Managing Human Capital Assignment

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THE IMPORTANCE OF TRAINING AND DEVELOPMENT.

 INTRODUCTION.

The training and development process is a critical method for any organisation; that wants to
achieve goals and create new department to help the organization more capable and
understand the new requirements of the actual time. Training is an understanding process
when communication an information are together to solve different company needs this is
because ensure and reflects the organisation effectiveness and evaluate different aspects for
any organization.

The principal objective for any organization is analyze and evaluate the different gaps, and
Creating a proper organizational structure for achieving goals, missions and visions for a
correct use policies and strategies, including commitment, knowledge and of course planning
to training and possible extra factor that makes the evolution in any business organization.

According to George Green and his book Training and development says, that training would
be the first budget to cut in lean times is no longer true today, because now the evolution of
the new emerging markets makes a really tuff business environment. Is so when training and
development plays a vital role in the decisions to take at the same time new programs and
methods makes relevant this is important process for take new advantages that makes
relevant different training programs.

All these information must see as a vital tools for the needs of the company and be converted
into a practical actions usually by the human recourses department and is determinate by a
numbers of internal or external factors that makes this important tool a crucial part in any
organization.

Leslie Rae (2000) cited that there are main issues to evaluate that have increased the potential
and the importance of the training for an organisation, because not all the companies have the
same goals to achieve:

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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 The type of organization.


 The size of organization.
 The distributions of individuals, groups or team.
 Range of jobs roles and numbers of individuals roles within range.
 The needs of individuals of all levels.

The planning and introduction of a required training program will depend of a different
numbers of factors that has to be considered and be executed before the planning can take
place. One example of this is when a company needs to train people to solve technological
problems and other need is to train a group of experts in the use of new system of analysis for
the creation and developing of a new vaccination.

for this reason the evaluation a creation of strategies has to be completely different than
others companies depending the global outline planning can include fluctuation and
diversification in many others areas to explore.

As a result of a common analysis training could have a variety of steps to take care of for a
correct execution and post evaluation.

 The introduction of training and development into an organization as a new service.


 The modification or extension of an existing training and development program as a
result of changing or additional needs in the organization.

The result in the failure of the training process, will demand replanting and evaluation, of the
different strategies for the implementation of the training process. At the same time as a result
of the evolution in business this crucial step, sometimes turns to be unnecessary using time
and resources that could have been prevented by earlier, in the effective planning and pre-
evaluation process made by the process of human resource department.

The training cycle in planning.

Two important events will trigger the need for the planning and designing of a training and
development program, because not for all the organizational systems the training cycle is the

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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same depending internal and external factors to take care evaluating and analyzing the final
objective to achieve communicating and developing new strategies for the company’s
success.

According to Tony Pont and his book developing effective training skills, says that the
training cycle is a cyclical process which is outgoing, there are five distinct phases in the
cycle that plays an important role in many business organizational that use the training as a
tool for a better understanding of the company common idea.

 Analysing training needs.


 Planning a designing the training approach.
 Developing the training material.
 Delivering the training.
 Evaluating the training.

At the beginning of planning new processes of training come out without any revision that
happens sometimes because the direction on the strategies is not well studied and sometimes
could be out of control without any control at all. For this reason is recommendable to
analyze and research the company the possible needs of the company.

Developing the training material is another very important method to incorporate as well as
asses the new possible recommendations to follow the next stage that is delivering the right
material within the right information to the right people to train.

The evaluation stage not only cycles back into stage 1 but also cycles back into the others,
because in training the use of examples help to understand a better approach into the
evaluation system for a correct use of this important tool for the organization.

Organizational changes and new emerging problems to solve are inevitable in any
organization, just like anything in life, in addition to this the evolution of the world markets
and cultures. Training and developing something that requires constant attention and
preparation. In order to be successful in any market, an organization has to be able to

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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transform an evaluate different kind of statements that show the importance of evaluation and
implementation of new concept for the organization.

(Bratton, J. and Gold, J. (2007) Human Resource Management – Theory and Practice, 4th Edition, Palgrave Macmillan, New York, p241)

In terms of analysis an evaluation Trainers and managers must be aware of the close
relationship between training a profit, because without training the possibility of failure
sometimes could be higher and common in various stages of evaluation and implementation
of levels of communication.

for senior decision makers must be made to view training as investment and in not only
created as a skilled workforce but also maintain the high level of skills demanded, creating
systems of evaluation that makes the program more capable to solve questions being more
effectively and able to enhance the constantly changing workplace and to equip people to
meet future demands.

