Unit 4 and Unit 5

Unit 4: Training and Development/Career Planning

Once you have completed the recruitment process, the HR department if often charged with training and developing this new human capital. You can think about this training as the process businesses use to inform new members about the specific components of the jobs they have assumed. Consider this process as a way to offer continuous improvement and an opportunity to develop and update your human capital to be successful on the job. In the same way, career planning, often called succession planning, involves mapping the growth of your human capital and building strong relationships with the management team.

Completing this unit should take you approximately 4 hours.

· Upon successful completion of this unit, you will be able to:

· create strategies to support the training and development of human capital; and

· describe the impact that career/succession planning has on human capital.

· 4.1: Training and Development of Human Capital

· Human Resource Management : "Chapter 8: Training and Development"URL

Watch the introductory video and read the first three sections of this chapter on the process of strategically training and developing employees that have been selected. Stop when you get to section 8.4.

In a competitive marketplace, effective training and development programs offer a recruitment tool to human resources (HR) and a valuable tool for employee retention. Knowing an organization is investing time and resources into your development can be critical.

The "Fortune 500 Focus" section describes how the Walt Disney Company conducts its training and development programs. In addition to providing training specific to each particular position in the park, the Disney Development Connection program offers continuous development to their human capital. In addition to in-house training, Disney also offers employees tuition reimbursement. In this way, Disney shows it is committed to its employees. How do you think these offerings affect employee performance, job satisfaction, corporate culture, and employee retention?

· Stephen Gill's "Stop Relying on Training for Employee Learning"Page

This article argues that formal training wastes organizational resources and that "push learning" is frequently unproductive. The author believes that creating an organizational culture of on-going, work-driven learning is far more effective. Brainstorm some industries where you believe this model works, and where it does not. Could you argue that the outcome of formal training depends on the type of learner, rather than the the type of learning?

· Rashmi Singh's "Tips for Managers on How To Train Small Teams"URL

This short article notes that formal training sessions may be well-suited for large organizations, but they are not always feasible for small teams. The author notes the importance of encouraging continuous training, often through on-the-job training, and the value in mentorship. Think of ways that mentorship can positively impact both the new hire and the seasoned employee who provides the mentoring.

· 4.2: Career Planning/Succession Planning of Human Capital

· Human Resource Management : "Chapter 8, Section 4: Designing a Training Program"URL

Read the final section of this chapter. Pay close attention to the "Career Development Programs and Succession Planning" section and Figure 8.11, "Career Development Planning Process". You may want to make a copy of this figure in your notes. Complete the exercises at the end of the section and be sure to spend time on the question on the importance of creating a career development plan, even if your employer does not have one.

Training and Development

Training: Not Like It Used to Be

Imagine this: You have a pile of work on your desk and as you get started, your Outlook calendar reminds you about a sexual harassment training in ten minutes. You groan to yourself, not looking forward to sitting in a conference room and seeing PowerPoint slide after PowerPoint slide. As you walk to the conference room, you run into a colleague who is taking the same training that day and commiserate on how boring this training is probably going to be. When you step into the conference room, however, you see something very different.

Computers are set up at every chair with a video ready to start on the computer. The HR manager greets you and asks you to take a seat. When the training starts, you are introduced (via video) on each of the computers to a series of sexual harassment example scenarios. The videos stop, and there is a recorded discussion about what the videos portrayed. Your colleagues in the Washington, DC, office are able to see the same training and, via video conferencing, are able to participate in the discussions. It is highly interactive and interesting. Once the training is finished, there are assignments to be completed via specific channels that have been set up for this training. You communicate about the material and complete the assignments in teams with members of your Washington, DC, office. If you want to review the material, you simply click on a review and the entire session or parts of the training can be reviewed. In fact, on your bus ride home from work, you access the channels on your iPhone, chatting with a colleague in your other office about the sexual harassment training assignment you have due next week. You receive an e-mail from your HR manager asking you to complete a training assessment located in a specific channel in the software, and you happily comply because you have an entirely new perspective on what training can be.

This is the training of today. No longer do people sit in hot, stuffy rooms to get training on boring content. Training has become highly interactive, technical, and interesting owing to the amount of multimedia we can use. Sun Microsystems, for example, has developed just the kind of software mentioned above, called Social Learning eXchange (SLX). This type of training allows people across the country to connect with each other, saving both money and time. In fact, Sun Microsystems received a Best Practices Award from Training Magazine for this innovative software in 2010.“2010 Top 25 Winners,” Training Magazine, accessed July 25, 2010, http://www.trainingmag.com/article/2010-top-125-winners. The SLX software allows training to be delivered in an interactive manner in multiple locations. The implications of this type of software are numerous. For example, SLX is used at Sun Professional Services division by delivering instructional videos on tools and software, which employees can view at their own pace.“Video Community for the Enterprise,” Social Learning eXchange, accessed July 25, 2010, http://www.slideshare.net/sociallearningexchange/social-learning-exchange-slx?from=share_email. There is also a channel in the software that allows the vice president to communicate with employees on a regular basis to improve employee communications. In another example, this software can be used to quickly communicate product changes to the sales team, who then begin the process of positioning their products to consumers. Training videos, including breakout sessions, can save companies money by not requiring travel to a session. These can even be accessed using application technology on cell phones. Employees can obtain the training they need in the comfort of their own city, office, or home. Someone is sick the day the training is delivered? No problem; they can review the recorded training sessions.

An estimated $1,400 per employee is spent on training annually, with training costs consuming 2.72 percent of the total payroll budgetSee the American Society for Training and Development Trend Review, ASTD Website, accessed July 25, 2010, http://www.astd.org/. for the average company. With such a large amount of funds at stake, HR managers must develop the right training programs to meet the needs; otherwise, these funds are virtually wasted. This chapter is all about how to assess, develop, implement, and measure an effective training program.

Training and Development Introduction

(click to see video)

The author introduces the chapter on training and development.

8.1 Steps to Take in Training an Employee

LEARNING OBJECTIVE

1. Explain the four steps involved when training an employee.

Any effective company has training in place to make sure employees can perform his or her job. During the recruitment and selection process, the right person should be hired to begin with. But even the right person may need training in how your company does things. Lack of training can result in lost productivity, lost customers, and poor relationships between employees and managers. It can also result in dissatisfaction, which means retention problems and high turnover. All these end up being direct costs to the organization. In fact, a study performed by the American Society for Training and Development (ASTD) found that 41 percent of employees at companies with poor training planned to leave within the year, but in companies with excellent training, only 12 percent planned to leave.Leigh Branham, The 7 Hidden Reasons Why Employees Leave (New York: American Management Association, 2005), 112–5. To reduce some costs associated with not training or undertraining, development of training programs can help with some of the risk. This is what this chapter will address.

For effective employee training, there are four steps that generally occur. First, the new employee goes through an orientation, and then he or she will receive in-house training on job-specific areas. Next, the employee should be assigned a mentor, and then, as comfort with the job duties grows, he or she may engage in external training. Employee training and development is the process of helping employees develop their personal and organization skills, knowledge, and abilities.

Employee Orientation

The first step in training is an employee orientation. Employee orientation is the process used for welcoming a new employee into the organization. The importance of employee orientation is two-fold. First, the goal is for employees to gain an understanding of the company policies and learn how their specific job fits into the big picture. Employee orientation usually involves filling out employee paperwork such as I-9 and 401(k) program forms.

The goals of an orientation are as follows:

1. To reduce start-up costs. If an orientation is done right, it can help get the employee up to speed on various policies and procedures, so the employee can start working right away. It can also be a way to ensure all hiring paperwork is filled out correctly, so the employee is paid on time.

2. To reduce anxiety. Starting a new job can be stressful. One goal of an orientation is to reduce the stress and anxiety people feel when going into an unknown situation.

3. To reduce employee turnover. Employee turnover tends to be higher when employees don’t feel valued or are not given the tools to perform. An employee orientation can show that the organization values the employee and provides tools necessary for a successful entry.

4. To save time for the supervisor and coworkers. A well-done orientation makes for a better prepared employee, which means less time having to teach the employee.

5. To set expectations and attitudes. If employees know from the start what the expectations are, they tend to perform better. Likewise, if employees learn the values and attitudes of the organization from the beginning, there is a higher chance of a successful tenure at the company.

Some companies use employee orientation as a way to introduce employees not only to the company policies and procedures but also to the staff. For an example of an orientation schedule for the day, see Figure 8.1.

Figure 8.1

Some companies have very specific orientations, with a variety of people providing information to the new hires. This can create a welcoming environment, besides giving the employee the information they need. This is an example of one such orientation.

Source: Sample schedule courtesy of Louis Stokes Cleveland VA Medical Center,  http://www.cleveland.va.gov/docs/NEOSchedule.pdf  (accessed September 2, 2011).

Human Resource Recall

Have you ever participated in an orientation? What was it like? What components did it have?

In-House Training

In-house training programs are learning opportunities developed by the organization in which they are used. This is usually the second step in the training process and often is ongoing. In-house training programs can be training related to a specific job, such as how to use a particular kind of software. In a manufacturing setting, in-house training might include an employee learning how to use a particular kind of machinery.

Many companies provide in-house training on various HR topics as well, meaning it doesn’t always have to relate to a specific job. Some examples of in-house training include the following:

· Ethics training

· Sexual harassment training

· Multicultural training

· Communication training

· Management training

· Customer service training

· Operation of special equipment

· Training to do the job itself

· Basic skills training

As you can tell by the list of topics, HR might sometimes create and deliver this training, but often a supervisor or manager delivers the training.

Mentoring

After the employee has completed orientation and in-house training, companies see the value in offering mentoring opportunities as the next step in training. Sometimes a mentor may be assigned during in-house training. A mentor is a trusted, experienced advisor who has direct investment in the development of an employee. A mentor may be a supervisor, but often a mentor is a colleague who has the experience and personality to help guide someone through processes. While mentoring may occur informally, a mentorship program can help ensure the new employee not only feels welcomed but is paired up with someone who already knows the ropes and can help guide the new employee through any on-the-job challenges.

To work effectively, a mentoring program should become part of the company culture; in other words, new mentors should receive in-house training to be a mentor. Mentors are selected based on experience, willingness, and personality. IBM’s Integrated Supply Chain Division, for example, has successfully implemented a mentorship program. The company’s division boasts 19,000 employees and half of IBM’s revenues, making management of a mentorship program challenging. However, potential mentors are trained and put into a database where new employees can search attributes and strengths of mentors and choose the person who closely meets their needs. Then the mentor and mentee work together in development of the new employee. “We view this as a best practice,” says Patricia Lewis-Burton, vice president of human resources, Integrated Supply Chain Division. “We view it as something that is not left to human resources alone. In fact, the program is imbedded in the way our group does business.”Blyde Witt, “Serious Leadership: IBM Builds a Successful Mentoring Program,” Material Handling Management, December 1, 2005, accessed July 25, 2010, http://mhmonline.com/workforce-solutions/mhm_imp_4483/.

Some companies use short-term mentorship programs because they find employees training other employees to be valuable for all involved. Starbucks, for example, utilizes this approach. When it opens a new store in a new market, a team of experienced store managers and baristas are sent from existing stores to the new stores to lead the store-opening efforts, including training of new employees.Arthur Thompson, “Starbucks Corporation,” July 24, 2011, accessed July 29, 2011, http://www.mhhe.com/business/management/thompson/11e/case/starbucks-2.html.

External Training

External training includes any type of training that is not performed in-house. This is usually the last step in training, and it can be ongoing. It can include sending an employee to a seminar to help further develop leadership skills or helping pay tuition for an employee who wants to take a marketing class. To be a Ford automotive technician, for example, you must attend the Ford ASSET Program, which is a partnership between Ford Motor Company, Ford dealers, and select technical schools.“Automotive Technology/Ford ASSET Course,” Sheridan Technical Center, accessed July 29, 2011, http://www.sheridantechnical.com/Default.aspx?tabid=692.

How Would You Handle This?

To Train or Not to Train

Towanda Michaels is the human resource manager at a medium-size pet supply wholesaler. Casey Cleps is a salesperson at the organization and an invaluable member of the team. Last year, his sales brought in about 20 percent of the company revenue alone. Everybody likes Casey: he is friendly, competent, and professional.

Training is an important part of the company, and an e-mail was sent last month that said if employees do not complete the required safety training by July 1, they would be let go.

It is July 15, and it has just come to Towanda’s attention that Casey has not completed the online safety training that is required for his job. When she approaches him about it, he says, “I am the best salesperson here; I can’t waste time doing training. I already know all the safety rules anyway.”

Would you let Casey go, as stated in the e-mail? How would you handle this?

How Would You Handle This?

https://api.wistia.com/v1/medias/1348781/embed

The author discusses the How Would You Handle This situation in this chapter at:  https://api.wistia.com/v1/medias/1348781/embed .

KEY TAKEAWAYS

· Employee training and development is the framework for helping employees develop their personal and organizational skills, knowledge, and abilities. Training is important to employee retention.

· There are four steps in training that should occur. Employee orientation has the purpose of welcoming new employees into the organization. An effective employee orientation can help reduce start-up costs, reduce anxiety for the employee, reduce turnover, save time for the supervisor and colleagues, and set expectations and attitudes.

· An in-house training program is any type of program in which the training is delivered by someone who works for the company. This could include management or HR. Examples might include sexual harassment training or ethics training. In-house training can also include components specific to a job, such as how to use a specific kind of software. In-house training is normally done as a second and ongoing step in employee development.

· A mentor form of training pairs a new employee with a seasoned employee. This is usually the third step in employee training. A mentor program for training should include a formalized program and process.

· External training is any type of training not performed in-house; part of the last training step, external training can also be ongoing. It can include sending employees to conferences or seminars for leadership development or even paying tuition for a class they want to take.

EXERCISES

1. Why do you think some companies do not follow the four training steps? What are the advantages of doing so?

2. What qualities do you think a mentor should have? List at least five.

3. Have you ever worked with a mentor in a job, at school, or in extracurricular activities? Describe your experience.

8.2 Types of Training

LEARNING OBJECTIVE

1. Be able to explain and give examples of the types of training that can be offered within an organization.

There are a number of different types of training we can use to engage an employee. These types are usually used in all steps in a training process (orientation, in-house, mentorship, and external training). The training utilized depends on the amount of resources available for training, the type of company, and the priority the company places on training. Companies such as The Cheesecake Factory, a family restaurant, make training a high priority. The company spends an average of $2,000 per hourly employee. This includes everyone from the dishwasher and managers to the servers. For The Cheesecake Factory, this expenditure has paid off. They measure the effectiveness of its training by looking at turnover, which is 15 percent below the industry average.Gina Ruiz, “Cheesecake Factory Cooks Up a Rigorous Employee Training Program,” Workforce Management, April 24, 2006, accessed July 25, 2010, http://www.workforce.com/section/11/feature/24/35/18/. Servers make up 40 percent of the workforce and spend two weeks training to obtain certification. Thirty days later, they receive follow-up classes, and when the menu changes, they receive additional training.Gina Ruiz, “Cheesecake Factory Cooks Up a Rigorous Employee Training Program,” Workforce Management, April 24, 2006, accessed July 25, 2010, http://www.workforce.com/section/11/feature/24/35/18/. Let’s take a look at some of the training we can offer our employees.

