Lecture Note for HRM

Chapter 5
Training and Development

HUMAN RESOURCE DEVELOPMENT

What is human resource development?
Human Resource Development (HRD) is planned, continuous effort by management to improve
employee competency levels and organizational performance through training, education, and
development programs (Mondy & Noe, 1990). Training program is directed toward helping
employees effectively perform their jobs after training, while developmental program helps the
individual handle future responsibilities, with little concern for current job duties (Werther &
Davis, 1996). It is a program focused on leadership competency and organizational issues.
Education, on the other hand, is learning experiences that improve overall competence in a
specific direction (Scarpello & Ledvinka, 1988). The term education mainly is associated with
university or college programs in a particular field of study. Either in public or private
organizations "non managers are much more likely to be trained in the technical skills required for
their current jobs, whereas managers frequently receive assistance in developing the skills required
in future jobs-particularly conceptual and human relations skills" (Stoner et.al., 1996).

Both training and development aim to impart knowledge and skills with view to increase
employee's ability to contribute to organizational effectiveness. However, some writers explain the
difference between training and development in terms of their objectives. Training is a process
designed to maintain or improve performance (and skills) in the present job. Development is a
programme designed to develop skills necessary for future work activities. It is designed to
prepare employees for promotion.
In the subsequent pages emphasis will be given to the discussion of employee training and
management development programs.

Why training and development?

Employee Training
Recruiting, selecting, orienting and then placing employees in jobs do not ensure success. In most
cases, there may be gap between employee knowledge and skill and what the job demand. The
gap must be filled through training programs. Hence, personnel training and retraining is one of
the major way that work organizations attempt to maintain the competency levels of their human
resources and increase their adaptability to changing organizational demands.

Training can bring tangible benefits to both the organization and the employees. Hence, the major
purposes of training are:

¨ It establishes a sound relationship between the worker and his/her job-

the optimum man-task relationship.
¨ It upgrades skills and prevents obsolescence.
To keep pace with changing technology training becomes mandatory for employees in order to
update them, teach them newer skills and increase their efficiency.
¨ It develops healthy, constructive attitudes.
Training programs are aimed at mounding employee attitudes to achieve support for
organizational activities and to obtain better cooperation and greater loyalty.
¨ It prepares employees for future assignments.
One of the objectives of training is to provide an employee an opportunity to climb up the
promotional ladder or to move on to assignments which will help upward mobility.
¨ It increases productivity.
The most efficient and cost-effective ways of performing jobs are taught to the employees
which naturally leads to enhanced productivity.
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¨ It minimizes operational errors.
Unnecessary repetition, wastage and spoilage of materials are brought down; deficiencies in
methods of doing work are ironed out in training thereby also reducing the hazard of accidents.
Consequently, a safer and better work environment is created.
¨ It enhances employee confidence and morale.
With better knowledge and skills, the employee approaches his/her job with greater confidence
and sureness. It also improves the morale of the employees.
¨ It brings down employee turnover and absenteeism.
Training is a powerful tool that breeds in the employee a sense of pride as well as of
belonging. Both these contribute in a major way to checking and reducing turnover as well as
absenteeism.

Moreover, training can improve the relationship between the employees and their immediate
supervisor. It also helps in understanding and implementing organizational policies.

Management Development
Management development is designed to improve the overall effectiveness of managers in their
present positions and to prepare them for greater responsibility when they are promoted (Stoner,
et.al., 1996). In other words, Glueck (1978) defined management development as the process by
which managers gain the experience, skills, and attitudes to become or remain successful leader in
their enterprises. Among other things, making the organization a better environment to work is the
responsibility of a manager. To effectively discharge this and other managerial responsibilities
organizations must provide an opportunity for managers to improve their knowledge and skills
through management development program.
Effective management development program helps managers at all levels to learn to perform their
jobs better. Moreover, among the many good reasons for conducting development program the
following are the major ones:
¨ To stimulate a more creative and innovative approach to problem solving and decision
making and provide the manager with the latest information on theory and practice of
management.
¨ To broaden the manager's vision and understanding in preparation for additional
responsibility.
¨ To give the managers the opportunity to discuss ideas and problems with other people. It
very often givens people the opportunity to check out their thinking with other managers
and to compare the ways in which they define and solve problems.
¨ To teach managers how to determine the consequences of various specific managerial
actions and behaviors (leadership, planning, controlling,-------).
¨ To reduce or prevent managerial obsolescence. Obsolescence can occur unless managers
are kept up with the changing methods of doing their managerial jobs. (EMI, )

The Human Resource Development Process

In today's changing environment, employees at all levels need additional training and opportunity
to managers to develop their management thinking. In this respect, organizations are required to
be engaged in continuous employees training and management development programs.

