The team and I are often asked how much should be spent on customer service training. To start, the amount you spend on training will depend on your business needs and budget, but there is a guideline, per employee, which I will share in response to this great question.
I should declare up front that I am a lover of learning, and I have a healthy appetite when it comes to investing in my growth. I spend at least 10% of my salary, each year, on my own professional development. While the dollar amount may vary depending on my earnings that year, the principle and commitment to allocating a budget to learning and development is critical. Sure, 10% may seem like a large investment, but I also have high expectations on the return from this investment and, as a result, I expect to see my outcomes and performance magnify.
I think a reasonable per person percentage for employee training is 2–3%. Here is my rationale:
As a guide to industry practice, the last major survey by the Australian Bureau of Statistics found that over 80% of Australian companies provided staff training. Those that did, spent around 2% of their total wages bill, on average, for training and education purposes
Compare this to what inflation has been, on average, for the last ten years and the cost of an annual pay raise for doing nothing more than the same job. Personally, I think it’s worth the same cost for developing a skill and expecting greater results in return.
Of course, the key to any investment is to know how to measure the pay-off. If you missed my previous blog on measuring customer service, read here to recap on useful measure