---
title: Why Employee Development Benefits Your Team and Your Business
description: It pays to invest in your employees. But just what is the ROI of investing in employees? Our HR expert explains why employee development is so important.
image: https://blog.axcethr.com/hubfs/why-small-businesses-should-invest-in-employee-development%20(1).webp
---

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Why Employee Development Benefits Your Team and Your Business

6:32

# Why Employee Development Benefits Your Team and Your Business

 By [Jeanette Coleman, SPHR & SHRM-SCP](https://blog.axcethr.com/author/jeanette-coleman) on [Mar 24, 2022](https://blog.axcethr.com/why-employee-development-benefits-your-team-and-your-business)   
 5 min read [4 Comments](https://blog.axcethr.com/why-employee-development-benefits-your-team-and-your-business#comments-listing)

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You’ve heard this before: Employees are a company’s most important asset. On almost all levels, that’s true. High-performing employees are crucial to business growth and prosperity. But if your employees aren’t qualified, capable and well trained, they won’t ever be the essential asset your company needs them to be.

Workplace skills aren’t one and done, either. As technology and business practices evolve, employees who may have had cutting-edge knowledge when they joined your organization can find themselves at the back of the pack if they don’t get professional development opportunities that keep their abilities fresh.

RELATED: [The Employee Learning Curve - Achieving Employee Development Success >>](https://blog.axcethr.com/the-employee-learning-curve-achieving-employee-development-success) 

The more skilled your workforce is, the more productive it is. Employees also become more engaged and loyal when they regularly participate in professional development opportunities.

Employees also become more engaged and loyal when they regularly participate in professional development opportunities. In fact, [LinkedIn’s 2024 Workplace Learning Report](https://learning.linkedin.com/resources/workplace-learning-report)found that employees who feel they aren’t developing their skills are **10 times more likely to look for a new job**, while organizations that prioritize internal mobility and continuous learning retain their employees **nearly twice as long**. Decreased turnover, combined with higher-performing employees, leads to increased revenue—making development a smart investment in both people and the bottom line.

[![what is the difference between attrition vs turnover](https://no-cache.hubspot.com/cta/default/2652187/9eb29951-bb91-4725-9ef6-1072317f68cb.png)](https://cta-redirect.hubspot.com/cta/redirect/2652187/9eb29951-bb91-4725-9ef6-1072317f68cb)

## How To Develop Employees

Employees, of course, are all different. Some are self-motivated, while others learn better if they’re mentored or asked to participate in a series of topical trainings. Offering a variety of development opportunities delivered through multiple means helps ensure everyone on your team has a chance to pick up new skills in the ways that are most effective for them.

Here are some of the best employee development methods for small and mid-sized firms committed to realizing their teams’ fullest potential:

- ### Employee Coaching
  
  [Regular check-ins and meetings](https://blog.axcethr.com/7-active-listening-techniques-and-5-ways-it-benefits-your-workplace) throughout the year – both formal and informal – as well as training and mentoring, all can be chances to develop your team. Besides providing[constructive feedback](https://blog.axcethr.com/five-proven-tips-for-building-strong-employer-employee-relationships), ask employees about their aspirations and help them create plans to achieve their career goals.  
    
    - Ensure that managers have the training and mentoring they need to contribute high-level skills such as[leadership](https://blog.axcethr.com/six-leadership-skills-no-good-manager-can-be-without), strategic planning, communication, critical thinking and the ability to articulate the company’s long-term vision. Managers cannot model and teach these abilities to those they supervise unless they first possess the skills themselves.
      
      A[professional employer organization (PEO)](https://blog.axcethr.com/peos-are-not-all-created-equal.-choose-wisely) like Axcet HR Solutions is an option for creating[leadership training programs](https://www.axcethr.com/services/human-resources/training-and-development/) that help managers and supervisors coach,[motivate](https://blog.axcethr.com/money-isnt-everything-how-to-motivate-employees-when-you-cant-pay-them-more) and empower employees.
      
      RELATED: [How a PEO Creates a Scalable HR Infrastructure for Small Businesses >>](https://blog.axcethr.com/how-a-peo-creates-a-scalable-hr-infrastructure-for-small-businesses)
    - Introduce or connect employees to internal or external role models, subject matter experts and other mentors who can broaden their perspectives and expand their expertise.

