7 © 2010 South-Western, a part of Cengage Learning All rights reserved. PowerPoint Presentation by Charlie Cook The University of West Alabama Chapter Objectives After studying this chapter, you should be able to Discuss the systems approach to training and development. Describe the components of training needs assessment. Identify the principles of learning and describe how they facilitate training. Identify the types of training methods used for managers and nonmanagers. Discuss the advantages and disadvantages of various evaluation criteria. Describe the special training programs that are currently popular. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–2 Training and Development and Other HRM Functions Availability of training can aid in recruitment Recruitment Provide an additional source of trainees Training may permit hiring less-qualified applicants Selection Effective selection may reduce training needs Training aids in the achievement of performance Performance Appraisal A basis for assessing training needs and results Training and development may lead to higher pay Compensation Management A basis for determining employee’s rate of pay Training may include a role for the union Labor Relations Union cooperation can facilitate training efforts © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–3 The Scope of Training • Training Effort initiated by an organization to foster learning among its members. Tends to be narrowly focused and oriented toward short-term performance concerns. • Development Effort that is oriented more toward broadening an individual’s skills for the future responsibilities. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–4 FIGURE 7.1 Training Dollars Spent by Employee Type © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–5 The Systems Approach to Training and Development • Four Phases Needs assessment Program design Implementation Evaluation © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–6 FIGURE 7.2 Systems Model of Training © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–7 Phase 1: Conducting the Needs Assessment • Organization Analysis An examination of the environment, strategies, and resources of the organization to determine where training emphasis should be placed. • Task Analysis The process of determining what the content of a training program should be on the basis of a study of the tasks and duties involved in the job. • Person Analysis A determination of the specific individuals who need training. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–8 FIGURE 7.3 Needs Assessment for Training Competency assessment Analysis of the sets of skills and knowledge needed for decision-oriented and knowledge-intensive jobs © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–9 1 Notes on Rapid Needs Assessment NOTE 1: Look at the problem scope NOTE 2: Do organizational scanning NOTE 3: Play “give and take” NOTE 4: Check “lost and found” NOTE 5: Use plain talk NOTE 6: Use the Web NOTE 7: Use rapid prototyping NOTE 8: Seek out exemplars © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–10 2 A Competency Assessment for a Managerial Position For each item, circle the number that best describes the manager’s characteristics. For items that do not apply, circle NA (not applicable). For other items for which you lack sufficient observations or documentary evidence, circle DK (don’t know). 4=Exemplary, 3=Proficient, 2=Progressing, 1=Needs Assistance, NA=Not Applicable, DK=Don’t Know Competency 1: Behaves professionally and encourages other staff members to do likewise. 4 3 2 1 NA DK Competency 2: Behaves ethically and encourages staff members to do likewise. 4 3 2 1 NA DK Competency 3: Uses a variety of modes of communication and conveys information fully and clearly. 4 3 2 1 NA DK Competency 4: Seeks input from all levels and demonstrates fairness and consistency. 4 3 2 1 NA DK Competency 5: Engages in an open style of management and is open to criticism from supervisors and subordinates. 4 3 2 1 NA DK Competency 6: Searches for and embraces innovative solutions to improve department’s programs and products. 4 3 2 1 NA DK © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–11 Phase 2: Designing the Training Program Issues in training design Instructional objectives Trainee readiness and motivation Principles of learning Characteristics of successful trainers © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–12 Phase 2: Designing the Training Program • Instructional Objectives Represent the desired outcomes of a training program Performance-centered objectives Provide a basis for choosing methods and materials and for selecting the means for assessing whether the instruction will be successful. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–13 Trainee Readiness and Motivation • Strategies for Creating a Motivated Training Environment: 1. Use positive reinforcement. 2. Eliminate threats and punishment. 3. Be flexible. 4. Have participants set personal goals. 5. Design interesting instruction. 6. Break down physical and psychological obstacles to learning. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–14 FIGURE 7.4 Principles of Learning © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–15 Principles of Learning Focus on learning and transfer Goal setting - What’s the value? Meaningfulness of presentation Behavioral modeling Recognition of individual learning differences © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–16 Principles of Learning (cont’d) Focus on method and process Active practice and repetition Whole versus-part learning Massed-vs-distributed learning Feedback and reinforcement © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–17 Feedback and Reinforcement • Spot Rewards Programs that award employees “on the spot” when they do something particularly well during training or on the job • Behavior Modification The technique that operates on the principle that behavior that is rewarded, or positively reinforced, is repeated more frequently, whereas behavior that is penalized or unrewarded will decrease in frequency. