Training budgets wasted by no-show employees

businesses are wasting up to 20 per cent of their training budgets due to
employees failing to attend designated business courses, a survey finds.

research by learning innovator Cambridge Online Learning (COL) of 250 buyers of
training in the UK, revealed a number of surprises for training buyers and providers

half of those organisations which calculated wastage admitted to combined
losses totalling between £217m and £871m per year, while only a fifth claim
they suffer no financial loss from lack of training attendance.

survey findings show:

UK management training is still in its infancy, with a quarter of all
respondents spending their budgets on developing technical competencies and
less than 10 per cent dedicating a substantial amount of budget (50 per cent+)
to management development.

Yet key motivators for business managers who buy in training appear to be
improved efficiency (86 per cent), business impact (73 per cent) and personal
development (73 per cent).

Key reasons for not buying in training included expense (68 per cent), lack of
business benefits (37 per cent) and irrelevance to the employee’s role (37 per

Three-quarters of the respondents are in agreement that spending on developing
employees into better people managers is too limited.

However, there appears to be a distinct lack of objective setting by training
buyers with a third admitting they are unsure of what their training programmes
are actually designed to deliver.

The deteriorating economic outlook has had minimal impact on training budgets
with three-quarters of respondents having the same/higher training budgets this
year than in 2001.

By Ben Willmott

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