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Lecture – 1
Subject: MBA/3305/H -
Management of Training &
development.(MTD)
Introduction of Subject :
Management of Training & Development
• Training
• Development
a]Course Objectives :
• Need of Business Organizations
At the end student will able to:
• Define training
• Understand the need and rationale of training
• Benefits of training to the employees and employers
• Know the role of the trainers in the fast changing economy
b]Course Outcomes :
Students will be aware of the following:
• Up-to date and comprehensive discourse on modern
training that a professional requires.
• The latest training & development perspectives.
• To recognize the situation of Training Development in India
• Develop the understanding in the field of Training needs
& functions, training process, training methodologies, etc.
• Various training modules & training evaluation techniques
are understood & developed with the help of Case Studies.
Syllabus
Unit I : Training : A change agent, Training
Environment, Pre-Training module, Counseling
for Training, Training Costs and Training
Investment
Unit II : Training Functions: Training Needs Assessment,
Action Research, Organizational Objectives and
Training
Unit III : Learning Process: Training Climate,
Development and Designing Training Modules
Unit IV : Training Methods: Techniques & Pedagogy,
Training aids & Tools, Facilities for Training
Unit V : Training Feedback and Evaluation: Training
Audit, Training as Continuous Process
Reference Books
Sr.
No.
Title Author Publication
R-1 Improving Training
Effectiveness.
Beunet, Roger ed. Aldershot, Gower, 1988.
R-2 The Theory & Practice of
Training.
Buckley R &
Caple, Jim.
London, Kogan & Page, 1995.
R-3 Training for Development.
2nd ed.
Lynton, R Pareek,
U.
New Delhi, Vistaar, 1990.
R-4 Managing the Training and
Development Function.
Pepper, Allan D. Aldershot, Gower, 1984.
R-5 How to Measure Training
Effectiveness.
Rae, L. Aldershot, Gower, 1986.
R-6 Training Interventions :
Managing Employee
Development. 3rd ed.
Reid, M A. etc. London, IPM, 1992.
R-7 The Fifth Discipline: The
Art and Practice of the
Learning
Organization.
Senge, P. London, Century, 1992.
R-8 Essentials of Training and
Development
Dr. Anjali
Ghanekar
Everest Publishing House
Magazines
Sr. No. Title
1. International Journal of Training and Development
http://onlinelibrary.wiley.com/journal/10.1111/(ISSN)1468-2
2. European Journal of Training and Development
http://www.emeraldgrouppublishing.com/products/journals
/journals.htm?id=EJTD
3. International Journal of Human Resources Development
and Management
http://www.inderscience.com/jhome.php?jcode=ijhrdm
Suggested Readings from :-
• HRM Review-ICFAI Journal.
• Global CEO- ICFAI Journal.
• Effective Executive- ICFAI Journal.
• Human Capital.
• A to Z MBA.com
• Management paradise.com
• citehr.com.
Unit - I
• Training: A change agent
• Training Environment
• Pre-training Module
• Counseling for training
• Training Costs and Training Investment
Need and Rationale of Training
The need for training can arise because of the
following reasons:
(i)Changing Technology.
(ii)Demanding Customers.
(iii)Thrust on Productivity.
(iv) Improved motivation.
(v)Accuracy of output and
(vi) Better Management.
Good for your business
Training can improve business performance, profit
and staff morale.
Advantages to your business include:
• Workforce gains new skills. (Future requirement may
cope up.)
• Better customer service, better work safety practices
and productivity improvements.
• By giving training you value your workers. It improves
loyalty and staff retention.
Good for your workers
Training has many benefits for employees:
• They acquire new skills, increasing their contribution
and building their self-esteem.
• Training may take them into higher positions within the
organization.
• They’re up-skilled to do new and different tasks, which
keeps them motivated and fresh.
• Worker’s market value increases.
What change Training brings in…
• Economy in Operations
• Greater Productivity
• Uniformity of procedure
• Less Supervision
• Systematic imparting of skills
• Creation of Inventory of skills
• Higher Moral of employees
• Stay ahead of competitors
• Attract new talent
Thanks
Lecture - 2
Training: A change Agent
Who can be a change agent?
Definitions: Change Agent
• A change agent is any catalyst that alters the
status quo.
It could be: “A person, A group, An event, or
Policies” – Louis Andre
• Change Agent is “the person who carries the flag
of a need . (Unrecognized need.”
– Gary Foster
A change agent effectively redirects the capacities
of individuals or organizations to achieve either
better results for a traditional mission or new
outcomes based on another assignments”
Definitions: Change Agent
• A Change Agent is someone who is helping to
either bring about a different conditions
(change), but more often it is someone who is
leading in the transition that results from
change”
– Greg Rothwell
• “ Someone who identifies a future state or
goal and then puts the systems in place to get
it done.” - Jerry Hultin
Role of a change agent
• The role of a change agent is to help:
– Decide what to change
– Facilitate what to change to
– Sell the change
– Implement the change
Good Change Agents...
• Are passionate
• Are knowledge seeking
• Have access to power
• Are respected by the organization
Types of Change Agents/ Trainer:
• Internal Change agent
• External Change agent
Training can be effectively delivered /
imparted by change Agent if:
• Clear permission from top management
• Awareness of the scope and the vision
• Becoming a change team
• The change agent needs to have some skills in
hand when they go to work
• Enhanced inter-personal skills. Change agents
work with and through people.
• Enhanced intra-personal awareness.
Challenges
• Trainers completely lose the sight of their
objectives.
• They conduct trainings simply because they
have a budget/training process/calendar
• Imparting training is a costly affair.
• Effective trainings have become absolutely
critical in knowledge oriented world to
maintain the competitiveness and
innovation.
What is required?
• For training to really deliver value, we need a
shift in mindset.
• Trainings are not a just one-way affair
• Trainings, if done with right intent and zeal
can transform the organization.
• Trainings are a great forum to set the
expectations on behaviors
• Who so ever you are? A business leader,
training manager or a trainer, ask this
question before planning any training,
“What change do I wish to see as a result of this
training?”
