Purpose Of Training And Development Management Essay

The introduction gives the aims and objectives to fulfill as the platform to carry out the study. In order to learn the objectives of identifying and critically investigating the way procedures of training and development in relation to profitability and the requirements for training, the exploring of information is carried out below. The literature review continues the aim and objectives of this study to a step further.

Training is essential for inducing the positive progressive approach in the company. It is defined as an activity that gives outcomes of learning. The purpose of training is to develop a team that is efficient and wise to meet the challenging requirement of future. Training builds confidence, and gives direction to employees. Training is one good way of enhancing knowledge, skills and to learn about the dynamic environment of an organization (Noe and Ford 2001).

Employees require training for a lot of reasons. These reasons fall into two major categories. The first category is the training to fill a performance gap during performance management. The second category is to fill growth gap. This means to promote or open position in organization (Shaw 2010).

Human Resource Development

There are different types of HRD definition. The definition which is provided by UK Human resource development Council is, “Human resource development is basically a part of Human Resource and Management (HRM) which specifically deals with the training and development of employees. HRD would include training an individual after he or she is hired, providing opportunities to learn new skills, distributing resources which are beneficial for the employee’s task, and any other developmental activities.” Human Resource Development is used to support employees in improving their personal and organizational skills, knowledge and abilities. HRD includes opportunities like performance management and development, employee training, employee career development, coaching, monitoring, succession planning, key employee identification, tuition assistance, and organization development. Human Resource Development can be formal such like class room training or a college course or an organizational planned change effort. On the other hand HRD can be informal as a manager coaching his employee. The main focus of all aspects of Human Resource Development and training the most senior management so that organizations and individual employees can together achieve their goals in customer service (Susan et al.,2010).

Many people say that there is a difference between HRM and HRD. According to them Human Resource is a major management activity and Human resource development is a profession. They might think HRM in HRD because in their point of view HRD involves in many activities to develop personnel inside of organizations, e.g., training, carer development, organizational development, organizational learning, etc.

In most of the organization the focus has moved from piecemeal training activities to more systematic human resource development. Organizations are changing their priorities. Organizations are becoming learning organizations and they are keeping them away from training individual employee. The competitive advantage of any firm comes from development of an organization’s human capital. This is helping in learning experience of an employee and as a whole. According to Sloman (1994) the systematic training model depends on a series of a logical steps define as a training policy, a method for identifying training needs, the formulation of training objectives, the development of a training plan, the implementation of a planned training programme, validation, evaluation and review of training. Companies are trying to adopt high level of training model to meet their skill needs and they are linking training to strategic initiatives. Traditional training models are being rejected by many companies. There have been many changes in responsibility in line with the growth of HRM, delayering and divisonalisation. Training is seen as a job of line managers, with specialist trainers being used as an internal consultancy resource. The new approach needs a very effective communication system between the strategic decision makers, line managers and specialist trainers.

This is now understood that employees are main asset of any organization. Bank of Montreal Chairman says employees key to maximising continued growth. 27 February 2001 Bank of Montreal shareholders were told that employees are the real key to sustaining competitive advantage and financial performance. At the bank’s 183rd annual meeting in Vancouver the chairman said ” The foundation of Bank Montreal’s continued growth and success, and the only way to achieve its competitive advantage is through the performance of its 33.000 people.” “Even there is no doubt that investments in technology, products or delivery systems can be matched by competitors, since nothing profitable remains exclusive for long. The only sure and permanent way to stay ahead of the competition is to employ the most capable people and to ensure they are given every best opportunity to do their very best work,” (Camper, 2001). From this example it is very clear that the bank is confident of the investment it has made in people.

