Training Budget

Created by Human Resources Department

For the upper management to be approved for allocation of appropriate funds for employee development over the course of the year.

Through Thorough planning for training expenses and linking them to strategic objectives

avert cost-cutting measures that could reduce your training budget if executives perceive it as overhead or superfluous which ensures that your employees get the skills and knowledge they need to perform effectively on the job.

Indirect costs

Direct costs

To

develop

implement

analyze

evaluate

design

maintain courses and materials

Why is it important?

Alignment

Monitoring

Benefits

Forecasting

Effectively managing training budgets and resources ensures that personnel have the adequate skills and competencies required to complete job tasks.

Ensures employees maintain and adhere credentials to local, state and federal regulations

To ensure that workforce

has the knowledge

has the skills

has the abilities

To execute organization's strategic plan

Technology changes, new services and products, product-support initiatives and new market entries within the plan highlight competency requirements.

focuses human resources’ attention on activities that drive plan achievement

compares the knowledge, skills and abilities demanded by the plan with what is in place

establishes learning priorities to forecast training needs based on the capabilities gap

Gather costs associated with training programs

Allows sponsors and stakeholders to prioritize efforts and distribute funding accordingly

List training activities

List development and delivery costs

Number of people affected

Potential business impact

Allows sponsors to optimize training expenses by

Evaluating the options

Comparing development costs

Purchasing off-the-shelf courses

Consider different methods of providing instruction

Allows employees to evaluate what worked and what did not

Allows employees to consider what areas of training where costs can or need to be reduced to meet management's cost expectations and where government grants the company qualifies and can apply for.

Identifying funds for training ensures that employees get the programs they need to accomplish the company’s strategic goals

By identifying the costs associated with relevant training at the beginning of the year, you ensure these programmes can proceed throughout the coming months

Rather than waiting to expose performance gaps, certifying individuals to start off in the right manner is more effective and efficient.


monitor expenses associated with training activities and ensure you’re getting the most of your money.

By monitoring instructor costs, training material printing and other expenses, trends can be spotted and actions can be implemented to reduce unnecessary spending.