Build your professional network on facebook via our app Go to app
 
 
 

Training is a profit centre

Created by : Dhaval Samani, Training Consultant - West, NIS Sparta Ltd., a Reliance ADA Group company  | 05 26 2011 03:01:10 +0000
Industry : Technology Consulting
Keywords : training is a profit centre
Activity:  488 views;  last activity : 05 29 2011 05:55:10 +0000
 
 Refer 2900
Share
 
 
  Rate : 
 
 
YES Vs NO
21
 
 
 
 
5
16
3
Support   Support
Top Argument
3
1
Its convenient to talk about the pros of the training. These are some of the aspects that should be considered before engaging a trainer to match the objectives of the organisation: 1) Training can be interrupted if the mentor moves on. If a properly trained mentor is not chosen, the trainee can pick up bad habits. 2) Training is not standardized for employees. There is often a tendency to have a person learn by doing the job, providing no real training. 3) It is expensive to develop training material suited to the specific organisation. Most trainers choosing this option must purchase the training from an outside vendor, making the content less specific to their needs. 4) Trainees can easily get side-tracked and may move slower than the trainer desires. It is also more difficult to measure the employee's progress. 5) Without proper introduction to the project and its purpose, trainees may think they are doing somebody else's work. Also, if they do not have an interest in the project or there is no immediate impact on their own jobs, it will be difficult to obtain and maintain their interest. 6) Simulations are time-consuming. The trainer must be very skilled and make sure that trainees practice the skills correctly. Only perfect practice makes perfect. 7) Cases can be difficult to write and time-consuming to discuss. The trainer must be creative and very skilled at leading discussions, making points, and keeping trainees on track. 8) A lot of time is spent making a single point. Trainers must be skilled and creative in helping the class learn from the situation. In some role play situations, only a few people get to practice while others watch.
By S. Muralidharan, Executive Director, Knowledge Foundation & Campus Around the Corner  05 26 2011 04:29:25 +0000
 
Top Argument
3
0
It is a simple alternative for company and the candidate.. A candidate gets good job after training and company does not have to pay for it. Other skill trainings also mostly do good if taken from the right place. So what is bad in doing so??
By Kriti Das, HR Manager, ANZ Information Technology  05 26 2011 10:22:08 +0000
1
0
Training is a profit making area, provided it is designed as per the need of the individual and organization. Lot of study need to be done by analyzing the past metrics and future requirements. For a successful organization every investment has to be measurable with in a time frame. Training also need to be part of continuous investment to generate more profits.
By imad akhter, SBU/Profit Center Head, ford  | 05 27 2011 19:35:32 +0000
0
0
Undoubtely. Thanks for referral, Mahalakshmi.
By SHRIKANT MANOHAR DANKE, Project Manager, Phadnis Infrastructur Ltd  | 05 27 2011 04:59:25 +0000
1
0
yes
By Deepshika , HR Executive, ARCIS Management Services  | 05 27 2011 04:46:31 +0000
1
0

Training is a continuous process & and undoubtedly, a Performance Indicator. Many an Organization dictates, mainly because of this, a few mandatory training program & prepare schedules for it. Because of technological innovations, industrial activities, managerial techniques & due to a diverse unit of employee, does need to have an effective training. Not merely, a training enriches the Human Resource Potential but also , increases the out-puts by reducing the loss by accidents, down-time etc. A nicely tailored training program can also collaborate and be extended to other similar organization to enrich its resources. Training is a basic technique that enables a corporate bodies to achieve their goal on a targeted people.

Thanks for referral Ms Kiriti
By KALIYAMOORTHY , Oil & Gas Area Coordinator, Undisclosed  | 05 27 2011 03:14:11 +0000
0
0

Thanks for the referral, Kriti.

Traditionally, in most organizations, all support departments are considered sinks of funds because they are NOT directly producing OR marketing, meaning that they use funds and do not bring revenue into the organization.

Peeyush & Philip have described very well why "Training" is a Profit Center.

The trouble lies with categorizing the Training function as a support department. I use the word "function" because Training is a critical Production function. No "Training", no "Production". 

Thus, it now becomes easy to see that Training is a majority partner in Production's revenue generation. (And therefore, should be a majority shareholder in the bonus.)

It might help to calculate the profit in hard cash. This is in two parts:  

1. Profit [part-1] = Cost of Outsourcing Training - Expenditure on Internal Training Function

2. 60% of the credit for Production should go to Training. (And 60% of bonus.)

Cheers!

