Upskilling is Critical for Future Business Success
Updated: Aug 17
Career growth is an extremely important facet for the workforce of today. By providing upskilling and reskilling training, organizations not only meet the needs of the present employees, but also invest in the future of the company. According to a Gallup research, the cost of replacing a single employee can range from one and a half to two times their annual salary—and that's a modest estimate. This suggests that a 100-person company with an attrition of 10 % and an average employee salary of Rs.50,000 per month may have annual turnover and replacement expense of Rs.90 Lakhs to Rs.1.2 crores !! Upskilling costs is substantially less than hiring and training a new employee..
According to a McKinsey survey, firms that have engaged in upskilling or reskilling during the worldwide COVID-19 pandemic would emerge stronger. Upskilling the workforce will not only help companies stand out from the competition by having nimble, business savvy, and creative employees who are always learning, adapting, and acquiring new abilities, but would also help tide over financial difficulties by avoiding the need to hire new people.
Reskilling or upskilling staff for a new role or to help them perform better can benefit a company in the following ways:
Employee retention: Employees who believe that their employer cares about their personal development and improvement are less likely to depart. When it comes to working and staying devoted to their job, having a clear vision for their professional development might help them find a deeper meaning. Furthermore, lowering staff turnover has a direct impact on the bottom line.
Boosts the company brand and culture: When the enterprise is known as an organization that cares about its employees' long-term success, this often results in a stronger corporate image. Companies would find it easier to attract and recruit talented, skilled employees because they may be more eager to work for such an enterprise.
Succession planning: An organization can construct a roadmap for internal development, ensuring that relevant skills are preserved by future successors
Future-proofing: A business can examine the trajectory of its industry as well as the necessary skills sets to stay competitive.
TranscendOrg has been working with businesses, to develop tailored training programmes that assist organizations sustain and expand, while instilling important managerial competencies to flourish in the workplace. These programmes were created with a holistic view of the eco system in mind, to include competencies such as Emotional Intelligence, Innovation, Systems Approach, Service Delivery Focus, and Agility, to mention a few. Such efforts serve as a catalyst not only for employee development but also for overall organizational growth.