Change Agent/Trainer’s perspective:
Imparting knowledge Inducing change
Thanks
Lecture 3
Training Environment
What is Training Environment?
What type of Training Environment you are
expecting?
• The Physical Environment in which training is
conducted can have a significant impact on the
effectiveness of the training.
• Skills acquisition may be adversely affected
by Environments
• The trainers themselves feel uncomfortable, or
the facilities are inadequate for the requirements
of the training session.
• In off the job training, attention must be given to
ensuring that their Travel arrangements have been
efficiently planned.
• Provide Adequate shelter, Food and drink.
• Think What technologies could be used to create an
effective learning environment?
What training rooms should contain?
• Powerpoint / data projection
• Flip-charts
• Walls to put up posters/ user created flip-
charts
• Black Board or White Board
Assumptions about training room:
varies from trainer to trainer or situation to
situation:
Ex:
• Up to 16 delegates
• Suitable for Soft-skills training
• Suitable for use as a meeting room
• Suitable for IT based training
• Suitable for facilitation of planning meetings
Basics requirements of Training
Environment
Must have..
• Ability to control light levels (and lights that
are natural daylight color)
• Ability to control the air temp/ air flow in the
room
• Access to a lounge with comfortable seating
Additional Requirements ..
• Access to syndicate/ breakout room
• Access to toilets
• Clock that the lead facilitator can see easily
• Easy access to refreshments/ water/ fruit
• Long cables on all the tech kit that do not
cause anyone a trip hazard!
• Paper/ pens, stationary
• Place for coats/ bags
• Toys/ stimulating objects (A box of)
Furniture at the training venue
• Any room must have some type of flexibility in
terms of layout
• Some equipments.
Something completely different
• Old saying: If you always do what you have
always done, you will always get what you
have always got! and this is just as true for
training and learning environments.
So training providers must use ….
• A room with natural light – preferable from above –
but one side with substantial windows
• A data projector central at the front, complete with
suitable sound system, DVD etc (no wires!)
• 2 white boards, one either side of the projection area
– full wall size – height & width
• White boards covering the other 2 usable walls
• Provision of drinking water etc in the room
• Wireless netbooks connected together with
collaboration software – and connected for electronic
polls etc with the main PC in the room
So,
• Physical Environment
• Technical Environment
• Facility Environment
• Intellectual Environment
All types of training environment
Must be present for successful training.
Thanks
Lecture - 4
Pre Training Module
• Pre training module is an general idea of
the concepts and skills trainers are presenting,
to provide advanced teaching for the
participants.
• Mayer suggests that Pre training can help
clarify concepts that may confuse learners
• Pre-training should take place as an activity
or introduction prior to the beginning of
training. It is a creative & effective way to
accomplish training task.
Objectives of Pre-training:
• To determine the appropriateness of the
context of a training activity
Which one should be selected?
– Workshops
– On the job Training
– Training Agent (Internal/External)
– Off the Job Training
– One-to-one training
• Define relevant training objectives
Prepare Training Goals
To define the goals you plan to achieve
through this training, you should take the
needs of your stakeholders (co-workers and
employers) into consideration.
To determine your goals, use the
following questions:
• Who is being trained?
• What are the objectives of this training
session?
Benefits employees/Employer expecting from training
• Is there an upcoming change that requires this
training?
New industry trends are driving the development of
the class.
How to define Training Objectives?
Poorly written objectives:
• The trainees will learn to be good teachers.
• The trainees will learn a lot about the Multi-strategy
method.
well-written objectives:
• By the end of the training course, the trainees will do the
following:
– Examine four characteristics of adult learning (knowledge
objective)
– Learn to use stories in classroom teaching
Steps to design Pre-Training module
1. Gather baseline data on the trainees
– knowledge
– skills, and
– attitudes.
2. Review the established needs as defined in
the training program plan.
3. Answer the following questions:
– Do the trainees and the training organization
agree on the established needs?
– Will the training meet a portion of the established
needs?
– Will those who need the training be available to
attend the training activity?
– Will meeting the defined objectives produce the
desired outcome?
– Is the content appropriate for the objectives?
– Will trainees and trainers be comfortable with the
chosen training methods?
4. Based on information gathered in Steps 1 through 3,
assess the suitability of
– The training objectives, and
– The organizational requirements of the training program
or activity.
Case Study Pre-Training Workers Interview
Workers Questions:
1. How many workers are being interviewed?
2. How many workers interviewed have converted?
3. Since you will be changed from DW to Regular,
some things might have changed for you. Are you
satisfied with (each area below):
• Hours of work ____
• Job responsibility ____
• Job satisfaction ____
4. Are you going to attend training? Number
5. If you won’t be attending training, why not?
1: Work commitments – no back fill
2: Family/community commitments
3: Sickness
4: Not interested
5: Training too difficult
6: Training not valuable
7: Training not relevant
9: Other describe:
6. Interviewer Notes:
• Develop a Pre-Training module
for SIP.
Thanks
Lecture - 5
Counselingfor training
What is Counseling?
Counseling
• “The process of assisting and guiding clients,
especially by a trained person on a
professional basis, to resolve especially
personal, social, or psychological problems
and difficulties.”
• The act of helping the client to see things
more clearly, possibly from a different view-
point. This can enable the client to focus on
feelings, experiences or behaviour, with a goal
to facilitating positive change.
No organization free of stress
No Stress-free employees
In the premises
Outside the premises
So, Arrange “Training for Stress Releasing”
… Training may add one more stress on
employees
• Regularly scheduled training are required
to keep employees updated
• For training to be effective you need to
follow the few rules of a successful training
program in business.
• The stuff you got as a trainee may be
needy, opportunist, supportive or opposites.
Hence, it requires the counseling before
training
Concept for counseling for
training
Counseling for training is –
Guiding,
Consoling,
Advising,
Sharing and
helping
to resolve the problems about the training
whenever the need arises.
Lecture - 6
How the counseling should be?
1. Be Concise
• Collect only relevant information,
• Ask minimum questions
• Identify willingness, readiness or discomfort
• Don’t waste employees and yours time
“Giving them zest of training”
How the counseling for Training should be?
