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More tailored training on limited budgets

Wednesday 14th April 2010

By Mike Jones

The volatile economic environment is having a huge impact on learning and development, with funds decreasing in more than half (52%) of UK organisations surveyed in the Chartered Institute of Personnel and Development's (CIPD) 2010 Learning and Development Survey.

And only one in 10 employers (11%) expect training spend to increase in the year to come, with the majority (65%) declaring that their economic circumstances have declined in the past 12 months, compared to 46% in 2009 when the recession had already begun.

Despite this, learning and training development departments' headcounts have largely remained the same in the last year, as UK organisations have stepped up to manage costs more efficiently. The main changes over the last year include a move to be more business focused (38%) and a reduction in external suppliers and a move to in-house provision (31%).

With the UK's private sector now emerging from recession, the skills employers say they need to focus on to meet their business objectives in two years' time are mainly leadership skills (65%), front-line people management skills (55%) and business awareness (51%).

Looking more closely at leadership skills, the main gaps identified by employers are performance management and leading and managing change, with the main focus of leadership development activities in the next 12 months being improving the skills of leaders to think in a more strategic and future-focused way (42%) and enabling the achievement of strategic goals (39%).

Dr John McGurk, learning and talent adviser, CIPD, said: "Our annual survey demonstrates that learning and development professionals across the country are rising to the challenge of implementing core training to ensure business success and innovating to ensure long-term survival.

"A skilled and motivated workforce will be essential to ensure organisations are well placed to take advantage of the recovery when it comes."

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Recruitment Today

End of beginning as downturn slows slightly
The seasonally-adjusted CIPS/Markit Purchasing Managers’ Index (PMI) rose to 42.9 in April from 39.1 the previous month, but was lower than last year’s figure of 49.7. Despite remaining below the neutral 50.0 mark (a figure less than 50 indicates a contraction) for the 13th month running, the PMI moved further from February’s joint survey record low.