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Training:
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An organization’s planned effort to facilitate employees’ learning of job-related competencies.
“A method of enhancing human performance.” -Silberman
Development:
 Formal education, job experiences, relationships and assessments of personality and abilities that help employees prepare for the future.
Traditional training:
 Teach employees skills needed for current jobs.
 Low priority = low budget.
U.S. business training dollars:
 1995: $51 billion (Bureau of Labor Statistics).
 2006: $109 billion (American Society for Training and Development).
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Training becomes a competitive advantage when:
 It is linked to business strategy and organization goals.

It focuses on the organization’s future.
 Employees are trained in the knowledge, skills and abilities required to achieve that future.
 It moves from basic skills to learning, creating and sharing knowledge.
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Improves performance toward goals.
Focuses on what is needed and when it is needed.
Formal training enhanced by informal learning.
Learning supported by the organization.
Knowledge transfer:
 Explicit knowledge.
 Tacit knowledge.
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Business Strategy



Mission.
Values.
Goals.
Strategic Training and Development
Initiatives
Training and
Development
Activities
Metrics that Show
Value of Training
 Diversify learning portfolio.
 Improve customer service.
 Accelerate pace of employee learning.
 Capture and share knowledge.
 Use web-based training.
 Make development planning mandatory.
 Develop web sites for knowledge sharing.

Increase customer service training.
 Learning.
 Performance improvement.
 Reduced customer complaints.
 Reduced turnover.

Employee satisfaction.
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Strategic Planning
Evaluation
Assessment
Implementation
Development
Design
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Fixed costs:
 Those costs that remain the same no matter how many individuals participate in the training.
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Instructor’s salary.
 Marketing/information distribution.
Variable costs:
 Expenses that will vary depending on the number of participants in the training program.
 Printed hand-outs.
 Lunch for participants.
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Direct costs
 All of the expenses involved in putting together the training program:
 Course development or purchase.
 Printing.
 Equipment rental.
 Costs of needs assessment.
 Evaluation of training.
Indirect costs:
 Less obvious expenses, not directly related to the training:
 Overhead.
 Administrative and clerical salaries.
 Employee fringe benefits (25 percent of salary).
 Productivity loss.
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1. Needs assessment and analysis.
2. Training program design.
3. Training program development.
4. Implementation and delivery of training.
5. Training evaluation.
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Training appropriate for ROI analysis:
 Clearly identified outcomes.
 Not one-time events.
 Broad-based and highly visible in the organization.
 Strategically focused.
 Training effects can be isolated.
Benefit-Cost Ratio:
 Aids in decision-making process.
 Consistent analysis across programs.
 Information difficult to obtain.
Program Benefits
Benefit-Cost Ratio = ----------------------------
Program Costs
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Measuring training benefits:
 Benefits must consider training objectives.
 Literature summaries of benefits of specific training.
 Assessment of pilot training programs.
 Observations of successful trainees.
 Estimates from trainees and managers.
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Needs assessment:
 The process used to determine if training is necessary.
 This is the first step in the instructional design model.
Goals of needs assessment:
 Determine whether a training need exists.
 Identify who it exists for.
 Identify what tasks need to be taught.
Needs analysis (aka, gap analysis):
 Analysis of the data collected during the needs assessment.
A needs analysis focuses on the differences between the way work should be done and the way work is done.
 Expected performance – What is the ideal? What should be happening?
 Actual performance – What is actually happening now?
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1. Gather data to identify needs.
2. Determine needs that can be met by training intervention.
3. Propose solutions.
4. Calculate potential cost of training interventions.
5. Choose the training.
6. Implement the training.

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Do we need a needs assessment?
 Training may be the wrong solution.
 We may conduct the wrong training.
 Unnecessary money may be spent on training.
If so, what’s the triggering event?
 Lack of basic skills.
 Poor performance.
 New legislation.
 New technology.
 New products.
 New jobs.
 Change in performance standards.
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Performance tests.
Questionnaires and surveys.
Observations.
Focus groups.
Interviews.
Work samples.
Industry standards.
Work records.
Key employee consultation.
Company reports and print media analysis.
Checklists.
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Organizational analysis:
 Is training appropriate?

Does training support the organization’s strategic direction?
Person analysis:
 Does employee performance indicate a need for training?
 Which employees need training?
Task analysis or competency model:
 What work activities are required to complete a task?
 What knowledge, skills and abilities are necessary to successfully perform the task?
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Goal: A concise statement of the purpose or intent of the training.
 Who is the training for?
 What is the training about?
 Why is the training being conducted?
Objective: What participants will be able to do after the training.
 Provides a focus for training design.
 Tells participants what they should know at the end of the program.
 Assists in knowledge and skills transfer.
 Establishes parameters for evaluation.
A training objective has three components:
 Performance outcomes: A statement about what the employee is expected to do. This is a task or an observable action.
 Criterion: A statement about the level of performance that is acceptable.
 Conditions of performance: A statement about the conditions under which
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Program design is the organization and coordination of training.
For learning to occur, training programs require :
 Meaningful material.
 Clear objectives.
 Opportunities for practice.
 Feedback.
Effective program design includes:
 Course parameters.
 Entry skills and behaviors.
 Course objectives.
 Program objective.


Learning objectives.
Assessment of learning objectives.
 Detailed lesson plan.
 Structure and sequence of training.
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 Evaluation.
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To learn effectively, what do employees need?
Employees need:
 To know why they should learn.
 Meaningful training content.
 Opportunities to practice.
 To commit training content to memory.
 Feedback.
 Opportunity for observation, experience and interaction with others.
 Training to be properly coordinated and arranged.
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Traditional training:
 Presentation methods.
 Hands-on methods.
 Group building methods.
Technology-based training:
 Synchronous learning.
 Asynchronous learning.
Blended learning.
The training program must be: o Developed or purchased. o Available when needed.
o Within budget.
o Appropriate to trainees’ needs and abilities.
o Liked by trainees.
o Such that learning occurs.
o Such that learning is transferred to the workplace
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Demonstration
Role play
Lecture
Case study
Panel discussion
Opportunity to provide feedback.
Good practice for participants and involvement.
Good for high content if presenter is good.
Good focus and high involvement.
High content and variety of perspectives.
Does not involve everyone.
May be dominated by a few participants.
Passive and not stimulating.
May be dominated by a few participants.
Low learner involvement.
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Time and location
 Company meeting room or off-site?
 Time of day/multiple days.
 Organization deadlines.
Who will conduct the training program?
 In-house staff.
 Subject matter expert.
 Outside consultant.
Other logistics (“butts, bagels, books”)
 Administrative support
 Room
 Training equipment
 Materials and handouts
 Food
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Training effectiveness: Benefits to the organization and trainees.
Evaluation Process
 Develop measurable outcomes and plan for transfer of training.
 Develop outcome measures.
 Choose an evaluation strategy.
 Plan and execute the evaluation.
Formative evaluation: Evaluation that takes place during training
 May result in content change.
 May involve pilot test.
 May adjust to meet needs of the trainees.
Summative evaluation: Evaluation conducted at the end of training.
 Used to determine the extent to which trainees have changed as a result of the training program.
 Used to measure return on investment.
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Training transfer is effectively and continually applying on the job what the trainee learned during training.
Goals of successful training transfer:
 Trainees generalize skills to the work setting.
 Trainees maintain skills in the work setting .
Training transfer is measured after participation in a training program.