Training and development
Training is teaching employees the skills and knowledge needed to do their current job effectively; development is the broader, longer-term improvement of an employee's skills to prepare them for future roles.
Method
- Identify from the case whether the need is for training, a current skill gap, or development, preparing for a future role.
- Learn the cost side of training: direct costs such as trainer fees or materials, and indirect costs such as lost production or sales while staff train, even though wages are usually still being paid.
- Learn the benefit side of training: higher quality and productivity, fewer errors, accidents or complaints, improved staff motivation and retention, and the ability to use new equipment or meet legal requirements such as health and safety.
- For explain questions, give one cost or benefit point plus a linked consequence specific to the case's product or industry.
- For evaluate questions on whether training is worth its cost, weigh the size of the cost, such as lost output or how many staff are involved, against the size and likelihood of the benefit, referencing the case's own figures.
Worked example
A restaurant is introducing a new online booking and ordering system. Explain one benefit to the restaurant of training all its staff to use the new system.
- Identify the change described: a new online booking and ordering system is being introduced.
- Identify the risk without training: staff who do not understand the system may make mistakes, such as double bookings or incorrect orders.
- Identify the benefit training brings: staff become confident and accurate when using the system.
- Link this to the restaurant: fewer booking and order errors mean happier customers, more repeat business, and staff working more efficiently, for example serving more customers per shift.
- Write the explained answer, combining the accuracy benefit of training with its effect on customers and efficiency.
Practice questions
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Q1State the difference between training and development.Show answer
Answer: Training teaches the skills needed for an employee's current job; development improves skills more broadly for future roles.
Q2Identify one direct cost of training.Show answer
Answer: The cost of paying a trainer or buying training materials.
Q3Give one indirect cost of training.Show answer
Answer: Lost output or sales while staff are training instead of working, even though wages are usually still paid.
Q4State one benefit of training to a business.Show answer
Answer: Higher productivity, fewer mistakes, better customer service, or improved staff retention.
Q5Explain one reason training can improve staff motivation.Show answer
Answer: Employees feel more valued and confident in their role, and gaining new skills can open up opportunities for promotion.
Q6Identify one legal reason a business must provide training.Show answer
Answer: Health and safety training, for example on operating machinery safely.
Q7State one way a business could measure whether training has been effective.Show answer
Answer: By comparing output, error rates or customer complaints before and after the training took place.
Exam-style questions
Written in the style of a GCSE Business exam paper, with a full mark scheme.
Explain one cost and one benefit to a business of training its staff.
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A small engineering firm with 15 staff is planning to buy a new computer-controlled cutting machine costing 40,000 pounds. Training all staff to use it safely will cost 3,000 pounds and take each employee out of production for two days. The firm's owner is unsure whether the training cost is worthwhile. Evaluate whether the engineering firm should pay for all 15 staff to be trained on the new machine.
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See real GCSE Business past-paper questions, with official mark schemes →
Free printable worksheet
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