33 Talent

4 Reasons Why Training is Your Competitive Advantage in a Downturn

Training Competitive Advantage
Facing economic pressure and rising costs, many companies resort to layoffs and budget cuts. Training and development often gets the axe first. But what if this knee-jerk reaction weakens you for the future? At 33 Talent, we believe investing in team development during downturns is your secret weapon for success. Here's why...

1. Replace Lost Skills

Let's face it, layoffs happen during downturns. That means lost knowledge and experience.  According to McKinsey & Company, 87% of companies say that they either already have a skills gap or expect to have one within a few years. Training helps bridge this gap by upskilling your remaining team members. Think of it as knowledge first-aid – patching up the holes left behind to ensure your organisation stays competitive.

2. Boost Team Morale 

Economic downturns can cause anxiety and uncertainty among your workforce. Now, more than ever, your employees need reassurance and support. Investing in training or coaching sends a powerful message that you are committed to their growth and development, even during challenging times. According to the Institute of Coaching, over 70% of individuals who receive coaching experience improved work performance, better relationships, and more effective communication skills. By supporting your employees with development programmes, you not only enhance their skills but also boost their morale, making them more invested in their roles and better equipped to navigate tough times.

3. Retain Top Talent

Retaining your most valuable players is crucial during uncertain times, as they are the ones who will guide your organisation through the storm. Training can significantly increase employee loyalty, reducing the need for costly and time-consuming recruitment processes. The 2020 SHRM Human Capital Benchmarking Report highlights the high costs of hiring, with an average of 42 days and over $4,000 spent per hire. Why not invest these resources in your current team instead? Additionally, 77% of employees feel more loyal to their employers when they are assured of growth and long-term career progression, and they are more likely to stick with your organisation through the good times and the bad.

4. The Competitive Edge

Finally, investing in training when your competition is not will put you ahead of the curve as the market begins to pick up.  Your team will already be upskilled, fighting fit and ready to take on business growth. 

So, don't let economic uncertainty hold you back. Invest in the development of your people today and watch your team thrive, both now and in the future. Additionally, employers benefit significantly from these investments, with a resounding 86% reporting a return on their coaching investment.

Ready to future-proof your team and drive your business forward? Contact 33 Talent today to learn more about our bespoke coaching and training solutions!