Unit 3 - Training and Executive Development

Training and Developing Employees

Employee orientation
Employee orientation introduces new employees to the organization and provides the basic
background information they need to perform their jobs satisfactorily.

Induction
Induction or indoctrination is a technique by which a new employee is rehabilitated into his
surroundings and introduced to the practices, policies and purposes of the organization.

Purpose of orienting employees:

To create a favourable impression of the work & the organization
To reduce anxiety and hazing
To develop realistic job expectations
To reduce start up costs
To save time and effort
To improve new worker productivity
To reduce turnover & conflict
To strengthen organization culture
HRD people, immediate supervisors, operating managers are responsible for
orientation.

Content:
Organizational issues
Employee benefits
Introductions
Job duties

Process:
General orientation (by the staff of HR Dept.)
Specific orientation (by the job supervisor)
Follow up orientation (HR Dept. Or supervisor)

The new employee should:

feel welcome
understand the organization in a broad sense
be clear about what the firm expects in terms of work and behavior
begin the process of socialization

Selection vs. Placement

Selection is the decision to accept or reject each applicant based on his performance
by using selection methods. Placement is a decision to place a selected individual in
one job than another. In selection the task is to match people with the positions. In
placement the task is to match positions with people so that each person is assigned
the right position
Socialization is a broad term whereas orientation is a narrow term
Socialization - ongoing process of instilling in all employees the prevailing attitudes,
standards, values, and patterns of behavior that are expected by the organization
and its departments.
Employee Training
It is a planned programme designed to improve performance and to bring about
measurable changes in knowledge, skills, attitude and social behavior of employees
for doing a particular job. It is a learning experience in that it seeks permanent
change in employee that will improve his ability to perform on the job. It is an effort by
the employer to provide opportunities for the employee to acquire job related skills
knowledge and behavior.

Employee Training, development & education

Employee training is job related learning that is provided by employers for their
employees. Education is a broad process covering preschool to college education
which usually occurs outside the organization. Education is concerned with
increasing general knowledge and understanding of the total environment. Training
has more immediate utilitarian purpose than education. An organization can make
use of employee education to support training efforts. Training focuses on present
jobs development focuses on future jobs and on their personal growth.

Need for training and development

To orient new hires to the organization
To improve the current performance of the employee
To prepare employees for future positions
To prepare them for organizational change & restructuring
To increase productivity & improve quality.
To ensure competitiveness in the market place
To improve interpersonal skills and organizational climate

Benefits of employee training and development

To Organization
Leads to improved productivity
Improves job knowledge and skills at all levels
Improves employee morale
Helps create a better corporate image
Improves labour management relations
Aids in improving communication
Aids in organizational development
Promotes effective decision making
Helps employee in adjusting to change

To Employee
Helps him for better decision making
Fosters a sense of recognition, achievement and growth
Aids in encouraging and achieving self development& self confidence
Helps him in handling stress, conflict etc.
Increases job satisfaction
Satisfies the need of trainer and trainee
Develops a sense of growth in learning

The training process

The training process model has three phases:
The assessment phase : the purpose is to determine if there is a performance
deficiency that can be rectified by training
The training phase: the actual training techniques are chosen and the training takes
place
Evaluation phase: trainee s post and pre training phases are compared and
effectiveness is evaluated
The Assessment Phase
The purpose is to determine if there is a performance deficiency that can be rectified
by training
The ultimate aim is to establish what needs exist, whether they are important, how
the needs become apparent, how they were identified, how they may best be
addressed, what the priorities are etc.
The need for training is determined by employee s performance deficiency. It is
computed as: Training. Need = Standard or desired performance- actual
performance

Training Needs Analysis

Organizational analysis: Proposed training
Within the context of the rest of the organization
Task analysis - detailed study of the job to determine what specific skills are required
Individual analysis - verifying that there is a significant performance deficiency and
determining whether that deficiency should be rectified through training

Identifying Training Needs

Performance reviews
Job-related performance data
Attitude surveys
Employee daily diaries
Assessment centers
Observation by supervisors
Interviews with the employee
Tests
Role plays and case studies

Identifying Training Objectives

The final step in the assessment phase is to translate the needs identified by need
analysis into measurable individual objectives that can guide the training process.
The training objectives should state The desired behavior, the conditions under which
it is to occur, the acceptable performance criteria

The training phase

The training program is to be developed after determining the training needs to
achieve the stated objectives. Appropriate training methods have to be selected and
suitable material has to be developed to convey the required knowledge and skills
identified in the objectives.

