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CHAPTER-01
Effective Human Resource Training and
Development Strategy

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Training an Overview
• Training if effectively managed achieves aims and
objectives of an organization.
• Training is always job orientated for the development of
the general culture of the company.
• Training is a process to improve aptitude skills and
abilities of the employees to perform specific jobs.
• Due to rapid growth in technology fields there is a great
need for training for updating skills of employees.
• To respond effectively to competition from rival business
organization in house training is given to keep abreast
with latest development in their field.
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Present day role of training.

• Now a days training is a crucial element , a sound basis
for modern day management at the micro level. It has an
extensive role in –
a) enhancing productivity.
b) improving organizational functions.

At macro level it serves as an important agency to

contribute to the economic and social progress of the
country thus creating a need for large scale organized efforts
to develop technical and enterprising skills in youth to make
them productive units of society.
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What is the need for Training of Personnel?

• Continuous management training is required to build up a
strong effective , motivated and dedicated managerial cadre.
• In PEs training must shape the managers to understand the
requirement of the employers in terms of organization and
personal growth.
• It is essential for gaining competitive edge.
• For imparting diverse skills and performance management
abilities to managers for effectiveness of business activities.
• For enhancement of emotional and intelligent quotient in
managers.

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TRAINING-SIGNIFICANT MEANINGS
ATTRIBUTED TO EACH LETTER OF THE WORD.

T : -Talent and tenacity N:- Novelties

R:- Reinforcement I ;- Intensity
A:- Awareness N:- Nurturing
I:- Interest G:- Grip
A growing organization The gap between performance of
must be in tune with the organization and the changing
the changing needs of needs of the society can be
the society. reduced through proper training
of the employees by increasing their
knowledge, skill, ability and attitude.
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Definitions of training
• Training is defined to be a organized activity involving
systematic procedures for transferring technical know how to
the employees for increasing the knowledge and skills of the
people for a definite purpose.
• Definition by Edwin B Flippo. The purpose of training is to
achieve a change in the behavior of those trained to enable
them to do their jobs better. It is equally necessary for the new
as well as the old employees. Training is a continuous process
to bring a positive change in
1) Knowledge
2) Skills
3) Attitude Of the workers Contd…
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• John P. Jkenny and others (1979) defined training to

help out an individual to learn how to carry out his
present job satisfactorily.

• Edger H. Schein defined management development

as a how an organization brings a change in an
individual in a direction which organization regards
to be in his own and organization’s best interests.
Most importantly various training programs try to
influence the managerial attitudes.

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SCOPE OF TRAINING

• Lately the scope and application of training

has widened to include positive behavioral
changes, developing life skills leading to
personal growth that helps to cope with day
to day problems of living and manage
interpersonal relations, and interpersonal
effectiveness

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OBJECTIVES
• Defining training objectives is a pre requisite of any
training program.
• They may vary according to the requirements of a
particular situation
• Objectives of any training program should indicate that
at the end of training whatever knowledge , skills and
attitudes that have been identified as necessary for
effective work performance should be achieved
• In complex subject like management it is not easy to
define training objectives in terms of performance
measurable terms of specific objectives. Contd…
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• Training objectives determine the details of design and

provision which must include the people who design and
provide training and the methods and locations that
might be used in practice.
• Systematic methods are evolved for increasing the new
employees knowledge and developing his skills and also
giving core-training of its existing employees.
• Objectives are statement of intent written in clear
,specific and precise terms which specify what learners
will be able to do at the end of each stage of learning
process.
• Objectives are essential for validating the training.
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Three elements of training objectives

1) Outcomes: This is the observable behavior

required at the end of training.
2) Conditions : These are circumstances in which
the outcomes should take place
3) Standards: The expected level of attainment in
terms of quality, accuracy , quantity or whatever
is relevant to the job.
4) p.s. Objectives should always be written to avoid
mental manipulation.
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Systematic Assessment of Training (SAT)

It defines training objectives as one system

and the assessment of learning achievement and
training effectiveness as another being totally
interdependent.

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Setting out the program objectives

This includes the following modules:

Understanding Program Objectives.

• Program objectives are broad statement of intent, action and

outcomes which are the end result of the training.
• Learning Objectives express learning expected from a specific
training activity, event or module.
• Program objectives are the aggregate of learning outcomes.
• There are three broad areas of learning associated with
program objectives which reflects the changes that can come
about in an individual as a result of training. They are :-
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APPROACHES
Cognitive Learning: Focusing on acquisition of information
and knowledge, including concepts ,theories and principles
etc.
Behavioral Learning: Developing competencies required for
the actual performance of the job.
Affective Learning: Also aimed at enhancing job
performance by fostering appropriate attitudes and values.
By helping individuals in better management of feelings,
emotions and reactions to situations and people. These
three area are interrelated resulting in all round
development of an individual.
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Need for setting Program Objectives

The need for setting program objectives are listed as
follows:
a) Provide Direction to the Program
Objectives define the direction of the program and
indicate areas of emphasis.

b) Serve as a basis of Evaluation.

