- People are assets.
- Raw talent is huge potential.
Any organization that have been able to identify these two truths, know better how to handle people and transform talent. If they are not the experts in increasing the capability of their people , they are quick to exploit resources who do this quite professionally - outsource the function to the experts. Here are top few reasons why the training outsourcing market is evolving:
1. The traditional approaches to training management is not adding value and is increasingly becoming a huge liability.
2. Training is huge loss of productive hours for those who are attending, if they are billed to client or in anyway involved with direct generation of revenue
3. CFO needs an excel that explains what exactly is return on the training costs. He gets nothing quantifiable except those feedback forms with bright scores.
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I can imagine the next question. CFO: What happens if we invest in their training and they do not deliver and continue to stay?
4. The Learning and Development team is torn between the demands of senior leaders, business heads, project managers and the market trend and end up designing a module that suits the whole crowd and not the one who is learning. This particularly applies for behavioral training.
5. Fresh perspectives and thinking regarding what type of training or courses or methods works best for their people so that there is a perceived difference in outcomes.
6. Training leads after working in a certain way cannot really cope up with this new expectations which is almost an immediate reflection of the fact that internal resources are not competent enough, do not have the required skills and tools like the professional training companies.
7. The use of external training consultants and coaching companies own not just the function but are responsible to achieve a few metrics, provided internal stakeholders are ready to measure those. In most cases the required paradigm shift regarding measurement is yet to gain momentum in large global firms.
8. There is huge cost around training including salary, logistics, membership fees for various portals, external consultants for specific programs and if this whole gamut is taken care by one outsourcing company, it definitely gives bandwidth to focus on core business.
It is back to the same two questions - Do you know the potential of talent that you have in your company and do your realize what great assets they are? The realization will drive you towards outsourcing sooner or later.