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Chapter 6 – Training and Development Topic Outline Introduction Employee Orientation Types of Information Conveyed During Orientation Orientation Length and Time Responsibility for and Scheduling the Orientation Follow Up Evaluate the Orientation Program Example of a Successful Orientation Program Definition of Training and Development Factors Influencing Training and Development Change Top Management Support Commitment from Specialists and Generalists Technological Advancement Organization Complexity Learning Styles Other Human Resource Functions The Training Process Training, Learning and Motivating How to Make Trainees Remember Useful Materials How can Employees Transfer the New Skills to the Job Easily How to Motivate the Trainees Training Needs Analysis Organizational Analysis Task Analysis Performance Analysis Setting Training Objectives Training Methods On-the-Job Training The Advantages and Disadvantages of On-the-Job Training Guidelines to Ensure the Effectiveness of On-the-Job Training Example of On-the-Job Training Apprenticeship Training Lectures Programmed Learning Audiovisual-Based Training Simulated Training Computer-Based Training Distance and Internet-Based Training Job Instruction Training Management Development Managerial On-The-Job Training

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Page 1: Chapter 6 – Training and Development Topic Outline€¦ ·  · 2008-04-19knowledge test and was shocked when 60% of the employees failed the test. ... 6.5.3 Performance Analysis

Chapter 6 – Training and Development Topic Outline Introduction Employee Orientation

Types of Information Conveyed During Orientation Orientation Length and Time

Responsibility for and Scheduling the Orientation Follow Up

Evaluate the Orientation Program Example of a Successful Orientation Program

Definition of Training and Development Factors Influencing Training and Development

Change Top Management Support Commitment from Specialists and Generalists Technological Advancement Organization Complexity Learning Styles Other Human Resource Functions

The Training Process Training, Learning and Motivating How to Make Trainees Remember Useful Materials

How can Employees Transfer the New Skills to the Job Easily How to Motivate the Trainees

Training Needs Analysis Organizational Analysis Task Analysis Performance Analysis Setting Training Objectives Training Methods On-the-Job Training The Advantages and Disadvantages of On-the-Job Training Guidelines to Ensure the Effectiveness of On-the-Job Training Example of On-the-Job Training Apprenticeship Training Lectures Programmed Learning Audiovisual-Based Training Simulated Training Computer-Based Training Distance and Internet-Based Training Job Instruction Training Management Development Managerial On-The-Job Training

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Managerial Off-The-Job Training Implementing Training and Development Evaluating Training Programs Design the Performance-based Evaluation Method Post-Training Performance Method Pre-Post-Training Performance Method Pre-Post-Training Performance With Control Group Method Measuring Training Outcomes Participant’s Reaction Extent of Learning Behavioral Change Training and Development Objectives Benchmarking The Training Environment in Malaysia Chapter Summary Case Study – Elid Door Company Exercises Course Objectives At the end of the chapter, students are able to:

• Define training and explain why employee training is important • Analyze the factors that affect training and development • Describe the basic training process • Explain and illustrate the ways to identify training requirements • Compare the various training methods and recommend the suitable method for any

organization based on the facts given • Describe the methods and criteria involved in evaluating training programs

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6.0 Introduction David, the new Training Manager for Bank B, was reviewing the bank’s training program. He was shocked to discover that some employees were not sent for any training since their orientation program. This could be a reason for the high employee turnover. New employees learn about the job from their experienced colleagues by observing what their colleagues do and perform the transactions later. As all transactions are related to money, David was worried that the employees may not understand the implication of performing the transactions. He decided to give them a job knowledge test and was shocked when 60% of the employees failed the test. This clearly shows that employees do not understand the risks involved which could be detrimental to the organization.

Figure 6.1 David is shocked at what he discovered David started researching on what other banks were doing in terms of training and discovered that Bank B was lacking on various training metrics. Therefore, he came up with a new training proposal to be discussed with the HR Director. Some of his recommendations are as follows: a. All employees must attend formal training at least 4 days a year b. A list of mandatory training programs to equip employees’ job knowledge. d. Supervisors and managers are given the opportunity to attend external seminars in order to expose them to latest developments in the banking industry and also network with people from the industry. The purpose of this chapter is to determine how organizations can increase their effectiveness as a trainer in order to develop their employees. 6.1 Employee Orientation Orientation is the first training and development effort for new employees. These programs are the first step towards building a relationship between the organization and employees. As most employees feel worried on their first day of work, orientation programs are implemented to reduce their anxieties, make them feel welcome and at ease with the organization, job and work group. It is essential to plan and execute the orientation program well as it could reduce employee turnover, increase employees’ productivity and create a favorable image of the organization. There are two types of orientation i.e. a. Organizational orientation – general topics that are relevant to all employees

Hmmm! Looks like we have a problem here.

