Not Information Technology …Information Solutions

How To Understand What Your In-Service Training Program Really Costs You

Augury Network Advisors, LLC

As a provider of support or care services, you know that your entire Direct Support staff requires continual training.

First-year employees need critical training in their first 90 - 180 days.

Veteran employees must be recertified annually or biannually.

New employees need to be oriented on their first day.

How do you meet

allthose

training needs?

Most care provider agencies conduct In-Service programs using conventional training methods.

Classroom-based

Instructor-led

At corporate headquarters

During non-prime working hours: late afternoon, early evening

Every aspect of

this approach

has a cost.

= Mileage, Travel time

= Facilities costs, space

= Trainer salary, prep

= Salary, overtime, substitutes’ salary, meals

Let’s analyze these costs more thoroughly…

Trainees(that is, employees)• New hire employees• Veteran employees

Trainers (typically, also employees)• Seasoned, experienced employees

• Sometimes outside contractors

and Training Resources• Classroom and fixtures

• Class consumables: handouts, books

Three Categories of Costs

Trainee Costs

Costs per individual trainee

Travel expense• Mileage• Time

Meals / refreshments during training session

Salary compensation during training session

Salary compensation for worker substitution

And when employees have to cover shift assignments …

+

+=

+

Starting with

Costs per individual

trainer

Trainer CostsThen looking at

=

Travel expense• Mileage• Time

Meals / refreshments during training session

Salary compensation during training session

+

+

Costs per training

resource

Operating cost of allocated or dedicated floor space

Consumable course materials

+

Facilities CostsAnd finally

=

Total Training Costs For A Year?Annual costs rise with number of class

sessions held during the year

Class sessions are driven by …• number of topics

Class sessions are driven by …• class size capacity

Class sessions are driven by …• number of trainees who must attend

1 topic per class

No more than “x” trainees at a time

New hire requirementsVeteran re-certification requirements

employees Number of sessions

mileage

meals

Covered salary

Overtime

Shift coverage hours

Training hours New hires

Turnover rate

compensation

Classroom capacity

Attendance rate

Repeat classroom sessions

Unit cost

Extended cost

With so many contributing

factors, how can you calculate a

complete picture of costs?

By using a model…

A financial model organizes those parameters, and their dependencies.

A model lets you experiment with different values as inputs, in order to study the impact on the outputs.

A model produces projections of your in-service training program …

… so we built a model

Inputs

Outputs

Comparisons

based on 27 parameters you can adjustthat instantly projects your costs

and compares the impact of several factors…

… letting you quickly devise various “what if” scenarios and evaluate cost effective

alternatives to ongoing in-service training program costs.

AND IT’S FREE !

Visit www.augurynet.com/training to download a free copy of our Conventional Training Costs Analysis, and simply open it on your own computer as a Microsoft Excel workbook. Enter the details from your own

enterprise and see what your in-service training programs really cost.

And keep in mind, it could cost less. Augury knows.

Not Information Technology …Information Solutions

Augury Network Advisors, LLC

[ www.augurynet.com ]