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Welingkar’s Distance Learning Division

Effective HR
CHAPTER-1

Introduction to Training &
Development

We Learn – A Continuous Learning Forum
Objectives
• After completing this chapter, you should be able
to:
– Understand Human Resource Management (1-IRM)
– Learn about the activities involved in [1kM
implementation
– Realize the focus of HRM and understand the
role, position, and structure of HRM departments.
– Evaluate HRM methods in an organization
– Understand the various forces that are changing LIRM.
– Understand the nature and importance of training.
Introduction to human resource
management (HRM)
• Human resource management (HRM) entails
planning, implementing, and managing
recruitment, as well as
selection, training, career, and organizational
development initiatives within an organization.
• The goal of HRM is to maximize the productivity
of an organization by optimizing the effectiveness
of its employees while simultaneously improving
the work life of employees and treating
employees as valuable resources.
Introduction to human resource
management (HRM)
• Consequently, HRM
encompasses efforts to
promote personal
development,
employee satisfaction,
and compliance with
employment-related
laws.
• To achieve equilibrium
between employer and

employee goals and
needs, HRM
departments focus on
these three general
functions or activities:
– planning,
– implementation, and
– evaluation.
Introduction to human resource
management (HRM)
• The planning function refers to the development of
human resource policies and regulations. Human
source managers attempt to determine future HRM
activities and plan for the implementation of HRM
procedures to help companies realize their goals.
• Implementation of HRM plans involves four primary
activities: acquisition, development, Compensation,
and maintenance.
• Finally, the evaluation function includes the
assessment of a company’s HRM policies to determine
whether they are effective
HRM implementation activities
Acquisition

HRM
implementation
activities are
divided into four
functional
groups, each of
which includes
related legal
responsibilities:

Development

Compensation

Maintenance
Acquisition
• Acquisition duties consist of human resource planning
for employees, which includes activities related to
analyzing employment needs, determining the
necessary skills for positions, identifying job and
industry trends, and forecasting future employment
levels and skill requirements.
• These tasks may be accomplished using such tools and
techniques as
– questionnaires, interviews,
– statistical analysis, building skill inventories, and
– designing career path charts
Development
• The second major HRM function, human resource
development, refers to performance appraisal
and training activities.
• The basic goal of appraisal is to provide feedback
to employees concerning their performance.
• This feedback allows them to evaluate the
appropriateness of their behavior in the eyes of
their co-workers and managers, correct
weaknesses, and improve their contribution.
Development
• Training and
development activities • Training initiatives may
include:
include:
–
–
–
–

the determination,
design,
execution, and
analysis of educational
programs.

–
–
–
–
–

apprenticeship,
internship,
job rotation,
mentoring, and
new skills programs.
Compensation
• Compensation, the third major HRM function,
refers to HRM duties related to paying employees
and providing incentives for them.
• HRM professionals are typically charged with
developing wage and salary systems that
accomplish specific organizational objectives,
such as employee retention, quality, satisfaction,
and motivation.
• Ultimately, their aim is to establish wage and
salary levels that maximize the company’s
investment in relation to its goals.
Maintenance
• The fourth principal HRM function,
maintenance of human resources,
encompasses HRM activities related to
employee benefits, safety and health, and
worker-management relations.
• Employee benefits are non-incentive-oriented
compensation, such as health insurance and
free parking, and are often used to transfer
non-taxed compensation to employees.
Maintenance

The three major
categories of
benefits
managed by HRM
managers are:

• Employee services
• Vacations
• Insurance
Focus of HRM
• Businesses and organizations rely on three
major resources:
– physical resources, such as materials and
equipment;
– financial resources, including cash, credit, and
debt; and
– human resources or workers
Focus of HRM
• Organization that are related to people. In practice,
however, HRM is a tool used to try to make resources
to foster individual development, and to comply with
government mandates.
• Larger organizations typically have an HRM department
and its primary department and its primary objective is
making company goals compatible with employee
goals insofar as possible.
• Hence, for a company to attain its goals, it must have
employees who will help it attain them.
Focus of HRM
• Seven assumptions identified by R. Wayne Pace
that provide a foundation and direction for HRM.
– First: the acknowledgment of’ individual worth,
suggesting that companies recognize and value
individual contributions.
– Second: employees are resources who can learn new
skills and ideas and can be trained to occupy new
positions in the organization.
– Third: quality of work life is a legitimate concern, and
that employees have a right to safe, clean, and
pleasant surroundings.
Focus of HRM
• Seven assumptions identified by R. Wayne
Pace that provide a foundation and direction
for HRM.
– Fourth: the need for continuous learning; talents
and skills must be continually refined in the longterm interests of the organization.
– Fifth: opportunities are constantly changing and
companies need methods to facilitate continual
worker adaptation.
Focus of HRM
• Seven assumptions identified by R. Wayne Pace
that provide a foundation and direction for HRM.
– Sixth: employee satisfaction, which implies that
humans have a right to be satisfied by their work and
that employers have a responsibility and profit
motivation to try to match a worker’s skills with his or
her job.
– Seventh: HRM encompasses a much broader scope
than technical training employees need to know more
than the requirements of a specific task in order to
make their maximum contribution.
The role, position, and structure of
HRM departments
• HRM department responsibilities, other than
related legal and clerical duties, can be classified
by individual, organizational, and career areas.
• Individual management entails helping
employees identify their strengths and
weaknesses, correct their shortcomings, and then
make their best contribution to the enterprise.
• These duties are carried out through a variety of
activities such as performance
reviews, training, and testing.
The role, position, and structure of
HRM departments
• The structure of HRM departments differs
according to the type and size of the
organization that they serve.
• But many large organizations organize HRM
employee development functions around
various clusters of workers—they conduct
recruiting, administrative, and other duties in
a central location.
Evaluation of HRM methods
• One of the most critical aspects of HRM is
evaluating HRM methods and measuring their
results.
• Even the most carefully planned and executed
HRM programs are meaningless without some
way to judge their effectiveness and confirm
their credibility.
Evaluation of HRM methods
The evaluation of HRM
methods & programs
should include both internal
& external assessments:

Internal evaluations focus
on the costs versus the
benefits of HRM methods,
whereas external
evaluations focus on the
overall benefits of HRM
methods in achieving
company goals

The authors of Human Resources
Management posit four factors, the
“four Cs,” that should be used to
determine whether or not an HRM
department or individual program is
succeeding:
Commitment
Competence
Cost-effectiveness
Congruence
Forces changing HRM
• In the 1990s several forces were shaping the
broad field of HRM, such as .
– New technologies—particularly information
technology—brought about the decentralization
of communications and the shake-up of existing
paradigms of human interaction and
organizational theory.
– Satellite communications, computers and
networking systems, fax machines, and other
devices were facilitating rapid change
Forces changing HRM
• In the 1990s several forces were shaping the
broad field of HRM, such as .
– One more change factor was accelerating market
globalization, which was increasing competition
and demanding greater performance out of
workers, often at diminished levels of
compensation.
– To compete abroad, companies were looking to
their HRM professionals to augment initiatives
related to quality, productivity, and innovation.
Forces changing HRM
• In the 1990s several forces were shaping the
broad field of HRM, such as.
– Other factors changing HRM include:
• an accelerating rate of change and turbulence, resulting
in higher employee turnover and the need for more
responsive, open-minded workers;
• rapidly changing demographics; and increasing income
disparity as the demand for highly educated workers
increases at the expense of lower-wage employees.
Nature of training and development

• Training can be introduced simply as a process of assisting a
person for enhancing his efficiency and effectiveness to a
particular work area by getting more knowledge and
practices.
• Also training is important to establish specific skills, abilities
and knowledge to an employee.
Nature of training and development
• For an organizations training and development
as well as organizational growth are
important, because the organizational growth
and profit are also dependent on the training.
• But the training is not a core of organizational
development; it is a function of the
organizational development.
Nature of training and development
• Training and Development is the framework
for helping employees to develop their
personal and organizational
skills, knowledge, and abilities.
• The focus of all aspects of Human Resource
Development is on developing the most
superior workforce so that the organization
and individual employees can accomplish their
work goals in service to customers.
Nature of training and development
• Trainings in an organization are mainly of two
types;
– Internal and External training sessions.
– Internal training
• when training is organized in-house by the human
resources department or training department using
either a senior staff or any talented staff in the
particular department as a resource person

– On the other hand external training is
• normally arranged outside the firm and mostly
organized by training institutes or consultants.
Nature of training and development
• Training employees not only creates a more
positive corporate culture, but also adds a
value to organizations key resources.
Business development

Changes and challenges
Learning and development
Business excellence
Importance of training and
development
• Optimum Utilization of Human Resources —
– Training and Development helps in optimizing the
utilization of human resource that further helps the
employee to achieve the organizational goals as well
as his/her individual goals.