 
By Isaac Madhavan, IT / Technical Writer, IT major  | 05 27 2011 00:10:27 +0000
0
0
A trained work force is a force multiplier in any business whatsoever. It is proven fact that Career development in the form of training leads to Org development and therefore affects its market share. So, definitely a profit centre.
By Peeyush Chauhan, Associate/Sr. Associate -(Technical)  | 05 26 2011 17:19:31 +0000
0
0
The purpose of training is not so much as improving the employee's skills for his individual enrichment of skills as giving him/her the wherewithal to meet the Company's Goals. The trainer has to be well grounded in the Company's hidden as well as open goals and he has to then structure his training programme to ensure that all the employees attain the required skills and mindsets to achieve the goals. When he succeeds in so doing, training becomes a key profit centre for the Company
By Philip George Ittyerah, CTO/CIO, SEVAT  | 05 26 2011 16:12:58 +0000
0
0
A good training Program definitely result in long term tangible benefits for employees.
By Sanjay Bhardwaj, Partner/Principal/VP, Health Management Solution  | 05 26 2011 14:59:14 +0000
0
0
Training can be a profit centre if done within the company or as an independent training centre. One should not chase the 100s of me too training centres who compete on price since the purchaser does not know what he /she is paying for and they go by the L1 syndrome. I think the Indian market is maturing where the clients are slowly realsing the bottom line value from quality and focused training. One should provide quality stuff to focused audience and clientele at a respectable price
By subramanian , promoter, Prime Consulting Group  | 05 26 2011 14:38:40 +0000
0
0
I agreed your view . I implement training in my company and get the benefits out of it.
By Jagannathan , Asst Manager -HR, Eriez Magnetics Indai Pvt Ltd.,  | 05 26 2011 13:24:22 +0000
0
0
My learned friends already agreed on this and ensured that I have nothing more to say.. Good debate...
By Suryanarayan Murthy, Asst Vice President (Corporate Finance), A Hydro Power Project  | 05 26 2011 13:13:24 +0000
0
0
maha u have chosen a good topic.
By kannan , Head/VP/GM-Accounts, own office  | 05 26 2011 12:55:13 +0000
1
0
Well said Mr. Muralidharan. Nobody can contradict the utility of training, if it fits the needs of the trainees and the organisation as well. This all depends on the quality of the trainer. If he is skilled he can make training a bliss if not it a miserable experience for the trainees. Training for new entrant is different from the training for the experienced and knowledgeable. The trainer shall know who are his audience. He can not go with the same content everytime. Mr. Muralidharan shown the points from the darker side.
By Srinivas suravajhala, Asst. Manager.  | 05 26 2011 11:32:19 +0000
0
0
Training ensures skilled human resource well equipped to march ahead of competition in all areas increasing market share of company and there by the bottomline
By Dhaval Samani, Training Consultant - West, NIS Sparta Ltd., a Reliance ADA Group company  | 05 26 2011 03:01:10 +0000
0
0

Thanks Mahalakshmi for referral. I am in agreement with your point of view on the subject Kriti.
By Rathin Deb, Freelance Retail Consultant  | 05 28 2011 11:06:03 +0000
0
1
NO It is a discretionary center where you can not calculate increase or decrease in profit after training but resulting increase in profit maximum time but not all the time so it is not a profit center
By Manmath Patil, Marketing executive  | 05 27 2011 09:45:12 +0000
Argue for "YES"
Argue for "NO"
 Found the debate "Training is a profit centre"  interesting ?  Suggest to your connections and communities  
Top recruitment firm for IT/ITES jobs
  • Create a confidential Career Profile and Resume/C.V. online
  • Get advice for planning their career and for marketing of experience and skills
  • Maximize awareness of and access to the best career opportunities
Viewers also viewed
Yes, and why? vs No, and why?
 
49 referals 10 arguments, 707 views
Few companies have taken a clue from the famous game Farmville which gives you a virtual tour of...
 
2540 referals 45 arguments, 647 views
Danger to India's BPOs and Call Centres? vs No danger to Indian economy!
 
381 referals 10 arguments, 405 views
more...  
Recent Knowledge (5)
WE HAD A GOOD NUMBER OF INVENTORS WITH GREATER VISION ABOUT THE SOCIETY. INVENTORS HERE NEED NOT...
 
2 referals 2 arguments, 97 views
These days as I switch on the tv or radio or look at a hoarding I do feel that power of ads I...
 
3004 referals 23 arguments, 492 views
I am associate of prajapati association and i am working for BJP from year 2005 to till date....
 
0 referals 3 arguments, 111 views
more...  
Sponsored Jobs
More From Author
Well thats true with every vertical of an organisation. For eg. one vertical say product team may launch a bad product in market and then sales team  gets blamed for under performing due to less sales instead of product,marketing, R D, quality or...
Well no training team / trainer makes mistakes as listed by you and also in your argument I really find the fault of Leadership team and HR team for such mismatch between trainer program/ organisation goals etc. which is unimaginable.
Well thats true with every vertical of an organisation. For eg. one vertical say product team may launch a bad product in market and then sales team  gets blamed for under performing due to less sales instead of product,marketing, R D, quality or...
more...  
  • Popular Knowledge
  •  
  •  
  • Popular Jobs
  •