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Human Resource Development
HR strategies on Employee Development
mployees and organizations
will experience inevitable change. Human resource
development (HRD) enhances employee competence in their jobs by increasing
knowledge, abilities, and skills. Pro-active career management and
self-reliance will be the key to success in the 21st century. In this
environment, the employee will be primarily responsible for career
development but the company will also have responsibilities that include
clearly stating the company's corporate strategy and providing information
about its business.
Strategy
The business strategy must be linked with the human resource strategy. It is
essential to consider the differing characteristics of people when setting a
plan for an organization to follow. The stage of development - embryonic,
high-growth, mature, or aging - that the company is in will determine the
HRD goals.
Companies that are just starting out are interested in strong managers. The
next stage is characterized by high growth. While vying for a place for
their product in the market, they are also spending a lot of time developing
their intellectual capital, i.e., their people. When at the mature stage,
companies begin to put more limits on employee actions. Good managers at
this stage can assemble employees to be able to perform tasks in the best
way possible. Companies that are aging will be very concerned with economic
survival and will need a staff that can revitalize it.
Organizational culture will be strongest when the company is at the mature
stage. "Culture is the pattern of basic assumptions a given group has...
developed in learning to adapt to both its external environment and its
internal environment" [Cascio, 1998]. Corporate commitment must exist for
establishing and clearly communicating organizational culture. Managers who
have well-developed human resource skills will recognize the value in a
strong culture. They will be better suited and committed to aiding their
staff in personal career development. There can be varying cultures across
organizations. People who choose jobs that are in line with their own values
and culture are likely to be more productive and well suited to work
together [Blake]. Successful human resource managers must tie human
resources to business strategy goals.
HRD can assist managers in adopting strategic thinking and can facilitate
the implementation of business strategies [Garavan, Heraty, and Morley]. The
role of human resource staff is changing all the time. Their responsibility
in the future is to staff projects with people committed to fulfilling
business strategy. Human resource functions such as compensation, benefits
and recruiting can be out-sourced. The judgment, knowledge, and foresight
needed to staff effectively and efficiently will be the most important role
of the human resource manager [Weiss].
Developing the skills of this carefully chosen staff is essential to
achieving business strategy. Continual education for employees is one of the
most vital organizational strategic goals. When the right people are hired
and their skills are developed on an on-going basis, the human resource
manager is insuring the staffing needs for future projects and goals. It
only makes sense to keep good quality people and develop their skills to be
exactly what you need. Their ability to adapt and change for newer projects
will be a reflection of the development preparation that they have received.
Employees need to have good people skills in every organization. This
certainly helps them to relate to customers. It also aids the organization
by having a staff that can work well together. The development of
human-relation skills can help to improve communication, which decreases
conflict in the long-run.
Better understanding and effective communication abilities will no doubt
increase productivity amongst staff. This creates a more positive work
environment that motivates employees. Human-relation skill development means
improved performance, which is a main business strategy goal [Dilenschneider].
Assessment

Part of development includes realizing the skills and abilities that
employees already have. Even the most well trained employees will perform
poorly if they are not assessed properly. Reinforcing previously covered
information, teaching new concepts, and introducing new ideas are
development aspects that must be measured and assessed. Employees need to
know what is expected of them. Acceptable performance can only be known if
the employees are assessed and if the assessment information is communicated
to them. Then, the measurement of what people have learned after training
will be more accurate. Feedback from managers to subordinates and vice versa
is essential to the development function.
Research conducted over the past 70 years indicates tests to evaluate
intellectual ability, the ability to draw conclusions from verbal or
numerical information, and an individual's interests can help in selecting
successful managers [Cascio]. An employee needs to be assessed for readiness
to accept management responsibilities. Assessment centers can focus on
business simulations as well as formal assessments. These programs allow the
employee to develop his/her skills in a structured and focused process. This
kind of development encourages promotion and increases job satisfaction.
Weaknesses are identified and the employee is empowered to tailor
development to fit his or her future career plans.
These centers use multiple assessment techniques, such as situational tests,
tests of mental abilities, and interest inventories. They also use
standardized methods to make inferences from these techniques as well as
pooled judgments from multiple assessors to rate each candidate's behavior.