As you will see from the types of training below, no one type would be enough for the jobs we do. Most HR managers use a variety of these types of training to develop a holistic employee.

Technical or Technology Training

Depending on the type of job, technical training will be required. Technical training is a type of training meant to teach the new employee the technological aspects of the job. In a retail environment, technical training might include teaching someone how to use the computer system to ring up customers. In a sales position, it might include showing someone how to use the customer relationship management (CRM) system to find new prospects. In a consulting business, technical training might be used so the consultant knows how to use the system to input the number of hours that should be charged to a client. In a restaurant, the server needs to be trained on how to use the system to process orders. Let’s assume your company has decided to switch to the newest version of Microsoft Office. This might require some technical training of the entire company to ensure everyone uses the technology effectively. Technical training is often performed in-house, but it can also be administrered externally.

Quality Training

In a production-focused business, quality training is extremely important. Quality training refers to familiarizing employees with the means of preventing, detecting, and eliminating nonquality items, usually in an organization that produces a product. In a world where quality can set your business apart from competitors, this type of training provides employees with the knowledge to recognize products that are not up to quality standards and teaches them what to do in this scenario. Numerous organizations, such as the International Organization for Standardization (ISO), measure quality based on a number of metrics. This organization provides the stamp of quality approval for companies producing tangible products. ISO has developed quality standards for almost every field imaginable, not only considering product quality but also certifying companies in environmental management quality. ISO9000 is the set of standards for quality management, while ISO14000 is the set of standards for environmental management. ISO has developed 18,000 standards over the last 60 years.“The ISO Story,” International Organization for Standards, accessed July 26, 2010, http://www.iso.org/iso/about/the_iso_story/iso_story_early_years.htm. With the increase in globalization, these international quality standards are more important than ever for business development. Some companies, like 3M,QAI website, accessed July 30, 2011, http://www.trainingforquality.com/Content.aspx?id=26. choose to offer ISO training as external online training, employing companies such as QAI to deliver the training both online and in classrooms to employees.

Training employees on quality standards, including ISO standards, can give them a competitive advantage. It can result in cost savings in production as well as provide an edge in marketing of the quality-controlled products. Some quality training can happen in-house, but organizations such as ISO also perform external training.

Skills Training

Skills training, the third type of training, includes proficiencies needed to actually perform the job. For example, an administrative assistant might be trained in how to answer the phone, while a salesperson at Best Buy might be trained in assessment of customer needs and on how to offer the customer information to make a buying decision. Think of skills training as the things you actually need to know to perform your job. A cashier needs to know not only the technology to ring someone up but what to do if something is priced wrong. Most of the time, skills training is given in-house and can include the use of a mentor. An example of a type of skills training is from AT&T and Apple,Lance Whitney, “Apple, AT&T Reportedly Prepping Staff for iPhone 5 Launch,” CNET, July 26, 2011, accessed July 29, 2011, http://news.cnet.com/8301-13579_3-20083435-37/apple-at-t-reportedly-prepping-staff-for-iphone-5-launch/. who in summer 2011 asked their managers to accelerate retail employee training on the iPhone 5, which was released to market in the fall.

Continuing Education Matters

(click to see video)

A small business owner explains the advantages of offering informal skills training about new products.

Soft Skills Training

Our fourth type of training is called soft skills training. Soft skills refer to personality traits, social graces, communication, and personal habits that are used to characterize relationships with other people. Soft skills might include how to answer the phone or how to be friendly and welcoming to customers. It could include sexual harassment training and ethics training. In some jobs, necessary soft skills might include how to motivate others, maintain small talk, and establish rapport.

In a retail or restaurant environment, soft skills are used in every interaction with customers and are a key component of the customer experience. In fact, according to a Computerworld magazine survey, executives say there is an increasing need for people who have not only the skills and technical skills to do a job but also the necessary soft skills, such as strong listening and communication abilities.Thomas Hoffman, “Nine Nontechie Skills That Hiring Managers Wish You Had,” Computerworld, November 12, 2007, accessed July 26, 2010, http://www.computerworld.com/s/article/305966/Are_You_the_Complete_Package_. Many problems in organizations are due to a lack of soft skills, or interpersonal skills, not by problems with the business itself. As a result, HR and managers should work together to strengthen these employee skills. Soft skills training can be administered either in-house or externally.

Professional Training and Legal Training

In some jobs, professional training must be done on an ongoing basis. Professional training is a type of training required to be up to date in one’s own professional field. For example, tax laws change often, and as a result, an accountant for H&R Block must receive yearly professional training on new tax codes.Jeannine Silkey, “Tax Preparer Certifications,” Suite 101, January 28, 2010, accessed July 26, 2010, http://personal-tax-planning.suite101.com/article.cfm/tax-preparer-certifications. Lawyers need professional training as laws change. A personal fitness trainer will undergo yearly certifications to stay up to date in new fitness and nutrition information.

Some organizations have paid a high cost for not properly training their employees on the laws relating to their industry. In 2011, Massachusetts General Hospital paid over $1 million in fines related to privacy policies that were not followed.Julie Donnelly, “Mass. General to Pay $1M to Settle Privacy Claims,” Boston Business Journal, February 24, 1011, accessed February 26, 2011, http://www.bizjournals.com/boston/news/2011/02/24/mass-general-to-pay-1m-to-settle.html. As a result, the organization has agreed to develop training for workers on medical privacy. The fines could have been prevented if the organization had provided the proper training to begin with. Other types of legal training might include sexual harassment law training and discrimination law training.

Team Training

Do you know the exercise in which a person is asked to close his or her eyes and fall back, and then supposedly the team members will catch that person? As a team-building exercise (and a scary one at that), this is an example of team training. The goal of team training is to develop cohesiveness among team members, allowing them to get to know each other and facilitate relationship building. We can define team training as a process that empowers teams to improve decision making, problem solving, and team-development skills to achieve business results. Often this type of training can occur after an organization has been restructured and new people are working together or perhaps after a merger or acquisition. Some reasons for team training include the following:

· Improving communication

· Making the workplace more enjoyable

· Motivating a team

· Getting to know each other

· Getting everyone “onto the same page,” including goal setting

· Teaching the team self-regulation strategies

· Helping participants to learn more about themselves (strengths and weaknesses)

· Identifying and utilizing the strengths of team members

· Improving team productivity

· Practicing effective collaboration with team members

Team training can be administered either in-house or externally. Ironically, through the use of technology, team training no longer requires people to even be in the same room.

Human Resource Recall

What kind of team training have you participated in? What was it like? Do you think it accomplished what it was supposed to accomplish?

Managerial Training

After someone has spent time with an organization, they might be identified as a candidate for promotion. When this occurs, managerial training would occur. Topics might include those from our soft skills section, such as how to motivate and delegate, while others may be technical in nature. For example, if management uses a particular computer system for scheduling, the manager candidate might be technically trained. Some managerial training might be performed in-house while other training, such as leadership skills, might be performed externally.

For example, Mastek, a global IT solutions and services provider, provides a program called “One Skill a Month,” which enables managers to learn skills such as delegation, coaching, and giving feedback. The average number of total training days at Mastek is 7.8 per employeeMastek website, accessed July 30, 2011, http://www.mastek.com/careers/learning-development.html. and includes managerial topics and soft skills topics such as e-mail etiquette. The goal of its training programs is to increase productivity, one of the organization’s core values.

Safety Training

Safety training is a type of training that occurs to ensure employees are protected from injuries caused by work-related accidents. Safety training is especially important for organizations that use chemicals or other types of hazardous materials in their production. Safety training can also include evacuation plans, fire drills, and workplace violence procedures. Safety training can also include the following:

· Eye safety

· First aid

· Food service safety

· Hearing protection

· Asbestos

· Construction safety

· Hazmat safety

The Occupational Safety and Health Administration, or OSHA, is the main federal agency charged with enforcement of safety and health regulation in the United States. OSHA provides external training to companies on OSHA standards. Sometimes in-house training will also cover safety training.

Starbucks Training Video

This is a short video Starbucks uses to train new employees on customer service.

 

Please view this video at http://www.youtube.com/watch?v=OAmftgYEWqU.

KEY TAKEAWAYS

· There are several types of training we can provide for employees. In all situations, a variety of training types will be used, depending on the type of job.

· Technical training addresses software or other programs that employees use while working for the organization.

· Quality training is a type of training that familiarizes all employees with the means to produce a good-quality product. The ISO sets the standard on quality for most production and environmental situations. ISO training can be done in-house or externally.

· Skills training focuses on the skills that the employee actually needs to know to perform their job. A mentor can help with this kind of training.

· Soft skills are those that do not relate directly to our job but are important. Soft skills training may train someone on how to better communicate and negotiate or provide good customer service.

· Professional training is normally given externally and might be obtaining certification or specific information needed about a profession to perform a job. For example, tax accountants need to be up to date on tax laws; this type of training is often external.

· Team training is a process that empowers teams to improve decision making, problem solving, and team-development skills. Team training can help improve communication and result in more productive businesses.

· To get someone ready to take on a management role, managerial training might be given.

· Safety training is important to make sure an organization is meeting OSHA standards. Safety training can also include disaster planning.

EXERCISES

1. Which type of training do you think is most important for an administrative assistant? What about for a restaurant server? Explain your answer.

2. Research OSHA. What are some of the new standards and laws it has recently developed? Outline a training plan for the new standards.

8.3 Training Delivery Methods

LEARNING OBJECTIVE

1. Explain the types of training delivery methods.

Depending on the type of training occurring, you may choose one delivery method over another. This section discusses the types of delivery methods we can use to execute the types of training. Keep in mind, however, that most good training programs will use a variety of delivery methods.

Wendy’s Grill Training, circa 1989

(click to see video)

This excellent training video was used at Wendy’s to teach employees how to grill the perfect burger. Although the video is over twenty years old, the concepts used in it are still true today.

On-the-Job Coaching Training Delivery

On-the-job coaching is one way to facilitate employee skills training. On-the-job coaching refers to an approved person training an employee on the skills necessary to complete tasks. A manager or someone with experience shows the employee how to perform the actual job. The selection of an on-the-job coach can be done in a variety of ways, but usually the coach is selected based on personality, skills, and knowledge. This type of skills training is normally facilitated in-house. The disadvantage of this training revolves around the person delivering the training. If he or she is not a good communicator, the training may not work. Likewise, if this person has “other things to do,” he or she may not spend as much time required to train the person and provide guidance. In this situation, training can frustrate the new employee and may result in turnover.

Mentoring and Coaching Training Delivery

Mentoring is also a type of training delivery. A mentor is a trusted, experienced advisor who has direct investment in the development of an employee. Mentoring is a process by which an employee can be trained and developed by an experienced person. Normally, mentoring is used as a continuing method to train and develop an employee. One disadvantage of this type of training is possible communication style and personality conflict. It can also create overdependence in the mentee or micromanagement by the mentor. This is more different than on-the-job coaching, which tends to be short term and focuses on the skills needed to perform a particular job.

Brown Bag Lunch Training Delivery

Brown bag lunches are a training delivery method meant to create an informal atmosphere. As the name suggests, brown bag lunch training is one in which the training occurs during lunchtime, employees bring their food, and someone presents training information to them. The trainer could be HR or management or even another employee showing a new technical skill. Brown bag lunches can also be an effective way to perform team training, as it brings people together in a more relaxed atmosphere. Some companies offer brown bag lunch training for personal development as well. For example, HR might want to bring in a specialist on 401(k) plans, or perhaps an employee provides a slide presentation on a trip he or she has taken, discussing the things learned on the trip. One disadvantage to this type of training can be low attendance and garnering enough interest from employees who may not want to “work” during lunch breaks. There can also be inconsistency in messages if training is delivered and not everyone is present to hear the message.

Human Resource Recall

What types of brown bag lunch training would employees be most willing to attend? Do you think this type of training should be required?

Web-Based Training Delivery

Web-based training delivery has a number of names. It could be called e-learning or Internet-based, computer-based, or technology-based learning. No matter what it is called, any web-based training involves the use of technology to facilitate training. There are two types of web-based learning. First, synchronous learning uses instructor-led facilitation. Asynchronous learning is self-directed, and there is no instructor facilitating the course. There are several advantages to web-based training. First, it is available on demand, does not require travel, and can be cost efficient. However, disadvantages might include an impersonal aspect to the training and limited bandwidth or technology capabilities.“Advantages and Disadvantages,” Web Based Training Information Center, accessed July 27, 2010, http://www.webbasedtraining.com/primer_advdis.aspx.

Web-based training delivery lends itself well to certain training topics. For example, this might be an appropriate delivery method for safety training, technical training, quality training, and professional training. However, for some training, such as soft-skills training, job skills training, managerial training, and team training, another more personalized method may be better for delivery. However, there are many different platforms that lend themselves to an interactive approach to training, such as Sun Microsystems’ Social Learning eXchange (SLX) training system, which has real-time video and recording capabilities. Hundreds of platforms are available to facilitate web-based training. DigitalChalk, for example, allows for both synchronous and asynchronous training and allows the instructor or human relations manager to track training progress and completion.DigitalChalk website, accessed August 12, 2010, http://www.digitalchalk.com/. Some companies use SharePoint, an intranet platform, to store training videos and materials.Microsoft’s SharePoint website, accessed August 12, 2010, http://sharepoint.microsoft.com/en-us/Pages/default.aspx. Blackboard and Angel (used primarily by higher education institutions) allows human resource managers to create training modules, which can be moderated by a facilitator or managed in a self-paced format. In any of the platforms available, media such as video and podcasts can be included within the training.

Considerations for selecting a web-based platform include the following:

· Is there a one-time fee or a per-user fee?

· Do the majority of your employees use a Mac or a PC, and how does the platform work with both systems?

· Is there enough bandwidth in your organization to support this type of platform?

· Is the platform flexible enough to meet your training needs?

· Does the software allow for collaboration and multimedia?

· Is there training for the trainer in adoption of this system? Is technical support offered?

