Training and development and its evaluation.

1. Summer Internship Programme
Organization- ACC Limited, Sindri Cement Works
Project Topic- Training & Development
Industry mentor – Miss Pallavi Das
Presented By : Ekta kumari
PGDM B/14

2. Industry Overview
 High demand- increase in industry, real estate,
construction and Infrastructure.
Second position- Globally
139 – Large cement plants and
365 - Mini cement plants in India
42 - Major Player
Export- Cement clinker and by products of cement
Problem Statement- Low demand & fall in price
Rationale of the problem- Hike in Diesel price

3. Organization Details
 ACC- Associated Cement Company
 Parent company- Holcim Group.
 Chairman- Mr. N. S. Sekhsaria, CEO- Mr. Kuldip K Kaura
1
 Established in 1936, 17 modern cement factories, 40 Ready mix
concrete plants,21 sales offices & 9,000 dealers.
2
 India’s foremost manufacturer of Cement, blended cement,
bulk cement , Portland cement and concrete mix.
3
ACC has a unique track record of innovative research, product
development and specialized consultancy services.
Environment protection- corporate commitment

4. Training process at ACC Sindri Cement Works

5. Project Details
Objective - To measure training effectiveness .
Methodology- Secondary data is obtained by the medium of internet,
company websites, journals, articles and magazines.
Scope of study:Opportunity to explore knowledge in the field of human resource.
exposure to interact with the high profile managers of the ACC Ltd.
Limitation of Study:Measuring training effectiveness is subjective in nature so it is very
difficult to measure return on investment from training program.

6. Donald Kirkpatrick's Four-Level Training Evaluation Model

7. Proposed training evaluation model

8. Is ROI
greater
than 100 %
Nominate
employee for the
training program
Do not send
employee to the
training program

9. Example of ROI Calculator
Section
Line
Sub section
Explanation
1.Task
compensation
Line 1
Current total salary (Basic)
Includes total benefits less
(current value)
Calculator
500000
statutory deductions
Line 2
% of employee benefit
To be filled by potential
35%
Candidate
Line 3
Importance of task
1=critical, 0.5=normal,
0.7
0.1=minimal
Line 4
Weighted training related task
Compensation
Line 1 x Line 2 x Line 3
122500

10. 2.Effectiveness
Line 5
Current effectiveness (%)
Based on feedback from
40%
supervisor, appraisal forms
and assessment centers
Line 6
Desired level of effectiveness
From job description
60%
(Line 6 - Line 5)/Line 5
50%
(%)
Line 7
Desired increase in
effectiveness (%)
3.Task compensation
Line 8
(future value)
Value added to task
Line 7 x Line 4
61250
Line 8 + Line 4
183750
compensation (post-training)
Line 9
Value of new task
Compensation

11. 4.Cost of training
Line 10
Per diem cost of training
Monetary value (Rs.)
10000
Line 11
Number of days of training
Use fraction if less than a day
Line 12
Total training cost
Line 10 x Line 11
20000
Line 13
Training cost as a percentage
Line 12/ Line 1
4.00%
2
of current total salary
5.Potential ROI
Line 14
Net potential ROI
Line 8 – Line 12
41250
Line 15
Net potential ROI (%)
(Line 8 – Line 12)/ Line 12
206%

12. Key Learnings
While doing this project I learned about all important aspect of organization’s
training and development.
It helped me to understand how to measure training effectiveness and how to
determine return on investment on training.
This quantative model helps to determine training budget and expected
training cost.
This model helps in decision making whether to send an employee in
training or not.
An effective training program leads to organizational growth & profit.

13. Recommendations
 Knowing return on investment of training is very essential part
of the organization but ACC sindri cement works have not taken any
initiative till now to measure effectiveness of training.
So, that I made an effort and recommended ROI calculator to ACC Ltd.

14. Thank You