The assessment center prediction doesn't help very much if you are only
trying to predict performance in management such as the clarification and
evaluation of the promotion system in an organization. They are, however,
helpful in capturing the promotion policy of the organization.
Both job and person analyses need to be included in assessment of the
trainee [Cavanaugh].
Personality, motivation and the actual task can affect self-efficacy. This
trait plays a big part in eventual performance on the job [Gist and
Mitchell]. Development aimed at improving skills should increase
self-efficacy.
It is important to remember that no one predictor of performance is
perfectly valid and some mistakes in selection are inevitable. Conscious
selection of managers and lower-level employees based on their fit with
demonstrated job requirements, the strategic direction of a business, and
organizational culture will minimize mistakes and enable you to make optimum
choices.
Post development evaluation criteria and processes are essential.
People-management and management of change issues are the key future
training and development needs for both multinational and indigenous
organizations [Tregaskis]. Garavan, Heraty, and Morley discuss the differing
interest groups' perceptions on evaluation of HRD programs. Senior and line
managers use quantitative measures such as optimal utilization of human
resources, increased productivity and enhanced employee flexibility to
evaluate HRD success. HRD specialists and individual learners place more
emphasis on qualitative criteria such as the number of training days, how
many and who participated, and improved performance and career options.
Individual learners were primarily concerned about their enhanced
employability resulting from certification, the range of competencies
developed and the financial investment in their training.
Return on investment
By retaining employees, the value of their development increases. They will
increase productivity and contribute to the over-all success of the
organization. Their expanded knowledge makes them valuable assets for the
company. Over time, this added value will more than cover the costs of their
development.
This reflects a pay-back model with an emphasis on quantitative and tangible
results. However, senior managers, education providers, and HR and HRD
specialists believe in the pay-forward model, i.e., results should accrue in
the longer term primarily as cultural change and increased incorporation of
corporate goals by individual employees. The pay-forward model "… is more in
tune with the contribution…" HRD specialists believe they can make [Garavan,
Heraty, and Morley].
Technology
The responsibility for managing new technological advances has fallen on the
human resource manager. Proper development of technical skills from
understanding how to use a computer to interfacing with networks is
increasingly difficult. If technical goals and strategies are expanded, the
job of developing employees will be more focused.
Technological changes will alter the face of communication and also the way
in which employees learn. People should be encouraged to develop their
abilities individually especially with the ease of delivery of information
through the Internet. Sharing knowledge, exchanging resources and learning
can be improved within an organization. Interactive forums and tutorials
allow learning to be done from even the most remote area. Real-time
conferencing allows employees to be students in virtual classrooms.
All levels of business functions need technological development. HRD should
focus on competent trainers. These will be the people with initial
responsibility for working on technical skills. Then, as programs are
further developed, people will welcome the technological change as it works
its way into the organizational culture. For example, if the accounting
department is up and running with new systems, why isn't the administrative
level? Employees will welcome chances to develop their technical skills to
keep the internal competitive climate more equal.
Changes in organizational structure will enable management to develop
technical skills. They should allow an organization to restructure by
enabling employees to learn, make contacts, and develop more efficiently.
This can be done with effective strategic goals that allow development to
take place. An example would be to have development designed internally, but
the actual training would be out-sourced.
Electronic performance support systems (EPSS) are the latest wave in the
training and development arena [Marquardt]. These systems use computers to
gain access to information, save it, and distribute it throughout an
organization. This helps development because employees can gain a lot of
information in a short period of time on an individual and basis staff
support is minimal. HRD managers must know this system and how it relates to
the work procedures of the organization.
Preparation for technology is the key. Seeking out instruction from people
with technological backgrounds is a first step. Check out on-line tutorials
with commercial services. Seminars, conferences and training programs are
the best places to get the most up to date technological development
information for yourself as well as for subordinates. Many academic programs
offer technological expertise. Books, magazines, and journals on technology
are readily available. They also give information about the Internet, EPSS
and other on-line services. There are thousands of on-line sites that deal
directly with technology and its impact on human resource development.
