training needs analysis, skills auditing and training roi presentation 31 august 2015
TRANSCRIPT
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TRAINING NEEDS ANALYSIS, SKILLS AUDITING AND TRAINING ROI
CHARLES COTTER
THORNBIRDS CONFERENCE CENTRE, EIKENHOF
31 AUGUST 2015
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TRAINING PROGRAMME OVERVIEW
• Training Process/Cycle
• Training Needs Analysis (TNA)
• Skills Auditing
• WSP and ATR
• Training Return-on-Investment (ROI)
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INTRODUCTORY LEARNING ACTIVITY
• Individual activity:
• Complete the statement by inserting one (1) word only. In order to conduct an effective training needs analysis, I need to/to be .…………………………………..
• Now find other learners with the same word as you.
• Jot these words down on the flip-chart.
• Each learner will have the opportunity to elaborate on their chosen word.
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STRATEGIC TRAINING AND DEVELOPMENT PROCESS
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A-D-D-I-E PROCESS
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ANALYSIS• Required Thinking – Laboratory Scientist
• Accurate sourcing of training needs by means of properly performed and scientifically reliable and valid skills audits
• Accurate sourcing of performance gaps by means of a vibrant performance management system/process
• “Training is not the Alpha and Omega and the cure for all organizational ills.”
• (Vertical) Alignment with Strategic Business Plan and Strategic Workforce Plan and horizontal integration (bundling) with other key HRM functions/processes
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GENERIC TRAINING AND DEVELOPMENT PROCESS/CYCLE
• Step 1: Identify the overall business needs
• Step 2: Identify the success criteria • Step 3: Establish individual training needs • Step 4: Design and develop a learning solution • Step 5: Review the learning solution • Step 6: Production of learning and instructional materials • Step 7: Implement the learning solution (delivery of training) • Step 8: Evaluate and Review the impact of training
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PERFORMING A TRAINING NEEDS ANALYSIS (TNA)
• The objectives and benefits of a training needs analysis
• Levels of training needs
• SDF responsibility in TNA
• The TNA process
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OBJECTIVES AND BENEFITS OF TNA• Provide necessary information on participants
• Identify employee difficulties and performance problems
• Identify important topic areas
• Provide documentation and materials for training
• Provide information on attitudes to training
• Increase employee involvement
• Help establish contact with subject specialists
• Help estimate the cost of training
• Save time, money and resources
• Help tailor the service more accurately
• Provide a means of measuring training effectiveness
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LEVELS OF TNA• Organizational Needs
Identify key problem areas that affect performance on an organization-wide basis.
• Job or Occupational Needs
The knowledge, skills, information, equipment, materials etc. needed to perform to standard in the job and the steps in performing the job
• Individual Needs
This level ensures that individuals who need training are the ones who actually get it and that the training introduced bridges the gap between actual, current and desired, future performance.
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SDF RESPONSIBILITY IN TNA
• The role of the SDF is to offer expert advice to management about what training can and cannot achieve
• To facilitate the needs assessment process so that it is a participative, transparent and in-house consulting role.
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6-STEP TNA PROCESS• Step One: Situational and problem analysis
• Step Two: Envisioning the desired end state
• Step Three: Identifying the TNA methods
• Step Four: Data collection
• Step 5: Reaching, sharing and presenting TNA findings
• Step 6: Compile an Implementation Plan of Action
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STEP ONE: SITUATIONAL AND PROBLEM ANALYSIS
• Focuses on getting a clear and realistic understanding of the situation or problem that we think training may address and on defining the starting point for the TNA.
• Fundamental questions to ask?
• A situational analysis is conducted to assess the unique requirements of a situation when there is a perception that everything is not as it should be.
• Indicators (of a problem)?