As shown in Figure (Mondy and Noe, 1990) below, the steps in the human resource development
process are:
1. Identifying training and development needs
2. Establishing training and development objectives.
3. Selecting training and development methods and media.
4. Implementing the actual training and development program.
5. Conducting evaluation and follow-up.
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Needs Assessment

Establish Objectives

Select Methods and Media

Implement the actual program

Conduct Evaluation and Follow-up

Steps in the human resource development process (modified)

Need Assessment
The first step in human resource development process is to identify training and management
development needs. Since training and development is a need-oriented effort, determining the
level, type and duration of the training and development is of prime importance at this stage of the
process. If human resource development need analysis is incorrect at this stage:
- then the later development activity will be inappropriate
- organization could end up in wasting time, resource and also demotivating staff.
- employees will develop negative attitudes towards future program.

The dominant framework for identifying organization's human resource development needs has
been McGehee and Thayer's three-category need analysis approach (Scarpello & Ledvinka, 1988),
1) Organizational analysis
2) Task (job) analysis
3) Person analysis

Organizational Analysis
Organizational analysis is the process of identifying job-related knowledge and skills that are
needed to support the organization's short-range and long-range goals (Scarpello & Ledvinka,
1988). This implies that organization's strategic goals and plans must carefully be examined in
line with the human resource planning.

In this approach, information related to organizational structure, size, growth, objectives and
other factors is gathered to effectively determine where and how training and development
programs should be conducted. In other words, according to Chatterjee, 1995), essentially, there
are three requirements:
1. Are there an adequate number of people to fulfill organizational objectives?
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2. Are these people equipped with the necessary skills and knowledge and is the general level
of their performance up to the required standard?
3. Does the prevailing organizational climate provide a wholesome environment for the
fulfillment of tasks and objectives?
Chatterjee (1995) further pointed out the approaches that can be used to arrive at meaningful
conclusions to each of the above queries. Some of these are:
- Observing employees
- Asking supervisors about employees
- Examining the problems of employees
- Performance assessment and attitude surveys
- Assessment of the organization's public image
- Looking at rules, procedures and systems
Interpretation of the information collected from the above approaches would provide guidelines
and clues to the training need.

Task Analysis
This approach refers to the determination of skill and knowledge, the job requires. In collecting
job information as input into training decisions, however, the job analysis must include (Scarpello
& Ledvinka, 1984):
¨ A detailed examination of each task component of the job.
¨ The performance standard of the job.
¨ The method and knowledge the employee must use in performing the job task
¨ The way employee learns the method and acquires the needed knowledge.

Thus, job analysis is a means by which facts relating to the job are obtained. It includes a job
description and a job specification. If a human resource development program mounted for a
specific job is to be successful, there is a need for a clear definition of what the job entails and of
the qualities needed for its performance. Furthermore, if information relating to the nature of a
specific job was collected prior to the organization of all development programs, then the program
would have much greater relevance to the needs of the job and would also enable to produce staff
who were much better prepared for their responsibilities.

Person Analysis
Another training and development need analysis approach is person analysis. Here the
concentration is on the individual employee. It is used to analyze the substantive knowledge and
skill possessed by the employee (Scarpello & Ledvinka, 1988). This approach deals with two
basic questions. These are:
- Who needs to be trained?
- What kind of training is needed?

