LOVELY PROFESSIONAL UNIVERSITY

DEPARTMENT OF MANAGEMENT

Report on Summer Training

TRAINING NEED ANALYSIS

Submitted to Lovely Professional University

In partial fulfillment of the

Requirements for the award of Degree of
Master of Business Administration

Submitted by:

PRIYANKA SHARDA
RT 1903B28

DEPARTMENT OF MANAGEMENT
LOVELY PROFESSIONAL UNIVERSITY
PHAGWARA

1
 Acknowledgements
If words are considered to be signs of gratitude then let these words convey the very same.
My sincere gratitude to TATA MOTORS for providing me with an opportunity to work with
TATA MOTORS and SIADS and giving necessary directions on doing this project to the best
of my abilities.
I am highly indebted to Mr. S.B.BHAGWAT., Director (SIADS) and company project
guide, who has provided me with the necessary information and also for the support extended
out to me in the completion of this report and his valuable suggestion and comments on
bringing out this report in the best way possible.
I also thank Ms. Priyanka Chibber, Ms.Sukhwinder Arora, LPU, PUNJAB, who has
sincerely supported me with the valuable insights into the completion of this project.
I am grateful to all faculty members of LIM, LPU, PUNJAB and my friends and family who
have helped me in the successful completion of this project.

PRIYANKA SHARDA

2
 PREFACE
Doing training was really an opportunity before me and when I could convert my
theoretical knowledge into practical and of real world type. Fortunately, the company I
got is a true follower of the various principles of management and also is the largest
company in its segment of the industry. The working environment that I was being
provided was extraordinary and helped me a lot in delivering my work properly and with
full potency of mine.

I did my summer training in the HR department of TATA MOTORS, SIADS where I

found all the professionals are very much committed to their work as well as they were
all professionals enough. This helped me a lot in getting a good deal of exposure. As I
had to consult the faculty, students, and other staff members so I felt myself, in the
beginning, in a bit problem. But the cooperation of every one at the work induced
confidence in me to deal with my problems. But the cooperation of my superiors at the
work induced confidence in me to deal with my problems whenever they came. After few
days, I was able enough to go in the survey confidently and do the given work with
proficiency and acumen. The work was to indentify the training need analysis at SIADS.

Since I had to complete my project within a limited time frame, this made me experience
the actual stress of the workplace. The way the boss supported me and his other
subordinates was a good example of coordination and good manager. This shows that in
the corporate world the superior officer should not only take care of the target fulfilled
but also the behavioral aspect of the subordinates.

3
4
 TABLE OF CONTENT

TOPIC Pg. NO.

1. ABSTRACT 6

2. COMPANY PROFILE 8-16

3. INTRODUCTION TO THE TOPIC 18-29

4. REVIEW OF LITERATURE 31-43

5. RESEARCH METHODOLOGY 45-49

6. DATA INTERPRETATION 51-58

7. FINDINGS AND SUGGESTIONS 59

8. CONSLUSION 60

5
 ABSTRACT

The present study was undertaken to understand the details of the training need analysis at
SIADS. As there was no training modules given to them so it was our project to identify the
training needs, design the modules, implement it, and evaluate it.

To find the training needs of faculty and students, I had to conduct a survey to know their
needs for training and it was done through interview and questionnaire.

To find the training given to various other institute of same level, I also visited the nearby
same level institutes.

During my training, I had to find out the training needs at SIADS. I passed through various
stages of problems and difficulties to accomplish the task of project work but it was a
privilege for me to take this opportunity and challenging work to study and observe different
level of people. TATA MOTORS recognizes that leadership is essential for survival in
competitive environment; Customer's satisfaction, like quality is a journey and not a
destination. It is essential that everyone in the company should be properly trained and
developed.. While regular training is necessary for ensuring prosperity of the company, it
must also be recognized that ability of the company to satisfy its employees would depend on
its ability to continuously improvement of individuals..

6
COMPANY PROFILE

7
Tata Motors Limited is India's largest automobile company, with consolidated revenues of
Rs. 92,519 crores (USD 20 billion) in 2009-10. It is the leader in commercial vehicles in each
segment, and among the top three in passenger vehicles with winning products in the
compact, midsize car and utility vehicle segments. The company is the world's fourth largest
truck manufacturer, and the world's second largest bus manufacturer.

The company's 24,000 employees are guided by the vision to be "best in the manner in which
we operate, best in the products we deliver, and best in our value system and ethics."

Established in 1945, Tata Motors' presence indeed cuts across the length and breadth of India.
Over 5.9 million Tata vehicles ply on Indian roads, since the first rolled out in 1954. The
company's manufacturing base in India is spread across Jamshedpur (Jharkhand), Pune
(Maharashtra), Lucknow (Uttar Pradesh), Pantnagar (Uttarakhand) and Dharwad (Karnataka).
Following a strategic alliance with Fiat in 2005, it has set up an industrial joint venture with
Fiat Group Automobiles at Ranjangaon (Maharashtra) to produce both Fiat and Tata cars and
Fiat powertrains. The company is establishing a new plant at Sanand (Gujarat). The
company's dealership, sales, services and spare parts network comprises over 3500 touch
points; Tata Motors also distributes and markets Fiat branded cars in India.

Tata Motors, the first company from India's engineering sector to be listed in the New York
Stock Exchange (September 2004), has also emerged as an international automobile
company. Through subsidiaries and associate companies, Tata Motors has operations in the
UK, South Korea, Thailand and Spain. Among them is Jaguar Land Rover, a business
comprising the two iconic British brands that was acquired in 2008. In 2004, it acquired the
Daewoo Commercial Vehicles Company, South Korea's second largest truck maker. The
rechristened Tata Daewoo Commercial Vehicles Company has launched several new
products in the Korean market, while also exporting these products to several international
8
markets. Today two-thirds of heavy commercial vehicle exports out of South Korea are from
Tata Daewoo. In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a reputed
Spanish bus and coach manufacturer, and subsequently the remaining stake in 2009.
Hispano's presence is being expanded in other markets. In 2006, Tata Motors formed a joint
venture with the Brazil-based Marcopolo, a global leader in body-building for buses and
coaches to manufacture fully-built buses and coaches for India and select international
markets. In 2006, Tata Motors entered into joint venture with Thonburi Automotive
Assembly Plant Company of Thailand to manufacture and market the company's pickup
vehicles in Thailand. The new plant of Tata Motors (Thailand) has begun production of the
Xenon pickup truck, with the Xenon having been launched in Thailand in 2008.

Tata Motors is also expanding its international footprint, established through exports since
1961. The company's commercial and passenger vehicles are already being marketed in
several countries in Europe, Africa, the Middle East, South East Asia, South Asia and South
America. It has franchisee/joint venture assembly operations in Kenya, Bangladesh, Ukraine,
Russia, Senegal and South Africa.

The foundation of the company's growth over the last 50 years is a deep understanding of
economic stimuli and customer needs, and the ability to translate them into customer-desired
offerings through leading edge R&D. With over 3,000 engineers and scientists, the
company's Engineering Research Centre, established in 1966, has enabled pioneering
technologies and products. The company today has R&D centres in Pune, Jamshedpur,
Lucknow, Dharwad in India, and in South Korea, Spain, and the UK. It was Tata Motors,
which developed the first indigenously developed Light Commercial Vehicle, India's first
Sports Utility Vehicle and, in 1998, the Tata Indica, India's first fully indigenous passenger
car. Within two years of launch, Tata Indica became India's largest selling car in its segment.
In 2005, Tata Motors created a new segment by launching the Tata Ace, India's first
indigenously developed mini-truck.

In January 2008, Tata Motors unveiled its People's Car, the Tata Nano, which India and the
world have been looking forward to. The Tata Nano has been subsequently launched, as
planned, in India in March 2009. A development, which signifies a first for the global
automobile industry, the Nano brings the comfort and safety of a car within the reach of
thousands of families. The standard version has been priced at Rs.100,000 (excluding VAT
and transportation cost).
9
Designed with a family in mind, it has a roomy passenger compartment with generous leg
space and head room. It can comfortably seat four persons. Its mono-volume design will set a
new benchmark among small cars. Its safety performance exceeds regulatory requirements in
India. Its tailpipe emission performance too exceeds regulatory requirements. In terms of
overall pollutants, it has a lower pollution level than two-wheelers being manufactured in
India today. The lean design strategy has helped minimise weight, which helps maximise
performance per unit of energy consumed and delivers high fuel efficiency. The high fuel
efficiency also ensures that the car has low carbon dioxide emissions, thereby providing the
twin benefits of an affordable transportation solution with a low carbon footprint.

In May 2009, Tata Motors introduced ushered in a new era in the Indian automobile industry,
in keeping with its pioneering tradition, by unveiling its new range of world standard trucks
called Prima. In their power, speed, carrying capacity, operating economy and trims, they will
introduce new benchmarks in India and match the best in the world in performance at a lower
life-cycle cost.

