HRD Human Resource Development by Jinuachan Vadakkemulanjanal

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HRM 3rd module for 1 semester MBA at Kannur University, These slides are prepared as guideline for the students at Vimal Jyothi Institute of Management and Research, Chemperi

HRM 3rd module for 1 semester MBA at Kannur University, These slides are prepared as guideline for the students at Vimal Jyothi Institute of Management and Research, Chemperi

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  • 1. Human Resource ManagementModule-3. Human Resource Development -HRD Jinuachan Vadakkemulanjanal Administrator Vimal Jyothi College for MTech, MBA, BTech Chemperi Po Kannur, Kerala-60632 HRM Module-3 1
  • 2. Objectives of Module 31. Human resource development (HRD)2. Training and development TD3. Assessment of training needs and training methodologies4. Evaluation of training schemes5. Performance appraisal6. Career planning and development HRM Module-3 2
  • 3. 3.1 Human resource development (HRD)• HRD is the framework for helping employees develop their personal and organizational skills, knowledge, and abilities - Susan M. Heathfield• It aims at development of Human capital.• It is a denotes the use of training, organization, and career development which aims to improve individual, group and organizational effectiveness. HRM Module-3 3
  • 4. HRD includes• HRD develops the key competencies that enable individuals in organizations to perform current and future jobs through planned learning activities.• HRD consists of TD + OD• Executive and supervisory/management career development,• New employee orientation, induction, employee training• Professional skills training, CM• Coaching, mentoring, succession planning, key employee identification HRM Module-3 4
  • 5. HRM Module-3 5
  • 6. • Technical/job training, customer service training,• Sales and marketing training,• Health and safety training, OSHA•• Performance management and development. HRM Module-3 6
  • 7. TD: DefinitionTraining is the formal and systematic modification of behavior through learning which occurs as a result of education, instruction, guidance and planned experience.Training is the acquisition of technology, which permits employees to perform their present job to standards. It improves human performance on the present job. It is given when new technology/ Machinery is introduced into the workplace. HRM Module-3 7
  • 8. Trained Work ForceHRM Module-3 8
  • 9. Development• Development is any learning activity, which is directed towards future needs, and is concerned more with career growth than immediate performance.• Development is training people to acquire new horizons, technologies, or viewpoints. - It enables leaders to guide their organizations onto new expectations by being proactive rather than reactive. -It enables workers to create better products, faster services, and more competitive organizations. -It is learning for growth of the individual, but not related to a specific present or future job HRM Module-3 9
  • 10. Management ProcessHRM Module-3 10
  • 11. EducationEducation is training people to do a different job. It is often given to people who have been identified as being promotable, being considered for a new job either lateral or upward, or to increase their potential.Unlike training, which can be fully evaluated immediately upon the learners returning to work, education is of long term nature HRM Module-3 11
  • 12. Distinction between Training and EducationThe following table draws a distinction between training and education more clearly. Training Education Application Theoretical orientationJob Experience Classroom learningSpecific Tasks General conceptsNarrow perspective Broad perspective HRM Module-3 12
  • 13. Distinction between Training and DevelopmentLearning Training Development Who Non-managers Managers What Technical Theoretical Why Specific job General When Short term Long term HRM Module-3 13
  • 14. Purpose of Training• To increase productivity and quality• To promote versatility and adaptability to new methods• To reduce the number of accidents• To reduce labour turnover• To increase job satisfaction displaying itself in lower labour turn- over and less absenteeism• To increase efficiency HRM Module-3 14
  • 15. When does the need for training arise?• The installation of new equipment or techniques• A change in working methods or products produced• A realization that performance is inadequate• Labour shortage, necessitating the upgrading of some employees• A desire to reduce the amount of scrap and to improve quality• An increase in the number of accidents• Promotion or transfer of individual employees.• Ensures availability of necessary skills and there could be a pool of talent from which to promote from. HRM Module-3 15
