Advancing technology does not diminish the critical need to invest in employee training

Catherine Bennett

“You should treat your people at least as well as you treat your machines.”

Craig Gygi, chief operating officer of The Synergy Co., shares this sentiment on repeat, but in a tech-focused world, this mindset isn’t standard. When machines break, leaders jump to spend whatever resources are necessary to get the equipment back up and running. In contrast, when an employee is underperforming, leaders are quick to terminate them rather than diagnose the root cause of the behavior.

According to Eric Burton, a transformation partner and continuous improvement expert at iMpact Utah, the root cause of underperforming employees is often poor-to-non-existent training. After training employees at more than 100 manufacturing companies, he has learned a few things about how great training impacts organizations overall.

While it may seem obvious to some, technology investments do not eliminate the reality that people are at the center of every manufacturing company’s success, Burton said. Added tech accelerates the need to get people up to speed on new skills, processes and possibilities. While training is very much essential to a healthy workplace, it continues to look different every year. There have never been this many opportunities to enhance training efforts, from increased remote learning to augmented-reality software to asynchronous training.

“A company’s view of training is a ‘window to its soul,’” Burton said. “It’s a reflection of the organization’s commitment to its most valuable asset: its people. Manufacturing is a substantial industry and there are tens of thousands of employees in the industry we need to take care of.”

In 2023, Utah manufacturing contributed $23.4 billion to Utah’s GDP. In the same year, manufacturing companies paid $11 billion to more than 150,000 employees, according to the Utah Department of Workforce Services. Additionally, manufacturing employment numbers have steadily increased the past few years.

“If every manufacturing company truly invested in their people, the numbers would reflect that, including profitability and the state’s GDP,” Burton said. “The companies who have invested in their people and seen the benefits understand just how critical this investment is to long-term success.”

For an inexperienced production floor worker, training might be an introduction course to Lean manufacturing. For an experienced production floor worker advancing into a leadership position, this might look like taking a leadership course, Burton said. With technology developing at an increasingly rapid pace, all employees will need to participate in continued equipment and software training.

Burton argues investing in employee training is not merely a nice-to-have luxury but a necessity for long-term success. While many companies acknowledge the importance of their workforce, actions often speak louder than words. When budgets tighten, training is frequently the first expense to be cut, despite its far-reaching benefits.

By investing in training, companies demonstrate their respect for their employees as human beings, fostering a culture of continuous improvement and growth.

Great training is about much more than developing immediate skills, Burton said. Its multitude of advantages include enhancing productivity, boosting morale and retention, ensuring safety and compliance and fostering innovation and competitiveness.

Gygi said that since heavily prioritizing training on The Synergy Co.’s teams, they’ve transformed their company culture and improved their local reputation. This has led to more individuals in Moab’s small workforce pool applying for jobs at the plant and staying. Why? Job satisfaction.

“What we’ve implemented at The Synergy Co. is inspired by the research of Frederick Herzberg on job satisfaction and motivation,” Gygi said. “We have certainly reviewed our compensation and made sure we’re competitive, but we’ve discovered the thing employees find equally motivating is the opportunity to do meaningful work.”

Herzberg’s theory of job satisfaction, also known as the motivation-hygiene theory, posits that job satisfaction and dissatisfaction are influenced by two different sets of factors. These factors are hygiene factors and motivation factors.

Hygiene factors include salary, supervision, working conditions, company policy and job security. They prevent job dissatisfaction but don’t necessarily increase job satisfaction.

Motivation factors include achievement, recognition, the work itself, responsibility and advancement. They increase job satisfaction and can make employees more productive, creative and committed.

A big part of creating motivation factors is empowering employees to work with team leads to make small improvements daily, which is known widely in industry as Kaizen. Leaders at The Synergy Co. want their employees to share any improvements that come to mind, even if they are out of the individual’s scope of work.

“They do speak up,” Gygi said. “It’s because they have skin in the game. When they really dig in and make improvements, we reward them with more meaningful assignments. Of course, we do recognition and gift cards for efforts, but nothing seems to mean more than showing that trust in their ability to make a difference to the company.”

Despite the undeniable benefits of employee training, implementing effective programs is no cakewalk. Cost, time commitments and concerns about disruptions to daily operations are common obstacles. However, Burton emphasizes that the long-term costs of neglecting training can be far greater, including lost productivity, poor quality and high turnover.

“Training never seems urgent until it becomes urgent,” Burton said. “Starting small and gradually expanding training initiatives, I’ve seen companies minimize disruptions while reaping the rewards.”

Technological advancements, including cutting-edge machinery and AI, spur even more reason to invest in training. Bringing a new 3D printer or CNC machine in? Employees need training. Implementing a new AI software? Training. When it comes to new tech, the learning curve in today’s workforce is incredibly steep, Burton said.

Numerous companies in the region have experienced significant benefits from investing in employee training. O.C. Tanner, for example, supports and grows employees from all over the globe who speak dozens of different first languages. JD Machine has addressed the skilled labor shortage by focusing on training and development.

Gygi said, “As a result of all of our top-down initiatives and grassroots improvements, our employees are more engaged than ever before.”

State and federally funded organizations like iMpact Utah exist to help manufacturers profit more, which is impacted significantly by team productivity and turnover. Training is one way iMpact is positioned to fortify manufacturing employee retention and performance while strengthening culture and brand.

“‘Our employees are our greatest asset’ is on everyone’s wall,” Burton said. “The good companies prove it through action. They talk about training differently. They promote people who are great teachers and trainers and talk about it as a constant need.”

Companies who treat training this way aren’t “looking for employees under rocks,” Burton said. They have a full bench at all times of individuals ready to pour their energy and talents into a company that believes in their ability and potential.

In an era where technology and machinery are constantly evolving, investing in employee training is more important than ever, Gygi said. By empowering employees with the skills and knowledge they need to succeed, companies can drive innovation, improve productivity and foster a positive work culture. The long-term benefits of employee training continue to far outweigh the short-term costs.

Catherine Bennett is the managing director of marketing at iMpact Utah, a business transformation and training partner for Utah manufacturers. She is also the host of the “Making Utah” podcast.