Human Resource Development (HRD) is a title which represents the latest evolutionary stage in the long tradition of training, educating and developing people for the purpose of contributing towards the achievement of individual, organizational and social objectives. HRD as with the title HRM are like nuts and bolts of an organization that can be interchanged and dispensed with at will. Drucker suggested the term ‘biological HRD’ to vehemence the living nature of the people with in the organization. The scope of education is broader then the scope of training. Education has also a less immediate and less specific application than training and is often perceived as being delivered in educational institutions. Education is regarded as surrounding knowledge, skills and attitudes (Bloom et al, 1956). Distinguishing between education and training can be quite problematic. The example of difference between training and education is like young child coming home and saying we had sex training today. Now this is a severe contrast to sex education classes that involve a theoretical rather than a practical application of learning. Frank investigated theoatical base of HRD in order to distinguish it from other fields and told that HRD is based on research and theories strained from the field of adult education and is very different from learning process that occurs in children. Frank also said that HRD is concerned with better performance within a work environment but it is not about improving people’s health and personal relation with their family. HRD also tells that how theory of change relate to an organization and how an organization use these theories (Frank, 1988).

Human resource development is the study and practise by the help of which we can increase the learning capacity of individuals, groups, collectives, and organizations through the development and application of learning based inventions for the purpose of optimising human and organizational growth and effectiveness(chalofsky, 1992).

Strategic role of HRD is increased a lot by strategic pressure and this includes accelerated rate of change, focus of quality, globalization of business, increased elasticity and reaction of organizations, increased pressure to show the involvement of human resources, new competitive structure and new technology(Graven et al, 1995).HRD contributed in many ways at all organizational levels to provide support with the help of all these pressure. In today business environment HRD is not only supporting the business strategies of organizations but it is also very useful in shaping of business strategy. HRD increase the competence of employees to fulfil the organization present performance demand along with meeting present organizational needs (Swanson, 1995). Strategic HRD is helping organizations to respond challenges and opportunities. It also helps in telling line managers supervisors and managers their roles. The continuous assessment of learning and development and enabling them to advance their careers and supporting organizational growth.

The organizational environment consist of approximately six main departments, which are shown in figure below and name as distribution, finance, human resources, marketing, production and research design.

These all departments are related to one another although most of the organization outsourced some of the elements such as distribution(John P.Wilson, 2005).

Training and development is very important in every time and in every organization weather it is small or big and Human resource and development is like back bone for any organization because people are main asset of any organization.

Organizational Development And Organizational Learning

Organizational development has come out as a key element in the strategic management of change. OD (Organizational Development) provide focus for the cultural and organizational change which is needed for a lot for continuous improvement, support systems, culture and activities to the success of organizational goals. It enables better use of financial, human and technological resources, promote a better sense of organizational purpose and it is hence more likely to bring the required performance improvement. OD is a dynamic valued based approach to systems change in organizations and communities. In simpler OD defined as a behavioural science approach to the improvement of organizational efficiency which should lead to the accomplishment of organizational objectives. In practise OD is about moving the organization on purpose. In any organization OD create an environment which enables staff to understand and deliver the organization’s objective. It supports managers and staff to accomplish their aims and objectives through the condition of an infrastructure for performance and development. OD involves both hard and soft issues. Strategies, policies, structure and system are considered as hard issues whereas developing skills, behaviour, attitudes, culture and style of leadership which enable the organization to achieve performance are considered as soft issues. To avoid conflict between goals and needs both of these issues should be addressed. A strong and successful organizational development is not easy because it involves undertaking issues related with change and service improvement. In any process of organizational development following steps should be keep in mind like establishing a central point to organize and support organizational development activities. Organizational development should within the organizational structure correctly. We should be flexible and creative in using approach to the organizational development. Organization should take important steps to build proper organizational skills and capacity. Momentum should be kept going. Organizational development, wherever apply, attempts to improve the overall success of the organization (Tina Buckle, 2005).

Definitions of Training and Development:

According to William Fitzgerald, training is the process of acquiring knowledge and developing skills for the existing job, a tool to help employees contribute in an organization and be successful in their posts, and a means to the end (Fitzgerald 2002).

Training and development is planned program that is followed by instructions that enable employees to enhance their capabilities and skills to finish their job more efficiently (Armstrong 2009).