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b. Departmental and job orientation – topics that are unique to the new employee’s department and job 6.1.1 Types of Information Conveyed During Orientation There is no standard orientation format but orientations generally convey information on the employment situation, company policy and rules, compensation and benefits, corporate culture, team membership, employee development, dealing with changes and socialization. The details of the information are as follows: a. The duties and responsibilities of the job, the expectations and vision of the organization and employees’ role towards achieving this vision b. Company policies and rules on compensation and benefits, working hours, claims, operational safety and others. This would assist employees in understanding the work behavior expected from them. c. Employees are also introduced to the corporate culture of the organization so that they understand the organization’s history, current situation, culture, values and future. It looks at “how we do things here.” d. Orientation programs re-emphasize the importance of teamwork in the organization. e. It also highlights the importance of employee development in terms of expanding an employee’s skill sets. Employees are introduced to the various company-sponsored developmental programs available. f. The organization may integrate new employees to informal organizations where they are exposed to the organization norms (informal rules, procedures and accepted practices), feel a sense of belonging in the work group and are confident to perform their tasks. The Human Resource Department usually provides an orientation kit that includes most of the information as a supplement to the verbal orientation program. Employees are required to sign a form acknowledging receipt of the kit. This is to protect the organization arising from grievances or allegations from employees of non-receipt of orientation kit. However, some organizations also provide either a manual or Internet-based employee handbook in the absence of an orientation kit.

Orientation Learning Kit Providing information to new employees Figure 6.2 Orientation Activities 6.1.3 Orientation Length and Time New employees are unable to absorb all the information in one long session. Therefore, the orientation program could be spread over a number of sessions whereby the duration of each session does not exceed two hours.

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6.1.4 Responsibility for and Scheduling the Orientation The orientation program should be a joint responsibility of both, the HR Department and the line managers and peers. The responsibility of each party is summarized in the table below: Parties Responsibilities HR Department 1. Initiate and coordinate the orientation program

2. Conduct the general company orientation 3. Follow-up with new employees after the initial orientation program 4. Provide training to line managers on procedures in conducting orientation

Line Managers 1. Conduct the departmental orientation by providing an overview of the department and job 2. Counsel new employees and conduct personal development reviews 3. Prepare a checklist on the topics to be covered indicating who and when they will be covered 4. Introduce the new employee to the department employees

Peers 1. Conduct the job orientation via a buddy or mentor system. 2. Provide easy access to new employees to tap on their technical expertise and organizational experience.

Table 6.1 Roles played by different people in an orientation program 6.1.5 Follow-up There should be a systematic follow-up to the initial orientation program. The HR department should conduct a follow-up session after the new employees have been in the job to find out about their progress. On the other hand, line managers are responsible to check on the employees to evaluate where the employees are adjusting well to the new job and working environment, provide counseling to employees if necessary and answer any questions arising after the initial orientation.

Figure 6.3 Tea party held as a follow-up session 6.1.6 Evaluate the Orientation Program The orientation program should be evaluated annually to determine whether the program is effective in meeting the needs of the new employees and the organization. Employees’ feedback is a good method in evaluating the program’s effectiveness. Feedback can be obtained through unsigned questionnaires, in-depth interviews and group discussions with employees who have settled well in their jobs (Byars & Rue 2003, p.190).

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6.1.7 Example of a Successful Orientation Program Bank B conducts and executes its orientation program very well. Orientation programs are usually conducted in hotels for two days where new employees undergo a comprehensive program. The CEO of the bank will usually be there on the first day to welcome the employees and talk to them about what a good job choice they made. He will also present an overview of the organization i.e. its history, culture, strategies, vision and mission. He talks about the employee development programs and how employees can grow with the organization. There will be a question and answer session for employees to seek clarification. Managers and key employees are invited to have lunch in the hotel so that they are able to share their work experiences and successes with the new employees. The HR personnel and business units also conduct sessions on HR policies and procedures, managing change, team building exercises and competition. At the end of the program, all employees take a pledge to work hard and be committed to the organization’s goals. New employees will report to their respective managers on the third day of work where they will be introduced to their colleagues. Then, they will be a training checklist which indicates the time frame to cover each topic. Apart from that, they need to attend a formal training session for a week to learn about the bank, its products, system and the universal banking practices and rules such as the UCP 600 and URR522. After that, their on-the-job training commences as per the checklist given. The manager will check on the new employees from time to time while the HR Department will organize a small gathering after one and three months respectively for the new employees and their buddies. New employees have the opportunity to provide feedback on the orientation program during these sessions via questionnaires.

Meeting the CEO Registering for the Orientation Program Figure 6.3 Orientation Program 6.2 Definition of Training and Development Training and development refers to the continuous effort developed to improve employee efficiency and effectiveness as well as organizational performance. Training equips employees with the necessary skills and knowledge to perform their current job. In short, we need to teach our employees what to do and how to do it effectively. For instance, a typist needs proper training in typing to perform her duties.

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Figure 6.4 The typist learning the proper typing method Development equips employees with skills and knowledge for future positions in the organization, catering for employees who are being groomed for higher positions. For instance, the secretary has been earmarked to become an administration executive, she will be sent for training in communication skills, supervisory skills and others.

Figure 6.5 Future administrative executives trained in supervisory skills 6.2 Factors Influencing Training and Development There are many factors that determine whether the success of training and development programs in an organization. These factors are listed as follows: 6.2.1 Change Change involves moving from one condition to another and it will affect individuals, groups and entire organizations. The rate at which change takes place is very rapid today and it can come in the form of an organization’s strategy, culture, technology, structure and its people. These changes will affect training and development. For instance, if an organization introduces a new system, all employees would need to go for training to use the new system.

