PowerPoint Presentation for Managing Performance through Training and Development Adapted by Alan Saks University of Toronto Copyright © 2019 by Nelson Education Ltd. 1-1 The Training and Development Process Copyright © 2019 by Nelson Education Ltd. 1-2 Learning Outcomes After reading this chapter, you should be able to: • Explain the differences between performance management, training, and development and how they are related • Discuss the role of training and development in the performance management process • Explain how training and development benefits organizations, employees, and society Copyright © 2019 by Nelson Education Ltd. 1-3 Learning Outcomes • Explain why some organizations invest more than others in training and development • Discuss the context of training and development and the relationships between the different factors • Explain the instructional systems design (ISD) model of training and development and its implications for the training and development process Copyright © 2019 by Nelson Education Ltd. 1-4 Discussion Is training and development is the single most important factor for the competitiveness and success of the organization? Why are we in business? 1-5 Introduction • Training and development (T&D) is important to employees, organizations, and customers/clients • Many serious incidents are caused by a lack of training, which costs lives and money Copyright © 2019 by Nelson Education Ltd. 1-6 Introduction • Success is dependent upon T&D • T&D a key factor in creativity, innovation, and transfer of knowledge • T&D provides a sound return on investment (ROI) Copyright © 2019 by Nelson Education Ltd. 1-7 Let’s Try a Questionnaire • This is a short Questionnaire regarding your experience and expectations in T&D Copyright © 2019 by Nelson Education Ltd. 1-8 Objective 1 1. Explain the differences between: performance management, training, development, and human resources development and how they are related Performance management is the process of establishing performance goals and designing interventions and programs to motivate and develop employees to improve their performance Training is formal and planned efforts that allow employees to acquire knowledge, skills, and abilities (KSAs) to improve performance in their current job (short-term focus) Human Resource Development is systematic and planned activities designed to provide employees with an opportunity to learn necessary skills to meet current and future job demands 1-10 The Performance Management (PM) Process • PM involves activities and programs to develop employees and improve performance – Establishing or reestablishing performance goals and expectations—performance goals should be SMART – Monitoring employee performance and providing feedback – Performance evaluation with consequences • Employee development plans are critical Copyright © 2019 by Nelson Education Ltd. 1-11 SMART A goal might be to hold a weekly project meeting with the key members of your team or to organise and run a continuous test programme throughout the project. The acronym SMART has several slightly different variations, which can be used to provide a more comprehensive definition of goal setting: S - specific, significant, stretching M - measurable, meaningful, motivational A - agreed upon, attainable, achievable, acceptable, action-oriented R - realistic, relevant, reasonable, rewarding, results-oriented T - time-based, time-bound, timely, tangible, trackable (The Trainer’s Notebook – 1.1 pg. 6) Copyright © 2016 by Nelson Education Ltd. 1-12 The Performance Management Process Copyright © 2019 by Nelson Education Ltd. 1-13 Objective 2 2. Discuss the role of training and development in the performance management process Training and Development (T&D) • Training is formal and planned efforts that allow employees to acquire knowledge, skills, and abilities (KSAs) to improve performance in their current job (short-term focus) Copyright © 2019 by Nelson Education Ltd. 1-15 Training and Development (T&D) • Development is formal and planned efforts to help employees acquire KSAs required to perform future job responsibilities, i.e., career goals and organizational objectives (longerterm focus) Copyright © 2019 by Nelson Education Ltd. 1-16 Training and Development (T&D) • The primary objective of training and development is to develop and maximize an organization’s human capital • Training and development can also facilitate the development of social capital – Social capital? Copyright © 2019 by Nelson Education Ltd. 1-17 Objective 3 3. Explain how training and development benefits organizations, employees, and society T&D Benefits • To organizations • To employees • To society Copyright © 2019 by Nelson Education Ltd. 1-19 T&D Benefits—Organizational • Strategy: training employees to have knowledge and skills to help achieve organizational goals and objectives • Effectiveness: increases competitive advantage • Employee recruitment, engagement, and retention: attracts, engages, and helps keep top talent Copyright © 2019 by Nelson Education Ltd. 1-20 T&D Benefits—Employees Intrinsic (internal) Extrinsic (external) • Improved knowledge and skills • Confidence or self-efficacy • Feelings of increased usefulness • Increased sense of belonging • Positive attitudes toward their job and organization • Higher earnings • Improved marketability • Greater security of employment • Enhanced opportunity for advancement and promotion Copyright © 2019 by Nelson Education Ltd. 1-21 T&D Benefits—Employees • T&D Benefits - Employees ?Which