1. 1 S. Chan Training & Development CHC BBA 229 Training and Development Lecture 7 & 8 Employee Development S. Chan Department of Business Administration charmaine@chuhai.edu.hk

2. 2 S. Chan Training & Development CHC Development Development refers to formal education, job experiences, relationships, and assessments of personality and abilities that help employees perform effectively in their current or future job and company. Employee Development

3. 3 S. Chan Training & Development CHC Comparison Between Training and Development

4. 4 S. Chan Training & Development CHC Why is Employee Development Important? (1 of 2) Employee development is a necessary component of a company’s efforts to: –improve quality –retain key employees –talent management –meet the challenges of global competition and social change –incorporate technological advances and changes in work design

5. 5 S. Chan Training & Development CHC Why is Employee Development Important? (2 of 2) Development activities can help companies reduce turnover: –by showing employees that the company is investing in the employees’ skill development –by developing managers who can create a positive work environment that makes employees want to come to work and contribute to the company goals

6. 6 S. Chan Training & Development CHC Approaches to Employee Development -Formal Education -Assessment -Job Experience -Interpersonal Relationships

7. 7 S. Chan Training & Development CHC Formal Education Formal education programs include: –off-site and on-site programs designed specifically for the company’s employees –short courses offered by consultants or universities –executive MBA programs –university programs in which participants actually live at the university while taking classes

8. 8 S. Chan Training & Development CHC Trends in Executive Education Universities offer MBA programs that allow employees to earn the MBA in less than two years Universities offering executive education programs are beginning to measure their programs’ ROI Companies also provide tuition reimbursement to encourage employees

9. 9 S. Chan Training & Development CHC AssessmentAssessment Assessment involves collecting information and providing feedback to employees about their behavior, communication style, or skills Used most frequently to –identify employees with managerial potential –measure current managers’ strengths and weaknesses –identify managers with potential to move into higher-level executive positions –work with teams to identify members’ strengths and weaknesses, and factors that inhibit productivity

10. 10 S. Chan Training & Development CHC Myers-Briggs Type Indicator ® (MBTI) Assessment Center Benchmarks Performance Appraisals and 360-Degree Feedback Systems Popular Assessment Tools

11. 11 S. Chan Training & Development CHC Assessment Tools: Myers-Briggs (MBTI) Most popular psychological test for employee development Used for understanding such things as: –communication –motivation –teamwork –work styles –leadership

12. 12 S. Chan Training & Development CHC Personality Types Used in the Myers- Briggs Type Indicator Assessment

13. 13 S. Chan Training & Development CHC Personality Types Used in the Myers-Briggs Type Indicator Assessment (concluded)

14. 14 S. Chan Training & Development CHC Examples of MBTI Use Can be used by salespeople who want to become more effective at interpersonal communication by learning things about their own personality styles and the way they are perceived by others Can help develop teams by matching team members with assignments that allow them to capitalize on their preferences Can help employees understand how the different preferences can lead to useful problem solving

15. 15 S. Chan Training & Development CHC Assessment Tools: Assessment Center (1 of 2) A process in which multiple raters or evaluators evaluate employees’ performance on a number of exercises –usually held at an off-site location –used to identify if employees have the abilities, personality, and behaviors for management jobs –used to identify if employees have the necessary skills to work in teams

16. 16 S. Chan Training & Development CHC Assessment Tools: Assessment Center (2 of 2) Types of exercises used include: –leaderless group discussions –interviews –in-baskets –role plays

17. 17 S. Chan Training & Development CHC Examples of Skills Measured by Assessment Center Exercises

18. 18 S. Chan Training & Development CHC Assessment Tools: Benchmarks An instrument designed to measure important factors in being a successful manager Items measured are based on research that examines the lessons executives learn at critical events in their careers This includes items that measure managers’ skills in dealing with: –subordinates –acquiring resources –creating a productive work climate

19. 19 S. Chan Training & Development CHC Skills Related to Managerial Success Resourcefulness Doing whatever it takes Being a quick study Building and mending relationships Leading subordinates Compassion and sensitivity Straightforwardness and composure Setting a developmental climate Confronting problem subordinates Team orientation Balance between personal life and work Decisiveness Self-awareness Hiring talented staff Putting people at ease Acting with flexibility

20. 20 S. Chan Training & Development CHC Assessment Tools: Performance Appraisals T The process of measuring employees’ performance Approaches for measuring performance: –ranking employees –rating work behaviors –rating the extent to which employees have desirable traits believed to be necessary for job success (e.g., leadership) –directly measuring the results of work performance (e.g., productivity)

