essay
CHAPTER 2
Strategic training
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Objectives (1)
Discuss how business strategy influences the type and amount of training in a company
Describe the strategic training and development process
Discuss how a company’s staffing and human resource planning strategies influence training
Explain the training needs created by concentration, internal growth, external growth, and disinvestment business strategies
Discuss the advantages and disadvantages of centralizing the training function
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Objectives (2)
Explain a corporate university and its benefits
Discuss the strengths of a business-embedded learning function
Discuss how to create a learning or training brand and why it is important
Develop a marketing campaign for a training course or program
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Training can (and Should be) Strategic
Training can have both a direct an indirect impact on organizational success
Business strategy will shape the training function
Strategy impacts what gets trained, who gets training, and how much training is valued
The role of training is evolving from an event to learning
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The learning organization
A learning organization is characterized as:
a company with an enhanced capacity to learn, adapt, and change
a culture where employees seek, share, and apply new knowledge to improve performance
an organization where training is a part of a larger system to enhance human capital
High performing companies are more than five times as likely to have a strong learning culture
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Learning and human capital development
Learning has to help employee performance and business success
Unpredictability in the business environment will be the norm
Companies need to support informal learning because tacit knowledge is difficult to acquire in formal training
Learning has to be supported with physical resources and psychologically
Managers need to understand employees to determine development needs
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capabilities critical for strategic training
Alignment of learning goals to business goals
Measurement of the overall business impact of the learning function
Movement of learning to include customers, vendors, and suppliers
A focus on developing competencies for the most critical jobs
Integration of learning knowledge management, performance support, and talent management
Delivery approaches that include classroom training and e-learning
Design and delivery of leadership development courses
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Strategic Training & Development Process
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Identify business strategy
Determine the company’s mission
Establish goals
Perform a SWOT—strengths, opportunities, weakness, and threats
Determine strategic choice
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Determine strategic initiatives
Learning-related actions that a company should take to achieve its business strategy
A road map to guide specific training activities
Avoid the disconnect between strategy and execution
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Common strategic initiatives
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Questions to ask
What is the vision and mission?
What capabilities and competencies are critical for success?
What types of training will best attract, develop, and retain employees?
Does the company have a plan for communicating the link between training and business strategy to key constituents?
Does senior management support training?
Does the company provide training for individuals and teams?
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Translate initiatives into activities
The next step is to determine specific, concrete activities that align with strategic initiatives
Such activities will vary based on the initiatives that were developed
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Identify metrics and evaluate
The final step is to determine if training investments were successful
Strategic training evaluation is not intended to evaluate the effectiveness of an isolated program, but a set of training activities
The business-related outcomes examined should be directly linked to strategy and goals
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BALANCED SCORE CARD
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Organizational characteristics that influence training
Jump to ORGANIZATIONAL CHARACTERISTICS THAT INFLUENCE TRAINING Long Description
see jump to link at slide bottom for long description
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Roles of employees and managers
Employees are now performing roles once reserved for management
Given the prevalence of teams, employees require more cross-training and interpersonal skills training
Managers’ jobs are highly complex, requiring greater skill and training
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Top management support
Set a clear direction for learning
Provide encouragement and resources
Take an active role in governing learning
Develop and teach new programs
Serve as a role model
Promote learning through different channels
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Integration of business units
Integration of business units affects the approach to training
In a highly integrated business, employees need to understand all parts of the company, and training must address those needs
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Global presence
For companies with global operations, training is needed to prepare employees for overseas assignments
Companies must decide if training will be coordinated through a central U.S. facility or through satellite locations
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Business conditions
With low unemployment, it’s difficult to find top talent
In unstable environments, training may become short-term
When there is growth, training will be in high demand
When trying to revitalize and redirect, there are fewer incentives for training
When downsizing, training may focus on continued employability
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Staffing strategy and training
Fortress
limited resources for training, recruit from the outside
Baseball team
creativity needed, recruit from other companies or new graduates
Club
highly regulated industries, develop own talent
Academy
specialized skills, focus heavily on developing employees
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Strategic value and uniqueness
Knowledge-based workers—heavy training
Job-based employees—less training than knowledge workers
Contract employees—limited training
Alliance/partnerships—sharing expertise and team training
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Extent of unionization
Presence of a union leads to joint union-management programs for preparing employees for jobs
Given that unions have a significant impact on HRM practices, they must be involved in determining strategic training priorities
Collaboration is key
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Staff involvement in training
Managers need to be involved so training links to business needs and transfer can be supported
Managers will be more involved if they are rewarded for doing so