 Analysing training needs.

There are three main areas in which this analysis may take place, because any organizational
group has their own levels of communication, that shows the importance of internal and
external factor to evaluate what kind or type or training we need to incorporate and how the

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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evaluation of the training need to be for a better understanding and correct evolution of the
material already created:

 Needs at organizational level, where is the organization most needed?


 Need at the occupational level, what is need in terms of skill knowledge and attitude
dot that the duties of various jobs can be effectively and completely carried out?
 Needs at individual level, who needs training in what?
The relative importance for those 3 stages will vary from situation to situations but the final
stage will always involve an identification of the people to be trained and the competency gap
to be bridged. Thus terms help to validate important theories that developing training has to
offer in a huge range of structures for the good of projects, companies or organizations.

According to Susan E, Jackson and Randall S, Shuler. (2006). The best competitors use
training and development practices to improve the ability of workforce to implement their
business strategy, creating a good environment following the right statement for the company
and how can be more efficient and productive for the organization

(Example 1). Ritz Carlton hotel company. Training teaches new employees about the
company’s values and its helps new employees and it helps experienced employees
continuously improve the quality of their service.
On example of this statement is using experience employees to teach to the new employees
how to be more efficient and capable to validate the new possible challenges on the job and
analyse the different possible reasons in terms of auto evaluation and strategies development.

The Ritz Carlton hotel company has become so widely recognise for its ability to use HR
practice to support quality service that it decided to teach others companies, how they can
improve. Interested managers and executive can attend classes and presentations at the firm
leadership training centre and buy consulting services.

Improving the competence of the workforce is one way that training and development can
create a competitive advantage, but is not the only way. Training and development activities
also contribute to organizational success in less direct ways. For example, they can provide
shared experiences that promote understanding employees among employees with many

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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different histories and so help speed that development of organizational cohesiveness and
employee commitment.

Training and development activities also are a means for employers to address employees
needs. By offering training and developing opportunities, employers help employees develop
their own personal competitive advantage and ensure the long term employability.

“At Toyota be have a really tough time finding good people. Training is important”

Jim Wiseman.
President of external affairs.
Toyota engineering & manufacturing
North America.

 Improving recruitment and retention.

Continuing with the idea of the importance of training a development in a business


organization, being able to attract and retain qualified employees to pursuing the common
goals of any systematic structure, sometimes the common source of employees dissatisfaction
is the lack of careers advancement opportunities. For most employees making a significant
career move involves taking a job that requires competencies not needed in the current job.

For example. For British Gas one of the best recognized energy brands for all over the world,
the principal approach for an energy company needs to show it is not just competitive on
price, but that it can also provide the right levels of customer service to attract and retain
customers. For this reason, it’s provides more services as a maintaining and cleaning of the
different drains and connections. Therefore different levels of customer services are created
to retain and maintain new, old and possible new groups of people with different needs.

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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To deliver this calibre of work British Gas needs high calibre staff and employs more than
9.000 trained gas engineers to install and maintain central heating and gas appliances.
Importantly B G must also ensure to retain the best people b offering a mix of financial and
non financial benefits, as well as good pay and pension scheme and provides the opportunity
to buy shares of the company and it offers great place to work with high class training.

 How can employees acquire these competences?

One way is by seeking out educational opportunities on their own for example, by attending
classes at night or weekends but a more appealing way for most people is true participation in
training and development activities of offer by the employer. Werner (2006).

One example of this, Tesco uses the auto promotional strategic programmes that include a
wide range of new opportunities for people who want to has better job position with better
pays and high levels of training quality.

Many people seek out employers who provide training and development activities that
facilitate careers advancement. When they received such opportunities, employees are likely
to feel more committed to the organization and are less likely to leave. Offering on the job
training to employees whose jobs are lost to off shoring or outsourcing is also a means of
creating loyalty among employees.

 Proving competitiveness.

United States corporations spend more than $ 60 billion dollars annually on formal employee
training and development programs that use an estimated 1.5 billion hours of time for more
than 56 million employees who participate. Often large investment and development training
are justified by a believe that tr5aining and development with enhance the organization
ability to completive effectively.

