profitable people ppt

PROFITABLE PEOPLE ARE

PEOPLE ON THE RISE

:

ARISE TRAINING & RESEARCH CENTER

CHAPTER OUTLINE Training and

development

Types of training

Benefits of training and development

Need for training

Planning and strategizing for training

Needs assessment

Setting training objectives

Training design and implementation

Transfer of training (learning)

Types of training

Training evaluation

Integrating training with PMS and compensation


TRAINING: Definition Training is a process whereby people acquire capabilities to aid in

the achievement of organizational goals. - Mathis And Jackson

Training is a process of teaching a new employees the basic skills to perform their jobs

- Garry Dessler

A planned process to modify attitude , knowledge or skill behaviour through learning experience to achieve effective performance in an activity or range of activities. Its purpose, in the work situation, is to develop the abilities of the individual and to satisfy the current and future needs of the organization. -Manpower service commission,1981a


DEVELOPMENTDefinition:Efforts made to improve employee’s ability to handle a

variety of assignment.DIFFERENCE BETWEEN TRAINING AND DEVELOPMENT :Development is broader in scope and focuses on individual’s gaining

new capabilities useful for both present and future jobs.

TRAININGLearn specific behaviours and actions; demonstrate techniques and processes

DEVELOPMENTUnderstood information concepts and context; develop judgment; expand capacities for assignment.

Shorter term Longer term

Qualified people available when needed; promotion from within possible; HR-based competitive advantage

Performance appraisals, cost benefit analysis, passing tests , or certification

Focus

Time frame

Effective Measure


TYPES OF TRAINING Required and regular training : company with various

mandated legal requirements (e.g., occupational safety, EEO) and serves as training for all employees (new employee orientation)

Job/technical training: enable employees to perform their jobs, tasks and responsibilities well (e.g. product knowledge, technical process and procedures, customer relations)

Interpersonal and problem solving training : address both operational and interpersonal problems and seeks improve organizational working relationships.

Development and innovative training : provides a long term focus to enhance individual and organizational capabilities for the future (e.g. business practice, executive development, organizational change)


Active and passive learning : traditional training is a one way learning process whereby a passive learner receiving information from a lecturer, tutor or instructor.

Interactive learning methods : there are a wide variety of interactive learning techniques, some of them adoptions of one way approaches-

Interactive computer learning packages, video and audio tapes

WorkshopsCase studies Role playSimulationsProblem solving


BENEFITS OF TRAINING

1.Benefits To The Organization

Improved profitability. Improved job knowledge at all level of organization. Improved morale of the workforce.Helps people identify with organizational goal.Helps create a better corporate image.Fosters authenticity, openness and trust. Improves relationship between employees.Aids in organizational development.Learns from the trainee.Helps prepare guidelines for the work.

Contd..


BENEFITS OF TRAINING (Contd..)Aids in setting organizational policies.Provides information for future needs.More effectiveness in decision making and problem solving.Development for promotion from withinDevelopment of leadership, motivation, loyalty etc. Increase productivity and quality of workKeeps the cost down in any area.Develops a sense of responsibility. Improves labor-management relation.Reduces outside consulting cost.Creates an appropriate climate for growth and

communication.Helps employees adjust to change.


2. Benefits To Individual, Thereby To Organization.

Better decision making and effective problem solving Encouragement and achievement of self-development and

self-confidence. Better stress handling, tension, frustration and conflict. Improvement in leadership, knowledge, skills and attitude. Increased job satisfaction and recognition. Satisfies personal needs of trainer and trainee. Provides avenue for growth Develops a sense of growth in learning. Eliminates fear in attempting new task


3. Benefits in personnel and human relation:Intra and Inter Group

Improves communication between individual and groups.Aids in orientation of new employees.Provides information on equal opportunity and affirmative

action.Provides information on other government laws and policies. Improves inter personal skills.Makes organisational policies, rules and regulations viable. Improves morale.Builds cohesiveness in groups.Provides a good climate for learning, growth, and co-

ordination.Makes the organistaion a better place to work and live.