2. Be Focused
• Counseling for different issues should not be
at a time.
• Counseling on multiple issues at a time may
confuse and make discomfort to the
employees.
Different Issues may be-
– Training not important to us
– We are not fit for the training
– We have our personal problems
– Motivation/reward not sufficient
3. Keep Schedule
• Regular counseling - allows employees to prepare with
their views and problems and be ready to absorb the
material.
• Don’t Spread counseling for weekly or monthly.
• Daily counseling becomes too repetitive and bore some.
4. Use Experts
Experts to add credibility to the information
and possibility to reach to the solution.
Who are Expert?
Ex: If you are counseling for training on a new
product launch, then the engineering
department that worked on the product will
be perceived as being experts.
5. Use Evidences:
Offer employees the chance to become
familiar, understand the issues/Cases who
have benefitted by such type of training.
Ask their opinion.
6. Encourage Questions
• Counseling for Training needs to be
interactive.
• At the end of each counseling segment,
encourage employees to ask questions
/problems.
• Offer informative answers, and speak
professionally and respectfully to each
employee that asks.
• For employees hesitant to ask questions use –
– Group Counseling
– Individual counseling
7. Have the collection of good Material:
You can ask employees to read the material
which may bust up the moral of employees
and undergo the training.
Challenges to Counselor of training:
• Oppositional,
• Reactionary,
• Noncompliant,
• Intractable, and
• Unmotivated
1. Oppositional:
• Recognize the expectations of the employees
towards training.
• Develop working relationship built on trust
and intimacy with an individual.
• Encourage and allow to explore personal
issues they might not have shared previously
with even their closest friends and family.
• Trainees may have been forced into
treatment, and as a result they are not
willing. Try to identify the reason for non-
commitment to the training.
2. Response quantity resistance
• The employees noncompliance with the change
process.
• The employee limits the amount of information
communicated to the counselor. Silence and
minimal talk are typical forms of resistance in
this category.
3. Response content resistance
• To restrict or control the type of information
communicated to the counselor.
• Employees engage in small talk about irrelevant
topics, such as gossip or rumors.
• Employees may engage in intellectual talk by
repeatedly using technical terms and abstract
concepts during the counseling session.
• There may be an emotional display (e.g., anger
outburst, crying) in reaction to a counseling topic.
4. Response style resistance
• Employees manipulate the information and
communicate to the counselor.
• Response style resistance include discounting, limit
setting, thought censoring/editing, externalization,
counselor stroking, seductiveness, forgetting, last
minute disclosure, and false promising.
• Try to discourage the counselor.
5. Logistic management resistance:
It consists of behavior patterns that violate the basics rules
underlying the practice of counseling.
• Poor appointment keeping, delay/refusal, and personal
favor asking.
• Avoid engaging the counselor in the counseling process by
creating a distraction.
Thus, the employees may have a negative attitude towards
the counselor or towards the counseling process. They try
ignoring, outright defying, not to participate in the
relationship.
Newman’s effective strategies for working with resistant to
the training process:
• Educating the employees about resistance and how it should look.
• Using the Socratic method of questioning to bring out the employee.
• Allowing the employee to have choices and be an active director of
the counseling process.
• Fostering collaboration between counselor and employees.
• Brainstorming the pros and cons of continuing current behavior or
changing.
• Empathizing with the employees and their reason for feeling
resistant.
• Discussing case conceptualization with the employees.
• Using a language that mirrors that of the employees.
• Maximizing the use of employees self-direction.
• Gently persisting (Keep it up) when a employee either is unable or
unwilling to proceed.
Thanks
Lecture - 7
Training Cost
Motorola approach-
• Motorola offers 40 Hrs training to its employees
• Motorola spends 4% of its payroll on training
• It has created a training centre called Motorola
University
• Motorola University has 14 branches around the
world
• Motorola’s budget on training in 2007 was 100
million Dollor.
Training costs
• Training provides tangible and intangible
benefits for businesses and employees.
• Training costs are among the easiest for
businesses to cut in difficult economic times,
but
value-added employee-training is
essential.
• Training, helps to reduce the cost per
transaction for the employer.
• Employees gain confidence in their skills,
• All Businesses have identified that Training
is useful to improve employee satisfaction
and retention.
Training Cost & Training Investment
is called as
Human Capital Investments
Human Capital Investments
Human Capital: knowledge, skills, abilities that
can be applied to create value within a firm.
• Training can be viewed as an investment in
human capital.
• Training can be used to increase productivity,
improve quality, strengthen interpersonal
skills or deepen organization culture.
Examples:
Learning Curves
No
Training
With
Training
Time
Human Capital Investments
0
2
4
6
8
10
12
14
T1 T2
Performance
P*
Human Capital Investments:
Training Costs
Employer must retain employee at firm over a
specified period of time to recover Training Costs
• Direct Costs: Development, Instructor, and Materials costs
• Indirect Costs: Employee salary paid while being trained, Salary of
other employees who provide the training (Instructors, evaluators),
Administrative overhead costs
• Training can be viewed as a “Make or Buy” decision. One can avoid
training costs by “buying” a trained employee in the market.
Human Capital Investments:
Training Costs
Approaches used to Recover training costs:
1. Training Wage – Wage below market levels
2. Training Contract – Employee agrees to remain with
employer for specified time period or pay back the cost of
training
3. Golden Handcuffs – Employees forfeit attractive benefits if
quit before a specified period of time (Stock options and
Bonuses)
4. Screen for high aptitude employees – Require shorter
training periods, have steeper learning curves
Human Capital Investments:
Firm Specific OR General
1. Firm Specific HC Investments: Skills that add
value only within a specific firm.
Example: Proprietary software or product
knowledge
2. General HC Investments: General skills that Add
value to any firm.
Example: Management or sales skills
• A firm should be willing to pay for specific skills but less willing to pay
for general skills.
• Employees who receive general HC investments can quit and receive
a wage premium in the market.
Human Capital Investments:
Firm Specific OR General
Critical Thinking Questions:
1. Suppose a firm does not make investments in
firm specific human capital. How will
employees obtain these firm specific skills?
