Introduction to Employee

Training and Development

Chapter 1
6th Edition
Raymond A.
Noe
 Learning Objectives

1. Understand what is Training?

2. Designing effective training.
3. Determine the forces Influencing
Working and Learning
4. Snapshot of Training Practices

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 Learning Objectives
4. Describe the amount and types of training
occurring in U.S. companies
5. Discuss the key roles for training
professionals
6. Identify appropriate resources (e.g., journals,
websites) for learning about training research
and practice

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 What is Training?
Training is a planned effort by an organization to
facilitate the learning of job-related knowledge, skills,
and behaviors by employees.

•Focuses on improving current job performance

•Usually short-term and specific
•Helps employees meet organizational goals
•Delivered through various methods: workshops,
coaching, e-learning, etc.
 Training & Intellectual Capital:

Training builds intellectual capital, which includes:

Basic & advanced skills
Technological knowledge
Customer & system understanding
Creativity and innovation
Shift in Focus:
From basic skill development → to creating,
sharing, and applying knowledge.
Up to 85% of jobs in the U.S. & Europe will rely
heavily on knowledge work.
High-Leverage Training & the Role of
Performance
Training that is strategically aligned, uses instructional
design, and benchmarks against top companies.

Characteristics:
•Linked to business goals
•Encourages continuous learning
•Promotes knowledge sharing (e.g., via directories,
groupware, the Internet)
•Involves managers actively in training implementation

Training Is Now Performance-Focused:

•Training must address specific performance needs.
•Must be measurable and tied to business outcomes.
 Modern Trends in Training:

•Lifelong learning & education for all employees

•Measurable, ongoing performance improvement

•Integration with technology: virtual classrooms,

self-study, team learning

Real Example: Google – Continuous Learning and Innovation Through Training

IBM – Strategic Learning for Digital Transformation

 Issues Affecting Companies and
Influencing Training Practices
“Have you ever had a bad customer service experience that made you
never want to return to that store? What if I told you that proper training
could have completely changed that experience?”
To help companies survive, grow, and stay competitive.
The following are six key reasons why companies invest in
training:
o Customer service
o Productivity,
o Safety
o Employee retention and growth
o The downturn in the economy
o Coping with the retirement of skilled
employee
 Training and development matter
at the strategic level
• Competitiveness: Ability to maintain and
gain market share in an industry
• Human resource management: Policies,
practices, and systems that influence
employees’ behaviour, attitudes, and
performance
• Stakeholders: All parties that have an interest
in seeing that the company succeeds

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Training and Development:
Key Components of Learning

• Learning: Acquiring knowledge, skills,

competencies, attitudes, or behaviors
• Human capital: Refers to:
• Knowledge (know what)
• Advanced skills (know how)
• System understanding and creativity (know why)
• Motivation to deliver high-quality products and
services

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The Business Role of Training and Development

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 Training and Development: Key
Components of Learning
• Training: refers to a planned effort by a company to
facilitate employees’ learning of job related
competencies, knowledge, skills or behavior
• Development:
• Future focused
• Includes:
• Formal education, job experiences, relationship
• Assessments of personality, skills, and abilities
• Formal training and development
• Programs, courses, and events that are developed
and organized by the company
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 Training and Development: Key
Components of Learning
•Informal learning
- Learner initiated
• Occurs without a trainer or instructor
• Motivated by an intent to develop
• Does not occur in a formal learning setting
• Breadth, depth, and timing is controlled by the
employee
• Explicit knowledge
• Well documented, easily articulated, and easily
transferred from person-to-person

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 Training and Development: Key
Components of Learning
• Primary focus of formal training and development
• Tacit knowledge
• Personal knowledge based on individual
experiences that is difficult to codify
• Result of informal learning
• Knowledge management
• Process of enhancing company performance by
designing and implementing:
• Tools, processes, systems, structures, and cultures to
improve the creation, sharing, and use of knowledge
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The importance of Training and
Development for Employees.

The Importance of Training and Development f

or Employees #employeedevelopment #emplo
yeeengagement
 Designing Effective Training

• Training design process

• Systematic approach for developing training
programs
• Based on the principles of Instructional System
Design (ISD)
• ADDIE model- Analysis, design, development,
implementation, and evaluation
• Should be systematic yet flexible to adapt to
business needs

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Training Design Process
Seven Habits of Highly Effective Trainers
 Forces Influencing Working and
Learning
1. Economic cycles
2. Globalization
3. Increased value placed on intangible assets and
human capital
4. Focus on link to business strategy
5. Changing demographics and diversity of the
workforce
6. Talent management
7. Customer service and quality emphasis
New technology
8. High-performance work systems
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 Economic cycles

What is the Economic Cycle?

