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What is it? Why is it so important?. All of the management decisions and practices that directly affect or influence the people (or human resources) who.

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Presentation on theme: "What is it? Why is it so important?. All of the management decisions and practices that directly affect or influence the people (or human resources) who."— Presentation transcript:

1 What is it? Why is it so important?

2 All of the management decisions and practices that directly affect or influence the people (or human resources) who work for the organization Major areas of HRM Planning for organizations, jobs, and people Strategic HRM Human resource planning Job analysis Acquiring human resources EEO: The legal environment Recruiting Selection and staffing Building and motivating performance Training & development Performance management Compensation Maintaining human resources Benefits Safety and health Labor relations All of the activities in which managers engage to attract and retain employees to ensure that they perform at a high level and contribute to the accomplishment of organizational goals

3 Recruitment and selection Training and development Labor relations and Safety/health Compensation and benefits Performance appraisal Primary components of HRM Aguinis & Kraiger (2009)

4 Selection New hires possess certain KSAOs Training Orient and train new hires to fully meet job & organizational demands (train new hires on KSAOs they do not possess) Recruiting Interested and qualified applicant pool Job Analysis Job description and requirements

5 Training: Training: Teaching employees how to perform current jobs and helping them acquire needed KSAOs (more present-focused). Development: Development: Building KSAOs so employees will be prepared to take on new responsibilities and challenges (more future-focused). Training Lower-level managers & employees Development Professionals, executives, upper-level managers What is T&D? Overall goal of T&D = LEARNING (the acquisition of new knowledge, skills, attitudes, or behaviors) Don’t forget TRANSFER

6 Formal training & employee development Informal learning Knowledge management Learning Human capital Performance improvement Reach business goals Explicit knowledge vs. Tacit knowledge Learner initiated; intent to develop; outside formal learning setting Finding ways to improve the creation, sharing, and use of knowledge

7 Why is T&D so important?

8  What are the outcomes with which an organization is likely to be concerned?

9 Finance Products or markets Human capital Finance Products or markets Human capital Building and maintaining a more capable and better trained workforce may offer the most sustainable advantage To maintain a competitive advantage, organizations must succeed in three domains (Salas et al., 2012):

10  Aguinis & Kraiger (2009) say yes!  But … Today, more people want to see T&D impacting the bottom line: ◦ If “all the stars align”, should see improvements in bottom line (productivity, quality, service) Training is based on employee and organizational needs? Learning occurs and is transferred back to the job? The job is strategically aligned with the organization’s needs?

11 Training HR Outcomes Attitudes & motivation Behaviors Human capital Organizational performance outcomes Performance Productivity Financial outcomes Profit and financial indicators (ROE, ROA, ROI) Tharenou et al. (2007)

12 ADDIE model = Analysis, Design, Development, Implementation, Evaluation

13 MODEL OF AN INSTRUCTIONAL SYSTEM (Goldstein & Ford, 2002) Needs assessment Organizational support Organizational analysis Requirements analysis Task and KSA analysis Person analysis Needs Assessment Development & Implementation EvaluationValidity levels Selection and design of instructional programs Conduct training Development of criteria Use of evaluation models Individual difference Experimental context Instructional objectivesTraining validity Transfer validity Intraorganizational validity Interorganizational validity

14 ADDIE model = Analysis, Design, Development, Implementation, Evaluation

15 1. Training design is effective only if it helps employees reach instructional or training goals and objectives. 2. Measurable learning objectives should be identified before the training program begins. 3. Evaluation plays an important part in planning and choosing a training method, monitoring the training program, and suggesting changes to the training design process. 1. Training design is effective only if it helps employees reach instructional or training goals and objectives. 2. Measurable learning objectives should be identified before the training program begins. 3. Evaluation plays an important part in planning and choosing a training method, monitoring the training program, and suggesting changes to the training design process.

16  T&D process rarely follows this neat, orderly, approach  Org’s sometimes require trainers to document each step – wastes time and money  Model implies an end point (evaluation)  Good T&D is iterative; not a one-time event (Salas et al., 2012)  Companies claim to use ISD model, but dilute its application

17  U.S. organizations spend, on average, $1,228 per employee for T&D  On average, the dollars spent on T&D as a percentage of payroll is 2.7%.  On average, employees spend 32 hours/year in formal training.  Average cost for providing 1 hour of formal training = $1,415  Direct expenditures on T&D, as a percentage of payroll and learning hours, have remained stable over the last several years; but expenditures as a percentage of profit have dropped since 2009.  Use of technology-based delivery has increased, but is still used less often than instructor-led, classroom-based training (42% instructor-led/classroom-based; 24% blended learning; 22% online; 1% social network or mobile devices)

18  Too trendy/faddish  Too expensive  Doesn’t transfer to the job  Doesn’t improve the bottom line  Too trendy/faddish  Too expensive  Doesn’t transfer to the job  Doesn’t improve the bottom line

19 Economic cycles Globalization Value of intangible assets and human capital  Focus on knowledge workers  Employee engagement  Change and continuous learning Focus on links to business strategy Changing demographics and diversity of workforce  Ethnic and racial diversity  Aging workforce  Greater access for those with disabilities  Generational differences Talent management  Retirement of baby boomers  Skill requirements  Developing leadership Customer service and quality emphasis New technology  Influence on training  Flexibility in when/where work is performed High-performance work systems

20  Science-practice gap  Trendiness  Ethics ◦ Voluntary consent ◦ Discrimination ◦ Cost effectiveness ◦ Accurate portrayal of benefits ◦ Competency in training  Failure to conduct needs assessment or evaluation  Changing demographics  Increasing job complexity  Training as a subsystem  Training as a part of strategic management


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