2. Some firms invest in general human capital
such as providing classes in reading literacy,
English language competency, and numerical
skills to their employees. Why do they do
this and how can this be explained with
human capital theory?
Human Capital Investments:
Training Methods & Training Costs
• On the Job Training (OJT): includes
internships, apprenticeships, mentoring, role
modeling. (Less Costly)
Example: medical intern, and post-doc scientists
• Classroom Training – Can be off-site or on-
site. (Moderate Cost)
• Internet Training – Flexible scheduling and
engaging. (High Cost)
Human Capital Investments:
Fit with HR Systems
HR Policies Complementary to Investments in Training:
• Screening employees for aptitude & motivation
• Benefits that increase in value with seniority such as vacation
days and retirement income
• High wages relative to the market
• Internal career paths
Government polices may also provide incentives to invest in
training by discouraging employers from “poaching” employees.
Example: France requires employers to spend 2% of employees
salary on training. Creates a level playing field for employers to
invest in training.
Thanks
Lecture – 8
Training Cost Calculation
A. Fixed Training Costs
1. Building cost and depreciation
2. Building taxes
3. Fuel and water provision
4. Fixtures and fittings depreciation
5. Other fixed services – computer links
6. Equipments – computers, printers, OHPs, videos, mikes, etc.
7. Provision of a training resource center and/or library
8. Transport
Training Cost Calculation
B. Maintenance or Working Capital Training Costs
1. Consumables – e.g. Stationary
2. Routine maintenance and repair contracts
3. Other materials used during the training by
trainers and trainees
C. Administrative Costs
1. Cleaning
2. Support service – staff accommodation,
materials and salaries attributable to training
related duties
3. Telephone and utility charges attributable
to the training function
4. Computer time charges where appropriate
D. Trainer Costs
1. Cost of employing a training manager or partly
attributable costs of appointing senior managers with
responsibility for the training function
2. Trainer and/or program designer’s and writers salaries
and expenses
3. Continued training and development of training staff
4. Professional fees for training staff
5. Subscriptions to professional journals and purchase of
training resources
E. Direct Training Costs
1. Fees and expenses for guest speakers
F. External Agent Costs
1. Consultant fees and expenses
2. External course fees and expenses
3. Purchase of open learning programs
G. Trainee Costs
1. Apportionment of salary for period of
traveling to and from and Attending the
training program
2. Cost of pre-program action with line
manager (Also apportioned cost of line
manager)
3. Travel and accommodation costs
4. Cost of replacement of staff
Training Investment
99
Examples of Training Investments
Industry and government in the United States spend
approximately $90 billion each year on employee training and
education.
Average Japanese companies spends about 6% of budget on
training.
Study of major automobile manufactures found U. S
automakers spend about 40 hours training on new employees
compared to 300 hours for Japanese automakers.
Motorola’s CEO required all divisions to spend at least 2%
of budget on training. Over next 7 years, profits increased
47% and it was estimated that each $1.00 in training
yielded $30.00 in return.
100
How Investments can be measured?
ROI Tools
• Cost-benefit analysis
• Cost-effectiveness ratios
• Cost-feasibility analysis
101
Benefits of Cost-Benefit Analyses
102
Benefits of Cost-Benefit Analyses
• Avoid inefficient training methods
• Produce better objectives and goals
• Define clear goals and objectives
• Identify overly costly training methods
Lecture – 9
Competencies for
Training and Development
as an Investment
104
Competencies for Training and Development
as an Investment
1. Explain how training is an investment in an organization.
2. Differentiate the budgeting process for training in
today’s organizations from the past.
3. Identify the variables to consider when calculating the
costs of training and the costs of not training.
4. Describe how training directors develop cost-benefit
analyses for training and development activities.
5. Explain how training directors calculate an ROI (return
on investment) for training and development activities.
105
Problems if there is no training:
1. Labor Shortage:
• Demographics
• Competition from better paying industries
• Low perception of service culture
• Perceived lack of education needed
• Perceived lack of advancement opportunities
106
Problems if there is no training:
2. Absenteeism:
• Management’s insensitivity
• Management’s lack of response to the
critical needs of employees
• Low morale, prompting lack of motivation
• Low morale, causing increased levels of
stress
• Low morale, causing increased accidents
and illnesses
107
3. Turnover Rates
Source: Hay Group is a global management consulting firm
108
Reducing Turnover Through
Training• Increase job satisfaction
• Involvement in corporate culture
• Involvement in decision making
• Information about their jobs and the
organization
• Organizational stability
• Predictable work environments
109
4. Turnover Costs
• Separation costs
• Replacement costs
• Training costs
110
5. Recruitment Costs
• Advertising
• Management’s time in selection
• Application forms
• Testing
• Interviewing
• Reference checks
• Management’s time in hiring decisions
• Maintaining legal advice
• Management’s time working the floor filling in
• Human resource knowledge
• Record keeping
111
When Investment on Training required
• During the first six months of operation
• At the introduction of a new product
• At the introduction of a new system
• During a period of increased growth that
results in increased hiring
• When implementing management
development programs
112
Measuring the Impact of Training
• Profit
• Productivity
• Performance
113
Measurements of Effectiveness
• Dollars
• Time
• Productivity
• Injuries per month
+
-
+
-
Assignment-1
Q1. Training is a Change Agent. Explain.
Q2. Discuss the importance of Pre-training module.
Develop the pre-training module if an organization
wants to organize the counselor training for few
employees of the company.
Q3. What is the importance of counseling in training?
How it can be done? Justify with example.
Q4. Explain in detail different costs incurred during
training. Also Explain How training is investment?
Q5. What is the importance of training environment?
What type of training environment will you develop
for newly joined employees in you company?
