Training

Business: Cambridge International GCSE (2027 Exams), topic 2.1.6

The Importance of Training a Workforce

Training staff is very important for a business. It can have many positive effects:

Training a workforce means that they are likely to become more skilled at what they do.
In factories or services industries, if staff are more productive, this will be beneficial for the company by increasing output or reducing costs.
Investment Banks like Goldman Sachs start their graduate schemes with training programmes where employees learn about different investment products and the industry.

Training is needed for employees to know how to use new technology. In the digital world we live in this is more important than ever.

If staff feel that they are learning and progressing in a firm, then they are likely to be happier and more motivated.

Training staff usually makes them more skilled at the job they do. This will lead to higher quality output and this is usually beneficial for the firm’s profitability.

If employees are happier and more motivated then they are likely to stay at a firm for a longer period of time.
Reduces the costs involved with recruiting and training new employees.
Staff tend to get better at their job with more experience within the same business.

A business' workforce can be trained in 3 main ways:

Induction training happens when employees first arrive at a firm. It introduces them to the firm and provides initial training for their role. Benefits include:
Employees feel comfortable in their surroundings and meet their new co-workers (colleagues), which may increase happiness, confidence, motivation and productivity.
Induction training is likely to make employees less likely to make basic mistakes.

This is the most common type of training. The employee learns how to do the job to a high standard while actually doing the job.
This usually involves an employee being shown how to do something and then practicing and improving over time.
On-the-job training is low cost.
It is best suited to jobs involving practical skills.
The main drawback is that the teaching is done by other employees, so bad habits could be passed on from others.

Off-the-job training happens away from the workplace, allowing employees to be taught a wider range of skills. They get to learn skills that aren’t just related to one specific task.
For example, it is common for managers to get training on leadership (what makes a good leader).
Off-the-job training is often taught by specialist instructors and this means that it may be higher quality training. But, this can make it more expensive than on-the-job training.

Which of these is unlikely to be an effect of increased staff productivity in service industries?
How does training affect a workforce?
Which of these does not increase when employee training increases?
What are the different methods of training?
Which type of training is often done by a specialist instructor and tends to be more expensive?