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McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

1-1
Chapter
1

Introduction to
Employee Training
and Development

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Introduction (1 of 3)
Boston Pizza International, Bowater’s Coated and
Specialty Paper Division, Americredit, and Home
Depot illustrate how training can contribute to
companies’ competitiveness

Competitiveness – refers to a company’s ability


to maintain and gain market share in an industry

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Introduction (2 of 3)
Although they are in different types of businesses,
they each have training practices that have helped
them gain a competitive advantage in their markets

Issues affecting companies and influencing training


practices:
customer service
employee retention and growth
doing more with less
quality and productivity

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Introduction (3 of 3)
The training practices have helped Boston Pizza
International, Bowater’s Coated and Specialty
Paper Division, Americredit, and Home Depot :
grow the business, and
improve customer service, by
providing employees with the knowledge and skills
they need to be successful

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Human Resource Management
Refers to the policies, practices, and systems that
influence employees’:
behavior
attitudes
performance

HRM practices play a key role in attracting,


motivating, rewarding, and retaining employees

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What is training?
Training – refers to a planned effort by a
company to facilitate employees’ learning of job-
related competencies

The goal of training is for employees to:


master the knowledge, skill, and behaviors emphasized
in training programs, and
apply them to their day-to-day activities

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High-Leverage Training
Linked to strategic goals and objectives
Uses an instructional design process to ensure
that training is effective
Compares or benchmarks the company’s training
programs against training programs in other
companies
Creates working conditions that encourage
continuous learning

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Continuous Learning (1 of 2)
Continuous Learning – requires employees to
understand the entire work system including the
relationships among:
their jobs
their work units
the entire company

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Continuous Learning (2 of 2)
Employees are expected to:
acquire new skills and knowledge
apply them on the job
share this information with other employees

Managers take an active role:


in identifying training needs
helping to ensure that employees use training in their
work

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Training and Performance
Emphasis on high-leverage training has been
accompanied by a movement to link training to
performance improvement

Training is used to improve employee


performance

This leads to improved business results

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Training and Performance: Today’s
Emphasis (1 of 2)
Providing educational opportunities for all
employees

An on-going process of performance


improvement that is directly measurable
not one-time training events

The need to demonstrate the benefits of training


to executives, managers, and trainees
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Training and Performance: Today’s
Emphasis (2 of 2)
Learning as a lifelong event
senior management, training managers, and employees
have ownership

Training used to help attain strategic business


objectives
helps companies gain a competitive advantage

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Training Design Process
Ensuring Employees’
Conducting Needs Readiness for Training Creating a Learning
Assessment Environment

Developing an Ensuring Transfer of


Evaluation Plan Training

Monitoring and
Select Training
Evaluating the
Method
Program

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Instructional System Design (ISD)
Refers to a process for designing and developing
training programs

There is not one universally accepted ISD model

ISD process should be:


systematic
flexible enough to adapt to business needs

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Assumptions of ISD Approaches (1 of 2)

Training design is effective only if it helps


employees reach instructional or training goals
and objectives

Measurable learning objectives should be


identified before training

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Assumptions of ISD Approaches (2 of 2)

Evaluation plays an important part in:


planning and choosing a training method
monitoring the training program
suggesting changes to the training design process

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Forces Influencing the Workplace
and Training: (1 of 2)

Globalization
Need for leadership
Increased value placed on knowledge
Attracting and retaining talent
Customer service and quality emphasis

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Forces Influencing the Workplace
and Training: (2 of 2)
Changing demographics and diversity of the work
force
New technology
High-performance models of work systems
Economic changes

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Core Values of Total Quality
Management (TQM) (1 of 2)
Methods and processes are designed to meet the
needs of internal and external customers

Every employee in the company receives training


in quality

Quality is designed into a product or service so


that errors are prevented from occurring, rather
than being detected and corrected
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Core Values of TQM (2 of 2)

The company promotes cooperation with


vendors, suppliers, and customers to improve
quality and hold down costs

Managers measure progress with feedback based


on data

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Categories and Point Values for the Malcolm
Baldrige National Quality Award Examination

Leadership 120 points


Measurement Analysis and Knowledge Management 90 points
Strategic Planning 85 points
Human Resource Focus 85 points
Process Management 85 points
Business Results 450 points
Customer and Market Focus 85 points
Total Points 1,000 points

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Skills Needed to Manage a Diverse Work
Force: (1 of 2)

Communicating effectively with employees from


a wide variety of backgrounds

Coaching, training and developing employees of


different ages, educational backgrounds,
ethnicities, physical abilities, and races

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Skills Needed to Manage a Diverse Work
Force: (2 of 2)
Providing performance feedback that is free of
values and stereotypes based on gender, ethnicity,
or physical handicap

Creating a work environment that allows


employees of all backgrounds to be creative and
innovative

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How Managing Cultural Diversity Can
Provide Competitive Advantage

1. Cost
argument

2. Resource-
3. Marketing
acquisition
argument
argument

5. Problem- 6. System
4. Creativity solving flexibility
argument argument argument
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Use of new technology and work design needs to
be supported by specific HRM practices: (1 of 2)

Employees choose or select new employees or


team members
Employees receive formal performance feedback
and are involved in the performance improvement
process
Ongoing training is emphasized and rewarded
Rewards and compensation are linked to company
performance

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Use of new technology and work design needs to
be supported by specific HRM practices: (2 of 2)

Equipment and work processes encourage


maximum flexibility and interaction between
employees
Employees participate in planning changes in
equipment, layout, and work methods
Employees understand how their jobs contribute to
the finished product or service

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Comparison of Training Investment Leaders
and Benchmark Companies (1 of 2)
Benchmark Investment
Company Leader
Percent of eligible employees being trained 78% 91%

Amount of training received per employee 24 hours 57 hours

Amount spent on training:


Percentage of payroll 2% 4%
Per employee $734 $1,647

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Comparison of Training Investment Leaders
and Benchmark Companies (2 of 2)
Benchmark Investment
Company Leader
Average total spent $3.6m $11.1m

Percent of training delivered using learning 11% 22%


technology
Percent training time in classroom 77% 61%

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Roles of Trainers
Strategic Adviser
Systems Design and Developer
Organization Change Agent
Instructional Designer
Individual Development and Career Counselor
Coach / Performance Consultant
Researcher

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Who Is In Charge
Who Provides
of Training?
Training?

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