THE NEED FOR TRAINING

Companies initially used to emphasize only on production process training i.e. teaching technical skill required to perform jobs, such as training assembles to solder wires or teachers to device lesson plans. however training and development programs and their objectives change in the 1980s and 1990s.

Employers had to adapt to rapid technological changes, improve product and service quality, and boost productivity to stay competitive improving quality often requires remedial-education training, since quality-improvement programs assume employees can use critical thinking skills, produce charts and graphs and analyse data.

Employees must also use or acquire skills in team building, decision making, and communication.

As firms become more technologically advance, employees require training in technological and computer skills (such as desk top publishing and computer aided design and manufacturing).

Contd…


THE NEED FOR TRAINING (Contd…)

As increased competition has put a premium on better service, employers have turned increasingly to customer-service training to provide employees with the tools and abilities they need to deal more effectively with customers, such as effective listening skills.

More employers today are also taking advantage of the fact that training can strengthen employee commitment.this is one reason why high commitment firms like toyota provide two weeks of training per year for all employers-about double the national average


PLANNING AND STRATEGISING FOR TRAINING

Planning and strategic training are two important aspects of human resource development, whereby there are no set procedures which organisations should strictly follow in creating a human resource development plan (HRM). However the eight points listed bellow can act as a guidance.

A HUMAN RESOURCE DEVELOPMENT PLAN:1. Discern the training and developing requirements from organisational

strategy and business objectives.2. Analyse the training requirements for effective work performance in

organisational functions and jobs.3. Analysing the existing qualities and training needs of current

employees.4. Devise an HRD plan which fills the gap between organisational

requirements and the present skills and knowledge of the employees.5. Decide on the appropriate training and development methods to be

used for individuals and groups.6. Decide who is to have responsibility for the plan and its various parts.7. Implement the plan and evaluate its progress. 8. Amend the HRD plan in the light of monitoring/evaluation and

changes in business strategy.ARISE TRAINING & RESEARCH CENTER

A TRAINING CYCLE BASED ON HRD PLAN

Organisational strategy HRM strategy

Training and developmentstrategy

Analysis of needs

Training programs

Monitor and Evaluate


TRAINING PROCESS

DESIGN• Pre-test trainees • Select training methods• Plan training content

DELIVERY• Schedule training• Conduct training • Monitor training

EVALUATION• Measure training outcomes• Compare outcomes to

Objectives/criteria

ASSESSMENT• Analyse training needs• Identify training objectives and criteria


STRATEGIC TRAININGStrategic training- It focuses on efforts that develop

competencies, value and competitive advantages for the organizations which means training must be based on organizations strategic plans and HR planning efforts.

Strategic training also implies that HR and training professionals need to be involved in organizational change and strategic planning in order to develop training plans and activities that support management’s strategic decisions.


STRATEGISING TRAINING Strategic Training

• Develops employee capabilities • Encourages change • Promotes continuous learning • Creates/shares new knowledge • Facilitates communication

Business Strategies

Training Strategies

&Activities


NEEDS ASSESSMENT The first step in training is to determine what training is

required, thus assessing the training needs of the new employees is important. This is the diagnostic phase of setting training objectives.

INDIVIDUAL ORGANISATION

TRAINING ANDDEVELOPMENT


TECHNIQUES FOR IDENTIFYING NEEDSThere are two types of techniques to identify NEEDS:1. TASK ANALYSIS2. PERFORMANCE ANALYSIS

Task Analysis : An analysis of the job’s requirements to determine the

training required.

It is done by TASK ANALYSIS RECORD FORM (tabular structure) this consolidates information regarding the job’s required tasks and skills which are helpful in determining training requirements.


Performance Analysis : Verifies performance deficiency and determine whether

that deficiency should be rectified through training or some other means.

The first step is to appraise employees’ performance, since to improve it, first determine person’s current performance compared to what it should be.

