Michael Armstrong (2006) is the use of systematic and planned instruction activities to promote learning. The approach can be summarized in the phrase 'learner-based training.' It involves use of formal phrases to impart knowledge and help people acquire skills necessary for them to perform their jobs satisfactorily and is described as one of the several responses and organization can undertake to promote learning.
Development
This is an action oriented process whereby an analysis of the organization's current human resources is carried out and the future requirements are anticipated after which the "planned, systematic change" is brought in employees through reinforcement of new training programmes. Development can also be seen as a "multi-faceted" set of activities carried out to improve the performance of an employee or an organization, for example coaching, mentoring.
Training is a very organized and systematic process that has a specific beginning and a whole development process, development is carried out to increase job satisfaction.
Training furthers the organization's performance standards, by raising the performance of employees and improving the quality of the output. While development is aimed at helping people to expand and to fulfil their potential, hence motivating them towards their personal growth as quoted in the case "Training is the acquisition of knowledge and skills in order for a person to carry out a specific task or job, while development is about helping the person grow and extend their abilities."
Training use of materials and equipment, while development improves the organizational climate, leading to less stress and preventing obsolescence amongst employees.
Customer expectations pose a very huge challenge. This is because expectations are unlimited. Expectations can be big, small and can change directions. However, how satisfied or dissatisfied a customer is determined by how organization performance is meeting them.
Beardwell. I and Claydon,T(2007) illustrated an equation:
Customer satisfaction = Organization Performance
Customer expectations
It has become a fundamental issue for companies to retain their current customers and keep them satisfied; this is because attracting new customers is very costly as proven in the case by Tesco "keeping existing consumers satisfied is important, as they are likely to return." According to Miller (1994), customer satisfaction is the only key to an acceptable future corporate performance. Customer expectations have a major effect on customer satisfaction, for example, if a customer has an expectation of a service performance, however he may react very aggressively if the expectation is not met. High customer expectation can be influenced through good communication.
Customer satisfaction and changing expectations are seen as a fundamental corporate objective which can be improved through building and maintaining a customer focus.
Changing customer expectations occur due to the increase in purchasing power due to increase in level of disposable income. Therefore, Tesco is affected by the different needs of customers as they are now socially aware of everything happening around them and would want to make the best out of it.
Tesco is a "customer-focused company" which shows that it defines service quality as "meet the customers' expectations." This training is based on the grounds of changing organization's service by giving a go-ahead to the employees to better serve customers through personal enrichment plans.
Training plays a fundamental and coherent role in the economic success of organizations (Tannenbaum and Yukl, 1992). Firms have increased investments in training due to the benefits of the long-term competitive advantage.
It is important to identify the needs for training due to the rapidly changing world where most of the organizations are capital-intensive and technology is rapidly growing day by day and therefore if a firm is to be successful, it cannot be operated without technology. Organizations will depend on well-trained employees who will be multi-skilled and will be more valuable to the company and will operate in a global environment. Firms have realized that training has become a strategic necessity which will lead to long term benefits.
List the methods of training carried out by Tesco. Describe how training needs are identified?
As mentioned by Dereck (2005, p) Training needs analysis is a very critical stage in the training cycle. An organizations training needs and objectives are spelt out on a well organized procedure which incorporates different perspectives such as
The organization's corporate requirements: This refers to the amount of human capital needed to complete the task. As mentioned in the case "Tesco's aim to expand and diversify requires the business to have the right people, in the right place, at the right time." This also includes identifying the training goals, which when achieved will occupy the trainee's mind with knowledge and skills which can be used to achieve the task. The business should have a precisely defined strategy and objectives which would lead to the implementation of all decisions made especially for training. This can therefore be done by evaluating the current position of the company which will enable top management to benchmark/compare its effectiveness against competitors and against the organization's past performance. The organization should then look at its financial status i.e. if it has enough funds to support the training programme.
Internal skills audit: An internal skills audit can be carried out to find out the currents skills that the employees have and what skills will be required for future development. This can also be enhanced by involving customer suggestions which can help in deciding what fields or departments need training.