• Development of skills of employees —
– Training and Development helps in increasing the job
knowledge and skills of employees at each level
– It helps to expand the horizons of human intellect and
an overall personality of the employees.
Importance of training and
development
• Team spirit —
– Training and Development helps in inculcating the
sense of team work, team spirit, and inter-team
collaborations.
– It helps in inculcating the zeal to learn within the
employees.

• Organization Climate —
– Training and Development helps building the positive
perception and feeling about the organization.
– The employees get these feelings from
leaders, subordinates, and peers.
Importance of training and
development
• Healthy work
environment —

goals are aligned with
organizational goals.

• Morale—
– Training and
Development helps in
– Training and
creating the healthy
Development helps in
working environment.
improving the morale
of the work force.
– It helps to build
employee relationship
so that individual
Importance of training and
development
• Profitability —
– Training and Development leads to improved
profitability and positive attitudes towards profit
orientation.

• Training and Development helps in developing
leadership skills, motivation, loyalty, better
attitudes, and other aspects that successful
workers and managers usually display.
Role of professional in training
• In general, education is ‘mind preparation’ and is
carried out remote from the actual work area,
training is the systematic development of the
– attitude,
– knowledge,
– skill pattern

• required by a person to perform a given task or
job adequately and development is ‘the growth
of the individual in terms of ability, understanding
and awareness’.
Role of professional in training
• Within an organization all three are necessary
in order to:
– Develop workers to undertake higher-grade tasks;
– Provide the conventional training of new and
young workers;
– Raise efficiency and standards of performance;
– Meet legislative requirements;
– Inform people.
Role of professional in training
• This is the era of cutthroat competition and
with this changing
scenario of business; the
role of professionals in
training has been
widened.
• HR role now is:
– Involvement in employee
education.
– Rewards for improvement
in performance.
– Rewards to those

associated with selfesteem and self-worth.
– Providing preemployment market
oriented skill
development education
and post-employment
support for advanced
education and training.
– Flexible access i.e.
anytime, anywhere
training.

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Introduction to Training & Development

