Investing in Learning

Without the right skills and targeted investment in learning opportunities an organization cannot hope to compete successfully:

  • 22% of employers say that the skills of their workforce are not of the standard required. (2003 National Employers Skills Survey)
  • The lack of basic skills costs a typical business, of 50 employees, £165,000 per year (Ernst and Young)
  • UK productivity is 13% below that of other major economies (Office of National Statistics)

In Britain £4.5b is spent on training each year by employers, but this may not be used effectively. In 2001 the spend on training in the USA was estimated to be $56.8b and 50% of this training had not been used one year later and was unlikely to ever be used!

A carefully designed Learning Needs Analysis can prevent skills shortages and the wasting of finance on inappropriate or unnecessary training.

Generic Advantages of an LNA

The benefits of a well conducted learning needs analysis are:

  • Learning can be directly related to organizational objectives
  • Learning can be targeted at specific requirements.
  • Learning needs can be identified and prioritised
  • The time of trainers can be spent on more productive activities.
  • The time of participants can be spent on programmes which are appropriate for them.
  • Training of limited value can be avoided.
  • Financial resources can be allocated more effectively and efficiently.
  • Learning can be carefully tailored to requirements

Competitive Advantages of an LNA

Conducting a learning needs analysis helps an organization to be more competitive:

  • Learning faster than your competitors may be the only form of sustainable competitive advantage.
  • Scarce resources can be more accurately focused on critical success areas.
  • Investing in people can lead to an increase in their value compared to capital investment which depreciates over time.
  • Successful organizations of the future are those which can tap into people's ability to learn.
  • Probably the best long-term strategy for achieving organizational achievement is through learning.
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