CHAPTER-I

INTRODUCTION

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 INTRODUCTION
Human Resources Development (HRD) is a vital discipline within organizations,
playing a crucial role in fostering the growth and advancement of both employees and the
organization as a whole. In the modern business landscape, characterized by rapid
technological change, globalization, and evolving workforce expectations, HRD has
become more than just a function of training and development; it is a strategic
imperative.

At its core, HRD involves a range of practices aimed at enhancing the capabilities of the
workforce through continuous learning and development. These practices include
training programs, leadership development, mentoring, performance management, and
succession planning. The goal is to empower employees with the skills and knowledge
they need to perform their current jobs effectively and to prepare them for future roles
within the organization.

The importance of HRD extends beyond individual development. It is a key driver of

organizational resilience and adaptability. As businesses face unprecedented challenges
and opportunities, a well-developed workforce is essential for sustaining competitive
advantage. By investing in HRD, organizations can ensure they have the talent needed to
innovate, meet customer demands, and navigate the complexities of the global
marketplace.

Moreover, HRD contributes significantly to employee satisfaction and engagement.

When employees see that their organization is committed to their growth and
development, they are more likely to feel valued, stay motivated, and remain loyal to the
company. This, in turn, reduces turnover rates and helps build a strong organizational
culture that supports collaboration and continuous improvement.

In addition, HRD is increasingly linked to the broader societal impact of organizations.

As companies recognize their role in contributing to social and economic development,
HRD initiatives are being designed not only to benefit the organization but also to

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enhance the employability and life skills of individuals, thereby contributing to
community development and economic growth.

In summary, HRD is a multifaceted function that serves as a cornerstone for building a

capable, adaptable, and motivated workforce. It is essential for ensuring that employees
are equipped to meet both present and future challenges, ultimately driving the success
and sustainability of the organization in a dynamic and ever-changing world.

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NEED OF THE STUDY:
It involves the study of performance standards of the employees of Dr. Reddy’s
Laboratories Ltd. The Human Resources Development (HRD) is essential due to the
rapidly evolving dynamics of the modern workforce and the increasing demand for
organizations to stay competitive in a global market. Technological advancements,
diverse employee needs, and changing economic conditions necessitate continuous
upskilling and reskilling. Additionally, aligning HRD with organizational goals enhances
employee engagement, retention, and overall performance. This study will identify gaps
in current HRD practices, ensuring that development initiatives are effective, aligned
with business objectives, and capable of fostering a skilled and adaptable workforce.

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SCOPE OF THE STUDY
The study will investigate how organizations design and implement training
programs to enhance employee skills and knowledge. It will explore strategies for
identifying, developing, and retaining talent, as well as methods for evaluating and
improving employee performance. The research will examine programs that support
employee career progression and factors influencing motivation, satisfaction, and
commitment.

The study will also analyze how HRD contributes to aligning employee
capabilities with organizational goals and fostering a diverse and inclusive workplace. It
will evaluate the role of digital tools in HRD processes and address challenges and
strategies related to HRD in multinational organizations. Finally, the study will ensure
that HRD practices adhere to relevant legal and ethical standards.

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OBJECTIVES OF THE STUDY
 To study the Human resource development practices in Dr. Reddy’s Laboratories
Ltd.
 To assess the design and effectiveness of training programs in enhancing
employee skills and knowledge.
 To explore strategies for identifying, developing, and retaining top talent within
organizations.
 To determine the gaps in the existing system.
 To determine what type of Developments do the employees really looking for.
 To offer suggestions in case of any deviations.

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 RESEARCH METHODOLOGY
RESEARCH DESIGN
Research design aids the researcher in the allocation of limited resources by posing
crucial choices in methodology.
Research design is the plan and structure of investigation so conceived as to
obtain answers to research questions. The plan is the over all scheme or program of the
research. It includes an outline of what the investigator will do from writing hypothesis
and their operational implications to the final analysis of data.

DESCRIPTIVE RESEARCH DESIGN

The design for this study is descriptive research design. The design was chosen as
is describes accurately the characteristics of particular system as well as the views held
by the individuals about the system. The views and opinions of employees about the
system help to study the suitability of the system as well as the constraints that might
restrict its effectiveness.

