Senior executives understand that a highly skilled workforce is a strategic differentiator. The data from more than 400 organizations contained in ASTDs 2011 State of the Industry Report demonstrate that organizations are investing strongly in their human capitalper employee spending on learning was up 13 percent, from $1,081 in 2009 to $1,288 in 2010. In this first 2012 issue of LX Briefing I am happy to share this good news with you. It is encouraging to see that even with the rocky global economy there was a demonstrated financial commitment to employee learning and development. As businesses navigate through the recovery it will be incumbent upon organizations in all sectors to train and reskill their workforce to position themselves for success. The findings in ASTDs State of the Industry Report show there is executive support and understanding that learning matters. Id like to share some of the most compelling findings of the report with you.

The 2011 State of the Industry Report collected data from more than 400 organizations across all major industries. Of the $171.5 billion spent on employee learning and development, 60 percent, or $103 billion, was spent on the internal learning function, and the remaining $68.5 billion went to external services.

Other key findings include

  • Learning expenditures per employee averaged $1,288 in 2010, up 13 percent from 2009. This is the largest reported consolidated direct expenditure per employee since ASTD began collecting this data. Direct learning expenditures for learning as a percent of payroll increased from 2.2 to 2.7 percent, the highest level ever recorded by ASTD.
  • Instructor-led classroom delivery continues to be the most widely used delivery method. About 70 percent of all training was delivered in the classroom and 60 percent of this was delivered by live instruction.

The continued commitment to learning and development also is reflected in ASTDs Learning Executive Confidence Index. The just-released Q4 2011 data show a slight increase in confidence to 66.6 from 65.9 in Q3, indicating that learning executives are increasingly confident about the learning functions positive impact on corporate performance in the next six months.

Please share your thoughts with me on these findings and whether executive confidence and the growth in spending mirror what is happening in your organization.

Thank you for your commitment to our profession. From all of us at ASTD, we wish you a prosperous 2012.