In my 40 years of business I have seen many businesses come and mostly go. The primary reasons for the high failure rate are lack of management experience and undercapitalization. In this article I am going to discuss what I find to be the most common mistakes made due to a lack of management experience.
There are three common management mistakes that are almost always fatal: 1) poor choice of location, 2) poor spending habits, and 3) failure to seek out advice and training.
We are certain you will agree…the quality of your customer base will determine how successful your company will be. Investing in your customers’ success will improve customer retention and increase your sales.
An important fact you should be aware of, companies that train their employees experience an average of 24 percent higher gross profit margins and 218 percent higher revenue per employee. But here is the catch 22, companies that need training the most, are the least likely to offer it due to the cost.
The individual cost of a one day class is $349.00. This is where you step in. By offering a group class to your customers, the individual cost is dramatically reduced. For 10 it is $274.50 each participant, and for 20 participants it is all the way down to $187.25 per participant. As you can see, there is a significant cost savings for group classes.
By making available to your business customers training in basic business management, customer service, budgeting, team building, or more; you dramatically increase their long term viability. Think about it for a minute, how much do you spend on things like cookouts, golf outings, t-shirts, sweatshirts, etc., none of which do a thing to increase your customers’ sales and very little to improve your business to business sales.
Firms investing in employee training, compared with those that do not, experience an average of 24 percent higher gross profit margins and 218 percent higher revenue per employee. Trained employees improve your bottom line by saving you time and money through improved performance and productivity. An increase of $680 in a company's training expenditures per employee generates, on average, a six percent improvement in total return. Based on the training investments of 575 companies during a three-year period, researchers found that firms investing the most in training and development (measured by total investment per employee and percentage of total gross payroll) yielded a 36.9 percent total return as compared with a 25.5 percent weighted return for the same period. That's a return 45 percent higher than the average. These same firms also enjoyed higher profit margins, higher income per employee, and higher price-to-book ratios.
ABT instructors have a minimum of 30 years business experience and have held a senior management position for at least 5 years. Most business school instructors come from an educational background and have very little on the job experience (remember the movie Back to School with Rodney Dangerfield).
When you take an ABT business training class you are learning from business professionals trained in facilitative learning....not educators with no experience.
We believe the vast majority of employees want to do a good job and when they don’t, it’s not because they don’t care…it’s because they just don’t know any better. Many companies make the mistake of assuming new employees know what to do. The way things usually play out is the employee is hired and provided little or no training. They learn what to do by watching other employees. If the employees they are watching have not been trained properly the problem compounds itself. When the employee does something wrong they are scolded or reprimanded. The employee becomes resentful and develops an attitude; which, if not dealt with, can spread like cancer through your company.
We operate on the premise, the only people qualified to teach business classes are individuals who have successfully performed the skill over a period of years and have gone on to become managers of others skilled in the subject. Only then can the instructor pass on skills worthy of your employees’ time and your money.
We seek out experienced business professionals and then teach them to train what they know best using our rigorous training curriculum and the latest facilitative learning techniques.
No motivational speakers here, only instructors who will inspire your employees to do the best job they have been taught to do. We stick to teaching proven business practices and procedures and leave the motivational high jinx to the other guys. If you read advice given by any seasoned motivational speaker, the thing they all stress is they are performers. Do you want to entertain your employees? Doubtful! You will not find our instructors dancing around, having your employees chant, or beating drums. The result of such a class is to get your employees all fired up for a few days. After that, it then leaves everyone scratching their heads wondering how the class they just took will actually help them.
In the vast majority of cases, motivational classes are just thinly masked sales pitches for pricey tapes or books and/or consulting services. We do not participant in this form of up-selling. If you have ever hired a motivational speaker, you know what we are talking about.
Our account managers can work with you to improve the performance of your workforce. Employee training has been proven to be one of the best returns on investment there is…start to improve your bottom line today by contacting your account manager.
The Academy of Business Training is dedicated to helping companies train professional men and women to improve their business skills and knowledge to enable them to pursue opportunities for career advancement.