2-1

Implications of Business Strategy for Training

Strategy Emphasis How Achieved Key Issues Training Implications
Concentration Increase market Improve quality Skill currency Team building
share Improve Development of Cross-training
Reduce operating productivity existing work Specialized programs
costs Customize products force Interpersonal skill
Create market niche training
On-the-job training
Internal Growth Market Add distribution Create new jobs Support high-quality
development channels Create new product value
Product Expand global tasks Cultural training
development markets Innovation Conflict negotiation skills
Innovation Create new Manager training in
Joint ventures products feedback and
Joint ownership communication
Technical competence
in jobs

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.

 2-2

Implications of Business Strategy for Training

(continued)
Strategy Emphasis How Achieved Key Issues Training Implications
External Horizontal Acquire firms for Integration Determining capabilities
Growth integration new market access Redundancy of acquired employees
(Acquisition) Vertical integration Acquire firms to Restructuring Integrating training
Concentric supply or buy systems
diversification products Team building
Acquire any firm
Disinvestment Retrenchment Reduce costs Efficiency Motivation
Turnaround Reduce assets Goal setting
Divestiture Generate revenue Stress management
Liquidation Redefine goals Time management
Sell off all assets Leadership training
Outplacement
assistance
Job-search skills
training

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.