Tales from Cow Town
A Case for Manager Training
When the economy is great, it’s hard to remember the insecurities of the downward trends where corporate training is one of the first line items to be cut. Just like you should have your 1-minute elevator pitch ready to sell your job or department, you need a pitch for new programs.
Would you like to start or expand your training program for managers? Did you know that managers share legal liability for hostile work environments? Do your executives or managers know this?
Training managers sounds like a great idea for the company and for the managers, doesn’t it? Are you ready to write a proposal? Below are two helpful links:
Written by Susan Wines, Digital eLearning Specialist
Learning Decays Quickly
Discovered by German psychologist Hermann Ebbinghaus (1850-1909), the forgetting curve shows how information decays over time when there is no attempt to retain it. In the early 20th century, the hypothesis grew to be known as a learning curve to measure learning against experience. In other words, use it or lose it. The curve can also be applied as an experience curve to show the effect of training on production costs.
Studies have shown that as much as 50% of training is forgotten within the first day. In seven days, retention drops to 30%, and by 30 days, only 10% can be recalled.
Reinforcement of the material, such as practice, application, and feedback, will increase retention. If reinforcement takes place each day for the first three days, then by the seventh day, as much as 90% of training will be retained. High retention requires both leadership and employee commitment.
I didn’t know about the Learning Curve until I attended our March ATD chapter meeting, Solving Learning Decay. Our speaker, Michael Torrie, VP Learning Solutions at Eagle’s Flight, explained the impact of learning decay with and without positive counteractive measures.
If you will go to their website, eaglesflight.com, and navigate to resource, you can download their featured guide, "Experiential Learning: The Key to Effective Employee Development". Be sure to connect on LinkedIn with Michael Torrie and follow Eagle’s Flight.
Lack of Training Exposes the Organization
Most companies have required training for their ethics and adherence to company policies. The policy isn't by accident. It's covered under the law, or it minimizes liability:
· Supreme Court has ruled that an employer can be held liable for sexual harassment by a supervisor if the company failed to exercise reasonable care to prevent and promptly correct any such behavior in the workplace.
Sources: Faragher and Ellerth (1998); Kolstad (1999)
· Federal Circuit Courts ruled: “[L]eaving managers with hiring authority in ignorance of the basic features of discrimination laws is an extraordinary mistake for a company to make, and a jury can find that such an extraordinary mistake amounts to reckless indifference.”
Sources: Mathis v. Phillips Chevrolet, Inc., 269 F.3d 771 (7th Cir. 2001)
· Federal Sentencing Guidelines (FSG) includes a requirement that employers demonstrate that it has an effective compliance and ethics program. Companies with a comprehensive code of conduct training may avoid up to 95% of fines and penalties that can be assessed for violations of federal law.
Source: U.S. Sentencing Guidelines, §8A.1.1, Commentary
· Federal Acquisition Regulation (FAR) requires any company doing business with the federal government to provide a code of conduct training. It was based on FSG rules.
· Occupational Safety and Health Act (OSHA) has many standards that the employer is required to train its employees, as well as to communicate or warn regarding safety practices.
· Sarbanes-Oxley Act (SOX) requires “Publicly traded companies must disclose if they have a Code of Conduct for a senior leader, or explain why not.”
Compliance training within an organization refers to the process of educating employees on laws, regulations and company policies that apply to their jobs and are covered in the organization's Code of Conduct. An organization can protect and improve itself by including training that:
· Adds business value, such as professional licenses
· Creates a competitive advantage, such as meeting an international standard
· Develops a respectful and ethical workplace that will also protect the organization from legal liability
· Improves safety practices which can protect human life, property, and liability
· Improves security practices, which can protect the organization financially and legally
· Avoids violations by employees that could lead to legal liability for the organization
· Prepares the foundation for a defense should an employee violate the rules outlined in the organization's training
For a curious trainer, it helps to have your own buy-in for compliance training. Now how will you make it interesting?
3.6% National Unemployment Rate Projected by December 2019
When the economy is great, it’s hard to remember the insecurities of the downward trends where corporate training is one of the first line items to be cut. Just like you should have your 1-minute elevator pitch ready and you should have some facts to back them up.
Ready. Set. Go.
Last year, on May 1, 2018, the Work Institute released its 2018 Retention Report. After analyzing data from over 234,000 exit interviews, they projected 2018 turnover would be 42 million (25%) US employees. They determined that over 75% of the 42 million would have been preventable. The report estimated that 2018's turnover expense would be approximately $600 billion and could increase to $680 billion by 2020. You know why? Turnover costs money. It’s expensive to hire, train, and make-do until the replacement employee is profitable—many estimate 50% to triple the salary of the employee.
Employees leave when companies do not invest in their careers. The training in need bridges the skills gap and fills posts from within.
This year, April 8, 2019, in the article, “Job Creation: Unremarkable Numbers Are Reassuring,” Kiplinger's staff economist David Payne projects that the national unemployment rate will decrease to 3.6% by the end of 2019. He also notes that the "short-term unemployment rate (those unemployed for less than six months) is close to its lowest level since the Korean War in 1953."
Since we are well under the natural unemployment rate of 4.5 to 5%, hiring replacement employees will be more competitive in salary and benefits and harder to find. Retention is better. Training to keep staff is key.
Why is training so important? After all, the organization starts by hiring highly-qualified employees who already know how to perform. Their qualifications include their specialized training and experience.
Career-driven professionals invest in their careers by maintaining their industry knowledge.
Whether your working persona is an employee, a leader, or as a committed businessperson, you have a reason to value training:
Professional membership provided by Association Talent Development (ATD) provides training that will enhance your skills and what you bring to your organization. By attending workshops, networking, and exploring our resources, your skills, as well as your reputation as a leader and an innovator will grow.
At the chapter membership level, you have an opportunity to be involved and take your risks within the group and not in front of your manager. Want to lead a training session? Want to learn webinars? Want to plan an event or prove your social media skills? Then volunteering at the chapter level is a great place to give and reap the benefits professionally.
Let’s grow together.
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