• Three types of problems:
Managerial System Job performance
• Preferred environmental scanning tools: PESTEL and SWOT Analyses
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ENVIRONMENTAL SCANNING TOOLS
SWOT Analysis PESTEL Analysis
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STEP TWO: ENVISIONING THE DESIRED END STATE
• Encourages you to ’draw a picture" of what the future will look like once the training needs have been addressed. A vision is a mental picture of a possible future state. Focus on:
What would success look like? Where do we want to be? Do we have the whole picture?
• Step 2 represents the information that allows you to do a kind of gap analysis - between the present and the future. It becomes possible to work out how to get from now to then. Additional useful questions to ask are:
What are the challenges to getting the desired results? Who else do we need to involve or convince to get the desired results?
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LEARNING ACTIVITY 1
• Group Discussion:
• By referring to the TNA process, apply steps 1-2 to a defined organizational context.
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STEP THREE: IDENTIFYING THE TNA METHODS
• Who to ask?
Who knows the most? Who wants to be involved? Who would have a different perspective, who might derail the process if they are not involved? Who can provide objective information?
• What to ask?
How do you see the situation? What do you think needs to be done? What training is needed? Is there anyone else we should talk to?
• What data collection method/s to use?
Job analysis Performance appraisal Skills Auditing
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METHODS OF DATA COLLECTION
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STEP FOUR: DATA COLLECTION
• This step focuses on collecting, interpreting or processing the information so that you can work out what it is really telling you.
• You need to:
Identify the issuesPrioritise the issuesPrepare the information to share with others
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LEARNING ACTIVITY 2
• Group Discussion:
• By referring to the TNA process, apply steps 3-4 to a defined organizational context.
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STEP 5: REACHING, SHARING AND PRESENTING TNA FINDINGS
• Your results must be shared in a way that will help you to move forward.
• Decide:
What you want to shareHow you want to share it
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STEP 6: COMPILE AN IMPLEMENTATION PLAN OF ACTION
• Now you must draw up a plan of action.
• The objective is to ensure that everything you have done up to now does not go to waste.
• Incorporation of findings into Workplace Skills Plan (WSP).
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LEARNING ACTIVITY 3
• Group Discussion:
• By referring to the TNA process, apply steps 5-6 to a defined organizational context.
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DEFINITION, PURPOSE AND OUTCOME OF SKILLS AUDITING
• A skills audit is a snapshot that allows an organization to determine the level of skills and knowledge of the workforce.
• It is compared against the competencies that are required in order to determine the gaps and to focus training and development accordingly.
• Skills audits are conducted to determine training needs within an organization in order for that organization to improve its skills and knowledge.
• A skills audit establishes an individual’s current competence against the skills matrix for a particular position.
• A skills audit gathers more information than current qualifications levels.
• The outcome of the skills audit process is a skills gap analysis.
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BEST PRACTICE CRITERIA: SKILLS AUDITING
• #1: A job analysis must be used as a basis for the skills audit
• #2: Definitive performance standards must be developed, written, and provided to all stakeholders, regardless of the type of rating
• #3: Raters are trained to use the rating instrument properly
• #4: Formal appeal mechanisms must be in place and assessment results need to be reviewed to ensure fairness and reliability
• #5: Ratings are supported with documented examples of behaviour
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BEST PRACTICE CRITERIA: SKILLS AUDITING
• #6: Employees are given a chance to improve their skills through development opportunities
• #7: Special provision must be made to accommodate illiterate staff member
• #8: Transparency and providing feedback to all participants on the outcome of the skills
• #9: The Principles of Skills Audits:
Fairness Validity Reliability Transparency/ Openness Constructive feedback
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LEARNING ACTIVITY 4
• Individual activity:
• Review and evaluate your organization’s current skills audit process against the nine (9) best practice criteria.
• Identify gaps and recommend improvement strategies to address these process gaps.
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FUNDAMENTALS OF SKILLS AUDITING
• Costs and Benefits of Skills Audits
• Understanding the concept, “competence”
“Applied Competence is the union of practical, foundational and reflexive competence”
• Types of evidence
• Techniques and Approaches for Conducting a Skills Audit
Panel approach Consultant approach One-on-one approach Alternative approaches
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SKILLS AUDIT RATING SCALERating Description Definition
0 No evidence of competence An individual does not currently display any form or level of competence in the skill listed. He or she may require formal training and exposure to the skill in the workplace.
0.25 Some evidence of competence The individual may demonstrate part competence, but definitely needs formal training and exposure to the skill in the workplace.
0.5 Evidence of competence, needs further training
An individual is competent, but needs to improve. Training is the most effective solution. The individual may be at a lower level than the position requires, i.e. at linear, instead of complex level.
0.75 Evidence of competence, needs more exposure to the skill
The individual is competent and has undergone training. Further exposure in the workplace would ensure improvement and full competence. The individual may be at a lower level than the position requires, i.e. at linear, instead of intermediate level.
1 Full evidence of competence The individual is competent in the skills at the level allocated to his/ her position.
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SKILLS AUDITING PROCESS
• Step 1: Determine Skills Requirements
• Step 2: Audit actual skills
• Step 3: Determine development needs and plan for training/restructuring
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STEP 1: DETERMINE SKILLS REQUIREMENTS
• In order to determine skills requirements, an organization should identify current and future skills requirements per job.
• The end result is a skills matrix with related competency definitions. Definitions can be allocated against various proficiency levels per job, such as basic, intermediate and complex.
• Objective: Determine the critical or required skills (elicited from job profiles, your strategy, or competency matrix).
• Skills matrix process:
Step 1: Workshop with a project team (include Subject Matter Experts) Step 2: Use outcomes analysis to derive skills/knowledge factors and unit standard titles Step 3: Use results of outcomes analysis and value chain process to develop a skills matrix
and titles matrix Step 4: Verify matrices with SMEs and finalise
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SAMPLE OF SKILLS MATRIX
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SAMPLE OF SKILLS MATRIX
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STEP 2: AUDIT ACTUAL SKILLS
• Step 2 involves an individual self-audit and skills audit.
• Results are collated into reporting documents that may include statistical graphs, qualitative reports and recommendations.
• A skills audit includes auditing qualifications, experience and training (knowledge).
• Conducting a Skills Gap Analysis
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STEP 3: DETERMINE DEVELOPMENT NEEDS AND PLAN FOR TRAINING/RESTRUCTURING
• Once skills audit information has been collected, an analysis of the results may be used for planning purposes relating to training and development and other Human Resource interventions.
• Recommendations are then discussed and agreed actions are implemented.
• This skill shortfall forms the basis of a Training Needs Analysis (TNA) so that the company can reach the desired skill base amongst its employees.
• A gap analysis is the outcome of the skills audit process.
• Information that is provided through the skills audit can be used for the multiple HRM and business purposes.
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REPORTING SKILLS AUDIT RESULTS• The reporting framework is generated according to the purpose you want to use the skills
data for.
• These reports are vital as they may be used to inform organizational training and development strategy, Workplace Skills Plans, individual development plans and performance management interventions etc.
• These reports must be stored in a manner that respects the confidentiality of individual employees.
• It is therefore important to agree on and communicate who has access to skills audit results, and how these people may use the results upfront.
• Skills audit reports may take on a number of forms:
Individual competency profiles Divisional radar report Organizational pie chart
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INFORMATION EXTRACTION FROM REPORTS
Individual name & employee number
0%
20%
40%
60%
80%
100%
120%
Department name - Divisional Radar Report
0
20
40
60
80
100Communication Skills (B)
Interpersonal Skills (B/E)
Administration skills (D)
Planning Skills (D)
Management Skills (G)
Marketing (B/C)
Loans Processing (A/B/C/D)
Computer skills (D)
Company nameORGANISATIONAL
STRATEGIC COMPETENCY PROFILE
66%
73%
75%69%
75%
71%69%
A. Strategic competency listing B. C. D. E. F. G.
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LEARNING ACTIVITY 5
• Group Discussion:
• Apply steps 1-3 of the skills audit process, to a defined organizational context.