  • 16. Role/Advantages of Training1. Leads to improved profitability and/or more positive attitudes toward profits orientation.2. Improves the job knowledge and skills at all levels of the organization.3. Improves the morale of the workforce.4. Helps people identify with organizational goals.5. Helps create a better corporate image.6. Fasters authenticity, openness and trust.7. Improves the relationship between boss and subordinate.8. Aids in organizational development.9. Learns from the trainee.10. Helps prepare guidelines for work. HRM Module-3 16
  • 17. Disadvantages of training1.Can be a financial drain on resources; expensive development and testing, expensive to operate?2. Often takes people away from their job for varying periods of time;3. Equips staff to leave for a better job4. Bad habits passed on5. Narrow experience HRM Module-3 17
  • 18. Assessment of training needs HRM Module-3 18
  • 19. Areas of training HRM Module-3 19
  • 20. Areas of TrainingKnowledgeHere the trainee learns about a set of rules and regulations about the job, the staff and the products or services offered by the company. The aim is to make the new employee fully aware of what goes inside and outside the company.Technical SkillsThe employee is taught a specific skill (e.g., operating a machine and handling computer) so that he can acquire that skill and contribute meaningfully. HRM Module-3 20
  • 21. Areas of Training Conti.Social SkillsThe employee is made to learn about himself and other, develop a right mental attitude, towards the job, colleagues and the company.The principal focus is on teaching the employee how to be a team member and get ahead.TechniquesThis involves the application of knowledge and skill to various on-the-job situations.. It will go a long way in obtaining employee loyalty, support and commitment to company activities. HRM Module-3 21
  • 22. Need for Employee Training1. Communications: The increasing diversity of todays workforce brings a wide variety of languages and customs. Cross culture, high /low context issues2. Computer skills: Computer skills are becoming a necessity for conducting administrative and office tasks.3. Customer service: Increased competition in todays global marketplace makes it critical that employees understand and meet the needs of customers.4. Diversity: Diversity training usually includes explanation about how people have different perspectives and views, and includes techniques to value diversity HRM Module-3 22
  • 23. Need for Employee Training Conti.5. Ethics: Todays society has increasing expectations about corporate social responsibility (CSR). Todays diverse workforce brings a wide variety of values and morals to the workplace.6. Human relations: The increased stresses of todays workplace can include misunderstandings and conflict. Training can get along people in the workplace.7. Quality initiatives: Initiatives such as Total Quality Management, Quality Circles, benchmarking, ISO etc., require basic training about quality concepts, guidelines and standards for quality, etc.8. Safety: Safety training is critical where working with heavy equipment, hazardous chemicals, repetitive activities, etc., but can also be useful with practical advice for avoiding assaults, etc. HRM Module-3 23
  • 24. Steps in the Training ProcessConceptualize Plan Execute HRM Module-3 24
  • 25. Training Need Analysis(TNA)• It is an analysis to the design of effective training models.• The purpose of training need analysis is to determine whether there is a gap between what is required for effective performance and present level of performance. HRM Module-3 25
  • 26. TNAHRM Module-3 26
  • 27. Why TNA?Training need analysis is conducted to determine whether resources required are available or not.It helps to plan the budget of the company, areas where training is required, and also highlights the occasions where training might not beappropriate but requires alternate action. HRM Module-3 27
  • 28. Organizational level• TNA at this level focuses on strategic planning, business need, and goals.• It starts with the assessment of internal environment of the organization such as, procedures, structures, policies, strengths, a nd weaknesses and external environment such as opportunities and threats.• HRD assess employees about the required Knowledge, Skills, and Attitudes (KSAs) based on the future KSAs requirements at each level HRM Module-3 28
  • 29. • After the SWOT analysis, weaknesses can be dealt with the training interventions,• The identified strengths can further be strengthened with continued training.• Threats can be reduced by identifying the areas where training is required.• Opportunities can be exploited by balancing it against costs. HRM Module-3 29
  • 30. Individual Level–This level focuses on each and every individual in the organization.--Evaluate an employee: is performing at desired level or the performance is below expectation. -- If the difference between the expected performance and actual performance comes out to be positive, then certainly there is a need of training. (Pe-Pa) HRM Module-3 30
  • 31. Individual analysis methods• Appraisal and performance review• Peer appraisal• Competency assessments• Subordinate appraisal• Client feedback• Customer feedback• Self-assessment or self-appraisal HRM Module-3 31