21. 21 S. Chan Training & Development CHC Conditions in which Performance Measurement is useful for Development The appraisal system must give employees specific information about their performance problems and ways they can improve their performance Managers must be trained in providing performance feedback Managers must frequently give employees performance feedback Managers also need to monitor employees’ progress in carrying out the action plan

22. 22 S. Chan Training & Development CHC Assessment Tools: 360-Degree Feedback System Rating Form Self Peers Customers Subordinates Manager

23. 23 S. Chan Training & Development CHC Development Planning Activities from 360-degree Feedback Process

24. 24 S. Chan Training & Development CHC Factors necessary for a 360-degree feedback system to be effective: The system must provide consistent (reliable) ratings Feedback must be job-related (valid) The system must be easy to use, understandable, and relevant The system must lead to managerial development

25. 25 S. Chan Training & Development CHC 360-Degree Feedback: Important Issues to Consider Who will the raters be? How will you maintain the confidentiality of the raters? What behaviors and skills are job-related? How will you ensure full participation and complete responses from every employee who is asked to be a rater? What will the feedback report include? How will you ensure that managers receive and act on the feedback?

26. 26 S. Chan Training & Development CHC Job Experiences To be successful in their jobs, employees must stretch their skills. They must be forced to learn new skills, apply their skills and knowledge in a new way, and master new experiences. Relationships, problems, demands, tasks, or other features that employees face in their jobs Most employee development occurs through job experiences A major assumption is that development is most likely to occur when there is a mismatch between the employee’s skills and past experiences and the skills required for the job

27. 27 S. Chan Training & Development CHC Enlarging the Current Job Job enlargement – adding challenges or new responsibilities to an employee’s current job This could include: –special project assignments –switching roles within a work team –researching new ways to serve clients and customers

28. 28 S. Chan Training & Development CHC Characteristics of Effective Job Rotation Systems (1 of 2) Job rotation is used to develop skills as well as give employees experience needed for managerial positions Employees understand specific skills that will be developed by rotation Job rotation is used for all levels and types of employees All employees have equal opportunities for job rotation assignments

29. 29 S. Chan Training & Development CHC Characteristics of Effective Job Rotation Systems (2 of 2) Job rotation is linked with the career management process so employees know the development needs addressed by each job assignment Benefits of rotation can be maximized and work load costs minimized through managing time of rotations. This can help employees understand job rotation’s role in their development plans

30. 30 S. Chan Training & Development CHC Transfers, Promotions, and Downward Moves Transfer - in a transfer, an employee is given a different job assignment in a different area of the company Promotions – advancements into positions with greater challenges, more responsibility, and more authority than in the previous job Downward move – occurs when an employee is given a reduced level of responsibility and authority

31. 31 S. Chan Training & Development CHC Interpersonal Relationships Employees can also develop skills and increase their knowledge about the company and its customers by interacting with a more experienced organizational member Two types of interpersonal relationships used to develop employees: –mentoring –coaching

32. 32 S. Chan Training & Development CHC Characteristics of Successful Formal Mentoring Programs (1 of 2) Mentor and protégé participation is voluntary –relationship can be ended at any time without fear of punishment Mentor-protégé matching process does not limit the ability of informal relationships to develop Mentors are chosen on the basis of: –their past record in developing employees –willingness to serve as a mentor –evidence of positive coaching, communication, and listening skills

33. 33 S. Chan Training & Development CHC Characteristics of Successful Formal Mentoring Programs (2 of 2) The purpose of the program is clearly understood The length of the program is specified A minimum level of contact between the mentor and protégé is specified Protégés are encouraged to contact one another to discuss problems and share successes The mentor program is evaluated Employee development is rewarded

34. 34 S. Chan Training & Development CHC Benefits of Mentoring Relationships (1 of 2) Mentors provide –career support –psychosocial support Benefits for protégés: –skill development –higher rates of promotion –larger salaries –greater organizational influence

35. 35 S. Chan Training & Development CHC Benefits of Mentoring Relationships (2 of 2) Provide opportunities for mentors to: –develop their interpersonal skills –increase their feelings of self-esteem and worth to the organization –gain knowledge about important new scientific developments in their field

36. 36 S. Chan Training & Development CHC Coaching Relationships (1 of 2) Coach – a peer or manager who works with employees to motivate them help them develop skills provide reinforcement and feedback The best coaches are: –empathetic –supportive –practical –self-confident They also do not appear to know all the answers

37. 37 S. Chan Training & Development CHC Coaching Relationships (2 of 2) Three roles that a coach can play: –one-on-one with an employee, providing feedback based on psychological tests, 360-degree assessment, or interviews with bosses, peers, and subordinates –help employees learn for themselves by putting them in touch with experts who can help them with their concerns and by teaching them how to obtain feedback from others –provide the employee with resources such as mentors, courses, or job experiences that the employee may not otherwise have access to