Because learning changes everything.

Chapter 9

Employee Development

Human Resource Management

Gaining A Competitive Advantage
THIRTEENTH EDITION
Raymond Noe, John Hollenbeck, Barry
Gerhart, Patrick Wright

© 2023 McGraw Hill, LLC. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw Hill, LLC.
 Learning Objectives 1

9-1 Explain how employee development contributes to

strategies related to employee retention, development of
intellectual capital, and business growth.
9-2 Discuss the steps in the development planning process.
9-3 Explain the employees’ and company’s responsibilities in
planning development.
9-4 Discuss current trends in using formal education for
development.
9-5 Relate how assessment of personality type, work
behaviors, and job performance can be used for
employee development.

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 Learning Objectives 2

9-6 Explain how job experiences can be used for skill

development.
9-7 Develop successful mentoring programs.
9-8 Describe how to train managers to coach employees.
9-9 Discuss what companies are doing to melt the glass
ceiling.
9-10 Use the 9-box grid for identifying where employees fit in
a succession plan and construct appropriate
development plans for them.

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 The Relationships among Development,
Training, and Careers 1

Development and Training:

• Training helps employees’ performance in current jobs.
• Development prepares employees for other positions or
changes in current job.
• Critical for talent management.
• Provides opportunities for employees to grow skills.
• Contributes to high levels of engagement and satisfaction.

LO 9-1
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 Table 9.1 Comparison between Training
and Development
TRAINING DEVELOPMENT
Focus Current Future
Use of work Low High
experiences
Goal Preparation for current job Preparation for changes
Participation Required Voluntary

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 The Relationships among Development,
Training, and Careers 2

Development and Careers:

• Protean career:
• Self-direction.
• Frequent change.
• Goal of psychological success.
• Career patterns provide opportunities for employees to:
• Determine their interests, skills strengths, and weaknesses.
• Seek development experiences.

• Boundaryless.

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 Figure 9.1 Steps and Responsibilities in
the Development Planning Process

Access the text alternative for slide images.

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 Development Planning Systems 1

Self-Assessment:
• Involves psychological tests.
• Identify development needs.
• May determine gaps between skills and interests.

Reality Check:
• Usually comes from a performance appraisal.
• 360-degree feedback assessment.

LO 9-2 & 9-3

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 Development Planning Systems 2

Goal Setting:
• Short- and long-term objectives:
• Desired positions.
• Level of skill application.
• Work setting.
• Skill acquisition.

• Written into a development plan.

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 Development Planning Systems 3

Action Planning:
• A plan that is a written strategy for how employees will
achieve their short- and long-term career goals.
• It uses the development approach, depending on needs
and developmental goal.

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 Table 9.2 Design Features of Effective
Development Systems 1

1. System is positioned as a response to a business need

or supports the business strategy.
2. Employees and managers participate in development of
the system.
3. Employees are encouraged to take an active role in
career management and development.
4. Evaluation is ongoing and used to improve the system.
5. Business units can customize the system for their own
purposes (with some constraints).

SOURCES: B. Kaye and C. Smith, “Career Development: Shifting from Nicety to Necessity,” T + D, January 2012, pp. 52–55; M. Weinstein, “Paths to Success: Responsibility vs.
Promotion,” training, July/August 2014, pp. 52–54; D. Hall, Careers in and out of Organizations (Thousand Oaks, C A: Sage, 2002).

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 Table 9.2 Design Features of Effective
Development Systems 2

6. Employees have access to development and career

information sources (including advisors and positions
available).
7. Senior management and the company culture support
the development system.
8. The development system is linked to other human
resource practices such as performance management,
training, and recruiting systems.
9. A large, diverse talent pool is created.
10.Development plans and talent evaluation information
are available and accessible to all managers.
SOURCES: B. Kaye and C. Smith, “Career Development: Shifting from Nicety to Necessity,” T + D, January 2012, pp. 52–55; M. Weinstein, “Paths to Success: Responsibility vs.
Promotion,” training, July/August 2014, pp. 52–54; D. Hall, Careers in and out of Organizations (Thousand Oaks, C A: Sage, 2002).

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 Approaches to Employee Development 1

Formal Education Programs:

• Off-site or on-site.
• Lectures, business games and simulations, adventure
learning, meeting with customers.
• Various institutions offer executive education.
• Tuition reimbursement.