Thanks

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Training – a change agent, Training Environment, Pre Training module, Counseling for Training, Training Costs and Training Investment

  • 1. Lecture – 1 Subject: MBA/3305/H - Management of Training & development.(MTD)
  • 2. Introduction of Subject : Management of Training & Development • Training • Development
  • 3. a]Course Objectives : • Need of Business Organizations At the end student will able to: • Define training • Understand the need and rationale of training • Benefits of training to the employees and employers • Know the role of the trainers in the fast changing economy
  • 4. b]Course Outcomes : Students will be aware of the following: • Up-to date and comprehensive discourse on modern training that a professional requires. • The latest training & development perspectives. • To recognize the situation of Training Development in India • Develop the understanding in the field of Training needs & functions, training process, training methodologies, etc. • Various training modules & training evaluation techniques are understood & developed with the help of Case Studies.
  • 5. Syllabus Unit I : Training : A change agent, Training Environment, Pre-Training module, Counseling for Training, Training Costs and Training Investment Unit II : Training Functions: Training Needs Assessment, Action Research, Organizational Objectives and Training Unit III : Learning Process: Training Climate, Development and Designing Training Modules Unit IV : Training Methods: Techniques & Pedagogy, Training aids & Tools, Facilities for Training Unit V : Training Feedback and Evaluation: Training Audit, Training as Continuous Process
  • 6. Reference Books Sr. No. Title Author Publication R-1 Improving Training Effectiveness. Beunet, Roger ed. Aldershot, Gower, 1988. R-2 The Theory & Practice of Training. Buckley R & Caple, Jim. London, Kogan & Page, 1995. R-3 Training for Development. 2nd ed. Lynton, R Pareek, U. New Delhi, Vistaar, 1990. R-4 Managing the Training and Development Function. Pepper, Allan D. Aldershot, Gower, 1984. R-5 How to Measure Training Effectiveness. Rae, L. Aldershot, Gower, 1986. R-6 Training Interventions : Managing Employee Development. 3rd ed. Reid, M A. etc. London, IPM, 1992. R-7 The Fifth Discipline: The Art and Practice of the Learning Organization. Senge, P. London, Century, 1992. R-8 Essentials of Training and Development Dr. Anjali Ghanekar Everest Publishing House
  • 7. Magazines Sr. No. Title 1. International Journal of Training and Development http://onlinelibrary.wiley.com/journal/10.1111/(ISSN)1468-2 2. European Journal of Training and Development http://www.emeraldgrouppublishing.com/products/journals /journals.htm?id=EJTD 3. International Journal of Human Resources Development and Management http://www.inderscience.com/jhome.php?jcode=ijhrdm
  • 8. Suggested Readings from :- • HRM Review-ICFAI Journal. • Global CEO- ICFAI Journal. • Effective Executive- ICFAI Journal. • Human Capital. • A to Z MBA.com • Management paradise.com • citehr.com.
  • 9. Unit - I • Training: A change agent • Training Environment • Pre-training Module • Counseling for training • Training Costs and Training Investment
  • 10. Need and Rationale of Training The need for training can arise because of the following reasons: (i)Changing Technology. (ii)Demanding Customers. (iii)Thrust on Productivity. (iv) Improved motivation. (v)Accuracy of output and (vi) Better Management.
  • 11. Good for your business Training can improve business performance, profit and staff morale. Advantages to your business include: • Workforce gains new skills. (Future requirement may cope up.) • Better customer service, better work safety practices and productivity improvements. • By giving training you value your workers. It improves loyalty and staff retention.
  • 12. Good for your workers Training has many benefits for employees: • They acquire new skills, increasing their contribution and building their self-esteem. • Training may take them into higher positions within the organization. • They’re up-skilled to do new and different tasks, which keeps them motivated and fresh. • Worker’s market value increases.
  • 13. What change Training brings in… • Economy in Operations • Greater Productivity • Uniformity of procedure • Less Supervision • Systematic imparting of skills • Creation of Inventory of skills • Higher Moral of employees • Stay ahead of competitors • Attract new talent
  • 15. Lecture - 2 Training: A change Agent Who can be a change agent?
  • 16. Definitions: Change Agent • A change agent is any catalyst that alters the status quo. It could be: “A person, A group, An event, or Policies” – Louis Andre • Change Agent is “the person who carries the flag of a need . (Unrecognized need.” – Gary Foster A change agent effectively redirects the capacities of individuals or organizations to achieve either better results for a traditional mission or new outcomes based on another assignments”
  • 17. Definitions: Change Agent • A Change Agent is someone who is helping to either bring about a different conditions (change), but more often it is someone who is leading in the transition that results from change” – Greg Rothwell • “ Someone who identifies a future state or goal and then puts the systems in place to get it done.” - Jerry Hultin
  • 18. Role of a change agent • The role of a change agent is to help: – Decide what to change – Facilitate what to change to – Sell the change – Implement the change
  • 19. Good Change Agents... • Are passionate • Are knowledge seeking • Have access to power • Are respected by the organization
  • 20. Types of Change Agents/ Trainer: • Internal Change agent • External Change agent
  • 21. Training can be effectively delivered / imparted by change Agent if: • Clear permission from top management • Awareness of the scope and the vision • Becoming a change team • The change agent needs to have some skills in hand when they go to work • Enhanced inter-personal skills. Change agents work with and through people. • Enhanced intra-personal awareness.
  • 22. Challenges • Trainers completely lose the sight of their objectives. • They conduct trainings simply because they have a budget/training process/calendar • Imparting training is a costly affair. • Effective trainings have become absolutely critical in knowledge oriented world to maintain the competitiveness and innovation.
  • 23. What is required? • For training to really deliver value, we need a shift in mindset. • Trainings are not a just one-way affair • Trainings, if done with right intent and zeal can transform the organization. • Trainings are a great forum to set the expectations on behaviors
  • 24. • Who so ever you are? A business leader, training manager or a trainer, ask this question before planning any training, “What change do I wish to see as a result of this training?” Change Agent/Trainer’s perspective: Imparting knowledge Inducing change
  • 27. What is Training Environment? What type of Training Environment you are expecting?
  • 28. • The Physical Environment in which training is conducted can have a significant impact on the effectiveness of the training. • Skills acquisition may be adversely affected by Environments • The trainers themselves feel uncomfortable, or the facilities are inadequate for the requirements of the training session.
