HR in Out of Home
The Importance of Employee Development: Unlocking Potential
by Janea S. McDonald, PhD, PHR, SHRM-CP
janea@edgehrconsulting.com www.edgehrconsulting.com
Employee development is critical to a company’s success, especially in fast-evolving fields like OOH, where staying competitive requires adaptability, innovation, and a skilled workforce. Investing in employee development not only enhances individual performance but also elevates overall organizational effectiveness. When companies in the OOH industry ignore development, they risk stagnation, high turnover, and ultimately losing their competitive edge. This article will demonstrate why developing employees is essential, how to do it effectively, and the consequences of neglecting this important aspect of workforce management.
Why Employee Development Matters
In the OOH industry, which includes everything from billboards to digital screens and experiential marketing, technology and trends evolve rapidly. For example, the industry has seen a massive shift towards digital and data-driven advertising, demanding new technical skills and adaptability. When employees are given opportunities to develop these skills, they’re not only more equipped to contribute to current goals but are also better prepared to adapt to future changes.
Developing employees fosters a sense of belonging and investment. When workers feel valued, they’re more likely to stay with their company and put in the extra effort, which can reduce turnover—a significant benefit in an industry where knowledge and experience with specific advertising formats or regulatory requirements can be costly to replace. Additionally, well-developed employees bring creative insights and fresh ideas to the table, which are critical in the OOH space, where unique, attention-grabbing campaigns are paramount.
How to Develop Employees Effectively
Successful employee development strategies involve continuous learning, tailored programs, and skill-building opportunities. Here’s how companies can foster an environment that nurtures growth:
Identify Skills Needed for the Future: Emerging trends like programmatic advertising, data analytics, and interactive digital signage are shaping the future. An effective development strategy begins with identifying these skill gaps and aligning training with future goals. This forward-thinking approach ensures employees are not only meeting current demands but are also prepared to lead the industry in new directions.
Invest in Ongoing Training and Development Programs: Ongoing training could involve workshops, online courses, or mentorship programs. Employees should have the opportunity to develop their people skills and technical skills. OOH is a relationship industry which requires the ability to create and maintain effective relationships with a variety of people. Most people need guidance and reminders of how to do that. In addition, most managers are promoted due to the fact they are good at their jobs – but have no idea how to manage people, leading to conflict, turnover, and other undesirable outcomes. Technical training on the latest digital software or analytic tools can be invaluable. Providing employees with access to external resources like certifications in digital marketing or data science will also strengthen the company’s expertise.
Encourage Mentorship and Cross-functional Collaboration: Knowledge transfer is crucial where expertise in regulatory compliance, creative design, and technical implementation must work in harmony. A structured mentorship program, particularly between senior and junior staff, can facilitate skill-sharing and ensure that specialized knowledge stays within the company.
Create Opportunities for Growth and Promotion: Offering a clear path for advancement gives employees a sense of purpose. When employees can see that their efforts in development will lead to promotion or new responsibilities, they are motivated to engage fully. Development doesn’t only mean vertical promotion; consider lateral moves that allow employees to build a more comprehensive skill set.
Provide Real-time Feedback and Encourage Self-directed Learning: Regular feedback is essential for personal growth, as it provides employees with actionable insights into areas where they can improve. Encourage employees to take ownership of their development by providing resources and incentives for self-directed learning, such as subscriptions to online learning platforms.
The Consequences of Neglecting Employee Development
When organizations neglect employee development, the impact is often felt across multiple areas, from productivity to morale. The effects can be particularly damaging.
Higher Turnover Rates: Employees who feel stagnant or undervalued are more likely to seek opportunities elsewhere. The OOH industry is specialized, and when experienced professionals leave, replacing them with individuals who need time to learn the nuances can be costly and disruptive. (Did you know that the cost of losing an employee can be up to DOUBLE that employee’s yearly salary, depending on their role in the organization?)
Reduced Innovation and Competitiveness: Innovation is essential for staying relevant. Without proper development, employees may lack the skills needed to propose creative, forward-thinking solutions, leaving the company behind as competitors push boundaries.
Decline in Morale and Engagement: A lack of development opportunities can lead to disengagement. Employees who don’t feel challenged or appreciated often contribute less, leading to a decrease in productivity and morale. A disengaged workforce can create a ripple effect, dampening overall team performance. (Did you know that disengaged employees can cost the company 18 – 34% of their annual salary due to the negative performance behaviors associated with not being engaged?)
Loss of Industry Knowledge: Expertise can be a competitive advantage. If companies fail to pass on knowledge from seasoned employees or keep staff updated on industry advancements, they risk losing industry knowledge, which is a very valuable asset. Training and development ensure that industry knowledge is shared, retained, and built upon rather than lost.
In conclusion, investing in employee development should be a strategic priority for companies because it enables them to remain competitive, innovative, and resilient in the face of change. By focusing on relevant skills, providing continuous learning opportunities, and creating pathways for growth, companies can unlock the full potential of their workforce. Ignoring development, on the other hand, risks high turnover, diminished innovation, and a weakened industry position. For any OOH company looking to thrive in today’s dynamic advertising landscape, prioritizing employee development is a smart and essential choice.
While you are planning for your 2025 growth initiatives, are you including plans to develop your people in a means to better your organization? Trust me, it works. If people employee development is on your “to do” list, let me know if you need some help or guidance.
Contact me: Janea at janea@edgehrconsulting.com. Visit www.edgehrconsulting.com
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