The economic cycle describes the fluctuations in economic
activity over time. It consists of four key phases:
Expansion – Economic growth increases, GDP rises,
employment improves.
Peak – The economy hits its highest point of growth.
Recession – Economic decline, falling GDP, rising
unemployment.
Recovery – Economic activity begins to rise again; businesses
grow, jobs return.
Globalization
• Offshoring: Process of moving jobs from
the United States to other locations in the
world
• Advantage- Lower labor costs
• Disadvantage
• Low standards of health and safety
• Lack of necessary skills to perform the job

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 Increased Value Placed on Intangible
Assets and Human Capital
• Human capital: Refers to employees’
• Attributes
• Life experiences
• Knowledge
• Inventiveness
• Energy and enthusiasm
• Intellectual capital: Codified knowledge that exists in a
company
• Social capital: Relationships in the company

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 Increased Value Placed on Intangible
Assets and Human Capital
• Customer capital: Value of relationships
with persons or other organizations
• Implications of intangible assets and
human capital
• Focus on knowledge worker
• Employees who contribute to the company not
through specialized body of knowledge
• Employee engagement
• Degree to which employees are fully involved in their
work
• Strength of employee engagement
• Attitude or opinion surveys measure level of engagement
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Assets
Human Capital
• Tacit knowledge
• Education
• Work-related know-how
• Work-related competence
Customer Capital
• Customer relationships
• Brands
• Customer loyalty
• Distribution channels
Social Capital
• Corporate culture
• Management philosophy
• Management practices
• Informal networking systems
• Coaching/mentoring relationships
Intellectual Capital
• Patents
• Copyrights
• Trade secrets
• Intellectual property
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Increased Value Placed on Intangible
Assets and Human Capital

– Change and continuous learning

• Change: Adoption of a new idea or behavior
by a company
• Learning organization
– Culture of lifelong learning
– Enables all employees to continually acquire and
share knowledge
– Requires financial, time, and content resources
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Changing Demographics and
Diversity of the Work Force
• Increase in racial and ethnic diversity
• Ethnically and racially diverse labor force
• Increased participation of minorities in the
work force
• Aging labor force
• Increased work-force participation of individuals
55 years or greater
• Generational differences

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Changing Demographics and
Diversity of the Work Force
• To manage diversity managers and
employees must be trained in:
• Communicating effectively
• Coaching, training, and developing
• Providing performance feedback that is free
of stereo types
• Recognizing and responding to
generational differences
• Allowing employees of all backgrounds to
be creative and innovative

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 Talent Management

• Systematic, planned, and strategic effort by

a company
• To attract, retain, develop, and motivate
highly skilled employees and managers
• Involves
• acquiring and assessing employees
• learning and development
• performance management, and
compensation

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 Talent Management

• Is important due to:

• Changes in demand for certain occupations
and jobs
• Skill requirement
• Anticipated retirement of baby boomer
generation
• Requirement to develop managerial talent

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Customer Service and Quality Emphasis
• Total Quality Management (TQM)
• Companywide effort to continuously improve
the ways people, machines, and systems
accomplish work
• Core values of TQM
• Methods and processes designed to meet
the needs of internal and external
customers
• Every employee receives training in quality
• Errors are prevented from occurring rather
than being detected and corrected
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Customer Service and Quality Emphasis

• Promotes cooperation with vendors, suppliers,

and customers
• Measures progress with feedback based on data
• Quality standards
• Malcolm Baldrige National Quality Award
• ISO 9000
• Family of standards related to quality
• Address what the company does to meet
regulatory requirements

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Customer Service and Quality Emphasis
• Six Sigma process
• Measuring, analyzing, improving, and
then controlling processes once:
• They have been brought within the narrow six
sigma quality tolerances or standards
• Training helps by
• Teaching employees statistical process control
• Engaging in “lean” processes

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Customer Service and Quality Emphasis

• Lean thinking
• Doing more with less effort, equipment, space,
and time, but satisfying consumer needs and
wants
• ISO 10015
• Ensures that training is linked to company
needs and performance

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 New Technology
• Influence on training
• Makes training more realistic
• Allows flexibility of time and any place
• Reduces travel costs
• Provides greater accessibility and
consistency
• Increased ability to access experts and
share learning with others
• Creates a learning environment that
provides feedback, self-pacing, and practice
exercises
• Allows greater use of alternative
work arrangements 1-34
 High performance models of work
systems
One of the most popular methods for increasing
employee responsibility and control is work teams.
• Work teams
• Employees with various skills interact to
assemble a product or provide a service
• Cross training
• Training employees in a wide range of skillsto
fill any of the roles needed to be performed

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High performance models of work
systems

• Virtual teams
• Separated by time, geographic, cultural,
and/or organizational boundaries
• Rely on technology to interact and complete
their projects

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Snapshot of Training Practices

• Key trends in learning initiative investments:

• Direct expenditures, has remained stable over
the last several years
• Increased demand for specialized learning that
• Use of technology-based learning
delivery increased from 11%in 2001 to
29 %in 2010
• Self-paced online learning is the most
popular technology-based learning

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Snapshot of Training Practices

• Technology-based learning
• Has improved learning efficiency
• Has resulted in a larger employee–learning staff
member ratio
• Percentage of services distributed by external
providers dropped from 29 % in 2004 to 23 %
in 2010.

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Characteristics of BEST Award Winners

Alignment of business strategy with training and development

Visible support from senior executives
Efficiency in training and development through internal
process improvements, use of technology, and outsourcing
Effective practices by aligning training and development to
business needs and providing all employees with access
to training and development on an as-needed basis
Investment in training and development
Different learning opportunities provided
Measurement of effectiveness and efficiency of training and
development activities
Non-training solutions for performance improvement used,
including organization development and process
improvement

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ATD Competency Model
 Snapshot of Training Practices

• Who provides training

• Trainers, managers, in-house consultants,
and employee experts
• Outsourcing: Training and development
activities provided by individuals outside the
company

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 Snapshot of Training Practices

• Who is in charge of training

• Professionals in human resources and
human resource development
• Human resource development
• Integrated use of training and development,
organizational development, and career development :
• To improve individual, group, and organizational effectiveness

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