Information about the person's job behavior can be obtained by:

1. Directly observing job performance
2. Reviewing supervisory evaluations of performance
3. Using diagnostic tests, such as written ability tests and work samples
4. Comparing the behaviors of well-performing employees with those of poorly performing
employees
5. Discussing with employees their individual job performance and factors that may inhibit
that performance (Bass & Vaughan, 1966):

Once actual employee's performance is identified to be below standard, the next step is to
determine the kind of training or development needed to equip the employee with specific
knowledge and skill required for better performance. Generally, training and development can
improve the individual's performance only when:
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1. the employee does not have the knowledge and skill to do the job.
2. the low performance is not due to lack of practice
3. the low performance is not due to other causes (Laird, 1983).
Finally, since training and development costs money, organization must ensure maximum return in
terms of organization current and further performance.
Training and Development Objectives:
Once training and development needs are clearly identified, the next process is to establish
objectives. An objective is a specific outcome that the training or the development programme is
intended to achieve (Scarpello & Ledvinka, 1988). In most cases, training and development
objectives are set for the trainees. These objectives define the performance that the trainee should
be able to exhibit after training (Scarpello & Ledvinka, 1988).

Human resource development experts suggest that objectives should be stated explicitly and
answer the following questions (Scarpello & Ledvinka, 1988):
1. What should the trainees be able to do after training?
2. Under what conditions should the trainee be able to perform the trained behavior?
3. How well should the trainee perform the trained behavior?

Training and development objectives must be specific, measurable and time-targeted (Werther &
Davis, 1996). Objectives with such characteristics serve a number of purposes. According to
Scarpello and Ledvinka (1988), they assist in developing the criteria to be used in evaluating the
training or development outcome. Objective and the evaluation criteria also help in choosing
relevant instructional method, media, and material.

Instructional Method and Media

The instructional method and media depend on the program content. The content in turn is shaped
by training or development need identification and established objectives. The objective here may
be to teach specific skill, provide needed knowledge, or try to influence attitudes (Werther &
Davis, 1996). The content, method, and media must match the job requirement of the organization
and the learning style of the participant.

Training and development are more effective when learning is based on principles. Learning
Principles are guidelines to the ways in which people learn most effectively (Werther & Davis,
1996). The learning principles and their merits are described as follows:

Participation. Learning usually is quicker and longer-lasting when the learner participates
actively. Participation improves motivation and apparently engages more senses that reinforce the
learning process. As a result of participation, people learn more quickly and retain that learning
longer. For example, most people never forget how to ride a bicycle because they actively
participated in the learning process.

Repetition. Repetition apparently etches a pattern into one's memory. Studying for an
examination, for example, involves the repetition of key ideas so that they can be recalled during a
test. Similarly, most people learn the alphabet and the multiplication tables by means of
repetition.

Relevance. Learning is helped when the material to be learned is meaningful. For example,
trainers usually explain the overall purpose of a job to trainees before explaining specific tasks.
This allows the owner to see the relevance of each task and of following the correct procedures.

Transference. The more closely the demand of the training program matches the demand of the
job, the faster a person learns to master the job. For example, pilots usually are trained in flight
simulators because the simulators very closely resemble the cockpit and flight characteristics of
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the plane. The close match between the simulator and the plane allows the trainee to quickly
transfer the learning in the simulator to actual flight conditions.

Feedback. Feedback gives learners information on their progress. With feedback, motivated
learners can adjust their behavior to achieve the quickest possible learning curve; without it, they
cannot gauge their progress and may become discouraged. Test grades are feedback on the study
habits of test takers (Werther & Davis, 1996).
In selecting instructional methods and media, trade-off exists. That is, no single method or media
is always best; the best method or media depends on (Werther & Davis, 1996):
¨ Cost-effectiveness
¨ Desired program content
¨ Learning principles
¨ Appropriateness of the facilities
¨ Trainee preferences and capabilities
¨ Trainer preferences and capabilities

The significance of the above trade-offs depends on the situation. For example, a chalk-board
lecture method may be the best technique to communicate academic content in the most cost-
effective manner in a large classroom.

There are many different methods for developing managerial abilities and providing opportunities
for non-managers to acquire job-related skills. Some of the major methods that can be employed
for managers and non-managers are discussed below.

Information Presentation Method

The aim of information presentation method is to teach fact, skill, attitude, or concept without
requiring trainees to practice the material taught or to experience how the material taught
translates into behavior (Campbell et. al., 1970). The three major methods that fall into this
category are (1) lecture, (2) conference, and (3) programmed instruction.

Lecture
The lecture method is applied in both training and development. In a lecture, the material to be
taught is presented by a subject-matter expert to a group of recipients. It is the most widely
accepted method and also economical because a large number of people can be trained using one
instructor. However, participants do not share each other experiences and hence the learning is
confined to what the lecturer has to say (Chatterjee, 1995). This method can be backed by a
number of media such as slide, overhead projector, videotape, closed-circuit television, motion
picture, etc.

