Why Management Training is a MUST

As the next generation of workers has been taking shape over the last decade, one key transition is very evident:  People aren’t leaving their companies or their jobs, they are leaving their boss.

Business expert Michael Gerber, in his best-selling book called “The E-Myth Revisited” discusses what he calls the management fallacy, which is, “Just because someone is good at doing the technical work, does not mean they are able to manage the people who do the technical work.”  

With workplace culture being a huge priority in any heat treat plant, having well-trained leaders is vital to any company recruiting and retaining quality workers. If you have anyone managing or leading 2 or more people in any capacity, it is critical you ensure they have the proper skills in dealing with different personalities, conflict resolution, team building, and communication, to name a few. Most individuals don’t naturally have these skills.

So why have a corporate training program for management? Simple…productivity and profitability.  

Let’s look at the data:

Here are some key findings from various studies and surveys:

• Improved Organizational Performance:
  • A study by the American Management Association (AMA) found that companies with effective management training programs saw a 22% improvement in overall performance metrics, including productivity and profitability.
  • A research report from the Association for Talent Development (ATD) indicated that organizations that offer comprehensive management training programs experience a 24% higher profit margin than those that spend less on management training.

• Increased Employee Engagement and Retention:
  • Gallup research consistently show that managers account for at least 70% of the variance in employee engagement scores across business units. Well-trained managers are more likely to foster high engagement, which is linked to lower turnover and higher productivity.
  • The Harvard Business Review reported that 58% of employees who had managers with strong leadership skills felt more engaged and committed to their work, compared to only 15% of employees who had managers with poor leadership skills.

• Enhanced Leadership Effectiveness:
  • A study conducted by McKinsey & Company found that organizations that invest in leadership development are 2.4 times more likely to hit their performance targets. These organizations also report higher levels of innovation and better adaptation to market changes.
  • The Corporate Leadership Council found that effective management training can increase employee performance by 20%, largely due to better decision-making and improved leadership abilities among managers.

• Better Decision-Making and Problem-Solving:
  • Research published in the Journal of Applied Psychology demonstrated that management training significantly improves decision-making capabilities. Trained managers were able to make more effective decisions, leading to better outcomes in 88% of the cases studied.

• Higher Productivity and Efficiency:
  • A study by the Chartered Institute of Personnel and Development (CIPD) found that organizations with strong management training programs reported a 23% increase in productivity. This was attributed to improved managerial skills in task delegation, time management, and team motivation.
  • A Bersin & Associates study highlighted that companies with high-impact management training programs saw a 32% improvement in employee productivity.

• Positive Impact on Team Dynamics:
  • Research by the Society for Human Resource Management (SHRM) shows that managers who receive training in soft skills, such as communication and conflict resolution, are 50% more likely to have teams that collaborate effectively and resolve conflicts more efficiently.

• Cost Savings and Return on Investment (ROI):
  • According to a report by the ROI Institute, companies that implemented management training programs experienced a return on investment (ROI) of 8:1, meaning that for every dollar spent on training, the company saved or earned eight dollars.
  • A study published by the World Economic Forum indicated that management training not only improves internal metrics but also contributes to long-term financial stability and growth, with trained managers leading to a 12% reduction in turnover-related costs.

These studies collectively demonstrate that management training is an effective tool for improving leadership capabilities, enhancing employee engagement, boosting organizational performance, and delivering a strong return on investment.

Now let’s look at WHY have a corporate management training program in your company:

• Leadership Development: Effective leadership is essential for guiding teams and organizations through challenges and changes. Management training helps develop the skills needed to inspire, motivate, and lead others, ensuring that leaders can make informed decisions and foster a positive work environment.

• Adaptation to Change: The business landscape is constantly evolving due to factors like globalization, technological advancements, and shifting market conditions. Management training equips leaders with the tools to navigate these changes, manage risks, and drive innovation within their teams.

• Employee Engagement and Retention: Good management is directly linked to employee satisfaction and retention. Trained managers are better at recognizing and addressing employee needs, providing feedback, and creating a work culture that promotes engagement and loyalty.

• Conflict Resolution: In any workplace, conflicts can arise due to differences in personalities, work styles, or objectives. Management training teaches conflict resolution techniques, enabling managers to address issues constructively and maintain a harmonious work environment.

• Strategic Thinking: Managers play a critical role in setting and executing a company's strategic direction. Management training enhances strategic thinking skills, helping managers to align team goals with the broader organizational objectives and to anticipate and respond to market trends.

• Effective Communication: Clear and effective communication is vital for managing teams, projects, and relationships with stakeholders. Management training focuses on improving communication skills, ensuring that managers can convey expectations, provide feedback, and foster collaboration.

• Performance Management: Managers are responsible for overseeing and improving team performance. Management training provides techniques for setting clear goals, monitoring progress, providing constructive feedback, and implementing performance improvement plans.

• Decision-Making and Problem-Solving: Managers often need to make quick decisions in complex situations. Training in decision-making and problem-solving helps managers weigh options, assess risks, and choose the best course of action to achieve desired outcomes.

• Diversity and Inclusion: In today's diverse workforce, understanding and managing diversity is critical. Management training can increase awareness of cultural sensitivities and teach inclusive practices, enabling managers to create a more equitable and productive workplace.

• Legal and Ethical Compliance: Managers must navigate various legal and ethical challenges in the workplace. Management training covers areas such as employment law, workplace safety, and ethical decision-making, helping managers to prevent legal issues and maintain ethical standards.

Overall, management training is essential for developing competent leaders who can effectively guide their teams, make informed decisions, and contribute to the success of their organizations in a rapidly changing world.

The Metal Treating Institute has a turn-key solution that automates your management training process.  MTI’s Keys to Supervisory Management Certificate Program on MTI’s Online Academy is a 12-module program to help your management team learn the skills they need to create a workplace culture that drives employee engagement and productivity.

CLICK HERE to hear what Members say about MTI’s Online Academy.

CLICK HERE to view more details on the course, or contact DeAnna Morrison at deanna@heattreat.net if you would like to enroll in our corporate subscription for unlimited access to MTI’s full array of online training. It is the best value in heat treating!