Tata Motors is equally focussed on environment-friendly technologies in emissions and

alternative fuels. . It has developed electric and hybrid vehicles both for personal and public
transportation. It has also been implementing several environment-friendly technologies in
manufacturing processes, significantly enhancing resource conservation

Through its subsidiaries, the company is engaged in engineering and automotive solutions,
construction equipment manufacturing, automotive vehicle components manufacturing and
supply chain activities, machine tools and factory automation solutions, high-precision
tooling and plastic and electronic components for automotive and computer applications, and
automotive retailing and service operations.

Tata Motors is committed to improving the quality of life of communities by working on four
thrust areas – employability, education, health and environment. The activities touch the lives
of more than a million citizens. The company's support on education and employability is
focused on youth and women. They range from schools to technical education institutes to
actual facilitation of income generation. In health, our intervention is in both preventive and
curative health care. The goal of environment protection is achieved through tree plantation,
conserving water and creating new water bodies and, last but not the least, by introducing

10
appropriate technologies in our vehicles and operations for constantly enhancing environment
care. 

With the foundation of its rich heritage, Tata Motors today is etching a refulgent future.

VALUES

The Tata Group has always sought to be a value-driven organisation. These values
continue to direct the group's growth and businesses. The five core Tata values underpinning
the way we do business are:
• Integrity - we must conduct our business fairly, with honesty and transparency.
Everything we do must stand the test of public scrutiny.
• Understanding - we must be caring, show respect, compassion and humanity for
our colleagues and customers around the world and always work for the benefit of
India.
• Excellence - we must constantly strive to achieve the highest possible standards
in our day-to-day work and in the quality of the goods and services we provide.
• Unity - we must work cohesively with our colleagues across the group and with
our customers and partners around the world, building strong relationships based
on tolerance, understanding and mutual cooperation.
• Responsibility - we must continue to be responsible, sensitive to the countries,
communities and environments in which we work, always ensuring that what
comes from the people goes back to the people many times over.

11
Processes Followed In Tata Motors
1)Research & Development
Research provides the much-needed inspiration for the birth of new ideas, which in turn
breathes new life into products. World-class automotive research and development are
key factors that contribute to the leadership of the Company. Tata Motors believes in
technology for tomorrow. Its products stand testimony to this. The annual expenditure
on R&D is approximately 1.3% of annual turnover. They have also set up two in-house
Engineering Research Centres that house India's only Certified Crash Test
Facility
1.1) Engineering Research Centre (ERC) :
The Research Centre at Jamshedpur regularly upgrades components and aggregates. A
well-equipped torture track enables rigorous and exhaustive testing of modifications
before they are used as regular fitments. The Engineering Research Centre in Pune was setup
in 1966 and is among the finest in the country. It has been honoured with two prestigious
awards - 'The DSIR National Award for R&D Effort in Industry - 1999' and 'National Award
for Successful Commercialisation of Indigenous Technology by an Industrial Concern -
2000.'

2) Social Obligations
2.1) Green Matters
Tata Motors, a Company that cares about the future. Tata motor ‘s products are
environmentally sound in a variety of ways. These include reducing hazardous materials in
vehicle components, developing extended life lubricants, fluids and using ozone-friendly
refrigerants. Tata Motors has been making conscious effort in the implementation of several
environmentally sensitive technologies in manufacturing processes. The Company uses some
of the world's most advanced equipment for emission check and control. Tata Motors concern
is manifested by a dual approach -

2.1.1Reduction of environmental pollution

• First Indian Company to introduce vehicles with Euro I and Euro II norms well
ahead of the mandated dates
• Tata Motors' joint venture with Cummins Engine Company, USA, in 1992, was
a pioneering effort to introduce emission control technology for India

12
upgraded the performance of its entire range of four and six cylinder engines
with the help of world-renowned engine consultants like Ricardo and AVL
• It has manufactured CNG version of buses and followed it up with a CNG
version of its passenger car, the Indica.

2.1.2 Restoration of ecological balance.

• Effluent treatment facilities in its plants, to avoid release of polluted water into
the ecosystem
• Tree plantation programmes involving villagers and Tata Motors employees
Their endeavors towards environment protection are soil and water conservation
programmes and extensive tree plantation drives. Tata Motors is committed to
restoring and preserving environmental balance, by reducing waste and pollutants,
conserving resources and recycling materials.

2.2Community Development
The Company encourages economic independence through self-initiated cottage
industries and contributing to community and social forestry, road construction, rural
health, education, water supply and family planning.

2.3Health & Sanitation

Mobile health service staff provide preventive and curative health services under the
"Health For All" programme. They train village health workers in conducting the
same. Safe drinking water facilities are provided to ensure health of the villagers.

2.4 Employment Generation

Tata Motors encourages self-sufficiency with the aim to improving the confidence,
morale and lives of its employees and their dependents. Employees' relatives at Pune
have been encouraged to form various industrial co-operatives engaged in activities
such as re-cycling of scrap wood into crates and furniture, welding, steel scrap
baling, battery cable assembly etc. The Tata Motors Grihini Social Welfare Society
caters to employees' women dependents'. The women folk make a variety of
products, ranging from pickles and uniforms to electrical cable harnesses etc.

13
3)H.R Policies
Executive Selection Scheme (ESS)
ESS is a fast track programme for accelerated growth of high potential professionals.
This facilitates their early advancement to challenging and visible assignments through
a very systematic procedure. Candidates selected gain a huge lead in terms of
promotion and learning. They are promoted to Manager's level thereby saving almost
10 to 13 years of work time. The successful candidates are relieved from their current
jobs and put on various project based training programmes under the guidance of senior
managers in the Company. If the candidates do not possess management education,
they undergo a 4 months MEP at IIM, Ahmedabad. After successful completion of
training the candidates are mandatorily rotated across departments to acquire general
management skills.The ESS is a jewel in Tata Motors overall profile as it provides a
platform for every employee of the Company to perform and achieve maximum
potential. The HR-Training Division of Tata Motors has also bagged the prestigious
and internationally recognized “Golden Peacock National Training Award” in the
category of ‘Large Employer’

4)Manufacturing process
The company has manufacturing plants in Jamshedpur, Pimri , chinwad (near pune),
and lucknow. Tata has taken many initiatives in manufacturing its vehicles , these can
be summarized into :-

4.1)Benchmarking
Tata motors have employed M/s harbor associates as CONSULTANTS for
benchmarking various automobile manufacturing aspects like level of automation ,
quality norms and standards followed internationally,information sharing with other
manufacturers, etc.

4.2)Capacity utilization
Tata motors have undertaken processing of Mercedes Benz cars in their paint shops,
which has led to fullcapacity utilization of its paint plant and also helped in
benchmarking the facilities and practices to that of Mercedes Benz.

14
4.3)Load Management
The following load management techniques were employed :-
• Use of under body spray machine.
• Starting of chilling plants
• Switching off transformers when not in use.
• Switching off unwanted cooling towers at press shop.

Training & Development

Continuous education is necessary for each of us to excel in our jobs and grow in our
careers .Developing new skills not only increases competency and efficiency, it also makes
our jobs more interesting. The training schemes offered by our Organisation help keep our
employees abreast with the rapid developments in their field.

All employees
• Training requirements are identified for a period of 12 months i.e. from April to March of a
financial year. This is done in the last quarter of the preceding year through the appraisal
form/ individual or divisional training needs surveys undertaken by HR/Training Division.
• Training needs are identified on the basis of individual development needs, job
improvement plans, future requirements and management priorities.
• After the identification of training needs, HR/Training Division prepares a consolidated list
of the programs requested for, and forwards the same to the Divisional Heads.
• On the basis of the training programs on offer, and the specific requirements of the
employees and the division, the Divisional Heads intimate the HR/Training Division about
the people they are recommending for training.
• Divisional Head in consonance with the HR Department is responsible for identifying
training needs and the HR Department is responsible for organising training for all
employees.

15
FTAs OTs GET’s Post
Graduates
Duration 2-4 years 1 year 1 year 6 months depending (probation) on trade
Training Trained in One year rotational training Placed in the workshop, mfg in various
divisions and work- division after divisions and shop training. Supplemented induction class
room by class room inputs
Absorption/ Not automatic, Based on performance
Confirmation but preference given based on vacancies
Stipend/ Salary As per Apprenticeship Act

How it works
• External training programs are usually utilised if our Organisation is unable to provide the
required training at our Management Development Centres.
• Nominations for External Training are made by the Departmental Head and sent to the HR
Division for further processing.
• HR Division recommends a training program and obtains the approval of the appropriate
Sanctioning Authority prior to processing the nomination.

Employees are deputed abroad for the following:

• Assignments
• Attending Executive Development Programs
• Getting trained by Tata Motors collaborators/foreign business associates
• Attending trade fairs, exhibitions, motor shows, conferences etc.

STATE INSTITUE OF AUTOMATIVE AND DRIVING SKILLS

SIADS is a joint venture between TATA MOTORS and PUNJAB GOVERNMENT with 50-
50% share. This is an institute of ITI level which provides courses like Driving Skills,
Automation, Electrical, and Mechanical. This is the first institution in Punjab where proper
course is taught for driving. The management is looked after the PRTC. Mr. S.B.Bhagwat is
the director of SIADS and Consultant Advisor of TATA MOTORS.

