Chapter 2

Strategic Training
Copyright 2010 by the McGraw-Hill Companies, I nc. All rights reserved.
McGraw-Hill/I rwin
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Figure 2.2 - The Strategic Training
and Development Process
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The Strategic Training and
Development Process
Mission the company's reason for existing.
Vision the picture of the future that the
company wants to achieve.
Values what the company stands for.
SWOT analysis an analysis of the company's
operating environment to identify opportunities
and threats as well as an internal analysis of the
company's strengths and weaknesses.
The company has to consider its competition.
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The Strategic Training and
Development Process (cont.)
Strategic training and development
initiatives learning-related actions
that a company should take to help it
achieve its business strategy.

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Table 2.2 - Strategic Training and
Development Initiatives and Their Implications
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Table 2.3 - Questions to Ask to Develop
Strategic Training and Development Initiatives
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The Strategic Training and
Development Process (cont.)
Metrics are used to identify:
trainees' satisfaction with the training
program.
whether the trainees' knowledge, skill, ability,
or attitudes changed as a result of program
participation.
whether the program resulted in business-
related outcomes for the company.
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The Strategic Training and
Development Process (cont.)
Balance scorecard means of
performance measurement that provides
managers with a chance to look at the
overall company performance or the
performance of departments or functions
It considers four perspectives: customer,
internal, innovation and learning, and
financial.
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Table 2.6 - The Roles and Duties of Managers in
Companies That Use High-Performance Work
Practices
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Centralized training - training and
development programs, resources, and
professionals are primarily housed in one
location and decisions about training
investment, programs, and delivery
methods are made from that department.
It helps companies better integrate
programs for developing leaders and
managing talent with training and
learning during times of change.
Models of Organizing the Training
Department
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Faculty model
Look a lot like the structure of a college.
Training staff are experts in the areas in
which they train.
The training department's plans are easily
determined by staff expertise.
The training function may not meet the needs
of the organization.
Trainers may be unaware of business
problems or unwilling to adapt materials to fit
a business need.
Models of Organizing the Training
Department (cont.)
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Customer model
Responsible for the training needs of one
division or function of the company.
Training programs are developed more in line
with the particular needs of a business group.
Trainers are expected to be aware of business
needs and to update courses and content to
reflect them.
Involves considerable time, programs may
vary greatly in effectiveness, and design may
be poor.
Models of Organizing the Training
Department (cont.)
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Matrix model
The trainer has the responsibility of being
both a training expert and a functional expert.
It helps ensure that training is linked to the
needs of the business.
Trainer gains expertise in understanding a
specific business function.
Trainers will have more time demands and
conflicts because they report to two
managers.
Models of Organizing the Training
Department (cont.)
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Figure 2.8 - The Corporate
University Model
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The business embedded (BE) model is
characterized by five competencies
strategic direction, product design,
structural versatility, product delivery,
and accountability for result.
It is customer-focused when compared to
the traditional training department.

Models of Organizing the Training
Department (cont.)
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Table 2.8 - Comparison between a Business-
Embedded Training Organization
and a Traditional Training Department
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Marketing the Training Function
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Marketing the Training Function
(cont.)
Companies sell training services for the
following reasons:
Some businesses are so good at a particular
aspect of their operation that other
companies are asking for their expertise.
Other companies aim training at their own
customers or dealers.
In some cases, the training department sells
unused seats in training programs or e-
learning courses.
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Outsourcing the use of an outside
company that takes complete
responsibility and control of some
training or development activities or that
takes over all or most of a company's
training including administration, design,
delivery, and development.
Outsourcing Training
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Outsourcing Training (cont.)
Why companies outsource training:
Cost savings.
Time savings that allow a company to focus
on business strategy.
Improvements in compliance and accuracy in
training mandated to comply with federal,
state, or local rules.
The lack of capability within the company to
meet learning demands.
The desire to access best training practices.
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Outsourcing Training (cont.)
Two reasons companies do not outsource
their training are:
The inability of outsourcing providers to meet
company needs.
Companies' desire to maintain control over all
aspects of training and development,
especially delivery and learning content.
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Table 2.9 - Questions to Ask
When Considering Outsourcing