- - Use role-playing to teach skills required for specific situations, like diffusing an upset customer, in a low-stress setting. Such simulations let employees apply conceptual or textbook knowledge to real-world situations, giving them the confidence to handle scenarios they might encounter in real-time.
    - Have more seasoned employees – even peers – mentor newer, less-experienced employees. Mentoring can and should be executed at every professional level.
    - Be open to providing a third-party coach for individuals who may need to address[specific performance, behavioral or interpersonal challenges](https://blog.axcethr.com/toxic-employees-how-one-bad-apple-ruins-the-bunch) in the workplace.

RELATED: [How To Cross-Train Employees When Your Workforce is Remote >>](https://blog.axcethr.com/how-to-cross-train-employees-when-your-workforce-is-remote)

- ### Group Settings
  
    - For employees who do well in a classroom setting, offer instructor-led sessions on new skills, ways to improve job performance or how to become a more well-rounded professional.
    - Offer employees the chance to take relevant training courses in person or online. The pandemic proved that webinars and video conferences can be as effective as meeting in the same physical space.
    - Encourage employees to become involved in industry or job function-related professional associations and to attend these organizations’ conferences and member meetings. These events provide plenty of networking opportunities, as well as exposure to interdisciplinary experts and leaders. Topic-oriented meetings and breakout sessions expand attendees’ knowledge base of relevant subjects.

- ### Stretch Projects
  
  Sometimes the most effective development tool isn’t a class or workshop—it’s real work. When managers notice skill gaps or when employees express interest in growing in a particular area, a stretch assignment can provide the challenge needed to accelerate development.
  
  Stretch projects intentionally push the boundaries of an employee’s current role by assigning responsibilities that require new capabilities, problem-solving approaches, or leadership behaviors. According to [Korn Ferry’s research on the 70-20-10 learning model](https://www.kornferry.com/insights/this-week-in-leadership/702010-learning-model), **challenging job experiences—such as stretch and rotational assignments—account for roughly 70% of how employees learn and grow**, making them the single most impactful development method. These hands-on experiences often produce deeper, longer-lasting learning than mentoring, formal training, or even increased exposure to senior leaders.
  
  Stretch assignments can be:
  
    - **Horizontal** – broadening an employee’s skill set by assigning work similar to—but outside the scope of—their current responsibilities.  
      *Example:* Having a payroll specialist assist with implementing a new HRIS feature or participate in a cross-departmental compliance project.
    - **Vertical** – expanding the level of responsibility by moving work upstream or downstream from the employee’s current role.  
      *Example:* Asking an HR generalist to lead an onboarding program redesign or giving a high-performing team member responsibility for managing part of a project budget.
  
  Examples of high-impact stretch projects include:
  
    - Leading a cross-functional team to solve a business challenge
    - Piloting a new product, service, or process
    - Managing a project that involves unfamiliar technology or stakeholders
    - Representing the company in a community partnership or industry group
    - Designing or improving a workflow that affects multiple departments
    - Standing in for a supervisor during an absence or transition
  
  When structured well—with clear goals, support, and a manageable level of risk—stretch assignments boost confidence, build leadership readiness, improve engagement, and help employees gain visibility across the organization. For employers, they create a stronger internal talent pipeline, reduce turnover, and strengthen organizational agility.

RELATED: [How To Avoid Promoting the Wrong Person >>](https://blog.axcethr.com/how-to-avoid-promoting-the-wrong-person)

Self-directed online coursework, on-the-job training and tuition reimbursement are other ways you can foster employee development and differentiate your company in a highly competitive labor market.

[![Organizational Development Consulting](https://no-cache.hubspot.com/cta/default/2652187/interactive-189255892237.png)](https://blog.axcethr.com/hs/cta/wi/redirect?encryptedPayload=AVxigLLLc2MCozesw0VJiu9dhSOq4NTIq%2B6%2BYX7dVRYsLVKwW%2FwrEII59%2BofpC9vFR62UvbtOq5hrp4Et9rPE8NNPIGd3zAl9%2Bu2UxCUQhzsQ5z34OiU9VRhwLCc1cH1DiaIpCzAXawzsdtW6AkJ6x940zDfhhYmh5aQ3tuMYPGY6jrRri2jKEpOCuG8oQAxxQ6%2BKXo%2F568SovPpvCxQE0LmdhYRi1V8X8hrvZBQfxlQqkOFe65kGWzhNkpIXxjHt5aibkal8iGXWqUwqAkD4nAewPshixs%3D&webInteractiveContentId=189255892237&portalId=2652187)

Making employee development an ongoing part of your business processes creates a mindset of continuous improvement. That commitment helps employees continue growing and learning and rewards your company with a[healthier culture](https://blog.axcethr.com/how-an-employee-relations-strategy-supports-your-companys-culture), higher-performing workforce and improved bottom line.