The learning Curve

Learning always does not progress at the same rate during a training program. It is
usually very fast in the beginning but then plateaus as opportunities for improvement
are reduced. Learning curve is a curve that expresses the learning rate of an
individual. Usually it begins with a sharp rise, and then increases at a decreasing rate
until a plateau is reached.

Training Methods
On the job training (OJT): It is conducted at the work sites and in the context of the
actual work. Most widely used method. it is basically learning by doing while working.
Employee is placed into the real work situations and shown the job & method of work
by experienced employee or supervisor
OJT Methods:
Job instruction training (JIT) - training through step by step learning it consists of
preparation, presentation, performance try out, follow up
Apprenticeship training
Supervisory assistance

OJT- Merits
Transfer of training to the job is maximized
Highly economical as full time trainer & training. Facilities can be avoided
Trainee motivation remains high
Employee is assimilated more quickly into the organization
Trainee receives immediate feedback about performance

OJT- Demerits
It is not appropriate when large number of trainees are to be trained
Learners are subjected to external disturbance
low productivity while employee develops his skills
Trainers may not have experience in training, time, and the lack of motivation

Off the job method

Training offered at locations away from the job is called off the job training. It can be
near the work place, away from work place, at a class room, at a training center, in a
resort. It minimizes the workplace distractions and allows the trainee to devote his full
attention to the training offered. It is appropriate when complex skills are to be
mastered or to focus on specific skills. It may be expensive and transfer of training to
actual job may be low as compared to OJT.

Criteria for Selection of Training Methods

Cost effectiveness
No of trainees
Trainee preferences & capabilities
Trainer preferences
The incorporation of learning principles
Kind of behavior skills to be acquired
Appropriateness of the facilities

Apprenticeship Training
Individuals become skilled workers through a combination of classroom instruction
and on-the-job training

Simulated Training
Learn on the actual or simulated equipment they will use on the job but receive their
training off the job
Necessary when it is too costly or dangerous to train employees on the job
Flight simulators

Audiovisual and Distance Learning Techniques

Tele-training - trainer in a central location can train groups of employees at remote
locations via television hook-ups
Videoconference Distance Learning - a means of joining two or more distant groups
using a combination of audio and visual equipment
The Evaluation Phase
The purpose is to determine the extent to which the training activities have met the
stated objectives. Thus to verify training program s success the training activities
should be evaluated systematically.

Evaluation Levels
Donald Kirkpatrick has developed most widely used four levels of evaluation of training
program.
Level 1:
Reaction: Participants feeling about the program This level evaluates the trainee s
reaction about the program
Level 2:
Learning: Measures the degree the trainees have mastered the concepts,
information, skills that the training intended to impart.
Level 3:
Behavior: on the job behavior of the trainee s behavior rating can be collected from
supervisors, peers, subordinates, clients of the trained employee.
Level 4:
Results: The impact of training program on work group or organization as a whole is
assessed objectively. Sample measures of results include cost saving, profit,
productivity, quality, turnover etc.

Evaluation of design
Apart from the Kirkpatrick s four levels of evaluating training, the three most popular
methods of evaluating training are :
Post training performance method: Participant s performance is measured after
attending a training program to determine if behavioural changes have been made.
Pre post training performance method: Each participant is evaluated prior to training
and rated on actual job performance. After training is completed the employee is re-
evaluated. The increase in performance is attributed to the training program. This
method deals directly with job behavior.

Executive Development Program (EDP)

Executive Development Program

It is a systematic process of training and growth by which managerial personnel gain
and apply skill, knowledge, attitudes and insights into managing the work in their
organization effectively and efficiently.

It is aimed at providing leadership skills they need to do their jobs. The aim is to
enhance future performance of the organization itself.