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–18 FIGURE 7.5 A Typical Learning Curve © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–19 Characteristics of Successful Instructors • Knowledge of the subject • Adaptability • Sincerity • Sense of humor • Interest • Clear instructions • Individual assistance • Enthusiasm © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–20 Phase 3: Implementing the Training Program Choosing the instructional method Nature of training Type of trainees Organizational extent of training Importance of training outcomes © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–21 Training Methods for Nonmanagerial Employees • On-the-Job Training (OJT) • Apprenticeship Training • Cooperative Training, Internships, and Governmental Training • Classroom Instruction • Programmed Instruction • Audiovisual Methods • Computer-based Training and E-Learning • Simulation Method © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–22 Training Methods for Nonmanagerial Employees (cont’d) • On-the-job training (OJT) Method by which employees are given hands-on experience with instructions from their supervisor or other trainer. • Drawbacks The lack of a well-structured training environment Poor training skills of managers The absence of well-defined job performance criteria © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–23 On-the-Job Training • Overcoming OJT training problems 1. Develop realistic goals and/or measures for each OJT area. 2. Plan a specific training schedule for each trainee, including set periods for evaluation and feedback. 3. Help managers establish a nonthreatening atmosphere conducive to learning. 4. Conduct periodic evaluations, after training is completed, to prevent regression. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–24 FIGURE 7.6 The PROPER Way to Do On-the-Job Training © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–25 Training Methods for Nonmanagerial Employees (cont’d) • Apprenticeship training A system of training in which a worker entering the skilled trades is given thorough instruction and experience, both on and off the job, in the practical and theoretical aspects of the work. • Cooperative Training A training program that combines practical on-the- job experience with formal educational classes. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–26 Training Methods for Nonmanagerial Employees (cont’d) • Internship Programs Are jointly sponsored by colleges, universities, and other organizations that offer students the opportunity to gain real-life experience while allowing them to find out how they will perform in work organizations. • Classroom Instruction Enables the maximum number of trainees to be handled by the minimum number of instructors. “Blended” learning—lectures and demonstrations are combined with films, DVDs, and videotapes or computer instruction. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–27 Increasing the Effectiveness of Internships 1. Assign the intern to projects that are accomplishable and provide training as required. 2. Appoint a mentor or supervisor to guide the intern. 3. Solicit project suggestions from other staff members. 4. Rotate interns throughout the organization. 5. Treat interns as part of the organizational staff and invite them to staff meetings. 6. Establish a process for considering interns for permanent hire. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–28 FIGURE 7.7 Delivery Method of Training © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–29 Training Methods for Nonmanagerial Employees (cont’d) • Programmed Instruction Self-directed learning—use of books, manuals, or computers to break down subject matter content into highly organized, logical sequences that demand continuous response on the part of the trainee. • Audiovisual Methods Video recordings, CDs and DVDs Teleconferencing and videoconferencing Web conferencing, webinars, and podcasts Communities of practice, blogs, and wikis © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–30 FIGURE 7.8 Examples of Knowledge-Sharing Learning via Communities of Practice Problem-solving “Can we work on this design and brainstorm some ideas; I’m stuck.” Requests for information “Where can I find the code to connect to the server?” Seeking experience “Has anyone dealt with a customer in this situation?” Reusing assets “I have a proposal for a local area network I wrote for a client last year. I can send it to you, and you can easily tweak it for this new client.” Coordination and synergy “Can we combine our purchases of solvent to achieve bulk discounts?” Discussing developments “What do you think of the new CAD system? Does it really help?” Documentation projects “We have faced this problem five times now. let us write it down once and for all.” Visits “Can we come and see your after-school program? We need to establish one in our city.” Mapping knowledge and identifying gaps “Who knows what, and what are we missing? What other groups should we connect with?” © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–31 Training Methods for Nonmanagerial Employees (cont’d) • Simulation The simulation method emphasizes realism in equipment and its operation at minimum cost and maximum safety. Used when it is either impractical or unwise to train employees on the actual equipment used on the job. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–32 Training Methods for Employees (cont’d) • E-Learning Learning that takes place via such web and computer-based training (CBT) Allows the firm to bring the training to employees Allows employees to customize their own learning in their own time and space (just-in-time learning) Provides continuously updated training materials © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–33 Electronic Training Methods for Employees • Learning Management Systems (LMS) are “virtual learning environments” Can assess the skills of employees Can register them for courses Can deliver interactive learning modules directly to their desktops when they need or want them Can evaluate and track their progress, and determine when they are ready to be promoted © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–34 Training Methods for Management Development • On-the-Job Experiences • Seminars and Conferences • Case Studies • Management Games • Role Playing • Behavior Modeling © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–35 On-the-Job Experiences • Coaching • Understudy Assignment • Job Rotation • Lateral Transfer • Special Projects • Action Learning • Staff Meetings • Planned Career Progressions © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–36 Case Studies • The use of case studies is most appropriate when: 1. Analytic, problem-solving, and critical thinking 2. 3. 4. 5. skills are most important. The KSAs are complex and participants need time to master them. Active participation is desired. The process of learning (questioning, interpreting, and so on) is as important as the content. Team problem solving and interaction are possible. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–37 FIGURE 7.9 Case Studies When Using Case Studies… • Be clear about learning objectives, and list possible ways to achieve the objectives. • Decide which objectives would be best served by the case method. • Identify available cases that might work, or consider writing your own. • Set up the activity—including the case material, the room, and the schedule. • Follow the principles of effective group dynamics. • Provide a chance for all learners to take part and try to keep the groups small. • Stop for process checks and be ready to intervene if group dynamics get out of hand. • Allow for different learning styles. • Clarify the trainer’s role. • Bridge the gap between theory and practice. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–38 Role Playing • Successful role play requires that instructors: Ensure that group members are comfortable with each other. Select and prepare the role players by introducing a specific situation. To help participants prepare, ask them to describe potential characters. Realize that volunteers make better role players. Prepare the observers by giving them specific tasks (such as evaluation or feedback). Guide the role-play enactment through its bumps (because it is not scripted). Keep it short. Discuss the enactment and prepare bulleted points of what was learned. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–39 Behavior Modeling • Behavior Modeling An approach that demonstrates desired behavior and gives trainees the chance to practice and roleplay those behaviors and receive feedback. Involves four basic components: Learning points Model Practice and role play Feedback and reinforcement © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–40 Phase 4: Evaluating the Training Program Measuring program effectiveness Criterion 1: Trainee reactions Criterion 2: Extent of learning Criterion 3: Learning transfer to job Criterion 4: Results assessment © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–41 FIGURE 7.10 Criteria for Evaluating Training © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–42 Criterion 1: Reactions • Participant Reactions The simplest and most common approach to training evaluation is assessing trainees. Potential questions might include the following: What were your learning goals for this program? Did you achieve them? Did you like this program? Would you recommend it to others who have similar learning goals? What suggestions do you have for improving the program? Should the organization continue to offer it? © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–43 Criterion 2: Learning • Checking to see whether they actually learned anything. Testing knowledge and skills before beginning a training program gives a baseline standard on trainees that can be measured again after training to determine improvement. However, in addition to testing trainees, test employees who did not attend the training to estimate the differential effect of the training. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–44 Criterion 3: Behavior • Transfer of Training Effective application of principles learned to what is required on the job. • Maximizing the Transfer of Training 1. Feature identical elements 2. Focus on general principles 3. Establish a climate for transfer. 4. Give employees transfer strategies © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–45 Criterion 4: Results, or Return on Investment (ROI) • Measuring the Utility of Training Programs Calculating the benefits derived from training: How much did quality improve because of the training program? How much has it contributed to profits? What reduction in turnover and wasted materials did the company get after training? How much has productivity increased and by how much have costs been reduced? © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–46 Criterion 4: Results or Return on Investment (ROI) • Return on Investment Viewing training in terms of the extent to which it provides knowledge and skills that create a competitive advantage and a culture that is ready for continuous change. ROI = Results/Training Costs If the ROI ratio is >1, the benefits of the training exceed the cost of the program If the ROI ratio is <1, the costs of the training exceed the benefits. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–47 3 Calculating Training ROI: Examples If the ROI ratio is >1, the benefits of the training exceed the cost of the program, and if the ratio is <1, the costs of the training program outweigh the benefits. Example 1: A program to train new machine operators costs $15,000 to develop and implement. After completing the training program, the average number of parts produced each year increased by 3,000, and the profit on each new part is $10, producing a net result of $30,000. ROI = $30,000/$15,000 = 2 Example 2: A safety program costs the company $25,000 to develop and implement. One year later, there had been a small decrease in accidents, saving the company a total of $10,000. ROI = $10,000/$25,000 = 0.4 In Example 1, the program resulted in a ROI of 2, indicating that the benefits of the program outweigh its cost. However, in Example 2, the ROI was only 0.4, indicating that the costs of the program outweigh the benefits. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–48 Criterion 4: Results (cont’d) • Benchmarking The process of measuring one’s own services and practices against the recognized leaders in order to identify areas for improvement. Training activity: How much training is occurring? Training results: Do training and development achieve their goals? Training efficiency: Are resources utilized in the pursuit of this mission? © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–49 Criterion 4: Results (cont’d) • Deming’s Benchmarking Model 1. Plan: conduct a self-audit to identify areas for benchmarking. 2. Do: collect data about activities. 3. Check: Analyze data. 4. Act: Establish goals, implement changes, monitor progress, and redefine benchmarks. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–50 Special Training and Development Topics Organization-wide training programs Orientation training Basic skills training Team and cross-training Diversity training © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–51 4 Benchmarking HR Training © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–52 Special Topics in Training and Development (cont’d) • Orientation A formal process of familiarizing new employees with the organization, their jobs, and their work units. Benefits: 1. 