Job Shadowing Training Delivery

Job shadowing is a training delivery method that places an employee who already has the skills with another employee who wants to develop those skills. Apprenticeships use job shadowing as one type of training method. For example, an apprentice electrician would shadow and watch the journeyman electrician perform the skills and tasks and learn by watching. Eventually, the apprentice would be able to learn the skills to do the job alone. The downside to this type of training is the possibility that the person job shadowing may learn “bad habits” or shortcuts to performing tasks that may not be beneficial to the organization.

Fortune 500 Focus

It takes a lot of training for the Walt Disney Company to produce the best Mickey Mouse, Snow White, Aladdin, or Peter Pan. In Orlando at Disneyworld, most of this training takes place at Disney University. Disney University provides training to its 42,000 cast members (this is what Disney calls employees) in areas such as culinary arts, computer applications, and specific job components. Once hired, all cast members go through a two-day Disney training program called Traditions, where they learn the basics of being a good cast member and the history of the company. For all practical purposes, Traditions is a new employee orientation.

Training doesn’t stop at orientation, though. While all positions receive extensive training, one of the most extensive trainings are especially for Disney characters, since their presence at the theme parks is a major part of the customer experience. To become a character cast member, a character performer audition is required. The auditions require dancing and acting, and once hired, the individual is given the job of several characters to play. After a two-week intensive training process on character history, personalities, and ability to sign the names of the characters (for the autograph books sold at the parks for kids), an exam is given. The exam tests competency in character understanding, and passing the exam is required to become hired.Jim Hill, “Blood, Sweat, and Fur,” Jim Hill Media, May 2005, accessed July 30, 2011, http://jimhillmedia.com/guest_writers1/b/rob_bloom/archive/2005/05/03/1703.aspx.

While Disney University trains people for specific positions, it also offers an array of continuing development courses called Disney Development Connection. Disney says in 2010, more than 3,254,596 hours were spent training a variety of employees,“Training and Development,” Disney, accessed July 30, 2011, http://corporate.disney.go.com/citizenship2010/disneyworkplaces/overview/traininganddevelopment/. from characters to management. The training doesn’t stop at in-house training, either. Disney offers tuition reimbursement up to $700 per credit and pays for 100 percent of books and $100 per course for cost of other materials. In 2010, Disney paid over $8 million in tuition expenses for cast members.“Training and Development,” Disney, accessed July 30, 2011, http://corporate.disney.go.com/citizenship2010/disneyworkplaces/overview/traininganddevelopment/.

Disney consistently ranks in “America’s Most Admired Companies” by Fortune Magazine, and its excellent training could be one of the many reasons.

Job Swapping Training Delivery

Job swapping is a method for training in which two employees agree to change jobs for a period of time. Of course, with this training delivery method, other training would be necessary to ensure the employee learns the skills needed to perform the skills of the new job. Job swap options can be motivational to employees by providing a change of scenery. It can be great for the organization as well to cross-train employees in different types of jobs. However, the time spent learning can result in unproductive time and lost revenue.

Vestibule Training Delivery

In vestibule training, training is performed near the worksite in conference rooms, lecture rooms, and classrooms. This might be an appropriate method to deliver orientations and some skills-based training. For example, to become a journeyman electrician, an apprentice performs job shadowing, on-the-job training, and vestibule training to learn the law and codes related to electricity installation. During the busy holiday season, Macy’s uses vestibule training to teach new hires how to use the cash register system and provides skills training on how to provide great customer service.Macy’s website, accessed July 27, 2010, http://www.macysjobs.com/about/.

Many organizations use vestibule training for technical training, safety training, professional training, and quality training. It can also be appropriate for managerial training, soft skills training, and team training. As you can tell, this delivery method, like web-based training delivery, is quite versatile. For some jobs or training topics, this may take too much time away from performing the actual “job,” which can result in lost productivity.

International Assignment Training

Since we are working within a global economy, it might be necessary to provide training to employees who are moving overseas or working overseas. Up to 40 percent of international assignments are terminated early because of a lack of international training.Sherry E. Sullivan and Howard Tu, “Preparing Yourself for an International Assignment,” Bnet, accessed September 15, 2011, http://findarticles.com/p/articles/mi_m1038/is_n1_v37/ai_14922926/. Ensuring success overseas is reliant upon the local employee’s learning how to navigate in the new country. The following topics might be included in this type of training:

1. Cultural differences and similarities

2. Insight and daily living in the country

3. Social norms and etiquette

4. Communication training, such as language skills

This training is best delivered by a professional in the region or area in which the employee will be working. We discuss this topic in more detail in Chapter 14 "International HRM".

KEY TAKEAWAYS

· Training delivery methods are important to consider, depending on the type of training that needs to be performed.

· Most organizations do not use only one type of training delivery method; a combination of many methods will be used.

· On-the-job coaching delivery method is a training delivery method in which an employee is assigned to a more experienced employee or manager to learn the skills needed for the job. This is similar to the mentor training delivery method, except a mentor training method is less about skills training and more about ongoing employee development.

· Brown bag lunch training delivery is normally informal and can involve personal development as well as specific job-related skills.

· Web-based training is any type of training that is delivered using technology.

· There are numerous platforms that can be used for web-based training and considerations, such as cost, when selecting a platform for use.

· A synchronous training method is used for web-based training and refers to delivery that is led by a facilitator. An asynchronous training method is one that is self-directed.

· Job shadowing is a delivery method consisting of on-the-job training and the employee’s learning skills by watching someone more experienced.

· To motivate employees and allow them to develop new skills, job swapping training delivery may be used. This occurs when two people change jobs for a set period of time to learn new skills. With this method, it is likely that other methods will also be used, too.

· Vestibule training delivery is also known as “near site” training. It normally happens in a classroom, conference room, or lecture room and works well to deliver orientations and some skills-based training. Many organizations also use vestibule training for technical training, safety training, professional training, and quality training.

· Since many companies operate overseas, providing training to those employees with international assignments can better prepare them for living and working abroad.

EXERCISES

1. Do an Internet search on web-based training. Discuss two of the platforms you found. What are the features and benefits?

2. Which training delivery method do you think you personally would prefer in a job and why?

3. What do you see as advantages and disadvantages to each type of training method?

8.4 Designing a Training Program

LEARNING OBJECTIVES

1. Be able to design a training program framework.

2. Understand the uses and applications of a career development program.

The next step in the training process is to create a training framework that will help guide you as you set up a training program. Information on how to use the framework is included in this section.

Training Program Framework Development

When developing your training plan, there are a number of considerations. Training is something that should be planned and developed in advance.

Figure 8.6 Training Program Development Model

The considerations for developing a training program are as follows:

1. Needs assessment and learning objectives. This part of the framework development asks you to consider what kind of training is needed in your organization. Once you have determined the training needed, you can set learning objectives to measure at the end of the training.

2. Consideration of learning styles. Making sure to teach to a variety of learning styles is important to development of training programs.

3. Delivery mode. What is the best way to get your message across? Is web-based training more appropriate, or should mentoring be used? Can vestibule training be used for a portion of the training while job shadowing be used for some of the training, too? Most training programs will include a variety of delivery methods.

4. Budget. How much money do you have to spend on this training?

5. Delivery style. Will the training be self-paced or instructor led? What kinds of discussions and interactivity can be developed in conjunction with this training?

6. Audience. Who will be part of this training? Do you have a mix of roles, such as accounting people and marketing people? What are the job responsibilities of these individuals, and how can you make the training relevant to their individual jobs?

7. Content. What needs to be taught? How will you sequence the information?

8. Timelines. How long will it take to develop the training? Is there a deadline for training to be completed?

9. Communication. How will employees know the training is available to them?

10. Measuring effectiveness of training. How will you know if your training worked? What ways will you use to measure this?

Human Resource Recall

Can you think of a time where you received training, but the facilitator did not connect with the audience? Does that ever happen in any of your classes (of course not this one, though)?

Needs Assessment

The first step in developing a training program is to determine what the organization needs in terms of training. There are three levels of training needs assessment: organizational assessment, occupational (task) assessment, and individual assessment:

1. Organizational assessment. In this type of needs assessment, we can determine the skills, knowledge, and abilities a company needs to meet its strategic objectives. This type of assessment considers things such as changing demographics and technological trends. Overall, this type of assessment looks at how the organization as a whole can handle its weaknesses while promoting strengths.

2. Occupational (task) assessment. This type of assessment looks at the specific tasks, skills knowledge, and abilities required to do jobs within the organization.

3. Individual assessment. An individual assessment looks at the performance of an individual employee and determines what training should be accomplished for that individual.

We can apply each of these to our training plan. First, to perform an organizational assessment, we can look at future trends and our overall company’s strategic plan to determine training needs. We can also see how jobs and industries are changing, and knowing this, we can better determine the occupational and individual assessments.

Researching training needs can be done through a variety of ways. One option is to use an online tool such as SurveyMonkey to poll employees on what types of training they would like to see offered.

As you review performance evaluations turned in by your managers, you may see a pattern developing showing that employees are not meeting expectations. As a result, this may provide data as to where your training is lacking.

There are also types of training that will likely be required for a job, such as technical training, safety training, quality training, and professional training. Each of these should be viewed as separate training programs, requiring an individual framework for each type of training. For example, an employee orientation framework will look entirely different from an in-house technical training framework.

Training must be tied to job expectations. Any and all training developed should transfer directly to the skills of that particular employee. Reviewing the HR strategic plan and various job analyses may help you see what kind of training should be developed for specific job titles in your organization.

Learning Objectives

After you have determined what type of training should occur, learning objectives for the training should be set. A learning objective is what you want the learner to be able to do, explain, or demonstrate at the end of the training period. Good learning objectives are performance based and clear, and the end result of the learning objective can be observable or measured in some way. Examples of learning objectives might include the following:

1. Be able to explain the company policy on sexual harassment and give examples of sexual harassment.

2. Be able to show the proper way to take a customer’s order.

3. Perform a variety of customer needs analyses using company software.

4. Understand and utilize the new expense-tracking software.

5. Explain the safety procedure in handling chemicals.

6. Be able to explain the types of communication styles and strategies to effectively deal with each style.

7. Demonstrate ethics when handling customer complaints.

8. Be able to effectively delegate to employees.

Once we have set our learning objectives, we can utilize information on learning styles to then determine the best delivery mode for our training.

Learning Styles

Understanding learning styles is an important component to any training program. For our purposes, we will utilize a widely accepted learning style model. Recent research has shown that classifying people into learning styles may not be the best way to determine a style, and most people have a different style depending on the information being taught. In a study by Pashler et al.,Harold Pashler, Mark McDaniel, Doug Rohrer, and Robert Bjork, “Learning Styles: Concepts and Evidence,” Psychological Science in the Public Interest 9, no. 3 (2008): 109–19, accessed February 26, 2011, http://www.psychologicalscience.org/journals/pspi/PSPI_9_3.pdf. the authors look at aptitude and personality as key traits when learning, as opposed to classifying people into categories of learning styles. Bearing this in mind, we will address a common approach to learning styles next.

An effective trainer tries to develop training to meet the three different learning styles:“What’s YOUR Learning Style?” adapted from Instructor Magazine, University of South Dakota, August 1989, accessed July 28, 2010, http://people.usd.edu/~bwjames/tut/learning-style/.

1. Visual learner. A visual learner usually has a clear “picture” of an experience. A visual learner often says things such as “I can see what you are saying” or “This looks good.” A visual learner is best reached using graphics, pictures, and figures.

2. Auditory learner. An auditory learner learns by sound. An auditory learner might say, “If I hear you right” or “What do you hear about this situation?” The auditory learner will learn by listening to a lecture or to someone explaining how to do something.

3. Kinesthetic learner. A kinesthetic learner learns by developing feelings toward an experience. These types of learners tend to learn by doing rather than listening or seeing someone else do it. This type of learner will often say things such as “This feels right.”

Most individuals use more than one type of learning style, depending on what kinds of information they are processing. For example, in class you might be a visual learner, but when learning how to change a tire, you might be a kinesthetic learner.

Delivery Mode

Depending on the type of training that needs to be delivered, you will likely choose a different mode to deliver the training. An orientation might lend itself best to vestibule training, while sexual harassment training may be better for web-based training. When choosing a delivery mode, it is important to consider the audience and budget constrictions. For example, Oakwood Worldwide, a provider of temporary housing, recently won the Top 125 Training Award for its training and development programs.“Oakwood Worldwide Honored by Training Magazine for Fifth Consecutive Year Training also Presents Oakwood with Best Practice Award,” press release, February 25, 2011, Marketwire, accessed February 26, 2011, http://www.live-pr.com/en/oakwood-worldwide-honored-by-training-magazine-r1048761409.htm. It offers in-class and online classes for all associates and constantly add to its course catalog. This is a major recruitment as well as retention tool for its employees. In fact, the company credits this program for retaining 25 percent of its workforce for ten years or more. Table 8.1 "Types of Training and Delivery" looks at each of the types of training and suggests appropriate options for delivery modes.

Table 8.1 Types of Training and Delivery

Delivery Method	Type of Training Suggested
On-the-job coaching	Technical training
	Skills training
	Managerial training
	Safety training
Mentor	Technical training
	Skills training
	Managerial training
	Safety training
Brown bag lunch	Quality training
	Soft skills training
	Professional training
	Safety training
Web-based	Technical training
	Quality training
	Skills training
	Soft skills training
	Professional training
	Team training
	Managerial training
	Safety training
Job shadowing	Technical training
	Quality training
	Skills training
	Safety training
Job swapping	Technical training
	Quality training
	Skills training
	Professional training
	Team training
	Managerial training
	Safety training
Vestibule training	Technical training
	Quality training
	Skills training
	Soft skills training
	Professional training
	Team training
	Managerial training
	Safety training

Budget

How much money do you think the training will cost? The type of training performed will depend greatly on the budget. If you decide that web-based training is the right delivery mode, but you don’t have the budget to pay the user fee for the platform, this wouldn’t be the best option. Besides the actual cost of training, another cost consideration is people’s time. If employees are in training for two hours, what is the cost to the organization while they are not able to perform their job? A spreadsheet should be developed that lists the actual cost for materials, snacks, and other direct costs, but also the indirect costs, such as people’s time.

Delivery Style

Taking into consideration the delivery method, what is the best style to deliver this training? It’s also important to keep in mind that most people don’t learn through “death by PowerPoint”; they learn in a variety of ways, such as auditory, kinesthetic, or visual. Considering this, what kinds of ice breakers, breakout discussions, and activities can you incorporate to make the training as interactive as possible? Role plays and other games can make the training fun for employees. Many trainers implement online videos, podcasts, and other interactive media in their training sessions. This ensures different learning styles are met and also makes the training more interesting.