Figure 6.6 Executive planning for training due to changes in system 6.2.2 Top Management Support

I need to arrange training for employees in Import Department so that they can learn the new system

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If there is support from top management, the training and development program will succeed. This is because top management will ensure that there are enough resources such as funds, facilities and trainers. 6.2.3 Commitment from Specialists and Generalists All managers regardless of being specialists or generalists should be committed and involved in the training and development process. For example, a line manager that is committed to training will nominate his employees for appropriate training programs and not cite work load as an excuse to refrain employees from training.

Figure 6.7 A committed line manager 6.2.4 Technological Advances The computer and the Internet are dramatically affecting the conduct of all business functions. Thus, technology has played a role in changing the way knowledge is delivered to employees. 6.2.5 Organization Complexity The ever-changing business environments in terms of technology, products, systems and methods affects job requirements and skills sets. Therefore, employees need to constantly upgrade their knowledge and skills and also adapt and accept changes. As such, these changes create a greater need for training and development. 6.2.6 Learning Styles The learning style in an organization will also affect the need for training and development. Organizations should create a culture where every learner becomes a teacher and every teacher becomes a learner. The organization supplies both individual and institutional knowledge so that when an employee leaves the organization, another individual still possesses the same knowledge (Noe & Mondy 2005, p.207).

Figure 6.8 Knowledge Sharing Culture

UCP training? You can send Mary Anne for training then. I reckon that the Department will manage for a few days without her.

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6.2.7 Other Human Resource Functions The effectiveness of other human resource functions can also have an impact on Training and Development. For instance, if the organization has a comprehensive compensation system, it would be able to minimize its employee turnover and retain capable employees. This will reduce the need for training. 6.3 The Training Process The training process comprises five steps: Step 1: Needs Analysis

• Identify specific job skills • Analyze the needs of trainees • Develop specific, measurable knowledge and performance objectives

Step 2: Instructional Design • Compile and produce the training program content, including workbooks, exercises

and activities • Use techniques such as on-the-job training and computer-assisted learning

Step 3: Validation • Validate the training program by presenting it to a small representative audience

Step 4: Implementation • Train the targeted employee group

Step 5: Evaluation and follow-up • Assess the program’s success or failure

Figure 6.9 The five-step training process 6.4 Training, Learning and Motivating As training is a learning process, it will be more effective if trainers understand how people learn. 6.4.1 How to Make Trainees Remember Useful Materials 1. Provide an overview of the material at the start of the training 2. Use familiar examples 3. Present the materials logically and in meaningful units 4. Use familiar concepts and words 5. Use as many visual aids as possible 6.4.2 How can Employees Transfer the New Skills to the Job Easily 1. Make the training situation similar to the workplace 2. Give trainees the opportunity to practice 3. Ask trainees to pay attention to the important aspects of the job 6.4.3 How to Motivate the Trainees 1. Provide as many practical examples as possible 2. Provide immediate feedback to trainees as they practice 3. Let the trainees learn at their own pace, if possible 6.5 Training Needs Analysis

Needs Analysis Instructional Design

Validation Implementation Evaluation and Follow-up

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Training needs analysis is a systematic analysis of specific training activities that is required by the organization to achieve its organizational objectives and goals. Information on training and development needs can be collected via interviews, surveys/questionnaires, observations, focus groups and document examination and analyses are conducted on several levels. The levels are as follows: 6.5.1 Organizational Analysis Organizations need to ensure that their training and development programs are in line with the organizations’ strategic mission, goals, strategies and employment planning. Therefore, the first step would be analyzing the above items as this will ensure that employees are working toward organizational goals. 6.5.2 Task Analysis Task analysis is a detailed study of a job to identify the specific skills required to perform a job for new employees. It determines the training needs of new employees via job descriptions and job specifications. Some employers combine the duties and skills required in a task analysis record form. Task Analysis Record Form – Dessler & Tan 2006, p.176 Figure 6.10 Task Analysis Record Form Source: Dessler & Tan 2006, p.176 After studying the job description and specification of a receptionist at the front desk, we can conclude that a new receptionist needs training in the area of etiquette, computing skills, knowledge on tourist attractions in its vicinity, mathematical ability and customer servicing.

Figure 6.11 Skills required by a front-desk receptionist after conducting a task analysis 6.5.3 Performance Analysis Performance analysis is the process of verifying gaps in performance and determining whether the gaps should be rectified via training or other means. The training personnel will need to compare a person’s performance to what it should be. Let’s say that there is a long queue at a hotel’s reservation desk indicating poor performance. We need to check whether the poor performance is caused by lack of computer proficiency or other factors. This step distinguishes between “can’t do” and “won’t do” problems and determines whether training is the solution to the problem. After investigation, it was discovered that employees face a lack of computing ability in using the system. In this situation, the organization will need to provide training to employees and this is a “can’t do” problem.