2. 3. 4. 5. 6. Lower turnover Increased productivity Improved employee morale Lower recruiting and training costs Facilitation of learning Reduction of the new employee’s anxiety © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–53 5 Checklist for Orienting New Employees Items in Orientation Packet • Welcome letter with company background • Map of facility, including parking information • IDs, keys, and parking decals • Current organization chart • Telephone numbers, e-mail addresses, and locations of key personnel • Copy of employee’s specific job goals and descriptions • List of unique terms in the industry, company, and job • Training class schedules • Safety and emergency procedures • Copy of policy handbook, including office hours and telephone and e-mail rules • List of employee benefits, including insurance plans • Holiday schedule Follow-Up Activities • Ensure that employee has completed required paperwork, including benefit enrollment forms • Revisit performance standards • Schedule first performance appraisal meeting © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–54 Special Topics in Training and Development (cont’d) • Basic Skills Training Basic skills have become essential occupational qualifications, having profound implications for product quality, customer service, internal efficiency, and workplace and environmental safety. • Typical basic skills: Reading, writing, computing, speaking, listening, problem solving, managing oneself, knowing how to learn, working as part of a team, leading others. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–55 Special Topics in Training and Development (cont’d) • To implement a successful program in basic and remedial skills: Explain to employees why and how the training will help them in their jobs. Relate the training to the employees’ goals. Respect and consider participant experiences, and use these as a resource. Use a task-centered or problem-centered approach so that participants “learn by doing.” Give feedback on progress toward meeting learning objectives. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–56 Special Topics in Training and Development (cont’d) • Team Training Issues 1. Team building is a difficult and comprehensive process. 2. Team development is not always a linear sequence of “forming, storming, norming, and performing.” 3. Additional training is required to assimilate new members. 4. Behavioral and process skills need to be acquired through participative exercises. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–57 FIGURE 7.11 Team Training Skills © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–58 Special Topics in Training and Development (cont’d) • Cross-Training The process of training employees to do multiple jobs within an organization Gives firms flexible capacity. Cuts turnover Increase productivity Pares down labor costs Lays the foundation for careers rather than dead-end jobs. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–59 Special Topics in Training and Development (cont’d) • Ethics Training Requires top management support Should be a part of new employee orientation Should be regularly available to all employees • Chief Ethics Officer A high-ranking manager directly responsible for fostering the ethical climate within the firm © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–60 6 Additional Ethics Training Resources The following organizations and links are good resources relevant to ethics codes and ethics training. Business Roundtable Institute for Corporate Ethics www.corporate-ethics.org The Darden Graduate School of Business Administration 100 Darden Boulevard Charlottesville, VA 22903 The Institute for Corporate Ethics was founded by the Business Roundtable as part of a larger effort to restore the market’s trust in the marketplace after the scandals of 2000 and in the years after. The organization’s Web site states that “the Institute provides a unique opportunity for leading educators, business practitioners and students alike to merge the theory and practice of business together in a seamless enterprise for the common good.” Ethics Resource Center www.ethics.org 1747 Pennsylvania Ave., NW Suite 400 Washington, DC 20006 As the oldest nonprofit in the United States devoted to organizational ethics, the Ethics Resource Center (ERC) advances understanding of the practices that promote ethical conduct through research, measurement of ethics and compliance program effectiveness in individual organizations, and the development of white papers and educational resources based on overall findings. ERC also sponsors character development programs for educational institutions and a Fellows Program for corporate ethics officers and academics who engage in practical research that addresses emerging issues in corporations. Ethics & Compliance Officer Association www.theecoa.org 411 Waverley Oaks Road Suite 324 Waltham, MA 02452 Founded in 1992, the U.S.-based Ethics & Compliance Officer Association (ECOA) is a professional association for managers of ethics, compliance, and business conduct programs. The ECOA provides ethics officers with training and a variety of conferences and meetings for exchanging best practices. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–61 Special Topics in Training and Development (cont’d) • Types of Diversity Training Awareness building Helps employees appreciate the benefits of diversity Skill building Provides employees with the KSAs necessary for working with people who are different from them. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–62 Special Topics in Training and Development (cont’d) • Diversity Training To avoid the pitfalls of substandard diversity training, managers should do the following: Forge a strategic link. Check out consultant qualifications. Don’t settle for “off the shelf” programs. Choose training methods carefully. Document individual and organizational benefits. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–63 apprenticeship training instructional objectives behavior modeling internship programs behavior modification just-in-time training benchmarking learning management system (LMS) blended learning on-the-job training (OJT) chief ethics officer organization analysis chief learning officer orientation competency assessment person analysis cooperative training spot rewards cross-training task analysis e-learning transfer of training © 2010 South-Western, a part of Cengage Learning. All rights reserved. 7–64