An activity designed to improve the performance of existing managers and to provide

for a planned growth of managers to meet future organizational requirements. It is
the process by which manager s require not only the skills and competency in their
present jobs but also the capabilities for future managerial task of increasing difficulty
and scope.

Assumptions
It is a continuous and long term process.
It is not like training as a one-shot programme but an on going continuous
programme throughout the career of an executive or manager.
 There always exists a gap between what an executive performs and what he/she
can.

Objectives
To provide adequate leaders.
To develop managers to perform better on their present assignment and prepare
them for higher assignment.
To prevent obsolescence of managers.
To replace elderly executives by highly competent and academically qualified
professionals.
To provide steady source of competent persons at all levels to meet future
organizational needs.
To create conditions and a climate which contribute to the growth process.

Need
Due to change in technology the executive must have the working knowledge of the
use of new technology.
He should have up to date knowledge of the socio- cultural environment to
understand the behaviour of people in right perspective.
To understand an meet the needs of the consumers properly
To satisfy and motivate the workers to contribute to the achievement of
organizational objectives.
To impart knowledge to the managerial personnel in the latest management
concepts, principles, techniques and practices.

Executive development process

Organizational planning &Analysis of organizational needs
Appraisal of present management talent
Management of HR inventory
Planning individual development programmes
Establishing training and development programmes
Evaluating the effectiveness of training and development

Methods
I. On-the-job methods
1. Coaching
2. Understudy assignment
3. Mentoring
4. Job rotation
5. Multiple management
6. Committee Assignment

II. Off-the-job methods

1. Seminars & lectures
2. Conference training
3. Incident method
4. Role playing
5. Sensitivity Training
6. Simulation:
Case Study, In-basket, Management games

I. On-the-job methods
1. Coaching
Coaching is a method which is used in developing managerial thinking process as
well as operative skills
The superior plays the role of the guide and instructor
The coach sets upon some mutually agreed upon goals and tells the trainee what he
wants to be done, suggests how it might be done, follows up suggestions , and
corrects errors
He helps the trainee live up to those goals through periodic reviews of the trainee s
progress and by suggesting modifications in his behaviour where needed
It can be information coaching or formal coaching.

Merits
It requires the least centralized staff co-ordination, for every executive can coach his
men even if no management development programmes exists
Periodic feedback and evaluation are also part of coaching, which yields immediate
benefit to the organisation, to the coach and to the subordinate

Demerits
The coaching technique is authoritarian for, an executive tends to familiarise his
subordinates with his own work habits and beliefs
It heavily relies on the coach s ability to be a good teacher, which he may not
necessarily be
The training atmosphere, free from the worries of the daily duties, is not available
It is learning by doing

2. Job rotation
It represents an excellent method for broadening the manager or potential manager
,for turning specialists into generalists
It refers to the transfer or movement of executives from one job to another and from
one plan to another on some planned basis for educational learning purposes
It is often designed for beginning level managers while planned progression is more
likely to occur at higher managerial levels
The rotation may continue for a period ranging from 6 months to 24 months. It can be
horizontal or vertical.

Merits
It breaks departmental provincialism for everyone is moved from one to another, it
rather develops interdepartmental co-operation Boredom, monotony are reduced
Through this system, a man does not end up in just one place. He gets a chance to
step into a higher position
It makes it possible for the management to compare one man with the other, and
gives everyone an equal chance of advancement
Each manager s abilities and talents are best tested in a variety of jobs, so the
enterprise can secure his best utilisation in the ultimate assignment

Demerits
It upsets family and home life, because many a times transfers are effected to
different geographical areas
It becomes difficult for subordinate to adjust himself to new bosses
Job rotation can demotivate intelligent and aggressive trainees who seek specific
responsibility in their chosen specialty
The system may easily become over- centralised, inflexible and closed

3. Committee Assignment
 It is a technique whereby juniors are assigned to board or committees, by the chief
executive
They are asked to participate in deliberations of these boards and committees
In these sessions, real life actual problems are discussed, different views are
debated and decisions are taken
The juniors get an opportunity to share in managerial decision making, to learn by
watching others and to delve into specific organisational problems