LO 9-4
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 Figure 9.3 Frequency of Use of Employee
Development Practices

SOURCE: E F M D, Network of Corporate Academies, Society for

Human Resource Management, “Leadership Development: The
Path to Greater Effectiveness,” 2016,www.shrm.org, accessed
February 1, 2021.

Access the text alternative for slide images.

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 Approaches to Employee Development 2

Assessment:
• Identify employees with managerial potential and measure
current managers’ strengths and weaknesses.
• Identify managers with potential for higher-level executive
positions.
• With work teams, identify strengths and weaknesses of
individuals and the decision processes or communication
styles that inhibit team’s productivity.
• Help employees understand their tendencies and needs,
as well as preferred work environment and type of work.

LO 9-5
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 Approaches to Employee Development 3

Assessment (continued)
• Personality Tests and Inventories:
• Myers-Briggs Type Inventory (MBTI):
• Measures 16 personality types.
• Each type has implications for work habits and interpersonal
relationships.

• StrengthsFinder.
• DiSC assessment:
• Measures personality and behavioral style.

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 Approaches to Employee Development 4

Assessment continued:
• Assessment center:
• Leaderless group discussion.
• Interview.
• In-basket.
• Role-play.
• Ratings are related to performance, salary level, and career
advancement.

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 Approaches to Employee Development 5

Assessment (continued)
• Performance Appraisals and 360-Degree Feedback
Systems:
• Must tell employees specifically about performance problems
and how to improve performance.
• Managers must be trained in frequent performance feedback
and monitor employees’ progress.
• Upward feedback.
• 360-degree feedback systems.

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 Table 9.6 Activities Involved in Using 360-
Degree Feedback for Development
1. Understand strengths and weaknesses.
Review ratings for strengths and weaknesses.
Identify skills or behaviors where self and others’ (manager’s,
peers’, customers’) ratings agree and disagree.
2. Identify a development goal.
Choose a skill or behavior to develop.
Set a clear, specific goal with a specified outcome.
3. Identify a process for recognizing goal accomplishment.
4. Identify strategies for reaching the development goal.
Establish strategies such as reading, job experiences,
courses, and relationships.
Establish strategies for receiving feedback on progress.
Establish strategies for reinforcing the new skill or behavior.

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 Approaches to Employee Development 6

Job Experiences:
• Stretch assignments.
• May be positive or negative stressors.
• May include enlarging the current job, job rotation,
transfers, promotions, downward moves, and temporary
assignments.

LO 9-6
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 Figure 9.4 How Job Experiences Are Used
for Employee Development

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 Approaches to Employee Development 7

Job Experiences (continued)

• Job enlargement:
• Special project assignments, switching roles within work
team, or researching new ways to serve clients and
customers.
• Job rotation and lateral moves:
• Helps employees gain appreciation of company’s goals,
increase understanding of different company functions,
develop a network, and increase skills.
• May affect employee satisfaction, motivation, or productivity.

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 Approaches to Employee Development 8

Job Experiences (continued)

• Transfers, promotions, and downward moves:
• Employees more willing to accept promotions than lateral or
downward moves.
• May involve relocation within U.S. or to another country.
• Disrupts employees’ daily lives, interpersonal relationships,
and work habits.

• Employees don’t associate transfers and downward moves

with development—see as punishment.

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 Approaches to Employee Development 9

Job Experiences (continued)

• Temporary assignments, projects, volunteer work, and
sabbaticals:
• Employee exchanges.
• Volunteer assignments.

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 Approaches to Employee Development 10

Interpersonal Relationships:
• Mentoring:
• Could be senior employee or peer.
• Either start informally or part of formal mentoring program.
• Developing successful mentor programs:
• Build trust and interact.
• Mentors need to be trained, and given tools and support.

LO 9-7
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 Table 9.9 Characteristics of Successful
Formal Mentoring Programs 1

1. Mentor and protégé participation is voluntary. Relationship can be

ended at any time without fear of punishment.
2. The mentor–protégé matching process does not limit the ability of
informal relationships to develop. For example, a mentor pool can be
established to allow protégés to choose from a variety of qualified
mentors.
3. Mentors are chosen on the basis of their past record in developing
employees, willingness to serve as a mentor, and evidence of positive
coaching, communication, and listening skills.
4. Mentor–protégé matching is based on how the mentor’s skills can
help meet the protégé’s needs.
5. The purpose of the program is clearly understood. Projects and
activities that the mentor and protégé are expected to complete are
specified.
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 Table 9.9 Characteristics of Successful
Formal Mentoring Programs 2