Job demand/requirements: The duties and responsibilities involved in the job can be described by writing up the job description which analyzes the tasks and responsibilities of the person undertaking the job and the person specification will help in laying out the qualifications and qualities necessary to undertake the job
Feedback from performance appraisals and identifying gaps: This is the process of evaluating an employees work performance, which will enable the organization to benchmark employees performance against other employees and therefore, discrepancies in these comparisons will signal need for training, as mentioned in the case "Tesco regularly evaluates the performance of its employees in order to anticipate any possible skills shortages."
One of the methods that Tesco uses is:
On-the-job training: William J.Rothwell and H.C.Kazanas (2001, p. 154) described on-the-job training as a planned instruction being given while performing your work, centred around what the worker needs to know to perform his work competently. It can also be referred to as "the succesful organizing of learning activities" which is instructed by a knowledgeable or more highly skilled person who provides the trainee with the task and assists him when appropriate during practice.
As per the case, Tesco uses several methods for on-the-job training which include:
Shadowing: This involves the trainee observing all the activities of the jobholder's work and monitoring all the processes involved. This allows the trainee to understand and make a choice for himself, as to whether the job will be suitable for him and whether he will be compatible for it or not. This can be beneficial for employees who are prepared for promotion and for a change of role. However, the disadvantage of this method is that the trainee will just be observing all the procedures and tasks, and not performing the tasks, this therefore may lead to having wrong perceptions about the job.
Coaching: Karen Lawson (1997, p.1) defines coaching as an ongoing process designed to help the employee gain greater competence and overcome barriers to improving performance. This is related support provided on a one-on-one basis to an employee or the trainee in order to learn and maintain the skills and behaviour suitable for a particular job. For example, having an attitude that will enhance relationships amongst workers in the workplace, maintaining etiquette in front of customers.
Mentoring: Lawrence J. Gitman and Carl Mcdaniel (2008, p.279) define mentoring as a process involving senior managers or other experienced employee providing the job and career-related information to the mentee. It is about assisting the mentee in achieving a task in a non-threatening manner that will be appreciated and absorbed by the mentee and will boost their confidence and motivate them towards their goal.
Job Rotation: This can take form of a series of relatively short-term training periods in a number of pre-determined positions in different parts of a company. It is more likely as part of a programme for staff in junior positions who have been recruited recently.
An alternative form is to transfer experienced staff to positions in functions or departments with which they may not be familiar, to widen the scope of their experience at later, rather than earlier, stages in their careers. This can provide a useful introduction into the functional areas of the business. International companies often use this system to develop a cultural awareness that can be generated by working in different parts of the organization. This can be proven from the case "Tesco employs people from a wide range of backgrounds and all employees have the opportunity to grow and develop."
The other method that Tesco uses to train its employees is:
Off-the-job training: Lesli Rae (2000, p.127) defines this as the process by which employees undertake training courses away from the place of work. This can also be referred to as "formal training." The courses under this may include:
Day releases
Revision courses
Sandwich courses
Self-study
Self study
Computer-based training
The advantage about this method is that there are specialist trainers who are multi-skilled, and disciplined and would therefore influence some of these on the trainees. Secondly, the trainee will be able to concentrate on the course as there will be less pressure from work. Last, but not the least, the most fundamental issue is that trainees get the opportunity to interact with other employees, which will enable them to enhance their innovativeness. This can also be proven from the case "new employees meet other trainees and learn about the company and the business objectives rapidly.
Analyse Tesco's method of developing its employees. Consider the strenghts and weaknesses of such a programme.
Julie Beardwell & Tim Claydon (2007, p.360) defined development as the term used to encompass the different ways in which an employee improves their capabilities and includes informal and experiental modes of human capital formation.
It is necessary for Tesco to have a policy statement, which outlines its commitment to develop and sets out a framework within which this will take place.
Tesco is bringing up the development needs analysis by the contribution of the trainee and the line manager, this can be achieved through observing the performance of employees against the departmental and organizational objectives. This therefore leads to the formation of a personal development plan which needs to be reviewed regularly in light with the changing environment.
A personal development plan, sets ou the actions people intend to take to develop themselves in order to extend their knowledge and skills, increase their level of competency and improve their performance in specific areas. The main purpose of theis plan is to assess one's own assets including the knowledge, skills and abilities. It is a plan specifically designed to enhance an individuals performance and self perception.
