Yes, undoubtedly Story Telling is a powerful training tool. Not only in training but stories can be used powerfully in presentations, group motivation and discussions. My personal belief is that bulleted conversations has it's strengths but if one can use a appropriate story, the understanding is far better and deeper.
I believe, "Leaders who use stories with their teams communicate much powerfully".
As a Trainer, when using stories, I find the participant reflection richer and the retention longer ... and not necessarily only factual stories. Even fables, stories from the panchatantra etc. have the desired effect.
But how many Trainer's use Stories?
At times we get so involved with concepts and processes that the motivational aspect of why should one learn the skill or the behaviour is not at all tackled
An additional thought:
In India, (where I majorly deliver my training interventions), our culture supports Stories.
Most of us live in a joint family system (nowadays changing!). The role of the grandparent was to entertain kids with stories. The stories used were from our epics... the Mahabharata or the Ramayana etc. Other stories of Buddha, Panchatantra were narrated. The fight was between the Rakshashas (evil) and with the Gods. Thus was imbibed in a child "family values". Values which became part of one's conscience.
We didn't require any training on Principles and Values for inside we knew what it meant.
Presently I see that Grandparents are themselves busy in the corporate world and dont retire... they are sooo busy. Further due to the break-up of the joint family system, grandchildren are not under the 'guidance' of the grandparents... so no stories.
Is there a co-relation between this and the fact that we are seeing a lot of compromise on one's "value" system and thus more and more scams?