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Chapter 10: Training and Development

Introduction (1 of 2)

Changing business environments.

Knowledge is the new lever.

Reasons to train workforce.

Learning organization and organizational learning.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.1: Discuss how training can be used as a source of competitive advantage.

Changing business environments:

The business landscape is changing constantly and a number of factors such as internalization, globalization technological advances, and changing customer expectations of service and quality, information age, and digital revolution are contributing to it.

The ability to generate and share knowledge and innovate continuously determines the ability of a company to survive in this dynamic business environment.

Knowledge is the new lever:

Sustainable economic growth in today’s knowledge economy is feasible only through investments in knowledge resources, innovation and organizational competencies, collectively referred to as knowledge-based capital (KBC).

Knowledge is generated by the human capital of an organization that has been considered an important source of competitive advantage.

This makes learning, training, and development (LT&D) of employees an important area of focus for long-term competitiveness and adaptability.

Also, organizations must be able to learn faster than their peers in order to stay competitive for a long time.

Reasons to train the workforce in an organization:

Organizations train their workforce to stay ahead of competition and to help employees to cope up with daily workloads.

T&D can mitigate the chances of future skill shortages and aid in talent management.

Employees tend to place greater emphasis on career prospects and career development and to satisfy their needs, organizations train and develop them.

Learning organization and organizational learning:

While the terms are used interchangeably, the learning organization can be considered as the ultimate state in which organizational learning happens continually and the organization is able to transform itself to suit the changing needs of the business environment.

However, not many firms have achieved this state.

Introduction (2 of 2)

Performance and talent management.

The role of Human Resource Information Systems (HRIS) in T&D.

Systems model of training and development.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.1: Discuss how training can be used as a source of competitive advantage.

Performance and talent management:

A learning organization implies that organizational learning is linked to individual LT&D and the idea that learning and development is a continuous process.

Employees at all levels must commit to learning, thus making T&D activities closely linked to performance management and talent management.

Role of Human Resource Information Systems (HRIS) in T&D:

The strategic importance of T&D activities are reflected through the use of HRIS in collection, analysis and storage of relevant information.

The information is stored in special modules such as specialist talent management modules or T&D modules.

Systems model of training and development: Involves four stages: identifying T&D needs, designing T&D solutions, implementing T&D, and evaluating T&D

Training and Development: Strategic Implications and Learning Organizations (1 of 19)

Key terms associated with T &D.

Differentiating key concepts.

Conditions in which adults learn best.

Learning is the basis of T&D. .

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.2: Differentiate between training and development (T&D).

Key terms associated with T&D:

Education: Part of formal program of study and is aimed at developing general knowledge, understanding and moral values.

Training: Planned acquisition of knowledge, skills and abilities (KSAs) to perform a specific job.

Development: A continuous process that ensures employees in an organization possess the KSAs for all future roles in the organization.

Learning: It is the process assimilating new knowledge and skills that ultimately leads to permanent changes in behavior.

Difference between development and training:

Development focuses on the long-term, continuous changes in the potential of an individual.

Training, ion the other hand, focuses on immediate job development.

Adult learning differs from children and adolescents in manner and motivation.

Conditions in which adults learn best:

Adults understand their need to learn a new skill or concept and more actively involved in the learning activity.

Learning is problem centered.

They are able to connect new learning to the experience and knowledge they already hold.

They believe learning a new activity is immediately relevant to their job.

They learn better when they are internally motivated.

Learning is the basis of T&D:

The outcomes of learning which includes skills, competencies, know-how or tacit knowledge, and higher-level cognitive and other skills form the basis of T&D.

Skills impact the performance of an individual at a job directly.

Competencies include KSAs and other relevant characteristics of an individual.

The knowledge of employees is the tacit element of an organization that is linked with productive application of information.

Training and Development: Strategic Implications and Learning Organizations (2 of 19)

Knowledge management in organizations.

The role of human resources (HR) department

The three-level model of organizational learning.

Senge’s interrelated disciplines.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.3: Understand how training and development affect both learning and motivation

Knowledge management (KM) in organizations:

Knowledge-intensive organizations are those which depend on knowledge creation and knowledge sharing.

KM consists of five activities – acquisition, documentation, transfer, creation, and application of knowledge.

An organization that promotes learning, is more likely to transform itself into a knowledge organization.

