Four Steps to Conducting a Needs Analysis

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Step 1- Conduct a Gap Analysis

The first step is to check current performance levels of both individuals and the organisation
against existing standards, or to agree new standards bearing in mind the overall company
goals. One suggestion here is to have representatives from the various areas in the
organisation meet with those who are responsible for the TNA to give their input into the
process as well as understanding the goals and objectives of the process. This group may
also be involved in some of the diagnosis stages where interviews, focus groups or
observation exercises are conducted. This stage includes two parts which are:
Current situation Examine the current skills, knowledge and attitude of staff as well as the
company goals, environment and future constraints.
Desired Situation The conditions needed for organisational and individual success need to
be identified. The necessary job standards and individual competencies and attitudes should
be highlighted and agreed at all levels in the organisation. The greater the involvement of all
staff in the analysis process, the higher the likelihood of buy in to the training process. It is this
gap between the current and required situation which will identify the particular needs,
purpose and objectives.

Step 2 - Identify Training Priorities

The first stage should have produced a range of needs for training and development, career
development and organisation development which now require further examination and
ranking in terms of priorities. These priorities need to be agreed in terms of the overall
company goals and strategy going forward. It is by aligning training activity in terms of the
overall company goals , that it s impact is real and measurable.

Step 3 - Identify Causes of Problems and Opportunities

Having highlighted and prioritised the areas of importance, the next step includes looking at
key problem areas and opportunities in the organisation. Two critical questions need to be
asked for every need identified :
Are our people doing their jobs effectively?
Do they know how to do their jobs?
In order to answer these questions, a detailed analysis of current performance needs to be
conducted using some of the techniques described earlier.
Step 4 - Identify Solutions
The solution needs to be agreed based on the diagnosis. Training may not be the answer.
Organisation development activities such as performance management, team building,
strategic planning or restructuring may also be possible solutions to the gaps identified. It is
by matching the need identified with the best solution and measuring the success of the
initiative that training and development initiatives can make a real difference to overall
company performance. Whatever the solution identified, as with all the other stages, staff
should be involved in deciding the way forward as much as possible so that they feel part of
the process, which ultimately has a major impact on how they work.