Objectives facilitates the process of setting standards
of performance for the training team.
Contd…
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c) A Tool for Meeting Participants’ Training Needs

Objectives assist the participants in
establishing their personal learning objectives.

d) Define Limits for the Program

Objectives also set out parameters for the
programs, the can do and cannot do’s.

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Establishing program objectives-Consideration

and guidelines.
Program objectives are established on the training needs.
which needs to be identified. using appropriate
methodology sound procedures and principles .Some of the
points to keep in mind:

Program Objectives are Set Out from the Learner’s

Perspective:
The primary aim is to inform the participants of the learning
they should expect to receive from the program.

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Sample Program Objectives

Training Program: Leadership and its Development
At the end of the training program the participants will be
able to :
• Discuss and analyze the concept of and dynamics of
leadership and examine its application to the situation in
their respective organizations.
• Illustrate various theories and models of leadership and
appraise their relevance and validity to their job.
• Become aware of their leadership style and recognize
the need for bringing about changes in accordance with
the requirements of the job and the organization.
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Training and education – As Approaches to

Learning
The purpose of education is to teach theoretical concepts
and develop a sense of reasoning and judgment.
• Training and development must contain an element of
education.
• For this purpose organizations depute and encourage
employees to do courses on a part time basis in Institute
of Public Enterprise, Business schools etc.
• Education is more important for managers and
executives than for lower cadre workers.

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Defining Training and Development

• Flippo defined training as the act of increasing the knowledge
and skills of an employee for doing a particular job and
prepare himself for higher level job.
• Training imparts the ability to detect and correct error.
• It provides skills and abilities that may be called on in the
future to satisfy the organization’s human resource needs.
• It may be carried out on the job off site or on site.
• It may be given in a simulated environment that is similar to
work environment in important respects.
• Trainees are expected to acquire abilities and knowledge that
will enable them to do their job more effectively.

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Some Key Attributes of Training and Education
Training
Though training is concerned with
the future of an individual , his
past and present provide a crucial
frame of reference.
The scope of training is limited,
determined by training objectives.
It is specific and highly structured.
It has relatively short term
perspective of the future of the
individual.
Education
Education is mainly directed
towards the future of an individual
and any reference to his past and
present state is incidental.
Education is not targeted towards
specific behavior. So it lacks the
specificity of training. Education
has a long term perspective of an
individual’s life.
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Some Key Attributes of Training and Education
Training
Transfer of learning can be monitored
and assessed. The organization and
even the training agencies can
exercise greater control on the
process.
Training has less emphasis on
ideology and social values ,societal
forces play a far less significant role
than they do in education.
Education
Difficult to monitor how the learning
acquired by the individual is used by
the individual. The educational
institute has virtually no control over
the situation and the circumstances of
the individual.
Education is firmly rooted in the
culture of the society. Its key concern
is the inculcation of socially accepted
values in an individual.
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Some Key Attributes of Training and Education

Training Education

Social institutions like state , family

and the community play an
important role in the education of
an individual.

In training the group comes In education, the group is more

together for a specific purpose and enduring and there is sustained
disperses after the program interaction over a long period of
objectives are assumed to have time.
been achieved.

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Training VS Development
• Training is often referred to as teaching specific skills and behavior.
• Development in contrast is more general and more oriented to
individual needs as well as organizational needs often aimed
towards management people.
• Development is to provide knowledge and understanding to people
to carry out functions such as problem solving , decision making
related to people.
• Training is meant for operatives and development is meant for
managers.
• Training improves specific skill whereas development aims in
improving total personality of an individual.
• Training is a one shot deal whereas development is a continuous
process. Contd…
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• Training is the result of some outside motivation

whereas development is the result of inside motivation
• Training seeks to meet the current requirement of the
job, it is a reaction process whereas development is a
proactive process.
Learning Training Development Dimensions
Who Non managers managers
What Technical mechanical Theoretical
operations conceptual ideas
Why Specific job related General knowledge
information
When Short term long term

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Triggers of Training
Training programs is a stimulating process and should take off with
enthusiastic participation.
Some example of triggering are:
1) CEOs initiative with a ceremony for introduction of new technology.
2) HRD document with mission policy and action plan
3) An incentive for fast learners
4) A letter from the CEO on the subject to employees
5) Publicity for skilled persons
6) Shram Shakti awards
7) Unveiling career plan for the newly trained people or new skill
base.
8) Threat of lateral recruitment instead of internal promotions for
higher posts
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Benefits of training
Training offers innumerable benefits both to employees and
employers.
Tips for Trainees on how to benefit from business seminars.
• Plan your schedule ahead of time
• Make sure what your company would like you to learn from
the seminar.
• Learn about the proper attire for the seminar
• Network at the seminar. Bring business cards
• Meet people before each session and break the ice by making
useful conversation. Introduce yourself to the presenter.
• Bring back information to the company by either making a oral
presentation or written report
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Benefits of training to a company

