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Measurement of Training and Development

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executive batch 2009-10 MEASUREMENT OF TRAINING AND DEVELOPMENT By group-3 executive batch 2009-10 executive batch 2009-10 executive batch 2009-10 ... – PowerPoint PPT presentation

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Title: Measurement of Training and Development


1
Measurement of Training and Development
  • By group-3

2
What training refers to
  • It is a learning process that involves the
    acquisition of knowledge, sharpening of skills,
    concepts, rules or changing of attitudes and
    behaviours to enhance the performance of
    employee.
  • Training is activity leading to skilled behavior.
  • -its not what you want in life, but its
    knowing how to reach it.
  • Training is about knowing where you stand ( no
    matter how good or bad the current situation
    looks) at present and you will be after some
    point of time.

3
Objectives of Training and Development
  • The principal objectives of training and
    development division is to make sure the
    availability of a skilled and willing workforce
    to an organization.
  • Individual objectives help employee in
    achieving their personal goals ,which in turn
    enhance the individual contribution to an
    organization.
  • Organizational objectives- assist the
    organization with its primary objective by
    bringing individual objectives.
  • Functional objectives- maintain the departments
    contribution at a level suitable to the
    organizations needs.
  • Societal objectives- ensure that an organization
    is ethically and socially responsible to the
    needs and challenge of the society.

4
Why measuring?
  • Measurement of learning is one of the best ways
    for trainers to choose the most effective
    teaching methods.
  • The investment of time and money there should be
    a return greater than the investment.
  • To know the followings-
  • - How well did someone learn?
  • - How effectively did he or she apply the
    learning, most importantly from a business
    standpoint?
  • - What difference did it make to the business
    imperatives?

5
Knowledge Management
  • At knowledge praxis, we define knowledge
    management as a business activity with two
    primary aspects-
  • -Treating the knowledge component business
    activities as an explicit concern of business
    reflected in strategy ,policy and practice at all
    levels of the organization.
  • -Making the direct connection between an
    organizational assets- both explicit (recorded)
    and tacit(personal know how) and positive
    business result.
  • KM can be broken into four steps-
  • -Collect information
  • -Organize it
  • -Disseminate it
  • -Evaluate its utility

6
Knowledge Management and Organizational Learning
practices
  • It yields four types of improvements-
  • Cost reduction by reducing time away from work to
    learn.
  • Improved quality through finding errors earlier
    in the process.
  • Reduced risk and uncertainty by focusing
    investment in activities with a higher
    probability of success.
  • Improved technology transfer by sharing insights
    within the community on how to do something and
    thus cutting time to learn on ones own.

7
Stages in developing a KMOL with Evaluation of
Each Stage
  • Vision
  • To convince others that there can be
    improvements in productivity , quality or
    service. Benchmarking within the industry or
    region can be an effective tool for making the
    case.
  • Strategy
  • The process of turning the vision into
    reality takes place.
  • Offering people an opportunity to come
    together around a common interest .
  • Expansion
  • Comparison of previous internal performance
    levels as well as to external benchmarks. Show
    quantitative returns on investment like reduction
    in cost, improvement in customer retention ,
    increased sales etc.

8
Contd.
  • Institutionalization
  • Top management must be very visible in its
    support.
  • Funding as well as personal involvement, is
    necessary.
  • Climate assessment is necessary.
  • Balanced Scorecard can be developed.
  • TD SCORECARD.xlsm

9
IC Matrics
  • Learning Hours of training per Headcount
  • Percent of staff in company sponsored
    education Invested dollars per Headcount in TD
  • K containment Rate Percent of Key staff with
    more than X years in position.
  • Organization Capacity Average number of years of
    education per employee.
  • Diversity Percent of exempt positions held by
    members of affected classes.

10
KM Macro Metrics
  • HCVA Revenue Purchased services per FTE
  • HCROI Ratio of profit to Remuneration per FTE
  • HEVANOPAT- Capital Cost per FTE
  • HMVA Market value- Book value per FTE
  • KM Process Metrics
  • Innovation Percent of revenue from new products
    RD expenditure as percent of sales.
  • Drag Span of control(employees per supervisor)
  • Cost to supervise, No. of employees self
    service on intranet, GA cost as a percent of
    sales.
  • Team effectiveness Percent of team projects that
    achieve their objectives.
  • Outsource Factor Percent of GA services
    outsourced(payroll, maintenance , IT etc.

11
Measuring the Effect of T D
  • Three general measures of training -
  • Cost expense per unit of training delivered.
  • Change gain in skill or knowledge or positive
    change in attitude by the trainee.
  • Impact results or outcomes from the trainees
    use of new skills , knowledge or attitude that
    are measurable in monetary terms in the
    organizations productivity, quality or service
    result.

12
Training Cost Factor
  • TCF(CCTRSRCTLTSPSOH)/PT
  • TCF cost per trainee
  • CC consultant cost
  • TR training facility rental
  • S supplies , workbooks, paper and pencils
  • RC refreshments
  • TL travel and lodging for trainees and trainers
  • TS trainers salaries and benefit
  • PS participants salaries and benefits
  • OH training department overhead
  • PT number of people trained

13
Training Cost per Hour
  • TCHTC/TH
  • TCH training cost per hour
  • TC total cost of training
  • TH total training hours(number trained x hours
    of training)
  • Compare the program costs between internal and
    external sources. Mostly it depends on the
    following-
  • The scale of the program?
  • Is this a common topic or a special topic?
  • Will there be travel involved?