To distinguish between can’t do and won’t do problems, their specific causes and solutions.


SETTING TRAINING OBJECTIVESAfter analysing training needs, concrete measurable

training objectives should be set.

Training objective is defined as “ A description of performance you want learners to be able to exhibit before you consider them competent .”

Objectives specify what the trainee should be able to accomplish after training.


TYPES OF TRAINING OBJECTIVESTraining objectives are of three types and can be set as :

Knowledge- Impart cognitive information and details to trainees.

Skill- Develop behaviour changes in how jobs and task requirement are performed.

Attitude- Create interest in and awareness of the importance of training.

The success of training should be measured in terms of objectives set. Objectives serve as a check on internationalization, or whether the person is able to use the training.


TECHNIQUES OF TRAINING1. Vestibule or simulated training: training employees on

special off-the-job equipment, as in airplane pilot training, whereby training costs and hazards can be reduced. In this it is not necessary to rely on computer.

2. Computer based training: in this trainee uses computer-based system to interactively increase his/her knowledge/skills. It reduces the learning time and is cost effective.


3. Teletraining A trainer in a central location can train a group of

employees at remote locations via television hookups.

4. Videoconferencing An increasingly popular way to train employees defined

as “a means of joining two or more distant groups using a combination of audio and visual equipment.” It allows people in one location to communicate live with people in another city or country or with groups in several other cities.


5. Audio Visual Techniques

Like films, closed-circuit television, audiotapes, and video-tapes are used in this process. Audiovisuals are more expensive than conventional lectures. They are used in following situation:

1. When there is a need to illustrate how a certain sequence should be followed over time.

2. When there is a need to expose trainees to events not easily demonstrable in live lectures.

3. When the training is going to be used organization wide.


6. E-learning : Training on-line

The use of the internet or an organizational intranet to conduct training on-line.

Web-enable course content

Link module content to training objective

Customize for learner centric use

Identify e-learning measurement means

Modularize content


7. Programmed learning Is a systematic method for teaching job skills which

involves following functions:i. Presenting questions, facts or problems to the

learner.ii. Allowing the person to respondiii. Providing feedback on the accuracy of answers.

Its main advantages are, first it reduces the time, second learner learns at its own pace.


TRAINING DESIGN Training must be designed to address the assessed

need. Effective training design comprises of :

1. Learning – The Focus Of Training 2. Transfer of training

Contd…. ARISE TRAINING & RESEARCH

CENTER

TRAINING DESIGN (Contd..) 1. LEARNING – The Focus Of Training Learning is a complex psychological process that is not fully

understood by practitioners. It comprises of - a) Determining Learner Readiness: they must have basic

skills necessary for learning i.e. ability to learn, motivation to learn and self-efficacy.

b) Understanding Different Learning Styles: Auditory learners (one who learn best by listening), Tactile learners (one who must get their hands on and use

training resources), Visual learners (one who learn most by pictures and images c) Designing Training For Transfer.

Contd…ARISE TRAINING & RESEARCH CENTER

TRAINING DESIGN (Contd..)

Training design must consider that all the trainees are adults, but have varying learning style, experience and anxieties.

Adult learning :1. Adults have need to know why they are learning something.2. Adults have self need to be self directed.3. Adults bring more work-related experiences into the

learning process.4. Adults enter into learning experience with a problem

centered approach.5. Adults are motivated to learn by both extrinsic and intrinsic

factors. For effective training adults should be actively engaged in

learning and problem solving processARISE TRAINING & RESEARCH CENTER

TYPES OF PRACTICES IN LEARNINGActive practice- occurs when trainees perform job-related

task and duties during training. It is more effective than simply reading or passively listening

Spaced practice- occurs when several practice sessions are spaced over a period of hour or day.

Massed practice- occurs when a person performs all of the practice at once.

Contd….


TYPES OF PRACTICES IN LEARNING (Contd…)

Behaviour Modeling – It is the most elementary way to learn. It is learning by copying someone else’s behaviours.It is used extensively as the primary means for training supervisors and managers in interpersonal skills.