Etiquette Mathematical

Computing Customer service

Knowledge on tourist attractions

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On the other hand, if our investigations revealed that poor performance was due to other reasons such as lack of support from the supervisor or poor compensation package, it is a “won’t do” problem. Training is not needed in such situations and the organization would need to counsel the supervisor or revise its reward system respectively. The diagram below summarizes the training needs analysis process: a. Understanding the organizations goals (Organizational Analysis) b. Determining the tasks that must be completed to achieve the goals (Task Analysis) c. Determining the work behaviors required for existing employees to achieve the goals (Performance Analysis) d. To determine any deficiencies in the skills and work behaviour of the employees (Performance Analysis) e. Determine whether training is needed (Performance Analysis – distinguish between “can’t do” and “won’t do” problems to assess whether training is required)

Figure 6.12 shows the steps involved in determining training needs Source: DeCenzo & Robbins 2005 6.6 Setting Training Objectives After determining the training needs, organizations must set written training objectives. These objectives specify what trainee should be able to do after completing the training program. Training objectives can be categorized as follows: Types of Objectives Details of the Objectives Instructional 1. Principles, facts and concepts to be learned in the training

program 2. Targeted employee group 3. Schedule for the training program

Organizational and departmental

1. Impact of training on organizational and departmental outcomes such as absenteeism, turnover, reduced costs and improved productivity

Individual performance and growth

1. Impact of training on the behavioral and attitudinal outcomes of the individual trainee 2. Impact of training on the personal growth of the individual trainee

Table 6.1 Various categories of training objectives

What tasks must be completed to achieve its goals?

What deficiencies, if any do incumbents have in the skills, knowledge or abilities required to exhibit the necessary job behaviors?

What are the organizational goals?

What behaviors are necessary for each job incumbent to complete his or her arranged goals?

Is there a need for training?

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Source: Byars & Rue 2003, p.192 With these objectives, managers can determine whether training has been effective or not. 6.7 Training Methods Once an organization has decided to provide training to employees, it should start developing the training program. There are several training methods used by organizations such as follows: 6.7.1 On-the-Job Training On-the-Job training (OJT) is an informal approach to training that allows a person to learn a job by actually doing it. The main purpose of this approach is to transfer knowledge from an experienced worker to a new employee while maintaining the productivity of both workers. Training is usually provided by the supervisors or peers with good work ethics. OJT is suitable for both non-managerial and managerial positions. Examples of OJT are coaching, mentoring and job rotation.

Figure 6.12 On-the-Job Training 6.7.1.1 Advantages and Disadvantages of On-the-Job Training The advantages and disadvantages of OJT are shown in the table below. Advantages Disadvantages Inexpensive Trainees may feel so pressured to produce

which creates a negative impact on learning Trainees learn and produce at the same time

Does not require off-site facilities such as classrooms

Facilitates learning as trainees receive immediate feedback

Table 6.2 Advantages and disadvantages of on-the-job training 6.7.1.2 Guidelines to Ensure the Effectiveness of On-the-Job Training Trainers should be aware of the following guidelines to ensure the success of OJT a. Prepare the Learner

• Decide what the trainee must be taught to do the job efficiently and intelligently. • Put the learners at ease • Explain why they are being taught • Create interest by encouraging questions and finding out about the learner’s working

experience • Explain the job and relate it to the learner’s existing job • Place the learner as close to the normal working position as possible • Provide the right equipment, materials, tools and trade terms

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b. Present the Operation • Explain the quantity and quality requirements • Instruct slowly, clearly, completely and patiently, one point a time covering the

difficult parts and the most likely errors to be made • Check, question and repeat • Ask the learner to re-cap what was taught earlier to ensure his understanding

c. Do a Tryout • Test the learner by having him perform the job • Ask questions beginning with why, how, when or where • Observe performance, correct errors and repeat instructions if necessary • Continue until the learner demonstrates ability to do the job

d. Follow Up • Assign a colleague to whom the learner can refer to when they encounter problems • Conduct a periodic check on the learner’s work against quality and quantity standards • Rectify any faulty work patterns and explain why the learned method is better • Praise workers for a job well-done and provide encouragement until they reach the

required standards. (Source: Dessler & Tan 2006. 177-178 & Byars & Rue 2003, p.193)

Figure 6.13 Putting the trainees at ease 6.7.1.3 Example of On-The-Job Training Kim receives her training checklist and is assigned to her senior, May. May is in charge of Kim’s training. She begins by getting to know her, telling her about the job and asking about her working experience. Then, she explains about the nature of the job and then demonstrates by performing the transaction and explaining each step, emphasizing the areas where mistakes might occur and highlighting the difficult parts. Kim is encouraged to ask questions at any time. May performs similar transactions a few times and then allows Kim to perform the transaction. May observes Kim’s performance and immediately corrects her on her mistakes. Once, May is confident of Kim’s ability, she gives her ten transactions to perform and will check Kim’s work before passing the transactions to the officer.

Figure 6.14 May providing feedback to Kim

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6.7.2 Apprenticeship Training Apprenticeship training combines classroom training and on-the-job training. The on-the-job training is conducted by a skilled and experienced employee and apprentices are equipped with the practical skills of the job. Classroom training exposes apprentices to the subjects that they are required to learn to perform the job effectively. The training program ranges from two to five years and the apprentices earn 50% less than their trainer. This type of training is common for occupations such as plumber, barber, carpenter, machinist and plumber.