(Example 2) Kiphon inc, effective training can make the difference between life and dead.
Kyphon produces and sales a patented devices that is use to correct paint full spinal
conditions. The firm’s sells people teach surgeons how to use it in the operated room. So, in

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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addition to offer the more common types of training to people in accounting, operations, and
other areas, Kyphon provides medical training to it sales force. In Kyphon Company the
people are encouraged to pursue training in any forms that suits them from technical and
business courses to life style management.

The philosophy is that anyone needs to be continuously learning and developing to support a
company that is involving and changing as new technologies become available.
In highly competitive industries, training for immediate performance improvement is
particularly important to organizations with stagnant or decline rates of productivity or
customer satisfaction.

Training for performance improvement is also important to organizations that rapidly


incorporating new technologies and consequently increasing the lightly hood of employee
obsolescence. According to Pat Galagan, executive director for the American society for
training and development, companies are getting better at linking learning efforts to strategy
and business.

 Implementing new technology.

New technology is account for much of the enhance levels of productivity achieve in recent
years. But new technology sale them can be introduced without also providing training in its
use.

Example 3. When Health Partner’s installed a mayor upgrade to its data processing system,
employees need it to upgrade their skills to use it. The training programme was made up of
numerous 45 minutes sessions that could easily be scheduled into any work day.

Employees were encouraged to retake sessions as many times as they need it to develop a
sense of mastery. Besides technical training employees were taught about the longer term
benefit that would be realise once they all could use the new technology. Discussions about
inevitable stresses that a company mayor changes were also included. Soon employees were
speeding trough the program, and customer complaints dropped to nearly none.

 Recruiting, selecting and training for success.

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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(Example 4).
The reputation of any business ultimately depends on the quality of its products. High quality
products need high quality people to create, design, produce and deliver them. So if a
business is to maintain its reputation it needs to do well at recruiting high quality employees.
For any business offering a large element of personal service, an ability to recruit, train and
retain high quality staff is particularly vital.(www.thetimes100.co.uk).

McDonald's is a large scale employer for al over the worlds and it’s one of the most famous
brands that create new products for new groups of people with different needs to fill up. In
September 2004 in the UK the company-owned restaurants employed 43,491 people: 40,699
hourly-paid restaurant employees, 2,292 restaurant management, and 500 office staff.
McDonald's franchisees employed a further 25,000 people jus only in the UK.

A typical McDonald's restaurant employs about 60 people. Most employees are paid by the
hour and are referred to as 'crew members'. Their primary responsibility is to prepare the food
and serve customers with a perfect quality of knowledge and carry out tasks for the efficient
running of the restaurants.

Other hourly-paid employees who work alongside them include Training Squad Members,
Dining Area Host/esses, Party Entertainers, Administrative Assistants, Security Co-
ordinators, Maintenance Staff, Night Closers, Floor Managers and Shift Running Floor
Managers. These employees carry out more specific job functions for programs as preparing
stocks for the shop or verifying that the quality if the services are each time better and
Constance .
The remaining restaurant-based employees are salaried managers. It is their responsibility to
manage the restaurant's operations, crew and business performance. Each McDonald's
restaurant is structured as an independent business, with restaurant management responsible
for accounting, operations, inventory control, community relations, training and human
resources.

 Training at McDonald’s Restaurants Limited.

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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McDonald's success is built on the highest standards of quality, service and cleanliness
delivered to customers in each of its restaurants. Well-trained staff is vital and managers are
the first step to achieving these standards. It is company policy to provide career
opportunities that allow employees to develop their full potential and create commitment for
quality services that makes this company a bi important hit for all over the world.

The first stage of training is at the Welcome Meetings. These set out the company's standards
and expectations. This is followed by a structured development programme that provides
training in all areas of business. One example of this is communicating what the company
need to achieve better economical positions and introducing the possible goals to create
responsibility without have a boss or superior all the time over the staff.

On the other hand Crew trainers work shoulder-to-shoulder with trainees while they learn the
operations skills necessary for running each of the 11 workstations in each restaurant, from
the front counter to the grill area. All employees learn to operate state-of-the-art foodservice
equipment, gaining knowledge of McDonald's operational procedures.