Reinforcement and immediate confirmation- Reinforcement means people tend to repeat responses that give them some type of positive reward and avoid actions associated with negative consequences. Immediate confirmation means people learn best if reinforcement and feedback is given after training.


TRAINING DESIGN (Contd..)2. Transfer of training- In transfer of training, trainers

should design training intervention for the highest possible transfer of training. This transfer occurs when trainees actually use on the job what they learnt in training.

Effective transfer needs following:

a) Trainees can use things learned in training and apply it to the job.

b) Employees maintain their use of the learned material overtime.


IMPLEMENTATION OF TRAINING TRAINING TECHNIQUES :

1) ON-THE-JOB TRAINING (OJT): In this training a person learns a job while working.

Various types of OJT :

a) Coaching (understudy method), here employee is trained by an experienced worker.

b) Job Rotation, here employee moves from job to job at planned intervals.

c) Apprenticeship Training, a process by which individuals become skilled workers through a combination of class room instruction and OJT.


IMPLEMENTATION OF TRAINING

Advantages of On-The-Job Training :

a) relatively inexpensive b) trainees learn while producing c) no need for expensive off-job facilities d) get quick feedback about the correctness of performance


IMPLEMENTATION OF TRAINING

STEP-BY-STEP PROCEDURE of OJT :

STEP 1 – PREPARATION OF THE LEARNER

Put the learner at ease- relieve the tension. Explain why he/she is being taught. Create interest, encourage questions, find out about the

knowledge of the learner. Explain the why of the job, relate it to some job the worker

already knows. Place the learner as close to normal working position as

possible. Familiarize the worker with equipment, materials, tools,

trade terms.

Contd…


IMPLEMENTATION OF TRAINING (Contd..)

STEP 2 – PRESENTATION OF THE OPERATION:

Explain quantity and quality requirements. Go through the job at the normal work pace. Explain each step between operations, difficult

parts or those in which errors are likely to be made.

Explain the key points several times. Make the learner explain the steps.

Contd…ARISE TRAINING & RESEARCH

CENTER

IMPLEMENTATION OF TRAINING(Contd…)

STEP 3 – PERFORMANCE TRYOUT

Correct the mistakes and if necessary, repeat few complicated steps.Make the trainer run the job at normal pace.Have the learner do the job gradually building up skill and speed.As soon as learner demonstrate ability to do the job, let the work

begin.

Contd...


IMPLEMENTATION OF TRAINING (contd..)

STEP 4 – FOLLOW-UP

Designate to whom the learner should go for help.Gradually decrease supervision.Correct faulty work patterns that begin to creep in.Compliment good work, encourage the worker to meet

quality/quantity standard.


IMPLEMENTATION OF TRAINING(contd..)

2) JOB INSTRUCTION TRAINING (JIT): It is listing of each job’s basic tasks, along with key point in order to provide step-by-step training for employees.

The steps for JIT include: what is to be done, how it is to be done and why it is to be done.

Contd…


IMPLEMENTATION OF TRAINING (Contd..)

3) LECTURES : They are a quick and simple way of providing knowledge to large group of trainees.

Some useful guidelines for presenting your lecture :

Give your listeners signals to help them follow your ideas.

Don’t start out on the wrong foot. Keep your conclusions short. Be alert to your audience. Maintain eye contact. Make sure everyone in the room can hear. Control your hands. Talk from notes rather than from a script. Eliminate bad habits. Practice.


METHODS TO INCREASE THE TRANSFER OF TRAINING TRANSFER OF TRAINING- Is a process whereby

trainees actually use on-the-job what they learnt in training.

a) Offering trainees an overview of the training prior to the actual training. This helps in short term and long term transfer.

b) Ensure that the training mirrors the job context as much as possible.


EVALUATION AND MONITORING OF TRAINING The penultimate stage in the training strategy is the evaluation

and monitoring of training. It is the most important and often the most neglected or least adequately carried out part of the training process.

