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TRAINING & DEVELOPMENT Dr. Jos Akkermans

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TRAINING & DEVELOPMENT Dr. Jos Akkermans

NICE TO MEET YOU (AGAIN)! Dr. Jos Akkermans Associate Professor of Sustainable Career & OB @ VU Amsterdam Research on sustainable careers & changing employer-

employee relationships Associate editor of Career Development International

Program director of Business Administration Master program Program coordinator of HRM Master program

Board member of the Netherlands Foundation for

Management Development (NFMD) Scientific board member of Knowvium Executive team member of Academy of Management

Careers Division

After this lecture, you will…… Understand the foundations of Training & Development

practices and be able to contextualize this in the current labor market situation

Have a basic understanding of how T&D is implemented across countries

Be familiar with the management paradox of employability and understand its role in contemporary T&D practices

Be familiar with some basic differences in career management across the globe

WHAT’S THE STORY OF TODAY? Challenges that HR is facing…

… you are well familiar with those by now! e.g., “war for talent”, managing diversity, ICT developments (self-service),

balancing administrative and strategic tasks

Challenges that T&D Practices are facing… From Job Design to Job Re-Design HR cannot offer lifetime job security anymore Ever more temporary workers and entrepreneurs: to invest or not? How can we train and develop employees in today’s labor market?

Series of Jobs

Quantifiable Facts

Developmental Process

Entire Lifespan

All Relevant Experiences

Perceptions

Overview of Proven Efforts

Starting from First Job

CAREERS ARE CHANGING!

WORK • Flexible • Bottom-up • Proactive • Lifelong learning

CAREER • Horizontal &

vertical • Unpredictable • Subjective • Agency

CHALLENGES • Who is

responsible? • Traditional vs.

new systems • Agency in

unpredictable times

DILEMMA: NEW “VERSUS” TRADITIONAL We talk about the traditional career as if it were extinct, but……

The economic crisis has left many employees afraid to take risks The 12,5 and 25 year anniversaries are still the absolute climax of many

employees’ careers! Many HR policies are still built on the classical principles of vertical

growth after achieving certain performance standards. In many countries the traditional career is the way of life (i.e., culture!)

We have a diversity on the labor market of traditional AND new!

Many managers and policy makers were raised with a traditional career perspective, whereas many (young) workers have new career ideals…

Many organizations are afraid to lose their high potentials and try to bind them as long as they can; commitment to organization vs. to self

REWIND TO HRM & OB 2.1:

WHAT IS TRAINING? WHAT IS DEVELOPMENT?

WHAT IS THE DIFFERENCE?

Training is an organization’s planned efforts to help

employees acquire job-related knowledge, skills, abilities, and behaviors, with the goal of applying these on the job

Training can benefit the organization when it is linked to organizational needs and when it motivates employees

Training is important because… The nature of the modern business environment requires competent and

highly skilled employees Rapid change requires that employees continually learn new skills Growing reliance on teamwork creates a demand for the ability to solve

problems in teams, an ability that often requires formal training

REWIND TO HRM & OB 2.1

Development is the combination of formal education, job

experiences, relationships, and assessment of personality and abilities to help employees prepare for the future of their careers New jobs New tasks New requirements New responsibilities

Development is important because…

Protean career (Sustainable) Employability TD, MD, “war for talent” Internal flow of employees; Succession management

REWIND TO HRM & OB 2.1

REWIND TO HRM & OB 2.1

TRAINING DEVELOPMENT

FOCUS Current Future

USE OF WORK EXPERIENCES

Improving current job performance Learning for future job performance

GOAL Preparation for current job Preparation for changes

PARTICIPATION Mandatory Voluntary

IMPORTANT TERMS

Instructional Design Training effectiveness

Training transfer

(Protean) Career Continuous Learning

OCM

TRENDS IN T&D Increasing amount of highly educated people

Higher education from “elite” to “all” … which has implications for the characteristics of the workforce … which has implications for T&D in organizations … which has implications for higher education in itself…?

