A Plea to Retailers and Small Business Owners: Do Not Neglect Training

This is a challenging time for retailers and other small business owners who depend upon an associate base with keen product knowledge and customer service skills. Many continue to cut labor costs in an effort to keep the doors open, and I know how tough those choices are. I was in retail management during recessionary periods, and experienced first hand the layoffs, the cutbacks and the need to reduce costs to boost profits. I have been with retailers in the best of times and still experienced massive changes to streamline operations. However, when the economic outlook is shaky at best, bleak at the very worst, these cutbacks hit associates and manager far more deeply as there are simply fewer job opportunities for them to turn to.

With that said, I offer the following advice: Do not neglect training, this is a necessary labor expense. It may seem painful upfront, but the investment is crucial to staying competitive and profitable in the long run.

Exhibit #1: I recently shopped at a national big box retailer. In the course of the transaction, the cashier was unable to process part of the transaction and had to get a supervisor involved. While waiting (with many others behind me in line) and watching a frustrated cashier get flustered, I told her, "It is okay. Everyone has been new once in their career". Her response? "I am not new, I have been working here for almost 4 months. They just did not give me much training". I told her to simply delete the item in question (which was a big ticket item for which I had a special coupon) and continue with the transaction.

Exhibit #2: I also recently was shopping with a major electronics chain. In looking at laptops to get ideas for a present, I asked an associate to describe the difference between a few of the laptops on display. The associate walked up to the signs and read off the descriptions. I told them that I had already done that. I asked for some additional specific information, and he said that he was "kinda new" and would have to ask someone else. I waited almost ten minutes, another associate showed up and asked me if I was the lady "confused about the laptops". Confused? No. In need of more information, yes. This associate then began to read off the product information from the same signs. I walked out.

Two simple shopping outings proved the point that if you skimp on training and you "assume" that they will pick it up when you throw them onto the sales floor you are wrong. You will alienate customers, you will lose precious sales, you drive down morale, you will negatively impact your ability to compete and survive in an ever-changing economy and retail environment. Here are the top reasons why you need to continue to invest in training, teaching your associates your expectations, your corporate culture, product knowledge and how to best assist your customers:

1. Corporations and small businesses alike are cutting back on staff, tasking fewer people to do more. However, in these times there is still turnover and businesses have opportunity to fill open positions. When businesses do bring new people into the organization, all too often it is a rush to get them in position, get them in their job function as quickly as possible as labor is precious and there are many tasks to juggle. However, without thorough training do they truly know and understand their new responsibilities? Morale takes a huge hit when associates feel that they are doing things that they cannot do well, and other associates get frustrated when they have to pick up the slack for those who cannot perform.

2. Cross-train your associates NOW to avoid the issues that arise when labor is cut and associates are even laid off. Invest the time in these associates upfront to ensure that they understand the new tasks that may be expected of them. Get ahead of the curve and get your staff as proficient as possible in a variety of work centers. Even simpler still: sit down with each one and ASK them what they would like to learn in the store or business. They will surprise you when you find how truly hungry they may be to learn and develop. Associates are pretty savvy, they know that this is a tough job market and they will know that the more you depend upon them and their skills, the more likely they are to maintain that highly-valued employment.

3. Technology is going to continue to change and you will need to train your associates to be proficient with the new technology. This may include training on product knowledge, this may include training associates how to deal with new computer systems and other technology that they will use to make their jobs easier. When new items hit the sales floor, have daily huddles by that product. The morning crew, afternoon crew and evening crew can learn in a few minutes of your time what that new item is, what it does, how to sell it to a customer. When new technology arrives take the time to train each associate, set up training buddies and do not assume that they will "learn it on the job". They may not, and that technology investment is wasted in an associate base that works around the technology instead of enhancing their ability to perform with that technology!

4. Investing in your associates makes their job outlook more stable in an environment in which they may have a great deal of stress in their personal lives impacting their job performance. If you invest in training them, they will feel valued and contribute at a higher level. If you train them on how to improve their organizational skills, interpersonal skills, communication skills and even conflict management, these will be skills that will help them across the board when they have to juggle stress in both their professional and personal lives. As an employer you have the ability to inspire your associates through training and development in ways that will carry over into all aspects of their lives.

Training often only takes a few minutes of each day. Every minutes is precious, and as managers and owners you juggle huge responsibilities and demands on your time. However, investing those few minutes, even a few hours a week will pay off immensely as you are able to maximize sales and profits with a team that is knowledgeable, engaged and productive.