The majority of training is floor based, or "on-the-job" training because people learn more
and are more likely to retain information if they are able to practise as they learn. According
to Leslie Rae creation of commitment and responsibility is vital to everyone to adapt and
understand new stage of knowledge and use it as a tool in the work environment.
All new employees have an initial training period. Here they are shown the basics and
allowed to develop their skills to a level where they are competent in each area within the
restaurant. The time scale for this depends on their status i.e. full or part-time. They will also
attend classroom-based training sessions where they will complete workbooks for quality,
service and cleanliness.

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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After the initial training period all employees receive ongoing training. This is done using
"Observation Checklists" for the station they are working at. The rating will go towards their
appraisal grading.

The restaurants do promote crew members to hourly-paid management positions that carry
accountability for areas within the restaurant, or responsibility for a shift. Training and
development is given in the restaurant and in addition the participants will attend regular
development days. On successful completion of a management entrance exam, employees
will attend a training course held by the training department at the regional office before
returning to the restaurant in a management position.

The Management Development Curriculum is divided into four key programmes:

 Shift Management - developing trainee managers in the skills and techniques required
to become effective in all aspects of running a shift.
 Systems Management - targeting second assistant and newly promoted first assistant
managers. This programme covers all areas of McDonald's systems, increasing the
manager's business knowledge. It also develops individual techniques.
 Restaurant Leadership - introducing managers to the key skills needed to become
effective restaurant leader’s e.g. team-building, communication, decision-making.
 Business Leadership - focusing restaurant/general managers on the need to develop a
business strategy that encompasses both internal and external factors.

Most departments in the regional offices offer restaurant managers opportunities to be


seconded to work in the regional office. This gives an experienced manager the opportunity
to develop and learn new skills, to demonstrate his own abilities and use this kind of
experience to promote and achieve different side of the business and to experience how each
department's strategies have a role in achieving the company's goals.

McDonald's believes that the success of the restaurants and the company is achieved through
the people it employs. The company aims to recruit the best people, to retain them by offering
ongoing training relevant to their position and to promote them when they are ready. Its
recruitment policies, procedures and practices reflect the company's determination to fulfil its

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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aim.

 Conclusion.

As a conclusion of this important statement, the right effect that training and development has
to offer in different business organizations is a multi optional tool that shows the important
and the relevant use of the strategies to maintain the profitability of any company safe.

In some cases the type of training can fluctuate depending of the program, group or
organization taking care of important factors that create Efficiency with the use of effective
training and development. For this reason is recommendable to analyse an evaluate the new
possible strategies to implement and adapt the new possible changes for the good of the
company.

Employees are an essential element of any company without them it is impossible to achieve
goal or make possible strategies of expansion in the commercial world, because help to
increase the profit creating a better working atmosphere who are committed and flexible in
order to aid its expansion of the business.

The expansion of a company relies on retaining existing employees and acquiring new ones.
For this reason training and development creates commitment with high standards of service
to meet objectives. Quality is a very important objective to achieve, because structured
approach to training and developing its existing and new employees provides a strong
foundation for its continuing growth.

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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REFERENCES.

BOOKS.

 Ansolf, I. H and McDonell, Ej (1990) Implanting Strategic Management, Englewoods


Cliffs, Prectice Hall.
 Robbins, S. And Decenzo, D. Fundamentals of Management, Essential concepts and
Applications, Fourth Edition, Pearson education.
 Rae L, (2000), Effective Planning in Training and Development, first Edition, Kogan
page Limited.
 Sims R, (1998), Reinventing Training and Development, Third Edition, Greenwood
Publishing Group.
 Wilson J, (1999), Human Resource Development, first Edition, Kogan page limited.
 (Bratton, J. and Gold, J. (2007) Human Resource Management – Theory and Practice,
4th Edition, Palgrave Macmillan, New York.

WEB.

 http://www.thetimes100.co.uk/case-study--workforce-planning-at-british-gas--137-
408-1.php
 http://www.thetimes100.co.uk/case-study--recruiting-selecting-training-for-success--
28-194-5.php
 http://www.google.com.co/imgres?
imgurl=http://www.dsamh.utah.gov/spf/images/cycle_logo.jpg
 http://www.thetimes100.co.uk/case-study--how-training-and-development-supports-
business-growth--132-359-1.php

Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.
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Created by: Cristian Camilo Torres Bolanos, Student ID L0505PHPH0610, MBA, Group D, 2010.

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