By Promethean with The Economist, Special for US Daily Review.
Senior executives believe even modest efforts to improve employee skills can significantly boost employers’ profits and productivity, according to a new survey conducted by The Economist Intelligence Unit. The survey of 252 business and public sector executives in the US and UK, commissioned by Promethean, a global education company, cites employee skill enhancement as vital to increasing productivity and profits.
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“The findings of the survey confirm that the right training not only leads to increases in productivity and customer satisfaction, but at least a 20 percent jump in profits,” said Promethean’s Chief Education Officer Jim Wynn. “Skills training is not just a growth issue, but a vital component for companies to surviving this recession. The challenge is that fewer employers are devoting adequate resources to training yet the benefits of training are hard to ignore.”
Higher than normal unemployment of just over 8 percent in the U.S. and continuing troubles in the core EuroZone economies and the UK are making it more difficult to find the path to full recovery. Employers surveyed for the report say that jobs are not in short supply, but rather workers with the appropriate skills and talent.
Key findings of the survey are:
- A direct correlation between training, employee productivity and financial performance.
- A more efficient and better-trained workforce would increase profits by 20 percent or more.
- Employee productivity and customer satisfaction could improve by 5 percent or more.
- Employers have a responsibility in tackling high unemployment.
- 63 percent surveyed said organizations should offer more training schemes and update existing ones.
- 45 percent propose working with educational institutions to improve jobseekers’ chances and the same number think that governments need to work with the private sector to offer training.
- Current training provided by employers is often inadequate.
- Two-fifths said training at their organization is not good at improving innovation among employees.
- 25 percent of the respondents think employee efficiency and productivity do not benefit from current training programs.
- Few employers are devoting more resources to training.
- Only one in three respondents indicated that their employers have increased investment in training over the last two years.
- The state of the economy should not deter organizations and individuals from investing in training.
- 63 percent said that current economic conditions should not be an obstacle to organizations taking steps to improve their workforce.
- The majority believe that organizations should offer a multitude of in-house and external training programs.
- 76 percent believe employees should pursue beneficial training at their own expense.
- Employers expect workers and jobseekers to take the lead in improving their skills.
- 82 percent said jobseekers should be doing more to develop their own skills.
- 70 percent called for increased efforts to advance workers and jobseekers’ abilities
- One size fits all does not work with training and skills development.
- A significant number of respondents believe training 16-24-year-olds should be a top priority.
- 49 percent say workers aged 25-50 need to have a broad range of up to date skills that can help them perform better.
- More than half believe that 51-75 year olds should become more adaptable and flexible.
For the full results of the UK and US surveys visit: http://www.prometheanworld.com/news/featured
About the Economist Intelligence Unit
The Economist Intelligence Unit (EIU) is the world’s leading resource for economic and business research, forecasting and analysis. It provides accurate and impartial intelligence for companies, government agencies, financial institutions and academic organizations around the globe, inspiring business leaders to act with confidence since 1946. EIU products include its flagship Country Reports service, providing political and economic analysis for 195 countries, and a portfolio of subscription-based data and forecasting services. The company also undertakes bespoke research and analysis projects on individual markets and business sectors. More information is available at www.eiu.com or follow us onwww.twitter.com/theeiu
The EIU is headquartered in London, UK, with offices in more than 40 cities and a network of some 650 country experts and analysts worldwide. It operates independently as the business-to-business arm of The Economist Group, the leading source of analysis on international business and world affairs.
Promethean (LSE: PRW) is a global education company. We create, develop, supply and support interactive education and training solutions for schools, businesses and governments. Our products and services are raising learning standards, revolutionizing the way people learn and collaborate, making them more engaged, empowered and successful and thereby unleashing human potential.
Headquartered in the UK, Promethean World Plc is listed on the main market of the London Stock Exchange. More information about Promethean is available at: www.PrometheanWorld.com.