Training and Development

TRAINING - It typically focuses on providing employees with specific skills or helping them
correct deficiencies in their performance.

DEVELOPMENT - It is an effort to provide employees with the abilities that the organization
will need in the future.

According to Flippo “Training is an act of increasing the knowledge and skill of an employee
for doing a particular job”

According to Taylor “Training is a means to bring about a continuous improvement in the

quality of work performed, it would equip them with necessary knowledge, skill, abilities
and attitude to perform their jobs.

Training and Development is one of the most important functions of Human Resource
management in any of the organization. The objective of this Training is to enhance employees’
skills behaviour and expertise by putting them into learning new techniques of doing work.
Employee Training and Development helps in updating employees’ skills and knowledge for
performing a Job which at the end results in increasing their work efficiency and increase the
productivity of an organization. It ensures that Employees oddness or eccentricity is reduced
and learning or behavioural change should take place in a very structured format.  Training
development or learning and development are official ongoing educational activities designed
for goal fulfilment and enhance the performance of employees.

The activities linked with employee Training & Development is created to convey the employee
to perform better in assigned job which also motivate employee to give his/her best so that at
the time of performance appraisal, employee can show the eligibility for promotion and salary
increment. It refers as the skill and knowledge enhancing bustle which is a source of additional
information as well as instruction required to improve the quality of performance. HR Training
and Development are two different activities which goes hand-in-hand for the overall
betterment of the employee. The short term and reactive process is training which is used for
operational purpose while the long term process of development is for executive purpose. The
aim of training in HRM is to improvement of required skills in the employee whereas aim of
development is to improve overall personality of the employee. Management takes the
initiative of training to fill up the skill gap in the organization; the development initiative is
generally taken with the objective of future succession planning.  

The HRD department is focused towards the improvement of the manpower of the
organization. The training and development activities are often used to motivate employees
and improve their organizational commitment.  The HR department has found out that
employee really appreciate that they have given an opportunity to build new skills and improve
 their job performance. Employee feels that organization is totally commitment towards the
growth of their manpower and thus they like to be a part of training and development
activities. The training development activities are also used to attract new talent towards the
organization by publicizing the HRD efforts.
From the HR perspective, training and development activities are best way to create talent pool
in the organization. Instead of hiring staff which is skilled and trained for a particular job profile,
training and development activities running in the organization is much cheaper source of
internal skilled employees.  It reduces the recruitment or hiring cost of the organization and
due to internal hiring for particular position the employee joining on new post is already aware
of the organizational work culture. HRD department also promotes HR training and
development activities as the home-grown executives are found to perform better than skilled
people hired from outside.
HRD department is usually in-charge of planning and execution of training & development
activities in the organization. This activity includes first search of skill gaps in the organization
and then finding a right source from which the employees can learn new skills and improve
their performance. It is well said that through training and development activity
the HRM department actually contribute to the productivity of the organization.

Some of the best practices for training and development of employees are -

 Align training with management’s operating goals - Management always has operating goals
like better performance, productivity, quality, or customer satisfaction, to name a few. Once
you know the goals, you can design targeted programs.
 Survey your employees first - The best source of information about organisational performance
and needs are the current employees. They know a lot about what’s going on and what, if
anything, should be changed.
 Consider different learning styles and methods - While creating learning content and courses
for your L&D staff, keep in mind that they’ll each have different learning styles and methods
too, the same way the rest of the employees do. Make sure you have learning materials
available for each type of learning style.
 Measure results - Successful companies measure outcomes to make sure they continue to get
the biggest bang for their buck.

OBJECTIVES

 To train the employees in the company’s culture

 To prepare the employees both newly recruited and already employed
 To train the employees to increase the quality & quantity of output.
 To facilitate succession planning.
 To reduce supervision wastage & Accidents.
 To ensure economic output with high quality.
 To foster individual & group morale
 To increase the efficiency & effectiveness
  To prepare employees for higher level responsibilities.

Others:

1. For organizational Productivity training assumes greater significance.

2. Training assumes greater significance for the success of modern organizations.

3. Change of technology

4. Jobs are becoming interdependent

5. Training is a sequence of experiences or opportunities designed to modify behavior in

order to attain a stated objective.

IMPORTANCE
 Changing Environment
 Quantity & Quality of output
 Job Satisfaction
 Less Supervision
 Moulds Employees attitude
 Reduces Wastage
 Reduces Labor Turnover

BENEFITS
 Improves profitability
 Improves job knowledge
 Aids organizational development
 Better Organizational Climate
 Prevent Industrial Accidents
 Helps individuals handle stress
 Help Adjust with Changing Technology

Need for Training

 To match employee specifications and Job requirement
 To Cope with Technological advances
 Organizational Complexity
 To enhance Human Relations
 To fit employee for promotion
 To prepare employee for change in job assignment
 To impress the employee that management is interested in them.
ASSESSMENTS OF TRAINING NEEDS

 Organizational Analysis
 Departmental Analysis
 Job/Role Analysis
 Manpower Analysis

TRAINING NEEDS ANALYSIS  

Training needs analysis is a systematic process of identifying which kind of training is required
and providing the details related to training implementation. It is also known as a tool to
identify the new skills, knowledge, and attitudes that employees need to acquire in order to
improve performance.

The Training Needs Analysis (TNA) helps organizations to find out the gap in terms of skills and
training in their existing employees to perform the current and upcoming Jobs efficiently.  The
Training Manager uses the Analysis very carefully to design the right Training program to meet
the skill and training requirements of the employees to enhance productively and ultimately
achieve the goals and objectives set by the organization.

What is Training Needs Analysis Definition in HRM?

The term training needs analysis is often referred to as learning needs analysis in the human
resource department. The training needs to reflect that there are lots of ways to perform a job
and thus a huge opportunity of learning to work. The analysis is all about the gap in the skills
and knowledge and how the HRM department can help to bridge the gap.
HRM department always puts focuses on the idea that a constant learning process is good for
employees. It keeps their skills updated and improves their performance. The training needs
analysis implies the analysis of skill improvement required to perform the current or future job
with great excellence.

Role of Training Needs Analysis 

Every leader or manager of the organization wants their employee to perform better and reach
their optimum. In order to achieve the set goals and improve the productivity of
the organization, it is important that employees have full capabilities and competencies to
perform their assigned job.
Fundamentally the role of training needs analysis in HRM is to understand the difference
between the current and desired performance of the employee and provide information about-

o Which employee needs training?

o What kind of training is required?
o How a company can design an effective training program for such employees?
o What will be the impact of this training on the performance of the employee?
o What will be the cost and resource requirement of these training programs?
Requirement of Training Needs Analysis
Training needs analysis is always considered a first step toward helping an employee to improve
their output at work. The requirement of training needs analysis is to

o Understand the performance improvement needed by the organization

o To relate this performance improvement with required skills, capabilities, and
competencies
o To figure out the exact course work or skill set training program employees need to
attend
o To design the appropriate training program to bridge the gap between the present
productivity of the organization and desired output.
The method of training needs analysis is selected based on the job type of the employee and
the analysis that has to be carried out to understand the skill gaps. Here are a few popular
training need analysis methods used in the corporate world:

1. Direct observation- In different working situations the training managers observe the
working style of the employees. With the help of this observation, the managers get
information about the performance gaps. The observation includes watching over the
technical methodology followed to perform the job, the functional aspects of the job,
and the behavioural aspects of the employee. It provides both qualitative and
quantitative feedback about the current performance of the employee. 
2. Interviews- It is a face-to-face conversation about the way an employee performs the
job. It is an effective way to collect information about output gaps by talking with each
employee or a team. It can be a formal or informal setting of the interview. The
interview can be conducted in person or through virtual means.
3. Focus groups- It is a brainstorming process to understand the skill gaps among the
employee. The employees working in the organization are encouraged to talk and
discuss the ways to improve their work performance. This conversation is closely
observed by analysed by the training manager to understand the training requirement
in the organization.
4. Assessments/surveys- Surveys are an effective and simple way to identify the
performance deficiencies in a particular department. A well-designed questionnaire is
circulated among employees to understand the training needs of the employees. The
questionnaire can consist of a combination of open-ended and closed-ended questions
along with some ranking and projective questions. To improve the credibility of the
survey the employees are allowed to submit the answers anonymously.
5. Customer Feedback- In most of the service industry performance deficiencies are
identified using customer feedback. The direct feedback from the customer indicates
the specific work area which needs improvement.
6. Others: There are a few other methods of training that need analysis such as
consolation with the persons working in a key position in the organization, by reviewing
relevant literature of the work area, with the use of reports, records, and work samples.
Training Needs Analysis Process
There are different stages of training needs analysis that are used by the organization based on
the job profile of the employees. However, there is a fixed process that is followed in all types
of training needs analysis. Here is 4 steps process of training needs analysis:

Step 1- Performance Gap Analysis: Here the current and desired operation results of the
employee performance are compared to identify the performance gaps. These performance
gaps can also be termed as the difference between the required and actual productivity of
the organization.
Step 2- Root Cause Analysis: Root because analysis is a way to determine the basic issue
behind the performance gaps. The issues are classified into 5 categories as skill, resources,
incentives, motivation, and information such as feedback. Using rood cause analysis, it is
identified which area is leading to a lack of performance and which area needs
improvement.
Step 3- Needs Analysis: A detailed analysis is carried out to design and implement the
appropriate intervention to resolve the performance issues. Based on the categories
identified in the root cause analysis a specific need for improvement is addressed in this
step. This analysis includes analysis of the audience of training, job analysis, task analysis,
environment analysis, and cost-benefit analysis.
Step 4- Recommendations: In this step, an appropriate training solution is proposed. It
identifies the right kind of training program that an organization should run to improve the
overall work productivity.
What are the Objectives and Components of Training Needs Analysis? 

The important objectives of training need analysis are:

o To ensure that the product/service requirement of customers have been met with the
help of skilled employees
o To help the organization set appropriate goals and achieve them
o To create an appropriate performance benchmark that can be used to judge the
employee productivity
o To enable employees to evaluate their current skill sets and continuously upgrade their
knowledge to improve their performance levels
o To highlight the work quality issues in the organization and identify focus areas that
need improvement.

Advantages and disadvantages of training needs analysis  

Every process and tool used in human resource management has some positive and negative
points. Here are some benefits and issues related to training that need analysis-
Advantages of Training Needs Analysis
1. It determines the population which needs the training most in order to perform well in
the organization.
2. It determines what kind of training is required in terms of skills, knowledge, abilities,
competency, and behavior of the employee.
3. It helps the management to direct resources to regions of greatest priority of training.
4. It helps employees and organizations to  improve work productivity
5. It helps the company to improve their quality of services and thus helps in customer
retention.

Disadvantages of Training Needs Analysis

1. Training need analysis can be a time-consuming process as it includes a lot of
assessments and surveys.
2. Training need analysis can be a costly affair for the company as often tired party is hired
to conduct the training need analysis
3. The low response rate of the employees to the internal surveys can have a negative
impact on the effectiveness of the training need analysis
4. Many times when the long process of training needs analysis is completed the
management is no longer looking to fulfill the same business goals.
5. Employees often hesitate to provide an honest response on self-assessment which can
affect the result of training needs analysis.

ASSESSMENT METHODS

1. Identifying Specific Problems

2. Anticipating Future Needs
3. Managements Requirements
4. Observation
5. Interviews
6. performance Appraisal
7. Questionnaire Survey

AREAS OF TRAINING

1. Company Policies and Procedure

2. Specific Skills
3. Human Relation
4. Problem Solving
5. Managerial and Supervisory Skills
6. Apprentice Training
TRAINING METHODS

On - the - job Methods

Off - the - job Methods

ON-THE-JOB METHODS
1. Job Rotation
2. Coaching
3. Job Instruction
4. Training through step by step
5. Committee assignments
6. Induction
7. Apprentice training
8. Deputation

OFF-THE-JOB METHODS

1. Vestibule School
2. Role Playing
3. Lectures
4. Conference
5. Case Study
6. Business Games
7. Workshops/ Seminars
8. Programmed Instructions

Over a period of time the training methods have changed a lot. Based on the requirement of
the company, now training methods can be selected from variety of options. A lot of companies
implement different training methods for various team, departments and groups of employees.
It is important in Training and Development Process to select the training methods as per the
needs and desired outcome from the training program. Training methods are categorized as
traditional and modern methods. 
Traditional Training Methods
Traditional types of training methods are commonly used in ample amount of companies. They
are simple to implement and requires less tools. Here are three primary types of traditional
training methods:
Off the Job Training Methods    -  On the Job Training Methods     -  Interactive Training
Methods
1. Off the job Training
Classroom learning is a way of off-the-job training. Here groups of employees go through
different presentations, activities, case study assessments to learn more about their job.
The information about vision and mission of the company and the company policy is also
conveyed to the employees during off-the-job training. This type of training provides rich
learning opportunity to the employees, however due to cost issues many companies
avoid arrangement of such training programs.

2. On-The-Job Training
During on-the-job training the employees are involved in the real work activities and learn
through experience. It provides rapid learning experience and improves bonding among
team members. However some employees find this method of training very stressful and
fail to learn or fail to perform on the job.

3. Interactive Training
The interactive training ensures that employees are actively involved in the learning
process. The training includes simulation, scenarios, games and quizzes. In order to
practice a new skill the employee get a realistic work scenarios and thus employee can
apply their knowledge before actually working on the real job. The method is quite time
consuming and the employee’s needs constant feedback from the trainer to move further
in the training program. 

Modern Training Methods

After globalization now technology is key to every process. Thus, the modern types training
methods include online and computer based training. Another need of training is on the social
front, as in the company now people from different backgrounds, cultures work together it is
important to develop the social skills and team work among the employees.

Social Learning Methods     -    Online Training Methods     -     Outdoor Training Methods
1. Social Learning
Social learning methods are a process in which employees learn through observation,
imitation and modeling their behavior. It is a effective training method for overall
development of the employee, it enhance the problem solving skills and employees
acquire empathy about their team members.

2. Online Training
If you want to training large number of employees in an effective manner, then online
training is an answer for you. Online workplace training includes eLearning courses,
videos, webinars which present information in front of employees and also test their
acquired skills. Basic PC-based programs, Interactive multimedia training and web-based
training programs are different types of online training.

3. Outdoor Training
 Many large companies are now using outdoor training as a tool to improve teamwork
skills among their employees. It is termed as a break from work and classroom learning.
The training includes adventure like group of employees can live outdoors and engage in
activities such as mountain climbing or whitewater rafting. The training is a social activity
in which employees get to know each other.

On The Job Training Methods

For the training of non-managerial level of employees most of the organizations use on the job
training methods. As compared to classroom training the on the job training is quite easy to
execute as employee will be available in the actual work environment. On the job training is
used when organization wants the employee to be productive immediately after joining the job.
The core of on the job training is development through job performance. It provides
opportunity to new employee to build good relationship with their working team while learning
in the early days.  

Different types of On-the-job training methods are as given below:

1. Job rotation: Job rotation involves regular movement of employee from one job profile
to another in order to gain experience and knowledge. This method is useful to improve
employees skill set and provide them overview of overall organizational working pattern.
It also improves the relationship between employees working in different departments of
the organization.
2. Coaching: This method includes assignment of mentor or supervisor to each employee
who will train the employee, resolve their work related issues and provide feedback on
their performance. 
3. Job instructions: It is a systematic training in which the instructor explains each step of
doing job to the employee, let them perform and correct them in the case of mistake.
4. Committee assignments: A group of employees are given a work related issue which
they should solve by healthy discussion with each other. It is also a way to improve team
work among employees. 
5. Internship training: Generally theoretical and practical training is provided to the
students of various colleges before they actually start their actual career in corporate
world. Most of the time after completions of internship the company offers the student
to join them as a employee.
Advantages of On-the-Job Training
o It is a flexible way to train the employees.
o It is less expensive as compared to other training methods.
o It motivates and encourages the employee to learn and perform at work.
o Not much additional arrangement required to conduct the training of the employee.
Disadvantages of On-the-Job Training
o The on-the-job training is not properly structured and the training environment is not
created.
o It is difficult for employees to learn when the managers providing on-the-job training
lack in training skills.
 o As training and work both is going on hand in hand the performance criteria is not
clearly defined.
Off the Job Training Methods
The development activity implemented by the organization which is away from the work field is
called as off-the-job training. There are several off-the-job training methods which can be used
to train employees. In this type of training the employees can fully concentrate on learn as
there will be no work pressure.  

Different types of Off-the-job training methods are given below:

1. Case study method: To impart critical and analytic thinking among employees a
business problem is assigned to the employees. The employees can analyze the entire
case and provide various possible solutions on the given situation. 
2. Incident method: A real situation is created in the term of incident and the group of
employees is asked to make a decision on the given issue. The group discussion is a way
to take a decision on the real-life situation.
3. Role play: In a simulated situation the employees are asked to assume that they are
playing role of an individual present in a problem. According to the assigned role the
different participants interacts and try to resolve the problem.
4. In-basket method: An imaginary company is created and all the information about the
activities, products and employees is provided to the trainee. Now trainee has to delegate
tasks and prepare schedules for this imaginary company. This task helps to develop
situational judgments among employees.
5. Business games: Here group of employees are asked to discuss the activities and
functions of an imaginary organization. It helps to improve decision making and team
work among employees.
6. Grid training: It is a kind of phased training program which last for 6 years. It includes
development, implementation and evaluation of various training aspects.
7. Lectures: For large number of employees attending the training, lecture method is very
useful. An expert explains various job related concepts and principles to the employees
through face to face lectures.
8. Simulation: An imaginary situation act as a simulator to the employee and they have to
take immediate action on the situation. It helps in development of strategic way of
thinking on different aspect of organization.
9. Management education: Companies collaborate with various bachelors and
postgraduate institutes which provide high education to the employees.
10. Conferences: A conference acts as a place where people working in the same field
meet up and shares their unique ideas with each other. It is a best way to know about the
latest updates in the industry.

Advantages of Off-the-Job Training

o The normal operation of organization remains undisturbed
o Trainers who provide training are well qualified and experienced.
o The training program is properly drafted and well organized.
o
Disadvantages of Off-the-Job Training
o The training is artificial in nature and not directly in context to the work.
o It is quite expensive to implement
o The work hours of the employees is lost which can lead to lost productivity of the
organization.

AUDIO VIDEO BASED TRAINING

1. When there is a need to illustrate how to follow a certain sequence over time.
2. The stop action reply
3. When there is a need to expose trainees to events not easily demonstrable
4. When you need organization wide training
5. Simulated training
6. Costly and dangerous
7. Computer Based training
8. Graphic –support lessons
9. Require trainees to make choices
10. Increasingly interactive and realistic

Audio-visual 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 audio-visual 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.

Audio-visuals are more expensive than conventional lectures but offer some advantages. Of
course, they usually tend to be more interesting. In addition, consider using them in the
following situations.

Simulated Training:

Simulated training: Training employees on special off the job equipment as in airplane pilot
training, so training costs and hazards can be reduced.

The Stanford University medical students in the virtual reality training room use simulated
training. Simulated training (occasionally called vestibule training) is a method in which trainees
learn on the actual or simulated equipment they will use on the job, but are actually trained on
the job (perhaps in a separate room or vestibule).

Simulated training is necessary when it’s too costly or dangerous to train employees on the job.
Putting new assembly line worker right to work could slow production, for instance, and when
safety is a concern as with pilots – simulated training may be the only practical alternative.
Simulated training may take place in a separate room with the same equipment the trainees
will use on the job. However, it often involves the use of simulators. In pilot training, for
instance, airlines use flight simulators for safety learning efficiency, and cost savings. Simulated
training is increasingly computer-based. In fact, computerized and Internet based tools have
revolutionized the training process.

Computer based Training:

With computer based training, the trainee uses interactive computer based and/or DVD
systems to increase his or her knowledge or skills. McDonald’s developed about 11 different
courses for its franchisees employees and put the programs on DVD. The programs consist of
graphics supported lessons, and require trainees to make choices to show their understanding.

Computer based training (CBT) is increasingly interactive and realistic. For example, interactive
multimedia training integrates the use of text, video graphics, photos, animation, and sound to
produce a complex training environment with which the trainee interacts. In training a
physician for instance, an interactive multimedia training system lets a medical student take a
hypothetical patient’s medical history conduct an examination, analyse lab tests, and then (by
clicking the examine chest button) a type of chest examination and even hear the sounds of the
person’s heart. The medical student can then interpret the sounds and draw conclusions upon
which to base a diagnosis. As noted virtual reality training takes this realism a step further.
Virtual reality puts the trainee in an artificial three dimensional environments that simulates
events and situations that might be experienced on the job. Sensory devices transmit how the
trainee is responding to the computer and the trainee see, feel and hear what is going on,
assisted by special goggles, auditory and sensory devices.

VIRTUAL REALITY TRAINING

Advantages of Training
1. Increases the quality & quantity of production
2. Accomplishes basic safety needs
3. Little supervision needed
4. Minimize rate of accidents
5. Reduce dis-satisfaction
6. Minimize wastages
7. Organizational stability and flexibility
8. Smooth transfer of jobs
9. Tool for problem solving
10. Increases Productivity

STEPS IN TRAINING PROGRAM

1. Discovering or Identifying Training Needs
2. Preparing the Instructor or Getting Ready for the job
3. Preparing the Trainee
 4. Presenting the Operation
5. Try out the Trainees Performance
6. Follow up or Rewards & Feedback.

FINAL EVALUATION
1. Feed back Method
2. Survey Method
3. Before and after training
4. Before & after with control group
5. Immediate assessment of trainees reactions of the program
6. Trainees observation
7.Evaluation of trainee skills before and after training
8. Measurement of improvement in trainees job behavior
9.Cost-Benefit analysis
10.Measurement of specific behavior (absenteeism, wastage, turnover etc)

PROMOTION

If the organization prefers to fill a vacancy only by the internal candidates, it assigns that
higher level job to selected employees from with in through promotional tests. Such
upward movement can be said as promotion.

Paul Pigors defines “Promotion is advancement of an employee to a better job – better in

terms of greater responsibility, more prestige or status, greater skill and specially
increased rate of pay or salary”

PURPOSE OF PROMOTION

1. To utilize the employee’s skills, knowledge

2. To develop competitive spirit and inculcate the zeal in the employees
3. To develop competent internal source
4. To promote employee’s self-development
5. To promote a feeling of content
6. To promote interest
7. To reward committed and loyal employees
BASIS OF PROMOTION

1. Merit as basis of Promotion- Merit is taken to denote an individual employee’s skills

knowledge ability efficiency and aptitude is measured from educational training and
past employment record

Advantages
1. It results in maximum utilization of HR in the organization
2. Competence employees are motivated
3. It works as a golden hand cuffs regarding employee turn over
4. Further it continuously encourages the employee to acquire new skills, knowledge etc

Seniority as basis
Seniority refers to relative length of service in the same job and in the same
organization.

Advantages
1. It is relatively easy to measure
2. There would be full support of the trade union to this system
3. Every party trust the management action
4. It gives sense of certainty of getting promotion
5. Senior employees will have a sense of satisfaction to this system
6. It minimizes the grievances and conflict regarding promotion

Seniority cum merit

In this system both merit as well as seniority is considered while according promotion
1. Minimum length of service and merit
2. Measurement of seniority and merit through a common factor
3. Minimum merit and seniority

BENEFITS OF PROMOTION
1. Promotion places the employees in a position where an employee’s skills and
knowledge can be better utilized
2. It creates and increase the interest of other employees
3. It increases interest in acquiring higher qualification
4. Promotion improves employee’s morale and job satisfaction
5. Ultimately it improves organizational health

Problems with Promotion

1. Disappointment of candidates
2. Refusal of Promotion
3. Promotion Policy
 4. Every organization has to specify clearly its policy regarding promotion based on its
corporate policies

Characteristics
1. It should be consistent
2. It should be fair and impartial
3. Systematic line of promotion channel should be in corporate
4. It should provide equal opportunity for promotion in all categories of job
5. It should be transparent
6. Appropriate authority should be entrusted with the task of making final decision
7. Favoritism should not be taken as a basis of promotion 

Transfer
The movement of an employee from one job to another. However, transfer is viewed as change
in assignment in which employee move from one job to another.
Transfer is defined as “a lateral shift causing movement of individuals from one position to
another usually with out involving any marked change in duties responsibility skills needed or
compensation”
Purpose
1. To meet the organizational requirements
2. To satisfy employee needs
3. To utilize employee skill knowledge etc
4. To improve employees Knowledge and Skills
5. To correct inter personnel conflicts
6. To adjust the work force of one station or plant in other section or plant during layoff
closure
7. Disciplinary rules.
Types
1. Production transfer
2. Replacement transfer
3. Rotation transfer
4. Shift transfer
5. Remedial transfer
6. Penal transfer

Reasons
1. Employee initiated transfer
2. Company initiated transfer
3. Public initiated transfer

Benefits
1. Transfer benefits both the employees and the organization
 2. Transfer reduces employee’s monotony boredom etc and increase employees job
satisfaction

Problems of transfer

1. Adjustment problems
2. inconvenience and cost
3. loss of man days
4. Reduction in employee contribution
5. Discriminatory transfer affect employee morale, job satisfaction commitment and
contribution

Demotion
Demotion is the reassignment of a lower level job to an employee with delegation of
responsibility and authority required to perform that lower level job

Need for Demotion

1. Unsuitability of the employee to higher level job’s
2. Adverse business condition
3. New technology and new methods of operation
4. Disciplinary grounds

External Mobility
Employees who are not satisfied with their career in the present organization may seek
suitable employment in other organizations.

Types
 Accessions
 Separations
 Voluntary quit or resignations by employees
 Layoff or Lack of Work
 Disciplinary Layoff or Discharge
 Retirement
 Deaths

Absenteeism

Absenteeism is the practice or habit of being an absence and absentee is one who
habitually stays away from the job.
Types
1. Authorised Absenteeism
2. Un-authorised Absenteeism
3. Wilful Absenteeism
4. Absenteeism caused by Circumstances beyond one’s control

Causes
 Maladjustment with the working conditions
 Social and religious ceremonies
 Industrial Fatigue
 Unhealthy Working Conditions
 Poor welfare facilities
 Alcoholism
 Unsound personnel policies
 Inadequate leave facilities

Calculations
Absenteeism Rate =
Number of Mandays lost
Number of Mandays Scheduled to Work
*
100
Minimizing Absenteeism
1. Selection of Employees
2. Humanistic Approach
3. Redressing employee grievance
4. Work conditions
5. Wages and allowances
6. Career counselling
7. Sick leaves
8. Offering attendance bonus
9. Training

Separation
Early retirement policies consist of two features:
1. A package of financial incentives
2. An open window that restricts eligibility to a fairly short period
3. Careful design, implementation, and administration is required
Managing Layoffs

 Generally, an organization will institute a layoff when it cannot reduce its labor costs by any
other means. Managers should first try to reduce labor costs with layoff alternatives.

Alternatives to Layoffs
 
1. Early Retirements
2. Changes in job design.
3. Pay and benefits policies.

Implementing a Layoff
 
1. Notifying employees.
2. Developing layoff criteria.
3. Communicating to laid-off employees.
4. Reassuring survivors of the layoff.
 
Outplacement
 
Outplacement is a human resource program created to help separated employees deal with the
emotional stress of job loss and to provide assistance in finding a new job
 
Outplacement Services
The most common outplacement services provided to separated employees are emotional
support and job-search assistance. These services can help achieve the goals of outplacement.

 Emotional support.
 Job-search assistance.
Career Planning & Development
Edwin B Flippo defined A Career as “a sequence of separate but related work activity that
provides continuity order and meaning in a person’s life:
Doulgas defined career as “an individually perceived sequence of attitude and behaviors
associated with work related experience and activities over the span of the person’s life”
 

Features of career
1. Objectivity with subjectivity
2. Individual judgment
3. Psychological success
4. Position and transition

Career planning is a relatively new personnel function. Established programs on Career planning are still
rare except in larger or more progressive organization. Career planning aims at identifying personal
skills, interest, knowledge and other features; and establishes specific plans to attain specific goals. IV.

AIMS AND OBJECTIVES OF CAREER PLANNING:

1. Career Planning aims at matching individual potential for promotion and individual aspirations
with organizational needs and opportunities.
2. Career Planning is making sure that the organization has the right people with right skills at the
right time.
3. In particular, it indicates what training and development would be necessary for advancing in
the career altering the career path or staying in the current position.
4. Its focus is on future needs and opportunities and removal of stagnation, obsolescence,
dissatisfaction of the employee.

OBJECTIVE OF CAREER PLANNING

 To attract and retain the right type of person in the organization.
 To map out career of employees suitable to their ability and their willingness to be trained and
developed for higher positions.
 To have a more stable workforce by reducing labor turnover and absenteeism.
 To improve employee morale and motivation by matching skills to job requirements and by providing
opportunities for promotion.
 It helps employee in thinking of long term involvement with the organization.
 To provide guidance and encourage employees to fulfill their potentials.
 To achieve higher productivity and organizational development.
 To ensure better use of human resource through more satisfied and productive employees.
 To meet the immediate and future human resource needs of the organization on the timely basis
Career Anchors
1. Technical and functional competence
2. General managerial competence
3. Autonomy/independence
4. Security and stability
5. Entrepreneurial creativity
6. Service or dedication to a cause
7. Pure challenge
8. lifestyle

Based on four building blocks

Self-assessment
Research
Make a fit
Create a plan

CAREER PLANNING & DEVELOPMENT STAGES

Exploration: Almost all candidates who start working after college education start around mid-
twenties. Many a time they are not sure about future prospects but take up a organization, this
stage is of no relevance because it happens prior to the employment.