KM consequently promotes interaction between human capital and information and communication technology (ICT).

The role of human resources (HR) department:

The HR department plays a significant role in detect the amount of tacit knowledge present within the organization. It also measures how aligned the knowledge is to the long-term goals of the organization.

When gaps are detected, the HR department compensates through recruitment, socialization, and T&D initiatives.

The three-level model of organizational learning:

Organizational learning refers to the combined learning of everybody in the organization.

The three-level model of organizational learning suggested by Argyris and Schon consists of single-loop, double-loop, and triple-loop learning.

Single loop learning focuses on the deviations in performance from organizational policies and procedures.

Double loop learning questions organizational policies and procedures.

Triple loop challenges the organization’s rationale with the aim to transform is completely.

Senge’s interrelated disciplines:

Peter Senge’s book on learning organization highlights five interrelated disciplines that an organization should inculcate among its employees to enhance learning and success.

Personal mastery: Growth and learning of the individual.

Mental models: Deep-rooted assumptions that impact employee’s perceptions about people, situations, and organizations.

Shared visions: Shared view of the future.

Team learning: Move from individual to team learning.

Systems thinking: Also referred to as Fifth discipline, this factor connects the previous disciplines

Training and Development: Strategic Implications and Learning Organizations (3 of 19)

Learning culture and transfer of learning.

Role of HRIS in organizational learning.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.3: Understand how training and development affect both learning and motivation

Learning culture and transfer of learning:

Learning culture is the key to organizational learning, training, and development.

Transfer of training is more likely in an organization where shared values and norms espouse successful LT&D and where there is more encouragement for information sharing.

Training and development issues are considered successful only when training transfer has happened and has induced a permanent change.

Role of HRIS in organizational learning:

HRIS promotes organizational learning by providing a mechanism to assess, measure, facilitate, manage, and record systematically the LT&D of each employee and thus the entire organization.

They also help organizations to feed training records into the performance records of individuals.

Training and Development: Strategic Implications and Learning Organizations (4 of 19)

Systems Model of Training and Development

Four connected steps.

Simple and clear.

Criticism.

Wide array of applications.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

Four connected steps:

While literature is packed with several approaches to training and development, the systems (or systematic) approach remains the most frequently used one.

The model consists of four connected steps that are placed in a cyclic fashion and this implies that both training and development are ongoing activities.

Simple and clear:

The simple and clear structure of the systems model makes it an ideal choice in the context of HRIS applications.

The model is also used for allocation of resources throughout the T&D process.

Criticism: The systems model has been criticized thus far for its simplicity, the exclusion of individual differences among the learners and the fact that it is a closed system.

Wide array of applications:

Despite criticism, the approach is used in various applications such as the development of national training standards.

In fact, many IT-based T&D applications are designed based on the system model of training and development.

Training and Development: Strategic Implications and Learning Organizations (5 of 19)

Systems Model of Training and Development: Step One: Identifying T&D Needs

The training needs analysis.

Determination of training needs.

Training needs data.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

The training needs analysis (TNA):

The first step in the systems model would be to identify the actual learning and development needs of the employees.

This is done through TNA. TNA, apart from filling the T&D gaps, also prioritizes T&D objectives and initiatives and assesses the validity of initiatives.

Determination of training needs:

To determine the training needs of the workforce, TNA looks at three distinct levels.

To start with, the needs at an organizational level are determined to be prepared for the long-term, strategic objectives.

Following this, the training needs at the job level (job-specific KSAs) and personal level (required competencies) are determined.

Training needs data:

Since TNA is comprehensive and delves into every important detail, the data used for the analysis must be timely and accurate.

For this reason, organizations use the HRIS (some use specialist T&D software) to collect and store data from various sources at the organizational, job and personal levels.

If the results of the TNA show a considerable gap between existing and desired KSAs, external hiring is done, with the help of relevant skilled personnel and demographic data.

Training and Development: Strategic Implications and Learning Organizations (6 of 19)

Systems Model of Training and Development: Step Two: Developing T&D Initiatives

Choice of T&D models.

Individual learning styles and consistency.

On the job and off the job training.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

Choice of T&D models:

With increased access to ICT and mobile technologies, organizations have further increased their choice of T&D methods to fulfill the three levels of needs identified during the first phase.