Purpose of Training and Development:

The basic purpose of training is to enhance capabilities of employees. There are several methods to enhance capabilities but no other method is more effective than training and development. Organizations open training opportunities for their employees to get the best performance from them (Anderson 2000).

(Wells 2011)

Training is an essential function of human resource management. It is a subsystem of an organization that ensues reduced randomness and enhanced learning associated with professional and behavioral changes taking place in a structured and organized work places (Izba 2010).

The extensive training and development of employees’ increase functional competency of employees. When their performance exceeds the document performance standards they become a useful asset for a company. Once the competence is built up it establishes a good rapport with clients. It follows an efficient and effective training and development program (Deft 2006).

The corporate culture runs training of employees to do some gap analysis that exists in the performance of their human resource. They target competency and do reassessment during their on-the-job training. The reason corporate trains its employees is because they require the increase the efficiency of employees by doing and helping their employees do their curriculum development for long run (Wells 2011).

When the gap analysis is done based on role and/or position of employees the skills and gaps of employees are identified. The curriculum development is the whole process of training and development. Once the curriculum has been determined and on the job training has been done, the efficiency and performance of employees increases (Deft 2006).

Significance of Training and Development:

Organizations give training to their human resource to retain their staff and for many associated reasons. The human resource is a valuable resource because their performance can trigger or slower down the process of getting more profits for the firm or organization. One meaning of training is considered to measure the performance of employees. The logic is that the employees who show improvement are the focus of human resource manager to send for more training to help him/her give better results (Goldstein 2011).

Training and development of employees improves their performance as it is a motivation for many. Established organizations give training to their employees to cater to complex situations and also to be able to cope with abstraction of a level above (Luke 2011).

Training and develop is an extensive process that does not entertain the wrong employees to be undergoing a training that he is unable to cope with. This requires a good survey to be conducted on employees to learn their capabilities. The reason being a train employee may become the competitive advantage for a company. Organizations spend a lot of budget on training of their employees (Hall 2008).

The long term profitability of an organization is based on its pace with updating their employees in their fields of proficiency. Training and development increases efficiency of employees and determines profitability. Good employees’ growth in their profession is a policy of organizations to invest in their skills development also named as career development. The productivity of employees increases with training (Wells 2011).

All of these significances address many shortcomings and weaknesses of employees. The resultant of this process is to motivate employees to show their best performance.

Approaches of Training and Development:

There are two fundamental approaches of training and development. These two are:

Traditional Approach:

Traditionally there was no concept of training of employees for their betterment. They used to stick to the view that managers are born and can not be made. Another interesting view was that it is expensive practice which is not worth it. The traditional approach remained tradition but the modern approach took over quicker than expected (Izba 2010).

Modern Approach:

Understanding the importance and outcomes of training, many corporate shifted towards training their employees more often. It is not considered as an expensive procedure but considered as a valuable function to businesses. Now it is also a good retention tool used by many organizations. The recent point of view of training is that it produces smarter staff to work more efficiently than they did before. It also yields better results in the end (Izba 2010).

The latest trends in organizations are to create a knowledgeable and learning environment in corporate. The trained are aims to address the weaknesses of employees and sharpen their skills and knowledge about their technical knowledge (Frost 2009).

Training and Development Process:

The training and development is a process that requires a lot of activities to be put in proper places in order to make it effective for best benefits of the organization.

Step1 – Organizational Objectives determination:

The organizations have their personalized goals and objectives depending on the nature of business. The corporate culture is a highly specific culture in ever aspect. This is why they require the best skills of their employees. The skills are not just finance or accounting or communication skills. The training is meant to create excellence in one specific aspect of business and sharpen all other aspects too (Goldstein 2011).

The organization objectives assist in fulfilling the primary objectives by bringing effectiveness. The managers have to make the organizational objectives clear to organizations and take an insightful look into challenges that might be faced in the future (Jameson 2000).

