Leadership development training is vital because it represents a chance for organizations to seize competitive advantages within their industries. If businesses commit to developing and retaining leaders, they can gain an advantage by attracting, developing, and retaining talent long-term.
This article will discuss the benefits of leadership development training.
Four advantages of leadership development training for your business
Leadership development is essential for several reasons. Research shows that it can drive sustained success by:
- Improving financial performance
- Attracting and retaining talent
- Driving strategy execution
- Increasing success in navigating change
We’ll cover more on each of these elements in further detail below.
1. Improving financial performance
Research shows that companies that rate highly for their investments in human capital deliver a stock market return five times higher than organizations that d not invest in human capital. This shows that businesses that invest in leadership development reduce costs, drive new revenue lines, and improve customer and employee satisfaction.
2. Attracting and retaining talent
Leadership development training can help companies boost employee engagement and reduce the costs associated with turnover. Managers with strong leadership skills will be able to attract and retain high-performing employees. In addition, developing, coaching, and promoting people internally is more cost-effective than hiring someone externally.
3. Driving strategy execution
Organizations need to develop a leadership strategy that connects closely with business goals. Leadership strategies should also equip employees with the skills required to implement business strategies for their company.
4. Increasing success in navigating change
Leadership training helps managers be ready to tackle any changes that come their way. When organizations look beyond their C-suite and work to develop potential employees and managers, it allows them to magnify their agility and flexibility.
Why should companies invest in leadership development training?
According to the High-Impact Leadership Development report, companies with leadership maturity are eleven times more likely to have leaders who can build and hire talent for a competitive advantage. They are also seven times more likely to have leaders who can inspire others to follow them.
Watching employees quit and walk out the door can be costly for companies. That’s because morale drops, advertising and recruitment costs rise, and it takes time to train new employees for their position on company standards.
However, the report found that having capable leadership in an organization is rare. In fact, only 60% of business leaders show business judgment and commercial acumen, while only 48% drive change and innovation for their teams and organization.
Building out and developing a leadership training program can lead to long-lasting benefits like strong leaders and a rich pipeline of talent that they can use to drive business outcomes and goals.
How to choose a leadership skills training course
Before looking into different leadership courses, consider what skills you want your managers and employees to develop. Do you want them to improve their ability to motivate their teams or resolve conflicts? Are you looking for specific training on business leadership or skills to do their jobs more effectively?
The answers to these questions will help you define the type of leadership skills training you should look for.
Get in touch with The Simmons Advantage to transform your management team with Michigan leadership development.
Your management team fuels your business’s growth capacity in the future. The Simmons Advantage works with companies to transform the company mindset to maximize productivity, eliminate redundancies, and transform your business’s future capabilities.
When you work with The Simmons Advantage, we bring years of educational and business experience into our training. We help companies tackle challenges head-on and inspire leadership to drive future innovation for your brand. Get in touch to discover what we can do for your organization.