Employees now assume greater responsibility for planning their own development
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Training in different strategies
Concentration Strategy
Skill currency and the development of the existing workforce
Internal Growth Strategy
Creation of new jobs and tasks, innovation, and talent management
External Growth Strategy
Integration, redundancy, and restructuring
Disinvestment Strategy
Efficiency
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Centralized training
There are several advantages:
Stronger alignment with strategy
Common set of metrics or scorecards to evaluate training
Streamlined processes
Better integration of programs to develop leaders
Easier to manage talent during times of change
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Corporate University Model
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Advantages of the corporate university model
Dissemination of best practices
Alignment of training with business needs
Integration of training initiatives
Effective use of new technology and methods
Clear vision and mission
Evaluation of learning focused on employee and business results
Partnership with academia
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Business-embedded learning function
The learning function is centralized, but able to respond quickly to client needs
All persons involved in training communicate and share resources
Trainers—who are responsible for developing training materials, delivering instruction, and supporting trainees—work together to ensure that learning occurs
Trainers have specialized competencies and serve as internal consultants
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A change model perspective
Four change-related problems need to be addressed before the implementation of any new training practice
Resistance to change
Loss of control
Power imbalance
Task redefinition challenges
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A Change Model
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Marketing training
Despite its value, some individuals may not value training
Training often needs to be marketed so key constituents embrace learning
Internal marketing involves making employees and managers excited about training and learning
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Internal marketing tactics
Involve the target audience
Demonstrate how training can solve business problems
Show examples of previous successes
Identify a champion who supports training
Advertise through multiple channels
Speak in terms employees understand
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Reasons to outsource training
Cost savings
Time savings that allow a company to focus on business strategy
Improvements in compliance with regulatory training
Lack of internal capability to meet learning demands
Desire to access best training practices
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Be strategic
Outsourcing may not necessarily be the solution
Be sure to consider
the skill set in question
resources and expertise
desire for control
the quality of the potential vendor
the importance of training in the organization
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Appendix of Image Long Descriptions
Strategic Training & Development Process Long Description
This slide presents the strategic training process with an arrow (from left to right):
Business Strategy
Strategic Training and Development Initiatives
Training and Development Activities
Metrics that Show the Value of Training
Common strategic initiatives Long Description
This slide presents different strategic training initiatives in different boxes (from left to right, top to bottom):
Diversify the learning portfolio
Expand who is trained
Accelerate the pace of learning
Improve customer service
Provide development opportunities and communicate with employees
Capture and share knowledge
Align training with the company’s direction
Ensure the work environment supports learning and transfer
BALANCED SCORE CARD Long Description
This slide presents the balanced score card in four quadrants (beginning top left, clockwise):
CUSTOMER -- time, quality, performance, service, and cost
INTERNAL BUSINESS PROCESSES -- processes that influence customer satisfaction
INNOVATION AND LEARNING -- operating efficiency, employee satisfaction, and continuous improvement
FINANCIAL -- profitability, growth, and shareholder value
Organizational characteristics that influence training Long Description
This slide presents different organizational characteristics that influence training in different boxes (from left to right, top to bottom):
Roles of employees and managers
Top management support
Integration of business units
Global presence
Business conditions
Other HRM practices
Strategic value of jobs and employee uniqueness
Unionization
Staff involvement
Jump back to Organizational characteristics that influence training
Corporate University Model Long Description
This image illustrates the corporate university model.
The left end of the illustration is labeled historical training problems. There are five items listed under this heading. They read as follows:
Excessive costs.
Poor delivery and focus.
Inconsistent use of common training practices.
Best training practices not shared.
Training not integrated or coordinated.
At the center of the illustration, there is a rectangular box that is divided into four sections. The top end of the box is labeled leadership development programs. The bottom end of the box is labeled new employee programs. From the left to the right, the four sections are labeled product development, operations, sales and marketing, and human resources. An arrow passes through the center of this box and points to the right. The head and tail of the arrow are visible, and the body of the arrow is depicted by dotted lines.
The right end of the illustration is labeled training advantages. There are eight items listed under this heading. They read as follows:
Dissemination of best practices.
Align training with business needs.
Integrate training initiatives.
Effectively utilize new training methods and technology.
Clear vision and mission.
Effectively use technology to support learning.
Evaluation of learning’s impact on employees and business results.
Partnership with academia.
A Change Model Long Description
This image illustrates the change model. It contains hexagonal structures and rectangular structures. The rectangular structures relate to components of the organization, and the hexagonal structures relate to change-related problems.
There is a hexagon labeled power imbalance positioned at the top center portion of this illustration. It is followed by a rectangular box that is labeled informal organization.
There is a hexagon labeled resistance to change at the bottom center portion of this illustration. There is a rectangular box above it. This box is labeled individual.
There is a hexagon labeled task redefinition challenges positioned on the left side of this illustration. There is a rectangular box on its right. This box is labeled task.
There is a hexagon labeled loss of control positioned on the right corner of this illustration. There is a rectangular box on its left. This box is labeled formal organizational arrangements.
A double-ended arrow connects the boxes labeled informal organization and individual. Another double-ended arrow connects the boxes labeled task and formal organizational arrangements.