16
INTRODUTION

TO

THE TOPIC

17
Training can be described as “the acquisition of skills, concepts or attitudes that result in
improved performance within the job environment”. Training analysis looks at each aspect of
an operational domain so that the initial skills, concepts and attitudes of the human elements
of a system can be effectively identified and appropriate training can be specified

The quality of employees and their development through training and education are major
factors in determining long-term profitability of a small business. If we hire and keep good
employees, it is good policy to invest in the development of their skills, so they can increase
their productivity.

Training often is considered for new employees only. This is a mistake because ongoing
training for current employees helps them adjust to rapidly changing job requirements.

Purpose of Employee Training and Development Process

Reasons for emphasizing the growth and development of personnel include

 Creating a pool of readily available and adequate replacements for personnel who
may leave or move up in the organization.
 Enhancing the company's ability to adopt and use advances in technology because of
a sufficiently knowledgeable staff.
 Building a more efficient, effective and highly motivated team, which enhances the
company's competitive position and improves employee morale.
 Ensuring adequate human resources for expansion into new programs.

Research has shown specific benefits that a small business receives from training and
developing its workers, including:

 Increased productivity.
 Reduced employee turnover.
 Increased efficiency resulting in financial gains.
 Decreased need for supervision.

18
Employees frequently develop a greater sense of self-worth, dignity and well-being as they
become more valuable to the firm and to society. Generally they will receive a greater share
of the material gains that result from their increased productivity. These factors give them a
sense of satisfaction through the achievement of personal and company goals.

The Training Process

The model below traces the steps necessary in the training process:

 Organizational Objectives
 Needs Assessment
 Is There a Gap?
 Training Objectives
 Select the Trainees
 Select the Training Methods and Mode
 Choose a Means of Evaluating
 Administer Training
 Evaluate the Training

19
The business should have a clearly defined strategy and set of objectives that direct and drive
all the decisions made especially for training decisions. Firms that plan their training process
are more successful than those that do not. Most business owners want to succeed, but do not
engage in training design that promise to improve their chances of success. Why? The five
reasons most often identified are:

Time - Small businesses managers find that time demands do not allow them to train
employees.

Getting started - Most small business managers have not practiced training employees. The
training process is unfamiliar.

Broad expertise - Managers tend to have broad expertise rather than the specialized skills
needed for training and development activities.

Lack of trust and openness - Many managers prefer to keep information to themselves. By
doing so they keep information from subordinates and others who could be useful in the
training and development process.

Scepticism as to the value of the training - Some small business owners believe the future
cannot be predicted or controlled and their efforts, therefore, are best centred on current
activities i.e., making money today.

A well-conceived training program can help the firm succeed. A program structured with the
company's strategy and objectives in mind has a high probability of improving productivity
and other goals that are set in the training mission.

For any business, formulating a training strategy requires addressing a series of questions.

 Who are your customers? Why do they buy from you?

 Who are your competitors? How do they serve the market? What competitive
advantages do they enjoy? What parts of the market have they ignored?
 What strengths does the company have? What weaknesses?
 What social trends are emerging that will affect the firm?

20
The purpose of formulating a training strategy is to answer two relatively simple but vitally
important questions: (1) What is our business? and (2) What should our business be? Armed
with the answers to these questions and a clear vision of its mission, strategy and objectives, a
company can identify its training needs.

TRAINING NEED ASSESSMENT

A "training needs assessment", or "training needs analysis", is the systematic method of

determining if a training need exists and if it does, what training is required to fill the gap
between the standard and the actual performance of the employee. Therefore, training needs
analysis is

 Systematic method of determining performance discrepancies

 Causes of performance discrepancies

Reasons to conduct training needs analysis

 Identify the deficiencies

 Determine whether employees lack KSAs
 Benchmark for evaluation of training
 Makes sure training is provided to the right people
 Increases the motivation of training

Identifying Training Needs

Training needs can be assessed by analyzing three major human resource areas: the
organization as a whole, the job characteristics and the needs of the individuals. This analysis
will provide answers to the following questions:

 Where is training needed?

 What specifically must an employee learn in order to be more productive?
 Who needs to be trained?

21
Begin by assessing the current status of the company how it does what it does best and the
abilities of your employees to do these tasks. This analysis will provide some benchmarks
against which the effectiveness of a training program can be evaluated. Your firm should
know where it wants to be in five years from its long-range strategic plan. What you need is a
training program to take your firm from here to there.

Second, consider whether the organization is financially committed to supporting the training
efforts. If not, any attempt to develop a solid training program will fail.

Next, determine exactly where training is needed. It is foolish to implement a companywide

training effort without concentrating resources where they are needed most. An internal audit
will help point out areas that may benefit from training. Also, a skills inventory can help
determine the skills possessed by the employees in general. This inventory will help the
organization determine what skills are available now and what skills are needed for future
development.

Also, in today's market-driven economy, we would be remiss not to ask the customers what
they like about the business and what areas they think should be improved. In summary, the
analysis should focus on the total organization and should tell (1) where training is needed
and (2) where it will work within the organization.

Once it is determined where training is needed, concentrate on the content of the program.
Analyze the characteristics of the job based on its description, the written narrative of what
the employee actually does. Training based on job descriptions should go into detail about
how the job is performed on a task-by-task basis. Actually doing the job will enable you to
get a better feel for what is done.

Individual employees can be evaluated by comparing their current skill levels or performance
to the organization's performance standards or anticipated needs. Any discrepancy between
actual and anticipated skill levels identifies a training need.

There are a variety of sources for collecting data for a task analysis:

 Job description-- A narrative statement of the major activities involved in

performing the job and the conditions under which these activities are performed.

22
 If an accurate job description is not available or is out of date, one should be
prepared using job analysis techniques.
 KSA analysis-- A more detailed list of specified tasks for each job including
Knowledge, Skills, Attitudes and Abilities required of incumbents.
 Performance standards-- Objectives of the tasks of the job and the standards by
which they will be judged. This is needed to identify performance discrepancies.
 Observe the job/sample the work.
 Perform the job.
 Job inventory questionnaire-- Evaluate tasks in terms of importance and time
spent performing.
 Review literature about the job-- Research the "best practices" from other
companies, review professional journals.
 Ask questions about the job-- Of the incumbents, of the supervisor, of upper
management.
 Analysis of operating problems-- Down time, waste, repairs, late deliveries,
quality control.

Individual analysis analyzes how well the individual employee is doing the job and
determines which employees need training and what kind.

Sources of information available for a individual analysis include:

 Performance evaluation -- Identifies weaknesses and areas of improvement.

 Performance problems -- Productivity, absenteeism or tardiness, accidents,
grievances, waste, product quality, down time, repairs, equipment utilization,
customer complaints.
 Observation -- Observe both behaviour and the results of the behaviour.
 Work samples -- Observe products generated.
 Interviews -- Talk to manager, supervisor and employee. Ask employee about what
he/she believes he/she needs to learn.
 Questionnaires -- Written form of the interview, tests, must measure job-related
qualities such as job knowledge and skills.
 Attitude surveys -- Measures morale, motivation, satisfaction.
 Checklists or training progress charts -- Up-to-date listing of current skills.

23
Results of the Needs Assessment
Assuming that the needs assessment identifies more than one training need, the training
manager, working with management, prioritizes the training based on the urgency of the need
(timeliness), the extent of the need (how many employees need to be trained) and the
resources available. Based on this information, the training manager can develop the
instructional objectives for the training and development program.

All three levels of needs analysis are interrelated and the data collected from each level is
critical to a thorough and effective needs assessment.

Selection of Trainees

Once it is decided what training is necessary and where it is needed, the next decision is who
should be trained? For a small business, this question is crucial. Training an employee is
expensive, especially when he or she leaves your firm for a better job. Therefore, it is
important to carefully select who will be trained.

Training programs should be designed to consider the ability of the employee to learn the
material and to use it effectively, and to make the most efficient use of resources possible. It
is also important that employees be motivated by the training experience. Employee failure in
the program is not only damaging to the employee but a waste of money as well. Selecting
the right trainees is important to the success of the program.

Training Goals

The goals of the training program should relate directly to the needs determined by the
assessment process outlined above. Course objectives should clearly state what behavior or
skill will be changed as a result of the training and should relate to the mission and strategic
plan of the company. Goals should include milestones to help take the employee from where
he or she is today to where the firm wants him or her in the future. Setting goals helps to

24
evaluate the training program and also to motivate employees. Allowing employees to
participate in setting goals increases the probability of success.

Training Methods

There are two broad types of training available to small businesses: on-the-job and off-the-
job techniques. Individual circumstances and the "who," "what" and "why" of your training
program determine which method to use.

On-the-job training is delivered to employees while they perform their regular jobs. In this
way, they do not lose time while they are learning. After a plan is developed for what should
be taught, employees should be informed of the details. A timetable should be established
with periodic evaluations to inform employees about their progress. On-the-job techniques
include orientations, job instruction training, apprenticeships, internships and assistantships,
job rotation and coaching.

