Costoftraining

301 views

Published on

Published in: Business, Technology
  • Be the first to comment

  • Be the first to like this

Costoftraining

  1. 1. Human Capital Dollar Amount Spent in America ... Training and Development $210 Billion Formal Education $238 Billion Health Care $355 Billion © 2001, Jerome J.
  2. 2. Human Capital Cost Factors Analysis and Development •Course Design •Material Development Delivery •Instructor Time •Materials •Administration Trainees •Wages •Benefits •Overhead © 2001, Jerome J.
  3. 3. Human Capital Cost Factors © 2001, Jerome J.
  4. 4. Human Capital Money Must Be Kept Busy! © 2001, Jerome J.
  5. 5. Human Capital Efficiency, (E1) - How Fast Effectiveness, (E2) - How Well… © 2001, Jerome J.
  6. 6. Human Capital Trainees Delivery Typical Institutions 90% 9% 1% US Company With Largest Development Costs 85% 12% 3% Institutions With Little Or No Formal Training 95% 5% © 2001, Jerome J. Development 0%
  7. 7. Human Capital Cost Categories Development How It Is Now How IT Could Be $.01 $.05 Delivery $.09 $.20 Trainees $.90 $.30 Total Cost $1.00 $.55 © 2001, Jerome J.
  8. 8. Human Capital Exemplary Competence Average Performance End Training Start Training Hire Date © 2001, Jerome J. Gr o uctivity Pr o d w th
  9. 9. Human Capital E2 = Training Effectiveness • PIP (Performance Improvement Potential) • The ratio of Average to Exemplary • PIP = Y(Average) to X(exemplary) © 2001, Jerome J.
  10. 10. Human Capital Average © 2001, Jerome J. Exemplar
  11. 11. Human Capital Average New Average Greatly Improved Productivity Economic Gain © 2001, Jerome J.
  12. 12. Certification Performance Assurance Process Class Supported Activities Participant POA Complete Exercises Internet Supported Activities Register w. Internet Counselor Internet Approve Selected Materials Guided Performance Support • Conduct Client Agreement Meeting • Create System/Job Models • Create Economic Model • Write Performance Opportunity Report (POR) © 2001, Jerome J. Begin Monitor POA Process Approved Work Output Certification
  13. 13. Performance Opportunity Report... Opportunity Explanation Root Cause Information Technology New computers and software NMG cut off electronically Cycle Time Reduction Cross Platform Communication Strategies Lack of Ability to Share Data Operation Standards Turnover leads to more process errors Unclear Operation Standards Quality feedback Data collection timeliness, Cost of Quality problems usefulness Cost of Analysis: Cost of$135,000 $8,100 SME’s: © 2001, Jerome J. Total Cost to Date: $143,100 Counter Measure Convert platforms Train Axxociates Improve data transfer Improve Training and Operations Standards Update QICS Install monitors Design reports Schedule Cost R.O.I Start End $10,000 180% Oct 97 Nov 97 $2.8M 1400% Nov 97 Mar 98 $800,000 440% Feb 98 June 98 $1,125M 320% Oct 97 Dec 98
  14. 14. The Six Cell Performance Engineering Model 1 Information Directional Feedback 2 Tools/Resources Hand Mind 4 Skill/Knowledge 5 Capacity Physical Psychomotor Cognitive © 2001, Jerome J. Intellectual 3 Incentive Monetary Constraints 6 Motivation Survival Values

×