  • 29. • In off the job training, attention must be given to ensuring that their Travel arrangements have been efficiently planned. • Provide Adequate shelter, Food and drink. • Think What technologies could be used to create an effective learning environment?
  • 30. What training rooms should contain? • Powerpoint / data projection • Flip-charts • Walls to put up posters/ user created flip- charts • Black Board or White Board
  • 31. Assumptions about training room: varies from trainer to trainer or situation to situation: Ex: • Up to 16 delegates • Suitable for Soft-skills training • Suitable for use as a meeting room • Suitable for IT based training • Suitable for facilitation of planning meetings
  • 32. Basics requirements of Training Environment Must have.. • Ability to control light levels (and lights that are natural daylight color) • Ability to control the air temp/ air flow in the room • Access to a lounge with comfortable seating
  • 33. Additional Requirements .. • Access to syndicate/ breakout room • Access to toilets • Clock that the lead facilitator can see easily • Easy access to refreshments/ water/ fruit • Long cables on all the tech kit that do not cause anyone a trip hazard! • Paper/ pens, stationary • Place for coats/ bags • Toys/ stimulating objects (A box of)
  • 34. Furniture at the training venue • Any room must have some type of flexibility in terms of layout • Some equipments.
  • 36. • Old saying: If you always do what you have always done, you will always get what you have always got! and this is just as true for training and learning environments.
  • 37.
  • 38. So training providers must use …. • A room with natural light – preferable from above – but one side with substantial windows • A data projector central at the front, complete with suitable sound system, DVD etc (no wires!) • 2 white boards, one either side of the projection area – full wall size – height & width • White boards covering the other 2 usable walls • Provision of drinking water etc in the room • Wireless netbooks connected together with collaboration software – and connected for electronic polls etc with the main PC in the room
  • 39. So, • Physical Environment • Technical Environment • Facility Environment • Intellectual Environment All types of training environment Must be present for successful training.
  • 41. Lecture - 4 Pre Training Module
  • 42. • Pre training module is an general idea of the concepts and skills trainers are presenting, to provide advanced teaching for the participants. • Mayer suggests that Pre training can help clarify concepts that may confuse learners • Pre-training should take place as an activity or introduction prior to the beginning of training. It is a creative & effective way to accomplish training task.
  • 43. Objectives of Pre-training: • To determine the appropriateness of the context of a training activity Which one should be selected? – Workshops – On the job Training – Training Agent (Internal/External) – Off the Job Training – One-to-one training • Define relevant training objectives
  • 44. Prepare Training Goals To define the goals you plan to achieve through this training, you should take the needs of your stakeholders (co-workers and employers) into consideration.
  • 45. To determine your goals, use the following questions: • Who is being trained? • What are the objectives of this training session? Benefits employees/Employer expecting from training • Is there an upcoming change that requires this training? New industry trends are driving the development of the class.
  • 46. How to define Training Objectives? Poorly written objectives: • The trainees will learn to be good teachers. • The trainees will learn a lot about the Multi-strategy method. well-written objectives: • By the end of the training course, the trainees will do the following: – Examine four characteristics of adult learning (knowledge objective) – Learn to use stories in classroom teaching
  • 47. Steps to design Pre-Training module 1. Gather baseline data on the trainees – knowledge – skills, and – attitudes.
  • 48. 2. Review the established needs as defined in the training program plan.
  • 49. 3. Answer the following questions: – Do the trainees and the training organization agree on the established needs? – Will the training meet a portion of the established needs? – Will those who need the training be available to attend the training activity? – Will meeting the defined objectives produce the desired outcome? – Is the content appropriate for the objectives? – Will trainees and trainers be comfortable with the chosen training methods?
  • 50. 4. Based on information gathered in Steps 1 through 3, assess the suitability of – The training objectives, and – The organizational requirements of the training program or activity.
  • 51. Case Study Pre-Training Workers Interview Workers Questions: 1. How many workers are being interviewed? 2. How many workers interviewed have converted? 3. Since you will be changed from DW to Regular, some things might have changed for you. Are you satisfied with (each area below): • Hours of work ____ • Job responsibility ____ • Job satisfaction ____
  • 52. 4. Are you going to attend training? Number 5. If you won’t be attending training, why not? 1: Work commitments – no back fill 2: Family/community commitments 3: Sickness 4: Not interested 5: Training too difficult 6: Training not valuable 7: Training not relevant 9: Other describe: 6. Interviewer Notes:
  • 53. • Develop a Pre-Training module for SIP.
  • 55. Lecture - 5 Counselingfor training What is Counseling?
  • 56. Counseling • “The process of assisting and guiding clients, especially by a trained person on a professional basis, to resolve especially personal, social, or psychological problems and difficulties.” • The act of helping the client to see things more clearly, possibly from a different view- point. This can enable the client to focus on feelings, experiences or behaviour, with a goal to facilitating positive change.
  • 57. No organization free of stress No Stress-free employees In the premises Outside the premises So, Arrange “Training for Stress Releasing” … Training may add one more stress on employees
  • 58. • Regularly scheduled training are required to keep employees updated • For training to be effective you need to follow the few rules of a successful training program in business. • The stuff you got as a trainee may be needy, opportunist, supportive or opposites. Hence, it requires the counseling before training
  • 59. Concept for counseling for training Counseling for training is – Guiding, Consoling, Advising, Sharing and helping to resolve the problems about the training whenever the need arises.
  • 60. Lecture - 6 How the counseling should be?
  • 61. 1. Be Concise • Collect only relevant information, • Ask minimum questions • Identify willingness, readiness or discomfort • Don’t waste employees and yours time “Giving them zest of training” How the counseling for Training should be?
  • 62. 2. Be Focused • Counseling for different issues should not be at a time. • Counseling on multiple issues at a time may confuse and make discomfort to the employees. Different Issues may be- – Training not important to us – We are not fit for the training – We have our personal problems – Motivation/reward not sufficient
  • 63. 3. Keep Schedule • Regular counseling - allows employees to prepare with their views and problems and be ready to absorb the material. • Don’t Spread counseling for weekly or monthly. • Daily counseling becomes too repetitive and bore some.