Merits
It gives board members an opportunity to gain knowledge on various issues
It helps identify those who have executive talent
The members gain practical experience of group decision-making and of team work
It is relatively inexpensive method of development
It permits a considerable number of managers to participate in certain activities with a
reasonable period of time

Demerits
It is only suitable for middle and senior level managers
It does not permit any specific attention to training needs of the manager
The debates in these committees often tend to lacking purposiveness or authority.
The deliberations often degenerate into academic discussions without the
participants feeling committed to the conclusions

4. Understudy
An understudy is a person who acts as an assistant to someone else.
He works with the with a mentor i.e manager on daily basis to learn how the job is
done. During manager s absence he will perform non critical activities.
It is also known as assistance to positions method or attachment method .

Disadvantage:
Managers may feel threatened by understudies and may not do a conscientious job
of developing them.

5. Multiple management
It is a method of also called junior board of management is a method of providing
middle management trainees with experience in analyzing company problems by
inviting them to sit on a junior board of directors and make recommendations on
overall company problems. The idea is to give trainees top level analysis by having
them sit on junior board of directors.

2. Off-the-job methods

1. The case study

It is an excellent medium for developing analytical skill
A case is an objective of a real life business situation in which the executives are
required to take actions and are responsible for results
It is rather an effective method for improving decision making abilities within the
constraints of limited information
This method represents a dynamic and powerful

Merits
It distributes knowledge and facts
It improves participants skills in problem analysis approach to learning

2. Incident method
 In this method, group members address questions to the discussion leader
The general trend of questioning is to find out about what, when, where and how of
the situation in which an incident developed, and who was present there at that time
After the collection of data, it is necessary to isolate the most important items for
decision-making

3. Role Playing
Role playing is the concept of creating a more realistic situation, usually one of
human problems and conflicts, and then acting out various parts
The role assuming closely approximate a real situation and affords the participants
the experiences that enhance their sensitivity, growth and development

4. In-Basket Method
In this method, each team of the trainees is given a file of correspondence bearing on
a functional area of management
Each individual studies the file and makes his own recommendations on the situation
Later, the observations of each individual member are compared and conclusions on
different functional areas are reached
These are put in the form of a report

Merits
Decisions are rapid, feedback is objective, and further decisions are based on the
feedback of earlier decisions
Because of emotional environment without any strain, the participants play for hours
with sustained interest
Decision making is by a group which consists of managers and specialists from
different departments. Each member, therefore gets an opportunity to participate
The method is inexpensive and can be organised easily

Demerits
It sometimes discourages originality for teams that have to adopt themselves to rigid
situations
The logical solutions suggested by the team to be abstracted from the compulsions
against which it had to be tackled in actual situation

5. Business or Management Game

Business games are classroom simulations exercises in which teams of individuals
compete against one another or against an environment in order to achieve a given
objective
These games are designed to be representative of real life conditions
An atmosphere is created in which the participants play a dynamic role, and enrich
their skills through involvement and simulated experience
Usually, management games consist of several teams which represent competing
companies.
Each team consists of 2 to 6 members
Business games are intended to teach each trainees how to take management
decisions in an integrated manner
These participants learn by analysing problems and by making trial-and-error-
decisions

Merits
There is usually a great sense of excitement and enjoyment in playing the game
It helps to analyse and select the significant and relevant data from a mass of
information
It helps in changing attitudes
 The participant becomes more tolerant

Demerits
A major problem with games is that they can be very expensive to develop and
implement particularly when the game itself is computerised
Management games usually force decision maker to choose his alternatives from a
closed list
Though games may accurate simulations, they are never totally realistic

6. Sensitivity Training
Sensitivity training is a group experience designed to provide maximum possible
opportunity for the individuals to expose their behaviour, give and receive feedback,
experiment with new behaviour and develop awareness of self and others . In this
method small groups of managers who are generally strangers to each others are
grouped together and assisted by trainer. They discuss themselves, their feelings
and group process. It causes psychological stress and the skill transfer is minimal.