T&D as the stronghold of the HRM department

After pay and benefits, T&D policies and practices most common as a core HR task in organizations

Evidence-based and HR analytics Researching whether T&D actually works

e.g., emphasis on T&D (pressure for excellence, power distance) & function of T&D (individual versus organization)

e.g., emphasis on entrepeneurship, pressure to be flexible vs. stable

e.g., available budgets for T&D, sectorial emphasis on & need for T&D (knowledge work vs production)

e.g., role of HRM (administrative vs shared service); “doing” vs evaluating

WE HAVE AN INTERNATIONAL CROWD HERE, RIGHT?

TELL ME: HOW IS EDUCATION

ORGANIZED IN YOUR COUNTRY?

COUNTRIES TYPE OF ECONOMY CHARACTERISTICS

France, Germany, Austria, Belgium

Continental European Capitalism

Job security; long-term investing = “safe” Vocational orientation; job-specific skills Low turnover, protected jobs

Finland, Sweden, Denmark

Social Democratic Co-ordinated Market Economies

VET focused on theory; lacking industry skills In-company training important tool Individuals need to take responsility for gaps

USA, UK, Ireland Market-based/LMEs (Liberal Market Economy)

A lot of variation in quality based on schools Many low-skilled job seekers; low job security Fierce competition; focus on employability

Italy, Spain, Portugal, Greence

Southern Europe Capitalism

Declining state support; external T&D needed Relatively many with low levels of education Skill gaps likely at junior and senior level

Czech Republic, Slovakia, Slovena, Estonia, Bulgaria

Transitional Countries Increasing liberalization short-term approach Dilemma of quick change vs. continuity Mismatch between T&D needs vs. provision

VET SYSTEMS ACROSS THE WORLD

REAL WORLD CHECK

ZOOM SESSION

PLEASE DISCUSS IN GROUPS 2-3:

WHAT DOES YOUR OWN EDUCATIONAL PATH IMPLY FOR FUTURE T&D INVESTMENTS?

CONCLUSIONS SO FAR T&D is a core HR practice across the board

One of the most recognizable and important HR functions But: changing employer-employee relationship significantly impacts the

role and type of T&D in organizations Increasing emphasis on individual agency

VET systems significantly impact T&D in organizations

Type and quality of VET influences type and intensity of T&D needed Ranging from only initial T&D to continuous T&D Ranging from specific to generalistic

SE THEORY (BLAU; CROPANZANO & MITCHELL)

SDT (DECI & RYAN)

COR THEORY (HOBFOLL)

TRENDS IN T&D Increasing amount of highly educated people

Higher education from “elite” to “all” … which has implications for the characteristics of the workforce … which has implications for T&D in organizations … which has implications for higher education in itself…?

T&D as the stronghold of the HRM department

After pay and benefits, T&D policies and practices most common as a core HR task in organizations

Dilemma of investing in employees Short-term contracts, entrepeneurs, etc. still worth it to invest?

THE ‘NEW’ CAREER

WORK • Flexible • Bottom-up • Proactive • Lifelong learning

CAREER • Horizontal &

vertical • Unpredictable • Subjective • Agency

CHALLENGES • Who is

responsible? • Traditional vs. new

systems • Agency in

unpredictable times

EMPLOYABILITY “An individual’s chance of finding a job in the internal and/or external

labor market”

DIMENSIONS OF EMPLOYABILITY Occupational Expertise Anticipation and Optimization (proactive) Personal Flexibility (reactive) Corporate Sense (cf., OCB) Balance (P-J; W-H)

PERCEIVED EMPLOYABILITY

Internal + External

EMPLOYABILITY MANAGEMENT PARADOX

RESEARCH CLEARLY SUPPORTS THE VALUE OF EMPLOYABILITY

It is positively related to individual career success (e.g., Akkermans & Tims, 2017; De Cuyper et al., 2012; De Vos et al., 2011)

It is positively related to employee well-being and resilience (e.g., Berntson et al., 2008; Akkermans et al., 2015)

It is positively related to performance and negatively related to employee turnover intentions (De Cuyper et al., 2011)

EMPLOYABILITY MANAGEMENT PARADOX

WAIT, WHAT…?! WE ARE DOING A BUSINESS ADMINISTRATION PROGRAM AND YOU’RE TELLING US IT IS ALL ABOUT TAILORING

INDIVIDUAL NEEDS? WHAT ABOUT PROFITS?