Audience

Considering your audience is an important aspect to training. How long have they been with the organization, or are they new employees? What departments do they work in? Knowing the answers to these questions can help you develop a relevant delivery style that makes for better training. For example, if you know that all the people attending the training are from the accounting department, examples you provide in the training can be focused on this type of job. If you have a mixed group, examples and discussions can touch on a variety of disciplines.

Content Development

The content you want to deliver is perhaps one of the most important parts in training and one of the most time-consuming to develop. Development of learning objectives or those things you want your learners to know after the training makes for a more focused training. Think of learning objectives as goals—what should someone know after completing this training? Here are some sample learning objectives:

1. Be able to define and explain the handling of hazardous materials in the workplace.

2. Be able to utilize the team decision process model.

3. Understand the definition of sexual harassment and be able to recognize sexual harassment in the workplace.

4. Understand and be able to explain the company policies and structure.

After you have developed the objectives and goals, you can begin to develop the content of the training. Consideration of the learning methods you will use, such as discussion and role playing, will be outlined in your content area.

Development of content usually requires a development of learning objectives and then a brief outline of the major topics you wish to cover. With that outline, you can “fill in” the major topics with information. Based on this information, you can develop modules or PowerPoint slides, activities, discussion questions, and other learning techniques.

Timelines

For some types of training, time lines may be required to ensure the training has been done. This is often the case for safety training; usually the training should be done before the employee starts. In other words, in what time frame should an employee complete the training?

Another consideration regarding time lines is how much time you think you need to give the training. Perhaps one hour will be enough, but sometimes, training may take a day or even a week. After you have developed your training content, you will likely have a good idea as to how long it will take to deliver it. Consider the fact that most people do not have a lot of time for training and keep the training time realistic and concise.

From a long-term approach, it may not be cost effective to offer an orientation each time someone new is hired. One consideration might be to offer orientation training once per month so that all employees hired within that month are trained at the same time.

Development of a dependable schedule for training might be ideal, as in the following example:

1. Orientation is offered on the first Thursday of every month.

2. The second and third Tuesday will consist of vestibule training on management skills and communication.

3. Twice yearly, in August and March, safety and sexual harassment training will be given to meet the legal company requirements.

Developing a dependable training schedule allows for better communication to your staff, results in fewer communication issues surrounding training, and allows all employees to plan ahead to attend training.

Communication

Once you have developed your training, your next consideration is how you will communicate the available training to employees. In a situation such as an orientation, you will need to communicate to managers, staff, and anyone involved in the training the timing and confirm that it fits within their schedule. If it is an informal training, such as a brown bag lunch on 401(k) plans, this might involve determining the days and times that most people are in the office and might be able to participate. Because employees use Mondays and Fridays, respectively, to catch up and finish up work for the week, these days tend to be the worst for training.

Consider utilizing your company’s intranet, e-mail, and even old-fashioned posters to communicate the training. Many companies have Listservs that can relay the message to only certain groups, if need be.

Human Resource Recall

What can happen if training is not communicated to employees appropriately?

Measuring Effectiveness

After we have completed the training, we want to make sure our training objectives were met. One model to measure effectiveness of training is the Kirkpatrick model,Donald Kirkpatrick, Evaluating Training Programs, 3rd ed. (San Francisco: Berrett-Koehler, 2006). developed in the 1950s. His model has four levels:

1. Reaction: How did the participants react to the training program?

2. Learning: To what extent did participants improve knowledge and skills?

3. Behavior: Did behavior change as a result of the training?

4. Results: What benefits to the organization resulted from the training?

Each of Kirkpatrick’s levels can be assessed using a variety of methods. We will discuss those next.

Figure 8.7 Kirkpatrick’s Four Levels of Training Evaluation

Review the performance of the employees who received the training, and if possible review the performance of those who did not receive the training. For example, in your orientation training, if one of the learning objectives was to be able to request time off using the company intranet, and several employees who attended the training come back and ask for clarification on how to perform this task, it may mean the training didn’t work as well as you might have thought. In this case, it is important to go back and review the learning objectives and content of your training to ensure it can be more effective in the future.

Many trainers also ask people to take informal, anonymous surveys after the training to gauge the training. These types of surveys can be developed quickly and easily through websites such as SurveyMonkey. Another option is to require a quiz at the end of the training to see how well the employees understand what you were trying to teach them. The quiz should be developed based on the learning objective you set for the training. For example, if a learning objective was to be able to follow OSHA standards, then a quiz might be developed specifically related to those standards. There are a number of online tools, some free, to develop quizzes and send them to people attending your training. For example, Wondershare QuizCreatorWonderShare QuizCreator, accessed July 29, 2010, http://www.sameshow.com/quiz-creator.html#172. offers a free trial and enables the manager to track who took the quiz and how well they did. Once developed by the trainer, the quiz can be e-mailed to each participant and the manager can see how each trainee did on the final quiz. After you see how participants do on the quiz, you can modify the training for next time to highlight areas where participants needed improvement.

It can be easy to forget about this step in the training process because usually we are so involved with the next task: we forget to ask questions about how something went and then take steps to improve it.

One way to improve effectiveness of a training program is to offer rewards when employees meet training goals. For example, if budget allows, a person might receive a pay increase or other reward for each level of training completed.

Figure 8.8

Once the training framework has been developed, the training content can be developed. The training plan serves as a starting point for training development.

Career Development Programs and Succession Planning

Another important aspect to training is career development programs. A career development program is a process developed to help people manage their career, learn new things, and take steps to improve personally and professionally. Think of it as a training program of sorts, but for individuals. Sometimes career development programs are called professional development plans.

Figure 8.9 Sample Career Development Plan Developed by an Employee and Commented on by Her Manager

As you can see, the employee developed goals and made suggestions on the types of training that could help her meet her goals. Based on this data, the manager suggested in-house training and external training for her to reach her goals within the organization.

Career development programs are necessary in today’s organizations for a variety of reasons. First, with a maturing baby-boom population, newer employees must be trained to take those jobs once baby boomers retire. Second, if an employee knows a particular path to career development is in place, this can increase motivation. A career development plan usually includes a list of short- and long-term goals that employees have pertaining to their current and future jobs and a planned sequence of formal and informal training and experiences needed to help them reach the goals. As this chapter has discussed, the organization can and should be instrumental in defining what types of training, both in-house and external, can be used to help develop employees.

To help develop this type of program, managers can consider a few components:Martha Heller, “Six Tips for Effective Employee Development Programs,” CIO Magazine, June 15, 2005, accessed July 28, 2010, http://www.cio.com/article/29169/Six_Tips_for_Effective_Career_Development_Programs.

1. Talk to employees. Although this may seem obvious, it doesn’t always happen. Talking with employees about their goals and what they hope to achieve can be a good first step in developing a formal career development program.

2. Create specific requirements for career development. Allow employees to see that if they do A, B, and C, they will be eligible for promotion. For example, to become a supervisor, maybe three years of experience, management training, and communication training are required. Perhaps an employee might be required to prove themselves in certain areas, such as “maintain and exceed sales quota for eight quarters” to be a sales manager. In other words, in career development there should be a clear process for the employees to develop themselves within the organization.

3. Use cross-training and job rotation. Cross-training is a method by which employees can gain management experience, even if for short periods of time. For example, when a manager is out of the office, putting an employee “in charge” can help the employee learn skills and abilities needed to perform that function appropriately. Through the use of job rotation, which involves a systematic movement of employees from job to job within an organization, employees can gain a variety of experiences to prepare them for upward movement in the organization.

4. Utilize mentors. Mentorship can be a great way for employees to understand what it takes to develop one’s career to the next level. A formal mentorship program in place with willing mentees can add value to your career development program.

Figure 8.10 Career Development Sample Process to Become an Accounts Payable Manager

There are many tools on the web, including templates to help employees develop their own career development plans. Many organizations, in fact, ask employees to develop their own plans and use those as a starting point for understanding long-term career goals. Then hopefully the organization can provide them with the opportunities to meet these career goals. In the late 1980s, many employees felt that career opportunities at their current organizations dwindled after seeing the downsizing that occurred. It gave employees the feeling that companies were not going to help develop them, unless they took the initiative to do so themselves. Unfortunately, this attitude means that workers will not wait for career opportunities within the company, unless a clear plan and guide is put into place by the company.Peter Capelli, “A Balanced Plan for Career Development,” n.d., Microsoft, accessed July 29, 2010, http://office.microsoft.com/en-us/word-help/a-balanced-plan-for-career-development-HA001126815.aspx. Here is an example of a process that can be used to put a career development program in place:Jose Trueba Adolfo, “The Career Development Plan: A Quick Guide for Managers and Supervisors,” n.d., National Career Development Association, accessed July 29, 2010, http://associationdatabase.com/aws/NCDA/pt/sd/news_article/6420/_PARENT/layout_details/false.

1. Meet individually with employees to identify their long-term career interests (this may be done by human resources or the direct manager).

2. Identify resources within the organization that can help employees achieve their goals. Create new opportunities for training if you see a gap in needs versus what is currently offered.

3. Prepare a plan for each employee, or ask them to prepare the plan.

4. Meet with the employee to discuss the plan.

5. During performance evaluations, revisit the plan and make changes as necessary.

Identifying and developing a planning process not only helps the employee but also can assist the managers in supporting employees in gaining new skills, adding value, and motivating employees.

Figure 8.11 Career Development Planning Process

KEY TAKEAWAYS

· There are a number of key considerations in developing a training program. Training should not be handled casually but instead developed specifically to meet the needs of the organization. This can be done by a needs assessment consisting of three levels: organizational, occupational, and individual assessments.

· The first consideration is the delivery mode; depending on the type of training and other factors, some modes might be better than others.

· Budget is a consideration in developing training. The cost of materials, but also the cost of time, should be considered.

· The delivery style must take into account people’s individual learning styles. The amount of lecture, discussion, role plays, and activities are considered part of delivery style.

· The audience for the training is an important aspect when developing training. This can allow the training to be better developed to meet the needs and the skills of a particular group of people.

· The content obviously is an important consideration. Learning objectives and goals for the training should be developed before content is developed.

· After content is developed, understanding the time constraints is an important aspect. Will the training take one hour or a day to deliver? What is the time line consideration in terms of when people should take the training?

· Letting people know when and where the training will take place is part of communication.

· The final aspect of developing a training framework is to consider how it will be measured. At the end, how will you know if the trainees learned what they needed to learn?

· A career development process can help retain good employees. It involves creating a specific program in which employee goals are identified and new training and opportunities are identified and created to help the employee in the career development process.

EXERCISES

1. Develop a rough draft of a training framework using Figure 8.8 for a job you find on Monster.com.

2. Write three learning objectives you think would be necessary when developing orientation training for a receptionist in an advertising firm.

3. Why is a career development plan important to develop personally, even if your company doesn’t have a formal plan in place? List at least three reasons and describe.

8.5 Cases and Problems

Chapter Summary

· Employee training and development is a necessity in today’s work environment. Training and development can lead to lower turnover and increased motivation.

· There are four basic steps to employee training: employee orientation, in-house training, mentoring, and external training.

· Different types of training can be delivered, each falling into the steps of employee training. These include technical or technology training, quality training, skills training, soft skills training, professional training, team training, managerial training, and safety training.

· Within the types of training, we need to determine which method is best for the actual delivery of training. Options include on-the-job training, mentor training, brown bag lunches, web-based training, job shadowing, job swapping, and vestibule training.

· Development of a training development framework is the first step in solidifying the training.

· Considerations and steps to developing the training framework include determining the training needs, delivery modes, budget, delivery style, audience, content, time lines, communication of the training, and measurement of the training.

· Career development programs can be an essential piece to the training puzzle. A comprehensive program or plan, either developed by employees or administered by HR, can help with motivation and fill the gap when people in the organization leave or retire. It can also be used as a motivational tool.

Summary

(click to see video)

The author provides a video summary of the chapter.

Chapter Case

New on the Job

JoAnn Michaels just started her job as human resources manager at In the Dog House, a retail chain specializing in dog apparel and accessories. She is a good friend of yours you met in college.

The organization has 35 stores with 250 employees in Washington, Idaho, and Oregon. As the chain has grown, the training programs have been conducted somewhat piecemeal. Upon visiting some of the stores in a three-week tour, JoAnn has realized that all the stores seem to have different ways of training their in-store employees.

When she digs further, she realizes even the corporate offices, which employ seventy-five people, have no formal training program. In the past, they have done informal and optional brown bag lunch training to keep employees up to date. As a result, JoAnn develops a survey using SurveyMonkey and sends it to all seventy-five corporate employees. She created a rating system, with 1 meaning strongly disagree and 5 meaning strongly agree. Employees were not required to answer all questions, hence the variation in the number of responses column. After this task, JoAnn creates a slightly different survey and sends it to all store managers, asking them to encourage their retail employees to take the survey. The results are shown here.

In the Dog House Corporate Employee Survey Results
Question	Number of Responses	Average Rating
I am paid fairly.	73	3.9
I feel my group works well as a team.	69	2.63
I appreciate the amount of soft skills training offered at In the Dog House.	74	2.1
I can see myself growing professionally here.	69	1.95
I feel I am paid fairly.	74	3.8
I have all the tools and equipment I need to do my job.	67	4.2
I feel confident if there were an emergency at the office, I would know what to do and could help others.	73	2.67
I think my direct supervisor is an excellent manager.	55	2.41
The orientation training I received was helpful in understanding the expectations of the job.	75	3.1
I would take training related to my job knowing there would be a reward offered for doing so.	71	4.24
In the Dog House Retail Employee Survey Results
Question	Number of Responses	Average Rating
I am content with the benefits I am receiving.	143	1.2
I feel my store works well as a team.	190	4.1
I appreciate the amount of product training and information offered at In the Dog House.	182	2.34
I can see myself growing professionally here.	158	1.99
I feel I am paid fairly.	182	3.2
My supervisor works with my schedule, so I work at times that are convenient for me.	172	3.67
I feel confident if I had to evacuate the store, I would know what to do and could help customers.	179	2.88
I think my store manager is a great manager.	139	3.34
The orientation training I received was helpful in understanding the expectations of the job.	183	4.3
I am interested in developing my career at In the Dog House.	174	1.69

Based on the information JoAnn received from her survey, she decided some changes need to be made. JoAnn asks you to meet for coffee and take a look at the results. After you review them, JoAnn asks you the following questions. How would you respond to each?

1. “Obviously, I need to start working on some training programs. Which topics do you think I should start with?”

