Study after study indicates the companies that spend the most time and effort on training come out on top on financial performance and in key measures such as retention and recruitment. As a general rule, the research is right on the money.

The general rule is: True learning organizations spend between 3 percent and 6 percent of their payroll on training. The American Society for Training and Development (ASTD) doesn't have a formal position on budgets, but the National Association of Manufacturers does. It recently said firms should spend 3 percent of payroll on training.