It is both-Simplistic and Complicated. Simplistic because monitoring is a process whereby information

is gleaned from trainee and then the course and the program are amended in the light of these comments.

Complicated because there are other ‘stakeholders’ in the process besides the trainees, i.e. designers of the courses, the trainers and the sponsors.


METHODS OF EVALUATION Questionnaires (Feedback forms) or ‘happiness sheets’ are common way of eliciting trainee response programs.

Tests or examinations are common on formal courses which provide a certificate, e.g. diploma in word processing skills although end-of-course tests can be provided after short courses to check the progress of trainees.

Projects initially seen as learning methods but they can also be provide valuable information to instructors.

Structured exercises and case studies are opportunities to apply learned skills and techniques under the observation of tutors and evaluators.

Tutor reports. It is important to have the opinions of those who deliver the training. This gives a valuable assessment from a different perspective.

contd…ARISE TRAINING & RESEARCH CENTER

METHODS OF EVALUATION (contd…)

Interviews of trainees post course or instruction period. These can be informal or formal, individual or group or by telephone.

Observation of courses and training by those devising training strategies in the training department is very useful and information from these observations can be compared with trainee responses.

Participation and discussion during training needs people who are adept at intercepting responses as this can be highly subjective.


LEVELS OF TRAINING EVALUATION: As identified by Donald L. Kirkpatick

Reaction

Learning

Behaviour

Results

DIFFICULTEASY

LOW

HIGH

BASIS OF EVALUATION

VALU

E T

O O

RG

AN

ISAT

ION


LEVELS OF EVALUATION It is best to consider how training is to be evaluated before it

begins. As shown in the figure in last slide, evaluating training becomes successively more difficult as evaluation moves from reaction to learning to behaviour, and then to results measures.

REACTIONS: Oganisations evaluate the reaction levels of trainees by conducting interviews or by administrating questionnaires to the trainees.

LEARNING: Learning levels can be evaluated by measuring how well trainees have learned facts, ideas, concepts, theories and attitudes. Tests on the training material are commonly used for evaluating learning. Of course, learning enough to pass a test does not guarantee trainee will remember the training content months latter or will change job behavior.

BEHAVIOUR: Evaluating training at the behavioural level means:

(1) Measuring the effect of training on job performance through interview of trainee and their co-workers.

(2) Observing job performance. However, behaviours are more difficult to measure than reaction

and learning. Even if behaviurs do change, the resultsthat management desires may not be obtained.

contd…


LEVELS OF EVALUATION (contd…)

RESULTS: Employees evaluate results by measuring the effect of training on the achievement of organisational objectives. Because results such as productivity, turnover, quality, time, sales, and cost are relatively concrete, this type of evaluation can be done by comparing records before and after training. The difficulty with measuring results is pin-pointing whether changes were actually the results of training or other factors of major impact.


INTEGRATING TRAINING WITH PMS

PMS: Performance Management System

It is the process used to identify, encourage, measure, evaluate, improve and reward employee performance.

It is defined as a performance appraisal system that does not force managers to give false or misleading measurement and instead facilitates open, job-related discussion between the supervisor and the employee.

It is the integration of performance appraisal system with broader human resource systems as a means of aligning employees’ work behaviours with organisation’s goals.

contd…


INTEGRATING TRAINING WITH PMS (contd…)

Functions of PMS:1. Links organisational strategy to the results

2. Provides information to the employees about their performance.

3. Clarifies what the organisation expects.

4. Identifies development needs.

5. Documents performance for personnel records.


PERFORMANCEPerformance is essentially what an employee does or does not

do.

It includes following elements:

Quality of outputQuantity of output.Timeliness of output.Presence at work.Cooperativeness.


PERFORMANCE MEASUREMENT

There are three basic categories of performance information and its measurement:

1. Trait-based assessment systems assesses or identifies the abilities or a subjective character trait of employee such as-attitude, initiative or creativity. e

2. Behaviour-based systems measures the extent to which an employee engages in specific, relatively well defined behaviours while at the job, which leads to success.

