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Training Cost Analyzer

Training Cost Analyzer

When you are considering the most economical way to train your staff, should you hire an outside training professional or have your management conduct in-house training? What makes the most financial sense?

Assuming your Sales Manager spends 15% of his (or her) time training your sales staff and 85% of his time managing the department and selling his own accounts.

Your Sales Manager’s
Example
Your Situation
1 Total Annual Compensation
(Salary, Benefits, Commissions, Expenses)
$100,000
$___________
2 Compensation for Training
($ 100,000 x 15%)
$15,000
$___________
3 Total Annual Sales
(in the last 12 months)
$1,000,000
$___________
4 Annual Work Hours
(50 hrs/wk x 48 wks/yr)
2,400 hrs
_________ hrs
5 Average Sales/Hour Rate
($ 1,000,000 / 2400 hrs)
$417/hr
$_________/hr
6 Time Spent Training
(2400 hrs x 15%)
360 hrs
_________ hrs
7 Sales Lost During Training
($ 417 x 360 hrs)
$150,000
$___________
8 Use of Your Training Budget
($ 10,000 for example)
$10,000
$___________
9 Total Training Expense
$175,000
$___________
10 Trainee Sales Gained/Lost
During Training
? $_______
$___________
11 Total Training Impact
+- $175,000
$___________


Does it make financial sense to expect your sales manager to conduct in-house training along with his or her other duties? Simonsen Sales & Marketing’s training is designed to save training expense while maximizing sales growth and your employees’ time to make that sales growth happen! …It’s a bargain!