Business
Unit IV Lecture Transcript
Slide 1
Unit IV, Learning and Development, Performance Management, and
Appraisal.
Slide 2
In order to gain a deeper understanding of the concepts presented in
this course, the unit lessons will be structured in question and answer
format. Each slide will provide at least one question based on concepts
presented in this unit and an accompanying audio response from a subject
matter expert. Review each slide to further enhance your practical
knowledge about the field of human resource management.
Slide 3
Meet Marilyn Pike. Marilyn has over 20 years of experience in HR
leadership positions in both the public and private sector, large and small
businesses, and union and non-union environments. She currently holds
both the SPHR and SHRM-SCP.
Question: What is the difference between training and development?
Answer: Good question because we often hear/see those two in
combination. Training is designed to build on the general knowledge, skills,
and abilities (KSAs) which were identified for a particular position and
provide new employees with the specifics they need to succeed in their new
job. The business rationale behind training is that it will be put to immediate
use by the individual being trained. For example, when I was HR director for
a call center, our client (Direct TV) required us to put new employees though
an eight-week paid training program before the new employee could take
one phone call. Obviously, this made turnover very expensive, and we had
to project turnover in order to keep a steady flow of employees coming out
of training to replace employees who left, for whatever reason. The purpose
of employee development on the other hand is to provide workers with new
and/or advanced skill sets to help them either move up in the organization
or provide some additional value to the organization. For example, a home
health organization might pay the tuition for a registered nurse to become
wound certified. This allows the organization to offer more services to
patients and gives them a competitive edge. I think the key here is the word
“development.”
Generally, workforce training includes new employee orientation,
which we all know is critical to an employee’s success, and is used to provide
new employees an introduction to the organization and its culture. And, in
addition, give them insights into how to do their job within the organization.
Training is also used when an organization has changed processes or
procedures or when a performance issue has been identified.
Slide 4
Question: What is reskilling?
Glad you asked. Reskilling, also called upskilling or retraining is
gaining some traction in these times of low unemployment. It involves
companies preparing current workers for jobs that require in-demand
technical skills.
In an April 19, 2019 article in The Wall Street Journal, entitled, “Why
Companies Are Failing at Reskilling” by Lauren Weber, reports how while
businesses complain about high hiring costs to meet fast changing business
needs in a tight labor market, they forget there is a ready pool of talent
available, talent that has a work history in their organization. Too often,
recruiters look outside the organization to find talent as opposed to offering
training opportunities to those already on the payroll. Finding the needed
talent externally is especially difficult in a market where the supply of skills
like cloud computing and cybersecurity can’t satisfy the immense demand
for them. By reskilling, rather laying off (discarding) loyal employees and
hiring unknown entities, organizations would be wise to offer their current
employees an opportunity to learn a new skill and develop a new career
path.
For example, Amazon has offered some warehouse workers a data
technician training program that could lead to a doubling of their wages. For
others, construction, maintenance and sales jobs offer some alternatives.
Bottom line, I think we are discovering that we do not have an endless
supply of workers in the United States. Companies need to consider
reskilling current employees rather than initiating lay-offs, which are costly,
only to find that a new fresh pool of workers is not out there.
Slide 5
Question: What are some challenges to the training process?
Answer: Exactly. And those challenges can’t be minimized whether it is
in reskilling or any other type of training. Common challenges to the training
process include an unprepared workforce. We are finding that many people
we have hired are ill-prepared in educational basics. There is the very real
resistance to change and the employee insecurity that goes along with it.
Scheduling, timing, training to minimize problems—anyone who has ever
done training is probably aware of the resistance the training department
gets from managers when you want to take away some of their workers for
training. Because obviously, the work still needs to be done. Then there is
logistics issues—locations available for training courses. And of course, the
very important strategic congruence (justifying training by ensuring it
furthers strategic goals). Return on investment/cost justification. Training is
time consuming and expensive. If those two are not met, the training will
more than likely not meet the company’s expectations. And then we have to
consider employee readiness, which include employee readiness, capability,
and their willingness.
Slide 6
Question: What is the difference between performance management
and performance appraisal?
Answer: Performance management is a continual process that
identifies, measures, and manages, and develops the performance of people
in the organization. It is designed to improve worker performance over time.
Performance appraisal is the ongoing process that is part of performance
management system. It identifies, measures, and evaluates the employee’s
performance and then discusses that performance with the individual. This
should be an ongoing process. Performance appraisals have three major
purposes. Communication is the first purpose. Appraisals need to provide an
opportunity for formal two-way communication between management and
the employee concerning how the organization feels the employee is
performing. The second purpose is to gain information for evaluative
decisions. We need good information on how employees are performing so
that we can take fair and equitable actions with our workforce, to improve
organizational productivity. Providing motivation for development is the last
major purpose. Used correctly, appraisals can motivate by providing
opportunities for the employees to improve their performance over time.
Slide 7
Question: Why are some companies choosing to do away with
performance appraisals?
Answer: Let’s face it, historically, I don’t think anyone likes doing or
receiving a performance appraisal. Managers don’t like doing them,
employees don’t like receiving them. In the past few years, there has been a
lot of talk about companies which have decided to dump their annual
performance appraisals. I think this is a good idea because I think one year
is too long a time in between appraisal. They say that there should be no
surprises at a performance review. A common problem in appraisals is
overpowering an employee during the evaluation debrief with large amounts
of negative information that they have not heard during the coaching. This
tends to cause the employee to “turn off” or stop listening as the manager
explains what is wrong. Employees will just “raise their shields” to ward off
all of the negative information.
Employees need more frequent and regular check-ins with their
manager in order to make sure they are on track with the manager’s
expectations. Many companies are choosing to replace performance reviews
with more frequent evaluations. The idea is that more frequent and clear
performance talks provide better results for both sides. Part of a good
performance review is developing a conversation, which helps employees
reflect on their accomplishments as well as their challenges and develop a
plan/goals to work on until the next review. I like that process, because it is
simple, not particularly threatening, and helps keep everyone on track. New
ideas for some form of routine or continuous technology-based appraisal and
feedback (often called “check-ins” by the firms) have proliferated over the
recent past, with dozens, if not hundreds, of tech companies now offering
apps or other software solutions to provide companies with the ability to
give all employees constant feedback. There is valuable information that is
gained from this process, but the latest online, app-based, and/or social
options have not gotten to the point yet where they can provide all of the
same valuable information that an in-person face to face appraisal can
provide.
Slide 8
This concludes the Unit IV question and answer session with subject
matter expert, Marilyn Pike. Reflect on this question and answer session as
you review your readings for this unit.