For more information on how Axcet HR Solutions supports your business with strategy and organizational development [visit our website](https://www.axcethr.com/services/human-resources/organizational-development/).

[![Human Resource Solutions: You have HR questions. We have HR services.](https://no-cache.hubspot.com/cta/default/2652187/87a64bc7-3a37-4adc-8fa2-838ecde39634.png)](https://cta-redirect.hubspot.com/cta/redirect/2652187/87a64bc7-3a37-4adc-8fa2-838ecde39634)

[![Jeanette Coleman, SPHR & SHRM-SCP](https://blog.axcethr.com/hs-fs/hubfs/Jeanette-04.jpg?width=80&height=80&name=Jeanette-04.jpg)](https://blog.axcethr.com/author/jeanette-coleman)

Written by

#### [Jeanette Coleman, SPHR & SHRM-SCP](https://blog.axcethr.com/author/jeanette-coleman)

Jeanette Coleman, SPHR, SHRM-SCP, is the Director of Human Resources at Axcet HR Solutions, where she has contributed her expertise for over 21 years.

As a leader in the HR industry, she holds advanced certifications as a Senior Professional in Human Resources (SPHR) and SHRM-Senior Certified Professional (SHRM-SCP). Jeanette oversees HR strategy and operations, ensuring Axcet delivers exceptional HR services that help small and mid-sized businesses stay compliant and grow.

With a Master’s degree in Human Resource Management from Keller Graduate School and a Bachelor of Science in Business Administration from Kansas State University, Jeanette is well-equipped to lead and support clients in navigating complex HR challenges.

Throughout her 15-year tenure as Director of Human Resources, she has been instrumental in positioning Axcet as the Midwest’s largest and premier Professional Employer Organization (PEO). Her previous roles at Axcet include Director of Employee Benefits and Senior HR Consultant, where she gained extensive experience in HR outsourcing, and employee risk management.

Jeanette’s expertise has been recognized through industry and regional publications. She co-authored the article “High-Touch in the Age of High-Tech: How PEOs Can Embrace AI Without Losing Their Humanity” (https://peoinsider.org/articles/high-touch-in-the-age-of-high-tech-how-peos-can-embrace-ai-without-losing-their-humanity/) for PEO Insider (March 2026), alongside Jo McClure, and was featured in Ingram’s Magazine in a Q&A (https://ingrams.com/article/qa-with-jeanette-coleman/) discussing generational change, technology, and workplace culture. These contributions reflect her perspective on balancing innovation with the human side of HR.

Jeanette’s leadership reflects her deep commitment to helping businesses thrive through strategic, compliance-driven HR solutions. Through her writing, she shares insights on HR strategy, compliance, and best practices to help employers confidently manage their workforce.

 Published in: PEO Insider and Ingram's

Read more

<https://www.axcethr.com> <https://www.linkedin.com/in/jeanette-coleman-sphr-shrm-scp-a40a537/> [View all posts →](https://blog.axcethr.com/author/jeanette-coleman)

