LTYM - The Cost of Training

Letters to a Young Manager

The Cost of Training, #572
LTYM > Training

Dear Sophie,

***

The argument for cancelling a training course usually surrounds the cost savings needed, especially in an economic or business downturn.

Budgeting for training is often an afterthought. For our children, we value their education more than most programs. An interesting question to ask is what percentage of your income do you allocate for children's education? That may be a different answer for college than for K-12. A fair chunk of taxes may go to K-12 education. And saving for college may mean long-term budgeting. What percent of your income is that? Now compare that to the percent of revenue your organization budgets for training. Is there a disconnect? Food for discussion!

***

Sincerely yours,
Ed

________________________

References...

Takeaways:

Training is a key part of your budget

Discussion Questions:

1) What percent of revenue does your organization budget for training?
2) How does that compare to what you budget for your children's education?

For Further Reading:

Peter Senge's classic, "The Fifth Discipline: The Art & Practice of The Learning Organization," Deckle Edge, March 21, 2006