KMS2014: Design &Management of Tr ainingPr og r ams  Unit 9:  Training Management
Objectives:At the end of this unit, you will be able to:• Identify the various type of learning environment where  trainin...
Introduction• The next decisions on T&D that you  have to make are:  • Where to run the program?  • What is the best learn...
Determine the Type of LearningEnvironment• Factors that affect your choice of learning  environment:         •   Costs    ...
2. Identify Potential Location   • To identify a number of potential training locations       •   May already have a numbe...
- Reception- Contact- Delivery arrangement- Staff- Access to training room- Size and shape of training room       • Size: ...
– Lighting– Power sockets   • Have a maximum of four power sockets     available at the front of the room– Light switches–...
4. Source Equipment      • Hand over a precise specification of your        requirements      • Training on your own premi...
6. Preparation of Budget     • “How much will the training cost?”     • Difficult in decide what should be included in the...
a. Identify Budget Items• Various items that can be included in a training  budget:   •   Cost of external courses;   •   ...
b. Identify Cost of BudgetItems  • How much does a trainer cost?     • Cost of the wages - plus other costs and       over...
• Additional rooms          1• Trainer cost/day          RM300• Materials/trainee         RM40• Seminar room hire         ...
c. Negotiate and ReviseBudget    • The figure is always larger than your allocated      budget    • Need to negotiate for ...
7. Cost-Benefit Analysis    • No easy formula to determine cost    • Must have a thorough understanding of:       • Everyt...
1. Establishment Costs    • Costs of training organization within the company      Comprises the following elements:      ...
– Books, materials, equipment hire       – External accommodation costs       – Personal expenditure3. Interference Costs ...
b. Benefits    •   Benefits from training are varied, which may        include:         - Improvement in performance      ...
c. Cost/Benefit - Some Conclusion    Can conclude with a few points:1. Estimates versus actual    •   Taking estimate more...
3. The hidden benefit    • Learning experience produces some interest      and personal satisfaction    • Training also he...
• Possible to guess at the order of savings and      benefits and at the probability of these      occurring5. The cost an...
• Value of 1 & 2 above would mean that a higher  training cost may be justifiable• Assessment of benefits contains trainin...
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Unit 9 notes_updated (1)

  1. 1. KMS2014: Design &Management of Tr ainingPr og r ams Unit 9: Training Management
  2. 2. Objectives:At the end of this unit, you will be able to:• Identify the various type of learning environment where training program can be conducted• Identify the location where the training program will be conducted• Carry out a site survey to make sure the training location is suitable to your needs• Source equipments that are needed to run the training program• Compare the costs, suitability and availability of a training location• Identify budget items and the cost of those items• Revise the training budget
  3. 3. Introduction• The next decisions on T&D that you have to make are: • Where to run the program? • What is the best learning situation? • Where you are going to obtain the equipment and materials? • What will be the budget like?
  4. 4. Determine the Type of LearningEnvironment• Factors that affect your choice of learning environment: • Costs • The facilities you need - off-site or on-site • Type of instruction • Whether students need to be separated1. The choices of learning environment can cover: a. the home b. the workplace c. open learning centres d. meeting rooms e. dedicated training rooms f. hotels g. sport centres and social clubs, and h. residential training centres
  5. 5. 2. Identify Potential Location • To identify a number of potential training locations • May already have a number in mind • Look at the telephone directory or yellow pages • May already have your own training centres • Ask some colleagues or friends3. Carry Out Site Survey • To make sure the training location is suitable • To know the place well • Talk to the people in charge and explore the buildings • Use the checklist: – Location – Parking
  6. 6. - Reception- Contact- Delivery arrangement- Staff- Access to training room- Size and shape of training room • Size: allow 80 cm of desk space per person • Shape: an ideal shape for a training room is a square • Distance: try to limit the distance between the screen or flip chart and the student- Heating and ventilation
  7. 7. – Lighting– Power sockets • Have a maximum of four power sockets available at the front of the room– Light switches– Acoustics– Toilets– Food– Meal and break arrangements– Bedrooms– Leisure facilities– Security
  8. 8. 4. Source Equipment • Hand over a precise specification of your requirements • Training on your own premises - buying the equipment • Expensive equipments - more economical to hire5. Compare Costs, Suitability, & Availability • Results of the site survey will allow you to compare the suitability of the alternative training venues • Understand what the rate includes • The golden rule is to ask for a written summary of what is included in the price