Guidance from parents and well-wishers: Establishment this career stage being with the
candidate getting the first job getting hold of the rights job is not an easy task. Candidates are
likely to commit mistakes and learn from their mistakes. Slowly and gradually they become
responsible towards the job. ambitious candidates will keep looking for more lucrative and
challenging jobs elsewhere. This may either result in migration to another job or he will remain
with the same job because of lack of opportunity’s candidates will keep looking for more
lucrative and challenging jobs elsewhere. This may either result in migration to another job or
he will remain with the same job because of lack of opportunities candidates will keep looking
for more lucrative and challenging jobs else.

Mid-career stage: This career stage represents fastest and gainful leap for competent
employees who are commonly called “climbers”. There is continuous improvement in
performance. On the hand, employees who are unhappy and frustrated with the job, there is
marked deterioration in their performance. “climbers” must go on improving their own
performance. Employees tend to settle down in their jobs and “job hopping “is not common.

Late-career stage: This career stage is pleasant for the senior employee who like to survive on
the past glory. There is no desire to improve performance and improve past records. Such as
employees enjoy playing the role of elder statesperson. They are expected to train younger
employees and earn respect from them.
 Decline stage: This career stage represents the completion of one’s career usually culminating
in to retirement. After decades of hard work, such employees have ti retire. Employees who
were climber and achievers will find it hard to compromise with the reality. Others may think of
“life after retirement”.

Process of career planning

1. Career Development Actions
2. Job performance
3. Exposure
4. Resignation’s
5. Change the job
6. Career Guidance

1.Identifying individual needs and aspirations: it‟s necessary to identify and communicate the
career goals, aspiration and career anchors of every employee because most individuals may
not have a clear idea about these organization and employee potential areas.

2.Analysing career opportunities: The organizational set up, feature plans and career system of
the employees are analysed to identify the career opportunities available within it. It can also
necessary to analyse career demands in terms of knowledge, skill, experience, aptitude etc.

3.Identifying match and mismatch: A mechanism to identifying congruence between individual

current aspirations and organizational career system is developed to identifying and compare
specific areas of match and mismatch for different categories of employees.

4.Formulating and implementing strategies: Alternative action plans and strategies for dealing
with the match and mismatch are formulated and implemented.

5.Reviewing career plans: A periodic review of the career plans is necessary to know whether
the plan is contributing to effective utilization of human resources by matching employee
objectives to job needs. what changes are likely to take place and what skills are needed to
adapt to the changing needs of the organization

Succession Planning
 Filling important jobs
 Identify
 Develop
 Make the people ready

 Suggestion for Effective Career Development

 Challenging Initial Job Assignment
 Dissemination of Career Option Information
  Job Positioning
 Assessment Centre
 Career Counseling
 Career Development Workshops
 Continuing Education & Training
 Periodic Job Changes

Attrition
A reduction in the number of employees through retirement, resignation or death is called
Attrition. Attrition is also called total turnover or wastage rate.

Reasons
 Higher pay
 Work timings
 Career growth
 Higher education
 Relocation to other places
 Women leave the job after marriage to take up their house-hold duties
 Work pressure
 Work Environment
 Poor performance.
 Losing faith on merger/acquisition
 Verbal abuse

Attrition Rate
The rate of shrinkage in size or number of employees is known as Attrition rate. It is usually
expressed in percentage.

calculating Attrition Rate

• Total Number of Resigns per month (Whether voluntary or forced) X 100
-----------------------------------------------------------------------------------------
(Total Number of employees at the beginning of the month + total number of new joiner’s
- total number of resignations)

Retention Strategies
1. Redesign their reward and recognition packages
2. Exit Interview
3. Job Security
4. Upward Communication
5. Inform Employees on Future Plans
6. Better Working Condition
7. Appreciation and Rewards
8. Reduce Monotony and stress at Work