Conference
A conference is a group meeting conducted according to an organized plan in which the members
seek to develop knowledge and understanding by obtaining a considerable amount of oral
participation. The objectives of the conference method are:
¨ to share idea and experience and pool information among participants
¨ to solve problem common to a group
¨ to get acceptance of new idea and policy
¨ to increase tolerance and understanding.

Programmed Instruction
Programmed instruction is a highly structured, individualized learning method that:
1) specifies what is to be learned
2) breaks down the learning topic into small step
3) requires the learner to respond to each step of the learning process
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4) tests the learner's knowledge at the completion of each learning step
5) gives the learner feedback of whether a correct or incorrect response was given
6) tests the knowledge or skill acquired at the completion of training (Campbell et.al., 1970)

This method is used to teach a variety of technical and non-technical subjects. For example it has
been used to teach managers the principles of motivation (Scarpello & Ledvinka, 1988).
Programed instruction as an individualized learning method has several advantages.
It:
- requires the trainee's active involvement and provides immediate feedback to the trainee.
- permits the trainee to learn without being influenced by other, and at a time that is convent.
- minimizes or eliminates the need for an instructor (Scarpello & Ledvinka, 1988).

Simulation Method
Simulation method present trainees with an artificial representation of an organizational, group, or
personal situation and require them to react as though the situation were real (Campbell et.al.,
1970). Some of the methods that are included in this category are (1) case study, (2) role-playing,
(3) in-basket exercises, and (4) management games.

The Case Study Method

In the case method, the trainee is given a well-developed description of a situation, instructed to
identify the problem, analyze the situation, and devise a solution for the identified problem
(Scarpello & Ledvinka, 1988). When cases are similar to work-related situations, trainees can
develop decision-making and problems-solving skills, as well as increase their abilities in
judgment.

Role Playing
It is a method, which involves the spontaneous acting of realistic situation by two or more
participants. The participants are provided the role script or "write up their own role plays, which
can make them totally relevant and realistic (Scarpello & Ledvinka, 1988). In the role play
method issue and problem that emerged during the enactment are examined, so that both the role
players and the observers understand the underlying principles that were demonstrated and their
organizational implications (Chatterjee, 1995). Moreover, the following are some of the major
advantages of role playing:
1. Practice in trying out new behaviors.
2. immediate feedback from other participants and the instructor
3. a high degree of transfer of learning to future job behavior (Scarpello & Ledvinka, 1988).

Implementing the Human Resource Development Program

Human resource development program should aim at enabling organizations to achieve their
objectives. Hence, the program should be set up after having clear-cut objectives in mind. In
every program decisions have to made as who should be trained, who are the instructors, where
and when the program is to be conducted and what are the material requirements. Moreover,
according to Chatterjee (1995), providing answers to questions like what skills are going to be
taught, what kind of employee development is sought, what long or short term objectives are
proposed will determine the design and details of the programs.

Since human resource development program decisions are based on cost considerations, the
management must believe that the program will:
- increase the skill and knowledge of employees and hence, they will perform better towards
organizational success.
- motivate employees to learn and attain their personal goals.
- provide feedback to improve the program.

Evaluation of Training and Development

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Evaluation is the final phase of the training and development program. It is a means to verify the
success of the program, i.e. whether employees in the program do the jobs for which they have
been trained. As Ahuja (1988) noted, the concept of evaluation is most commonly interpreted in
determining the effectiveness of a program in relation to its objectives. Human resource
development is an investment in people. The major reason why management invest in training and
development program is to help employee to perform better in the achievement of organizational
objectives. Hence, evaluation is a means to assess the cost/benefit of the program to the
organization. However, as Milkovich and Boudreau (1991) noted, evaluation is like brushing your
teeth after every meal everyone advocates it but few actually do it. Evaluation can be done for
various purposes. It may be done:
- To increase effectiveness of the program while it is going on.
- To increase the effectiveness of the program to be held next time.
- To help participants to get feedback for their improvement and efficiency.
- To find out to what extent the objectives are achieved (Ahuja, 1988).