  9. 9. 6. Preparation of Budget • “How much will the training cost?” • Difficult in decide what should be included in the costs • The golden rule is to be consistent and make your assumptions clear • One of the many ways of preparing a budget: – Identify budget items – Identify cost of budget items – Negotiate and revise budget
  10. 10. a. Identify Budget Items• Various items that can be included in a training budget: • Cost of external courses; • Purchase and hire of equipment, books, and videos; • Production of training materials; • Training staff wages/salaries; • Training staff overheads; • Hire of training venues; • Trainee accommodation costs; • Student travel costs, and; • Trainers wages/salaries/overheads• The rule of thumb is to include everything that will be charged to the training department’s budget during the financial year
  11. 11. b. Identify Cost of BudgetItems • How much does a trainer cost? • Cost of the wages - plus other costs and overheads • Here is an example of the cost of items: Name of Program: Quality Training Type of training Non-residential Duration (days) 3 Number of trainee 12 Number of trainer 1 Type of trainer own Location off-site
  12. 12. • Additional rooms 1• Trainer cost/day RM300• Materials/trainee RM40• Seminar room hire RM50• Accommodation/trainee RM49• Equipment hire/day RM50____________________________________• Total Cost RM3591• Cost/Trainee RM299• Cost/Trainee/Day RM100
  13. 13. c. Negotiate and ReviseBudget • The figure is always larger than your allocated budget • Need to negotiate for a larger budget • The use of “benchmarking” • Benchmarking is a process by which you compare yourself with the best competitors with the aim of exceeding or surpassing their performance in all aspects • The most common difference in a training budget is the inclusion or exclusion of trainees’ wages • As a rule of thumb, inclusion of wages doubles the cost of training
  14. 14. 7. Cost-Benefit Analysis • No easy formula to determine cost • Must have a thorough understanding of: • Everything that is going on in training • The cost and financial elements • The main rule - must understand the physical and organizational processes and activitiesa. Costs • There are 3 major category of costs for training: – Establishment costs – Marginal expenditure – Interference costs
  15. 15. 1. Establishment Costs • Costs of training organization within the company Comprises the following elements: – Salaries, insurance, etc – Cost of the space occupied and services used – Support costs allocated to the training function2. Marginal Expenditure • Additional money which has to be spent • The more typical instances are: – External course fees – Outside lecturers’ fees and expenses
  16. 16. – Books, materials, equipment hire – External accommodation costs – Personal expenditure3. Interference Costs • Refers to when a person gives time and effort to training, and thus ceases to be occupied in his/her main task - there is interference with the output with which he is primarily concerned • Interference cost is not that person’s wage or salary over the time of involvement in training
  17. 17. b. Benefits • Benefits from training are varied, which may include: - Improvement in performance - Machine runs efficiently - Saving in maintenance cost - Reduction in labour wastage - Sales increase - System development • Benefits from training is not easily measured
  18. 18. c. Cost/Benefit - Some Conclusion Can conclude with a few points:1. Estimates versus actual • Taking estimate more seriously than the measurement of actual cost and actual benefit2. Short, medium and long term benefits • Benefits has to be measured not only in the short term, but also medium and long term • Problem - When exactly should measurement be done? • Short, medium and long - Be sufficiently well defined
  19. 19. 3. The hidden benefit • Learning experience produces some interest and personal satisfaction • Training also helps the person to grow and develop in knowledge and outlook - better equipped • Personal growth and development is more difficult to analyse and evaluate4. Approximation methods • Do an approximation of benefits through guessing when difficulties of setting up the correct model
  20. 20. • Possible to guess at the order of savings and benefits and at the probability of these occurring5. The cost and benefit of the training function • Training costs should be considered in light of: – The total value of processes and products – The total value of plant, equipment, etc. – The extent to which the efficient management and handling of the above (1 & 2) depends on human skill, knowledge and motivation
  21. 21. • Value of 1 & 2 above would mean that a higher training cost may be justifiable• Assessment of benefits contains training’s contribution to the financial well-being of the company• Also include the achievements in human development and in raising the quality of industrial life
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