High value apprenticeships offer entry routes to employment, help people re-skill and change career, increase skill levels and workers’ wages, and enhance productivity which boosts economic growth. Get them right, and the positive outcomes are almost guaranteed.
However, a new Social Market Foundation report, Making Apprenticeships Work, has highlighted a large variance in the effectiveness of apprenticeships from industry to industry. It seems not every apprenticeship is created equal.
For example, despite the growing uptrend in apprenticeships in hairdressing, care work and hospitality, the value of apprenticeships in these professions is historically lower in terms of returns to both the apprentice and the economy.
At the other end of the scale, companies enjoying the most return from high value apprenticeships are those operating in construction, engineering and manufacturing.
This news comes as no surprise to us. Cidori works in partnership with a number of clients in these sectors, delivering bespoke apprenticeships programmes that we know are reaping major financial, cultural and operational rewards.
Value to business
As part of our collaboration with Lear Corporation we’ve helped the automotive giant scope a Business Improvements Techniques (BIT) apprenticeship training programme to boost staff retention and engagement, improve succession planning, and increase both operational efficiency and profitability.
More than 100 apprentices at its Coventry plant are working on projects designed to build a wide range of skillsets and benefit the company by improving the smooth running of production lines, making the workplace safer, and reducing unnecessary waste and costs. The programme is now being rolled out to Lear operatives and line managers at other sites across the country.
“Our aim is to give apprentices the skillset as well as the opportunity to make improvements that will have a significant impact on our business, help build our talent pipeline, and develop their careers. Our partnership with Cidori helps us achieve this.”
Adam Ford, Continuous Improvements Manager, Lear
Grupo Antolin on the other hand, is enjoying substantial benefits from the BIT apprenticeship programme we’ve designed that effectively utilises Lean working methodologies to reduce waste and improve outside storage. The work done by the apprentices in this project has been key to the success. Relocating the off-site storage warehouse facility to an on-site one has led to Grupo Antolin making an initial annual cost savings of £192K, rising to £254K per year.
“It is really important to find a good training provider that helps you deliver results that are beneficial to not only the business but to the learners and I feel we have found that in Cidori. We are now going into our 3rd successful year of the programme, each year delivering key results for the business.”
Jessica Rawlinson-Hunt, HR and L&D Advisor, Grupo Antolin
Successful apprenticeships also offer real payback to the individuals involved. We live in uncertain times and currently this is particularly affecting the automotive sector. We’ve all read about the unscheduled shutdowns, reductions in demand and job losses associated with Brexit uncertainties, and this can clearly affect workforce morale and engagement.
Cidori believes that such challenges present a real opportunity for employers to derive significant benefits from investing their Apprenticeship Levy, and that this demonstration of continued investment in their workforce creates a more settled environment whist increasing skills and deploying their levy pot.
Lear’s apprenticeship programme for example has at its core a clear priority to build a culture of trust amongst all employees; one that has already seen team morale and staff retention improve. By engaging the workforce bottom-up, Lear’s staff are now fully ‘bought-in’ to company objectives. Not only does this make them feel engaged and valued, it’s giving them the confidence and insight to put forward numerous improvement suggestions to senior management to run the business more efficiently.
Value for SMEs
And it’s not just larger Levy paying businesses and their employees that stand to gain. Smaller and medium sized automotive firms also benefit from high quality apprenticeship programmes across many aspects of their operations. All the more achievable with the recent news that the government has just announced SME’s contribution towards apprenticeship training is to be halved.
Non levy-paying businesses (those that have a wage bill of less than £3m per year), can now access extra funding through the shared Government-employer co-investment scheme. Government contributions have now increased to 95%, meaning non levy-paying organisations will now only pay a 5% contribution to fund their apprenticeship programme.
Whichever way you look at it…apprenticeships make sound business sense.
Value to the sector
If your automotive business, regardless of size, is interested in the value apprenticeships can bring, then a conversation with Cidori is the best place to start. Proud to be an Associate Member of SMMT, we are looking to help more automotive partners achieve the substantial business benefits that value-led, high quality apprenticeship programmes offer this sector.
“Cidori is delighted to become SMMT Associate Members and proud to be the only training and workforce development consultancy within this highly respected body. This recognition underscores Cidori’s key role in providing our automotive partners with a comprehensive service that delivers effective levy funded apprenticeships, measurable cost reductions and increased employee engagement. We look forward to supporting the SMMT community as together we develop and deliver funded and commercial training programmes that ignite careers and transform workplaces.”
David Murfitt, Cidori
Apprenticeships are working
- With a bespoke apprenticeship programme from Cidori, you will:
- Learn from the best on-the-job training in your workplace with dedicated, highly qualified tutors
- Be fully accredited Level 2 nationally recognised qualifications, delivered in partnership with an outstanding college
- Get apprenticeships for everyone bespoke apprenticeship programmes for current employees as well as new recruits
- Enjoy maximum flexibility apprenticeships that cover hundreds of job roles, service areas and responsibilities
- Help your talent grow cost-effective, funded development of your talent pipeline & upskilling existing employees
- Reap the rewards achieve massive financial, operational and HR benefits year on year
Find out more
CIDORI delivers bespoke apprenticeships developed in partnership with Gateshead College; RoATP accredited, Ofsted rated ‘Outstanding’, and ranked the best performing college in England for post 16 education and training in 2019.
For a no-obligation discussion on how your business can benefit from a Cidori bespoke apprenticeship programme please contact: