workplace challenges
Attracting staff	High-calibre applicants are often attracted to vacancies that offer strong training opportunities This helps to grow a talented workforce which is likely to perform well
Customer-focused staff	Well-trained staff are likely to offer high standards of customer service This should minimise complaints and help to build a good business reputation

Last updated: 9 August 2024

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