Simulation
It is a training technique which indicates the duplication of the organisational
situations in a learning environment
It is a mock up of a real thing
This technique has been used for developing technical

Procedure
Essential characteristics of a real life organisation or activity is abstracted and
presented as a case
Trainees are asked to assume the various roles in circumstance and to solve the
problem facing them
Trainees are required to make decision that has real effect in simulation and about
which they receive rapid feedback
The simulation is followed by a critique of what went on during the exercise and
interpersonal skills
Reasons for the failure of the EDPs
Non-alignment of EDPs with the challenges, problems and strategies of the
organisation
Non-suitability of programmes designed to create awareness and understanding
among the executives or/and managers
Participation of the executives/managers in the programme by chance not by choice
Non-conducive relations between the superiors and subordinates becomes a
stumbling block in smooth administration of the programme

How to make the EDP successful?

The top management should accept responsibility for getting the development
programme duly executed
The EDP should be properly aligned with the needs of the people and organisation
Every manager should willingly accept the responsibility to develop executives under
his control and direction.
The objectives, coverage and type of EDP should be clearly spelled out before the
commencement of the programme
The EDP should follow a realistic time schedule to develop executives to meet the
present and future needs of the organisation
The EDP should be found interesting by the participants
Lastly, feedback should be made available to the learner/executive so that he/she
knows his/her progress and can take required steps to improve him/her.
Resistance to training
Employees may experience difficulty in learning new skills and knowledge.
They may feel that management may entrust more work and new kinds of work
which would require additional skills and knowledge.
The sessions may disturb the employees from their routine duties. They are expected
to learn more difficult activities and unlearn already practiced skills.
Their state of mind and other psychological factors hinder them in their learning
process.

Knowledge Management

Knowledge
Knowledge is the power or capacity for effective action. The organized data is
information. The processed data in actionable form is referred to as knowledge. It
becomes wisdom when it is used for a good cause of large number of people. But it
is difficult to make distinction among data, information and knowledge as one
person s data is other person s information and another person s knowledge.
Knowledge can be defined as the fact or condition of knowing something with
familiarity gained through experience or association. It refers to ideas or
understanding which an individual possesses and those that are utilized effectively
for goal realization. It is very specific to individual who creates it and interacts with it.
It can also be described as a set of models that describe various properties and
behaviour within a domain or stored in organizational processes, products, facilities,
systems and documents.
Knowledge asset as applied to a business firm means knowledge regarding the
market, products, technologies, and organization that a business owns or needs to
own and which enable its business process to generate profits, value etc.

Sources of knowledge
There are two types of knowledge in any organization. Formal or explicit knowledge
and informal or implicit knowledge.
Formal knowledge is that which is available in notes, manuals, reports, memos etc.
Informal knowledge is that which is gathered and maintained through informal means
which is more crucial as it is in this context that the formal knowledge exists.

Major sources of informal knowledge:

The expert: human expert as he already has the knowledge that is being sought by
virtue of his position he occupies.
The end user: Interviews with the end user enables us to gain an overall view of the
problem domain. The end user sees things from a higher level and is able to consider
many issues.
Multiple experts: Another potential source whereby existing information may be cross
validated is always useful.
Literature: important information may be sourced from documents such as reports,
books, regulations, and guidelines.

Importance of knowledge management

Fosters innovation
Improve customer service
Boost revenue by getting products and services to the market faster
Enhance employee retention by recognizing the value of employee s knowledge and
rewarding them
 Streamlining operations and reducing cost by eliminating redundant or unnecessary
processes.
Improved efficiency
High productivity
Increased revenues

Challenges for KM
Burden of past experience: Employees are not able to process & receive new
knowledge as they have past experience in their mind.
Organizational defensive routines like written & unwritten norms, policies, rules etc.
Tunnel point of view: people tend to look at the problem from their point of view than
system s point of view
Bounded rationality: Both organizations and individuals are bound by their ability to
understand and process complete information available to them. The behaviour act
as a roadblock to generate knowledge in organizations.

KM Process
Beckmans has proposed a 8 stage process for knowledge management.
1. Identify
2. Collect
3. Select
4. Store
5. Share
6. Apply
7. Create
8. Sell

Benefits of KM
Increased productivity
Improved quality of production
Reduced cost
Better coordination in the working of an organization
Improved work environment of organization
Promotes innovations, opens the way for creative thinking
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