It is important to understand that the T&D designs influence the effectiveness of individual learning and therefore it is important to choose the most appropriate methods of T&D.

And for an individual learning activity to be considered successful, the content, mode of delivery (media) and method used to facilitate the learning must achieve a “best-fit” between them.

Individual learning styles and consistency:

Every individual has a preferred learning style and this must be taken into account while designing the training event for learning transfer.

Honey and Mumford developed four preferred learning styles—activist, reflector, theorist, and pragmatist and additionally there is the VARK framework which proposes four different learning styles - visual, aural, read/write, and kinesthetic.

Internal and external consistency must also be focused while designing T&D models in a regulated learning environment.

To achieve internal consistency, learning interventions must be mutually supportive and for external consistency, T&D activities must be aligned with external regulations and industry best practices.

Best-fit learning event model: A model that includes the conditions for a successful learning event.

On the job and off the job training:

Generally, T&D methods can be classified into on the job and off the job training methods.

On the job training methods (like job rotation, apprenticeship, mentoring and so on) can be informal, structured or unstructured, inexpensive and they involve peer observation.

Off the job training methods (like business games, simulation, case study and so on) offer greater access to expert knowledge (knowledge transfer is not encouraged, however) and they are time-consuming.

Training and Development: Strategic Implications and Learning Organizations (7 of 19)

Systems Model of Training and Development: Step Two: Developing T&D Initiatives

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

Figure 10.2: Best-Fit Learning Event Model.

Training and Development: Strategic Implications and Learning Organizations (8 of 19)

Systems Model of Training and Development: E Learning

Learning activity facilitated by electronic means.

Organizational preparedness.

Web 1.0, Web 2.0, and Web 3.0.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

E-learning: Any learning activity that is facilitated using electronic means.

Organizational preparedness:

As the use of mobile devices is increasing, traditional methods of learning are being widely replaced with e-learning forms like virtual classrooms, social media and so on.

However, the ability of organization to embrace e-learning and use the technology to capitalize opportunities is still lagging behind.

Web 1.0, Web 2.0, and Web 3.0:

Technologies that can be capitalized on by using e-learning initiatives are categorized into Web 1.0, Web 2.0, and Web 3.0.

Web 1.0 is the first-generation web that includes elements like DVDs, CD-ROMs, web pages and so on.

Web 2.0 includes web-based file sharing, social media websites, blogs, emails and so on.

Web 3.0 is the “intelligent web” that focuses on contemporary factors such as cloud computing, SaaS, mobile devices and is often associated with mobile learning.

Training and Development: Strategic Implications and Learning Organizations (9 of 19)

Systems Model of Training and Development: E Learning

E Learning methods.

Digital collaboration.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

E learning methods:

On an increasing order of complexity, the popular e learning methods can be listed as Computer-based learning, Multimedia-based training, Distance learning, Open learning, Open distance learning, Virtual learning environment (virtual classrooms), Web/Internet-based learning and mobile learning.

However, the most complex or advanced method of e-learning cannot be the best choice for every learning situation as the key here is to choose the one with the “best fit”.

Also, some methods like computer-based training have become quickly obsolete and more weightage is placed on technologies (Web 2.0 and Web 3.0) that allow social learning and greater interaction among learners and with the media.

Digital collaboration:

Digital collaboration is essential for the effectiveness of virtual teams and also aids in increased learning and learning transfer among learners.

Collaborative technologies can be intranet-based or internet-based.

Intranet-based collaborative technologies such as Slack, Basecamp, Trello aid companies in tracking, sharing, and organizing information within the organization. This includes tools such as e-mail, calendar management, web conferencing and so on.

Internet-based collaborative technology (Web 2.0) or social networking technology enables faster, more flexible and more responsive peer-to-peer learning than any other formal training methods.

Collaborative technologies can be synchronous (real-time” or live communication using tools such as messenger services or videoconferencing) or asynchronous (communication is delayed, and learners access the learning spaces at their own convenience.).

Virtual learning environments, videoconferencing, messenger services are some common examples of synchronous learning (facilitated through smartphones and mobile apps).

E-mail, discussion forums, self-paced learning, and threaded discussion are some forms of asynchronous learning. This approach is best suited for geographically dispersed learners.

