Turning a “Soft” Expense into a Strategic Advantage

November 22, 2024
Hands raised in a classroom with a chalkboard behind

When you hear the word “training,” do your eyes glaze over? Do you see it as a check-the-box activity or something to postpone until the “real” work is done? If so, it’s time for a shift in perspective. Over three decades of professional experience, one constant has stood out: businesses that treat training as a “hard” priority thrive, while those that view it as “soft” falter.

Let’s explore the difference between these two mindsets and why transforming training into a core strategy can redefine your organization’s success.

The “Soft” View of Training

In many organizations, training is treated as an HR responsibility—nice to have but not essential. Here’s how the “soft” view typically plays out:

  • Training is reactive and tacked on after operations are underway.
  • ROI on training is unclear, making investment decisions difficult.
  • Employees often view training as a stepping stone to higher-paying jobs elsewhere.
  • Leadership disengages, delegating training entirely to HR.

Sound familiar? This approach often results in missed targets, disengaged employees, and underwhelming business outcomes.

The “Hard” View of Training

In high-performing organizations, training is seen as a direct driver of top-line revenue and bottom-line results. It’s embedded into every facet of operations, led by leadership, and tied to measurable business outcomes. Here’s what “hard training” looks like:

  • Leaders take ownership of training programs and participate actively.
  • Training is linked to operational goals like product quality, customer satisfaction, and team performance.
  • Investments in training are viewed as essential to long-term success, not discretionary.
  • The effectiveness of training is rigorously measured, with continuous improvement baked into the process.

When training is taken seriously, the results speak for themselves: stronger employee engagement, better performance, and sustainable business growth.

A Case Study in Excellence

One of the best examples of “hard training” comes from the launch of GM’s Lansing Grand River (LGR) plant in 2000. The approach was nothing short of revolutionary, driven by a simple mantra: “Make Rule, Teach Rule, Live Rule.”

How It Worked

Training Started at the Top

A select group of shift leaders from GM plants worldwide was tasked with setting the foundation. These leaders became trainers, equipping team members to self-select into roles with full awareness of the plant’s expectations.

Immersive Simulated Work Environments

Before production began, a simulated assembly line was built using used conveyors and wooden mockups of vehicles. Prospective employees experienced a “day in the life” on the line, with many opting out early if the job didn’t suit them. While costly, this approach ensured that every new hire joined “eyes wide open,” prepared for the challenges ahead.

Global Knowledge Exchange

Teams of leaders traveled to GM’s Opel plant in Eisenach, Germany—considered the benchmark for lean manufacturing at the time. They learned directly from their counterparts, then returned to implement what they had learned with hands-on teaching.

Leaders as Teachers

Plant leaders were deeply involved in training, delivering orientation sessions and job-specific instruction. This not only ensured consistency but also built trust and accountability between leaders and team members. Leaders had to fully grasp the material, teach it passionately, and live by their own lessons on the floor.

Continuous Improvement Through Team Ownership

Team members weren’t just recipients of training—they were active participants. They wrote work instructions, conducted tryouts, and suggested improvements, creating a cycle of learning and refinement.

The Results

The training model at LGR delivered:

  • A cohesive, well-prepared workforce aligned with the plant’s goals.
  • Dramatic reductions in defects and operational inefficiencies.
  • High levels of engagement among team members, many of whom became champions for continuous improvement.

This approach wasn’t just a one-time initiative; it became the backbone of the plant’s culture and operational success.

Is Your Training Holding You Back?

Now, take a hard look at your own organization’s approach to training. Does it resemble this?

  • Training is rushed and crammed into the calendar at year’s end to meet quotas.
  • HR creates the curriculum with little input from operational leaders.
  • Training budgets are routinely redirected to cover other shortfalls.
  • Leadership rarely participates in or oversees training sessions.
  • Operational challenges, like quality defects, are dismissed as “training issues” without addressing the root causes.

If any of this rings true, your business is likely sacrificing shareholder, customer, and employee value.

The Path Forward

Transforming your training program requires a mindset shift and strong leadership commitment. Here’s how to get started:

  • Embed Training in Business Strategy
    Align training with key operational and financial goals. Treat it as a critical investment, not a discretionary expense.
  • Put Leaders at the Helm
    Ensure leaders are involved in developing and delivering training. This builds trust, accountability, and alignment.
  • Measure Impact
    Set clear KPIs for training effectiveness. Track improvements in quality, productivity, and employee retention, and refine the program based on results.
  • Prioritize Continuous Learning
    Make training an ongoing process, not a one-time event. Encourage team members to participate in designing and refining training programs
  • Foster a Culture of Accountability
    Ensure every level of the organization is committed to training. Leaders should model the behaviors they expect from their teams.

Conclusion

Training isn’t a “soft” cost—it’s a hard driver of business success. When approached strategically, it has the power to transform your organization, aligning employee performance with customer expectations and shareholder value.

So, the next time you’re tempted to postpone training or delegate it to HR, remember this: investing in “hard training” today could be the key to unlocking your business’s full potential tomorrow. It’s time to lead by example, prioritize training, and watch your organization thrive.

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