2. “How do I go about developing a training program that will be really useful and make people excited? What are the steps I need to take?”

3. “How should I communicate the training program to the corporate and retail employees? Should the new training I develop be communicated in the same way?”

4. “Do you think that we should look at changing pay and benefits? Why or why not?”

5. “Can you please help me draft a training program framework for what we have discussed? Do you think I should design one for both the corporate offices and one for the retail stores?” (Hint: Look at Figure 8.8 for guidelines.)

Team Activity

1. In teams of three to four, outline a two-hour training program for managers to better understand motivation for their employees. Motivation is discussed in Chapter 7 "Retention and Motivation". Use the training development model discussed in this chapter. Your training should address learning objectives, delivery modes, budget, delivery style, time line, communication, and measurement. Prepare a five-minute presentation to present in class.

2. Using the same plan above, plan and deliver the content to the rest of the class.

Stephen Gill's "Stop Relying on Training for Employee Learning"

This article argues that formal training wastes organizational resources and that "push learning" is frequently unproductive. The author believes that creating an organizational culture of on-going, work-driven learning is far more effective. Brainstorm some industries where you believe this model works, and where it does not. Could you argue that the outcome of formal training depends on the type of learner, rather than the the type of learning?

Stop Relying on Training for Employee Learning

Formal training continues to take up too many organizational resources. Formal, event-based training (courses, workshops, seminars, MOOCs) has a place in corporate learning, but only a small place and only for employee learning that cannot be achieved in other, more timely, less costly, and more effective ways.

This is because formal training (referred to as "push" learning), regardless of how well it is delivered to employees, is limited in its impact:

· Learning is not retained. Although forgetting varies depending on the content, training design, and workplace environment, some research shows that students forget 70 percent of what they are taught within 24 hours and they forget 90 percent after a week.

· Learning is not applied. Research shows that only between 10 percent and 50 percent of training participants, depending on non-training factors, apply what they have learned to their work.

· Learning is not experienced by those who need it most. Employees who need performance improvement the most are usually not the ones who receive training. Because they are not given the opportunity, or not encouraged by their managers, or the training is not delivered in a way that makes it accessible, many employees are never exposed to what they need.

· Training does not promote creativity and innovation. This way of thinking is antithetical to formal training which depends on a predetermined set of objectives and curriculum. Creativity and innovation comes from the unanticipated and the unexpected; the willingness to veer from the old way of doing things and experiment with ideas that have never been applied before.

· Training does not have the flexibility a growing contingent of the workforce needs. Many companies rely on a constant flow of contract and temporary workers who need to be brought onboard quickly, adapt to a continuously changing environment, and cannot wait for a training program.

· Training does not work for rare events. For example, employees need to be able to respond to the workplace, life-threatening accidents they cannot anticipate and may never occur. When these accidents do occur, employees are not ready because the relevant training took place weeks, or months, or years, earlier.

More than formal training programs, we need learning that is targeted, relevant, and can be applied immediately. We need to create an organizational culture where learning is on-going and happens during the course of work, where workers "pull" the learning they need, when they need it. Most learning happens on-the-job anyway. The challenge is to make sure workers receive correct and useful information. If it is learning through trial-and-error, employees need to receive feedback that helps them learn. With the technology available today, there is no reason why we cannot get just the right information to individual employees when, where, and how they need it.

—July 13, 2015

Unit 5: Performance Management and Measurement

Many businesses define success as an individual's ability to live up to the demands of their position. With proper job analysis, it should be easy to quantify the level of success or failure of each employee. However, managers can be distracted by certain irrelevant biases during the employee performance review process. For example, they can be subject to leniency, or the proclivity to be "too nice" because they dislike confrontation or are afraid to hurt their employee's feelings. The halo effect refers to a tendency to focus on one positive aspect of an employee's performance, such as the ability to meet their sales quota, rather than look at their overall contribution to the organization. Recently, many companies have incorporated "360 degree" approach in which employees also review their managers and co-workers to find ways to increase company-wide productivity and performance. Business managers should explore various types of appraisal systems to determine the one that best fits their organization's culture and strategy.

Completing this unit should take you approximately 4 hours.

· Upon successful completion of this unit, you will be able to:

· explain the distinction between performance management and performance appraisals; and

· conceptualize HR strategies to improve overall organizational success.

· 5.1: Performance Management Systems

· Human Resource Management: "Chapter 10: Managing Employee Performance"URL

Watch the introductory video and read this chapter to learn about common performance issues in the workplace. When you finish reading, you should be able to say why it is important for human resources to establish clear and communicated policies to handle performance issues. These policies play an important role in avoiding wrongful termination legal actions. In addition, this chapter details the disciplinary actions when performance issues arise. Establishing clear objectives regarding performance management is an essential component to organizational success.

· HR Basics: Performance and RewardsPage

Watch this short video regarding the importance of performance management. Performance management is centered around setting goals, tracking progress of the goals, and rewarding when goals are met. Meeting performance goals leads to meeting organizational goals.

· 5.2: Performance Appraisal for Human Capital

· Boundless Business: "Chapter 12, Section 4: Developing Employees: Performance Assessment"Page

This article notes the importance of assessing employee job performance on clear pre-established criteria and objectives. Since employee performance can make or break a company, performance management can be critical. Review the graphic that reflects how performance standards, performance measurement, reporting of progress, and quality improvement processes are all components of an effective performance management system.

· Organizational Behavior: "Chapter 6: Motivating Employees Through Personnel Appraisals"URL

This chapter explains why companies use performance appraisals, the basic characteristics of successful performance appraisals, the advantages and disadvantages of the different types, and how to conduct a performance appraisal meeting.

· Boundless Business Fundamentals: "Chapter 5, Section 2: Performance Appraisal: Appraisal Methods"Page

Read this article that details various performance appraisal methods, such as graphic rating scales, behavioral methods, and 2+2 feedback. Substantial planning is required to develop the most appropriate appraisal method to maximize performance results. Which appraisal method do you believe you would be most likely to respond positively toward?

Chapter 10Managing Employee Performance

A Dilemma

You have been the store manager for a large coffee shop for three years but have never had this type of problem employee to handle before, and you schedule a meeting to speak with your HR manager about it. Jake, one of your best employees, has recently begun to have some problems. He is showing up to work late at least twice per week, and he missed the mandatory employee meeting on Saturday morning. When you ask him about it, he says that he is having some personal problems and will try to get better.

For a bit of time, Jake does get better, comes to work on time, and is his normal, pleasant self when helping customers. However, the situation gets more serious two weeks later when Jake comes to work smelling of alcohol and wearing the same clothes he wore to work the day before. You overhear some of the employees talking about Jake’s drinking problem. You pull Jake aside and ask him what is happening. He says his wife kicked him out of the house last night and he stayed with a friend, but he didn’t have time to gather any of his belongings when he left his house. You accept his answer and hope that things will get better.

A week later, when Jake arrives for his 10–7 shift, he is obviously drunk. He is talking and laughing loudly, smells of alcohol, and has a hard time standing up. You pull him aside and decide to have a serious talk with him. You confront him about his drinking problem, but he denies it, saying he isn’t drunk, just tired from everything happening with his wife. You point out the smell and the inability to stand up, and Jake starts crying and says he quit drinking ten years ago but has recently started again with his impending divorce. He begs for you to give him another chance and promises to stop drinking. You tell him you will think about it, but in the meantime, you send him home.

The meeting with HR is this afternoon and you feel nervous. You want to do what is right for Jake, but you also know this kind of disruptive behavior can’t continue. You like Jake as a person and he is normally a good employee, so you don’t want to fire him. When you meet with the HR manager, he discusses your options. The options, he says, are based on a discipline process developed by HR, and the process helps to ensure that the firing of an employee is both legal and fair. As you review the process, you realize that ignoring the behavior early on has an effect on what you can do now. Since you didn’t warn Jake earlier, you must formally document his behavior before you can make any decision to let him go. You hope that Jake can improve so it doesn’t come down to that.

Managing Employee Performance

(click to see video)

The author introduces the chapter on employee performance.

10.1 Handling Performance

LEARNING OBJECTIVES

1. Explain the types of performance issues that occur in the workplace, and the internal and external reasons for poor performance.

2. Understand how to develop a process for handling employee performance issues.

3. Be able to discuss considerations for initiating layoffs or downsizing.

As you know from reading this book so far, the time and money investment in a new employee is overwhelming. The cost to select, hire, and train a new employee is staggering. But what if that new employee isn’t working out? This next section will provide some examples of performance issues and examples of processes to handle these types of employee problems.

Types of Performance Issues

One of the most difficult parts of managing others isn’t when they are doing a great job—it is when they aren’t doing a good job. In this section, we will address some examples of performance issues and how to handle them.

1. Constantly late or leaves early. While we know that flexible schedules can provide a work-life balance, managing this flexible schedule is key. Some employees may take advantage and, instead of working at home, perform nonwork-related tasks instead.

2. Too much time spent doing personal things at work. Most companies have a policy about using a computer or phone for personal use. For most companies, some personal use is fine, but it can become a problem if someone doesn’t know where to draw the line.

3. Inability to handle proprietary information. Many companies handle important client and patient information. The ability to keep this information private for the protection of others is important to the success of the company.

4. Family issues. Child-care issues, divorce, or other family challenges can cause absenteeism, but also poor work quality. Absenteeism is defined as a habitual pattern of not being at work.

5. Drug and alcohol abuse. The US Department of Labor says that 40 percent of industrial fatalities and 47 percent of industrial injury can be tied to alcohol consumption. The US Department of Labor estimates that employees who use substances are 25–30 percent less productive and miss work three times more often than nonabusing employees.United States Department of Labor, “General Workplace Impact,” 2011, accessed March 8, 2011, http://www.esrcheck.com/wordpress/2011/08/12/studies-show-drugs-in-workplace-cost-employers-billions- and-small-businesses-employ-more-drug-users-but-drug-test-less/. Please keep in mind that when we talk about substance abuse, we are talking about not only illegal drugs but prescription drug abuse as well. In fact, the National Institute on Drug Abuse says that 15.2 million Americans have taken a prescription pain reliever, tranquilizer, or sedative for nonmedical purposes at least once.Barry Fisher, “Targeting Prescription Drug Abuse,” Ventura County Star, March 6, 2011, accessed March 8, 2011, http://www.vcstar.com/news/2011/mar/06/targeting-prescription-drug-abuse/. Substance abuse can cause obvious problems, such as tardiness, absenteeism, and nonperformance, but it can also result in accidents or other more serious issues.

6. Nonperforming. Sometimes employees are just not performing at their peak. Some causes may include family or personal issues, but oftentimes it can mean motivational issues or lack of tools and/or ability to do their current job.

7. Conflicts with management or other employees. While it is normal to have the occasional conflict at work, some employees seem to have more than the average owing to personality issues. Of course, this affects an organization’s productivity.

8. Theft. The numbers surrounding employee theft are staggering. The American Marketing Association estimates $10 billion is lost annually owing to employee theft, while the FBI estimates up to $150 billion annually.“Employee Theft and Legal Aspects,” Net Industries, accessed March 8, 2011, http://law.jrank.org/pages/1084/Employee-Theft-Legal-Aspects-Estimates-cost.html. Obviously, this is a serious employee problem that must be addressed.

9. Ethical breaches. The most commonly reported ethical breaches by employees include lying, withholding information, abusive behavior, and misreporting time or hours worked, according to a National Business Ethics study.“Careers By the Numbers,” InfoWorld, October 2, 2000, accessed August 1, 2011, http://books.google.com/books?id=ST0EAAAAMBAJ&pg=PA93&lpg=PA93&dq=Careers+By+the+Numbers +InfoWorld+October+2,+2000&source=bl&ots=KU2eMTa3C3&sig=rU3s8ywYcc0Z kUbuydMO3wrO1Rc&hl=en&sa=X&ei=yoVsT6PfGYSw0QH11u3TBg&ved=0CCIQ6 AEwAA#v=onepage&q= Careers%20By%20the%20Numbers%20InfoWorld%20October %202%2C%202000&f=false. Sharing certain proprietary information when it is against company policy and violating noncompete agreements are also considered ethical violations. Many companies also have a nonfraternization policy that restricts managers from socializing with nonmanagement employees.

10. Harassment. Engagement of sexual harassment, bullying, or other types of harassment would be considered an issue to be dealt with immediately and, depending on the severity, may result in immediate termination.

11. Employee conduct outside the workplace. Speaking poorly of the organization on blogs or Facebook is an example of conduct occurring outside the workplace that could violate company policy. Violating specific company policies outside work could also result in termination. For example, in 2010, thirteen Virgin Atlantic employees were fired after posting criticisms about customers and joking about the lack of safety on Virgin airplanes in a public Facebook group.Catherine Smith, “Fired Over Facebook,” Huffington Post, July 2010, accessed August 1, 2011, http://www.huffingtonpost.com/2010/07/26/fired-over-facebook-posts_n_659170.html#s115752&title=13_Virgin_Atlantic. In another example, an NFL Indianapolis Colts cheerleader was fired after racy Playboy promotional photos surfaced (before she became a cheerleader) that showed her wearing only body paint.Rick Chandler, “Ex-Colts Cheerleader Sues Team Over Dismissal for Playboy Pics,” NBC Sports, May 11, 2011, accessed August 1, 2011, http://offthebench.nbcsports.com/2011/05/11/ex-colts-cheerleader-sues-team-over-dismissal-for-playboy-pics/.

While certainly not exhaustive, this list provides some insight into the types of problems that may be experienced. As you can see, some of these problems are more serious than others. Some issues may only require a warning, while some may require immediate dismissal. As an HR professional, it is your job to develop policies and procedures for dealing with such problems. Let’s discuss these next.

Fortune 500 Focus

To handle attendance problems at many organizations, a no-fault attendance plan is put into place. In this type of plan, employees are allowed a certain number of absences; when they exceed that number, a progressive discipline process begins and might result in dismissal of the employee. A no-fault attendance policy means there are no excused or unexcused absences, and all absences count against an employee. For example, a company might give one point for an absence that is called in the night before work, a half point for a tardy, and two points for a no-call and no-show absence. When an employee reaches a certain number determined by the company, he or she is disciplined. This type of policy is advantageous in industries in which unplanned absences have a direct effect on productivity, such as manufacturing and production. Another advantage is that managers do not need to make judgment calls on what is an excused versus an unexcused absence, and this can result in fairness to all employees.