The major benefits are:

1) Increased productivity

2) Improved morale

3) Reduced supervision

4) Reduced accidents

5) Increase organizational stability

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Benefits of Training to the employee

• Training makes employee more useful hence he will find
employment more easily.
• Training makes employee s more efficient and effective.
• Training helps them to secure promotions easily and realize their
career goals.
• Training helps an employee to move from one company to the other
easily. He can be more mobile and pursue career goals easily.
• Employees can avoid mistakes, accidents on the job thus handle job
with more confidence, be more satisfied and would have high
morale.
• It helps employees to cope with organizational , social and
technological change. It is an invaluable investment in human
resource of an organization.
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Benefits of Training to the Business

• Wastage is eliminated to a large extent as workers
work more effectively.
• There are fewer accidents. As trained workers have
improved knowledge of use and handling of
machines.
• Workers turn out better quality goods
• Training makes workers more loyal to the
organization as they will have more growth
opportunities.

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Current Training and Development Practices,

National Perspective
• World bank has given a warning signal that by the turn of this century India
will have nearly three fourth of world’s illiterate population. We have to
convert this human resource as an asset through formal, informal and non
formal education involving training and retraining.
• On analysis of the present day training programs in the country are quite
inadequate. Public sectors have training programs with employee
development approach whereas private sectors have only development of
the organization in mind.
• Though most of the Public Sectors have taken up HRD in a big way but so
far private sectors have been having half hearted efforts so far. Recent
globalization and new economic policies have brought changes , they are
also opening up training centers, even universities.
Contd...
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• The essence of training is to meet the future requirement of the

organization where as development helps the individual to handle
future responsibilities other than the concerns of the present job.
• The concept of HRD is already established in successful organizations
in the form of HR planning, recruitment and selection, training and
development personnel and administrative policies, planning and
implementation , career counseling, industrial relation etc. These are
managed by the professionals in HR from a holistic viewpoint,
throwing up creative solutions which were previously not thought of.
• Today’s tragic truth is the rapid rate of obsolescence of skills. Thus
retraining and development of millions of workers for alternative
careers is a crucial area. Training is essential both to workers and
supervisors and managers to improve their skills and performance.

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• The shift from planned economy to market economy has raised

consumerism and up gradation of technology.
• Introduction to computers needed retraining and redeployment of
employees.
• The New Industrial policy of 1991 brought about many structural
changes. The Indian economy has switched from domestic to global
market.
• To have competitive edge, Indian industries had to improve quality
and meet the national challenge of training and deployment.
• All public enterprise need to have well trained and experienced
people.
• In a rapidly changing society in order to maintain a viable and
knowledgeable work force, organization must commit resources to
training.z

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HRD in Public Sectors

• Public sectors contribute most to the national economy so they need to
improve their efficiency.
• The reward and promotional system based on time bound scale rather
than merit basis defeats the basic concept of HRD process in these sectors.
• Though there are a number of central and state level institutions
conducting HRD programs for civil administrative and public sector
organizations but much more is yet to be done.
• HRD can be hall mark of public sector automatically improving the quality
of work and productivity if the objectives are clearly defined and goals are
achieved.
• The economic consideration will have to be given more weightage to dilute
politicians’ dominations .

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Role of HRD in Economic Development

• Competencies and behavior are major factors in the
economic growth of the country
• Structural changes in Indian economy is dominated by its
population and their contribution.
• As population growth , human resource development
and economic development are interrelated by
implementing HRD policies a change in GNP can be
noticed.
• Only an educated and developed population can become
best human capital and help in National Economic
growth.
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HRD in Private Enterprises

• The private sector is on the growth path in India and has to move
from old economy to new economy where owners and employees
are subordinated by the enterprise.
• They are going for employee stock ownership scheme ,greater
representation of the employees on the board .
• In order to meet the modern day challenges big business houses
have set up their own business schools and management academy’s
like Tata Management training center, Reliance Management
Academy etc.
• Though there is technology boom in India there is a gap in setting up
technical management institutes.
• The private sector cannot make any meaningful beginning on the
management development unless it starts developing existing
personnel.
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HRD in Banking
• Banks are key sectors of national economy and are important public
sector enterprise.
• Being in service sector Banks realize the importance of HRD and they
do have brain storming sessions , idea banks at zonal centers
• Human values are given greater importance.
• They have schemes for career planning management development
process by rotation of staff, open and planned appraisal systems.
• In their HRD programs due importance is given to interpersonal skill
development and analysis of consumer behavior.
• On the job class room , optimization of available staff, continued
education and vocational training are some good features of HRD
plans.