Training and Development: Strategic Implications and Learning Organizations (10 of 19)

Systems Model of Training and Development: E Learning

Table 10.4: e-Learning Communication Typology

Synchronous	Virtual learning environments (VLEs); Instant messaging/texting services Audio- and videoconferencing; Digital chat rooms Shared whiteboard applications; Application sharing
Asynchronous	E-mail; Discussion forums or blogs Threaded discussions; Self-paced learning

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

Table 10.4: e-Learning Communication Typology.

Training and Development: Strategic Implications and Learning Organizations (11 of 19)

Systems Model of Training and Development: E Learning

The blended learning approach.

Rapid e learning (REL).

Advantages and disadvantages.

Guidelines for e-learning methods.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

The blended learning approach:

The combining of e-learning methods with traditional methods is called blended learning.

This hybrid approach to learning combines the advantages of both methods to maximize learning transfer in a given situation.

To get the best out of a blended learning environment, students must possess higher self-efficacy and a more internal locus of control.

Experts suggest that a ‘multi-modal approach to learning’ facilitated by technological advancements rather than traditional blended learning approaches will prove to be more successful.

Rapid e-learning (REL):

REL, also referred to as just-in-time learning solutions, is the practice of using limited resources, in short intervals of time to produce large amounts of content to be delivered in real time to a large number of people.

Companies use this approach to cope up with the rapidly changing information needs of the marketplace.

Advantages and disadvantages:

The key advantage of e-learning is the flexibility it offers. However, there are other advantages too and some of them are cost-efficiency, higher control, consistency, unlimited access, real-time feedback, more interactive and so on.

Most people complain about the lack of human contact and technological issues while using e-learning tools. Few others also fret about privacy concerns, unsuitability for certain forms of content and for smaller organizations, the need for computer skills, lack of focus on learner-centred approach and so on.

Guidelines for e-learning methods:

Based on their research, De Rouin, and Littrell suggest some guidelines for designing e-learning packages for distance learning as well as other e-learning methods.

E-learning is meant for organizations that have the real for them.

E-learning must be preceded by computer skills training.

Consider human cognitive processes.

Use multimedia and learning games.

Use blended learning and more interaction for increased engagement.

More control and guidance to be offered to trainees.

Training and Development: Strategic Implications and Learning Organizations (12 of 19)

Systems Model of Training and Development: E Learning

Web 1.0-Based e-Learning Methods.

CBT, CMI, CAI, and CBL.

Multimedia-based training (MBT).

Distance learning (or education)

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

Computer-based training (CBT) or technology-based training, computer-managed instruction (CMI), computer-aided (assisted) instruction (CAI), computer-based learning (CBL):

Interactive training experience using a stand-alone computer, when no collaboration and access to external resources is necessary;

Media used include CD-ROMs, DVDs, interactive video.

Multimedia-based training (MBT):

Training experience that combines text, colors, graphics, audio, and video to engage the learner;

MBT can range from a simple graphical presentation of text to a complex flight simulation.

Distance learning (or education):

Learner and tutor are in different locations;

The approach uses both synchronous and asynchronous communication;

The course provider usually provides online support and supplies students with a course pack, including printed and audiovisual materials;

Courses follow a predetermined curriculum and schedule.

Training and Development: Strategic Implications and Learning Organizations (13 of 19)

Systems Model of Training and Development: E Learning

Web 1.0-Based e-Learning Methods.

Open learning (or education).

Open distance learning (ODL).

Virtual learning environment (VLE) or virtual classroom.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

Open learning (or education):

Learner has complete control over how, what, when, where, and at what pace learning occurs;

Any type and combination of media may be used.

Open distance learning (ODL): Umbrella term that covers both open and distance learning.

Virtual learning environment (VLE) or virtual classroom: Online environment in which learning takes place.

Training and Development: Strategic Implications and Learning Organizations (14 of 19)

Systems Model of Training and Development: E Learning

Web 1.0-Based e-Learning Methods.

WBT and IBT.

Mobile learning.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training

Web-based training (WBT) or online learning (or education), Internet-based training (IBT): Any training and learning that takes place online, that is, via the World Wide Web.

Mobile learning: Any T&D offering that involves mobile technologies; mobile technologies include notebooks, tablets, smartphones, MP3 players.

