1. GCSE Business Studies
Unit 2
Developing a Business
Training

2. Learning Outcomes Students should be able to:
explain the reasons for staff training:
induction
change in procedures; and
for businesses to become more competitive
describe advantages and disadvantages of training to the business and to employees
describe and evaluate the main methods of training and justify the more appropriate method of training for particular circumstances
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3. Paired Activity (10 minutes)
Lucy runs a business in Ballymena. She invests in staff training.
Answer the following questions
Produce a list giving the reasons for staff training
What are the benefits of having a well trained workforce?
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4. Reasons for Staff Training
Induction – this is the training given to employees when they start a new job
Changes in procedures – so employees are familiar with new ways of doing things
For the business to become more competitive – a well trained workforce will be more efficient and productive and better able to meet the needs of customers, meaning the business will be in a better position to beat the competition
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5. Benefits of Staff Training
to increase productivity – staff should be better able to do their job and therefore work more quickly and to a higher standard of quality
to remain competitive – a better trained workforce will be more efficient and therefore the firm should become more competitive
to increase staff motivation – staff who feel invested in by their employer are more likely to be motivated
to improve health and safety – reducing the risk of accidents and subsequent issues
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6. Benefits of Staff Training
CPD – training will help employees in the process of lifelong learning and aid their development
Changes in procedures – so employees are familiar with new ways of doing things
Legislation – to meet any changes to the legal requirements placed on firms
New technology– employees will need training to ensure they stay up to date and can use technology effectively and efficiently
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On-the-job Training
A method of training where employees are trained in their normal place of work, through:
work shadowing
apprenticeship
job rotation
coaching and mentoring
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8. On-the-job Training Advantages
It is relatively cheaper method than off-the-job training
The trainee does not need to take time off as the training is happening in the workplace meaning no loss of output
Effective if the experienced worker is efficient
Training is tailored specifically to the firm. It gives the business greater control over the content of the training programme and the processes used
The employees are trained using their own equipment so it will help build their competence and confidence
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9. On-the-job Training Disadvantages
Need to select a suitable employee to carry out the training. The person needs to have the ability and willingness to conduct the training or they may not be able to teach the proper skills
The trainee may make mistakes which might be costly for the organisation
Trainee may pick up bad habits
Training delivered may not be consistent
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Off-the-job Training
A method of training where employees are trained away from their normal place of work, through:
courses/lectures
distance learning
simulation exercises
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11. Off-the-job Training Advantages
Since the training is carried out by specialists it is usually of higher quality, meaning employees should be properly trained
Employees are trained away from their place of work so any mistakes will not impact on customers
The costs of training are easy to calculate
May lead to a formal qualification
The training will allow the employees to concentrate, especially since they are away from the distraction of work.
Employees have the opportunity to meet people from other organisations and can exchange ideas. They may also be introduced to new equipment, they can bring this experience back to their own place of work
Some training may take place through evening classes which means that they do not miss their work and this reduces cost
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12. Off-the-job Training Disadvantages
Off-the-job training is more expensive than on-the-job training, due to the costs of taking part in a training course and time off work
The learning is not taking place in the normal work environment, therefore it may be difficult to apply to their job. For example, equipment/tools used may not be the same as that used in the business
Training may not be specifically related to an individual firm’s needs
Causes disruption to normal work patterns as employees may need time off – leading to a loss of productivity
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Pupil Activity
Working individually you have thirty minutes to answer the following past paper questions:
2011 Question 1e
2012 Question 1c
2013 Question 1d
2014 Question 1d
2016 Question 1c
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14. Learning Check Can you:
explain the following reasons for staff training:
induction
change in procedures
for business to become more competitive
describe advantages and disadvantages of training to the business and to employees
describe and evaluate on-the-job and off-the-job training and justify the more appropriate method of training for particular circumstances
Images © thinkstockphotos.co.uk