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Problems in Training
• Despite setting up institutes various problems in respects
of training have surfaced from time to time .
• Questions of appropriate organizations model , training
mix , faculty composition, and methodology of evaluation
are some areas of trouble.
• Adequacy of training budgets, interface of training
objectives with the other functionaries in the
organization are some thorny issues.
• To address such problems a concerted research is
initiated on the functioning of in house training
departments in PEs to assess their performance.
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International Perspective: The Singapore

Training Experience
• Singapore is the best prototype of a nation that has successfully up
skilled its work force over the last 40 years.
• Worlds Economic Forum has rated its labor force 1stin terms of
computer literacy and 2ndin terms of worker motivation and
availability of skilled work force.
• Its education system meets the needs of a competitive economy .
• Singapore is ranked 1stamongst all developing nations in terms of
number of human resource dimensions.
• On education standards, comparing scores in maths and science
Singapore is ranked 1st.
• On both educational and training dimensions or national human
resource development they have excellent achievements.
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Factors contributing to the success of

Singaporean Skills –development system.

• The linkage between Skills Development and economic

development.

• The EDB’s Evolving model of Technology Transfer, Foreign

Investment and Skills Development

• Skills Development Fund

• Long term skills Development Education Policy.

contd..
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Skills Development Fund

• SDF is the institution that has been touted as model for other
countries.
• Employers have to contribute 1% of the gross salary of each
employee earning less than 1000 Singapore dollars /month to
the SDF.
• Companies can get upto80% of its contribution back if they
apply to the SDF for grants for training and skills enhancement.
• It is a way to induce companies to continuously invest in skills
up gradation and it penalizes companies which persists in
using low-skilled-workers in low-value-added operations by
increasing their labor costs.
Contd...
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• The employers who submit a Total Training Plan affecting

atleast50% of their work force would be awarded with higher
grants and subsidies from the SDF.
• Grants are typically awarded to companies to use the funds for
training programs necessary to enhance the expertise of the
workers.
• The objective of the training program should be consistent
with Singapore’s new economic strategy and direction.
• Special incentives are provided to companies to train older
workers aged 40 and above, to train women to get back to
workforce, for basic education etc.
• On both education and training dimensions or national human
resource development Singapore’s achievements are excellent.
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The United States Training Scene

• The Training and educational systems of Germany and Japan are far
more consistent than that of USA.
• In USA company sponsored training focuses on managers and
technicians; the quality tends to vary widely.
• Germany is best known for its outstanding apprenticeship program.
• On the other hand while comparing USA’s training scene with
Japan .it is found that Japan boasts having one of the best primary
and secondary educational systems in the world.
• Once employed Japanese workers receive extensive ongoing ,
company sponsored training.
• Workers in Japanese automobile plants average 90 hours of training
whereas workers in US Automobile plants average about 30 hrs of
training annually. Contd..
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• Canada’s training and education system is quite similar to

US.
• Primary , secondary as well as vocational education
system varies greatly in terms of quality . Companies
provide as much as half of training that is given in US.
• Compared to USA in Korea though there is a strong
primary and secondary school system as well as
vocational education , but company sponsored training
programs are scarce and poor in quality.
• Thus we see that in US training and education programs
can be improved to have more effectiveness to greatly
affect country’s ability to compete globally.
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Japanese Training Scene

• Employers in Japan are well regarded for their significant
and long term commitment to developing skills of their
workers perhaps more than any other industrialized
nation.
• Employee development is the key factor in Japan’s
economic advantage over US and other countries.
• In spite of a lengthy economic recession a decade later
Japan’s commitment to worker training remained
unshaken and superior to practices elsewhere.
• Skill development remains at the very heart of Japanese
business. Contd…
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Japanese Training Scene, Expenditures

• Japanese respondents reported a slower rate of
growth in training expenditure.
• Training investment figures are significantly lower in
almost all major respects than those from other
regions as shown:
Japan Canada Europe US
Training expenditure per $390 $530 $960 $650
employee.
Training expenditure as a 1% 1.5% 3% 1.8%
percentage of pay roll.

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Japanese Training Scene,

Non-financial measures
• In this there are significant differences
between Japanese participants and those in
other countries.
Japan Canada Europe US
Average employee to trainer 1700:1 <400:1 <400:1 <400:1
ratio
Percentage of employees 45% 69% 69% 75%
received training in 2000.

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Japanese Training Scene, Delivery ,

Evaluation and Resources
• Training in Japan is evaluated and delivered differently.
• All regions reported that most training was delivered in an instructor –led
classroom, 10% of training used a variety of learning technologies. The
comparable percentage of classes delivered via learning technologies in
Japan was just 1%.
• Japanese organizations were less likely to use evaluation methods other
than Kirkpatrick’s level1 ( reaction) evaluations.