is Better? – Intrinsic vs. Extrinsic • Pair up • Comments – https://padlet.com/thomashoney1/thinking-of-t-d-upuz22pc7efq16cc Copyright © 2019 by Nelson Education Ltd. 1-22 T&D Benefits—Societal • Educated and employed population • Health and safety • Economy and standard of living Copyright © 2019 by Nelson Education Ltd. 1-23 T&D in Canada • Just over half of workers (56 percent) have access to employer-sponsored training; 44 percent have no access • Part-time, temporary workers and those less educated and older are less likely to receive training; as well as those employed in small- and mediumsized organizations • Less than half (47 percent) of Canadian organizations provide training to their employees Copyright © 2019 by Nelson Education Ltd. 1-24 Objective 4 4. Explain why some organizations invest more than others in training and development T&D in Canada • Canadian organizations have underinvested in T&D but latest findings indicate a positive and progressive trend • A steady and gradual increase in direct investments in T&D: ($889 per employee in 2017 compared with $800 in 2015) • Average number of hours of training: (32 hours per employee in 2017 compared with 31 in 2015) • Canadian organizations continue to invest less than organizations in the U.S. but the gap has narrowed Copyright © 2019 by Nelson Education Ltd. 1-26 T&D: Investment or Expense? • Organizations that DO invest: – View training as an investment – Expect direct benefits and an ROI – See T&D as strategic and a driver of success – Some invest heavily; 1 in 5 spend more than 3 percent of payroll in training • What can be done to increase training investments in Canadian organizations? Copyright © 2019 by Nelson Education Ltd. 1-27 1-28 Objective 5 5. Discuss the Explain why some organizations invest more than others in training and development T&D Context Copyright © 2019 by Nelson Education Ltd. 1-32 T&D Context • Environmental context – – – – Global competition Technology Labour market Organizational change 1-33 T&D Context • Organizational context – Strategy • • Strategic human resource management (SHRM) Strategic training and development (ST&D) – Structure – Culture 1-34 T&D Context • Human resources management systems – – – – – – – – HR planning Job analysis Compensation Recruitment Selection Performance appraisal Health and safety Labour relations 1-35 T&D Context • The human resources system – – Strategic HR management involves linkages to business strategy and to one another to achieve organization’s strategy These practices form an integrated HR system known as a high-performance work system (HPWS) 1-36 T&D Context • HPWS is an integrated system of human resources practices and policies • Includes recruitment and selection procedures, performance-contingent incentive compensation, performance management, a commitment to employee involvement, and T&D programs Copyright © 2019 by Nelson Education Ltd. 1-37 Strategic Model of T&D Copyright © 2019 by Nelson Education Ltd. 1-38 Objective 6 6. Explain the instructional design (ISD) model of training and development and its implications for the training and development process Instructional Systems Design Model Copyright © 2019 by Nelson Education Ltd. 1-40 Instructional Systems Design Model • Rational and scientific model of T&D process consists of three major overlapping steps that starts with performance gap or problem: – Training needs analysis – Training design and delivery – Training evaluation Copyright © 2019 by Nelson Education Ltd. 1-41 Instructional Systems Design Model • The Text follows the ISD model. • Needs analysis (Chapter 3), • Training design and delivery (Chapters 4, 5–8), and • Evaluation (Chapter 10). Discuss how this is the basis for the rest of the course and that the model itself can serve as a valuable study tool • You will be able to discuss all elements of the model by the end of the course. Copyright © 2019 by Nelson Education Ltd. 1-42 Flotation Ltd. Case • As a final activity we will break into groups and discuss the Floatation Ltd. Case (page 3031 of your text) Case is available in the Week 1 Content if do not have a text yet. Please read the case and discuss the questions as a group. Copyright © 2019 by Nelson Education Ltd. 1-43 Summary Summary • Introduced the T&D process and importance T&D plays in organizations and performance management • Explained the benefits of T&D for organizations, employees, and society • Examined how T&D is embedded in environmental and organizational context and is part of the human resources system Copyright © 2019 by Nelson Education Ltd. 1-45 Summary • Discussed the state of training and development in Canada and challenges faced related to skill development and productivity • Illustrated that for training effectiveness it should be aligned with the organization’s business strategies and other HR practices, and be a part of an HPWS • Introduced the instructional systems design (ISD) model Copyright © 2019 by Nelson Education Ltd. 1-46 Key Terms • ADDIE • Development • High-performance work system (HPWS) • Human capital • Instructional systems design (ISD) model • Organizational culture • Performance management • Skills mismatch • SMART goals • Social capital • Strategic human resource management (SHRM) • Strategic training and development (ST&D) • Strategy • Training • Training bond • Work engagement • Work-integrated learning Copyright © 2019 by Nelson Education Ltd. 1-47 Next Week Organizational Learning and Motivation • Chapter 2 pp. 43-61 Copyright © 2016 by Nelson Education Ltd. 1-48