Off-the-job techniques include lectures, special study, films, television conferences or

discussions, case studies, role playing, simulation, programmed instruction and laboratory
training. Most of these techniques can be used by small businesses although, some may be
too costly.

Orientations are for new employees. The first several days on the job are crucial in the
success of new employees. This point is illustrated by the fact that 60 percent of all
employees who quit do so in the first ten days. Orientation training should emphasize the
following topics:

 The company's history and mission.

 The key members in the organization.
 The key members in the department, and how the department helps fulfill the mission
of the company.
 Personnel rules and regulations.

Some companies use verbal presentations while others have written presentations. Many
small businesses convey these topics in one-on-one orientations. No matter what method is
used, it is important that the newcomer understand his or her new place of employment.

25
Lectures present training material verbally and are used when the goal is to present a great
deal of material to many people. It is more cost effective to lecture to a group than to train
people individually. Lecturing is one-way communication and as such may not be the most
effective way to train. Also, it is hard to ensure that the entire audience understands a topic on
the same level; by targeting the average attendee you may undertrain some and lose others.
Despite these drawbacks, lecturing is the most cost-effective way of reaching large audiences.

Role playing and simulation are training techniques that attempt to bring realistic decision
making situations to the trainee. Likely problems and alternative solutions are presented for
discussion. The adage there is no better trainer than experience is exemplified with this type
of training. Experienced employees can describe real world experiences, and can help in and
learn from developing the solutions to these simulations. This method is cost effective and is
used in marketing and management training.

Audiovisual methods such as television, videotapes and films are the most effective means
of providing real world conditions and situations in a short time. One advantage is that the
presentation is the same no matter how many times it's played. This is not true with lectures,
which can change as the speaker is changed or can be influenced by outside constraints. The
major flaw with the audiovisual method is that it does not allow for questions and interactions
with the speaker, nor does it allow for changes in the presentation for different audiences.

Job rotation involves moving an employee through a series of jobs so he or she can get a
good feel for the tasks that are associated with different jobs. It is usually used in training for
supervisory positions. The employee learns a little about everything. This is a good strategy
for small businesses because of the many jobs an employee may be asked to do.

Apprenticeships develop employees who can do many different tasks. They usually involve
several related groups of skills that allow the apprentice to practice a particular trade, and
they take place over a long period of time in which the apprentice works for, and with, the
senior skilled worker. Apprenticeships are especially appropriate for jobs requiring
production skills.

26
Internships and assistantships are usually a combination of classroom and on-the-job
training. They are often used to train prospective managers or marketing personnel.

Programmed learning, computer-aided instruction and interactive video all have one thing
in common: they allow the trainee to learn at his or her own pace. Also, they allow material
already learned to be bypassed in favor of material with which a trainee is having difficulty.
After the introductory period, the instructor need not be present, and the trainee can learn as
his or her time allows. These methods sound good, but may be beyond the resources of some
small businesses.

Laboratory training is conducted for groups by skilled trainers. It usually is conducted at a

neutral site and is used by upper- and middle management trainees to develop a spirit of
teamwork and an increased ability to deal with management and peers. It can be costly and
usually is offered by larger small businesses.

Trainers

Who actually conducts the training depends on the type of training needed and who will be
receiving it. On-the-job training is conducted mostly by supervisors; off-the-job training, by
either in-house personnel or outside instructors.

In-house training is the daily responsibility of supervisors and employees. Supervisors are
ultimately responsible for the productivity and, therefore, the training of their subordinates.
These supervisors should be taught the techniques of good training. They must be aware of
the knowledge and skills necessary to make a productive employee. Trainers should be taught
to establish goals and objectives for their training and to determine how these objectives can
be used to influence the productivity of their departments. They also must be aware of how
adults learn and how best to communicate with adults. Small businesses need to develop their
supervisors' training capabilities by sending them to courses on training methods. The
investment will pay off in increased productivity.

There are several ways to select training personnel for off-the-job training programs. Many
small businesses use in-house personnel to develop formal training programs to be delivered
to employees off line from their normal work activities, during company meetings or
individually at prearranged training sessions.

27
There are many outside training sources, including consultants, technical and vocational
schools, continuing education programs, chambers of commerce and economic development
groups. Selecting an outside source for training has advantages and disadvantages. The
biggest advantage is that these organizations are well versed in training techniques, which is
often not the case with in-house personnel.

The disadvantage of using outside training specialists is their limited knowledge of the
company's product or service and customer needs. These trainers have a more general
knowledge of customer satisfaction and needs. In many cases, the outside trainer can develop
this knowledge quickly by immersing himself or herself in the company prior to training the
employees. Another disadvantage of using outside trainers is the relatively high cost
compared to in-house training, although the higher cost may be offset by the increased
effectiveness of the training.

Whoever is selected to conduct the training, either outside or in-house trainers, it is important
that the company's goals and values be carefully explained.

Training Administration

Having planned the training program properly, we must now administer the training to the
selected employees. It is important to follow through to make sure the goals are being met.
Questions to consider before training begins include:

 Location.
 Facilities.
 Accessibility.
 Comfort.
 Equipment.
 Timing.

Careful attention to these operational details will contribute to the success of the training
program.

An effective training program administrator should follow these steps:

 Define the organizational objectives.

28
  Determine the needs of the training program.
 Define training goals.
 Develop training methods.
 Decide whom to train.
 Decide who should do the training.
 Administer the training.
 Evaluate the training program.

Following these steps will help an administrator develop an effective training program to
ensure that the firm keeps qualified employees who are productive, happy workers. This will
contribute positively to the bottom line.

Evaluation of Training

Training should be evaluated several times during the process. Determine these milestones
when you develop the training. Employees should be evaluated by comparing their newly
acquired skills with the skills defined by the goals of the training program. Any discrepancies
should be noted and adjustments made to the training program to enable it to meet specified
goals. Many training programs fall short of their expectations simply because the
administrator failed to evaluate its progress until it was too late. Timely evaluation will
prevent the training from straying from its goals.

29
 REVIEW
OF
LITERATURE

30
Review of Literature

The Significance of Training

The critical importance of training in business has repeatedly been underlined in academic
research. While the process of recruitment focuses on attracting and acquiring human
resources, training aims to develop the available human resources in order to increase their
productivity and improve their ability to contribute to the organization’s objectives. Training
in industry has been defined as “(…) the formal procedures which a company uses to
facilitate employees’ learning so that their resultant behaviour contributes to the attainment of
the company’s goals and objectives” (McGehee and Thayer, 1961). Goldstein and Ford
(2002) view workplace training as “a systematic approach to learning and development to
improve individual, team, or organizational effectiveness”. According to Carnevale (1990)
the characteristics of “High Leverage Training” are its links to strategic business objectives,
the use of an instructional design process to ensure that training is effective, and the
comparison of the company’s training programmes with practices in other companies. Recent
developments in the business world affect the need for training. McManus, McManus and
Hayes Williamson (1994) suggest that there are four major impacts to be considered: 1)
Accelerating global competition, 2) Continuing reorganization of workplace structures, 3)
Advancing technology, 4) Increasing workforce diversity. Many industries, including the
hospitality sector are affected by these issues. These changes influence the way in which
training is delivered. Martocchio and Baldwin (1997) argue that the role of training is moving
from a focus of teaching employees specific skills to a broader focus on creating and sharing
knowledge. Tracey (2003) asserts that training has become a more strategic activity, thus it is
critical to understand how training and related changes initiatives are integrated in order to
enhance individual and firm performance.

The Systems Approach to Training

One widely known approach to training is the systems perspective which considers training a
subsystem of a larger organizational system. It emanates from the General Systems Theory
(von Bertalanffy, 1968) which was developed as a structured way to organize large amounts
of information by describing entities (systems) in terms of: 1) Their components (sub-
systems) with their respective interactions, 2) Their belonging to larger entities (supra-
systems), and 3) The interaction with their environment. A system receives inputs and sends

31
outputs, both filtered by a boundary (Berrien, 1968). Hinrichs (1976) adapted Systems
Theory to Training Theory. He suggested several levels: Individual training as a sub-system
of the training departments, which is a sub-system of executive management, itself a sub-
system of the business society. Each of these levels (systems) interact with their respective
supra- and sub-systems via inputs and outputs. Hinrichs differentiated between maintenance
inputs (for example resources) which keep the systems functioning and signal inputs (for
example information) which initiate action. A system can direct its output towards the
overlying supra-system, the underlying sub-system or towards itself in form of feedback. One
important issue in systems theory is that changes to any system will inevitably impact its
supra- and sub-systems, thus the theory encourages to think in a holistic manner. The systems
approach is extremely helpful in order to understand how training processes its inputs,
produces outputs and, by doing so, how it impacts the other organizational sub-systems and
how it contributes to the organization’s success. 