• Resources
• The distribution of training costs, such as wages and salaries of the training
staff and tuition reimbursements, was similar to that in other regions.
Japanese expenditures on outside providers were also in line with other
regions, at just under one third of the total.
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Japanese Training Scene : Innovative practices

• Japanese employers use innovative training and work practices
similar to others around the globe.
• The number of Japanese organizations providing :
• Apprenticeship programs Coaching programs
• Training information systems Employee involvement
• Access to key business information is very similar to those in other
regions.
• In other aspects of workspace learning and performance Japanese
firms led much of the world.
• Japanese firms compensated employees on the basis of overall
organizational performance . They practice gain sharing, profit
sharing
• Employee stock ownership plans were twice as common in Japan.
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Japanese Training Scene: Cultural due diligence

• Data says that the training methods in Japan are quite different from
those in rest of the world.
• The apparent direction of disparity between Japan and other
countries is surprising. Being the recognized world leader in
workplace training and development it is anticipated that most of
the measures would be higher –not lower than those of other
countries.
• The true nature of unique training system that prevails in Japan
depends on the some important ways that may affect direct
comparison. They are
1) Lifetime employment.
2) A holistic approach to Development.
3) The Technology Angle. Contd..
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Japanese Training Scene, Lifetime Employment

• Japanese companies place great importance on the concept of
lifetime employment.
• On entering work Japanese workers must evaluate their
employers carefully as they get few opportunities to work
elsewhere.
• Lifetime employment creates a unique context for the skill
development and learning opportunities.
• Employers in Japan do not have to worry making substantial
investments in employees who might walk out before they
recoup the cost.
• Japanese firms take a long term approach to developing their
employees.
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Japanese Training Scene; A Holistic Approach to Development

• Japanese firms provide a full development process which also

includes short training events .
• Employee learning in Japan can either be planned or
unplanned , formal or informal.
• They can be further subdivided into on the job or off the job
leaning.
• Off-the-job formal learning is called training which is classroom
based, instructor –led.
• The three primary ways of employee learning in Japanese
firms are: Off-the-job formal learning
On-the-job informal learning
Off-the-job informal learning.
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Japanese Training Scene,

A Holistic Approach to Development
• Most of what US employees learn occurs informally during
activities as team and customer interactions, meetings, cross-
training and shift changes.
• Employees of Japanese firms obtain much of their learning
informally, their proportion is substantially smaller than that of
US figured at 90%.
• Sizable % of Japanese worker training happens as formal,
structured , on the job learning. This is missing from US.
• According to 1998 Measurement Kit following is the statistics
of Japanese employment training.:
–Informal 40% , Formal on-the-job learning 39% and
Formal off-the –job learning 21%
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Japanese Training Scene,

The Technology Angle
• Japanese firms differ from others in their use of learning technologies to
deliver training.
• Japanese firms engage in the use of non-electronic, self paced delivery
methods more frequently
• Most distance learning in Japan occurs through the mail ( correspondence
courses) rather than online.
• They rely less on learning technologies than rest of the world.
• Small amount of formal off-the-job training in Japan creates fewer
opportunities to use learning technologies like IT training.
• In Japan the use of In US the use of
CD-ROM is 24% CD-ROM is 49
E-mail is 25% E-mail is 34%
Company internet 8% Company internet 24%
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Strategies for Effective Human Resource

Training and Development in 21st. Century
• The main focus is how to link HR with business strategies.
• The corporate training must be understood in terms of
paradigm shift that is taking place in Indian Industry.
• Three factors have added new dimension to the need for
training in all industries , they are
1) Liberalization
2) Imbalance in demand and supply of professional talent
3) Growing expectation of employees regarding their
professional and personal development.
• Training is an effort into immediate position while
development is an effort directed towards growth.
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Classifying Employees for training

BCG matrix can be applied to human resource portfolio.
The two by two grid gives four types of employees.
1) Dead Wood: Employees in this category are incompetent,
unsatisfactory and wholly unsuitable occupants of their present
positions; have low potential for growth.
2) Work horses: These people have reached their peak of
performance in the light of definitely limited capacity.
3) Stars: These are people of high potential who are performing at the
highest quadrant of the potential.
4) Problem Children: These people have great potential and genuine
capacities but are working below that capacity or only with mixed
results. Sometimes they divert their energy to make mischief and
misuse their talents.
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A Model for creating a Training and Development Strategy

Mission Maintaining
Values and beliefs in
Vision, Values & care
people development
long term goals competencies

Specific Drivers Specific Drivers

Proactive (Reactive)

Training &
Business Strategies Development Operational
Business Goals Strategy Issues
Organization and Individual needs
Man power plans Terms needs
Belief Policies
Change initiative External changes

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A Model for creating a Training and

Development Strategy
The principle of the model is simple and there are three
categories of the business factors that our strategies should
contain.
The 1st set of drivers are more or less permanent for the
organization.
First will be the mission , vision and the values of the
organization.
Secondly there will be set of values relating specifically to people
development.
Thirdly there is a need to maintain and enhance the core
competencies of the organization. Contd…

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A Model for creating a Training and

Development Strategy
Though many organizations could not explain their strategy but
would produce various documents describing thing that they do
in HRD.
The information required for making personal plan s is required
to a great extent for the training plan.
The next step in the training process is analyzing training needs,
This is done at organizational, group and individual levels.
A number of different methods and models conducting needs
analysis have evolved over time.
All these process gives the gap between demand and the supply.

