As companies increasingly target workforce development as a competitive strategy, attracting and retaining top-performing staff is paramount. With corporations facing the dual challenges of adapting to expanding markets while keeping a tight rein on costs, the combination has produced a talent squeeze, evidenced by skills gaps and high employee turnover in the workforce. This increased competition for the best workers is causing CEOs to focus on talent development and management as a top priority in 2007.
It's smarter to train than to recruit
Because it's more cost-effective to retain existing staff than to recruit new hires, much of the strategy surrounding talent management focuses on ways to do that. While pay raises and other financial incentives might have provided motivation in earlier times, research shows that less tangible inducements such as skills development and internal advancement opportunities are more effective in improving retention rates among today's workers. According to a 2006 Robert Half Survey (link resides outside of ibm.com), providing training opportunities is cited most frequently by CIOs as the key to retaining essential IT talent.
In addition to enhancing job satisfaction and morale among employees, IT skills training also increases employee motivation. After all, when a company demonstrates its interest in keeping its staff up to date on the latest advances, employees feel more valuable and valued. They also understand that staying with the company is a good way to advance in their careers by building their skills portfolio and earning professional certifications.
Training is good for business
When businesses invest in their existing workforce, they reap the benefits in several different ways. Employers can ensure staffers are optimally equipped for their jobs, which not only helps boost productivity, but also helps companies realize the return on investment in their technology solutions faster. IBM's Global Human Capital Study 2005 surveyed more than 300 organizations worldwide and found that "companies that support their employees to devote more time to learning are able to demonstrate higher profits per FTE...Not only can training have a positive impact upon profitability, but some companies also see it as a means of keeping costs in check. 'If done effectively, (training) could contribute to a lowering of eight points on our cost structure,' commented one Latin American CHRO (Chief Human Resource Officer)." Given those realities, it's no wonder that CHROs reported that improving competencies and skills within the workforce is one of their highest business objectives.
Leveling the global playing field
As businesses adapt to the realities of the global marketplace and open sourcing, maintaining a highly skilled workforce is one way to stand out from the crowd. At the same time, a well-trained staff helps ensure an IT operation capable of implementing new IT strategies aimed at successfully competing on a worldwide scale.
IBM Training's extensive portfolio of course offerings and IT certification programs provides a comprehensive solution for businesses seeking to offer talented employees an opportunity to upgrade their skills and advance their careers within the enterprise. And when companies care enough to invest in their workforce, the battle for talent is already half won.