Step 2 – Needs Assessment:

The organizations have to consider the individual or personal objectives of each employee and see the way they can help them achieve their personal goals and help them enhance their optimistic contribution in the organization. Besides these needs the functional and societal objectives have to be fulfilled? The way the department requires the performance is functional objective and ensuring organization’s ethics and social responsibility to needs and other society’s challenges are societal objectives. These needs have to be looked into (Izba 2010).

Step 3 – Gap Analysis:

The third step in training and development process is gap analysis. The purpose of this analysis is to indentify the job roles and description and the expectations from it. keeping these expectations in mind, the skills and knowledge to be imparted is determined to fill the gaps (Goldstein 2011). The curriculum is determined to make sure it will increase the performance of employee in the expected way (Deft 2006).

Step 4 – Training Objectives:

The training objectives are determined after need analysis of training and development process. When the need assessment is conducted the training objectives are streamlined with individual, functional and societal objectives to create a customized set of objectives for a company (Jameson 2000). The purpose of training objectives establishment is to improve individual and organizational performance (Nair 2012).

Step 5 – Trainees Selection:

Depending on the training and organizational objectives, the trainee meeting the certain criteria and level of skills is selected for training process. The pay scale, training schedules, course material and hours of training sessions and technology used is communicated with trainers. The examination of all these pre-planned aspects is made clear on trainees. With their need and gap analysis, the most qualified employee is chosen for the purpose (Jameson 2000).

Step 6 – Training Methods and Mode Selection:

The step sixth is to determine the training methods and modes for giving training. There are many types of training. The method of training to be selected based on standards and policies and need criteria of job posts (Nair 2012). The mode of training can be computer based or manual or paper based. Depending on the need of training required, the modes are selected to meet all requirements. The methods and modes are identified with respect to organizational and training objectives (Jameson 2000).

Step 7 – Choosing the Means of Training Evaluation:

The seventh step is to identify the means of training evaluation. The training evaluation aims to identify the effectiveness of training delivered to employees. There are various tools used to evaluate training and development process. The best method is the one that meets all organizational goals and objectives and aids learning in the work place to increase performance (Jameson 2000).

Step 8 – Administering Training:

The step 8 is when the training actually starts and is carried out. The instruction and delivery of training takes place finally. Once the trainer has been selected and assigned to start the training, the process begins. The trainer needs to come on the training criteria of s/he has to be fit in the subject matter to teach, must be a good motivator, proficient in knowledge, dynamic personality, a good sense of humor, good posture, has passion for their subject and compassion for his participants (Nair 2012).

Step 9 – Training Evaluation:

Training’s final step is to evaluate the training program. It is done by obtaining information about the way it affects the training program and finally to assess value of the program in the light of this information.

Training and Development Evaluation Models:

There are many models used to evaluate the training process. The significance of the process evaluation is that they provide feedback to trainers which helps them improve. The evaluation makes the process cost effectives and it also measure effectiveness of organization’s performance as well (Nair 2012).

The most commonly used way of running this evaluation is through pre-training and post-training surveys and then comparing the expected results with actual results. Some of these models are:

Kirkpatrick’s Model:

Kirkpartick’s model is a four level model that measures the effectiveness of training programs.

(Salas 2009)

The first level of this evaluation model is the reaction level. It shows how much the participant liked the training and responded t o it. Their learning is determined. The second level is of learning that shows the attitude, skills and knowledge acquired from the training and how much of it. The third level is the behavior or training transfer which shows the change in the behavior of employees on their job and what exactly did they learn from it. The level four is the results (Salas 2009). This shows if the training left a positive impact on the organization (Gratton, Hope-Hailey et al. 2004).

Kirkpatrick’s and Phillip’s model:

(Bersin 2007)

This models has satisfaction on level one, learning on level two and impact of training on the job in level three, results of the implementation of training on training program and return on investment on the payoff. The ROI is the Phillip’s analytics (Bersin 2007).

Philip’s Model:

Jack J Phillip gave a model to meaning the effectiveness and evaluation of a training program. Phillip’s model has five stages. These levels are reaction and planned action which determines reaction of participants and their planning to deal with material given to them. The second level is that of learning which gives out information about the skills, attitude and knowledge obtained from training. The third level is job applications which determine the exact things the participants learnt on their job. The fourth level is business results which show if there are some measureable results acquired from it. The level five is return on investment which is the monetary value acquired from the complete training process (Phillip 2007).