Training and Strategy

One issue often recurs in organizational studies without necessarily referring to systems
theory. It is the suggestion that there should be a reciprocal link between the training function
and the strategy of organizations. This means that training strategy should not only be derived
from the organizational strategy, but that the organizational strategy itself should also be
developed in accordance with the organization’s human resources potential and its training
possibilities. According to Barney and Wright (1998), successful firms in every industry are
more likely than poor performers to deal strategically with HR. Johnson and Scholes (1993)
suggest that company strategy is concerned with the following dimensions: 1) The range of
an organization’s activities, 2) The matching of an organization’s activities to the
environment, and 3) The matching of an organization’s activities to available resources.
These dimensions imply a reciprocal interaction between training and strategy. Brown and
Read (1984) argue that training must be linked to strategy if it is to be considered effective by
higher management. They further suggest that UK companies could close their productivity
gap with Japanese companies by taking a strategic view of their training policies. This should
be achieved by construing the training plan in the same context and by the same process as
the business plan. Hussey (1985) recommends that training objectives, especially for
management development, be reviewed by top management whenever a substantial change in
strategic emphasis is planned. In the organizational reality the link between organizational

32
strategy and training strategy is often weak or non-existent. Harrison (1997) points out that an
alignment between strategy and training is universally regarded as good business sense,
nevertheless there is considerable evidence in Europe and the United States that, although this
is recognized at the intellectual level, the practice is very different. He also notes that
research has failed to reveal any significant connection between HRD and business strategy
across organizations in the UK. Beaumont (1992) states that US studies found that only 22%
of companies had extensive levels of integration of HR and business strategy.

The Systematic Approach to Training

The systematic approach to training should not be confounded with the systems perspective,
although both can co-exist within the same organization. Most researchers recommend a
structured and methodical approach to training. In 1961, McGehee and Thayer wrote:
“Training, if it is to become an effective tool of management, must be a systematic, orderly
procedure, constructively applied to solutions of organizational problems and attainment of
organizational goals”. A systematic approach increases the likelihood that the various steps of
the process are aligned with each other and that the training programme as a whole will be
successful. The combination of the various steps involved in planning, implementing and
evaluating training has often been referred to as the “Training Cycle”. McManus, McManus
and Hayes Williamson (1994) suggest a simple structured methodology (called Training
Loop) which consists of four steps: 1) Assess; 2) Design; 3) Deliver; 4) Evaluate. The final
step (evaluate) feeds back to the departing point (assess) and thus impacts future training
activities. Although various other systematic training models have been developed, they
usually build on what Noe (1999) calls the instructional design process and contain some
form of the following six steps: 1) Conduct need assessment; 2) Ensure employee readiness
for training; 3) Create a learning environment; 4) Ensure transfer of training; 5) Select
training methods; 6) Evaluate training programmes. Note that these steps do not necessarily
need to be rigidly sequenced and demarcated from each other. The information obtained in
the evaluation phase feeds back to the beginning of the process and helps to define new
training needs and objectives and to select and design training methods. Thus the description
as a cycle or a loop is an appropriate analogy. One advantage of the systematic approach to
training is that it may be applied in conjunction with a performance management programme.
For example it can be used with goal setting theory (Locke and Latham, 1990), where
individual goals can serve as a basis for defining training needs and later as criteria to

33
evaluate the success of training programmes. The individual goals should be linked to
organizational objectives. In the training cycle, the outcome of the assessment phase can be
considered to be the foundation on which the whole training initiative will be based. All
following steps will build on the information provided in the assessment phase. One
important use of this information is the development of criteria to be used in evaluation in
order to determine the success of the training intervention. The cycle perspective does not
necessarily consider the assessment phase to be the beginning, since information gained in
the evaluation phase of a previous training programme may also give the impetus for a new
need assessment initiative. It is important to note once again in this context that the need
assessment phase may also reveal that training is not the most appropriate option to close
performance gaps.

Need Assessment and Training Needs Analysis (TNA)

Kaufman et al. (1993) define need assessment as a process for identifying and prioritizing
gaps between current and desired results. Molenda, Pershing and Reigeluth (1996) adopt a
similar view and describe need assessment as a method of finding out the nature and extent of
performance problems and how they can be solved. Both definitions indicate that potential
solutions to close the performance gap emerge during the process. These remedies may or
may not include training. Wright and Geroy (1992) suggest that up to 90% of productivity
improvement can be found in the work environments or cultures and conclude that a needs
analysis tied exclusively to training is often ineffective. Gupta (1999) proposes a hierarchy of
needs assessments approaches, which are in descending order: 1) Strategic needs assessment;
2) Competency based assessment; 3) Job and task analysis; 4) Training needs assessment.
The higher the level, the more time and rigor is required. These four levels can be integrated
in McGehee and Thayer’s (1961) OTP framework which will be used in the study. The
strategic level may be considered as a part of the organizational analysis, competency based
assessment and job and task analysis are included in OTP’s task analysis phase, and training
needs assessment is comprised in person analysis. Watkins et al. (2000) point out that there
has been much confusion in literature with the terms “needs analysis”, “training needs
assessment” and “training needs analysis”. Similarly to the definitions mentioned above, they
suggest that needs assessments provide a process for identifying and prioritizing gaps
between current and desired results. They also argue that “although the literature does not
offer universal agreement with this definition of needs assessment, there does seem to be

34
agreement that this approach is best suited to performance improvement. Whether these areas
are identified as training requirements, resource inadequacies, and/or gaps in results is
dependent on the assessment model applied.” McArdle (1996) on the other hand
distinguishes between two types of needs assessment: The first, a problem analysis model, is
similar to the gap analysis mentioned above and offers solutions based on performance
shortcomings. The second, a competency model, is more proactive and focuses on available
opportunities by identifying and developing new competencies. Both models can help
identify training requirements. Wright and Geroy (1992) make several recommendations for a
need assessment model to be useful: 1) It should be grounded in the organizations’ culture; 2)
It should be proactive rather than reactive; 3) It should be able to differentiate between
training requirements and situations for which training would be inappropriate; 4) It should
broadly involve many of the individuals and groups affected; 5) It should use several data
collection methods. The needs assessment process therefore leads to the selection of one or
several intervention methods, whether it is training or something else. TNA should be
distinguished from a superordinate needs assessment process which considers all potential
solutions which may close the performance gap. One question emerging from this discussion
is how to migrate from general needs assessment to TNA. In other words when a gap has
been identified, how should organizations decide whether training is the appropriate solution,
and once this question has been positively answered, how should they analyze the existing
training needs? Mager and Pipe (1991) developed a practical Training Decision Flow Chart
in which answers to a series of questions help to select solutions for existing performance
problems. The model begins with a description of the performance discrepancy and the
fundamental question, whether this gap is important. If not, it can be ignored. The next
question asks whether the performance discrepancy is related to a skill deficiency, in which
case training is a potential remedy. If a skill deficiency is not the cause, the model leads to
alternative solutions which impact motivation and the work environment. It is important to
note that training can only solve performance discrepancies that are caused by deficiencies in
knowledge, skills or abilities (KSA). Taylor, O’Driscoll and Binning (1998) highlight the
chain of linkages which are involved. There are four links in the process: Training leads to
increased KSA, which causes changed job behaviour. The changed behaviour then impacts
organizationally valued results. They acknowledge that each step can be affected by external
influences. For example non-training alternatives can improve knowledge and skills (for
example hiring employees already having the KSA required), or job behaviour can be
influenced by aspects other than KSA (for example availability of resources). The TNA
35
builds the foundation for the organization’s training efforts, as the main steps of a systematic
training programme draw on the information obtained in the process (Arthur, Bennett, Edens
and Bell, 2003). According to Goldstein and Ford (2002), the TNA phase provides all the
critical input for both the design of the training environment and the evaluation of the actual
training programme. They further suggest that a thorough TNA helps to establish content
validity of training programmes, as “the training programme should reflect the domain of
KSAs represented on the job that the analyst has determined should be learned in the training
programme”. However caution must be exercised with jobs that are changing rapidly, as the
information collected may quickly become obsolete. In an extensive TNA exercise, data will
be collected from different sources. Cline and Seibert (1993) distinguish between hard and
soft data sources. Hard data sources are for example existing organizational reports and
statistics, soft data sources are questionnaires, group discussions and interviews.

The OTP Framework

One of the most widely known TNA frameworks is McGehee and Thayer’s (1961) OTP
typology, which suggests that a thorough TNA consists of three levels: 1) Organization
analysis; 2) Job or task analysis (originally called operations analysis); 3) Person analysis
(originally called man analysis). This concept was later refined and expanded by several
researchers. Goldstein and Ford (2002) for example added two steps: First they see the
establishment of organizational support as a first component in the process and a prerequisite
for a successful training initiative. This step is concerned with establishing relationships
between the training specialists or the researchers and the various organizational levels which
are expected to support the programme. Goldstein and Ford assert that this support should be
secured before the organizational analysis can begin. Then, once the organization’s needs
have been assessed, and before the task and the person needs can be analyzed, several details
must be clarified so that the subsequent steps can be applied properly. According to Goldstein
and Ford, this is done in a “Requirements Analysis”. This phase explicitly considers issues
such as defining the target job, choosing the methods with which the job and the persons in
question will be analysed, and determining the participants in the needs assessment process.
Assessors should carefully select the methods they will use in the task and the person analysis
as they all have strengths and limitations. Latham et al. (1998) add a fourth macro-type
dimension to McGehee and Thayer’s framework. They call this additional step
“Demographic Analysis”. It identifies the needs of the different populations of workers in the

36
organization. They underline the necessity of this step by referring to the recent demographic
changes experienced by organizations which affect training. Such changes include the
increase of minorities, women and older employees in the workplace, but also the growing
number of entry level workers with little basic skills and literacy levels for which special
training programmes may have to be designed. While Goldstein and Ford (2002) consider
this step to be a part of the organization analysis, Latham et al. (1998) claim that the high
impact of demographic changes warrants a separate consideration.

