Any internal communicator knows that engaged employees are productive employees. And when you invest in people, it often leads to significant business growth.
It's a well known practice that by investing in people, they’ll have the motivation and drive a business needs to grow and succeed. Companies can then maximize their return on investment and position themselves for sustainable growth.
But how do you convince company leaders that investing in people can lead to business growth? We list three benefits below.
Understand Needs Before You Invest in People
Before you set budgets to invest in people, it’s important to take a step back and understand the employees themselves. What do they want? Ask!
For many frontline employees, professional development is a key motivator. In fact, a study by the Society for Human Resource Management pointed out that 89% of employees found that job-specific training and development opportunities were very important to them.
With such opportunities for employees to upskill, advance their careers, and take on new challenges, you’re able to create a sense of purpose that drives employees to go above and beyond in their work, inevitably contributing to business growth.
Employee Growth = Business Growth
It’s a no-brainer that happy employees equals productive employees. As soon as you start to engage employees by investing in them, you’re likely to see business growth. And your impact won’t just stop at individual growth, but benefits the company as a whole.
As soon as employees are given the opportunity to grow and develop through training and work placements for example, employees become more valuable assets to the company. There’s a surge in efficiency, productivity and a higher commitment to reaching business goals.
According to a study by Deloitte, there’s a 218% higher income per employee in companies that prioritize investing in people, as opposed to those that don’t. And as you can imagine, it’s reflected in the company’s bottom line and leads to business growth.
Avoid High Turnover Rates
By investing in people, you’re instilling trust and minimizing the risk of high turnover rates. Our customers have seen that when employees feel valued, appreciated, and invested in, they are more likely to stay with the company long-term.
As per a study by the Harvard Business Review, employees who feel that their company is invested in their growth are 87% less likely to leave their job. And that’s important because high turnover rates can indeed be costly and disruptive to the company.
By investing in the development and growth of employees, companies can create a culture of retention and reduce the risk of losing valuable talent, which contributes to business growth. Imagine having to continuously replace employees, go through onboarding processes and also get the work done – all obstacles for business growth.
Investing in People, in a Nutshell
To sum it up, investing in people is critical for business growth. Studies have shown that providing opportunities for employees to learn new skills, advance in their careers, and take on new challenges is important to them. This increased value is clearly reflected in the company's bottom line, leading to business growth.
Additionally, investing in people can help minimize the risk of high turnover rates, creating a culture of retention and reducing the risk of losing valuable talent, also contributing to business growth.
Overall, investing in people is a smart business strategy that will pay off in the long run. Start by communicating with your employees, engaging them and building a company culture that makes them feel heard and valued.
Wondering which tools to use? An employee engagement app could be exactly what you need to connect all your employees, including frontline workers who are generally more dispersed and difficult to reach.
