CHAPTER FOUR

TRAINING
&
DEVELOPMENT

1
 HUMAN RESOURCE DEVELOPMENT (HRD)
CONCEPT
 Human resource development is about two things:

1. Training: helping employees do their present jobs.

2. Development: helping employees handle future
responsibilities.
Training
 Seeks to improve ability to perform present jobs.
 Skills-oriented generally given to operative employees
Development
 Seeks to improve experience to handle future
challenges and responsibilities.
 Education-oriented, given to managerial employees
who supervise the activities of others. 2
 DISTINCTION BETWEEN TRAINING &
DEVELOPMENT
Training Development
1. Focus present jobs; task 1. Focus on future
oriented responsibilities; growth
oriented.
2. Short-term periodic
process. 2. Long-term on-going process.
3. Target is operative 3. Target is managerial
employees employees
4. Confined to hands-on 4. Develops conceptual, inter-
skills and knowledge personal, technical and
decision-making skills
5. Remedial effort. 3
5. Develop employee potential
capable of achieving.
TRAINING
Enhances capabilities required to improve
performance in the present job.
Involves positive changes in knowledge,
skills and attitudes of employees to increase
their efficiency and effectiveness on the
job.
Serves as a balancing factor between
employee capabilities and job requirements.
4
BENEFITS OF TRAINING
Improves job knowledge, skills and
attitudes;
Aids in increasing productivity and quality
of work.
Increase employee morale; labor turnover is
reduced
Job satisfaction is increased.
Improves labor-management relations
Helps keep costs down; materials and
equipment are properly utilized; 5

Improves organizational climate.

BASIC LEARNING PRINCIPLES
 Learning Principles are guidelines to the ways
in which people learn most effectively.
Participation: Learning usually is quicker
and longer-lasting when the learner
participates actively.
Repetition: Repetition apparently etches a
pattern into one's memory.
Relevance: Learning is helped when the
material to be learned is meaningful.
6
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.
Feedback: Feedback gives
information on their progress.
7
 TRAINING PROCESS

Determine Specify Determine Select Develop Conduct

Training training Curriculu Trainees/ Training Training
Needs Objectives m/Methods Trainers Budget Program

Evaluation and
Feedback

8
 CONT’D

TRAINING AND DEVELOPMENT NEED MODEL

Job Employee Training

Requireme Minu Capabiliti Equa /Developme
nts s es ls nt
(-) (=) Needs

9
 CONT’D

Training & development need exists at

three levels:

A. Organizational level

B. Task level

C. Individual level
10
 CONT’D
A. Organizational Level
 The assessment of need at this level is done to
determine the problem areas where T&D is
needed.
 T&D needs at organizational level can be
created by:
Projected growth and development,
Changes in environment, objectives,
structure, technology
Changes in products and productivity, and
High absenteeism, turnover, reject rate, 11

accidents
 CONT’D
B.Task Level
 The knowledge, skills & attitudes
required to perform jobs are the focus of
needs analysis at the task level.
 T&D needs at task level can be created
by:
Job redesign
Changes in work methods and
procedures, and
Upgrading of job functions e.g. 12

computerization in office
 CONT’D
C.Individual Level
 Assessing present deficiencies in specific
skills, knowledge and attitudes.
 Important for assessing needs because
individual employees are the targets for
development
 T&D need at individual level can be
created by:
Job descriptions and job specifications,
and 13
Skill deficiencies on the job.
TRAINING OR DEVELOPMENT NEEDS
INDICATORS
 Organizational Plans: changes in goals,
programs, structure, technology, people,
products, markets and productivity.
 Employee Records: high rates of staff turnover,
absenteeism, accidents, low performance.
 Work and Work flow: changes in work methods
and procedure.
 Employee Factors: deficiencies in competences,
low morale.
Selection, transfer, promotion of employees 14
TRAINING METHODS
A. On-the-job Training Methods
 Involves "learning while working". Training takes
place on the job.
 Places employees in the context of real work
situation.
 Learning by doing under the supervision of an
experienced employee.
 The methods available for on-the-job training are:

 Apprenticeship Training
 Internship Training
15
 Job Instruction Training
 CONT’D
 Apprenticeship Training
Employees learn by working with those
already skilled in their jobs.
 Internship Training

The goal is to combine practical experience

with classroom-oriented theoretical
knowledge.
 Job Instruction Training

A systematic approach to on-the-job training

to teach new task. 16
 CONT’D
B. Off-the-job Training Methods
The training takes place outside the work
situation.
Mostly classroom-based.
The trainees focus on learning experience.
Removed from the stresses and demands of
workplace.
Some methods used for off-the-job training are:
Lecture/ conference
Simulation exercises 17
WHAT IS MANAGEMENT
DEVELOPMENT?
A systematic process of improving managerial
effectiveness by imparting:
Knowledge,


Increasing skills and



Changing attitudes.


