Firms will regret short-sighted move when economy firms up,<br> says OSTD president
Companies that cut their staff training and development budgets during the current economic downturn risk falling behind the competition when the economy recovers.
That was the message at the opening of the Ontario Society for Training and Development conference in Toronto on Thursday.
"It1s short-sighted to view spending on training and development as an expense," said OSTD President Jason Orr, in kicking off The Knowledge Exchange Conference 2001.
Orr said research by OSTD’s partner organization, ASTD, of 575 publicly-traded firms found that those in the top half for spending on training had a total stockholder return that was 45 per cent higher than the market average.
In another survey, The Conference Board of Canada found that organizations that are highly rated in learning performance are almost 50 per cent more likely to achieve better overall levels of profitability than those that don1t score well in training.
"It’s an investment in your workforce,” said Orr. “An investment in the intellectual capital that will become the foundation of skill and expertise which will, in turn, be a great competitive advantage when the economy recovers.”
OSTD represents 1,700 training and development professionals, suppliers and service providers.
That was the message at the opening of the Ontario Society for Training and Development conference in Toronto on Thursday.
"It1s short-sighted to view spending on training and development as an expense," said OSTD President Jason Orr, in kicking off The Knowledge Exchange Conference 2001.
Orr said research by OSTD’s partner organization, ASTD, of 575 publicly-traded firms found that those in the top half for spending on training had a total stockholder return that was 45 per cent higher than the market average.
In another survey, The Conference Board of Canada found that organizations that are highly rated in learning performance are almost 50 per cent more likely to achieve better overall levels of profitability than those that don1t score well in training.
"It’s an investment in your workforce,” said Orr. “An investment in the intellectual capital that will become the foundation of skill and expertise which will, in turn, be a great competitive advantage when the economy recovers.”
OSTD represents 1,700 training and development professionals, suppliers and service providers.