WHAT ABOUT THE ROLE OF THE ORGANIZATION?

THE MANAGEMENT PARADOX OF EMPLOYABILITY

Organizations need a flexible and diverse workforce investments are needed

But are there any trade-offs?

Won’t my employable high potentials be less dependent on my company and be more willing to leave?

EMPLOYABILITY MANAGEMENT PARADOX

YES, IT MIGHT HAPPEN! Perhaps those employable high potentials will get a better offer elsewhere Or just find out that their passions can be used more effectively elsewhere BUT…… is that a problem? “You lose some, you gain some” And the ones who stay, will be better at what they do!

WHAT DO WE KNOW SO FAR?

Research findings so far are mixed and flawed There might be trade-offs of T&D investments in employability,

yet SE theory could also explain no trade-offs at all! Ongoing study: HRM investments increase commitment commitment via internal employability; positive or no relationship via external employability (Akkermans et al.)

EMPLOYABILITY MANAGEMENT PARADOX

ZOOM SESSION:

PLEASE DISCUSS IN GROUPS 2-3:

HOW APPLICABLE DO YOU THINK THE “NEW CAREER” IS

ACROSS NATIONAL CULTURES?

“A careers expert working in the remote rural areas of South Africa showed photographs of the conditions of career protagionists …… Other children were shown walking around the countryside hunting for scraps of food …… In some areas the unemployment rate was as high as 98%

and no one in most families had had a job for generations.”

HOW WOULD THEY “PROACTIVELY SELF-MANAGE” THEIR CAREER?

WHAT WOULD THE TERM “CAREER” EVEN MEAN TO THEM?

OCM: AN INTERNATIONAL PERSPECTIVE

Education Job; Expectation of long-term JAPAN

Family businesses; Career chosen by others CHINA

Missing middle; Surplus of highly educated INDIA

Community & discretion; External powers NATIVE AMERICANS

Ethics & traditions; Those guide careers BAHRAIN

Mostly traditional; long-term employment BELGIUM

50% small family; HRM = non-existent TAIWAN

OCM: AN INTERNATIONAL PERSPECTIVE

LET’S LOOK AT HOFSTEDE’S DIMENSIONS…

DIMENSION CHARACTERISTICS

Individualism (Versus Collectivism)

Responsible For Own Behavior; Focus On Self

Low Power Distance (Versus High PD)

Traditional Norms, Practices, Values Relatively Unimportant

Low Uncertainty Avoidance (Versus High UA)

Flexibility As Norm; Stability As Problem

Masculinity (Versus Femininity)

Agency (Versus Community Women)

OCM: AN INTERNATIONAL PERSPECTIVE

LET’S LOOK AT HOFSTEDE’S DIMENSIONS…

DIMENSION CHARACTERISTICS ORIGIN

Individualism (Versus Collectivism)

Responsible For Own Behavior; Focus On Self

US & WESTERN EUROPE

Low Power Distance (Versus High PD)

Traditional Norms, Practices, Values Relatively Unimportant

US & WESTERN EUROPE

Low Uncertainty Avoidance (Versus High UA)

Flexibility As Norm; Stability As Problem

US & WESTERN EUROPE

Masculinity (Versus Femininity)

Agency (Versus Community Women)

US & WESTERN EUROPE

OCM: AN INTERNATIONAL PERSPECTIVE

LET’S LOOK AT THREE OF TROMPENAARS’ DIMENSIONS…

DIMENSION CHARACTERISTICS

Individualism (Vs. Communitarianism)

Responsible For Own Behavior; Focus On Self

Achievement (Vs. Ascription)

Opportunities And Development Based On Performance And Track Records

Inner-directed (Vs. Outer-directed)