One such company with a no-fault attendance policy is Verizon Communications. However, the Equal Employment Opportunity Commission (EEOC) investigated this policy and announced that Verizon will pay $20 million to resolve a disability discrimination lawsuit.Jim Evans, “EEOC Finds Fault with Company’s No Fault Attendance Plan,” Zanesville Times, July 17, 2011, accessed August 1, 2011, http://www.businessmanagementdaily.com/19860/eeoc-finds-fault-with-no-fault-attendance-policies. The lawsuit said that the company, through use of the no-fault attendance policy, denied reasonable accommodations required by the Americans with Disabilities Act (ADA). As a result, hundreds of Verizon employees were disciplined or fired. In this case, the EEOC cites paid or unpaid leave as one way for an employer to provide reasonable accommodations for an employee with a disability. The policy specified there would be no exceptions made to the no-fault attendance policy to accommodate employees with ADA disabilities. When discussing the case, the EEOC chair justified the agency’s position by saying, “Flexibility on leave can enable a worker with a disability to remain employed and productive, a win for the worker, employer, and the economy. By contrast, an inflexible leave policy may deny workers with disabilities a reasonable accommodation.”Jim Evans, “EEOC Finds Fault with Company’s No Fault Attendance Plan,” Zanesville Times, July 17, 2011, accessed August 1, 2011, http://www.businessmanagementdaily.com/19860/eeoc-finds-fault-with-no-fault-attendance-policies. Part of the settlement also involved additional training to Verizon employees on ADA and how to administer the attendance plan. This successful lawsuit shows that even the most seemingly clear performance expectations must be flexible to meet legal obligations.

Human Resource Recall

What would you do if you saw a coworker taking a box of pens home from the office?

What Influences Performance?

When an employee isn’t performing as expected, it can be very disapointing. When you consider the amount of time it takes to recruit, hire, and train someone, it can be disappointing to find that a person has performance issues. Sometimes performance issues can be related to something personal, such as drug or alchol abuse, but often it is a combination of factors. Some of these factors can be internal while others may be external. Internal factors may include the following:

1. Career goals are not being met with the job.

2. There is conflict with other employees or the manager.

3. The goals or expectations are not in line with the employee’s abilities.

4. The employee views unfairness in the workplace.

5. The employee manages time poorly.

6. The employee is dissatisfied with the job.

Some of the external factors may include the following:

1. The employee doesn’t have correct equipment or tools to perform the job.

2. The job design is incorrect.

3. External motivation factors are absent.

4. There is a lack of management support.

5. The employee’s skills and job are mismatched.

All the internal reasons speak to the importance once again of hiring the right person to begin with. The external reasons may be something that can be easily addressed and fixed. Whether the reason is internal or external, performance issues must be handled in a timely manner. This is addressed in Section 10.1.3 "Defining Discipline". We discuss performance issues in greater detail in Chapter 11 "Employee Assessment".

Defining Discipline

If an employee is not meeting the expectations, discipline might need to occur. Discipline is defined as the process that corrects undesirable behavior. The goal of a discipline process shouldn’t necessarily be to punish, but to help the employee meet performance expectations. Often supervisors choose not to apply discipline procedures because they have not documented past employee actions or did not want to take the time to handle the situation. When this occurs, the organization lacks consistency among managers, possibility resulting in motivational issues for other employees and loss of productivity.

To have an effective discipline process, rules and policies need to be in place and communicated so all employees know the expectations. Here are some guidelines on creation of rules and organizational policies:

1. All rules or procedures should be in a written document.

2. Rules should be related to safety and productivity of the organization.

3. Rules should be written clearly, so no ambiguity occurs between different managers.

4. Supervisors, managers, and human resources should communicate rules clearly in orientation, training, and via other methods.

5. Rules should be revised periodically, as the organization’s needs change.

Of course, there is a balance between too many “rules” and giving employees freedom to do their work. However, the point of written rules is to maintain consistency. Suppose, for example, you have a manager in operations and a manager in marketing. They both lead with a different style; the operations manager has a more rigid management style, while the marketing manager uses more of a laissez-faire approach. Suppose one employee in each of the areas is constantly late to work. The marketing manager may not do anything about it, while the operations manager may decide each tardy day merits a “write-up,” and after three write-ups, the employee is let go. See how lack of consistency might be a problem? If this employee is let go, he or she might be able to successfully file a lawsuit for wrongful termination, since another employee with the same performance issue was not let go. Wrongful termination means an employer has fired or laid off an employee for illegal reasons, such as violation of antidiscrimination laws or violation of oral and/or written employee agreements. To avoid such situations, a consistent approach to managing employee performance is a crucial part of the human resources job.

The Role of the Performance Appraisal in Discipline

Besides the written rules, each individual job analysis should have rules and policies that apply to that specific job. We discuss performance appraisal in further detail in Chapter 11 "Employee Assessment", but it is worth a mention here as well. The performance appraisal is a systematic process to evaluate employees on (at least) an annual basis. The organization’s performance appraisal and general rules and policies should be the tools that measure the employee’s overall performance. If an employee breaks the rules or does not meet expectations of the performance appraisal, the performance issue model, which we will discuss next, can be used to correct the behavior.

Performance Issue Model

Because of the many varieties of performance issues, we will not discuss how to handle each type in detail here. Instead, we present a model that can be used to develop policies around performance, for fairness and consistency.

We can view performance issues in one of five areas. First, the mandated issue is serious and must be addressed immediately. Usually, the mandated issue is one that goes beyond the company and could be a law. Examples of mandated issues might include an employee sharing information that violates privacy laws, not following safety procedures, or engaging in sexual harassment. For example, let’s say a hospital employee posts something on his Facebook page that violates patient privacy. This would be considered a mandated issue (to not violate privacy laws) and could put the hospital in serious trouble. These types of issues need to be handled swiftly. A written policy detailing how this type of issue would be handled is crucial. In our example above, the policy may state that the employee is immediately fired for this type of violation. Or, it may mean this employee is required to go through privacy training again and is given a written warning. Whatever the result, developing a policy on how mandated issues will be handled is important for consistency.

The second performance issue can be called a single incident. Perhaps the employee misspeaks and insults some colleagues or perhaps he or she was over budget or late on a project. These types of incidents are usually best solved with a casual conversation to let the employee know what he or she did wasn’t appropriate. Consider this type of misstep a development opportunity for your employee. Coaching and working with the employee on this issue can be the best way to nip this problem before it gets worse.

Figure 10.1 The Process for Handling Performance Issues

Often when single incidents are not immediately corrected, they can evolve into a behavior pattern, which is our third type of performance issue. This can occur when the employee doesn’t think the incident is a big deal because he hasn’t been correct before or may not even realize his is doing something wrong. In this case, it’s important to talk with the employee and let him know what is expected.

If the employee has been corrected for a behavior pattern but continues to exhibit the same behavior, we call this a persistent pattern. Often you see employees correct the problem after an initial discussion but then fall back into old habits. If they do not self-correct, it could be they do not have the training or the skills to perform the job. In this phase of handling performance issues, it is important to let the employee know that the problem is serious and further action will be taken if it continues. If you believe the employee just doesn’t have the skills or knowledge to perform the job, asking him or her about this could be helpful to getting to the root of the problem as well. If the employee continues to be nonperforming, you may consider utilizing the progressive discipline process before initiating an employee separation. However, investigating the performance issue should occur before implementing any sort of discipline.

Investigation of Performance Issues

When an employee is having a performance issue, often it is our responsibility as HR professionals to investigate the situation. Training managers on how to document performance failings is the first step in this process. Proper documentation is necessary should the employee need to be terminated later for the performance issue. The documentation should include the following information:

1. Date of incident

2. Time of incident

3. Location (if applicable) of incident

4. A description of the performance issue

5. Notes on the discussion with the employee on the performance issue

6. An improvement plan, if necessary

7. Next steps, should the employee commit the same infraction

8. Signatures from both the manager and employee

With this proper documentation, the employee and the manager will clearly know the next steps that will be taken should the employee commit the infraction in the future. Once the issue has been documented, the manager and employee should meet about the infraction. This type of meeting is called an investigative interview and is used to make sure the employee is fully aware of the discipline issue. This also allows the employee the opportunity to explain his or her side of the story. These types of meetings should always be conducted in private, never in the presence of other employees.

In unionized organizations, however, the employee is entitled to union representation at the investigative interview. This union representation is normally called interest based bargainingNational Labor Relations Board website, “Administrative Law Judge Orders San Juan Company to Respect Employee Weingarten Rights,” March 28, 2011, accessed August 17, 2011. referring to a National Labor Relations Board case that went to the United States Supreme Court in 1975. Recently, Weingarten rights continued to be protected when Alonso and Carus Ironworks was ordered to cease and desist from threatening union representatives who attempted to represent an employee during an investigative interview.National Labor Relations Board website, “Administrative Law Judge Orders San Juan Company to Respect Employee Weingarten Rights,” March 28, 2011, accessed August 17, 2011.

Options for Handling Performance Issues

Our last phase of dealing with employee problems would be a disciplinary intervention. Often this is called the progressive discipline process. It refers to a series of steps taking corrective action on nonperformance issues. The progressive discipline process is useful if the offense is not serious and does not demand immediate dismissal, such as employee theft. The progressive discipline process should be documented and applied to all employees committing the same offenses. The steps in progressive discipline normally are the following:

1. First offense: Unofficial verbal warning. Counseling and restatement of expectations.

2. Second offense: Official written warning, documented in employee file.

3. Third offense: Second official warning. Improvement plan (discussed later) may be developed. Documented in employee file.

4. Fourth offense: Possible suspension or other punishment, documented in employee file.

5. Fifth offense: Termination and/or alternative dispute resolution.

University of Iowa’s Progressive Discipline Process

The chart below shows the typical progressive discipline process at the University of Iowa:

The Seven Tests of Just Cause

The seven test[s] of just cause represent a practical and effective way to determine whether a proposed disciplinary action is firmly and fairly grounded. It is fair to assume that these tests will be applied by arbitrators in the event that disciplinary actions are challenged, and it is therefore good practice to apply them prospectively when considering the imposition of progressive discipline.

Seven tests:

1. Notice

· Prior to imposition of discipline, employee must have notice of rules and expectations.

· Establish through:

· New employee orientation

· Orientation checklists

· Receipts for departmental handbooks

· Periodic reinforcement/coaching

2. Reasonable Rules and Orders

· Cannot be inconsistent with collective bargaining agreement(s)

· Cannot be arbitrary or capricious

· Must be reasonably related to business necessity

3. Investigation

· Must be thorough; consider all evidence, pro and con.

· Must be timely:

· Should be completed expeditiously

· Occurs before discipline imposed

· Give accused opportunity to respond (Loudermill hearing).

· Allow union representation (Weingarten rights).

4. Fair Investigation

· Result must not be forgone conclusion.

· Test assumptions/bias.

5. Proof

· Level of proof is normally substantial evidence.

· Greater proof required for more serious allegations.

6. Equal Treatment

Equal treatment must be balanced against just application:

· Rules must be applied even-handedly and without discrimination.

· Rules must be applied justly.

· Don’t blindly apply the same rule to all situations—managers/supervisors are expected to exercise judgment.

7. Penalty

· Must be fair, not arbitrary and capricious, or based on emotional response.

· Factor in length of service, prior performance history, and previous progressive discipline.

Source: Reprinted from the University of Iowa’s Office of the Vice President for Research, http://research.uiowa.edu/pimgr/?get=discipline and http://research.uiowa.edu/pimgr/?get=7steps (accessed September 15, 2011).

Another option for handling continued infractions is to consider putting the employee on an improvement plan, which outlines the expectations and steps the employee should take to improve performance. We address this in greater detail in Chapter 11 "Employee Assessment". The plan is detailed and outlined and ensures both parties understand the specific expectations for improvement. If the improvement plan does not work, a progressive discipline process might be used.

Figure 10.2Sample of a Performance Improvement Plan

Whichever direction is taken with disciplining of the employee, documentation is key throughout the process to avoid wrongful termination issues.

Alternative Dispute Resolution

Another option in handling disputes, performance issues, and terminations is alternative dispute resolution (ADR). This method can be effective in getting two parties to come to a resolution. In ADR, an unbiased third party looks at the facts in the case and tries to help the parties come to an agreement. In mediation, the third party facilitates the resolution process, but the results of the process are not binding for either party. This is different from arbitration, in which a person reviews the case and makes a resolution or a decision on the situation. The benefits of ADR are lower cost and flexibility, as opposed to taking the issue to court. We discuss these types of systems in greater detail in Chapter 12 "Working with Labor Unions".

Some organizations use a step-review system. In this type of system, the performance issue is reviewed by consecutively higher levels of management, should there be disagreement by the employee in a discipline procedure. Some organizations also implement a peer resolution system. In this type of system, a committee of management and employees is formed to review employee complaints or discipline issues. In this situation, the peer review system normally involves the peer group reviewing the documentation and rendering a decision. Another type of ADR is called the ombudsman system. In this system, a person is selected (or elected) to be the designated individual for employees to go to should they have a complaint or an issue with a discipline procedure. In this situation, the ombudsman utilizes problem-solving approaches to resolve the issue. For example, at National Geographic Traveler Magazine an ombudsman handles employee complaints and issues and also customer complaints about travel companies.

Example of Mediation in Action

(click to see video)

This longer video shows an example of dispute mediation between two employees.

Employee Separation

Employee separation can occur in any of these scenarios. First, the employee resigns and decides to leave the organization. Second, the employee is terminated for one or more of the performance issues listed previously. Lastly, absconding is when the employee decides to leave the organization without resigning and following the normal process. For example, if an employee simply stops showing up to work without notifying anyone of his or her departure, this would be considered absconding. Let’s discuss each of these in detail. Employee separation costs can be expensive, as we learned in Chapter 7 "Retention and Motivation". In the second quarter in 2011, for example, Halliburton reported $8 million in employee separation costs.Brad Lemaire, “Halliburton Posts 54% Q2 Growth,” Proactive Investors, July 18, 2011, accessed August 1, 2011, http://www.proactiveinvestors.com/companies/news/16404/halliburton-posts-54-q2-profit-growth-16404.html.

Employee Separations and Layoffs

(click to see video)

This video shows the progressive discipline process and the termination of an employee when he continually failed to meet expectations.

Resignation means the employee chooses to leave the organization. First, if an employee resigns, normally he or she will provide the manager with a formal resignation e-mail. Then the HR professional usually schedules an exit interview, which can consist of an informal confidential discussion as to why the employee is leaving the organization. If HR thinks the issue or reasons for leaving can be fixed, he or she may discuss with the manager if the resignation will be accepted. Assuming the resignation is accepted, the employee will work with the manager to determine a plan for his or her workload. Some managers may prefer the employee leave right away and will redistribute the workload. For some jobs, it may make sense for the employee to finish the current project and then depart. This will vary from job to job, but two weeks’ notice is normally the standard time for resignations.

