1. Methods of Training
HRM issues

2. Return of homework…
Labour Turnover for a double glazing company. It introduced a new training programme and bonus scheme in Year 2.
Year 1
Year 2
Year 3
Year 4
Average number of employees 42 41 43
Number of leavers 3 6 2
Value of output £
1,500,000
1,300,000
1,600,000
1,800,000
Total labour costs
948,000
951,200
948,600
962,400
Average number of staff absent on one day 5 1

3. Answers….
A) Calculate the labour turnover for each year. (5 marks; 1 for formula and 1 x 4 per calculation)
Formula = Number of leavers/number of employees x 100
Yr 1 3/42 = 7.14%
Yr 2 6/41 = 14.63%
Yr 3 2/42 = 4.76%
Yr 4 2/43 = 4.65%

4. Question B
Calculate the labour productivity per year, using the output per employee formula.
(5 marks; 1 for formula and 1 x 4 per calculation)
Formula = value of output / number of employees
Yr 1 1,500,000 / 42 = £35,714.28
Yr 2 1,300,000 / 41 = £31,707.32
Yr 3 1,600,000 / 42 = £38,095.24
Yr 4 1,800,000 / 43 = £41,860.46

5. Question C
Calculate the labour productivity using labour costs per unit method. (5 marks; 1 for formula and 1 x 4 per calculation)
Formula = labour costs / value of output
Yr ,000 / 1,500,000 = 63.2p
Yr ,200 / 1,300,00 = 73.16p
Yr ,600 / 1,600,000 = 59.28p
Yr ,400 / 1,800,000 = 53.47p

6. Question D Calculate the percentage absenteeism rate for years 1 – 4.
(5 marks; 1 for formula and 1 x 4 per calculation)
Formula = absenteeism / number of staff x 100
Yr 1 5/42 = 11.9%
Yr 2 6/41 = %
Yr 3 2/42 = 4.76%
Yr 4 1/43 = 2.32%

7. A = use of values & comparing differences
Question E
How has the new training programme and bonus scheme affected the performance of labour in the company?
(10 marks; C = 3 A = 4 E = 3)
Content:
Drop in labour turnover (14 – 4% = 10%) ….reduces costs for the business
This also increases the value of productivity per worker from £31, to £38, in 1 year (£6,383 improvement)
A 10% drop in absenteeism…
A = use of values & comparing differences

8. Induction – for new employees when they 1st start work
HRM _ Training
Aims of today…
To raise awareness of different training methods
on-the-job
off-the-job
Induction – for new employees when they 1st start work
Mrs G & Mr M notes

9. Decide which method of training would be best in the following situations….
Use your worksheet

10. Reasons for training chosen….
Decide which method of training would be best in the following situations….
On the job
Off the job
Induction
Reasons for training chosen….
Teacher
Cleaner
Underground security
Vet
Pilot
McDonalds worker

11. Methods of training
On-the-job training – where an employee learns in the workplace how to do a job
Advantages include:
Familiar environment, equipment _and people
Confidence through doing
Easier to assess improvements
Cost effective with training _normally delivered by people _from within the firm at no extra _cost
Disadvantages include:
Instruction might not be to a _good enough standard
Bad habits may be passed on
Often, lack of time means sub- _standard training
External trainers might not be _familiar with the equipment

12. Methods of training
Off-the-job training – any form of education that takes place outside of the workplace
Advantages include:
Specialist trainers can provide _higher level of knowledge
Can often lead to qualifications _and motivate workers
Can be a cheaper way of _acquiring information and skills, _the trained employee can _feedback to work colleagues
Disadvantages include:
Instruction might not be _specific to the requirements of _the individual firm
Can be expensive
If done during work time can _lead to a loss of productivity

13. Methods of training
Induction training – introductory training for employees new to an organisation
Advantages include:
Provides staff with information _that helps them to settle in
Helps staff to understand the _formal and informal culture _within an organisation
Staff will have a greater _understanding of their role
Familiarisation with Health and _Safety and legal requirements
Disadvantages include:
Cost – whilst training _employees are not producing
Information overload
Often, less personal than _training from immediate _colleagues or supervisors
Watch this video looking at recruitment and training at different types of company:
You will need access to the internet to watch this videoclip