One of the most frequently asked questions a business owner has about our goal setting training programs is predictable: “How much does it cost?”
The question is valid; most business owners are keenly aware of the budget, and want to ensure that their money is spent wisely.
Unlike software programs, equipment or inventory, however, training is intangible and can seem difficult to quantify.
Instead of focusing on the cost, a better question for business owners to ask would be, “What is the value of this training?”
Why Price Comparisons Don’t Work
The range of pricing for training programs is as variable as a length of string. Programs can cost anywhere from $500 to $25,000+, depending on several factors. These include the size of your company, the length of the training and the specific skills that the training covers. Other factors include the availability of follow-up sessions, training materials, and extra resources provided.
As the costs of professional training programs continues to grow, CEOs are concerned with the results. A survey of 96 Fortune 500 CEOs revealed that 92 of them were concerned with finding out the business impact that the training had on their staff. Only 8 of the 96 (8 %) actually tracked their investment to find out what benefit, if any, the training actually brought.
The Return on Investment Issue
In most cases, a business leader is concerned with the Return on Investment (ROI) that they should expect to see after investing in a training program. While it is not always possible to quantify the direct actions taught in a training program, it is possible to track the Return on Expectations (ROE).
Business owners can identify expected behaviours their staff should exhibit after attending the program. Are your employees demonstrating proficiency in using these new skills? Further, has there been an increase in productivity, a positive change in or revenue after the training? By analyzing the new behaviors, you will be able to determine the return on investment.
Price Matters But…
Pricing is important. However, pricing should not be the sole determination for selecting a training program. There are plenty of free, do-it-yourself programs on the internet if you absolutely have no budget.
You must evaluate the content: is the training offering something that your team needs to take them to the next level of success?
You need to evaluate the availability of the program: is it offered in a manner that meets your organizations specific needs? Does the program offer verifiable results with a similar business? Are follow-ups included to ensure that your company will maximize the new information taught during the training?
Let’s do the math. If a training program is $3000 for a one-day session per employee, and the program includes weekly follow-up to encourage the use of the new information taught, then that $3000 “one-day” session is actually a $58 per week. Exceptional value.
Further, it isn’t really $58 a week, as the training doesn’t start new each week, it builds upon what was previously taught and re-enforces and encourages a deepening of the skills learned.
Employees who are skilled in setting (and achieving) goals for sales, customer service, client success, and for themselves, will begin striving for improvement in a measurable, attainable way. These are the kinds of employees you need to build your business. Let us help you get there.
Michele Bailey is president and CEO of Blazing THE Agency and My Big Idea™. These two lines of business work congruently to support her clients’ success.