  • 1. Welingkar’s Distance Learning Division Effective HR CHAPTER-1 Introduction to Training & Development We Learn – A Continuous Learning Forum
  • 2. Objectives • After completing this chapter, you should be able to: – Understand Human Resource Management (1-IRM) – Learn about the activities involved in [1kM implementation – Realize the focus of HRM and understand the role, position, and structure of HRM departments. – Evaluate HRM methods in an organization – Understand the various forces that are changing LIRM. – Understand the nature and importance of training.
  • 3. Introduction to human resource management (HRM) • Human resource management (HRM) entails planning, implementing, and managing recruitment, as well as selection, training, career, and organizational development initiatives within an organization. • The goal of HRM is to maximize the productivity of an organization by optimizing the effectiveness of its employees while simultaneously improving the work life of employees and treating employees as valuable resources.
  • 4. Introduction to human resource management (HRM) • Consequently, HRM encompasses efforts to promote personal development, employee satisfaction, and compliance with employment-related laws. • To achieve equilibrium between employer and employee goals and needs, HRM departments focus on these three general functions or activities: – planning, – implementation, and – evaluation.
  • 5. Introduction to human resource management (HRM) • The planning function refers to the development of human resource policies and regulations. Human source managers attempt to determine future HRM activities and plan for the implementation of HRM procedures to help companies realize their goals. • Implementation of HRM plans involves four primary activities: acquisition, development, Compensation, and maintenance. • Finally, the evaluation function includes the assessment of a company’s HRM policies to determine whether they are effective
  • 6. HRM implementation activities Acquisition HRM implementation activities are divided into four functional groups, each of which includes related legal responsibilities: Development Compensation Maintenance
  • 7. Acquisition • Acquisition duties consist of human resource planning for employees, which includes activities related to analyzing employment needs, determining the necessary skills for positions, identifying job and industry trends, and forecasting future employment levels and skill requirements. • These tasks may be accomplished using such tools and techniques as – questionnaires, interviews, – statistical analysis, building skill inventories, and – designing career path charts
  • 8. Development • The second major HRM function, human resource development, refers to performance appraisal and training activities. • The basic goal of appraisal is to provide feedback to employees concerning their performance. • This feedback allows them to evaluate the appropriateness of their behavior in the eyes of their co-workers and managers, correct weaknesses, and improve their contribution.
  • 9. Development • Training and development activities • Training initiatives may include: include: – – – – the determination, design, execution, and analysis of educational programs. – – – – – apprenticeship, internship, job rotation, mentoring, and new skills programs.
  • 10. Compensation • Compensation, the third major HRM function, refers to HRM duties related to paying employees and providing incentives for them. • HRM professionals are typically charged with developing wage and salary systems that accomplish specific organizational objectives, such as employee retention, quality, satisfaction, and motivation. • Ultimately, their aim is to establish wage and salary levels that maximize the company’s investment in relation to its goals.
  • 11. Maintenance • The fourth principal HRM function, maintenance of human resources, encompasses HRM activities related to employee benefits, safety and health, and worker-management relations. • Employee benefits are non-incentive-oriented compensation, such as health insurance and free parking, and are often used to transfer non-taxed compensation to employees.
  • 12. Maintenance The three major categories of benefits managed by HRM managers are: • Employee services • Vacations • Insurance
  • 13. Focus of HRM • Businesses and organizations rely on three major resources: – physical resources, such as materials and equipment; – financial resources, including cash, credit, and debt; and – human resources or workers
  • 14. Focus of HRM • Organization that are related to people. In practice, however, HRM is a tool used to try to make resources to foster individual development, and to comply with government mandates. • Larger organizations typically have an HRM department and its primary department and its primary objective is making company goals compatible with employee goals insofar as possible. • Hence, for a company to attain its goals, it must have employees who will help it attain them.
  • 15. Focus of HRM • Seven assumptions identified by R. Wayne Pace that provide a foundation and direction for HRM. – First: the acknowledgment of’ individual worth, suggesting that companies recognize and value individual contributions. – Second: employees are resources who can learn new skills and ideas and can be trained to occupy new positions in the organization. – Third: quality of work life is a legitimate concern, and that employees have a right to safe, clean, and pleasant surroundings.
  • 16. Focus of HRM • Seven assumptions identified by R. Wayne Pace that provide a foundation and direction for HRM. – Fourth: the need for continuous learning; talents and skills must be continually refined in the longterm interests of the organization. – Fifth: opportunities are constantly changing and companies need methods to facilitate continual worker adaptation.
  • 17. Focus of HRM • Seven assumptions identified by R. Wayne Pace that provide a foundation and direction for HRM. – Sixth: employee satisfaction, which implies that humans have a right to be satisfied by their work and that employers have a responsibility and profit motivation to try to match a worker’s skills with his or her job. – Seventh: HRM encompasses a much broader scope than technical training employees need to know more than the requirements of a specific task in order to make their maximum contribution.
  • 18. The role, position, and structure of HRM departments • HRM department responsibilities, other than related legal and clerical duties, can be classified by individual, organizational, and career areas. • Individual management entails helping employees identify their strengths and weaknesses, correct their shortcomings, and then make their best contribution to the enterprise. • These duties are carried out through a variety of activities such as performance reviews, training, and testing.