Training and Development: Strategic Implications and Learning Organizations (15 of 19)

Systems Model of Training and Development: Step Three: Implementing T&D

Linked to the design stage.

A smooth implementation phase.

Training transfer.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.4: Explain the steps in a systems model of training.

Linked to the design stage:

The third phase of the system model which is implementation of T&D is often combined with the previous design stage because issues and factors that may arise during the implementation phase should be anticipated at the design stage itself.

For instance, if a company wanted e-learning for its workforce, then access to the resources must be ensured beforehand.

A smooth implementation phase:

For the implementation phase to be problem-free, organizations must ensure that the implementation plan addresses the resources required, chosen method of training, people in charge of the training and the period within which the training must occur.

The implementation phase is considered successful only if transfer of learning has occurred.

Training transfer:

Training transfer or learning transfer occurs when there is continuous application of the KSA that was acquired during the training exercise.

Transfer of training can be classified as,

Near versus far.

Specific versus general.

Positive versus negative.

Lateral versus vertical.

Training transfer is based on variables that can be summarized into five headings: Trainee characteristics, Training design, Work environment, learning and retention and Generalization and maintenance.

Only if the trainee possesses the necessary characteristics the training design and workplace environment foster learning transfer and the trainee is given ample opportunity to apply the training will learning and retention take place.

Training and Development: Strategic Implications and Learning Organizations (16 of 19)

Systems Model of Training and Development: Step Four: Evaluating T&D

The process of evaluation.

The purpose of evaluation.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.8: Discuss the critical importance of the evaluation of training.

The process of evaluation:

Evaluation of T&D efforts must be carried out in alignment with other preceding phases and the entire process must be viewed in a cyclic fashion.

The process begins with needs analysis, during which the training needs are converted into measurable learning outcomes.

By using an appropriate evaluation strategy, the initiatives are evaluated and the results are analyzed and incorporated back into system as reference for future training initiatives.

The HRIS is an important part of the process as it holds a vast amount of data to support future T&D decisions.

The purpose of evaluation:

Evaluation is done for a reason and its purposes are manifold. The primary one can be summarized as follows:

Summative: Establishes if the T&D initiative was quantitatively effective and efficient.

Formative: Assesses if T&D can be improved qualitatively.

Learning: Determines if learning transfer has occurred completely.

Power and politics: A subjective parameter that addresses the interests of specific stakeholders within the organization.

Training and Development: Strategic Implications and Learning Organizations (17 of 19)

Systems Model of Training and Development: Step four: Evaluating T&D

Factors to be evaluated.

Training evaluation models.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.8: Discuss the critical importance of the evaluation of training.

Factors to be evaluated: The criteria chosen for evaluation must be based on training objectives and must also be relevant, unbiased, reliable and practical.

Training evaluation models:

Many evaluation models have been suggested by experts and these various models have significant overlaps between them.

The most commonly used model that evaluates individual outcomes of training programs have been identified as falling within Bloom’s taxonomy of learning domains (cognitive, psychomotor, and affective).

With any evaluation model, the key is to assess not just the individual and organizational outcomes but to determine the return on investment (ROI) on the training expenditure too.

Training and Development: Strategic Implications and Learning Organizations (18 of 19)

Systems Model of Training and Development: Step four: Evaluating T&D

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.8: Discuss the critical importance of the evaluation of training.

Figure 10.3: The Evaluation Process.

Source: Developed from Noe (2002).

Training and Development: Strategic Implications and Learning Organizations (19 of 19)

Success Factors in e-Learning

Johnson’s model of learning effectiveness.

Effects of trainee characteristics on learner outcomes.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.8: Discuss the critical importance of the evaluation of training

Johnson’s model of learning effectiveness:

Johnson and Brown proposed a model of learning effectiveness that included factors aligned to three important training outcomes such as learner satisfaction, actual learning, and transfer of learning to job performance.

These factors include, organizational context, technology, learning design, and the characteristics of the instructor and trainees.

With respect to organizational context, organizational support (the resources available to employees to pursue e-learning activities) and learning climate (individual perceptions of the overall environment related to e-learning) are the two main areas of focus.

When it comes to technology, its reliability, its perceived usefulness and ease of use, and media richness influence the success rate of learning effectiveness.