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A Model for creating a Training and

Development Strategy –Assessment methods
Training needs may be analyzed by the following assessment methods
1) Observation
2) Consultation key
3) Print media
4) Study of job description / specification
5) Appointing external consultants
6) Performance appraisals
7) Special questionnaire/ surveys
8) Skill gap analysis, or
9) Interviews with supervisors /peers
10) Self assessment
The methods chosen differ with the level of need assessment, that is whether
it is at the organizational level, group level or individual level.
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Issues involved with Training Needs Assessment

1) Determining felt needs Vs real needs.
2) Balancing organizational needs with the individual needs.
3) Reducing individual anxiety about being evaluated-overcoming
reluctance.
4) Establishing a two way communication in tradionally one –way
communication.
5) Shielding top management from unpleasant data and shielding
employees from hidden concerns of top management.
6) Erroneous interpretation of surveys results.
7) Ethics for probing for personal information about attitudes and
personal goals.
8) Extra time required to collect additional data required to design
program; Contd...
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The next step is the selection of trainees which must

have a strategy. To determine the obvious target group.

All training cannot be important in one go and it is

generally spread over a time often stretching a long
period on a rolling plan basis. An important variable for
success of training activity is the motivation of the
trainee to acquire skills , knowledge and abilities.

Motivation can be related to rewards, succession plan

and promotion.
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Benchmarking
Benchmarking with the other organizations will be a valuable exercise and can
be done on number of fronts:

How do we compare in terms of our beliefs and philosophies?

How do we compare in terms of efficiency?

How well do we link our activities into the business priorities?

How do we compare in terms of achievement of key goals?

Some other question might cover:

Level of involvement in strategy.
Methodologies for linking business goals to learning goals
The value placed on training as a support of business change.
Beliefs and principles. Contd…
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Needs Analysis process.

Line manager involvement.

Range of learning methods used.
Uses of accreditation and management education.
Roles and skills in HRD staff.

Evaluation methods and results

Organizational learning and knowledge management.
All bench marking should have clear focused objectives so that it does not
result in masses of data that cannot lead to much action.

Where should we carry our activities?

There are two options:
Own premises.
External facilities. Contd…
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Own premises
Premises cost -rent or ownership cost, utilities, services

Equipment purchases and depreciation.

Catering costs.

Travel for company delegates.

Extent of subsidy obtainable through external revenues by

allowing others to use the facility.

Facilities management cost and time.

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External Facilities
Delegates day rate including all –in room hire and meals.
Special equipment hire
Travel for company delegates
Travel and accommodation for training staff.
As every organizations situation will be different ,one cannot predict
any general outcome of such calculations
For large amount of standard training, economics will likely swing in
favor of ‘dedicated site.’
Standard training course is not very effective way of learning.
The HRDM needs to have a overall control of the resource to have the
right balance.
A good cost comparison brings in the necessary factors. The way to do
it is to zero-base all the training that is done.
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Funding Strategies
Money is the most critical resource needed. Money can be resourced
from
internally from the organization
externally from bodies with funds.
It can also be procured from external revenue generating activities from
internal resources.

External revenue can come from:

Letting out facilities –utilizing spare capacities and maximizing
the return on mixed costs.
Selling places on internal training courses –this is commonly done
on technical courses, or routine skill courses or whenever open
discussion on the organization is needed. Contd...
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Providing external client consultancy –Utilizing spare

capacity of learning consultants or trainers on external
client opportunities.

Licensing training methodologies or selling materials –

where these are not deemed to be of competitive
advantage.

Providing HRD services to other organizations –‘in

sourcing’–utilizing fixed costs and resource to provide
service to other organization as well as the home base.
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Should any of HRD be outsourced?

Some organizations have a general policy of not investing management
time and effort in anything other than their core business. Then the
HRD activity is given totally to the service provider and monitored
against performance criteria.
The arguments on each side in respect of HRD department are:
FOR Against
Reduced direct overhead cost. Lack of commitment to
Reduced management attention. Organizational goals
Ability to control Lack of long term ownership criteria.
Ability of wider range of skills Degrees of freedom in controlling
performance.
Risk in lack of continuity of key
skills.

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Different methods of training adopted by trainers.

