People are the heart of any business, and investing in your people is vital to the health of your SME. Businesses of all sizes can experience the benefits of Learning and Development (L&D) — we break down the reasons why, and how you can get started.

What is Learning and Development (L&D)?

Speaking of ‘L&D’ may bring to mind huge multinational corporations with dedicated campuses and training departments. But Learning and Development within an organisation really refers to any activity linked to professional or personal development. 

This could be formal training and study, as is sometimes the case in larger organisations. Or it could be more informal teaching, coaching and mentoring. 

L&D can improve employee satisfaction and retention

We all want to have the best employees on board, but any SME leader knows that recruiting and onboarding new staff can be an arduous and costly process.

Committing to ongoing L&D opportunities for your team can boost not only in-work satisfaction but also retention. Companies who invest in L&D programmes for their employees experience 30-50% higher retention rates. This reduces the time and costs associated with recruitment and onboarding.

Investing in L&D also encourages higher levels of job satisfaction and loyalty. Which leads to our next point…

L&D can improve employee output and productivity

We know that satisfied and motivated employees produce better work, are absent less and are more engaged in their work. A culture in which employees are proactively trained and developed results in higher levels of motivation, and in turn, higher outputs.

Implementing a Learning and Development programme that’s appropriate to your setting can also aid in-house innovation, with the creation of new ideas and solutions coming as a direct or indirect result of training. 

L&D can bridge specific skills gaps

Having a Learning and Development strategy in place is the best way to identify and overcome specific skills gaps within your organisation. Whether you’re expanding into specific growth areas, need to adapt to new technologies or shore up digital skills, putting an L&D plan in place is a great way to proactively and sustainably address knowledge gaps and upskill teams.

SMEs are particularly well-placed to create adaptive plans, being more flexible than larger organisations. Assessing the skills you need is an important first step, and with open communication, team members may already be able to tell you the skills and areas in which they’d like to grow and develop.

L&D can identify and train leaders within your SME

Implementing a Learning and Development strategy within your SME is an excellent way to identify and train key leaders within your organisation. This way you can fill strategic roles with the specific skill-mix they require, and enjoy greater flexibility to move people between roles and departments.

As well as reducing many of the time and financial costs of external recruitment, the flexibility to promote from within your organisation also means that those employees promoted into managerial and leadership posts will already embody your company culture and understand your strategic aims.

Don’t know where to start?

If you don’t know where to begin with Learning and Development for your SME, don’t panic. At 1850 we specialise in helping SMEs thrive and get the best for and from their people.

Book in a free 30 minute call to talk about how L&D can benefit your business.