In this project I am going to look at importance of training and development in organizations. Firstly, different company attitudes to training and development and cost and benefits associated with it are going to be discussed. Secondly, the stages in training and development process are going to be identified with a specific focus on different training and development methods and consideration of its advantages and disadvantages. Finally, the literature on training and development use as a motivation and retention tool is going to be reviewed, moreover, training and development on international scale and its possible issues are going to be discussed. To sum up, a conclusion summarising all findings is going to be drawn.
1.1. Introduction into training and development
Training and development is by definition: “The heart of a continuous effort deigned to improve employee competency and organizational performance.” (R. Wayne Mondy, Robert M. Noe, Shane R. Premeaux, 2002, Human Resources management, p. 214). Training is planned to give trainees information and skills, they need for their job, while development involves learning that goes beyond the knowledge needed just for current job. It is more long-term focused as it enables employees to keep up with the organization and its changes and growth. Companies have different approach to training and development. Some companies tent to minimise the training of its employees as they see it as an unnecessary budgeted cost. On the other hand, we have companies, which see training of employees more as a strategic investment and a very important attribute, which may increase employees productivity and reduce human error; such companies can be called a learning organizations (R. Wayne Mondy, Robert M. Noe, Shane R. Premeaux, 2002). Training and development obviously has its cost such as course material, facilitator fees and facilities rental, for instance. However, there is a lot of savings caused by proper training such as increased revenues, less need for supervision or lesser staff turnover and lower costs associated with recruiting new employees. “The right employee training, development and education, at the right time, provides big payoffs for the employer in increased productivity, knowledge, loyalty, and contribution.” (Susan M. Heathfield, 2007). Some companies would train only new employees, but training should be considered also when the company is adopting new management style or acquiring new piece of machinery, as the employees should be familiar with new concept to be able to work effectively. For example, if the company starts to use a new technology, management style or machinery and does not train the staff for it properly, there will be no additional revenue as expected, because the employees do not know how to operate the machinery. Skilled employees are essential for the growth of the organization.
2. PHASES OF TRAINING AND DEVELOPMENT
Training and development process consist from three stages. 2.1. The preparation phase – before the training can take place, some preparation has to be done. Company has to identify what are the training needs and what method of training they are going to use. They have to allocate the resources necessary for the training and finally the objectives for the training should be set, in order to be able to evaluate the results of the training at the end. 2.2. The training-development phase – this stage consist from different methods of training and development, which are going to be discuss later on. 2.3. The evaluation phase – after the training is over, it is evaluated to find out if the training was successful. Evaluation can be done just by asking the participants what they think about it or by observing their behaviour after training. Alternatively, participants may take a test to asses their knowledge and to find out if they learned something.
3. METHODS OF TRAINING AND DEVELOPMENT
To choose the...