Who
HRD needs to consider the multiple interests, expectations and perceptions
of HRD constituents. These "actors" include senior/top managers, HRD
managers/specialists, line managers, trade union representatives,
professional HRD consultants, individual learners/employees, national
training agencies, external training providers, and educational
establishments. Each constituent has a varying degree of power and/or
influence. See Table 1 for a listing of HRD issues/philosophies supported by
each constituent.
It is important for the organization to carefully select the highest-caliber
managers and lower-level employees who will profit from development programs
because innovative and motivated performers don't evolve from marginal
performers. Every employee has the right to feel valued and needs career
development rewards. A promotion is an obvious motivator. However, career
development is not that simple. Managers need to foster the skills and
abilities of people. By helping employees to develop their skills, they risk
losing the employee to an advanced position in another organization.
Nonetheless, the manager must contribute to career development to establish
loyalty. It is ironic, but the most loyal employees in an organization are
the ones most likely to leave and pursue other employment options if not
properly rewarded.
People go through many changes in life. Marriage, children, divorce,
relocation, and aging are examples. Personal backgrounds and experiences
will shape the way in which development can occur. Managers need to focus on
the development tasks that employees have to handle in the early, middle,
and late stages of their careers. There are specific groups that need
special emphasis on development.
Women & Minorities
Companies wanting to have a competitive edge in the workforce area also want
to establish development programs for women and minorities. The number of
women and minorities in the workforce is increasing rapidly and they will
continue to be promoted into top positions, start their own businesses and
be prominent leaders in the business community. Organizations will be wise
to acquire women and minorities who will commit themselves to strategic
positions.
The value of human resources must be maximized. What better way to boost
value than to invest in HRD skills? By recruiting more women and minorities,
organizations are leveling the playing field that has been dominated by
white men. Developing their skills and abilities will help the organization
to outplay the competition.
Mentoring can lead to development, growth, and learning. It can also
maximize our natural capacity to form attachments [Collier]. Specialized
leadership programs are an excellent mentoring tool that can be utilized. By
following examples, women and minorities can develop strong leadership
styles, confidence, and boost self-esteem. Communication skills can be
improved so that innovative ideas can be seen as more effective when
delivered in the right way.
Women and minorities will network in the business world through leadership
programs. The more open the development of their skills, the more willing
women and minorities will be to speak freely. Good ideas will not be lost
and the organization is sure to gain. This networking is an opportunity for
self-advancement and promotion beyond the scope of their job.
Keep in mind that good leadership skills are not gender specific. Women and
minorities need to be able to handle all kinds of business people. The
opportunities for open and desirable work places need to be there for all
employees. In this way, the development of women and minorities will
encourage them to advance to leadership positions.
Career transitions sweeping the world generate macroeconomic developments
that emphasize cross-cultural and cross-national differences which will
impact how people are managed and developed [Sparrow]. Improved
understanding may also come with diversity training. The increase of
minorities and women in the workforce can shape organizational practices and
create cultural differences amongst staff [Tregaskis]. A workforce of
minorities and women will be better able to work and to feel that they
belong when the employees are trained in diversity awareness issues.
Older workers
The work force is aging. People are healthier and living longer. They face
reduced retirement funds and must continue to work. Managers can capitalize
on the knowledge and experience that older workers have. Older workers have
the potential to learn and be devoted to developing their work skills [Judy
and D'Amico].
Age and performance have been shown to be unrelated [Judy and D'Amico].
Therefore, aging and the loss of ability to function that accompanies it are
not factors with older workers. Aging only affects performance when it is
linked to the stability and growth of the individual.
Older workers can enhance communication in an organization. This is because
they can act as mentors or responsible examples. To attract this kind of
worker, managers need to make jobs, benefits and development opportunities
better than the option of retirement. By retaining would-be retirees as
consultants or in full- or part-time positions, companies are eliminating
the need to find replacements for people who already know and are committed
to their jobs.
