Almost every company's Learning and Development team is grappling with reduced or tight training budgets on the one hand, and increasing demand for training on the other. In attempting to deal with this challenge, L&D teams should be asking "How effectively are we using our current training budget?", or more pointedly, "how much of our training spend is being burned?".
Outlined below are the main areas in which organisations' training investment is being wasted:
1. Misdiagnosis of development need The most obvious way to burn the training budget is to train a person in an area that isn't a development need.
This could happen by simply putting everyone in a team or department through a training program without any assessment of individual competency (the sheep dip) and therefore training need.
It can also come about due to a misdiagnosis of an apparent development need. For example, an employee is not completing their assigned work in a timely manner so their manager enlists them in a time management training course. However, if the main reason for not completing the work on time is something else such as a lack of understanding of the work itself, then they are being trained in the wrong area. This both burns the training budget and leaves the development need unaddressed.