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  "alternativeHeadline" : "You’ve heard this before: Employees are a company’s most false",
  "articleBody" : "You’ve heard this before: Employees are a company’s most important asset. On almost all levels, that’s true. High-performing employees are crucial to business growth and prosperity. But if your employees aren’t qualified, capable and well trained, they won’t ever be the essential asset your company needs them to be. Workplace skills aren’t one and done, either. As technology and business practices evolve, employees who may have had cutting-edge knowledge when they joined your organization can find themselves at the back of the pack if they don’t get professional development opportunities that keep their abilities fresh. RELATED: The Employee Learning Curve - Achieving Employee Development Success &gt;&gt; The more skilled your workforce is, the more productive it is. Employees also become more engaged and loyal when they regularly participate in professional development opportunities. Employees also become more engaged and loyal when they regularly participate in professional development opportunities. In fact, LinkedIn’s 2024 Workplace Learning Report found that employees who feel they aren’t developing their skills are 10 times more likely to look for a new job, while organizations that prioritize internal mobility and continuous learning retain their employees nearly twice as long. Decreased turnover, combined with higher-performing employees, leads to increased revenue—making development a smart investment in both people and the bottom line. How To Develop Employees Employees, of course, are all different. Some are self-motivated, while others learn better if they’re mentored or asked to participate in a series of topical trainings. Offering a variety of development opportunities delivered through multiple means helps ensure everyone on your team has a chance to pick up new skills in the ways that are most effective for them. Here are some of the best employee development methods for small and mid-sized firms committed to realizing their teams’ fullest potential: Employee Coaching Regular check-ins and meetings throughout the year – both formal and informal – as well as training and mentoring, all can be chances to develop your team. Besides providing constructive feedback, ask employees about their aspirations and help them create plans to achieve their career goals. Ensure that managers have the training and mentoring they need to contribute high-level skills such as leadership, strategic planning, communication, critical thinking and the ability to articulate the company’s long-term vision. Managers cannot model and teach these abilities to those they supervise unless they first possess the skills themselves. A professional employer organization (PEO) like Axcet HR Solutions is an option for creating leadership training programs that help managers and supervisors coach, motivate and empower employees. RELATED: How a PEO Creates a Scalable HR Infrastructure for Small Businesses &gt;&gt; Introduce or connect employees to internal or external role models, subject matter experts and other mentors who can broaden their perspectives and expand their expertise. Use role-playing to teach skills required for specific situations, like diffusing an upset customer, in a low-stress setting. Such simulations let employees apply conceptual or textbook knowledge to real-world situations, giving them the confidence to handle scenarios they might encounter in real-time. Have more seasoned employees – even peers – mentor newer, less-experienced employees. Mentoring can and should be executed at every professional level. Be open to providing a third-party coach for individuals who may need to address specific performance, behavioral or interpersonal challenges in the workplace. RELATED: How To Cross-Train Employees When Your Workforce is Remote &gt;&gt; Group Settings For employees who do well in a classroom setting, offer instructor-led sessions on new skills, ways to improve job performance or how to become a more well-rounded professional. Offer employees the chance to take relevant training courses in person or online. The pandemic proved that webinars and video conferences can be as effective as meeting in the same physical space. Encourage employees to become involved in industry or job function-related professional associations and to attend these organizations’ conferences and member meetings. These events provide plenty of networking opportunities, as well as exposure to interdisciplinary experts and leaders. Topic-oriented meetings and breakout sessions expand attendees’ knowledge base of relevant subjects. Stretch Projects Sometimes the most effective development tool isn’t a class or workshop—it’s real work. When managers notice skill gaps or when employees express interest in growing in a particular area, a stretch assignment can provide the challenge needed to accelerate development. Stretch projects intentionally push the boundaries of an employee’s current role by assigning responsibilities that require new capabilities, problem-solving approaches, or leadership behaviors. According to Korn Ferry’s research on the 70-20-10 learning model, challenging job experiences—such as stretch and rotational assignments—account for roughly 70% of how employees learn and grow, making them the single most impactful development method. These hands-on experiences often produce deeper, longer-lasting learning than mentoring, formal training, or even increased exposure to senior leaders. Stretch assignments can be: Horizontal – broadening an employee’s skill set by assigning work similar to—but outside the scope of—their current responsibilities. Example: Having a payroll specialist assist with implementing a new HRIS feature or participate in a cross-departmental compliance project. Vertical – expanding the level of responsibility by moving work upstream or downstream from the employee’s current role. Example: Asking an HR generalist to lead an onboarding program redesign or giving a high-performing team member responsibility for managing part of a project budget. Examples of high-impact stretch projects include: Leading a cross-functional team to solve a business challenge Piloting a new product, service, or process Managing a project that involves unfamiliar technology or stakeholders Representing the company in a community partnership or industry group Designing or improving a workflow that affects multiple departments Standing in for a supervisor during an absence or transition When structured well—with clear goals, support, and a manageable level of risk—stretch assignments boost confidence, build leadership readiness, improve engagement, and help employees gain visibility across the organization. For employers, they create a stronger internal talent pipeline, reduce turnover, and strengthen organizational agility. RELATED: How To Avoid Promoting the Wrong Person &gt;&gt; Self-directed online coursework, on-the-job training and tuition reimbursement are other ways you can foster employee development and differentiate your company in a highly competitive labor market. Making employee development an ongoing part of your business processes creates a mindset of continuous improvement. That commitment helps employees continue growing and learning and rewards your company with a healthier culture, higher-performing workforce and improved bottom line. For more information on how Axcet HR Solutions supports your business with strategy and organizational development visit our website.",
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