Organization Analysis

Organizational issues have a b impact on the way training programmes are planned and
implemented and must therefore be analysed. This level of examination focuses not only on
determining where training should be delivered in the organization, but also on exploring
organizational aspects which may affect the training activities. For example, the need to align
training objectives with the organization’s strategy has repeatedly been underlined (Brown
and Read, 1984; Schuler and Jackson, 1987). Noe et al. (1997) suggest that companies
nowadays face four competitive challenges: 1) The quality challenge which is concerned with
meeting customer needs, 2) The global challenge which involves international expansion; 3)
The high performance work system challenge which involves integrating new technologies
and work design, and finally 4) The social challenge which is concerned with the
management of a diverse workforce. Each of these challenges present different training
needs. A thorough organization analysis will carefully examine the company’s overall
strategy and objectives to ensure that the training activities will support this thrust. This first
step of the OPT model also examines the environment within the company. Noe and Colquitt
(2002) found that training effectiveness is not only affected by content and delivery but also
by the organizational climate. According to McGehee and Thayer (1961) an exhaustive
organization analysis consists of four distinct steps: 1) A statement of the organization’s
objectives; 2) An analysis of human resources; 3) An analysis of efficiency indices; 4) An
analysis of organizational climate. The last three steps are considered within the context of
the organization’s objectives. This draws the attention to the areas in which task and person
analysis may be necessary. This process is closely related to the performance gap concept
proposed by Zaltman and Duncan (1977). Goldstein and Ford (2002) add the identification of
external and legal constraints as additional components of the organization analysis. Such

37
regulations have proliferated in the past decades especially with regards to anti-
discrimination and safety issues and should be carefully considered.

Task Analysis (Job Analysis)

As mentioned previously, a performance gap uncovered through the comparison of an

organization’s objectives with the current situation can draw attention to certain jobs and
positions within the company where training may be necessary. Task analysis is “a method of
determining the knowledge, skills, tools, conditions and requirements necessary to perform a
job” (Callahan, 1985). A task analysis dissects a job into its different task components and
draws conclusions about the KSA and job behaviours needed to perform them successfully.
McGehee and Thayer (1961) divide task analysis into four main phases: 1) Determination of
standards of performance; 2) Identification of tasks that constitute a job; 3) Description of
how each task is to be performed; 4) Identification of KSA needed for each task. Goldstein
and Ford (2002) call this phase “Task and KSA Analysis”. Once this is completed, the
researcher can proceed and analyse the persons who perform the job in question and examine
whether the incumbents possess the KSA required (person analysis). Goldstein and Ford
(2002) recommend a similar procedure although they emphasize that task analysis should
particularly concentrate on tasks that are most important for the job and difficult to learn.
According to Carnevale et al. (1990) a task analysis should not only identify what the job
incumbents are actually doing, but also what they should do. In order to increase the validity
of the analysis, they suggest that at least two methods of data collection should be used. As a
useful method, Carnevale et al. recommend questioning Subject Matter Experts (SMEs) such
as employees familiar with the job and their managers. In their highly practical manual, Pearn
and Kandola (1993) list and describe several methods for analysing tasks. These include
observations, interviews or questionnaires with job holders, review of manuals and trying to
do the job. Because it is a detail-oriented technique, task analysis as a means of determining
training needs is less effective at managerial levels than it is at the lower end of the hierarchy
where jobs are specialized (Wellens, 1970). The discretionary and ever changing nature of
managerial jobs makes it difficult to prescribe them accurately. It is not easy to define
effective managerial behaviour by its content. According to the American Society for
Training and Development (2006), many jobs nowadays are changing at a fast pace.
Therefore investigating current task needs may not be sufficient, as the findings may quickly
become obsolete. In such situations, future requirements of the job may be more important to

38
investigate. Schneider and Konz (1989) describe “strategic job analysis” as a technique to
evaluate future task needs. Strategic job analysis is based on a conventional job analysis, with
two additional steps, which are: 1) A gathering of information on the future, and 2) A
revision of known tasks and required KSA in view of future changes.

Person Analysis (Man Analysis)

In this level of analysis, the objective is to recognize the individual training needs of
employees. The information obtained in the task analysis, really becomes meaningful once
the current proficiency and performance levels of organizational members on these tasks are
known. Each job incumbent has a different educational background, job experience,
personality and KSA profile and therefore performs differently on the various tasks. Wexley
and Latham (1991) report that person analysis is usually performed in two steps. Step one
considers employee performance on the job. The outcome determines whether step two is
needed. If the employee performance is deemed inadequate, step two ascertains which KSA
must be developed in the employee in order to correct this situation. McGehee and Thayer
(1961) referred to these two steps as “Summary Man Analysis” and “Diagnostic Man
Analysis”. According to Spencer and Spencer (1993), people at work differ along
competencies. Competencies are “underlying characteristics of individuals that are causally
related to criterion-referenced effective and/or superior performance in a job or situation”.
Spencer and Spencer claim that there are five types of competency characteristics: 1)
Motives, 2) Traits; 3) Self-Concept; 4) Knowledge; and 5) Skills. This framework is relevant
for training purposes as the visible competencies of knowledge and skills are relatively
straightforward to develop through training. The remaining three competencies are hidden
and more complex to develop. Therefore it is probably more effective for companies to select
for those competencies in their recruitment efforts rather than trying to develop them within
their existing workforce. Person analysis is the most delicate and sensitive step in the TNA

39
process as it sometimes deals with substandard performance and ineffective behaviour. On
the other hand, according to the concept of andragogy (Knowles, 1990), which is the theory
of adult learning, adults want to know why they are learning something and enter a learning
experience with a problem-centred approach to learning. Person analysis, if performed
professionally and in a constructive spirit, involves the adult learner in the need analysis
phase and thus increases the chances of acceptance for the subsequent training programme.

The Content-Levels Approach to TNA

Ostroff and Ford (1989) expanded the OTP framework and developed a “content-levels
approach” based on systems theory. The concept embeds organizational, subunit and
individual levels into the TNA (content) process, and suggests that training is more effective
when the levels and the content of training are closely linked. The framework presents a nine
cell matrix which combines the dual perspective of content (organization, task, person) and
levels (individual, subunit and organizational). Each cell represents the intersection of two
factors and suggests certain issues which should be addressed in a more comprehensive
approach to needs assessment. Ostroff and Ford assert that the use of their framework results
in a more holistic, systematic and accurate analysis of training needs.

The Evaluation of Training

Any systematic training programme must contain an evaluation phase in order to judge the
benefits of the intervention and assess whether the objectives have been achieved. Van Mart
et al. (1993) distinguish between formative and summative evaluation. Formative evaluation
is concerned with the processes within the training programme and considers how to improve
it qualitatively. Summative evaluation deals with the outcomes of training, with less focus on
content and delivery. By far the most influential framework was proposed by Donald
Kirkpatrick (1987). Kirkpatrick saw four different levels which are linked and build on each
other, but must be considered individually as they relate to different outcomes of a training
programme.

1)  Level one: Reaction - How trainees felt about the training programme

2)  Level two: Learning – The increase in knowledge, skills or ability

40
3)  Level three: Behaviour – How behaviour changes as an outcome of the training
programme

4)  Level four: Results – Organizational outcomes as a result of changed trainee performance

The model assumes that each level is positively correlated with the next highest. While levels
one and two are relatively straightforward to evaluate, for example through questionnaires
and tests, levels three and four are more complex as the direct impact of training is often
more difficult to determine. First, more time may have to pass until consistent behavioural
changes or organizational improvements can be confirmed. Second, during this time, other
influences unrelated to the training programme may have an impact on the criteria.
Nevertheless, the information from the upper levels of evaluation is considered to be the
more valuable. As the fundamental reason for conducting training is to achieve results, the
ultimate objectives of a training programme should be stated in terms of level four. Despite
its prevalence, the Kirkpatrick framework has been criticized. Alliger and Janak (1989) for
example found little correlations between the levels, especially the reactions measure seems
to have nearly zero correlation with the learning and performance measures. Kraiger, Ford
and Salas (1993) found a lack of clarity in terms of the specific changes that are expected as a
function of trainee learning and a difficulty in identifying appropriate assessment techniques
given those expectations. They suggest dividing learning outcomes into three categories: 1)
Cognitive outcomes; 2) Skill-based outcomes and 3) Affective outcomes. Alliger et al. (1997)
propose an augmented framework based on Kirkpatrick, in which reactions (level one) are
split into affective reactions and utility reactions. Their conclusion is that utility reactions are
more predictive of learning transfer than affective reactions. Alliger et al. also divide learning
(level 2) into immediate knowledge changes, retention of knowledge and behaviour/skill
demonstration, arguing that changes in knowledge and in skills are two distinct dimensions of
learning. Philips and Stone (2002) on the other hand fundamentally agree with Kirkpatrick’s
framework regarding the four levels but add a fifth dimensions which they call “Return on
Investment” (ROI). The underlying logic is that after the results (level 4) in terms of
organizational impact have been determined, they have to be converted into a monetary value
which is put in relation to the cost of training. An improvement in a measure which impacts

41
business as a result of training does not necessarily result in a positive ROI if the cost was
excessively high. Philips and Stone further add another, vague, dimension which they call
intangible benefits. These benefits are positive outcomes which were not specifically
expected to result from the training and cannot be converted into monetary terms but which
often follow good training programmes. These benefits include improved team-work, reduced
stress, etc…. Phillips and Stone also suggest that creating a results-based training culture in
an organization would contribute to sustaining the training function’s credibility. 