Figure 6.15 Apprenticeship Programs 6.7.3 Lectures Lectures are also known as classroom training and is an effective method of imparting factual material, concepts, principles and theories to a large group of trainees in a short time. This method is used for technical, professional and managerial employees. There could also be a two-way communication during lectures if the group size is small. However, an organization may incur more cost in terms of printing the course materials.

Figure 6.16 Lectures 6.7.4 Programmed Learning Programmed learning is a three step self-learning method that consists of: a. Present questions, facts or problems to learner b. Allow the person to respond c. Provide feedback on the accuracy of the answers It allows the trainees to learn at their own pace and reduces the risk of error due to the immediate feedback. Nevertheless, trainees’ knowledge is limited to the textbook or computer program.

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Some organizations implement programmed learning via their intranet system. Trainees are given a time frame to complete the course and they have to pass the test before they are certified as completing the program.

Figure 6.17 Programmed learning 6.7.5 Audiovisual-Based Training Audiovisual-based training tools include film, audiotape, videotape, PowerPoint slides and others. Although this method is more expensive than lectures, we can use to show sequential steps in performing a job and show events. Video conferencing can be used for company wide training and it saves costs. The stop-action, replay and fast-or-slow-motion capabilities of audiovisuals are also useful for the trainees.

Figure 6.18 Types of Audiovisual-based training tools 6.7.6 Simulated Training Although trainees are trained off the job, they learn on the simulated equipment. This is usually for situations where it is too costly or dangerous to train employees on the job. For example, trainees learning to process payment transactions in the banks usually receive their training by performing transactions on simulated programs and equipments. This is because transactions involve huge sums of money and can be detrimental to the banks if there were errors in these transactions. 6.7.7 Computer-Based Training Computer-based training capitalizes on the advantages of the computer in providing better teaching delivery to trainees. Examples of computer-based training are virtual reality, e-learning and simulations. The advantages of computer-based training are as follows: a. It reduces teaching time b. It is cost effective c. The teaching is consistent among trainees d. If the trainees do not learn one section, they cannot proceed to the next section e. Immediate feedback increases trainees’ motivation and retention f. It is self-paced g. There are help screens to give additional explanation

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Figure 6.19 Computer-based training 6.7.8 Distance and Internet-Based Training There are various forms of distance learning methods as per the list below: a. Traditional paper-and-pencil correspondence courses b. Teletraining - A group of employees at remote locations learn from a trainer in a central location via televisionhook-ups c. Video-Conferencing – People from different locations communicate live via video equipment d. Internet-Based Training – Employees take online courses offered by online course providers or their own internal intranet system e. Learning Portals – Learning portals are developed to meet the training needs of the employees. It allows the employee to take a course, grades his work, monitors his training progress and reminds him on the scheduling of the courses.

Video-conferencing Learning Portal Teletraining Figure 6.20 Distance learning methods 6.7.9 Job Instruction Training It is a list of each job’s basic tasks, along with key points, in order to provide step-by-step training for employees. Key points show how and why the tasks must be done (Dessler 2006, p.278). Steps Key Points 1. Start motor None 2. Set cutting distance Carefully read scale – to prevent wrong-sized cut 3. Place paper on cutting table Make sure paper is even – to prevent uneven cut 4. Push paper up to cutter Make sure paper is tight – to prevent uneven cut 5. Grasp safety release with left hand

Do not release left hand – to prevent hand from being caught in cutter

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6. Grasp cutter release with right hand

Do not release right hand – to prevent hand from being caught in cutter

7. Simultaneously pull cutter and safety releases

Keep both hands on corresponding releases – to avoid being on cutting table

8. Wait for cutter to retract Keep both hands on releases – to avoid having hands on cutting table

9. Retract paper Make sure cutter is retracted; keep both hands away from releases

10. Shut off motor None Table 6.3 Example of job Instruction Training 6.7.10 Management Development Management development refers to any attempt to upgrade the skills and knowledge required in current and future managerial positions. The management development process comprises assessing the organization’s strategic needs, appraising the managers’ performance and developing the managers. This is part of succession planning. Managerial development comprises of on-the-job and off-the-job training activities as shown below: 6.7.10.1 Managerial On-The-Job Training There are various types of managerial on-the-job training methods as illustrated below. a. Job Rotation Job rotation means moving employees horizontally or vertically to expand their skills, knowledge or abilities (DeCenzo & Robbins 2005, p.206). As trainees spend several months in each department, they get an opportunity to learn and work in each department’s business. This allows them to discover their preferred jobs, reduce boredom and generate new ideas. Management trainees in Boustead Holdings spend a month in each department in their organization before they are assigned to their respective departments. This gives them valuable exposure in terms of understanding the business and looking at situations from different perspectives. b. Mentoring/Coaching In mentoring, a potential employee works directly with a senior manager who is the trainees’ mentor. The trainee usually performs some of the manager’s duties, thus, providing him an opportunity to learn the job.

Figure 6.21 Mentoring where the large hand is a senior helping the junior c. Action Learning

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Managers become part of a project team who analyzes and solves problems in other departments on a full-time basis. This allows the managers to participate in decision-making, learn by watching others and to investigate specific organizational problems.

Figure 6.22 Participating in action learning 6.7.10.2 Off-The-Job Management Training There are various types of managerial off-the-job training methods as illustrated below: a. Case Study Method Trainees are required to study the information provided in the case, identify the problem in the case and discuss their solutions with other trainees. They are required to do a research on the financial condition and business environment to gain a better understanding of the organization in the case study.