Youth
Employers need to identify necessary work skills and to hire and train young
people. This kind of development sets the foundation for the workforce in a
positive way. Paradoxically, the United States has both the highest levels
of degree achievement and the highest levels of educational underachievement
[Tregaskis]. Local governments, business associations, and employers need to
aid in education expansion, training, and employment opportunities for young
people who are given needed opportunities for jobs [Judy and D'Amico]. Adult
mentors can build confidence as well as help youth take responsibility for
their behavior. They can help the student learn technical skills and develop
realistic goals and expectations [Collier]. Eventually employers will get
mature and responsible adults to work in their organizations.
Schools, communities, parents, employers and youth should create
partnerships for the assessment and planning of resources [Puglisi]. The
assessment would help to plan the actions for providing for the needs of
young workers. Planning reasonable part-time work schedules, providing
education, and assisting in various physical and learning disabilities are
examples of how these needs can be met.
Contingent workers
With contingent workers, it is important to remember budget limitations.
Training the contingent worker is often necessary so that they are able to
improve their performance and to produce the best results. Contingent
workers are hired to complete specific tasks. It might be assumed that they
already have the exact skills that you are looking for to get the job done
in the best way. Otherwise, you would have trained a permanent employee to
do the job. If contingent workers will not be a permanent part of an
organization, training/development dollars should be committed to existing
and/or future permanent workers.
Senior Level Executives
Executive development programs should enhance an executive's leadership
abilities in terms of profits and reducing costs. Leadership models help to
define actions required by managers. This leadership emphasis is reinforced
in the organization through effective and responsible managerial staff [Mailliard].
Senior level executives are a resource that will be targeted by job
recruiters and headhunters. If development has been productive and thorough,
excluding huge salary raises and sign-on bonuses, the executive will choose
to stay. The level of individual interest in employee development should be
strong enough to encourage loyalty [Koonce].
HR managers
HRD managers spend so much time developing their employees' careers that
they overlook their own. They too need to understand that they are
responsible for themselves. They can not get too focused on budgeting and
time constraints, otherwise they will be overwhelmed and not able to tend to
their own career development needs [Overman].
These managers need to make strategic decisions for themselves as well as
for their organization. They should view themselves as part of the teams,
not just the function that supports the team. Senior management wants human
resource technicians as well as open thinkers. It is difficult to have both
in the same people. A varied mix will help to balance the needs of the
managers, their employees and the organization as a whole.
The human resource generalist role is becoming obsolete and HR professionals
are now expected to provide support, service, consulting and leadership
[Walker]. Expanding current job descriptions for themselves involves
increased responsibility. Risks will have to be taken in order to expose the
human resource manager to other areas of an organization. They may find that
they are pleased where they are. Or, they may choose to move into an
entirely different discipline, say accounting, for the sake of broadening
abilities, knowledge, and skills.
Training
Training in the Nineties has become an absolute necessity. Organizations are
spending increasing amounts of money to make sure that they have employees
that are well qualified. "Training consists of planned programs designed to
improve performance at the individual, group, and/or organizational levels"
[Cascio].
By centralizing course development and delivery, training efforts can be
expanded without increasing cost. This happens when different business
cultures are combined into cohesive units that focus on the customer.
Training is not a cure for what is broken with a company and its staff,
development of abilities is [Modic].
How
In order to provide meaningful development opportunities, the material must
be appropriate and substantial [Moore]. Also, practice and feedback are
essential. Businesses (with government help) need to concentrate on 70% of
non-college graduates who enter the U.S. workforce. Also, schools and
employers must develop closer ties.
As a result of increased demands for readiness and flexibility and ongoing
changes in the business environment, organizations need to shift from static
fit to dynamic adjustment by their workforce. They "… need to devote
additional attention to non-task-specific competences and their significance
for efficiency, competitiveness, and career mobility" [Nordhaug]. These
competences include firm-specific, non technology-related tasks. Under the
current neoclassical human-capital theory, the development of firm-specific
knowledge and skills is paid for by the employer but the development of
general competence is financed by the individual, although these skills are
transferable across employers. Nordhaug lists six competence categories:
-
Meta-competences are predominantly interpersonal and conceptual skills
related to people management as well as analytical problem-solving
skills. Technical skills are largely ignored.
-
General
industry competences - are top-level managers able to be shifted from
one industry to another with ease or are there industry- and
firm-specific conditions like technology, culture and traditions that
prevent transferability?