The most popular method is lecture method as it is easiest in the long
run.
Case studies, buzz groups , brainstorming , business games simulation
etc requires innovation and is usually adopted from other countries.
Computer based training (CBT) and internet based training are fairly
close to program learning and goes at its own pace and moves from
one step to the other. It uses computers, videodiscs, floppy, touch
screens, browsing the net etc.
Simulation programs can also be developed in case of maintenance,
planning , process work, sales and marketing.
Training can be conducted on–the-job or off-the-job. The off-the-job
can be in house or external training.
Contd..
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The on-the-job training is through counseling ,coaching and guidance

and has more advantages than other methods. This shapes the attitude
to machine, materials procedures etc. Culture of coaching and guiding
is important by the superiors who are held accountable for the
development of the subordinates.

In case of in-house off-the –job training. Trainers can be insiders,

outsider or a combination. The advantages of having as faculty are:

They can relate to the company situation far better they develop
faith in training being a part of it, and
The preparation and actual instruction contributes to self
development
The major requirement is to teach company employees methods
of training to make their efforts effective.
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Strategies for Business Process Outsourcing

training
Outsourcing the entire training function is a huge change that when
handled properly can yield improved services and decreased costs.
Due to economic pressure companies are turning to total outsourcing
of HR functions.
Training is a perfect candidate for BPO as a function , as it is
administrative and it is not seen as a revenue producer.
Outsourcing all training means comprehensive , end-to-end outsourcing
of the management function to the design ,delivery and reporting.
The success of outsourcing will depend on company’s motivation, its
industry, the type of training and how the process is managed.
Contd…

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The Benefits:
Produce Cost Savings: The potential for cost saving is the initial reason for
most companies opting for outsourcing. This cost reduction is through
consolidation of services, reengineering of processes, automation of
administration and delivery etc. By outsourcing training companies can save
30 to 40 % of their training costs.

Deliver high quality, efficient services and products: By outsourcing training

companies can focus resources on improving their products.

Provide cutting-edge technology: Another benefit of this narrow focus is that

the BPO provider stays on the cutting edge.

Expand global training capabilities. One reason is the access to global

distribution and call centre services 24/5. It also helps to quickly respond to
new markets in new countries and meet language requirements. Contd..
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Who should outsource?

According to the Institute of Public Enterprise(IPE), some companies are better
suited to outsourcing than others.
Currently non durable –goods manufacturers such as food processing ,
chemicals and plastics companies are outsourcing training most often.
Financial and insurance companies are outsourcing training the least.
Industries with a lot of compliance training are prime candidates for
outsourcing; examples pharmaceuticals and technology manufacturing
Companies in highly cyclical industries such as high tech consider outsourcing
because in house training makes it difficult to respond to economic conditions.
Companies with a lot of industry –generic training like safety training are great
opportunity for outsourcing.
Companies with a high degree of proprietary content in their training or
training that is very customized to the learners are not good targets for
outsourcing services.
Contd..
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Another deciding factor may be the target audience. Sometimes

outsources are educating not only employees but customers as
well.

Performing a cost-benefit analysis helps to decide whether

outsourcing is right for the company. This is done by considering
long term and short term costs of continuing to provide in-house
training solutions vs using a outside firm.

It is important to make the right choice as it is nearly impossible

to bring training back in-house.

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The Marriage:
Experts differ as to whether it is better to partner with an outsourcing company that
specializes in training or one with which you can bundle the rest of the HR functions.
Today the trend is to bundle many of the human resources functions together
( including training)and outsource them to a single provider.
There is a fundamental difference between HR outsourcing and learning outsourcing.
Hr outsourcing tends to focus on transactional processing such as payroll and HRIS.
Outsourcing the training function is more than just outsourcing transactional tasks.
Training concerns the intellectual value of a company.
Making the right decision is imperative as contracts typically last for five to ten years.
And it can be difficult to change partners.
The vendor must have experience in your requirements; and needs to possess the
necessary technical and technological capabilities.
Company and outsource employees will be working side by side for years.
It is important to look for a partner with appropriate course ware, size and infra
structure to support training needs effectively.
Given the relative immaturity of the learning BPO industry ,extensive client experience
is hard to find. Contd..

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HR’snew strategic role:

Outsourcing the training function dramatically changes the HR department,
this change is for the better. Training roles will be more strategic. There will be
partner management role, or a liaison to the outsourcing company.

It helps the HR executive to focus on strategic activities and curriculum design,

To drive and define what type of learning and skill set employees need to be
successful and ask the outsource partner to create suitable learning products.

The success indicator is when employees do not realize training has been
completely outsourced.