Design factors such as training complexity (the level of information load, diversity, change, and interconnectedness required of learning tasks), learner control (the level of control trainees have over pace, content, and structure of the training itself) and training guidance (advice on how best to navigate and use e-learning tools) can improve trainee outcomes.

In the context of characteristics of the instructor and trainees, the confidence level of instructors and their level of engagement with trainee play a vital role. Student characteristics vary with attitude, experience, demographics and so on.

Effects of trainee characteristics on learner outcomes:

The characteristics of trainees affect learning outcomes in a traditional as well as in an e-learning setup. While some characteristics may apply to both environments, some may not.

For instance, computer self-efficacy holds no relevance in the traditional learning setup. However, in an e-learning initiative, it is generally considered as a positive factor.

Some common trainee characteristics that influence e-learning are age, locus of control, conscientiousness, computer anxiety, motivation to learn, learning goal orientation and previous e-learning experience.

Of these factors, computer anxiety and previous experience in e-learning alone do not apply to traditional learning environments.

Training Metrics and Cost-Benefit Analysis (1 of 2)

Measuring costs and benefits.

The return on investment (ROI) methodology.

The role of HRIS.

Johnson, Training and Development, Fifth Edition. © SAGE Publications, 2021

Satisfies Learning Objective 10.7: Understand both the costs and the benefits metrics associated with training

Measuring costs and benefits:

Cost of training is substantial and can be both direct and indirect. Direct cost refers to loss of production due to absence of trainees from work and this loss is often taken care by e-learning initiatives that allow trainees to learn outside of work too.

On the other hand, benefits are much more difficult to be determined, as training efforts take time to reach fruition and some benefits are almost impossible to be isolated and they are sometimes intangible too. Nevertheless, it is very important that organizations measure them.

Organizations use different approaches to ascertain benefits even though the evaluation process is a political activity that ought to be purposeful and happens in a rather complex environment.

The ROI methodology:

The ROI methodology based on Kirkpatrick’s evaluation taxonomy produces six types of data, reaction, satisfaction and planned action, learning and application, implementation, business impact, ROI and intangibles.

This method also proposes five steps for converting data into monetary values,

1. Determine a single unit of improvement in output, quality, or time.

2. Determine a value for each data unit.

3. Calculate the change in output performance directly attributable to training.

4. Obtain the annual amount of the monetary value of the change in performance.

5. Determine the annual value (the annual performance change times the unit value).

By using these steps and collecting relevant data from sources, organizations can employ several cost-benefit approaches to their learning technology projects.

Some of these cost-benefit approaches include, benefit-cost ratio (BCR), cost-benefit ratio (CBR), payback period and return on investment (ROI).

The role of HRIS:

While calculating the costs and benefits of T&D efforts, the available data and data that is further measured can be a little overwhelming.

A commercial HRIS that can be customized to record, analyze, and report on the training metrics helps the situation effectively.

Training Metrics and Cost-Benefit Analysis (2 of 2)

Table 10.8: Cost-Benefit Approaches

Approach	Explanation
Benefit-cost ratio (BCR)	Monetary benefits of T&D projects Costs of T&D projects
Cost-benefit ratio (CBR)	Costs of T&D projects Monetary benefits of T&D projects
Payback period	Costs of T&D projects Annual savings
Return on investment (ROI)	Monetary benefits of T&D projects Costs of T&D projects

Source: Sadler-Smith (2009).

Satisfies Learning Objective 10.7: Understand both the costs and the benefits metrics associated with training

Table 10.8: Cost-Benefit Approaches.

HRIS Applications in Training (1 of 9)

Greater demands on training applications.

Key characteristics of HRIS information.

Features of an HRIS application.

Elements of electronic T&D database.

Satisfies Learning Objective 10.9: Understand MIS, HRMS, and DSS (see Chapter 1) training applications.

Greater demands on training applications:

In earlier days, training software applications were used primarily for administrative purposes.

However, organizations today expect training applications to be compatible with the existing systems and offer analytical functionality and accessibility to meet business needs.

The most important demand on the software is to be able to furnish administrative as well as strategic information to all key decision makers of the organization.

Key characteristics of HRIS information: For the HRIS information to be considered useful, it must be presented in a user-friendly manner, easy to use, meaningful, appropriate and contribute to key-decision making.

Features of an HRIS application:

Society for Human Resource Management states that an ideal HRIS training and development application should be easy to use, customizable and integrated into the other organizational systems as well as social media platforms.

