The only capital that can be your differentiator!
Organisations invest hugely on constructing superior product and processes, great infrastructure and stretch to offer a great environment, yet there’s a missing link that comes in the way of creating great competitive edge!
The challenge of the millennium is to acquire and retain people who can make a dynamic difference. The theory of management stands on the pillar of getting things done through people, and this key factor is the only real differentiator that clearly creates market share.
As a business coach & people development consultant, my 30 year journey keeps throwing back the same challenge, the challenge of organisations engaging professionals like me to try and build capability.
Although managements often invest in skill & behavioural development, they tend to ignore the fact that people development is serious business. It certainly is much more than simply taking periodic annual feedback and planning generic training programs with a hope that the learning will be applied for results!
I often wonder why many senior leaders keep basking in their early days of glory with a noted line they keep voicing… ‘When I worked with GE in my days, people & the organisation were so committed to stretch for success, but today things have changed!’
Whether it was a GE, IBM, Xerox that they often mention, they all seem to voice that ‘People were different back then’.
If you draw your attention to many recent studies like a recent Harward Business Review, it clearly states that with complexities comes chaos, and with chaos comes indecisiveness and that creates lack of trust!
People development is very serious business and involves a large investment of money, time and energy that has no definite guarantee of results!
Keeping this challenge of RoI in mind, more than investing in great development programs.
- By 2020, India will be the largest base of Large Corporate Organizations in the world
- Human Capital is the only challenging capital for all business models
- 96% of the L&D spend is plotted based on limited analysis of needs
- Conventional training has a 15% recall, retention, application at work
- 95% of Leaders believe that ‘No Training Will Have No Adverse Impact’
- 85% of employees report that conventional training has barely 15% impact on actual results at work
- The way forward is to manage people development leveraging an outside in approach using technology & innovation to drive capability of human capital.
Source – Harvard Business Review
Organisations need to think through the importance of understanding ‘Skill & Behavioural Gaps’. The singular mode of gathering these gaps from the anyways stressful process of annual performance appraisal results in a poor 30% clarity of what people need to develop, contribute or change for enhanced results!
What’s the answer can be challenging, but I took this challenge seriously and at edify, we invested months of serious thinking and designing a solution that certainly stands out in bringing about a serious change on understanding people gaps.
When organisations invest in plant and machinery, they most certainly follow a preventive maintenance plan, invest in critical component inventory and appoint specialists to contribute to the smooth operations of their production lines. However, what about your most critical investment, human capital! is there a preventive maintenance plan for them??
Understanding their challenges, pinpointing their competency & capability and plotting a real-time development plan needs to be process and a process that links to great RoI!
Imagine what it would be like if a Chef was blindly throwing in the ingredients to cook something that got ordered! Such food would be unpalatable…
Investing in training without a strong study of ‘What & Why’ is far more catastrophic than realized. More than 80% of the globes CEO’s state that ‘No Investment On Soft-Skills/Behavioral Training Is Fine With Them’ and the reason is clearly reflected in the Harvard Report.
Barely 15% of what gets taught is applicable, and people absorb barely 20%, and the cause is a poor TraningNeedAnalysis.
At edify, our Smartphone enabled solution NoDL stands strong to address most of what Pre and Post Training needs to manage better RoI, and at a small investment per month, organisations can ensure that they get clear, detailed and applicable learning inputs, and also manage enhance the process of post training effectiveness. It is simple to use, suited to today’s generation and integrates inputs from managers and their employees to empower HR analyse some serious reports!
People Development Consultant
Change Management Specialist