How Can Upskilling Employees Help Businesses Grow
In today's fast-paced business environment, keeping up with the latest technologies and trends is essential for staying competitive. One way businesses can do this is by upskilling their workforce by providing training and education to employees to improve their skills, knowledge and performance. The practice is often sought after for its ability to keep worker skills competitive and business profits high, while also catering to the personal growth of employees.
Below, we discuss the benefits of upskilling employees for business and how Upskilled’s online courses can help.
The benefits of upskilling for employees
Before diving into the benefits of upskilling for your organisation, it’s important to note the many advantages it offers workers, too.
Further training and education can enhance one’s job performance, leading to personal growth and better job opportunities. By upskilling, you can learn new skills or improve existing ones, making you a more valuable asset to your current or future employer. In fact, recent survey findings by Hays report that 77% of employers were more likely to shortlist a qualified job candidate who regularly upskilled.
As such, upskilling can also often lead to higher earning potential, particularly in the realm of digital skills. According to research by RMIT Online, those with competitive digital skills were able to gain a 9% wage premium (or an additional $7,700 AUD a year) compared to their untrained counterparts.
Additionally, with 70% of young Australian workers likely to face automation in the next 10-15 years, upskilling can help keep their skillsets sharp, relevant and in demand in the face of a rapidly changing job market.
How upskilling can help your business grow
Increased productivity and efficiency
When your employees have the skills and knowledge they need to do their jobs effectively, they're able to work more efficiently and produce higher-quality work. This can lead to increased productivity, which in turn can help you achieve your business goals more quickly.
In a 2021 survey performed by GetApp, 53% of upskilled employees reported producing better quality output for their companies, with 50% reporting increased productivity and 40% reporting improved workplace relations.
Additionally, Deloitte research has found that for every dollar invested in learning and development (L&D) per employee, employers earn an additional $4.7 in revenue per employee. Upskilling can thus benefit your business through higher performance levels and improved financial outcomes, leading to greater opportunities for growth and development in the long run.
Improved worker retention
Employees who feel valued and supported are more likely to stay with a company long-term. By investing in your employees' skills and knowledge, you're showing them that you care about their growth and development and that you're willing to invest in their future.
According to a report by LinkedIn, 94% of employees would stay at a company longer if it invested in their learning and development. In addition, over 70% of Australian workers now prioritise job-related learning over salary when seeking new roles, with a whopping 96% of workers deeming it “important” or “very important” when considering a job.
Since recruiting new talent is an often more expensive process than simply reskilling your current workforce, employers not only reap the retention benefits of further training – but also get to save costs in the long run. The Australian Human Resources Institute has recently reported that the cost of hiring an employee in 2022 has more than doubled to $23,860 AUD per job candidate, making upskilling the much more attractive, cost-effective option.
Enhanced innovation and creativity
One of the ways upskilling boosts creativity and innovation is by exposing workers to new ideas and perspectives. By learning new skills or exploring different fields, workers can broaden their horizons and bring fresh perspectives to their work. This can also help workers develop critical thinking and problem-solving skills, which are essential for innovation.
Moreover, upskilling can foster a culture of continuous learning and improvement in the workplace. It encourages workers to develop a “growth mindset”, pushing them to try new things, take risks and iterate on their own ideas. Additionally, seeing one’s colleagues engage in upskilling activities can inspire them to do the same, creating a ripple effect of learning and growth. This can lead to a more dynamic and innovative work environment, where everyone is encouraged to learn and experiment.
Adaptability to changing technologies
While digital literacy has become increasingly essential in almost all industries, Australia still continues to grapple with an ever-growing digital skills gap. In fact, a 2023 report by RMIT Online found that three in five (58%) of Australian employers surveyed still lacked one or more of the digital skills required to effectively do business. Such skill gaps can lead to hampered productivity, increased outsourcing costs and an overall loss in business revenue.
Workers and job-seekers, on the other hand, still struggle to keep pace with rapid technological demand, with only 26% of Australian workers confident in being “very prepared” for workplace digital skills. This alarmingly contrasts with the 87% of Australian jobs now requiring such skills and the need for an additional 156,000 new technology workers in the coming years.
Through upskilling, however, workers and employers alike can build the technical skills required to stay ahead of the curve. Plenty of VET training courses currently focus on IT and rising sectors (such as cyber security, cloud computing, data science and artificial intelligence), equipping professionals with the hands-on, work-ready skillsets necessary to keep both themselves and their companies relevant, innovative and competitive.
Improved customer satisfaction
Finally, upskilling can help employees provide better service to customers. With enhanced skills and knowledge, employees can answer customer queries more effectively, offer better solutions to their problems and provide more personalised service. This, in turn, can lead to happier customers who are more likely to return and recommend your business to others.
With its ability to keep one abreast of digital trends, upskilling can also bolster employee knowledge of rising customer service technologies. For example, with the increasing popularity of e-commerce and online shopping in Australia, businesses that upskill their staff in digital marketing and social media management can better promote their products and services online, reach a wider audience and ultimately increase customer satisfaction.
Lastly, its ability to improve the overall work culture and job satisfaction of employees can further have a positive impact on business-customer relationships. When employees feel valued and supported by their employer, they are more likely to be engaged and motivated in their work, which can lead to better performance and customer service.
Upskill your workers and grow your business today!
Stay ahead of the competition by exploring the various qualifications Upskilled has to offer – from programs in IT to training in business and administration. Best of all, each course is delivered online, helping you upskill at a time, place and pace that suits you best.
Reap the business and professional benefits of upskilling today and enquire with us.
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