 Preparesthe management team to handle future

responsibilities.
more concerned with education than training
18
focuses on the employee’s personal growth
 CONT’D

 Given to managerial employees who supervise

the activities of others.
 Develops managerial potential by increasing
conceptual, interpersonal and decision-making
skills.
Future-oriented

Target is managers
19
 BENEFITS OF MANAGEMENT
DEVELOPMENT
1. Increase capability: managers acquire
capabilities to face challenges
2. Enhance effectiveness: Managerial
performance improves through increased
conceptual, human and technical skills.
3. Foster teamwork: development programs
improve managerial communication,
which fosters teamwork.
20
 CONT’D
4. Facilitate Environmental Adaptation: It equips
managers to be proactive and to respond to changing
environmental forces.
5. Improved Decision Making: It improves decision-
making capabilities and creative thinking.
6. Managerial Succession: Managers with potential are
identified for development to assume greater
responsibilities in future.
7. Job Satisfaction: it aids job satisfaction to managers
by changing their attitudes and behavior towards
jobs. 21
 CRITERIA FOR EVALUATING TRAINING
EFFECTIVENESS
 Reaction criteria
Concerned with the feelings of trainees to the
training content, process, methods, etc..
 Learning criteria
Concerned with knowledge, skills and
attitudes acquired through the training
experience.
 Behavior criteria
Concerned with changes in job behavior that
result after the training 22
 CONT’D
Results criteria
Concerned with measurable results or
improvements in organizational
performance.
The indicators may be
higher productivity,
better quality,
lower turnover/absenteeism/ accidents 23
THANK YOU
24
 CHAPTER FIVE

PERFORMANCE EVALUATION
&
MANAGEMENT

25
INTRODUCTION
Performance management is:
The process by which executives, managers, and
supervisors work to align employee performance
with the firm’s goals
An effective performance management
process:
Has a precise definition of excellent performance
Uses measurements of performance
Provides feedback to employees
Performance evaluation determines the extent to
which an employee performs work efficiently
 CONT’D
Many organizations have two evaluation
systems: formal and informal
 Thinking about how well employees are doing is
an informal system.
 A formal system is set up by the organization to
regularly and systematically evaluate employee
performance
Politicaland interpersonal processes influence
the informal system
 Employees who are liked better have an
advantage
PERFORMANCE EVALUATION AND THE LAW

Recommendations for a legally defensible

appraisal system include:
Procedures must not differ because of
race, sex, national origin, religion, or age
Use objective, uncontaminated data
A formal system of review or appeal
should be available for disagreement over
appraisals
 CONT’D
 Performance data should be empirically
validated
 Communicate specific performance
standards
 Provide raters with written instructions
 Evaluate employees on specific work
dimensions rather than an overall or global
measure
 Require behavioural documentation for
extreme ratings
 PROCESS OF PERFORMANCE
EVALUATION
 Theability to provide accurate, reliable performance
data is enhanced if a systematic process is followed:
 Step 1: Establish performance standards for each
position and the criteria for evaluation (job analysis)
 Step 2: Establish performance evaluation policies on
when to rate, how often to rate, and who should rate
 Step 3: Have ratters gather data on employees’
performance.
 Step 4: Have ratters evaluate employees’
performance.
 Step 5: Discuss the evaluation with the employee.
 Step 6: Make decisions and file the evaluation.
ESTABLISH CRITERIA
The dimensions of performance upon
which an employee is evaluated are called
the criteria of evaluation.
 Examples: quality, quantity, and cost of work
A major problem with many evaluation
systems:
They require supervisors to make person
evaluations rather than performance
evaluations.
 CONT’D
 An effective criterion should possess the
following characteristics:
Reliability
Relevance
Sensitivity
Practicality

 Multiplecriteria are necessary to measure

performance completely:
One must evaluate both activities and results.
Management must weigh these criteria.
 WHO EVALUATES, WHEN, AND HOW OFTEN?
 Most organizations evaluate on an annual basis.
 Performance evaluations are often scheduled for
arbitrary dates, such as the date of hire.
 Alternatively, all employees may be evaluated on or
near a single calendar date.
 It makes more sense to schedule the evaluation after
a task cycle.
 For those without a task cycle based on dates, goals
should be established that allow a beginning and
end
 The evaluation can be at the end of the task cycle.
SELECTED EVALUATION TECHNIQUES

Ways of evaluating employees can

generally be divided into two
categories:
 Methods that evaluate employees
individually
 Multiple-person evaluations
In a multiple-person evaluation:
 the
supervisor directly and intentionally
compares the performance of one
employee to that of others
WHO SHOULD EVALUATE THE EMPLOYEE?
 The immediate supervisor conducts most
appraisals
 Other options:
 Rating by a committee of several supervisors
 Rating by the employee’s peers (co-workers)
 Rating by the employee’s subordinates
 Rating by someone outside the immediate work
situation
 Self-evaluation

