As we already know, effective leadership training is critical to a healthy and harmonious workplace. The benefits strengthen teams and individuals throughout the organization. Let’s take a look at one of the benefits that every business owner, CEO, and shareholder cares about: businesses that invest in better-trained leaders can expect increases in overall productivity that more than pay for the cost of that training.

Studies back that up.

One of the most eye-opening studies even to this day was conducted in the 1990s by The Association for Talent Development. They examined 575 organizations that had invested in leadership training and what they found was remarkable.

Those companies reaped 218 percent more income per employee than companies that didn’t offer formal training, the study found. The same study also determined that businesses that invested in training had profit margins that were 24 percent higher than those of competitors who spent less.

The greatest factor in most companies’ profitability is retaining long-term clients. The best way to keep customers is with good service and quality work. That, in turn, takes motivated and engaged employees. What motivates and engages employees? Well-trained leaders.

This brings us back to the importance of leadership training. According to UC Berkeley Corporate Education, 67 percent of America’s workforce is disengaged, doing the bare minimum each day.

Just 15 percent of workers can be described as engaged! Imagine how your business could benefit from having higher worker engagement. Or consider the costs of having disengaged workers dragging your operation down.

Company leaders that are successful in directing and coaching the rest of the team ensure that the work is carried out correctly and efficiently. If leaders aren’t getting useful training, the work has far less a chance of getting done right.

“Ineffective leadership causes employees to focus on the wrong tasks at the wrong time,” Tara Duggan writes in the Houston Chronicle.“Developing leadership capacity ensures that all your employees get the direction they need to operate in an efficient manner.”

In short, leadership training pays.