Additionally, it must also be able to offer a fully digital experience, mobile access to users and be available as software-as-a-service.

Elements of electronic T&D database:

An electronic T&D database enables users to collect, store, and analyze training-related HR information.

An elementary database that is set up using a commercial software should contain some basic elements such as employee information (like name, ID, position, personal details if relevant), training history (type, time, location and provider of all previous trainings), certification and competencies, professional memberships and educational qualifications.

Using information collected through these elements, relevant spreadsheets can be built, and limited search and reporting activities can be performed.

HRIS Applications in Training (2 of 9)

Significance of bespoke databases.

Growing needs of firms.

Satisfies Learning Objective 10.9: Understand MIS, HRMS, and DSS (see Chapter 1) training applications.

Significance of bespoke databases:

When organizations are looking for more functionality, bespoke databases can be used.

Bespoke databases can offer better ways of collection and presentation of training data. Customizable search criteria, better reporting options and ability to link information on different screens make them worthier.

Growing needs of firms:

When organizations grow (in size), there comes a stronger need to manage their training initiative more efficiently.

Currently, there are a host of commercial systems ranging from stand-alone training administration software to fully integrated expert systems to aid organizations in this context.

HRIS Applications in Training (3 of 9)

Satisfies Learning Objective 10.9: Understand MIS, HRMS, and DSS (see Chapter 1) training applications.

Figure 10.4: Example of an HRIS T&D Database in Spreadsheet Format.

HRIS Applications in Training (4 of 9)

Satisfies Learning Objective 10.9: Understand MIS, HRMS, and DSS (see Chapter 1) training applications.

Figure 10.5: Example of a Database.

HRIS Applications in Training (5 of 9)

HRIS/Learning Applications: Learning Management Systems

ERP systems and HRIS.

Users, uses and capabilities of the learning management systems (LMS).

LCMS and TMS.

Different guises of LMS.

Satisfies Learning Objective 10.9: Understand MIS, HRMS, and DSS (see Chapter 1) training applications.

Enterprise resource planning (ERP) systems and HRIS:

Large organizations seek the help of fully integrated enterprise-wide ERP system to obtain information from all functional areas of business.

HRIS is the HR function of the ERP system and its data repositories aid all areas of HR including T&D.

Learning management systems (LMS): It is the learning technology solution of HRIS that handles everything from training administration to training and talent management.

Users, uses and capabilities of the LMS:

Training administrators and learners are the prime users of the LMS.

Its uses and capabilities span across administrative, technology and talent areas and each characteristic feature of LMS is explained below,

Administrative: Keeps track of basic employee records. Calculates cost of training, establishes learning plans and tracks training courses and their progress.

Training management: From designing training initiatives to scheduling courses as per needs to evaluating outcomes and measuring ROI, LMS does it all.

Talent management: A wholesome solution to hiring, managing, reviewing and planning the right prospects (succession and career planning) for an organization.

Technology enabled features: The LMS is equipped with contemporary technologies such as artificial intelligence, augmented reality, gamification, social media learning and so on.

Types of training examples: LMS handles learning that pertains to compliance, marketing, customer service and so on.

Learning content management system (LCMS) and talent management system (TMS):

1. Two of the significantly notable features of the LMS is its ability to deal with training and development and manage the talent of an organization.

LCMS: Stores and develops T&D content (multimedia files, training templates and so on). It is also used to track training attendance and completion records and for quality assurance purposes.

TMS: It is an integrated software suite that can comprise a range of applications, such as applicant tracking, succession and career planning, performance management, compensation and benefits management, and learning management.

Different guises of LMS:

The LMS market is huge and the choice of LMS system varies from one organization to another (based on LT&D budget, ICT capabilities and so on).

The LMS may be open- or closed source. It can be cloud-based or installed. It can be an industry-focused system or education-focused.

Organizations pick the LMS system carefully as they know that the reporting, analytical, and strategic potential of these systems will diverge accordingly.

Some of the leading cloud-based LMS vendors (some open source while others are closed) in the market are: 360Learning Engagement Platform, G-Cube, Top Hat etc.

HRIS Applications in Training (6 of 9)

HRIS/Learning Applications: Learning Management Systems

Reports and training metrics through LMS.