If it is determined an employee should be terminated, different steps would be taken than in a resignation. First, documentation is necessary, which should have occurred in the progressive discipline process. Performance appraisals, performance improvement plans, and any other performance warnings the employee received should be readily available before meeting with the employee. It should be noted that the reliability and validity of performance appraisals should be checked before dismissing an employee based upon them. Questionable performance appraisals come from the real-world conditions common to rating situations, particularly because of limitations in the abilities of the raters.Jeff Weekley, Academy of Management Journal 32, no. 1 (1989): 213–22. Reliability and validity of performance appraisals are discussed in detail in Chapter 11 "Employee Assessment".

Remember that if the discipline process is followed as outlined prior, a termination for nonperformance should never be a surprise to an employee. Normally, the manager and HR manager would meet with the employee to deliver the news. It should be delivered with compassion but be direct and to the point. Depending on previous contracts, the employee may be entitled to a severance package. A severance package can include pay, benefits, or other compensation for which an employee is entitled when they leave the organization. The purpose of a severance plan is to assist the employee while he or she seeks other employment. The HR professional normally develops this type of package in conjunction with the manager. Some considerations in developing a severance package (preferably before anyone is terminated) might include the following:

1. How the severance will be paid (i.e., lump sum or in x equal increments)

2. Which situations will pay a severance and which will not. For example, if an employee is terminated for violation of a sexual harassment policy, is a severance still paid?

3. A formula for how severance will be paid, based on work group, years with the organization, etc.

4. Legal documents, such as legal releases and noncompete agreements

5. How accrued vacation and/or sick leave will be paid, if at all

The last topic that we should discuss in this section is the case of an absconded employee. If an employee stops showing up to work, a good effort to contact this person should be the first priority. If after three days this person has not been reachable and has not contacted the company, it would be prudent to stop pay and seek legal help to recover any company items he or she has, such as laptops or parking passes.

Sometimes rather than dealing with individual performance issues and/or terminations, we find ourselves having to perform layoffs of several to hundreds of employees. Let’s address your role in this process next.

Rightsizing and Layoffs

Rightsizing refers to the process of reducing the total size of employees, to ultimately save on costs. Downsizing ultimately means the same thing as rightsizing, but the usage of the word has changed in that rightsizing seems to define the organization’s goals better, which would be to reduce staff to save money, or rightsize. When a company decides to rightsize and, ultimately, engage in layoffs, some aspects should be considered.

First, is the downturn temporary? There is nothing worse than laying people off, only to find that as business increases, you need to hire again. Second, has the organization looked at other ways to cut expenses? Perhaps cutting expenses in other areas would be advisable before choosing to lay people off. Finally, consideration should be given to offering temporary sabbaticals, voluntary retirement, or changing from a full- to part-time position. Some employees may even be willing to take a temporary pay cut to reduce costs. Organizations find they can still keep good people by looking at some alternatives that may work for the employee and the organization, even on a temporary basis.

If the company has decided the only way to reduce costs is to cut full-time employees, this is often where HR should be directly involved to ensure legal and ethical guidelines are met. Articulating the reasons for layoffs and establishing a formalized approach to layoffs is the first consideration. Before it is decided who should get cut, criteria should be developed on how these decisions will be made. Similar to how selection criteria might be developed, the development of criteria that determines which jobs will be cut makes the process of cutting more fair, albeit still difficult. Establishing the criteria ahead of time can also help avoid managers’ trying to “save” certain people from their own departments. After development of criteria, the next phase would be to sit down with management and decide who does or doesn’t meet the criteria and who will be laid off. At this point, before the layoffs happen, it makes sense to discuss severance packages. Usually, when an employee signs for a severance package, the employee should also sign a form (the legal department can help with this) that releases the organization from all future claims made by the employee.

After criteria have been developed, people selected, and severance packages determined, it’s key to have a solid communication plan as to how the layoffs will be announced. Usually, this involve an initial e-mail to all employees, letting them know of impending layoffs. Speak with each employee separately, then announce which positions were eliminated. The important thing to remember during layoffs is keeping your employees’ dignity; they did not do anything wrong to lose their job—it was just a result of circumstances.

Announcing Layoffs

(click to see video)

We know that communicating a layoff announcement is important. This video, starring Kermit the Frog, is a good example of how not to announce layoffs—even on Sesame Street.

KEY TAKEAWAYS

· Performance issues in the workplace are common. Examples of performance issues might include constant tardiness, too much time at work handling personal issues, mishandling of proprietary information, family issues, drug and alcohol problems, nonperformance, theft, or conflicts in the workplace.

· Employees choose to leave organizations for internal and external reasons. Some of these may include a mismatch of career goals, conflict, too high expectations, time-management issues, and mismatch of job and skills.

· HR professionals should develop a set of policies that deal with performance issues in the workplace. The advantage of having such a policy is that it can eliminate wrongful termination legal action.

· A mandated issue is usually one that deals with safety or legal issues that go beyond the workplace. An infringement of this type of issue requires immediate attention.

· A single incident may include a misstep of the employee, and he or she should immediately be spoken with to ensure it doesn’t happen again.

· A behavior pattern occurs when an employee consistently exhibits a performance issue. This type of issue should be discussed with the employee and plans taken, such as more training, to ensure it does not continue. A persistent pattern occurs when an employee consistently exhibits a performance issue and does not improve, despite HR’s talking with him or her.

· At some point during the persistent pattern, disciplinary action will likely need to be taken. It is important to develop consistent procedures on how to record and handle disciplinary issues. Most employers use a progressive discipline process to accomplish this goal.

· Employee separation occurs in one of three ways. First, the employee resigns from the organization. Second, the employee is terminated for performance issues, and third, an employee absconds. Absconds means the employee abandons his or her job without submitting a formal resignation.

· In some cases, a severance package may be offered to the employee upon his or her departure from the organization.

· Rightsizing is a term used when an organization must cut costs through layoffs of employees. Development of criteria for layoffs, communication, and severance package discussion are all parts of this process.

EXERCISES

1. What are some considerations before developing a severance package? What are the advantages of offering a severance package to your departing employees?

2. What are some common performance issues? What is HR’s role in handling these issues?

3. What process should you use to initiate layoffs?

10.2 Employee Rights

LEARNING OBJECTIVES

1. Be able to explain employee rights.

2. Define unions and explain their relation to the HRM function.

Employee rights is defined as the ability to receive fair treatment from employers. This section will discuss employee rights surrounding job protection, privacy, and unionization.

Job Protection Rights

If HR doesn’t understand or properly manage employee rights, lawsuits are sure to follow. It is the HR professional’s job to understand and protect the rights of employees. In the United States, the employment-at-will principle (EAW) is the right of an employer to fire an employee or an employee to leave an organization at any time, without any specific cause. The EAW principle gives both the employee and employer freedom to terminate the relationship at any time. There are three main exceptions to this principle, and whether they are accepted is up to the various states:

1. Public policy exception. With a public policy exception, an employer may not fire an employee if it would violate the individual state’s doctrine or statute. For example, in Borse v. Piece Goods Shop in Pennsylvania, a federal circuit court of appeals ruled that Pennsylvania law may protect at-will employees from being fired for refusing to take part in drug test programs if the employee’s privacy is invaded. Borse contended that the free speech provisions of the state and of the First Amendment protected the refusal to participate. Some public policy exceptions occur when an employee is fired for refusing to violate state or federal law.

2. Implied contract exception. In a breach of an implied contract, the discharged employee can prove that the employer indicated that the employee has job security. The indication does not need to be formally written, only implied. In Wright v. Honda, an Ohio employee was terminated but argued that the implied contract exception was relevant to the employment-at-will doctrine. She was able to prove that in orientation, Honda stressed to employees the importance of attendance and quality work. She was also able to prove that the language in the associate handbook implied job security: “the job security of each employee depends upon doing your best on your job with the spirit of cooperation.” Progress reports showing professional development further solidified her case, as she had an implied contract that Honda had altered the employment-at-will doctrine through its policies and actions.

3. Good faith and fair dealing exception. In the good faith and fair dealing exception, the discharged employee contends that he was not treated fairly. This exception to the employment-at-will doctrine is less common than the first two. Examples might include firing or transferring of employees to prevent them from collecting commissions, misleading employees about promotions and pay increases, and taking extreme actions that would force the employee to quit.

Table 10.1 State’s Acceptance of Employment-at-Will Exceptions

State	Public-Policy Exception	Implied-Contract Exception	Good Faith and Fair Dealing Exception
Alabama	no	yes	yes
Alaska	yes	yes	yes
Arizona	yes	yes	yes
Arkansas	yes	yes	no
California	yes	yes	yes
Colorado	yes	yes	no
Connecticut	yes	yes	no
Delaware	yes	no	yes
District of Columbia	yes	yes	no
Florida	no	no	no
Georgia	no	no	no
Hawaii	yes	yes	no
Idaho	yes	yes	yes
Illinois	yes	yes	no
Indiana	yes	no	no
Iowa	yes	yes	no
Kansas	yes	yes	no
Kentucky	yes	yes	no
Louisiana	no	no	no
Maine	no	yes	no
Maryland	yes	yes	no
Massachusetts	yes	no	yes
Michigan	yes	yes	no
Minnesota	yes	yes	no
Mississippi	yes	yes	no
Missouri	yes	no	no
Montana	yes	no	no
Nebraska	no	yes	no
Nevada	yes	yes	yes
New Hampshire	yes	yes	no
New Jersey	yes	yes	no
New Mexico	yes	yes	no
New York	no	yes	no
North Carolina	yes	no	no
North Dakota	yes	yes	no
Ohio	yes	yes	no
Oklahoma	yes	yes	no
Oregon	yes	yes	no
Pennsylvania	yes	no	no
Rhode Island	no	no	no
South Carolina	yes	yes	No
South Dakota	yes	yes	no
Tennessee	yes	yes	no
Texas	yes	no	no
Utah	yes	yes	yes
Vermont	yes	yes	no
Virginia	yes	no	no
Washington	yes	yes	no
West Virginia	yes	yes	no
Wisconsin	yes	yes	no
Wyoming	yes	yes	yes
Bold text indicates a state with all three exceptions.
Italic text indicates a state with none of the three exceptions.

When one of the exceptions can be proven, wrongful discharge accusations may occur. The United States is one of the few major industrial powers that utilize an employment-at-will philosophy. Most countries, including France and the UK, require employers to show just cause for termination of a person’s employment.USLegal, “Employment at Will,” accessed March 15, 2011, http://employment.uslegal.com/employment-at-will/. The advantage of employment at will allows for freedom of employment; the possibility of wrongful discharge tells us that we must be prepared to defend the termination of an employee, as to not be charged with a wrongful discharge case.

Employees also have job protection if they engage in whistleblowing. Whistleblowing refers to an employee’s telling the public about ethical or legal violations of his or her organization. This protection was granted in 1989 and extended through the Sarbanes-Oxley Act of 2002. Many organizations create whistleblowing policies and a mechanism to report illegal or unethical practices within the organization.Lilanthi Ravishankar, “Encouraging Internal Whistle Blowing,” Santa Clara University, accessed March 15, 2011, http://www.scu.edu/ethics/publications/submitted/whistleblowing.html.

Another consideration for employee job protection is that of an implied contract. It is in the best interest of HR professionals and managers alike to avoid implying an employee has a contract with the organization. In fact, many organizations develop employment-at-will policies and ask their employees to sign these policies as a disclaimer for the organization.

A constructive discharge means the employee resigned, but only because the work conditions were so intolerable that he or she had no choice. For example, if James is being sexually harassed at work, and it is so bad he quits, he would need to prove not only the sexual harassment but that it was so bad it required him to quit. This type of situation is important to note; should James’s case go to court and sexual harassment and constructive discharge are found, James may be entitled to back pay and other compensation.

The Worker Adjustment and Retraining Notification Act (WARN) requires organizations with more than one hundred employees to give employees and their communities at least sixty days’ notice of closure or layoff affecting fifty or more full-time employees. This law does not apply in the case of unforeseeable business circumstances. If an employer violates this law, it can be subject to back pay for employees.US Department of Labor, “WARN Fact Sheet,” accessed March 15, 2011, http://www.doleta.gov/programs/factsht/warn.htm. This does not include workers who have been with the organization for less than six months, however.

Retaliatory discharge means punishment of an employee for engaging in a protected activity, such as filing a discrimination charge or opposing illegal employer practices. For example, it might include poor treatment of an employee because he or she filed a workers’ compensation claim. Employees should not be harassed or mistreated should they file a claim against the organization.

Privacy Rights

Technology makes it possible to more easily monitor aspects of employees’ jobs, although a policy on this subject should be considered before implementing it. In regard to privacy, a question exists whether an employer should be allowed to monitor an employee’s online activities. This may include work e-mail, websites visited using company property, and also personal activity online.

Digital Footprints, Inc. is a company that specializes in tracking the digital movements of employees and can provide reports to the organization by tracking these footprints. This type of technology might look for patterns, word usage, and other communication patterns between individuals. This monitoring can be useful in determining violations of workplace policies, such as sexual harassment. This type of software and management can be expensive, so before launching it, it’s imperative to address its value in the workplace.

Another privacy concern can include monitoring of employee postings on external websites. Companies such as Social Sentry, under contract, monitor employee postings on sites such as Facebook, Twitter, LinkedIn, and YouTube.Teneros Corporation, “Social Sentry Lets Employers Track Their Workers across the Internet,” accessed March 17, 2011, http://www.readwriteweb.com/archives/social_sentry_track_employees_across_the_web.php. Lawyers warn, however, that this type of monitoring should only be done if the employee has consented.People Management, “Employers Should Have Monitoring Policy for Social Networks,” accessed March 17, 2011, http://www.peoplemanagement.co.uk/pm/articles/2011/02/employers-should-have-monitoring-policy-for-social-networks.htm. A monitoring company isn’t always needed to monitor employees’ movements on social networking. And sometimes employees don’t even have to tweet something negative about their own company to lose their job. A case in point is when Chadd Scott, who does Atlanta sports updates for 680/The Fan, was fired for tweeting about Delta Airlines. In his tweet, he complained about a Delta delay and said they did not have enough de-icing fluid. Within a few hours, he was fired from his job, because Delta was a sponsor of 680/The Fan.Rodney Ho, “Chadd Scott Said He Was Fired for Tweets about Delta,” Access Atlanta (blog), accessed March 16, 2011, http://blogs.ajc.com/radio-tv-talk/2011/03/15/680the-fans-chadd-scott-said-he-was-fired-for-tweets-about-delta-airlines/?cxntlid=thbz_hm.

