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Briah Handa-Oakley04.02.20224 min read

How to Build a Successful Learning and Development Strategy

70% of employees report that they don’t have mastery of the skills needed to do their jobs.

As one of the core areas of human resource management, learning, and development (L&D) plays a crucial role in a company's growth strategy.

But the majority of training that happens in companies today is ineffective.

 

Out with the old, in with the new

Today, the business environment is continuing to be competitive and complex, and the digital revolution is reshaping the way companies adapt to the post-pandemic shifts in workplaces.

Companies are increasing their learning and development budgets every year, with companies in the U.S. spending over $366 billion a year in 2018 already.

Even in the year 2020 during the continuous COVID-19 pandemic, companies focussed heavily on virtual learning and employee well-being and retention. As a result, U.S. training expenditures rose nearly 12% to $92.3 billion in 2020-2021.

However, despite this focus and investment in developing a successful learning strategy, many organizations are failing to regularly run learning programs and learning strategies that truly elevate performance and provide significant returns on investment (ROIs).

HR managers are recognizing that the traditional, formal training programs won't cut it anymore in this fast-paced business environment. HBR states that 75% of managers are dissatisfied with their company's in-house development programs and L&D functions.

In these times of great changes, a polished learning and development program becomes more important than ever for their overall business strategy and to gain competitive advantage.

In fact, a very significant percentage of market capitalization in public companies comes from workforce knowledge, skilled employees, and leaders - in other words, the intangible assets within an organization.

Transforming your Company into a Learning Factory

 

Increasing Employee Retention 

Recruiting and retaining new employees is not just time-consuming, but costly. With the right learning and development strategy, companies will be able to prevent their top talents from leaving with the right practices and strategies that they've invested in. In fact, when organizations develop a strong employee retention strategy, they combat voluntary employee turnover, thus promoting the health and success of the organization. 

Stronger Company Culture

It’s a known fact that companies with healthy cultures outperform those that don’t. Fostering a continuous learning journey not only makes employees feel like their learning and development needs are being met but will demonstrate to them that the organization is committed to their long-term success.

 

Read our full article on the 5 facets of every organization with strong company culture.

 

Planning for Success: Build a successful L&D Strategy

L&D’s strategic role spans five areas: 

  • Attracting and retaining talent
  • Motivating and engaging employees
  • Developing people capabilities
  • Creating value-based culture
  • Building employer branding  

 

Offering a safe space for continuous feedback

The learning environment is pivotal for an overall employee development strategy and continuing professional development. Employers need to provide continuous, customized feedback in order to activate employee engagement that inspires and supports growth and change. Therefore, providing ongoing feedback helps employees stay motivated and thus increases their retention.

Making learning accessible and scalable

As the pandemic threw us into a hybrid work model, many organizations were unprepared for the new skills they needed to continue their learning and development practice and maintain a positive learning environment (all while complying with social distancing measures caused by COVID-19). One of the clear shifts that had to be made was offering corporate learning and training to all employees, regardless of whether or not they were able to be physically in the office. This sparked a megatrend in e-learning platforms and a huge demand for artificial intelligence (AI) training platforms.

 

The Pitfalls of E-learning Platforms

As organizations were forced to digitalize their learning and development strategy, several companies turned to online and distance education methods such as e-learning platforms to provide learning for their teams.

But some skills just can't be learned by simply watching a passive video clip - I mean, just because you binge-watch a cooking show, doesn't mean you'll become a Michelin star chef by the end of it, right?

Even though these platforms provide plentiful knowledge, the lack of interactivity means that they do not have the ability to shape behavior, communication, or interpersonal skills. Furthermore, tuning into a video to listen to someone talk about improving your emotional intelligence skills probably isn't going to inspire, encourage creativity, or deliver innovation, nor is it going to foster the next level of leaders.

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A Hybrid Learning and Development Strategy is the Future of L&D

Today’s fast-moving business landscape calls for organizations and their people to adapt to changing circumstances rapidly - and adapting a company's learning and development strategy, one of the core areas of HRM can make the crucial difference between an organization that falls between the cracks of innovation, and an organization that comes out of the pandemic stronger than before.

So why are so many HR managers implementing artificial intelligence as a tool for corporate learning?

The rising in artificial intelligence is creating new dimensions and redefining the concept of training employees. As the benefits of AI in learning and development strategies are becoming more and more known, a lot of funding for AI research has been given, and spin-offs and startups are emerging at unprecedented rates.

Take, for instance, Retorio. A start-up from Munich that combines video analysis with client simulations to offer interactive training solutions for customer-facing positions, such as sales, consulting, etc. 

Infographic LD

 

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Briah Handa-Oakley

Conducting in-depth content strategy at the intersection between artificial intelligence and L&D. I cover emerging technology and the latest advancements in AI technology and ultimately fuse technical knowledge with storytelling skills.

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