-
Intraorganizational competences focus on internal networking
capabilities, and knowledge of firm-specific information and culure.
-
Standard
technical competences include knowledge about processes, techniques,
tools, etc., related to the business.
-
Technical
trade competences are related to knowledge and skills limited to one
industry or public sector generated through vocational education,
on-the-job training, apprenticeships, etc.
-
Idiosyncratic
technical competences are the narrow range of knowledge and skills that
generate congruence and do not facilitate change within the
organization.
Control and Ownership
According to Garavan, Heraty and Morley, ownership and control of HRD
activities is subject to actor perceptions, which make it difficult to
determine accountability. Line specialist groups feel they should control
and that HRD's role is to provide effective service. Individual learners and
external training providers prefer shared ownership and collaboration. Trade
unions, senior managers and HR specialists believe line specialists and
individual learners should own HRD while control is the responsibility of
HRD. There has been a shift in responsibility for HRD investment to the
individual learner. This probably reflects today's reduced job security and
the utilization of development to build commitment and increase the
employee's future employment as well as his/her competencies. It is
generally believed that it is senior management's role to provide financial
and psychological support and demonstrate commitment to investment.
High-flyer programs [Larsen, London, Weinstein and Raghuram] [Tregaskis],
i.e., fast-track career-development programs for designated high-potential
managers, were common in the 1960s and 1970s in large, bureaucratic and
stable organizations. This all changed in the 1980s when companies needed to
downsize and did not require as many fast-track trainees. These programs are
also used to enhance corporate-image for external recruiting [Tregaskis].
However, fast-tracking by-passes the talents of the subordinates of program
participants causing discontent and jealousy while putting tremendous
pressure on the selected few. Larsen, London, Weinstein and Raghuram discuss
the human-capital theory (concentrates on the actual competence level of the
individual) and the organizational-structure approach (argues that career
opportunities are determined by internal activities such as organizational
changes, redesigning of jobs, the competition for specific vacancies when
they arise, etc.). They believe that high-flyer programs may continue to be
of use for large, mature organizations but companies with more project- or
network-based organizations may find them disadvantageous. They also suggest
that virtual organizations will have short life expectancies due to the
nature of the work and will require external career development programs.
Why provide development opportunities…
With effective recruitment selection systems created through the HRD
function, organizations are encouraging retention. The philosophy is that
recruitment needs to initially select those employees with the rights skills
who are likely to have good job performance. Use available screening and
selection procedures to determine reliability, job-relatedness, and validity
of proposed development programs.
Designing and implementing development activities is a difficult challenge
for human resource managers. Employee retention is a measurable part of
development practices. Other areas of development such as helping employees
to be and feel productive are intangibles. Retention will happen if
employees are motivated to perform. Developmental techniques to enhance
learning and growth may be the key to this necessary motivation.
Job involvement and organizational commitment are ways to predict job
turnover. A lack of development opportunities leads to reduced retention
rates [Moore]. By performing a job well, employees increase their
self-confidence and add to their feeling of being needed. This increases
their job involvement and their attitude is positive. The commitment on the
part of the organization is to help employees meet their basic living needs
such as good pay, benefits, and promotions. This leads to an increased
commitment to the organization.
Increasing an individual's employability outside the company increases
his/her job security. It enhances their desire to be loyal to their current
employer who has taken the time to ensure the future of the employee.
Development provides learning opportunities for both the employee and the
organization. For the employee, it creates an interesting and challenging
work environment. For the organization, it gives them the opportunity to
provide feedback to the employee about job performance. Keeping people
growing and learning is what keeps them interested.
Research indicates that an individual employee's vocational qualifications
and the existence of a policy statement, i.e., company buy-in, are the most
important factors. Also, the absence of a company policy leads to reduced
training and development programs [Thompson, Mabey, Storey].
A new perspective that promotes HRD as a function that enhances performance,
multiple skill development and job advancement rather than simply a
mechanism for developing core skills is evolving. This perspective
emphasizes development of individuals that will result in boundaryless
career opportunities, enhanced employability and continuous personal
development [Garavan, Heraty, and Morley].
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