  • 64. 4. Use Experts Experts to add credibility to the information and possibility to reach to the solution. Who are Expert? Ex: If you are counseling for training on a new product launch, then the engineering department that worked on the product will be perceived as being experts.
  • 65. 5. Use Evidences: Offer employees the chance to become familiar, understand the issues/Cases who have benefitted by such type of training. Ask their opinion.
  • 66. 6. Encourage Questions • Counseling for Training needs to be interactive. • At the end of each counseling segment, encourage employees to ask questions /problems. • Offer informative answers, and speak professionally and respectfully to each employee that asks. • For employees hesitant to ask questions use – – Group Counseling – Individual counseling
  • 67. 7. Have the collection of good Material: You can ask employees to read the material which may bust up the moral of employees and undergo the training.
  • 68. Challenges to Counselor of training: • Oppositional, • Reactionary, • Noncompliant, • Intractable, and • Unmotivated
  • 69. 1. Oppositional: • Recognize the expectations of the employees towards training. • Develop working relationship built on trust and intimacy with an individual. • Encourage and allow to explore personal issues they might not have shared previously with even their closest friends and family. • Trainees may have been forced into treatment, and as a result they are not willing. Try to identify the reason for non- commitment to the training.
  • 70. 2. Response quantity resistance • The employees noncompliance with the change process. • The employee limits the amount of information communicated to the counselor. Silence and minimal talk are typical forms of resistance in this category.
  • 71. 3. Response content resistance • To restrict or control the type of information communicated to the counselor. • Employees engage in small talk about irrelevant topics, such as gossip or rumors. • Employees may engage in intellectual talk by repeatedly using technical terms and abstract concepts during the counseling session. • There may be an emotional display (e.g., anger outburst, crying) in reaction to a counseling topic.
  • 72. 4. Response style resistance • Employees manipulate the information and communicate to the counselor. • Response style resistance include discounting, limit setting, thought censoring/editing, externalization, counselor stroking, seductiveness, forgetting, last minute disclosure, and false promising. • Try to discourage the counselor.
  • 73. 5. Logistic management resistance: It consists of behavior patterns that violate the basics rules underlying the practice of counseling. • Poor appointment keeping, delay/refusal, and personal favor asking. • Avoid engaging the counselor in the counseling process by creating a distraction. Thus, the employees may have a negative attitude towards the counselor or towards the counseling process. They try ignoring, outright defying, not to participate in the relationship.
  • 74. Newman’s effective strategies for working with resistant to the training process: • Educating the employees about resistance and how it should look. • Using the Socratic method of questioning to bring out the employee. • Allowing the employee to have choices and be an active director of the counseling process. • Fostering collaboration between counselor and employees. • Brainstorming the pros and cons of continuing current behavior or changing. • Empathizing with the employees and their reason for feeling resistant. • Discussing case conceptualization with the employees. • Using a language that mirrors that of the employees. • Maximizing the use of employees self-direction. • Gently persisting (Keep it up) when a employee either is unable or unwilling to proceed.
  • 77. Motorola approach- • Motorola offers 40 Hrs training to its employees • Motorola spends 4% of its payroll on training • It has created a training centre called Motorola University • Motorola University has 14 branches around the world • Motorola’s budget on training in 2007 was 100 million Dollor.
  • 78. Training costs • Training provides tangible and intangible benefits for businesses and employees. • Training costs are among the easiest for businesses to cut in difficult economic times, but value-added employee-training is essential.
  • 79. • Training, helps to reduce the cost per transaction for the employer. • Employees gain confidence in their skills, • All Businesses have identified that Training is useful to improve employee satisfaction and retention.
  • 80. Training Cost & Training Investment is called as Human Capital Investments
  • 81. Human Capital Investments Human Capital: knowledge, skills, abilities that can be applied to create value within a firm. • Training can be viewed as an investment in human capital. • Training can be used to increase productivity, improve quality, strengthen interpersonal skills or deepen organization culture. Examples:
  • 82. Learning Curves No Training With Training Time Human Capital Investments 0 2 4 6 8 10 12 14 T1 T2 Performance P*
  • 83. Human Capital Investments: Training Costs Employer must retain employee at firm over a specified period of time to recover Training Costs • Direct Costs: Development, Instructor, and Materials costs • Indirect Costs: Employee salary paid while being trained, Salary of other employees who provide the training (Instructors, evaluators), Administrative overhead costs • Training can be viewed as a “Make or Buy” decision. One can avoid training costs by “buying” a trained employee in the market.
  • 84. Human Capital Investments: Training Costs Approaches used to Recover training costs: 1. Training Wage – Wage below market levels 2. Training Contract – Employee agrees to remain with employer for specified time period or pay back the cost of training 3. Golden Handcuffs – Employees forfeit attractive benefits if quit before a specified period of time (Stock options and Bonuses) 4. Screen for high aptitude employees – Require shorter training periods, have steeper learning curves
  • 85. Human Capital Investments: Firm Specific OR General 1. Firm Specific HC Investments: Skills that add value only within a specific firm. Example: Proprietary software or product knowledge 2. General HC Investments: General skills that Add value to any firm. Example: Management or sales skills • A firm should be willing to pay for specific skills but less willing to pay for general skills. • Employees who receive general HC investments can quit and receive a wage premium in the market.
  • 86. Human Capital Investments: Firm Specific OR General Critical Thinking Questions: 1. Suppose a firm does not make investments in firm specific human capital. How will employees obtain these firm specific skills? 2. Some firms invest in general human capital such as providing classes in reading literacy, English language competency, and numerical skills to their employees. Why do they do this and how can this be explained with human capital theory?