Figure 6.23 The Case Study Method b. Management Games Management games are simulations that attempt to duplicate a particular business environment. Trainees are divided into small groups where they are required to make business decisions such as price, production volumes and inventory levels without knowing the decisions of other groups. All groups are competing against one another in the market place. These games will develop the trainees’ problem-solving skills, leadership skills, planning skills and foster cooperation and teamwork.

Figure 6.24 Trainees discussing their business strategies

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c. External Seminar External seminars refer to management development seminars and conferences conducted by training companies and universities. Topics offered may range from basic financial skills to quality management.

Figure 6.25 External Seminar d. University-Related Program These programs refer to executive education and continuing education programs in leadership, supervision and others. The duration of these programs range from one day to several months. For example, the University of South Australia offers Executive MBA, catering for CEOs and senior managers. e. Role Play A training method where participants are required to respond to specific problems they may encounter in their jobs (Noe & Mondy 2005, p.212). This method allows trainees to practice the new skills taught such as interviewing skills, selling skills, conducting performance appraisal reviews and grievance handling.

Figure 6.26 Role Play-Mediation Process f. Behavior Modeling Trainees are shown the right way to do something. After that, they will practice and the trainer will give them feedback. The basic behavior modeling procedure is as follows:

• Trainees watch films of videotapes showing models behaving effectively in a situation. The tape may show how to conduct an effective interview

• Trainees are then required to role play the situation and practice the behaviors learnt from the videotapes or films

• The trainer will provide feedback on the performance of the trainees • Trainees are encouraged to apply these new skills when they return to their jobs

g. Corporate University and In-House Training Centre

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Many large organizations have their own in-house training centre. These centres work with external training providers or university to create and customize programs that suit their needs. For example, Public Bank Berhad has its own in-house training centre in Bangi. h. Executive Coach An executive coach is an external consultant who questions the executives’ boss, peers, subordinates and sometimes family in order to identify the executives’ strengths and weaknesses. Executives are then counseled on how to capitalize their strengths and overcome their weaknesses (Dessler & Tan 2006, p.183).

Figure 6.27 An executive coach consulting the executive 6.11 Implementing Training and Development An organization that has a well structured training program may still fail if it cannot implement the programs efficiently and effectively. The barriers hindering the implementation of training and development programs are as follows: a. Participants are not convinced of the credibility of the programs i.e. they do not believe that the programs can help them to achieve their personal and professional goals. b. Managers are overloaded with work and therefore, too busy to attend the training programs c. Lack of qualified and creative trainers d. Training implies change and could meet resistance from employees e. Difficult to schedule the training around present work requirements f. Difficult to maintain records, especially, measuring program effectiveness and charting employees’ progress in the organization. 6.12 Evaluating Training Programs As more organizations are measuring HR managements’ financial impact, it is becoming more important to evaluate the training programs. 6.12.1 Design the Performance-based Evaluation Method Before we can evaluate a training program, we must design the performance-based evaluation measure. It is usually a time series design. The three popular methods of evaluating training programs are: 6.12.1.1 Post-Training Performance Method Trainees’ performance is evaluated based on the job performance after training. For instance, if the organization provides training on the techniques of problem solving and decision

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making, it will follow-up one month later with each trainee to see whether there are significant changes in their behavior. The basic assumption is that the changes were caused by the training program. However, these changes could also be due to other factors such as reading the latest Strategic Management journal. As such, the post-training performance method may overstate training benefits. 6.12.1.2 Pre-Post Training Performance Method Each trainee is evaluated based on the differences in performance before and after training. Any increase in performance is attributed to the effectiveness of the training program. This method deals directly with job behavior. 6.12.1.3 Pre-Post Training Performance with Control Group Method In this approach, the organization will use both a training group and a control group that does not receive any training. Data on actual job performance is collected: a. before the training has commenced b. after the completion of the training If the performance of the training group has improved tremendously as compared to the control group, the training is said to be effective. Among the three methods, the pre-post-training performance method and the pre-post-training performance with control group method are preferred because they provide a stronger measure of behavioral change directly attributable to the training effort (DeCenzo & Robbins 2005, p.215). 6.12.2 Measuring Training Outcome The items that can be used to measure the training outcomes are as follows: 6.12.2.1 Participant’s Reactions Ask trainees’ opinion on the training program and recommendations for improvements. Although it is easy and inexpensive to get feedback, their opinions could be influenced by other factors such as personality characteristics of the trainer, difficulty or entertainment value. Cosmopoint’s Training Evaluation Form Figure 6.28 Example of training evaluation form 6.12.2.2 Extent of Learning Test the trainees to gauge whether they have learned the principles, skills and facts taught in the program. Although the trainees may have obtained a high score in the test, there is no guarantee that they will use the new knowledge when they return to their jobs. 6.12.2.3 Behavioral Change Behavior evaluation measures the changes in the trainees’ behaviors after attending the training program. Guidelines for evaluating behavior change are as follows:

• A Pre-Post Training Performance appraisal should be made regarding on-the-job performance

• The appraisal is either conducted by the trainee, trainees’ superior, trainees’ subordinates or peers.

