Most HR managers genuinely believe strategically planned staff training play a major role in addressing the challenges inevitable in the wake of an economic slowdown. These same managers would also genuinely agree that in practice IT training is one the first budgets to be cut during economic downturn after freezing recruitment. (Just in case a definition: A recession is when the economy shrinks for 2 consecutive quarters. A depression is when the economy shrinks by more than 10%). If you do can’t remember what a recession looks like here is a quick reminder of the last recession to hit the UK economy in the late 1980’s.

In the beginning, no one was sure that the recession was really going to happen. Some the news agencies felt that the UK economy might weaken but not really experience a real downturn. Then from all the experts and news media it seemed were suddenly agreed that we were in recession.

Certain things never seem to change much during a downturn. Although everyone agrees that cutting training budgets during economic downturns causes as many problems as it solves it always happens. Everyone knows that with fewer people it is essential to have a competent, multi-skilled workforce the training budget is high on the list of cuts when streamlining a business operation for recession.

Put another way if companies are asked to do more with less as recession looms that challenge will be passed on to training companies.

The most obvious challenge is price pressures. All questions regarding the course bookings hinge on the price to the putting all other concerns into the shade.

Pressures on the numbers attending 6, 8, 10… as the maximum begin as HR managers want to reduce the cost per head.

The length of the training day grows with earlier starts and finishes. The time for exercises also comes under pressure as companies want more content in shorter periods of time with more condensed course contents.

Where these are reasonable requests of course the training company needs to be flexible but neither do you want to damage your long term reputation by delivering an over long course to a large group of mismatched trainees with little time to practice their skills.

Being Adaptable without compromising your standards is the key requirement from IT training suppliers when times are challenging. Training managers will also expect their suppliers to adapt quickly and efficiently to their changing needs during an economic downturn. For example it might be ideal that everyone has hands on session for new features of Excel 2007 but only practical to deliver an auditorium session for 50. Hands on training only for a smaller group for feel they really need it on request.

The acceleration of e-learning as a substitute for classroom training will also be magnified in a prolonged downturn. With the increased development of e-Learning tools and web based learning systems it might be time to ensure that all members of your team can develop and deliver outside the classroom if you weak in this area. With much reduced budgets using selection of training tools and methods training companies must be able to produce and adapt materials to suit a variation of situations. Why fly to Glasgow to deliver the course when training over the telephone might be sufficient. You need to equip your team with the skills that they need to help your company survive the recession

Lateral thinking and flexibility are the keywords. Maybe a trainer can work on a service desk. We once had a client who saved most of the non urgent Microsoft end user calls up for the Friday and then a trainer would mop up the calls. These calls often flagged up a requirement for training. Another client required Excel training 1 to 1 with a client on Eurostar going to Paris where the trainer then stays on the trains and delivers another session on the way back. A third client wanted a trainer who could deliver 90 minute sessions on any MS Application to any level 1 to 1 with the option of changing the sessions and trainees on the day. To satisfy that demand you would need to ensure that all trainers know all the applications just in case a Word Intro becomes a Project Session at the last minute.

Flat rates are better in these circumstances you can tell the client that if the request is within the trainer’s capacity they will deliver.

Why not let the client dictate start and finish times for courses. Six hours training 9:30 to 4:30 or 8:00 to 3:00 or 11: to 18:00 whatever suits the client.


In addition, now is the perfect time to negotiate better prices with your suppliers and freelancers if you use them.

There may not be many new contracts but you may be able to think of new changes to existing ones within existing products.

Concentrate on offering good value to your existing customers as well as those of your competition. During difficult economic times, companies that make it through are those that focus on good value and fundamentally improve the way they operate.

Focus on value internally as well as in the services you provide to others. How can you do more internally with less?

What investments will actually save money? What expenditure will generate returns? What skills will your team need to provide better value? If January is quieter than normal this might be the perfect chance for cross training in new products, developing more advanced skills and updating existing course materials.

Companies tend to focus more on value during tough economic times training companies must offer a product that will offer the best value in the market. This is your chance to make your training company stand out.