In evaluating the worth of specific programs, sets of measurement criteria should be identified.
These, according to writers in the area, are:
1. Reaction
What did the participant think about the program? Participants react to the learning
experience by forming opinion and attitude about the instructor, the methodology,
participation in the learning session and how well he liked the program.
2. Learning
Did the participant learn what was intended? Learning evaluation requires the
measurement of what participant has learned as a result of his/her training i.e. the new
knowledge and skill he/she has acquired or the change in attitude.
3. Job behaviors
Did the learning transfer to the job? Job behavior evaluation is concerned with
measuring the extent to which participant has applied his/her learning back on the job.
4. Organizational impact
Has the training helped organizational performance? This evaluation attempts to
measure the effect of change in the job behavior of the trained employees on the
functioning of the organization and the behavior of other employee. The changes may be
ascertained in such terms as improvements in service delivery, productivity or reduction in
costs.
5. Ultimate Value
Has the training affected the ultimate well-being of the organization? Here evaluation
aims to measure how the organization as a whole has benefited from the training in terms
of goal achievement, survival or growth.
To measure the effect of human resource development program using the criteria mentioned above
requires to use data gathering method such as questionnaire, interview and observation. Other
measures like management audit, survey, analysis of record and performance data, expert opinion,
test and the like can be used to collect evaluation information (EMI, ).

In sum, human resource development to be useful to both the organization and the employee the
management concerned should:
- properly assess needs
- formulate clear objectives
- design program to meet the needs and to attain objectives
- conduct cost/benefit evaluation
If the training and development shaped the employees in such a way as to fit the job requirements,
then it can be concluded that organizations have achieved their objectives and in turn they have
also justified the investment made in human resource.
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Type Of HRD Programs

Training Program
Training is one of the most important tools available to organizations. Management can make use
of training programs to enable the organizations achieve their objectives. This is possible by
developing the skills and competencies of their employees. There are different types of training
programs. The most common ones are briefly discussed below.

On-the-job Training
On-the-job training is conducted on the job, to develop the skills of non managerial employees.
The employee is placed into the real work situation and shown the job and the tricks of the trade
by experienced worker or the supervisor (Glueck, 1978). According to Werther & Davis (1996),
on-the-job training includes several steps.
First, the trainee receives an overview of the job, its purpose, and its desired outcomes, with
an emphasis on the relevance of the training.
Then, the trainer demonstrates the job to give the employee a model to copy.
Next, the employee is allowed to imitate the trainer's example. Demonstrations by the trainer
and practice by the trainee are repeated until the job is mastered.
Finally, The employee performs the job without supervision.

Off-the-Job Training
Off-the-job training program takes place outside the employee work environment. These can be
course work at local colleges or other training establishments like that of the Ethiopian
Management Institute which have been specially equipped and staffed for both managerial and
vocational training. On the other hand, Regions that wants to develop the skill of their
accountants and lawyers are sent to the Ethiopian Civil Service College (ECSC) for short-term off-
the-job training.

Vestibule Training
Vestibule training is a form of intense education held in proximity to the actual work environment.
For example, the computer center and the language laboratory of AMU can be used as vestibule
center to train typists and other administrative staff.

Management Development Programs

The realization of organizational objectives depends to a greater extent on the quality of leadership
provided by administrators/managers. To this effect, organizations need to improve supervisory,
managerial, and executive skills so that they may lead and motivate employees for the betterment
of their organizations. There are many types of development programs for
managers/administrators. The most common types are briefly discussed below.

Formal Training
Formal training courses of managers can be conducted in classroom using instructors from within
the organization or by experts from other institutions. The classroom instruction may be coupled
with field assignments. Subjects that are going to be covered may include decision-making,
financial management, setting objectives and priorities, motivation techniques, performance
appraisal, communication, holding meetings and other managerial topics. Field assignments may
consists of controlled exercises in simulated situations or actual work with colleagues who act as
coaches, often called monitoring (Holt, 1993).

Off-the-job Formal Training

In this program, managers/administrators are removed from their work situation for concentrated
programs. With a view to increase the capacities of their leaders, organizations send them to
colleges or universities or get them enrolled in seminars, workshops, conferences and other
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programs conducted by training institutions. The Ethiopian Management Institute is a professional
organization serving many organizations with development courses and seminars.

