Finance directors in the past may have been slow to value enhanced employee engagement, broadening diversity and improving retention, when looking at their organisations through the lens of a P&L account.
But increasingly, FDs are becoming more in tune with valuing every area that can give their organisation competitive advantage.
In an age where so much value is created by people – especially through harnessing technology – they are becoming more focused on ways to understand the contribution of their staff to the long-term value creation of their organisations.
In doing so, FDs are becoming more proactive about measuring and developing the talent within their organisation rather than automatically outsourcing this process to HR.
Last April saw the launch of the Apprenticeship Levy, which requires companies with pay bills exceeding £3 million a year to pay of 0.5% of the total bill (minus an annual “levy allowance” of £15,000).
Although some FDs may have been initially reticent, an increasingly positive approach to developing human capital has meant that more and more FDs are recognising the Levy’s benefits. For a start, the Levy can be used for existing employees, as much as new trainees.
Under the system as currently set up, each employer will have to register for a Digital Apprenticeship Service account, where Levy amounts will be topped-up with a further 10% from government, creating a funding pot to spend on apprenticeship training.
Within finance itself, the FD can use the Levy to support the training for staff that is already taking place through professional qualifications such as ICAEW, ACCA and CIMA.
This week is National Apprenticeship Week, which focuses on the importance of employers and potential apprentices to meet and discuss the options available for both parties. The theme is ‘Apprenticeships Work’, to showcase how they work for individuals, employers, the community, and for the wider economy.
Manoj Badale on embracing the Apprenticeship Levy
Manoj Badale, co-founder of Blenheim Chalcot and Arch Apprentices, discusses the advantages of business leaders embracing the Apprenticeship Levy. He advises them to see it as an opportunity to grow and develop their businesses by bridging skill gaps, specifically new talent in the digital sector. Read more here.
The Apprenticeship Levy explained
How have finance directors adapted to the Apprenticeship Levy? Justin Rix, who has led Grant Thornton’s Apprenticeship Levy readiness programme since 2015, shares his thoughts.
How the Apprenticeship Levy can increase your cyber security
Stefano Capaldo, managing director of Firebrand, explores how CFOs can manage budgets to fill the cyber-skills gap through the Apprenticeship Levy.
How apprenticeships can boost social mobility
As the gap between the rich and everyone else grows, apprenticeships are a way to enable social mobility. This article looks at some of the UK’s most prestigious firms, who are already taking a lead and have pinpointed apprenticeships as a way to tackle social mobility.
Apprenticeship Levy: burden or opportunity
In this exclusive White Paper from Arch Apprentices, you will learn how you can turn the Levy into a digital opportunity; evaluate whether to go alone or partner up; learn the key Apprenticeship Standards to help you fill your gap; and navigate the challenges that lie ahead.
Arch Apprentices co-founder on social responsibility
Manoj Badale, co-founder Blenheim Chalcot and Arch Apprentices, urges CEOs, CFOs and other business leaders to acknowledge the current number of unemployed young people, and how this issue can be eradicated by integrating apprenticeships within their overall business agendas by using the Apprenticeship Levy.