• A statistical analysis should be made to compare performance before and after training and to relate changes to the training program

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• The post-training appraisal should be made several months after training • A control group should also be used

Dessler & Tan 2006, p.192 Figure 6.29 Time Series Evaluation Design 6.12.2.4 Training and Development Objectives Use the results from the pretests, posttests and control groups and compare them with the training and development objectives. 6.12.2.5 Benchmarking Benchmarking involves measuring an organization’s internal processes and then comparing the data with information from organizations. 6.13 The Training Environment in Malaysia The Malaysian Government has identified human capital development as a crucial factor in order for the country to compete globally as well as to become a developed nation by 2020. The government aims to develop knowledge workers who are competitive, flexible, dynamic, and performance-oriented and at the same time, possess good ethics, moral and spiritual values. A National Advisory Council on Education and Training has been established for this purpose. The commitment and support from the Government is evidenced by its allocation of RM45.1 billion during the Ninth Malaysian Plan Period to implement various education and training programs (Please refer to the table below). Programme 8th MP

Expenditure 9th MP Allocation

Education 37,922.0 40356.5 Training

• Industrial Training • Commercial Training • Management Training

4,450.90 3930.60 158.60 361.70

4,792.60 4,103.60 179.50 509.50

Total 42,372.90 45,149.10 Table 6.4 The Development Expenditure and Allocation for Education and Training from 2001 to 2010 Source: Adapted from Economic Planning Unit, cited in 9th Malaysian Plan There are many public training providers in Malaysia specializing in different fields such as law, education, diplomatic relations, customs, immigration, property evaluation and entrepreneurship. Examples of some public sector training providers are: a. Institut Tadbiran Awam Negara (INTAN) which caters for public sector managers. INTAN is expected to offer new training programs in the area of customer service, Islamic Finance and developing high performance employees. Apart from that, it will also implement e-learning initiatives. b. Institut Aminudin Baki which aims to enhance the management skills and professionalism of education personnel c. Institut Latihan Kehakiman dan Perundangang – for legal service personnel Private training institutions such as Malaysian Institute of Management, Institute of Bankers, FMM Institute of Manufacturing and Malaysia Institute of Human Resource Management will continue to provide management and specialized training.

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In terms of skills training, the number of public training institutions for pre-employment training has increased by 20 while the existing ones are in the process of upgrading. The Malaysian Skills Certificate scheme equips and upgrades the skills of our workforce. The number of graduates from this scheme was 38,765 in 2005. The scheme is supported by the Skills Development Fund. The Government has also launched the National Dual Training System in 2005 to improve and standardize the quality of training. Pembangunan Sumber Manusia Berhad (in short, PSMB) was established in 1993 for in-employment training and is employer driven. All organizations with more than 50 employees are required by law to contribute 1% of their total monthly salary to this fund. They are then allowed to apply for financial reimbursement to pay their training costs. Under the 9th Malaysian Plan, PSMB is expected to intensify its efforts to encourage more employers to retrain their employees and will expand its coverage to include organizations in manufacturing-related services.

Figure 6.30 Example of training by PSMB In its effort to increase the number of graduates in science and technology, the Malaysian Government is encouraging private sector organizations to set up universities. For example, foreign universities such as Monash have set up its branch campus in Kuala Lumpur (Dessler & Tan 2006, p.197). The number of universities has also increased by 120% respectively in 2005 compared to 2000.

Figure 6.31 Monash University In conclusion, Malaysia understands that investment in human capital via training and development is essential to sustain economic resilience and growth and drive a knowledge-based economy. 6.14 Chapter Summary 1. Employee orientation is a procedure for providing new employees with basic background

information about the organization and job. There are two types of orientation i.e. 1. organizational orientation and 2. departmental and job orientation.

2. Training and development refers to the continuous effort developed to improve employee efficiency and effectiveness as well as organizational performance.

3. Factors that influence training and development are change, top management support, commitment from specialists and generalists, technological advances, organization complexity, learning styles and other Human Resource functions.

4. The training process consists of: 1. needs analysis, 2. instructional design, 3. validation, 4. implementation and 5. evaluation and follow-up.

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5. Task analysis is a detailed study of a job to identify the specific skills required to do the job.

6. Performance analysis is the process of verifying that there is a performance deficiency and determining is such deficiency should be corrected through training or other means.

7. There are various types of training methods such as on-the-job training, apprenticeship training, lectures, programmed learning, audiovisual-based training, simulated training, computer-based training, distance and Internet-based training and job instruction training.

8. Management development prepares employees for future jobs by imparting knowledge, changing attitudes or increasing skills.

9. Managerial on-the-job training methods include job rotation, coaching and action learning. Managerial off-the-job training include case studies, management games, external seminars, university-related programs, role play, behavior modeling and in-house training centres.

10. Organizations may face lots of problems while implementing training and development programs such as lack of qualified trainers, resistance to change by employees, record keeping and monitoring the trainees after the program and trainees’ have a bad perception of the training programs.

11. In evaluating a training program, there are four outcomes to measure: 1. reactions, 2. learning, 3. behavior and 4. results.