The US Patriot Act also includes caveats to privacy when investigating possible terrorist activity. The Patriot Act requires organizations to provide private employee information when requested. Overall, it is a good idea to have a clear company policy and perhaps even a signed waiver from employees stating they understand their activities may be monitored and information shared with the US government under the Patriot Act.

Depending on the state in which you live, employees may be given to see their personnel files and the right to see and correct any incorrect information within their files. Medical or disability information should be kept separate from the employee’s work file, per the Americans with Disabilities Act. In addition, the Health Insurance Portability and Accountability Act (HIPAA) mandates that health information should be private, and therefore it is good practice to keep health information in a separate file as well.

Finally, drug testing and the right to privacy is a delicate balancing act. Organizations that implement drug testing often do so for insurance or safety reasons. Because of the Drug-Free Workplace Act of 1988, some federal contractors and all federal grantees must agree they will provide a drug-free workplace, as a condition of obtaining the contract. The ADA does not view testing for illegal drug use as a medical examination (making them legal), and people using illegal drugs are not protected under the ADA;US Equal Employment Opportunity Commission, “The ADA, Your Responsibilities as an Employer,” accessed August 1, 2011, http://www.eeoc.gov/facts/ada17.html. however, people covered under ADA laws are allowed to take medications directly related to their disability. In a recent case, Bates v. Dura Automotive Systems, an auto parts manufacturer had a high accident rate and decided to implement drug testing to increase safety. Several prescription drugs were banned because they were known to cause impairment. The plaintiffs in the case had been dismissed from their jobs because of prescription drug use, and they sued, claiming the drug-testing program violated ADA laws.Jackson lewis, “Employees’ ADA Claims on Prescription-Drug-Use Dismissals Rejected by Federal Court,” December 1, 2010, accessed August 1, 2011, http://www.jacksonlewis.com/resources.php?NewsID=3478. However, the Sixth Circuit Court reversed the case because the plaintiffs were not protected under ADA laws (they did not have a documented disability).

In organizations where heavy machinery is operated, a monthly drug test may be a job requirement. In fact, under the Omnibus Transportation Employee Testing Act of 1991, employers are legally required to test for drugs in transportation-related businesses such as airlines, railroads, trucking, and public transportation, such as bus systems. Medical marijuana is a relatively new issue that is still being addressed in states that allow its use. For example, if the company requires a drug test and the employee shows positive for marijuana use, does asking the employee to prove it is being used for medical purposes violate HIPAA privacy laws? This issue is certainly one to watch over the coming years.

Figure 10.3 Sample Policies on Privacy Relating to Technology

Human Resource Recall

What does the term retaliatory discharge mean?

Labor Unions

A union is an organization of employees formed to bargain with an employer. We discuss labor unions in greater detail in Chapter 12 "Working with Labor Unions". It is important to mention unions here, since labor contracts often guide the process for layoffs and discipline. Labor unions have been a part of the US workplace landscape since the late 1920s, but the Wagner Act of 1935 significantly impacted labor and management relations by addressing several unfair labor practices. The National Labor Relations Board is responsible for administering and enforcing the provisions outlined in the Wagner Act. The act made acts such as interfering with the formation of unions and discriminating on the basis of union membership illegal for employers. By the 1940s, 9 million people were members of a union, which spurred the passage of the Taft-Hartley Act. This act set a new set of standards for fair practices by the unions, within a unionized environment.

The purpose of a union is to give collective bargaining power to a group of individuals. For example, instead of one person negotiating salary, a union gives people the power to bargain as a group, creating a shift from the traditional power model. Issues to negotiate can include pay, health benefits, working hours, and other aspects relating to a job. People often decide to form a union if they perceive the organization or management of the organization is treating them unfairly. Some people also believe that belonging to a union means higher wages and better benefits.

Many employers feel it is not in the best interest of the organization to unionize, so they will engage in strategies to prevent unionization. This is discussed further in Chapter 12 "Working with Labor Unions". However, the Taft-Hartley Act says that employers can express their views about unions but may not threaten employees with loss of job or other benefits if they unionize. Some of the talking points an organization might express about unions include the following:

1. Less ability to deal more informally with the organization

2. Possibility of strikes

3. Payment of union dues by employees

4. Emphasis on what positive aspects the employer has provided

If employees still unionize, managers and HR professionals alike will engage in the bargaining process. The collective bargaining process is the process of negotiating an agreement between management and employees. This process ultimately defines the contract terms for employees. In negotiating with the union, being prepared is important. Gathering data of what worked with the old contract and what didn’t can be a good starting point. Understanding the union’s likely requests and preparing a counteraction to these requests and possible compromises should be done before even sitting down to the bargaining table. One of the better strategies for negotiating a contract is called interest-based bargaining. In this type of bargaining, mutual interests are brought up and discussed, rather than each party coming to the table with a list of demands. This can create a win-win situation for both parties.

Once an agreement has been decided, the union members vote whether to accept the new contract. If the contract is accepted, the next task is to look at how to administer the agreement.

First, the HR professional must know the contract well to administer it well. For example, if higher pay is successfully negotiated, obviously it would be the job of HR to implement this new pay scale. The HR professional may need to develop new sets of policies and procedures when a new agreement is in place. One such procedure HR may have to work with occasionally is the grievance process. As we will discuss in Chapter 12 "Working with Labor Unions", the grievance process is a formal way by which employees can submit a complaint regarding something that is not administered correctly in the contract. Usually, the grievance process will involve discussions with direct supervisors first, discussions with the union representative next, and then the filing of a formal, written grievance complaint. Management is then required to provide a written response to the grievance, and depending on the collective bargaining agreement, a formalized process is stated on how the appeals process would work, should the grievance not be solved by the management response. One such example is the dismissal of members of the National Air Traffic Controller Association (union). In 2011, of the 140 proposed dismissals of air traffic controllers, 58 had penalties rescinded, reduced, or deferred.John Hughes, “You’re Fired Doesn’t Mean Fired to Four of 10 Air Traffic Controllers,” Bloomberg News, July 24, 2011, accessed August 1, 2011, http://www.bloomberg.com/news/2011-07-25/-you-re-fired-doesn-t-mean-fired-to-four-of-10-air-controllers.html. This is because of due-process protections used to prevent mass firings when a new administration comes to power. Federal workers, including controllers, can challenge disciplinary action penalties through a government panel called the Merit Systems Protection Board. The process is described in union contracts and mentions involvement of an arbitrator, if necessary.

How Would You Handle This?

To Join or Not to Join

As the HR manager for a two-hundred-person company, you have always worked hard to ensure that workers received competitive benefits and salaries. When you hear rumors of the workers’ wanting to form a union, you are a little distressed, because you feel everyone is treated fairly. How would you handle this?

How Would You Handle This?

https://api.wistia.com/v1/medias/1360807/embed

The author discusses the How Would You Handle This situation in this chapter at:  https://api.wistia.com/v1/medias/1360807/embed .

KEY TAKEAWAYS

· The employment-at-will principle means that an employer can separate from an employee without cause, and vice versa.

· Even though we have employment at will, a wrongful discharge can occur when there are violations of public policy, an employee has a contract with an employer, or an employer does something outside the boundaries of good faith.

· Whistleblowing is when an employee notifies organizations of illegal or unethical activity. Whistleblowers are protected from discharge due to their activity.

· A constructive discharge means the conditions are so poor that the employee had no choice but to leave the organization.

· The Worker Adjustment and Retraining Notification Act (WARN) is a law that requires companies of one hundred or more employees to notify employees and the community if fifty or more employees are to be laid off.

· A retaliatory discharge is one that occurs if an employer fires or lays off an employee owing to a charge the employee filed. For example, if an employee files a workers’ compensation claim and then is let go, this could be a retaliatory discharge.

· The privacy of employees is an issue that HR must address. It is prudent to develop policies surrounding what type of monitoring may occur within an organization. For example, some organizations monitor e-mail, computer usage, and even postings on social network sites.

· Drug testing is also a privacy issue, although in many industries requiring safe working conditions, drug testing can be necessary to ensure the safety of all employees.

· A union is a group of workers who decide to work together toward a collective bargaining agreement. This agreement allows workers to negotiate as one, rather than as individuals.

· The Wagner Act, passed in 1935, addresses many issues related to workers’ unionization.

· The process of collective bargaining means to negotiate a contract between management and workers. HR is generally part of this process.

· Interest based bargaining occurs when mutual interests are discussed, rather than starting with a list of demands.

· Once an agreement is reached, HR is generally responsible for knowing the agreement and implementing any changes that should occur as a result of the agreement. One such example is understanding the grievance process.

EXERCISES

1. Perform an Internet search and find a union agreement. Discuss how the union agreement handles terminations and grievances.

2. Compare and contrast the differences between a retaliatory discharge and a constructive discharge.

10.3 Cases and Problems

Chapter Summary

· Performance issues in the workplace are common. Examples of performance issues include constant tardiness, too much time at work handling personal issues, mishandling of proprietary information, family issues, drug and alcohol problems, nonperformance, theft, and conflicts in the workplace.

· Employees choose to leave organizations for internal and external reasons. Some of these may include a mismatch of career goals, conflict, too high expectations, time-management issues, and a mismatch between job and skills.

· HR professionals should develop a set of policies that deal with performance issues in the workplace. The advantage to having such policies is that they can eliminate wrongful termination legal action.

· A mandated issue is usually one that deals with safety or legal issues that go beyond the workplace. An infringement of this type of issue requires immediate attention.

· A single incident may include a misstep of the employee, and the employee should immediately be spoken with about it, to ensure it doesn’t happen again.

· A behavior pattern occurs when an employee consistently exhibits a performance issue. This type of issue should be discussed with the employee and actions taken, such as providing more training, to ensure it does not continue. A persistent pattern occurs when an employee consistently exhibits a performance issue and does not improve, despite HR’s talking with him or her.

· At some point during the persistent pattern, disciplinary action will likely need to be taken. It is important to develop consistent procedures on how to record and handle disciplinary issues.

· Employee separation occurs in one of three ways. First, the employee resigns from the organization. Second, the employee is terminated for performance issues, and third, an employee absconds. Absconds means the employee abandons his or her job without submitting a formal resignation.

· In some cases, a severance package may be offered to the employee upon his or her departure from the organization.

· Rightsizing is a term used when an organization must cut costs through layoffs of employees. Development of criteria for layoffs, communication, and severance package discussion are all parts of this process.

· Employment at will means that an employer can separate from an employee without cause, and vice versa.

· Even though we have employment at will, a wrongful discharge can occur when there are violations of public policy, an employee has a contract with an employer, or an employer does something outside the boundaries of good faith.

· Whistleblowing is when an employee notifies organizations of illegal or unethical activity. Whistleblowers are protected from discharge due to their activity.

· A constructive discharge means the conditions are so poor that the employee has no choice but to leave the organization.

· The Worker Adjustment and Retraining Notification Act (WARN) is a law that requires companies of one hundred or more employees to notify employees and the community if fifty or more employees are to be laid off.

· A retaliatory discharge is one that occurs if an employer fires or lays off an employee because of a charge the employee filed. For example, if an employee files a workers’ compensation claim and then is let go, this could be a retaliatory discharge.

· The privacy of employees is an issue that HR must address. It is prudent to develop policies surrounding what type of monitoring may occur within an organization. For example, some organizations monitor e-mail, computer usage, and even postings on social network sites.

· Drug testing is also a privacy issue, although in many industries requiring safe working conditions, drug testing can be necessary to ensure the safety of all employees.

· A union is a group of workers who decide to work together toward a collective bargaining agreement. This agreement allows workers to negotiate as one, rather than as individuals.

· The Wagner Act, passed in 1935, addresses many issues related to workers’ unionization.

· The process of collective bargaining means to negotiate a contract between management and workers. HR is generally part of this process.

· Interest based bargaining occurs when mutual interests are discussed, rather than starting with a list of demands.

· Once an agreement is reached, HR is generally responsible for knowing the agreement and implementing any changes that should occur as a result of the agreement. One such example is understanding the grievance process.

Summary

(click to see video)

The author provides a video summary of this chapter.

Chapter Case

Who Goes, Who Stays?

The consulting firm you have worked for over the last year is having some financial troubles. The large contracts it once had are slowly going away, and as your company struggles to make payroll, it is clear that layoffs must occur. The sales staff has not been meeting the sales goals set for them, resulting in incorrect budgets.

It has been decided that at least three people in the sales department should be laid off. You create a spreadsheet with pertinent sales employee data:

Name	Title	Years with the company	Last overall rating on performance evaluation (1–5 scale, 5 being highest)	Last year’s sales goal met?
Deb Waters	Sales Manager	1	3	N/A as her position is managerial
Jeff Spirits	Account Manager	5	3	Yes, 1% over
Orlando Chang	Account Manager	3	4	Yes, 10% over goal
Jake Toolmeyer	Account Manager	2	4	No, 2% under goal
Audrey Barnes	Account Manager	5	5	Yes, 15% over goal
Kelly Andrews	Account Manager	1	2	No, 20% under goal
Amir Saied	Account Manager	8	5	Yes, 5% over goal
Winfrey Jones	Account Manager	4	2	No, 10% under goal

1. Making reasonable assumptions, develop criteria for the layoffs in the sales department.

2. Develop a plan as to how layoffs will be communicated with the individual as well as within the company.

3. Discuss strategies to motivate those sales employees who stay with the organization.

Team Activities

1. In a team of three to four people, discuss each of the situations and determine if you think the employee should receive immediate termination or a progressive discipline process, and provide justification for your responses:

a. The employee stole one pack of office paper, stating he would be using it at home to perform his job.

a. An employee posted how boring her job is on a Facebook status update. You know she is Facebook friends with several clients.

a. The employee groped a colleague in the break room.

a. You saw the employee’s résumé posted on LinkedIn, stating she was looking for a new job.

a. The manager has told you the employee is difficult to work with and not liked by his colleagues.

1. In teams of three to four, discuss the following situation: Your marketing manager has just told you she plans to dismiss her administrative assistant for nonperformance and needs help designing a severance package. The administrative assistant was with the organization for two-and-a-half years and his current salary is $35,670. What would you suggest he be offered? Discuss and be prepared to share your ideas with the class.

HR Basics: Performance and Rewards

Watch this short video regarding the importance of performance management. Performance management is centered around setting goals, tracking progress of the goals, and rewarding when goals are met. Meeting performance goals leads to meeting organizational goals.

Last modified: Friday, October 11, 2019, 3:59 PM