Job Rotation
This involves rotating trainees for one job to other related jobs to broaden their managerial
experience. Besides, giving an opportunity to acquire new managerial skills, rotation enables the
organization when resignation, retirement, death, transfer or vacation occur. Advocates of job
rotation assets that this approach:
- broadens the manager's back ground,
- accelerates the promotion of highly competent individuals,
- introduces more new ideas into the organization, and
- increases the effectiveness of the organization (Glueck, 1978).

Development Position
In this management development program, organization assigns less experienced administrator to
work temporarily as an assistant to more experienced administrator. This learning program
involves the implication that experienced administrator will create a condition whereby the
assistant acquire knowledge and skill needed for effective performance of the world of managing.
It is also a means through which organizations develop employees' managerial skills to provide a
pool of competent administrators to meet future needs.

Career Development
Definition
A career is a sequence of positions, jobs, and/or occupations that one person engages in during
his/her working life (Cascio, 1978).
Career development is the personnel activity which helps individuals plan their future careers
within the organization, in order to help the organization achieve its objectives and the employee
achieve maximum self-development (Glueck, 1978).

Everyone aspires a better life in society. So do employees in an organization. Employees often

ask questions like:
¨ How do we advance our career?
¨ What are the bases for promotion?
¨ Do organization human resource development programs enable our chances for
promotion?
¨ Do we have a job security?
¨ Why have not our organization given us career counseling?

The answer to the above questions enable to identify the actions required to further one's career.
Based on staffing need, organization can facilitate the career planning process and help answer
employees questions about career progress within the organization. This being as it is, ultimate
responsibility for career development and planning rests on employees' shoulder. As Werther &
Davis (1996) observed:
The principal aim of career development programs has been to help employees analyze
their abilities and interests to better match personnel needs for growth and development
with the needs of the organization. In addition, career development is a critical tool
through which management can increase productivity, improve employee attitudes
toward work, and develop greater worker satisfaction.

When organization encourage career planning, employees will try to identify their career
objectives and determine what they need to do to achieve them. Hence, the career objectives may
motivate employee to pursue further education, training and development activities. This, in turn,
will provide the organization internal pool of qualified personnel for promotion.

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From employees stand point, organization should be fair in matching its aspirations and abilities
with its needs. What other things do employees want? According to Werther & Davis (1996), a
study of one group of employees revealed the following factors:
- Career equity
Employees want equity in promotion system with respect to opportunities for career
advancement.
- Supervisory concern
Employees want their supervisors to play an active role in career development and provide
timely feedback on performance.
- Awareness of opportunities
Employees want knowledge of opportunities for career advancement.
- Employment interest
Employees need different amounts of information and have different degrees of interest in
career advancement, depending on a variety of factors.
- Career Satisfaction
Employees, depending on their age and occupation, have different levels of career
satisfaction.

Values of Career Development

Why should organization design a career development program? With regard to effective career
development program four positive results can be offered. These are:
- Aligns strategy and internal staffing requirements.
By assisting employees with career planning, organizations can better prepare them for job
openings identified in the human resource plan.
- Develops promotable employees
Career planning helps develop internal supplies of promotable talent to meet job openings
caused by retirement, resignations, and growth.
- Lowers turnover
Increased attention and concern for individual careers may generate more organizational
loyalty and lower employee turnover.
- Taps employee potential
Career planning encourages employees to tap more of their potential abilities because they
have specific career goals.
- Further personal growth
Career plans and goals motivate employees to grow and develop.
- Satisfies employee needs
With improved growth opportunities, an individual's esteem needs, such as recognition and
accomplishment, are more readily satisfied. (Werther & Davis, 1996)

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Review and Discussion Questions:
1. Define
 education
 employee training
 management development
2. Distinguish between training and development and give examples of each.
3. What are the major purposes of training and development?
4. Identify and describe the three ways of conducting human resource development need
analysis.
5. Name the learning principles and describe the advantage of each principle.
6. What is the difference between simulation and information presentation methods?
7. Describe the major conditions that management needs to consider in the implementation of
human resource development programs.
8. What methods are used in management development?
9. Discuss the measurement criteria used in evaluating training and development programs
effectiveness.
10. Distinguish between on-the-job training and off-the-job training.
11. Briefly discuss the various types management development program.
12. What are the general purposes of job rotation?
13. What is career development?
14. Why is career development program necessary in an organization?
15. Discuss the reasons as why management consider training and development as a strategic
investment.

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