Financial Services Skills Council scheme proves training increases profits

Training of staff in the financial sector produces a significant increase in business - sometimes up to a ten-fold return in investment - according to initial results from a pilot accreditation scheme by the Financial Services Skills Council (FSSC). One company involved in the pilot project, Norwich Union Life, experienced a 24% increase in self-generated appointments and an overall increase in sales productivity of 27% in just five weeks after a training event that was part of the FSSC scheme, Accreditation of Training Excellence (ATE).

The link between training and company profits emerged as part of an accreditation scheme being developed by the Financial Services Skills Council which will give recognition to firms, training providers and sole traders who can demonstrate that their investment in training produces a solid business outcome. Companies who meet the standards will earn a Financial Services Skills Council Accreditation award and will be listed as an accredited firm by the FSSC. The accreditation scheme will begin in spring 2005 following the completion of the pilot projects in January 2005.

Norwich Union Life and Aon Ltd Reinsurance, who have taken part in the pilot accreditation scheme, will be the first to be awarded Exemplar Status by the FSSC in recognition of their continued commitment to the demonstration of training excellence and support to the FSSC in the development and promotion of these standards.

Jim Colgan, Head of Sales at Norwich Union Personal Finance said: ìOften we donít give the training side of our business credit for what they are doing. They donít just respond - they identify threats to the business and alert me to them. 20% of my business would not exist if it were not for the Training and Competence department. I estimate that training gives a ten-fold return on our investment.î

Jackie Aggett, Operations Director of Aon Limited Reinsurance, said: ìDuring the last two years our organisation went through a process of building an integrated management system where training and development initiatives are linked directly to our business priorities and the needs of our clients. From our point of view, taking part in the accreditation scheme was an excellent opportunity to conduct an independent, expert review of the progress we have made so far. We are delighted with the outcome and look forward to working with the Skills Council in the future.î

The FSSC, which gained its licence from the government as a Sector Skills Council earlier this year, aims to ensure the quality and value of training so that people can acquire the skills they need, and to promote the idea of investing in training to meet the needs of the business. The accreditation scheme provides a valuable means of measuring the effectiveness of training. For information on the Accreditation of Training Excellence scheme and how financial institutions can be involved, please e mail info@fssc.org.uk .