  • 87. Human Capital Investments: Training Methods & Training Costs • On the Job Training (OJT): includes internships, apprenticeships, mentoring, role modeling. (Less Costly) Example: medical intern, and post-doc scientists • Classroom Training – Can be off-site or on- site. (Moderate Cost) • Internet Training – Flexible scheduling and engaging. (High Cost)
  • 88. Human Capital Investments: Fit with HR Systems HR Policies Complementary to Investments in Training: • Screening employees for aptitude & motivation • Benefits that increase in value with seniority such as vacation days and retirement income • High wages relative to the market • Internal career paths Government polices may also provide incentives to invest in training by discouraging employers from “poaching” employees. Example: France requires employers to spend 2% of employees salary on training. Creates a level playing field for employers to invest in training.
  • 90. Lecture – 8 Training Cost Calculation
  • 91. A. Fixed Training Costs 1. Building cost and depreciation 2. Building taxes 3. Fuel and water provision 4. Fixtures and fittings depreciation 5. Other fixed services – computer links 6. Equipments – computers, printers, OHPs, videos, mikes, etc. 7. Provision of a training resource center and/or library 8. Transport Training Cost Calculation
  • 92. B. Maintenance or Working Capital Training Costs 1. Consumables – e.g. Stationary 2. Routine maintenance and repair contracts 3. Other materials used during the training by trainers and trainees
  • 93. C. Administrative Costs 1. Cleaning 2. Support service – staff accommodation, materials and salaries attributable to training related duties 3. Telephone and utility charges attributable to the training function 4. Computer time charges where appropriate
  • 94. D. Trainer Costs 1. Cost of employing a training manager or partly attributable costs of appointing senior managers with responsibility for the training function 2. Trainer and/or program designer’s and writers salaries and expenses 3. Continued training and development of training staff 4. Professional fees for training staff 5. Subscriptions to professional journals and purchase of training resources
  • 95. E. Direct Training Costs 1. Fees and expenses for guest speakers
  • 96. F. External Agent Costs 1. Consultant fees and expenses 2. External course fees and expenses 3. Purchase of open learning programs
  • 97. G. Trainee Costs 1. Apportionment of salary for period of traveling to and from and Attending the training program 2. Cost of pre-program action with line manager (Also apportioned cost of line manager) 3. Travel and accommodation costs 4. Cost of replacement of staff
  • 99. 99 Examples of Training Investments Industry and government in the United States spend approximately $90 billion each year on employee training and education. Average Japanese companies spends about 6% of budget on training. Study of major automobile manufactures found U. S automakers spend about 40 hours training on new employees compared to 300 hours for Japanese automakers. Motorola’s CEO required all divisions to spend at least 2% of budget on training. Over next 7 years, profits increased 47% and it was estimated that each $1.00 in training yielded $30.00 in return.
  • 100. 100 How Investments can be measured? ROI Tools • Cost-benefit analysis • Cost-effectiveness ratios • Cost-feasibility analysis
  • 102. 102 Benefits of Cost-Benefit Analyses • Avoid inefficient training methods • Produce better objectives and goals • Define clear goals and objectives • Identify overly costly training methods
  • 103. Lecture – 9 Competencies for Training and Development as an Investment
  • 104. 104 Competencies for Training and Development as an Investment 1. Explain how training is an investment in an organization. 2. Differentiate the budgeting process for training in today’s organizations from the past. 3. Identify the variables to consider when calculating the costs of training and the costs of not training. 4. Describe how training directors develop cost-benefit analyses for training and development activities. 5. Explain how training directors calculate an ROI (return on investment) for training and development activities.
  • 105. 105 Problems if there is no training: 1. Labor Shortage: • Demographics • Competition from better paying industries • Low perception of service culture • Perceived lack of education needed • Perceived lack of advancement opportunities
  • 106. 106 Problems if there is no training: 2. Absenteeism: • Management’s insensitivity • Management’s lack of response to the critical needs of employees • Low morale, prompting lack of motivation • Low morale, causing increased levels of stress • Low morale, causing increased accidents and illnesses
  • 107. 107 3. Turnover Rates Source: Hay Group is a global management consulting firm
  • 108. 108 Reducing Turnover Through Training• Increase job satisfaction • Involvement in corporate culture • Involvement in decision making • Information about their jobs and the organization • Organizational stability • Predictable work environments
  • 109. 109 4. Turnover Costs • Separation costs • Replacement costs • Training costs
  • 110. 110 5. Recruitment Costs • Advertising • Management’s time in selection • Application forms • Testing • Interviewing • Reference checks • Management’s time in hiring decisions • Maintaining legal advice • Management’s time working the floor filling in • Human resource knowledge • Record keeping
  • 111. 111 When Investment on Training required • During the first six months of operation • At the introduction of a new product • At the introduction of a new system • During a period of increased growth that results in increased hiring • When implementing management development programs
  • 112. 112 Measuring the Impact of Training • Profit • Productivity • Performance
  • 113. 113 Measurements of Effectiveness • Dollars • Time • Productivity • Injuries per month + - + -
  • 114. Assignment-1 Q1. Training is a Change Agent. Explain. Q2. Discuss the importance of Pre-training module. Develop the pre-training module if an organization wants to organize the counselor training for few employees of the company. Q3. What is the importance of counseling in training? How it can be done? Justify with example. Q4. Explain in detail different costs incurred during training. Also Explain How training is investment? Q5. What is the importance of training environment? What type of training environment will you develop for newly joined employees in you company?
  • 115. Thanks

Editor's Notes

  1. Change agents are passionate advocates for process improvement in an organization. They look for knowledge in terms of business models, industry benchmarks, process metrics, return on investment, cost of quality, etc. that can be used to improve their organization’s product and processes. They are generally not in a “power” position in the organization. They may be leading a process group or be in the Quality Assurance or Quality Control department, or may be part of an engineering or software development or engineering group. They have “access to power”. They have convinced senior management to start and support (serve as “champions”) for the process improvement effort so that when they encounter a problem that requires senior management involvement – they can get the attention of the management “champion” and get it resolved. Finally, they are respected by the organization (middle management and the workforce) as individuals and for what they are trying to achieve in terms of process improvement. In my experience, good Change Agents are often well qualified FACILITATORS or INFORMAL LEADERS who accomplish the end result through others. Unless it is a very small organization, the change agent is rarely the CEO.
  2. Story About the Multi task training to sparrow, fish, rabbit, dog, ill