The advantage of using the personal development plan is that, firstly, it will set a straight path for a career. Secondly, it clearly shows the areas where development is required. The plan will enhance an individual's self-esteem and inualcreases motivation. An individual wil use alot of thinking faculty in a personal development plan and will enhance ability to make wise decisions.
Another method that Tesco uses to develop its employees is self assesment. This refers to getting people to analyze and asess their own performance as the basis for discussion and action. However individuals must have clear targets and standards aginst which they can assess their performance, and ther must be a climate of mutual trust between the reviewer and reviewee. Soem of the advantages of self assessment are:
It helps to generate less inhibitend and more positive discussion thus encouraging the employee.
It involves reviewee actively in the review process
It is likely to reduce defensive behaviour
It provides scope to run the review meeting as a constructive and open dialogue by reducing the top don element of traditional performance appraisals and minimizing their unilateral nature
However there is a risk that individuals, especially where there is money at stake, will over-estimate their performance leaving their reviewers at an awkward position of having to correct them.
Tesco offers workshops focusing on both leadership behaviours and operating skills. (Jacowski, T. 2008, June 5) mentions that this encompasses job assignments that will enhance the employees leadership skills and this will allow for a hands-on-experience for the employees within an organization, helping them to decide whether they have the ability to take up these skills or not. Jacowski states "It is observed that these programmes give better understanding of the overall work in the organization."
Thw adantge of this is that it allows plans of individuals to be tracked and includes feedbacks, objectives, which guid an individual in achieving what he wants.
However, individuals often take advantage of the skills and position by giving out confidential information about the business. Some individuals may begin demanding co-workers due to the pride of achieving a certain position and may begin to be unkind and neglect needs of employees. Other important activities such as planning, organizing, may be ignored because leadership is given the first preference.
Evaluate the benefits for Tesco in providin a structured Training programme. To what extent do you think the training has achieved a Return on Investment?
Joan .E. Pynes (2004 p.285) states that training and development is used in the organization to increase the amount of skills they posess and increase their capability of adopting to the changing environment. It also helps employees learn new job-specific skills and change their attitudes.
Some of the benefits that Tesco will attain from the structured training programmes are:
Training furthers the organization's performance standards in terms of the quality of output produced and the performance of employees. This is because employees will feel have a sense of belonging towards the organization and will also be aware of what is happening within the organization.
Training is aimed at personal devlopment, helping people to expand and to fulfill their potential, hence motivating them toward personal growth.
Training benefits employees in terms of satisfaction, enhancing their capability and flexibility where employees gain confidence, become more innovative and improve their performance.
Training improves the organizational climate, leading to less stress, less supervision, as well as preventing obsolence amongst employees.
It will also lead to economies of scale i.e. reduction of costs from large scale operations, as large quantities of quality output will be produced with less time being taken per unit, thus reducing average cozts per unit.
Effective communication will be possible as the level of thinking will be the same.
As far as the return on investment of Tesco is concerned, it can be defined as the measure of benefits an organization gets in return of an investment made in a training programme. However, to obtain this an approximate figure of the costs associated with the training programme must be associated. For example:
Design and Development costs- These are costs as to what method of training is used i.e. if it is self-study, or coaching, mntoring, shadowing
Promotional costs- These are costs of advertising the training programme
Administration costs
Faculty costs-i.e. costs of the teacher, the coach or the mentor
Materials needed for the prograame
Facilities
Student costs-These are the major costs that Tesco may occur during the training because this is the time when employees will be the most unproductive as they will be concentrating on the training course.
However return on investment can be possible in the following ways if Tesco makes an effort:
Labour Savings-This refers to the amount of output produced i.e. less effort needed to achieve the actual output or more even durin the training programmes. Therefore ensuring less accidents take place, less duplication of effort which will reduce costs.
Other cost savings- This refers to the amount of machine breakdowns occuring within Tesco, therefore the fewer they are, the lower the maintenance costs. Reduced labour turnover will reduce costs of recruiting new candidates because retaining employees is cheaper than recruting new ones accordin to Tesco.
Innovation- Training will in the long-term increase an individuals thinking faculty, thus leading to development of new ideas, new products, which leads to enhancement of the company image and profit maximization therefore achieving a return-on-investment in the long-run.