  • 19. The role, position, and structure of HRM departments • The structure of HRM departments differs according to the type and size of the organization that they serve. • But many large organizations organize HRM employee development functions around various clusters of workers—they conduct recruiting, administrative, and other duties in a central location.
  • 20. Evaluation of HRM methods • One of the most critical aspects of HRM is evaluating HRM methods and measuring their results. • Even the most carefully planned and executed HRM programs are meaningless without some way to judge their effectiveness and confirm their credibility.
  • 21. Evaluation of HRM methods The evaluation of HRM methods & programs should include both internal & external assessments: Internal evaluations focus on the costs versus the benefits of HRM methods, whereas external evaluations focus on the overall benefits of HRM methods in achieving company goals The authors of Human Resources Management posit four factors, the “four Cs,” that should be used to determine whether or not an HRM department or individual program is succeeding: Commitment Competence Cost-effectiveness Congruence
  • 22. Forces changing HRM • In the 1990s several forces were shaping the broad field of HRM, such as . – New technologies—particularly information technology—brought about the decentralization of communications and the shake-up of existing paradigms of human interaction and organizational theory. – Satellite communications, computers and networking systems, fax machines, and other devices were facilitating rapid change
  • 23. Forces changing HRM • In the 1990s several forces were shaping the broad field of HRM, such as . – One more change factor was accelerating market globalization, which was increasing competition and demanding greater performance out of workers, often at diminished levels of compensation. – To compete abroad, companies were looking to their HRM professionals to augment initiatives related to quality, productivity, and innovation.
  • 24. Forces changing HRM • In the 1990s several forces were shaping the broad field of HRM, such as. – Other factors changing HRM include: • an accelerating rate of change and turbulence, resulting in higher employee turnover and the need for more responsive, open-minded workers; • rapidly changing demographics; and increasing income disparity as the demand for highly educated workers increases at the expense of lower-wage employees.
  • 25. Nature of training and development • Training can be introduced simply as a process of assisting a person for enhancing his efficiency and effectiveness to a particular work area by getting more knowledge and practices. • Also training is important to establish specific skills, abilities and knowledge to an employee.
  • 26. Nature of training and development • For an organizations training and development as well as organizational growth are important, because the organizational growth and profit are also dependent on the training. • But the training is not a core of organizational development; it is a function of the organizational development.
  • 27. Nature of training and development • Training and Development is the framework for helping employees to develop their personal and organizational skills, knowledge, and abilities. • The focus of all aspects of Human Resource Development is on developing the most superior workforce so that the organization and individual employees can accomplish their work goals in service to customers.
  • 28. Nature of training and development • Trainings in an organization are mainly of two types; – Internal and External training sessions. – Internal training • when training is organized in-house by the human resources department or training department using either a senior staff or any talented staff in the particular department as a resource person – On the other hand external training is • normally arranged outside the firm and mostly organized by training institutes or consultants.
  • 29. Nature of training and development • Training employees not only creates a more positive corporate culture, but also adds a value to organizations key resources. Business development Changes and challenges Learning and development Business excellence
  • 30. Importance of training and development • Optimum Utilization of Human Resources — – Training and Development helps in optimizing the utilization of human resource that further helps the employee to achieve the organizational goals as well as his/her individual goals. • Development of skills of employees — – Training and Development helps in increasing the job knowledge and skills of employees at each level – It helps to expand the horizons of human intellect and an overall personality of the employees.
  • 31. Importance of training and development • Team spirit — – Training and Development helps in inculcating the sense of team work, team spirit, and inter-team collaborations. – It helps in inculcating the zeal to learn within the employees. • Organization Climate — – Training and Development helps building the positive perception and feeling about the organization. – The employees get these feelings from leaders, subordinates, and peers.
  • 32. Importance of training and development • Healthy work environment — goals are aligned with organizational goals. • Morale— – Training and Development helps in – Training and creating the healthy Development helps in working environment. improving the morale of the work force. – It helps to build employee relationship so that individual
  • 33. Importance of training and development • Profitability — – Training and Development leads to improved profitability and positive attitudes towards profit orientation. • Training and Development helps in developing leadership skills, motivation, loyalty, better attitudes, and other aspects that successful workers and managers usually display.
  • 34. Role of professional in training • In general, education is ‘mind preparation’ and is carried out remote from the actual work area, training is the systematic development of the – attitude, – knowledge, – skill pattern • required by a person to perform a given task or job adequately and development is ‘the growth of the individual in terms of ability, understanding and awareness’.
  • 35. Role of professional in training • Within an organization all three are necessary in order to: – Develop workers to undertake higher-grade tasks; – Provide the conventional training of new and young workers; – Raise efficiency and standards of performance; – Meet legislative requirements; – Inform people.
  • 36. Role of professional in training • This is the era of cutthroat competition and with this changing scenario of business; the role of professionals in training has been widened. • HR role now is: – Involvement in employee education. – Rewards for improvement in performance. – Rewards to those associated with selfesteem and self-worth. – Providing preemployment market oriented skill development education and post-employment support for advanced education and training. – Flexible access i.e. anytime, anywhere training.