The Organizational Reality

Similarly to the issue previously described concerning the commonly found lack of
integration of HR issues into the organizational strategy, there is a well-known discrepancy
between the academic world and the business reality with regards to the planning and
implementation of training. This issue is often referred to as the Theory-Practice Gap.
Despite the overwhelming academic recommendation for a systematic structure in order to
maximize the organizational benefits of training, organizations often seem to plan and
implement their programmes in a haphazard manner without much reference to theory. The
results of studies which investigated this issue are sobering. The critical steps of training
needs analysis and training evaluation seem to be underdeveloped in a majority of companies
throughout the western world. Nelson, Whitener and Philcox (1995) call this the “Random
In-Random-Out” approach to training and report that “the inputs into the training process are
often not systematically identified while the outputs of the process are often not
systematically evaluated”. Moore and Dutton (1978) found that few organizations regularly
collect data in a strategic and careful manner on which to base their assessment of training
needs. In a more recent study, Saari et al. (1988) found that only 27% of organizations assess
the training needs of their management in a systematic way. According to Kubr and
Prokopenko (1989) one of the main reasons training programs fail to substantially impact
individual behaviour and organizational performance is the missing link between training
content and actual training needs of management. With regards to the evaluation of training
programs, the American Society for Training and Development (ASTD) notes in its 2004
State of the Industry Report that while 74% of the companies in their database do assess
trainee reactions after training programs, also known as level 1 (Kirkpatrick, 1987 ), only 8%
try to assess the impact on organizational performance (level 4). Garavaglia (1993) claims
that not more than 15% of organizations try to evaluate the extent of training transfer. The

42
aforementioned issues may be one reason for training’s often reported failure to achieve
results. Georgensen (1982) suggests that a maximum of 10% of training expenditures actually
result in a transfer to the work environment. This lack of structure in the organizational
reality is problematic. As Latham & Crandall (1991) argue, to the extent that theory is absent,
it is virtually impossible to understand why a training programme worked or failed to work.

43
 RESEARCH

METHODOLOGY

Research Methodology

44
Meaning of Research
Research is defined as “a scientific & systematic search for pertinent information on a
specific topic”. Research is any original and systematic investigation undertaken in order to
increase knowledge and understanding and to establish facts and principles. It comprises the
creation of ideas and generation of knowledge that lead to new and substantial improved
insights and/or the development of new materials, devices, products and processes. It should
have the potential to produce results that are sufficiently relevant to increase knowledge.
Good reflective inquiry produces theories and hypotheses and benefits any intellectual
attempt to analyze facts and phenomena. This search for individual facts or data requires an
open-ended question for which there is no ready answer. Data are gathered through
experiments, surveys or other methodologies. Research is an art of scientific investigation.
Research is a systemized effort to gain new knowledge. It is a careful inquiry especially
through search for new facts in any branch of knowledge. The search for knowledge through
objective and systematic method of finding solution to a problem is a research. This chapter
consists of research procedure which has been used to collect the data & information.

Research Methodology
Research is a systematic method of finding solutions to problems. It is essentially an
investigation, a recording and an analysis of evidence for the purpose of gaining knowledge.
According to Clifford woody, “research comprises of defining and redefining problem,
formulating hypothesis or suggested solutions, collecting, organizing and evaluating data,
reaching conclusions, testing conclusions to determine whether they fit the formulated
hypothesis”
Research is composed of two syllables, a prefix re and a verb search.
• Re means again, anew, over again.
• Search means to examine closely and carefully, to test and try, to probe.
• The two words form a noun to describe a careful and systematic study in some
field of knowledge, undertaken to establish facts or principles.
• Research is an organized and systematic way of finding answers to questions

45
The methodology used in this research was descriptive. Descriptive Method was used
because as it leads to identify needed change, used to reveal summary statistics by showing
all possible questionnaire items and also helps in exploring relationships between two or
more variables.

Research Design
A research is the arrangement of the conditions for the collections and analysis of the data in
a manner that aims to combine relevance to the research purpose with economy in procedure.
In fact, the research is design is the conceptual structure within which research is conducted;
it constitutes the blue print of the collection, measurement and analysis of the data. As search
the design includes an outline of what the researcher will do from writing the hypothesis and
its operational implication to the final analysis of data.

Sample Size
For carrying out any research or study on any subject it is very difficult to cover even 10% of
the total population. Therefore the sample size has to be decided for a meaningful conclusion.
As there was less population, so it was easy to decide the sample size. The sample taken was
20 people who were the staff members and some students.

Period of the study

The time period of the training was six weeks i.e. 15st june 2010 to 31st july 2010,. The
project is based upon information `````` collected during the training period from primary
and secondary data.

46
 Collection of Data

Primary Source Secondary

Source

1. Primary Sources
Direct personal interviewing
i. From senior staff of Human Resource department.
ii. Officials of other departments.

2. Secondary Sources
By studying the journals, marketing policy, literature, records, data & reports
prepared on a regular basis & other printed information made available on by
visiting their website, i.e.

TOOLS USED

To know the response I have used the “Questionnaire method” in sample survey. If one
wishes to find what people think or know, the logical procedure is to ask them.
In this method questionnaire were distributed to the employees and they were asked to
answer the questions in the questionnaire.

Need for the study

 The success of any institution depends largely on the faculty, the students.
 The study was mainly undertaken to identify the level of faculty and students, the
problems they face in the institution and for what reason they lack behind and what

47
 are their needs and how more efficient they can become. Once the needs of Faculty
and students are identified, it would be possible for the management to take necessary
action to improve the teaching level. Since they are considered as backbone of the
Company, their progression will lead to the success of the Company for the long run.
 This study can be helpful in knowing, why the employees prefer to change their job
and which factors make employee dissatisfy.
 Since the study is critical issue, it is needed by the originations in order to assess the
overall interest and the feelings of the employees towards their nature of job and
organization.
 This study can be helpful to the management to improve its core weaknesses by the
suggestions and recommendations prescribed in the project.
 This study can serve as a basis for measuring the institutions’ overall performance and
the need of improvement.
 The need of this study can be recognized when the result of the related study need
suggestions and recommendations to the similar situation.

Scope of the study

The scope of the study is very vital.
Scope for the Faculty
The Faculty’s needs are identified and this will lead to better training sessions, which will
result in better understanding of the subject.
Scope for Students
Students can be benefitted by improved way of teaching and more knowledge can be shared.

Objectives of the study

 To study the concept of Training Need Analysis of employees in detail.
 To get acquainted with the various variables of the employees of the concern.
 To get knowledge about the Hr policy of the concern.

48
  To know the various training modules undertaken by the concern.
 To study the various departments and to know the level and need of employees.
 To suggest some steps for further improvement in the system.

Limitations
No doubt that the staff of TATA MOTORS and SIADS cooperated well in the preparation of
this report but in spite of this fact, certain limitations are observed which are as follows:
1. Lack of information- Though the staff of the organization is competent, yet all the
members of the staff do not have complete information about the organization. Only the
heads of the concerned departments have full knowledge of the organization. No doubt
this has been done to maintain the secrecy & privacy but the general staff should also be
made aware about the policies, procedure, strategies & other important aspects.

2. Approximate figures- In case of certain information, only approximate figures have been
provided due to which exactness cannot be claimed for such information.

3. Biased information- The analysis has been done on the basis of information provided by
organization & dealers. So this information could be biased in some cases. They may
have given rosy picture & hide the true facts because of the reputation of the concern
which led to a serious limitation.

4. Non- Cooperative Students – The students were non- cooperative. They were not
willing to answer the interview and fill the questionnaire.

5. Level of Management – The level of management, staff, faculty , students was not up to
the mark. It was very tough to make them understand.

Though lot of hard work & sincere efforts have been put into the study, yet due to
above mentioned limitations absolute accuracy of results couldn’t be claimed.

49
DATA ANALYSIS

AND

INTERPRETATION

50
Training Need Analysis at SIADS was not a very tough job because it was a new concept
there and no was given training earlier. As the institute provides courses like driving,
mechanical, electrical, so they needed more of technical training. So to give technical
training various options were taken and accordingly their preference was asked through
interviewing them. The options given to them were – practical training, visits to small
industries, guest lectures, experts training, on the job training, audio-visuals and along with
technical training some options for their personality development were also given like soft
skills training, training for basic behaviours in the society.