3. Results-based systems measures the bottom line associated with an employees work and his/her accomplishments.


EFFECTIVE PERFORMANCE MANAGEMENTPerformance Management is used to develop employees as

resources. It can lead to higher employees motivation and satisfaction. But in an era of continuous improvement, and ineffective PMS poses a huge liability. To be effective a PMS should be:

Consistent with strategic mission of the organisation.Beneficial as a development tool.Useful as an administrative tool.Legal and job-related.Viewed as generally fair by employees.Effective in documenting employees performance .


ENHANCING PMS PMS can be improved by training supervisors in doing performance

appraisals. Training should center around minimising rater errors and providing a common frame of reference on how raters observe and recall information. Skills of employees also affects performance rating because employees use “upward influence”.

Training evaluators and giving them feedbacks are ways to improve raters’ ability to make accurate assessment. Training programs are classified into:

Rater-error Training: It means to reduce rating errors, such as leniency, severity, central errors and halo-errors.

Frame-of-Reference Training: It is a common frame of reference in evaluating performance of employees into good or poor depending upon actual behaviour of employee in the organisation.

Information-Processing Approach: It is an approach where raters are trained to be accurate in observing and rememberig the behaviour and performance of employees. It comprises of Observation Training and Decision-making Training.


PERFOMANCE MEASUREMENT CYCLE

Administrative decisions:• Promotion

• Transfer• Discipline• Pay raise

4. Monitor goal progress,undertake development

3. Coaching bysupervisor throughout

the year

2. Monitor goal progress, undertake development

1. Set clear, measurableperformance goals andmake developmental

plans.

5. Annual appraisalagainst goals.

Adjust goals and planfor the next year.


PMS LINK WITH STRATEGY AND RESULTSOrganisational Strategy

Performance Management Practices• Identify • Encourage• Measure• Provide feedback• Provide assistance• Reward

Employee Performance

Performance Management Outcomes• Development • Productivity• Advancement• Discipline• Pay raises• Termination

Organisational ResultsARISE TRAINING & RESEARCH CENTER

COMPONENTS OF COMPENSATIONCompensation

Indirect Direct

Base Pay Merit Pay

Salary Wages

ProtectionPrograms• Medical Insurance• Life insurance• Pension• Society security

Pay For Time Not Worked• Vacations • Holidays• Sick leave• Jury duty

Service and Perquisites • Recreational • Facilities• Car• Financial planning • Low cost or free Meal

Incentive Pay• Bonus• Commission• Piece rate• Profit sharing• Stock option• Shift differential

Deferred Pay• Saving plans• Stock purchase• Annuity


INTEGRATING TRAINING WITH COMPENSATION Compensation : employee compensation refers to all

forms of pay or rewards going to employees and arising from their employment. It is an important factor affecting how and why people chose to work at one organization over others. It helps in attracting and retaining employees in a competitive manner.


TYPES OF COMPENSATIONRewards can be both Intrinsic and Extrinsic. Intrinsic Rewards include praise for completing a

project. It includes psychological and social effects of compensation.

Extrinsic Rewards include tangible (monetary and non-monetary) forms. It is of two types.

1. Direct Compensation : monetary rewards for work done. Ex.- Base Pay (Wages, Salaries), Variable Pay (bonuses, incentives, stock options)

2. Indirect Compensation : based on membership in an organization and consist of benefits. Ex.- Medical/Life Insurance, Paid Time Off, Retirement Pension.


TRAINING AND COMPENSATIONCompensation is basically based on entitlement (indirect),

performance (direct) and company’s policies.

Performance can be enhanced by proper training whereby increasing the compensation.

Company’s policies are set by HR managers who can be trained so as to utilize human resource in best proper way.

Current trends in compensation are Skill-Based, where skill can be enhanced by proper training.


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