6.15 Case Study – Elid Door Company Omomo Anne, General Manager of Elid Door, has a problem. No matter how often she tells her employees how to do their jobs, they always “decide to do it their way,” as she puts it. There were several arguments between Julia, the employee and the employee’s supervisor. One example is the door-design department, where the designers are expected to work with the architects to design doors that meet the specifications. While it is not “rocket science,” as Julia puts it, the designers always make mistakes – such as designing in too much steel, a problem that can cost Elid tens of thousands of wasted ringgits, once you consider the number of doors in say, a 30 storey office tower. The current training process is as follows. None of the jobs have a good training manual, although several have somewhat out-of-date job descriptions. Training for new people is all on the job. Usually, the person leaving the company trains the new person during the one-two-week overlap period, but if there is no overlap, the new person is trained by other employees who have done the job in the past. The training is basically the same throughout the company – for machinists, secretaries, assemblers and accounting clerks. Questions 1. What do you think of Elid’s training process? Could it help to explain why employees “do things their way,” and if so, how? 2. What role do job descriptions play in training? 3. Explain in detail what you will do to improve the training process at Elid. Make sure to provide specific suggestions. 6.15 Exercises 6.15.1 Answer the following questions 1. __________ provides new employees with the basic background information required to perform their jobs satisfactorily. a. Employee recruitment b. Employee selection c. Employee orientation

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d. Employee development e. Training 2. Orientation typically includes information on _______________. a. employee benefits b. personnel policies c. daily routine d. safety measures e. all of the above 3. The methods used to give new or present employees the skills they need to perform their jobs are called _________________. a. orientation b. training c. development d. appraisal e. management 4. Which of the following is not a consideration when designing a training program that motivates the trainees? a. provide the opportunity to apply the material b. provide prompt feedback c. utilize a half or three-fourths day schedule d. pay the trainees for the time spent in training e. allow trainees to set their own pace 5. Under which situation below, should an employer pay an employee for time spent in training? a. the training program is voluntary b. the training program is directly related to the trainee’s job c. the trainee does not perform any productive work during the program d. the training program is conducted outside working hours e. the training provides no immediate benefit to the employer 6. Employers can supplement the job description and specification with a ___________ that consolidates information regarding require tasks and skills in a format that is helpful for determining training requirements. a. performance record form b. training assessment form c. task analysis record form d. skill sheet e. work function analysis 7. The process of verifying that there is a performance deficiency and determining if such deficiency should be corrected through training or through some other means is called ____________. a. needs analysis b. task analysis c. performance analysis d. training strategy

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e. development planning 8. ________________ means having a person learn a job by actually doing it. a. Practice b. On-the-job training c. Socialization d. Social learning e. Modeling 9. Rebekah was hired soon after graduation and assigned to complete a management trainee program. She will move to various jobs each month for a nine-month period of time. Her employer is utilizing the ____________ form of training. a. job rotation b. understudy c. coaching d. special assignments e. informal learning 10. Jack hopes to be promoted to head of his department next year. In the meantime, he has been assigned to spend a year as assistant to the current department head. This is an example of the ____________ form of training. a. job rotation b. understudy c. coaching d. special assignments e. informal learning 11. Which of the following guidelines is intended to “Prepare the Learner” for success using on-the-job training? a. explain performance quality requirements b. go through the job at the normal work pace c. designate to whom the learner should go for help d. familiarize the worker with equipment, materials and tools e. compliment good work 12. Which of the following is not part of the “Follow Up” step in ensuring success from on-the-job training? a. decrease supervision b. correct faulty work patterns c. explain quantity and quality requirements d. designate to whom the learner should go for help e. compliment good work 13. A structured process by which people become skilled workers through a combination of classroom instruction and on-the-job training is called _____________. a. job instruction training b. understudy training c. programmed learning d. apprenticeship training e. coaching

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14. All of the following occupations except ________ use apprenticeship training. a. cook b. electrician c. millwright d. orperating engineer e. teacher 15. Another term for vestibule training is __________________. a. apprenticeship training b. computer-based training c. cubicle training d. simulated training e. job instruction training 16. Pilots train on flight simulators for safety, learning efficiency and cost savings. This is an example of _____________. a. apprenticeship training b. on-the-job training c. simulated training d. coaching e. programmed learning 17. United Airlines utilizes a checklist of things that pilots should do prior to take-off and landing. This checklist is an example of a(n) ____________. a. job aid b. instruction sheet c. task analysis form d. work function analysis e. skill sheet 18. Travel agents at Appollo Travel Services follow a computer program that displays question prompts and dialogue boxes with travel policies as the agent enters information about the consumer’s travel plans. This is an example of a(n) _____________/ a. job aid b. electronic performance support system c. intelligent tutoring system d. computer-managed instruction e. computer-based training 19. Which on-the-job training method is used for managerial positions? a. job rotation b. coaching c. action learning d. outside seminars e. all of the above 20. In a __________, measures are taken before and after the training program so that they can be compared to assess the effectiveness of the program. a. Solomon four-factor design

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b. time series design c. controlled experiment d. post-test only design e. factorial design 21. There are several sources of information an employer can use to identify a current employee’s training needs. List five of these sources of information. 22. On-the-job training can be enhanced if trainers know the four-step job instruction technique. What are the four steps in job instruction? Explain what happens in each step.