The level of qualification of every one was very low, so it was tough deliver the training in
basic English.

51
 Extraction Sums of Squared Rotation Sums of Squared
Initial Eigenvalues Loadings Loadings
C
omponen % of Cumulative % of Cumulative % of Cumulative
t Total Variance % Total Variance % Total Variance %

1 4.237 42.367 42.367 4.237 42.367 42.367 3.507 35.068 35.068

2 1.659 16.587 58.954 1.659 16.587 58.954 2.077 20.773 55.841

3 1.509 15.091 74.045 1.509 15.091 74.045 1.463 14.631 70.472

4 1.039 10.389 84.434 1.039 10.389 84.434 1.396 13.963 84.434

5 .795 7.945 92.380

6 .333 3.329 95.709

7 .254 2.545 98.254

8 .139 1.386 99.639

`9 .036 .361 100.000

10 -4.074E-
-4.074E-16 100.000
17

Extraction Method: Principal Component

Analysis.

The data analysis and interpretation is done with the help of factor analysis.
From the above table it can be interpreted that there are 4 components which are responsible
84.434% variance in the research work. These components play important role in the research
work.
The extraction method is based on principal component analysis.

52
From the above graph it can be interpreted that there are three factors which are having the
maximum steepness and are most responsible for the results.

53
 Component Matrixa

Component

1 2 3 4

how often you get training

-.392 .548 .052 .674
opportunity

would you say that training

meets the needs of your -.932 -.152 .081 .070
company

how creative would you rate

.932 .152 -.081 -.070
the people working with you

practical exposure will be

.736 .630 -.097 .110
beneficial for you

soft skill training can add

value to your present .132 .206 .800 -.427
personality

If visuals will be added, then

will it be helpful for better -.652 .496 .155 -.419
understandin

guest lecture will be

.780 -.016 .380 .273
beneficial to you

frequent visits in small

industries be beneficial to .503 .749 .284 .122
you

workshops by experts be
.558 .255 .213 -.063
beneficial to you

Training given to you will add

on value to your current -.433 -.027 .740 .333
position

Extraction Method: Principal Component Analysis.

a. 4 components extracted.

54
The above table shows the components that combine and are the main factors.
The factors considered here the one whose value is more than .7.

In this the 1st component comprises of the factors having more than .7 are –

1.Creative which is having the value .932

2. Practical Exposure having .736 as its value
3. Guest lecture having value .780

From the above analysis it can be interpreted that these three factors combined plays the
important role in analysing the training need.

All these three factors can be combined together and named as a single factor , which will be
named as “Training Methods”. These factors interpret that the employees need more of
creative work along with practical exposure and guest lecture.

The 2nd component consists of the factor visit to small industry which is having value as .749.
This component reveals that the respondents are interested in getting exposed to small
industries which are nearby. The need of training can be analyzed as getting real life training.

The 3rd component consists of the factors like soft skills which is having the value as .800
and they also think that getting training can add value to their current position and it is having
the value as .740. from this it can be interpreted that the employees want to have good
personality and are concerned about their future .These two factors can be named as
“Personality Development.”

As the respondents were biased, so the result could not meet the required level.
The interpretation has been done on the biased data.

55
 Rotated Component Matrixa

Component

1 2 3 4

how often you get training

opportunity -.035 -.271 -.102 .909

would you say that training

meets the needs of your -.872 -.268 .064 .260
company

how creative would you rate

.872 .268 -.064 -.260
the people working with you

practical exposure will be

.962 -.096 -.081 .137
beneficial for you

soft skill training can add

value to your present .192 .079 .909 -.118
personality

If visuals will be added, then

will it be helpful for better -.298 -.809 .353 .065
understanding

guest lecture will be

.644 .586 .244 .105
beneficial to you

frequent visits in small

industries be beneficial to .021 .903 .134 -.276
you

workshops by experts be
.601 .096 .232 -.044
beneficial to you

Training given to you will add

on value to your current -.399 .151 .596 .556
position

Extraction Method: Principal Component Analysis.

Rotation Method: Varimax with Kaiser Normalization.

56
a. Rotation converged in 7 iterations.

Component Transformation Matrix

Compo
nent 1 2 3 4

1 .847 .461 -.028 -.264

2 .531 -.730 .106 .417

3 -.030 .248 .939 .235

4 .011 .439 -.326 .837

Extraction Method: Principal Component Analysis.

Rotation Method: Varimax with Kaiser Normalization.

57
FINDINGS

After going through 6 weeks training and research done it is found that the institution is as
new, so it is facing many problems in every level. The management is not that active and do
not take much responsilities
. The level of qualification of the faculty is low as compared and they are not given much
training to enhance their skills and they lack in certain areas like new knowledge about new
technologies, moral values, team work. After interviewing the faculty and students it was
found that they need much of practical exposure and their need for new technologies was also
very high. They want to be exposed to real life situation more than theoretical knowledge.
They were also concerned about their future and they needed the training in regular basis. As
SIADS is a joint venture between TATA MOTORS and PUNJAB GOVERNMENT so they
needed the experts from TATA MOTORS to teach them the working of new machineries and
automobiles.

SUGGESTIONS

1. Highly educated and experience people should be recruited.

2. Employees performance should be given training from time to time so that they can know
the recent changes in the industry and can enhance their skills.
3. According to their need, they should be training.
4. Work should be assigned according to the qualification of the employees.
5. Organization should try to adopt certain measures to enhance team spirit and coordination
among the employees.
6. Management of the company should be friendly with the employees.
7. More practical exposure should be provided to them.
8. Technical experts should come from TATA MOTORS to give training.
9. They should be given more responsibilities.
10. Top level management should be developed more.

58
11. The institution should provide career mapping on regular basis.

CONCLUSION

It was a good experience of 6 weeks, where I got to know the real life working of the
organization. As I was exposed to TATA MOTORS and PUNJAB GOVERMENT, I learnt
both the working of private sector as well as Government Work. I learnt that there is huge
difference in the working of both the sectors. The corporate exposure which I got was worth
learning and I learnt that it’s really not easy to survive in this corporate world. I learnt to
work with different kind of people and with different backgrounds and which was really a
great learning. The faculty and students were lacking behind in training and development.
I gained a lot of practical knowledge which I was unaware off because the course I am doing
gives me only theoretical knowledge. So the experience of practical knowledge I hope will
show me its color in my coming future.

59
BIBLOGRAPHY

 http://traininganddevelopment.naukrihub.com/training-need-analysis.html
 http://www.dirjournal.com/guides/how-to-conduct-a-training-needs-analysis/
 http://humanresources.about.com/od/trainingneedsassessment/ht/training_needs.htm
 Tatamotors.com
 Journal of TATA MOTORS and SIADS
 HUMAN RESOURCE MANAGEMENT: Text and Cases K. Aswathappa

REFERENCES
 Santos, Amalia & Mark Stuart. 2003. Employee perceptions and their influence on
training effectiveness. Human Resource Management Journal. 13(1): 27-45
 Steadham, SV 1980, ‘Learning to select a needs assessment strategy’, Training and
Development Journal, vol. 30, pp. 55 – 61.
 Tung-Chun Huang 2001, ‘The relation of training practices and organizational
 performance in small and medium size enterprises’, Education & Training, vol. 43,
no. 8/9, pp. 437 – 44.
 Wagonhurst, C 2002, ‘Effective training programs’, Journal of Research
Administration,vol. 33, no. 2/3, pp. 77 - 81.

60
 ANNEXURE

QUESTIONNAIRE

Name *

Contact No. *

Qualification*

Stream*

Experience*

1.Do you have in-house training?

  * Yes
  * No

2.Have you ever used external companies to provide training or development programmes?
  * Yes
  * No

If yes, what is it you value most about your relationship with external companies?

3.How often does your company provide opportunies for training and development?
|1|2|3|4|5||
Strongly Disagree | | | | | | Strongly Agree |

4.Would you say that the training meets the needs of your company?
|1|2|3|4|5|
Strongly Disagree | | | | | | Strongly Agree |

5.The people working with you are creative?

|1|2|3|4|5||
Strongly Disagree | | | | | | Strongly Agree |

6.Practical exposure will be beneficial for you?

|1|2|3|4|5||
Strongly Disagree| | | | | | Strongly Agree|

7. Will soft skill training can add value to your present personality
|1|2|3|4|5||
Strongly Disagree | | | | | | Strongly Agree |

61
8.If visuals will be added, then will it be helpful for better understanding?
|1|2|3|4|5||
Strongly Disagree| | | | | | Strongly Agree |

9. Guest lecture will be beneficial to you?

|1|2|3|4|5||
Strongly Disagree | | | | | | Strongly Agree|

10. Will training in small industries be beneficial to you?

|1|2|3|4|5||
Strongly Disagree| | | | | Strongly Agree|

11.Training given to you will add on value to your current position?

|1|2|3|4|5||
Strongly Disagree| | | | | | Strongly Agree|

62