DSS classification.

Factors that enhance LMS efficiency.

Overcoming limitations through xAPI.

Satisfies Learning Objective 10.9: Understand MIS, HRMS, and DSS (see Chapter 1) training applications.

Reports and training metrics through LMS:

The LMS provides metrics and reports that can be used to assess the effectiveness of the T&D initiatives.

Some of these metrics and reports include, course progression and completions, course subscription dates, total time spent on courses and learning plans and so on.

DSS classification:

Assisting the key decision makers of the firm with making important strategic calls, is a key function of LMS.

By using the DSS classification (decision support system), the ability of the LMS in the above context can be determined.

This model consists of five levels,

MIS – Management information systems – Supports T&D decision making at operational and functional level.

DSS – Decision support systems – Along with GDSS, they aid in long-term decision making by the senior management.

GDSS – Group decision support systems – GDSS and DSS are both based on “what if” scenarios.

ES- Expert systems – Replicate expert human decision-making functions.

AI – Artificial intelligence – Aids strategic decision making at the board level.

Factors that enhance LMS efficiency:

Linking employee development with learning delivery.

Aligning learning activities with business adjectives.

Maintenance of regulatory compliance.

Thorough measuring of learning effectiveness.

Integrated approach to employee orientation.

Overcoming limitations through xAPI:

The otherwise efficient LMS has one drawback in the context that it does not track experiential learning or learning acquired from mentoring programs.

To overcome this issue and to allow the sharing of various learning experiences (synchronous and asynchronous), a relatively new application called Experience Application Programming Interface, or xAPI is used.

xAPI allows recording of learning experiences from different sources such as mobile learning, simulations, social media learning, and so on in a simple form and stores in a Learning Record Store.

The data stored is analyzed using Learning Analytics Software and relevant inferences are drawn.

HRIS Applications in Training (7 of 9)

HRIS/Learning Applications: Learning Management Systems

Learning experience platforms (LXP).

Key takeaways from the Sierra-Cedar white paper.

Satisfies Learning Objective 10.9: Understand MIS, HRMS, and DSS (see Chapter 1) training applications.

Learning experience platforms:

With changing business demands, LMS has evolved and the learning experience platforms (LXP) have taken the central point.

With better flexibility and inclusion of newer developments, LXP offers a better user experience to learners.

Key takeaways from the Sierra-Cedar white paper:

The Sierra-Cedar 2019–2020 HR Systems Survey White Paper highlights how organizations are moving from a single LMS setup to a software architecture made of multiple learning applications.

The paper also throws light on the broad range of new learning tools used by talent driven firms. This includes content libraries, MOOCs (Massive Open Online Courses), micro-learning platforms, adaptive learning platforms and so on.

HRIS Applications in Training (8 of 9)

HRIS/Learning Applications: Learning Management Systems

Satisfies Learning Objective 10.9: Understand MIS, HRMS, and DSS (see Chapter 1) training applications.

Figure 10.6: Training Module With OrangeHRM (an Open Source HRIS).

Source: OrangeHRM (www.orangehrm.com). Reproduced with permission.

HRIS Applications in Training (9 of 9)

HRIS T&D Applications: Implementation Issues

Key reasons for failure of HRIS T&D projects.

Some tips to achieve optimal success in HRIS T&D projects.

Satisfies Learning Objective 10.10: Explain the advantages and disadvantages of Web-based learning.

Key reasons for failure of HRIS T&D projects:

Lack of expertise to operate the system.

False expectations of ROI

Apply training metrics for the purpose of cost saving alone and thus miss out on the intangible benefits of the system.

Non-alignment of HRIS T&D application strategy and training needs and organization strategy.

Employee disappointment that results from poor planning, involvement of learners during the HRIS implementation stage, lack of use of tools like AI, cognitive interfaces and so on.

Some tips to achieve optimal success in HRIS T&D projects.

Align e-learning strategy with T&D strategy, HR strategy, and overall business strategy.

Consider the corporate learning culture, legacy systems, senior management, line managers and other employees before rolling out HRIS T&D projects.

Identify T&D metrics, make managers accountable, reward employees for using the system, and develop a data security policy for the T&D system and applications.

Do not focus on only financial gains from HRIS T&D projects and offer sufficient training to managers and employees in the use of T&D technologies.

chap 10

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