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With the changing time and even fast changing technologies Indian companies have started realizing the importance of corporate training. As the companies are setting up their branches all over the world, becoming multinational corporations they need trained employees who can raise the profits. Today, training is considered as a tool for employee retention. The cost incurred on training an individual in a company is recovered if the employee improves his skills after the training is imparted and the productivity is raised. Training has now become important in every field be it Sales, Marketing, Human Resource, Logistics, Engineering, Production and Manufacturing, Inventory Management etc. Indian companies fulfill their requirement of skilled workforce by providing on-the-job trainings and other internal educational programs which are designed to quickly improve the expertise of new recruits especially in the high-tech industry. According to NASSCOM there is a tremendous rise in the IT corporate training market which is expected to reach Rs. 600 crore in 2010 from Rs. 210 crore (Training Scenario in Indian Industry, www.naukrihub.com ).
This article mainly focuses some emerging sectors in Indian industries, including IT, BPO, Pharmaceutical, and Retail, Banking and Insurance, Hospitality, KPO, Automobile, Telecom . According to the findings of the study, all sectors have grown quickly in spite of major roadblocks which are termed as skills shortfalls and talent shortages.
Walkabout
India suffers due to a huge skill gap in various sectors. It is estimated that more than 75% of the new job opportunities to be created in India will be skill-based. This is primarily due to three reasons: Heterogeneous nature of universities or training institutions, with varying infrastructure, capabilities and facilities, as well as the quality of education and training provided by them. Lack of focus on development of skills pertaining to the specific requirement of the employers.
Non-recognition of the value of skilled workers by employers, particularly in the informal and small enterprise sectors. If this skill gap is plugged, India can become the hub for skilled manpower, with it being capable of building a skilled manpower surplus of approximately 47 million by 2020. Currently, India has significant potential to evolve as the worlds skill center and also meet its domestic demand, which is continuously increasing. In trying to understand how India is achieving this feat, we learned that the Indian private sector has found a way to overcome deficiencies in its education system through innovative programs of workforce training and development. These have transformed workers with a weak educational foundation into R&D specialists.
effectiveness skills. In addition to online courses, many companies have instituted programs of mentorship by senior executives; peer learning and knowledge sharing; and job-rotation programs. Some common methodology includes instructor-Led Classroom, Instructor-Led On-Site, Virtual Classroom, Self-Paced, and Blended. Courses in Game-based learning, Coaching, On-the-job (OTJ) Training, Seminars/Workshops, Simulation Workshops, Computer-based and IT training modules as well as those concerned with soft skills, business skills and networking. Career advancement and salary increases are usually tied to the completion of such training. Mechanisms such as 360-degree reviews and balanced-scorecard reviews are widely used. Managers are evaluated on a variety of non-financial measures, including employee satisfaction, attrition rates, and mentoring. Performance management has been fully integrated with training and development at most companies, using periodic reviews to identify training needs, provide feedback and coaching, and facilitate employees goal setting and career planning. Furthermore, Indian companies appear to have a high level of interaction with the private colleges and universities that supply them with talent. This involves working with these institutions to develop customized degree programs, train the educators, create new curricula, and negotiate deals to hire graduates in bulkwithout job interviews. The Indian experience highlights what can be achieved by investing in upgrading the skills of the workforce. The workforce training has taken the output from the education system as weak as Indias and has turned its graduates into world-class engineers and scientists. Requirements in Corporate and Smes Indian Public Sector has been passing through massive changes due to advancement in science and technology and competition from private sector. PSEs realized the need and importance of training their employees for better and improved results. PSEs are under pressure to improve organizational effectiveness by finding ways to become cost-conscious and resource-efficient (Joshi, 2000). Most of these enterprises are still using labor intensive technology and large-scale as well as long-term cost reductions can be achieved by improving the productivity of employees through effective training and development. Direct recruitment from training institutes and informal networks and local agents also play a role in supply of direct labor in public sectors Although the primary responsibility for fostering education and training in the education system rests with the Government and academia , the corporate and non-government sectors have also realized the need to actively participate in providing training to their current and potential employees. Initiatives of companies
Organizations have realized the need to establish in-house training facilities to bridge the industryacademia disconnect and meet the shortage of higher education infrastructure in the country. Through these facilities, they can not only make potential employees job ready even before they enter organizations, but also provide them with the right skill-sets molded on the basis of practical industry
requirements. Such training practices are prevalent across the manufacturing and service sectors. Some key examples are listed below:
Manufacturing Sector Sector Automotive
India
Company name
Maruti Suzuki
Training initiative
MSIL has tied up with 17 ITIs and has set up a Technical Training Centre (TTC) to cater the training need of employees.
Hospitality
Grand Hyaat
Infosys
Infosys global training center is one of the largest corporate training. ICICI Manipal Academy, to train recruited junior managers of the bank in banking and finance.
ICICI Bank
exercise would also help reduce the on-the-board technology training costs that form a substantial chunk of the employee development costs. In the short term, all Universities and Engineering Colleges, including those at the State level would be encouraged to formulate a Training Program me, in consultation with the leading industries in their regions of Quality Management and general development for managerial staff.
Performance Management Another trend that is sweeping the field of human resources is the integration of training and development into an entire performance management system. Organizations are moving away from the long-established, one-on-one appraisal or performance review with a boss held once per year. They are designing performance management systems, instead, that provide an individual with personal and professional developmental goals and training opportunities. In a performance management system, people receive more frequent feedback from many points of view including peers, direct reporting staff members and the boss. The feedback, known as 360-degree feedback, provides a more balanced set of observations for the employee. The performance management system also integrates a performance development plan for the individual. This plan assists the employee to continue to develop his skills and abilities. For these plans, preference is accorded to integrated corporate university courses and internally custom designed and presented training. Performance development plans may include coursework, but also provide learning activities on the job such as special projects, serving on cross-functional teams, and skill stretching job assignments. Future Technology in Training and Development Mobile Technology (IPODS/ PDAs) Networking Learning Portals Intelligent Tutoring System Instant messaging Conclusions about training trends One training trend is for sure. Traditional classroom training is no longer the exclusive opportunity to learn. The age of training that includes training CDs, email classes, online learning, and blended learning and university degrees online is exploding. These training opportunities are here to stay.
SALARY RANGE MAX MIN SECTORS Retail /FMCG Banking $ Insurance Automobile Telecom KPO Pharmaceutical Hospitality BPO IT/ITES EXPECTED EARNINGS USD 396 billion 1000 Billion US $ US$ 40 billion 1billion US $ 17 billion US $ 17 billion Rs 1.7 million $310 billion Rs 500 crore 4.5 TO 6.5 15 TO 30 13 TO 15 19 TO 25 18 TO 25 10 TO 15 11 TO 15 18 TO 25 10 TO 15 1.5 TO 3.0 2.25 TO 5.5 2 TO 5 1 TO 3 1.5 TO 2.5 2 TO 5 2 TO 6 1.5 TO 2.5 1.5 TO 2.5
A brief summary of the training and development in various sectors and its nearby future outlook.