They ll GO if they don t GROW. The strategic imperative for business today: Learning and Development

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1 The strategic imperative for business today: Learning and Development

2 The HR Imperative: Education as a BENEFIT The L&D Imperative: Education as a strategic, COMPETITIVE ADVANTAGE Why HR and L&D need to combine efforts and resources to create a skilled, educated, and adaptable workforce. Talent-forward companies understand that their future resides in the skills, talents, and experience of their workforce. The HR department knows they need to recruit motivated, talented employees and then provide them with meaningful benefits to stay and grow. The L&D department knows they need to provide the skills and education the company needs to be successful in an increasingly competitive and fast-moving marketplace. With open jobs in the U.S. at an all-time high, talent-forward companies are assuming responsibility for building their own talent pipelines. Strategic workforce development is more critical than ever. According to ManpowerGroup s excellent study, A Skills Revolution: From consumers of work to builders of talent, Talent will be the single most important factor to competiveness, inclusive growth, and the ability to transform and compete with newcomers. Building people pipelines with motivated, talented workers who have a desire for learning and a strong skill set base is critical. Your employees, especially Millennials, understand this. They see acquisition of knowledge and skills as the way to build resilient careers. There s less evidence that their managers understand their need to grow. Today s employees want education benfits.

3 Millennials see their skills and knowledge as rapidly-depreciating assets. Leaving company productivity needs aside for a moment, would learning and development be a priority at your organization? If the focus is employee attraction, retention, and engagement, chances are L&D would merit an even bigger share of resources. Employees today understand that learning and development are their keys to overcoming economic uncertainty and staying relevant. Employees fear obsolescence. According to Oxford Economics, in their landmark study, Workforce 2020: the Looming Talent Crisis, workers are worried about getting left behind by changing job requirements. Only 43% of those surveyed feel their managers have a good understanding of skill sets. Even fewer say their company gives them opportunities to update skills or continue career development via education. About half of those surveyed believe they currently have the skills needed for the future. About 39% say they don t think their current skills will be needed by their company in three years. Less than those say their company is able to give them the skills they need. Further, when asked about top job concerns, the number one concern (40%) was that the position is changing or becoming obsolete. Employees know the world is changing and along with that, job changes. They fear they are not prepared for these changes. And the company is not doing enough to help them.

4 Employees clearly link learning new skills to job mobility and promotion. According to a Glassdoor survey of more than 2000 employees: Almost (82%) believe a college degree was important to getting their career. A majority (72%) also believe that continuing skills development is important to staying relevant and valuable in the workplace. Employees understand today s rapid pace of change requires skills and knowledge updates, and they are ready to learn. Employees value ongoing skills development and education and are willing to spend their own money on them. The vast majority of Millennials say ongoing skills development is important to their future careers. In fact, they rate development as the highest non-cash benefit, and are willing to spend their own time and/or money on additional education or training. 44% report they d consider moving to another company that does offer them lifelong learning and continuous skills-building opportunities. Employees say opportunities to learn and development is important to them, and a large percent (44%) say they ll consider moving to another company if they don t have those opportunities.

5 Executives may not understand the importance of employee education Oxford Economics compared employee agreement with key learning statements to executive agreement and found gaps for each of the following statements: My company is capable of retaining, updating, and sharing institutional knowledge. My company has a culture of continuous learning. My company offers incentives for pursuing further education. My company offers formal learning activities separate from initial training. In every instance, executives were more likely to agree with these statements than their employees did. For all of these statements, less than 50% of employees surveyed agreed. Learning and development presents a competitive opportunity for companies that want to grow. Without consideration of the employer benefits of learning and development, there still is significant reason to make L&D a focus for business strategy. L&D needs a seat at the executive planning table so they can understand the knowledge, skills, and abilities needed to meet company growth plans and executives need to understand the strategic implications of L&D today. Indeed, one more data point from Oxford Economics indicates it just makes good business sense. When comparing high performing companies to low performing companies (based on profitability), they observed one key issue that separated them: 46% of high performing companies say workforce issues are driving strategy at the board level vs. only 33% of low performing companies. (Oxford Economics)

6 Best-in-Class Education Benefit Set The HR Imperative: Education as a BENEFIT RECRUIT People want to work where they can learn RETAIN People stay when they feel appreciated ENGAGE People contribute when they feel confident A Skilled Educated Adaptable Workforce The L&D Imperative: Education as a strategic, COMPETITIVE ADVANTAGE IDENTIFY Identify SkillMap TM critical skills and knowledge gaps TRAIN SkillAccelerator Boot Camps EDUCATE Deep, Relevant Applied Learning EMPOWER Power Skills The 7 most demanded professional skills BUILD Future Leader Fundamentals Effective learning programs for building a leadership pipeline MEASURE Human Capital Lab National Leader on ROI of learning REWARDS Best-in-Class Education Benefit Set Bellevue University, a national leader in measuring the organizational impact of learning, has created a partnership program for talent-forward companies that includes these innovative tools: Access to career-relevant education and training programs Leading edge integration of Power Skills in education Proven Future Leader Fundamentals learning programs ROI research on learning interventions Access to additional funding for education For more information on these benefits, please click or call: CorporateLearning.com A non-profit university, Bellevue University is accredited by The Higher Learning Commission through the U.S. Department of Education hlcommission.org

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