Training is responsible for building skilled, qualified and capable people, which helps
organisations to improve their performance and adapt to any new change. This is why some
successful organisations spend a great deal on the Training and Development function;
however, organizations often train more employees than necessary, or the training investment
is "wasted" on the wrong employees. In USA, an estimated $50 billion is spent annually on
formal training, with an additional $90 to $120 billion on less-structure, informal training
(Broad & Newstrom, 1992, p.5, quoted in Cekada, 2010)