  • 32. Operational LevelHere the focus is on the work assigned to the employees.The job analyst collect the data on whether the job is clearly understood by an employee or not.It is done through technical interview, observation, psychometric test; closed ended as well as open ended questionnaires,etc.Present job and future expectations in job are analyzed HRM Module-3 32
  • 33. Training Techniques We Learn We Remember1% through taste 10% of what we read1.5% through touch 20% of what we hear3.5% through smell 30% of what we see11% through hearing 50% of what we see and hear83% through sight 80% of what we say 90% of what we say as we act
  • 34. 3.1 Training MethodsA. On the Job training or shop training -Job instruction training –JIT World War II -Coaching - Mentoring - Position rotation - Apprenticeship - Committee assignment HRM Module-3 34
  • 35. B. Off the job training-Vestibule training-Class room training-Internship Training for students-Conferences-Role plays-Programmed learning: B F Skinner 1958. HRM Module-3 35
  • 36. Vestibule training• Originated after Industrial revolution 1800s• It combined the benefits of the classroom and on- the-job training.• Vestibule is furnished with the same machines as used in production.• Six to ten workers per trainer, who were skilled workers or supervisors from the company.• The workers are trained as if on the job, but it does not interfere with the more vital task of production.• Classes are small so that the learners received immediate feedback• It is expensive, need lot of investment, resource HRM Module-3 36
  • 37. C. E-learning-Audio visual training-Computer enabled Interactive training-EPSS- Electronic performance support systems-Tele training -Honda-Video conferencing-Training/business portals HRM Module-3 37
  • 38. 4. Evaluation of training schemes• Evaluate the immediate and long term effect of a training.• Identify the trainers and collect data of their performance and investment• Formative evaluation – evaluation conducted to improve the training process.• Summative evaluation – evaluation conducted to determine the extent to which trainees have changed as a result of participating in the training program. HRM Module-3 38
  • 39. Need of evaluation of a training• Every company expect RoI of training in terms of outcomes, commitment and efficiency• Strengths, weakness, contents, learning management,• To gather data to assist in marketing training programs.• To determine the financial benefits and costs of the programs.• To compare the costs and benefits of training versus non-training investments.• To compare the costs and benefits of different training programs to choose the best program. HRM Module-3 39
  • 40. The Evaluation Process Conduct a Needs Analysis Develop Measurable Learning Outcomes Develop Outcome Measures Choose an Evaluation Strategy Plan and Execute the Evaluation HRM Module-3 40
  • 41. Methods• Satisfaction, motivation criteria• Out come based evaluation• Kirkpatrick’s Framework• Time series analysis• Cost Benefit Analysis –CBA• Psychometric analysis HRM Module-3 41
  • 42. Outcomes Used in Evaluating Training Programs: Cognitive Outcomes Skill-Based Outcomes Affective Outcomes Results Return on Investment HRM Module-3 42
  • 43. 6 - 43Kirkpatrick’s Framework of Evaluation CriteriaLevel Criteria Focus 1 Reactions Trainee satisfaction 2 Learning Acquisition of knowledge, skills, attitudes, behavior 3 Behavior Improvement of behavior on the job 4 Results Business results achieved by trainees
  • 44. • Step 1: Reaction - How well did the learners like the learning process? Rate the success. Wants follow ups..• Step 2: Learning - What did they learn? (the extent to which the learners gain knowledge and skills)• Step 3: Behavior - (What changes in job performance resulted from the learning process? (capability to perform the newly learned skills while on the job)• Step 4: Results - What are the tangible results of the learning process in terms of reduced cost, improved quality, increased production, efficiency, etc.? HRM Module-3 44
  • 45. 5. Performance Appraisal• According to Newstrom, “It is the process of evaluating the performance of employees, sharing that information with them and searching for ways to improve their performance’’. HRM Module-3 45
  • 46. • A “Performance appraisal” is a process of evaluating an employee’s performance of a job in terms of its requirements HRM Module-3 46
  • 47. Need/objectives for PA The Management uses appraisals for DSS• Basis for Promotions, transfers, and terminations.• Helps the employees to identify skills and informing the expected effectiveness• Appraisals identify training and development needs.• Helping to formulate the training and developmental programmes.• Appraisals also provide feedback to employees on how the organization views their performance. HRM Module-3 47