The goal is to deliver high quality training at a reasonable price without losing
the personal touch of in-house training.
The need is to pay attention to the trend of outsourcing training; to look ways
to improve your value and decrease costs.
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Core competencies: From training for functional skills

to learning in Indian Organization
Abstract:
Most current human resource development approaches and techniques
are unsuitable for developing core competencies of knowledge workers
in competitive firms today.
In today’s knowledge organization the traditional model of expertise
development is challenged and the new directions are presented.
IPE presents a framework of decision-making in firms for the
development of the employees from entry level skills to functional
skills, and from there to cross-functional and integrative and creative
competencies.
Indian Organizations are yet to recognize the creative and durable
contribution of knowledge workers and invest in them as a matter of
strategic concern for business.
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Learning through experience :

Learning occurs in both deliberative and incidental modes.
The performance of a task often results in incidental learning that has its effect
in and beyond the immediate learning environment.
Exploring how learning may occur without intention , and awareness is of
great relevance to understanding the process of learning tacit knowledge;
which have implication for on-the-job training and mentoring programs. An
important part of many skills is sequencing of ordering stimuli and responses.
Due to the importance of human performance ,the manner and the extent to
which sequential structure is learned has been a focus of much research.
Most recent investigations of sequence learning have been carried out using
choice-reaction tasks in which a single stimulus is presented in each trial, and
the task is to make an assigned response based on the identity of that
stimulus.
Contd..

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The most basic finding is a larger practice effect for repeated stimulus
sequences as compared to stimuli presented in random order-even though the
performers are not told of the existence of the sequence or to try rouse
sequential constraints among stimuli.
Although the sequence learning exhibited in choice reaction tasks appears to
occur in the absence of instruction to look for or use sequential constraints,
this does not mean that the performer is unaware of what had been learned.
To determine whether knowledge that is evident in implicit measures of
learning derived from task performance are also evident in explicit measures
of learning obtained from tests of conscious recollection.
To evaluate better whether awareness of the sequence is necessary
requirement for obtaining the performance benefit of the repeated sequence,
experiments were carried on patients suffering from amnesia . The results
indicated such learning can occur without awareness.

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Expertise and knowledge creation

While expertise draws on knowledge on one hand , it creates knowledge on the other
hand.
Explicit knowledge or coded knowledge ,as a body of organized information can be
understood at three levels. These are:

Shallow level ( presenting data in a organized order to provide information in response

to the question ‘what is out there?’)

Deeper level of understanding ( information is organized to deal with the question

‘why?’: this looks for explanation of phenomena. The analysis of information deals with
reasoning, cause-effect analysis, existing knowledge)

Further deeper ,one examines “how’ such analysis was made and pays attention to
reliability ,validity and tenability of explanations by replicating the analysis previously
undertaken.
Nonaka & Takeuchi (1995) addressed the issue of tacit vs coded knowledge and raised
the importance of tacit knowledge in human endeavors. Contd…
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They observed tacit knowledge as experiential, practical and simultaneous and

therefore ’subjective’ compared to ‘objective’ explicit or coded knowledge.
Complementary relations between two types of knowledge exists and a model
of knowledge conversion is based on ‘social’ interaction between tacit and
coded knowledge.
Nonaka& Takeuchi postulated four different models of knowledge conversion.:
1.Socialization: Where experiences create knowledge.
2.Externalization: A process of articulating tacit knowledge to explicit
concepts. Typically concept creation is triggered by dialogue or collective
reflection.
3.Combination: A process of systemizing concepts into knowledge system.
Individuals exchange and combine knowledge through documents, meetings
etc. by way of sorting, categorizing etc. Leading to new knowledge. This takes
place in formal education and training.
4.Internalization:A process embodying explicit knowledge into tacit
knowledge, closely related to learning by doing. Contd..
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The role of organization in the process of organization knowledge creation is

to provide the proper context for facilitating group activities as well as the
creation and accumulation of knowledge at the individual level.

The essence lies in developing the organizational capability to acquire,

create ,accumulate and exploit knowledge which can be represented as a
knowledge spiral which shows circular movement between the fur modes of
knowledge conversion.

This is done by the way of linking explicit knowledge ,learning by doing, field
building and dialogue.

The most critical element of corporate strategy is to conceptualize a visual

about what kind of knowledge should be developed and to operationalize it
into a management system for implementation.
Contd...
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Training is a line management responsibility.

The immediate superior at any level in an organization exercises far

more potent influence, for good or ill, upon the development of his
subordinates. It is he who dispenses rewards and punishments,
provides patterns of leadership, creates the climate within the working
group and structures the tasks necessary to accomplish objectives.

He is the one who can recognize the need for specialist advice. In future
the training officer will become much more of an internal consultant to
management.

The trainer will act as a catalyst adviser to the working group, for his
qualities of judgment and insight as of his specialized knowledge of
training techniques. Contd..
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There should be a conscious determination to involve managers

at every stage in the training process and encourage them to
implement their training responsibilities as an integral part of
their management of the people.

There is no substitute for a challenging job –one which fully

extends a managers capabilities and provide him with the
opportunities to develop himself.

It is the boss’s responsibility to grasp the opportunities . A

persistent encouragement of self help and self reliance on the
part of the managers is needed.

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