(Phillip 2007)

Programs of Training and Development:

There are seven types of programs for training and development are used. These programs are:

Technical Training:

The technical training is skill specific. It can take place in a classroom if it has been decided to be a classroom training. There are more technical sessions offered to the trainees. The hands on practical’s are given to trainees. On-The-Job training is a one part of technical training which is aimed to enhance work performance (Hoe 2009).

Quality Training:

The quality training includes customer service training. In manufacturing businesses it is knowledge of total quality management. The aim of quality training is to improve processes and products. It is like an on going effort that embeds continuous improvement within a process (Hoe 2009).

Skills Training:

The skills training is about presentations, communication skills, languages, selling, public speaking and negotiating skills. The soft skills trainings are famous as in house trainings to employees. The efforts are to create soft skills among employees like creative thinking skills, communication skills, and other skills required for long term and survival of company (Hoe 2009).

Professional Training:

The professional training require professionals from different departments. The professionals are sent to various institutes for this type of training. They send the employees to acquire expert qualifications (Hoe 2009).

Functional Training:

The functional training is also like On-The-Job training. This training is usually function and department oriented. The trainees are given diplomas and certificates on these trainings. For instance, a Diploma in Advanced computer science (Hoe 2009).

Team bonding Training:

The sixth types of training and development program is team bonding training. Organizations do heavy investment of these trainings. They pay money to get their employees engaged in activities of team bonding. Leadership and teamwork is the purpose for this training program. This takes place outdoor in most of the cases some interesting examples are canoeing, and rock climbing or mountaineering etc (Hoe 2009).

Managerial Training:

The last type of training and development program is managerial training. Some organizations encourage their employees to attend seminars of other companies. The aim is learn best practices in order to bring improvement in the current business work place. It also widens their network. Someone times these trainings are given to help their management to widen their network with other organizations managers to bring in innovative managerial techniques of improvement (Hoe 2009).

Miscellaneous training techniques:

Some of the very common training practices are on the job training which gives employees a chance to work in the work post and getting the training while they are working. This is the best type of training the gives the maximum learning. There are many other types of trainings like harassment training, communication skills building training, diversity training, safety training, workplace wellness training, management and leadership training, computer and technical skills training, and supervisor skills trainings. All of these trainings are delivered depending on the nature of training required.

Benefits of Training:

There are many benefits of training. The benefits of training and development are as follows:

It is a practice that brings great value to the organization like improvements in customer services at banks.

Training makes the employees feel that their work is appraised and acknowledged. It increases their morale (McClelland 2002).

It gives employees motivation to perform even better at their work place.

It results in financial gains in long run e.g. the increased sales and profitability (McClelland 2002).

It enables an organization to adapt to new technologies and methods.

It increases innovation in strategies e.g. the banks are high tech in their facilities and require their handlers to be proficient in their optimum use.

There is best utilization of human resources (Ephraem 2009).

There is development of organization along with polished skills of individual employee.

There emerges a concept of team spirit.

It reduces the turnover rate of employees (McClelland 2002).

It improves the organizational culture and enriches the learning environment.

The morale and quality of employees increases.

The corporate image becomes better (Ephraem 2009).

Collectively these are the best things for a company for long run because the skills once gained become crucial for organizations.

The literature review above mentions the training and development, the significance and different approaches of training and development. Majority of companies plan the professional growth and career of their employees. This planning is effective in improving processes and performance. The training and development process, models to evaluate performance are also discussed. Finally the benefits strengthen the significance research. The process of training and development helps in fulfilling the objective one. The need and gap analysis covers the objective two of indentifying requirements for changes. The third objective of evaluating the ways and methods of training to lead to effective practices is fulfilled by the training and development methods. The review goes step by step with theoretical and models evidences about the way the training and development affects the financial goals in terms of profitability.