Investing in People: Financial Impact of Human Resource Initiatives

Chapter 11. Costs and Benefits of HR Development Programs

Organizations in Europe, the United States, and Asia spend billions each year on employee training. These outlays reflect the aggregate cost of keeping abreast of technological and social changes, the extent of managerial commitment to achieving a competent, productive work force, and the broad array of opportunities available for individuals and teams to improve their technical skills and their social skills. Indeed, the large amount of money spent on training in both public and private organizations is likely to increase in the coming years as organizations strive to meet challenges such as the following:^[1]

• Hypercompetition, such competition, both domestic and international, is largely ...