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WORKPLACE SKILLS PLAN (WSP)
• The purpose of a WSP
• Objectives and scope of a WSP
• The value and importance of a WSP
• Alignment with the Business and HRM strategy
• Compiling a WSP
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COMPILING A WSP
• Step 1: Develop an occupation classification matrix
• Step 2: Populate the occupation classification matrix
• Step 3: Establish the company’s skills development priorities
• Step 4: Define the education and training required for achieving the strategic skills development priorities
• Step 5: Define the number and characteristics of training beneficiaries that will be trained in the Levy-Grant Year
• Step 6: Define the quality assurance measures for each of the planned education and training activities
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STEP 3: ESTABLISH THE COMPANY’S SKILLS DEVELOPMENT PRIORITIES
• Know-how
• Up-skilling
• Re-skilling
• Multi-skilling
• Refresher training
• Initial training
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LEARNING ACTIVITY 6
• Group Discussion:
• By referring to the process of compiling a WSP, describe the efficiency and effectiveness of this process in a defined organizational context.
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ANNUAL TRAINING REPORT (ATR)• Defining an Annual Training Report (ATR)
Basically this report consists of all attendance registers, proof of expenditure, training provider used in this report the SETA can establish whether training was done or is in the process of being done.
• Submission requirements
This report reflects the education, training and development activities of the organisation that were implemented.
The annual training report does exactly what it says; it basically tells the SETA what training has taken place in the organisation in the previous 12 months, and which employees received training.
It also contains information to the type, cost and delivery method of the training it goes further to assess whether the training that the employees received is in line with the planned training for the organisation, industry and critical skills identified by the SETA.
The ATR allows employers to monitor the achievement of the skills priorities and skills development objectives that were outlined in the WSP.
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LEARNING ACTIVITY 7
• Group Discussion:
• By referring to the process of compiling an ATR, describe the efficiency and effectiveness of this process in a defined organizational context.
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DEFINING TRAINING ROI FORMULA
ROI is a key financial metric of the value of training investments and costs. It is a ratio of net benefits to costs, expressed as a percentage.
The formula can be expressed as:[(monetary benefits – cost of the training) / cost of the training] x 100
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LEARNING ACTIVITY 8
• Individual activity:
• Complete the Training ROI Scorecard, 16-point checklist.
• Identify gaps and recommend improvement strategies.
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ILLUSTRATION: TRAINING ROI PROCESS
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4-PHASE, TRAINING ROI PROCESS
• The calculation of training ROI should be approached in an iterative, 4-phase approach:
Phase 1: Preparatory
Phase 2: Initiation
Phase 3: Analysis
Phase 4: Consolidatory
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TRAINING EVALUATION – KIRKPATRICK (4-LEVELS) AND PHILLIPS (5-LEVELS)
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LEVELS OF LEARNING EVALUATION
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METRICS AND HRD
• Measures of training activity (concerning how much training and development occurred with the focus on formalised, structured learning)
• Measures of training results (concerning how well training and development achieved its goals)
• Measures of training efficiency (concerning the extent to which training and development maximises resources in pursuit of its mission)
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TRAINING ROI REPORT• Executive Summary
• Introduction and Contextualization
• Analysis and Results
• Recommendations and Training Improvement Plan
• Conclusion
• Reference to Attachments
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LEARNING ACTIVITY 9
• Group Discussion:
• By referring to the 4-step ROI process, describe how the measurement of the impact of training can be measured at your organization.
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CONCLUSION
• Key points
• Summary
• Questions
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CONTACT DETAILS
• Charles Cotter
• (+27) 84 562 9446
• Twitter: Charles_Cotter
• http://www.slideshare.net/CharlesCotter