Sales organizations often take a “penny wise and pound foolish” approach to their employee training investments. When considering whether to cut employee training, consider whether you’re trading a short-term earnings increase for long-term productivity shortages.

What Is the Business Impact of Training?

In one study, companies that invested heavily in employee training were compared to those that didn’t. The value of the companies that invested in their employees rose in value by some 17% more than their counterpoints[1].

In fact, training creates many long-term positive impacts on the bottom line, including:

  • Preventing costly mistakes
  • Reduced reliance on internal support
  • Better use of applications by employees

“ The value of companies that invest in employee training rose 17% more than those that didn’t. ”

The ROI extends to coaching salespeople in the field. Reps who receive at least three hours of coaching per month from their first-line sales managers achieve 107% of quota on average, according to CallidusCloud research.


[1] Harvard Business Review, How’s Your Return on People?, 2004