5 benefits of investing in your people

Estimated reading time: 3 minutes

At the World Economic Forum in Davos, Switzerland, in January 2019, the President of Costa Rica shared that his country has “managed to protect its environment while also investing in its people”.

When I think about the challenges that we all face, countries and companies alike, I am not sure the environmental issues, as important as they are, make it to our top 3 list.
What keeps you up at night? Let me guess:

Top issues keeping you up at night

  • Your competition
  • Finding the right talents
  • Innovation
  • The motivation of your staff (and maybe your own as well!)
  • Politics (office or public – the one that doesn’t add value but hinders collaboration)

Those are all “people issues.” So, how does investing in people help me when my budget is tight?

CEO and CEO on investing in people

This reminds me of the story about a CEO and a CFO:

The CFO told the CEO “What if we invest in people and they go?”,
the CEO asked back “What if we don’t invest in people and they stay?”

5 Benefits of investing in people

What are the benefits of investing in people?

1. Increased engagement

People’s engagement is improved. Research has shown that 85% are disengaged and comply with the minimum they are expected to do. Stinginess generates stinginess!

2. Attitude of intrapreneurs

People can turn into intrapreneurs. More than 60% of them would like to create their own company but often don’t because of the risk involved. Your company can allow them to develop their entrepreneurship project within the company.

3. More productivity due to fewer conflicts

It is often overlooked: fewer conflicts reduce the waste of time. I am not discussing healthy discussions that generate critical thinking or compare perspectives to bring innovation. I am discussing withholding information, retaliation, personal attacks, and mobbing. Therefore, learning how to collaborate and communicate efficiently is needed.

4. Higher sales closing rates

A better understanding of the client leads to higher closing rates. How does this happen?
By training your sales team on the product, they are selling interpersonal/soft skills, and they can develop long-term relationships with the client, build more loyalty, and close each deal more successfully through a better understanding of the client’s actual needs.

5. Attracting talents

Even if you invest in people and they leave your company/organisation, this will send a clear message to the market: your company cares for people, trains and develops them, and it is an excellent workplace. This will offset the perceived loss of people leaving by attracting already trained people looking for a place to bring their skills and competence.

Conclusion

Hence, investing in people will increase your organisation’s productivity by reducing conflict, generating more engagement, creating more initiative and innovation, and attracting top talents.

Additional resources

Managing team FAQ
How to come to an agreement in a team?
The cheapest and most powerful way to motivate your team
Team Impact Executive Report and Debrief
Leadership Game
Sell Like A Doctor
Leadership

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