  • 48. Need/objectives for PA• Helps to avoid work/team alienation issues. Role identification is enhanced• Helps to identify grievance at its controllable stage. Helps for redressal• Helps to develop interpersonal relationship/ foster organizational culture• Appraisals are used as the basis for reward allocations.• Facilitates research in personnel management• HRM Module-3 48
  • 49. Essentials of an effective appraisal system• Mutual trust• Clear objectives• Standardizations• Training• Job relatedness• Documentation• Feedback and participation• Individual differences• Post appraisal review• Review and appeal HRM Module-3 49
  • 50. Steps in performance appraisal Establishing job standards Designing an appraisal programme Appraise performance Performance interview Use appraisal data For appropriate purpose HRM Module-3 50
  • 51. PA v/s PMPERFORMANCE APPRAISAL PERFORMANCE MANAGEMENT Top down assessment.  Joint process through Annual appraisal dialogue. meeting.  Continuous review with one or more formal reviews. Use of rating.  Rating less common. Monolithic system.  Flexible process. Focus on quantified  Focus on value and objectives behaviors as well as objectives. Often linked to pay.  Less likely to be direct link to Bureaucratic- complex pay. paperwork.  Documentation kept to be minimum. Owed by the HR department.  Owed by line managers. HRM Module-3 51
  • 52. Traditional Methods1. Paired comparison 6. Free essay method2. Graphic Rating 7. Critical Incidents scales 8. Group Appraisal3. Forced choice 9. Field Review Method Description 10.Confidential Report method 11.Ranking4. Forced Distribution Method5. Checks lists HRM Module-3 52
  • 53. Modern Methods1. Assessment Center2. Appraisal by Results or Management by Objectives -MBO3. Human Asset Accounting4. Behaviorally Anchored Rating scales -BARS5. 3600 appraisal HRM Module-3 53
  • 54. 6. Career planning and development Career Planning is a process of identifying, selecting career goals and acquiring skills to achieve these goals Objectives:• Offer careers v/s jobs• Effective utilization of the HR for productivity• Reduce attrition rate• Motivate employee and enhance their morale• Plan the HR requirement in different strata HRM Module-3 54
  • 55. Career development• It involves managing career either within or between organizations.• It includes learning new skills sets and making improvements to career. Career development is an ongoing, lifelong process to learn and achieve more in career. HRM Module-3 55
  • 56. Organizational career planning process Projected Outcome Career planning options Transitions Career TimeDirection HRM Module-3 56
  • 57. Organizational career planning process1. Direction – Assessing employee wants and organizational needs – Common goal setting – Horizontal and vertical development2. Career time – Growth style in an organization – How far & how fast can an employee move on career path?? – Seniority and other criteria related with time3. Transition – Relates to changes expected to a career goal – Analyzing transition factors – Setting goals, getting HRM Module-3 shift in career style 57
  • 58. HRM Module-3 58
  • 59. Contd…4. Career planning options – Advancement. – Lateral – Change to Lower Grade – Mobility. – Job Enrichment – Exploratory Research5. Projected Outcome – Calculate the risks attached – How well will it pay off? HRM Module-3 59
  • 60. Organizational Initiatives1. A job posting system2. Mentoring activities3. Career Resource Centers4. Managers as career counselors HRM Module-3 60
  • 61. HRM Module-3 61
  • 62. 5. Career development workshops6. Human resource planning and forecasting7. Performance appraisals8. Career pathing programs. HRM Module-3 62
  • 63. Individual Initiatives1. Identifying personal/professional profile2. Career Planning and analyzing opportunities3. SWOT of the profile4. Interests, Values, and Competency Analysis5. Career Awareness / Developing alternatives6. Developing contingency plans7. Career Resource Center Utilization8. Monitoring career plans HRM Module-3 63
  • 64. Career Models• Pyramidal Model• The obsolescence model• Modern models• The Japanese Model; life time, seniority based HRM Module-3 64
  • 65. HRM Module-3 65
  • 66. Career Models for the 21st Century1. The experts whose primary career decision is to master a particular area or skill2. The traditionalist who thrives on being part of an organization and exerting influence within it3. The portfolio manager whose life voyages include a variety of work experiences, skills, and accomplishments4. The planful entrepreneur with an eye always toward applying skills developed in a large organization to start their own business5. The spontaneous entrepreneur, who is passionate enough about an idea to sacrifice the comforts that other models afford.Ref: Jim Biolos Source: Harvard Business Publishing Newsletters 1 Publication date: May 01, 1997. Prod. #: U9705C-PDF-ENG HRM Module-3 66
  • 67. HRM Module-3 67
  • 68. Jinuachan VadakkemulanjanalAP cum AdministratorVimal Jyothi College for MTech, MBA, BTechChemperi Po Kannur, Kerala-60632, India HRM Module-3 68