 Rating by a combination of approaches

360-DEGREE FEEDBACK
 Many organizations now use some form of
360-degree feedback program
Upward and peer feedback can have positive
effects on employees’ behaviour.
These effects are sustainable over time
Almost 90 percent of companies using 360-degree
programs use the information for such decisions as
pay increases and promotions
Introducinga 360-degree system into a culture not
prepared for it can have disastrous effects
37
 Cont’d
Positive features of a 360-degree system:
Multiple perspectives of a person’s
performance
Ratters base evaluations on contact and
observation
Feedback is provided from multiple
directions… above, below, peer
Anonymous upward feedback, which results
in full participation
Learning about weaknesses and strengths is
motivational.
 Cont’d
Negative features of a 360-degree
system:
Feedback from all sources can be
overwhelming
Ratter can hide in a group of ratters and
provide harsh evaluations
Conflicting ratings can be confusing and
frustrating
Providing feedback that is constructive
requires a plan and well-trained ratters
1. INDIVIDUAL EVALUATION METHODS

1. Graphic rating scale

The ratter is presented with a set of traits
The employee is rated on the traits
Ratings are assigned points, which are
then computed
Ratters are often asked to explain each
rating with a sentence or two.
41
42
 Cont’d
2. Forced choice:
Was developed because graphic rating scales allowed
supervisors to rate everyone high.
The ratter must choose from a set of descriptive
statements about employee
Supervisors check the statements that describe the
employee, or
they rank the statements from most to least
descriptive
Forced choice can be used by superiors, peers,
subordinates, or a combination of these.
44
45
 Cont’d
3. Essay Evaluation
The ratter is asked to describe the strong and weak
aspects of the employee’s behaviour
It can be used by superiors, peers, or subordinates
Essay evaluations are flexible.
 an evaluator can specifically address the
ratee’s skill in any area.
Comparing essays is difficult.
 Skilled writers can paint a better picture
 Cont’d
5. Checklists
The checklist is a set of objective or descriptive
statements
If the ratter believes that the employee
possesses a listed trait, the item is
checked
A rating score equals the number of

checks.

Checklists and weighted checklists can be used by superiors,

peers, or subordinates
48
 Cont’d
6. Weighted Checklists
It is the variation of the check list method.
Supervisors and HR specialists prepare a list
of descriptive statements about behaviour
Judges who have observed behaviour on the
job sort the statements into piles rated from
excellent to poor.
When there is agreement on an item, it is
included in the weighted checklist.
The employee’s evaluation is the sum of the

scores (weights) on the items checked.

 Cont’d
7. Behaviourally Anchored Rating Scales
Smith and Kendall developed the
behaviourally anchored rating scale (BARS), or
the behavioural expectation scale (BES).
The BARS approach uses critical incidents to
anchor statements on a scale.
The ratter reads the anchors and places an X at
some point on the scale for the rate.
 Cont’d
A BARS usually contains these features:
Six to 10 performance dimensions identified
and defined by ratters and ratees
The dimensions are anchored with positive
and negative critical incidents
Each ratee is then rated on the dimensions
Ratings are feed back using the terms on the
form

It takes two to four days to construct a BARS that is

jargon free and closely related to the requirements of the job.
52
 Cont’d
10. Management by Objectives (MBO)
The MBO approach emerged from the beliefs
of McGregor, Drucker, and Odiorne
With MBO, managers and subordinates
plan, organize, control, communicate, and
debate
The subordinate has a course to follow and a
target to shoot for.
 Cont’d
 An MBO program follows a systematic process:
Superior/subordinates define tasks and set
objectives
The superior, consulting with subordinates, sets
criteria for assessing objective accomplishment
Superior and subordinates make any required
modifications in the original objectives
A final evaluation by the superior is made
The superior meets with the subordinate in a
counselling, encouraging session
Objectives for the next cycle are set
55
 Cont’d
A central feature of MBO is discussion about
subordinates’ performance, centred on results
Many now find MBO programs too results-oriented
and insufficiently process-oriented
Deming argues that MBO places too much emphasis
on detecting problems, too little on preventing
them
The manager and employee must work cooperatively
to improve the underlying basis for productivity
To do so, managers must be coaches and
counselors, not judges.
 Common Rater Errors
Varying standards: applying different
standards for employees performing similar
jobs.
Recency and Primacy Effects:
Recency Effect: when a rater gives greater
weight to recent events.
Primacy Effect: when a rater gives greater
weight to information received first.
Central tendency Error: when a rater gives
all ratees a score in the middle of the scale.
 CONT…
Leniency error: when ratings of all employees fall at
the high end of the scale.
Strictness error (harshness): when ratings of all
employees fall at the low end of the scale.
Halo effect: when a rater scores an employee high on
all job criteria because of performance in one area.
Contrast error: tendency to rate people relative to
others rather than against performance standards.
Rater bias: when a rater’s prejudices distort the
rating. (stereotyping, similar to me/ different from
me).
END OF CHAPTER FIVE

59