Internal Locus Of Control; Responsible For Own Behaviors

OCM: AN INTERNATIONAL PERSPECTIVE

LET’S LOOK AT THREE OF TROMPENAARS’ DIMENSIONS…

DIMENSION CHARACTERISTICS ORIGIN

Individualism (Vs. Communitarianism)

Responsible For Own Behavior; Focus On Self

US & WESTERN EUROPE

Achievement (Vs. Ascription)

Opportunities And Development Based On Performance And Track Records

US & WESTERN EUROPE

Inner-directed (Vs. Outer-directed)

Internal Locus Of Control; Responsible For Own Behaviors

US & WESTERN EUROPE

OCM: AN INTERNATIONAL PERSPECTIVE

SO…

THE NEW CAREER PARADIGM IS TRUE!

FOR THE USA AND WESTERN EUROPE, AT LEAST! (although it is certainly spreading)

Beyond that? Depends on VET, T&D needs/focus, etc. Keyword = context

OCM: AN INTERNATIONAL PERSPECTIVE

WHAT ARE THE IMPLICATIONS OF THIS? T&D Practices need to be adapted

To the changes in jobs and careers To the changes in responsibility between individual and organization To the diversity of employees on the labor market

T&D Practices are not a “onze size fits all”

Psychological contracts, i-deals, job re-design all come down to customization of practices to tailor individual needs

New ways of working and ICT developments allow for differentiation Revision of the traditional “high potential only” strategy of T&D is needed Career management systems differ across countries

REWIND: After this lecture, you will…… Understand the foundations of Training & Development

practices and be able to contextualize this in the current labor market situation

Have a basic understanding of how T&D is implemented across countries

Be familiar with the management paradox of employability and understand its role in contemporary T&D practices

Be familiar with some basic differences in career management across the globe

www.josakkermans.com

[email protected]

STUDY @ HOME MATERIAL

MD for the Elite

Traditionally, MD was reserved for high potentials only (e.g., traineeship) Focus on seperating wheat from chaff

MD as a crucial T&D investment

Leadership increasingly important theme in organizations Striving to train & develop the best future leaders (vs. recruit them)

MD changing focus

Jobs and careers are changing; managers are also less loyal and long-term Focus more on “internal career” than “external career” But: strongly dependent on the context!

STUDY @ HOME MATERIAL

Skills type Career paths Who pays for

training?

Agents driving training National characteristics of

managers

UK Managers can maintain skills when moving jobs

Increased emphasis on post graduate education

Less emphasis on firm level careers

Weak career structures; low job security

Self-funded business education

Chartered institutions prized over low status of vocational training

Focus on generalists

Being manager = getting things done through others

Germany Tech/scientific skills prior to becoming managers

Training on specialized knowledge & skills

Theoretical principles

Low mobility between firms leads to succession planning

Long tenure; focus on in-house training

Managerial training funded by firms

High status of VET for managers

High level CEOs would have PhDs

High consensus between managers and workers

France Grandes Écoles Vocational origins and proximity to business world

Job hierarchies and seniority - cadre

Internal labor markets; low inter-firm mobility

Statute requires firms to spend at least 1.5% of wage bill on training

Grandes Écoles technocratic elite

Managers are ‘coordinators’

Being manager = identity

Comparatively weak retention and short term training plans

STUDY @ HOME MATERIAL

Skills type Career paths Who pays for

training?

Agents driving training National characteristics of

managers

Spain Traditional focus on internal training

Foreign assignments play an important role in career

T & D prevalent

Successful MBAs because of traditional weaknesses elsewhere

Few apprenticeships

Weak retention and comparatively short term training plans

Norway Emphasis on company and VET training

Strong long term commitment, though increasing mobility

Legislation around managerial autonomy, functional responsibilities

Egalitarian management & transparent communication

Denmark Mixture of firm-specific learning with formal education and VET

Strong promotion and internal labor market opportunities

Strong career structures; high manager retention

State offers affordable post graduate managerial training

Combines VET and formal MBA education

Managers willing and encouraged to take risks – supported by safety net

STUDY @ HOME MATERIAL