14
Input Analysis
  • It is a systemic method of identifying and
    comparing the many costs involved in two or more
    training programs.

Inputs, in Rupees
people material equipment facilities total
Diagnosis
Design
Development
Delivery
Evaluation
Total
15
Knowledge Change
  • KC KA/KB
  • KC knowledge change
  • KA knowledge level after training
  • KB knowledge level before training
  • Skill (Behaviour) Change
  • CSSA/SB
  • SC observable change in skills as a result of
    training.
  • SA skill demonstrated after training by work
    output , critical incidents of interpersonal
    relations, or other observable phenomena.
  • SB skill level existing before the training ,
    using the criteria above.

16
Attitude Change
  • ACAA/AB
  • AC attitude change
  • AAAttitude after training
  • AB attitude before training
  • Performance Change
  • PCPA/PB
  • PCchange in work performance as measured by the
    organizations performance appraisal system.
  • PA latest review rating or score from a
    performance appraisal conducted at least 90 days
    after the training
  • PB performance review score or traning from the
    performance appraisal conducted before the
    training.

17
Value analysis
  • It consist of four steps
  • Situational analysis-study the business problem
    or opportunity looking for its sources and the
    factors and forces driving it.
  • Intervention- if training is deemed to be part
    of the solution , design and deliver it in a
    skill form that is visibly linked with the
    business problem.
  • Impact-when the data on performance change are
    in, did performance change?
  • Value- calculation of the value of the impact in
    monetary and, if applicable , human terms.

18
Developing and measuring leadership
  • Peter Koestenbaums simple model divided into two
    aspects-
  • Authenticity- invisible ,inherent character.
  • Competence
  • Leadership Metrics
  • Leaders depends on followers , without followers
    there is no leader. Behavior of a leader include
    some of the following-
  • Provides an exciting vision for others to follow
  • Outlines a strategy and makes a commitment to it
  • Describes a preferred corporate culture
  • Acts in accordance with the culture
  • Is consistent in word and behavior
  • Treats all people with respect
  • Acts ethically
  • Develops talent

19
Measurement of BDAL
  • BDAL-Business Driven Action Learning
  • Yuri Boshyk described BDAL change companys
    strategy and behavior of its people.
  • Five key elements of BDAL-
  • Involvement and support of senior executives.
  • Work on real business issues exploration of new
    strategic opportunities.
  • Action research focus on internal and external
    business experience.
  • Leadership development through teamwork.
  • Implementation of recommendations and follow up
    on the issues.

20
The New Look of employee development
  • Traditional approach Job or Organization and
    Employee view point
  • Tried to fit people to the job or job to the
    people
  • Three issues for better career development
  • First need to understand the business
  • Second development requirement is interpersonal
    skills
  • Analytical ability

21
The development Trend
  • Specific development is becoming more prized
  • Quality, productivity and service issue can be
    solved cost-effectively
  • Shift toward self directed and self-paced
    development
  • Employees must take active role in self
    development
  • Development Process
  • Formation of career development team
  • First, a representative of line management must
    be included from the area we plan for servicing
  • Representation from HR, Staffing and career
    development
  • Trainer who will design and deliver
  • Selection of Target development area
  • E.g Develop people in customer service area
  • Select people based on the feedback from managers
    and customer

22
Career development measures
  • One way to measure career development is to view
    the job-posting system as a career development
    activity
  • First thing we can show management is the volume
    of applicants and placements handled each month
  • Second issue cost per placement. How much we save
    the organization through internal placement
  • Third important issue is retention

23
Organizational shifts
  • Career Path Ration
  • CPR
  • CTR
  • Where CPR Career Promotion Ratio
  • CTR Career Transfer Ration
  • p number of employee receiving a promotion
  • T number of employee transferred

P
P T
T
P T
24
Organizational Development
  • Organizational Development Past and Future
  • 1980 Organizational Development evolves from the
    touchy-feely, humanistic psychology
  • 1990. OD took on more practical face. It is
    actively partnering, creating and guiding change
    management process
  • OD practitioners are helping organization to
    modify the business strategy, determine the gaps
    between current condition and desired future
    state

25
Organizational development and the Organization
  • OD is an effort
  • Planned
  • Organization wide
  • Managed from the top
  • Increase organization effectiveness and health
    through
  • Planned inventions in the organization process,
    using behavior science knowledge

26
OD opportunities
  • Benchmarking, Reengineering and other forms of
    process improvement can use OD skills

Why OD is not quantitatively evaluated
  • First, some feel that since evaluation is not
    demanded in past why offer it now
  • People do not know how to measure beyond basic
    production and financial variables
  • Many people including some OD people do not want
    to measure
  • People dont want to accept the constraints
    imposed by science and business impose
  • Zealous, so dont want to speak OD in business
    terms

27
Measure of effectiveness for organization
development
  • Six Factors
  • Short Term
  • Productivity
  • Quality
  • service
  • Intermediate
  • Responsiveness
  • Development
  • Long Term
  • Survival

28
Enterprise factor
  • Productivity
  • Quality
  • Service
  • Responsiveness
  • Development
  • Survival
  • Subsystem
  • Productivity
  • Quality
  • Service
  • Change measure
  • Scorecarding
  • Value Chain

29
  • Thank You
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