6. The length of the program is specified. Mentor and protégé are

encouraged to pursue the relationship beyond the formal period.
7. A minimum level of contact between the mentor and protégé is
specified. Mentors and protégés need to determine when they will
meet, how often, and how they will communicate outside the
meetings.
8. Protégés are encouraged to contact one another to discuss problems
and share successes.
9. The mentor program is evaluated. Interviews with mentors and
protégés give immediate feedback regarding specific areas of
dissatisfaction. Surveys gather more detailed information regarding
benefits received from participating in the program.
10. Employee development is rewarded, which signals to managers that
mentoring and other development activities are worth their time and
effort.

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 Approaches to Employee Development 11

Interpersonal Relationships (continued)

• Mentoring continued:
• Benefits of mentoring relationships:
• Career support.
• Psychosocial support.
• Reverse mentoring.

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 Approaches to Employee Development 12

Interpersonal Relationships (continued)

• Coaching:
• One-on-one.
• Help employees learn for themselves.
• Provide resources.

LO 9-8
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 Special Issues in Employee Development 1

Melting the Glass Ceiling:

• Women and members of underrepresented ethnic and
racial groups are underrepresented in all levels of
management.
• Reasons may be stereotypes, lack of access to training
programs, appropriate developmental job experiences, and
developmental relationships.
• Many companies are making efforts.

LO 9-9
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 Table 9.10 Recommendations for Melting
the Glass Ceiling
• Make sure senior management supports and is involved in the program.
• Make a business case for change.
• Make the change public.
• Gather data on problems causing the glass ceiling using task forces, focus
groups, and questionnaires.
• Create awareness of how gender attitudes and management practices affect
the company culture and behavioral expectations of employees.
• Force accountability through reviews of promotion rates and assignment
decisions.
• Promote development for all employees.
• Support work-life balance and continue to offer employees development
opportunities after they return from sabbaticals and parental leave.

SOURCES: R. Gunther McGrath, “Eight Simple Ways to Keep More Women in the Executive Pipeline,” The Wall Street Journal, February 22, 2018, https://blogs.wsj.com; B.
Groysberg and K. Connolly, “Great Leaders Who Make the Mix Work,” Harvard Business Review, September 2013, pp. 68–76; D. McCracken, “Winning the Talent War for
Women,” Harvard Business Review, November/December 2000, pp. 159–67.

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 Special Issues in Employee Development 2

Succession Planning:
• Requires senior management to systematically review
leadership talent in company.
• Ensures top-level managerial talent is available.
• Provides development experiences managers must
complete before moving to top management positions.
• Helps attract and retain managerial employees by
providing development opportunities.
• High-potential employees.

LO 9-10
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 Special Issues in Employee Development 3

Succession Planning (continued)

• Companies have a lack of bench strength.
• Plans quickly become out of date due to changing
business environment.
• Use 9-box grid to review succession plan.
• Give employees time to change.

• Must decide whether to tell employees they are on or off

list of potential candidates for higher-level manager
positions.

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 Table 9.11 The Process of Developing a
Succession Plan
1. Identify what positions are included in the plan.

2. Identify the employees who are included in the plan.

3. Develop standards to evaluate positions (for example, competencies, desired

experiences, desired knowledge, developmental value).

4. Determine how employee potential will be measured (for example, current

performance and potential performance).

5. Develop the succession planning review.

6. Link the succession planning system with other human resource systems, including
training and development, compensation, performance management, and staffing
systems.

7. Determine what feedback is provided to employees.

8. Measure the effectiveness of the succession plan.

SOURCES: A. Cremo and T. Bux, “Creating a Vibrant Organizational Leadership Pipeline,” T + D, July 2016, pp. 76–77; W. Rothwell, “The Future of Succession Planning,” T + D,
September 2010, pp. 51–54; B. Dowell, “Succession Planning,” in Implementing Organizational Interventions, ed. J. Hedge and E. Pulaskos (San Francisco: Jossey-Bass, 2002), pp.
78–109; R. Barnett and S. Davis, “Creating Greater Success in Succession Planning,” Advances in Developing Human Resources 10 (2008), pp. 721–39.

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 Figure 9.5 Example of a 9-Box Grid

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© 2023 McGraw Hill, LLC. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw Hill, LLC.