SAMPLING TECHNIQUES
The sampling technique adopted for the purpose of the study is convenience
sampling. As the name implies a convenience sample means selecting particular units of
the universe (middle level employees) constitute a sample.
SAMPLE SIZE
The sample size of the study is 40.this sample is considered as representative

DATA COLLECTION
PRIMARY SOURCE:
The primary source of data is through Questionnaire..
SECONDARY SOURCE:

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 The secondary source of information is based on the various details retrived from
journals, websites and magazines

TOOLS OF THE STUDY

Tool used for data collection:
The tool used for collecting the data is through Questionnaire. The main reason for
selecting the questionnaire method for the study is;
 Respondents have adequate time to give well thought out answers.
 The time of the study was also a limiting factor.

STATISTICAL TOOLS USED

Statistical tools like tabulation, graphical representation, percentage analysis and chi-
square are used in the compilation and computation of the data
CHI-SQUARE TEST :
The Chi-Square test is one of the simplest and most widely used non-parametric
test in statistical work. It is practically useful in tests involving nominal data. It can be
used for higher scales. It makes no assumptions about the population being sampled. If
Chi-Square is zero it means that the observed and the expected frequencies completely
coincide, while the greater the value of Chi-Square is , the greater would be the
discrepancy between observed and the expected frequencies.
The formula for computing Chi-Square is
CHI-SQUARE = (O-E) 2 / E
Where O = Observed Frequency, E = Expected Frequency
The calculated value of chi-square is compared with the table value of chi-square
for given degrees of freedom of specified level of significance. If the calculated value of
chi-square is greater than the table value the difference between the theory and the
observed is considered to be significant, i.e., it could not have risen due to fluctuations of
simple sampling. On the other hand if the calculated value is less than the table value, the
difference between the theory and observation is not considered significant, i.e., it could
have risen due to fluctuations of sampling.

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 The number of degrees of freedom is described as the number of observations
that are free to vary after certain restrictions have been imposed on the data. For a
uniform distribution, we place one restriction on the expected distribution - the total of
sample observations.
PERCENTAGE ANALYSIS:
Percentage refers to a special kind of ratio. Percentage is used in making comparison
about two or more series of data. Percentage as also used to describe relationship. It is
also used to compare the relative terms of two or more series of data.
Formula: Number of respondents × 100
Total no. of respondent

AREA OF THE STUDY

To study the Human Resource Development System in Dr. Reddy’s Laboratories Ltd

CLOSED-ENDED QUESTIONS
Such questions are also called fixed alternative questions. This method is also facilitators
the respondent to answer in some other way on other alternative is provided as a choice.

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LIMITATIONS OF THE STUDY
1. Time and resource were the major constraints during the execution of the project.
Therefore only a limited number of employees were included in the project.
2. The respondents were selected at the middle level employees in the organization
only. So it cannot be generalized as a whole.
3. Some of the respondents were not even ready to spare time with the researcher.
4. There were some respondents who hesitated to answer the questionnaire.
5. The human behavior is dynamic and hence the results may not hold good for a long
time.
6. The results of the survey are totally dependent on the accuracy and Authenticity of
the information provided by the respondents

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 CHAPTER-II
INDUSTRY AND COMPANY
PROFILE

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 INDUSTRY PROFILE
INTRODUCTION TO THE INDUSTRY
The pharmaceutical industry develops, produces, and markets drugs licensed for use as
medications. Pharmaceutical companies are allowed to deal in generic and/or brand
medications and medical devices. They are subject to a variety of laws and regulations
regarding the patenting, testing and ensuring safety and efficacy and marketing of drugs.

“The Indian pharmaceutical industry is a success story providing employment for

millions and ensuring that essential drugs at affordable prices are available to the vast
population of this sub-continent.”
-Richard Gerster

The Indian Pharmaceutical Industry today is in the front rank of India’s science-based
industries with wide ranging capabilities in the complex field of drug manufacture and
technology. It ranks very high in the third world, in terms of technology, quality and
range of medicines manufactured. From simple headache pills to sophisticated antibiotics
and complex cardiac compounds, almost every type of medicine is now made
indigenously.

Playing a key role in promoting and sustaining development in the vital field of
medicines, Indian Pharma Industry boasts of quality producers and many units approved
by regulatory authorities in USA and UK. International companies associated with this
sector have stimulated, assisted and spearheaded this dynamic development in the past 53
years and helped to put India on the pharmaceutical map of the world.

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History
The earliest drugstores date back to the Middle Ages. The first known drugstore was
opened by Arabian pharmacists in Baghdad in 754, and many more soon began operating
throughout the medieval Islamic world and eventually medieval Europe. By the 19th
century, many of the drugstores in Europe and North America had eventually developed
into larger pharmaceutical companies.

Most of today's major pharmaceutical companies were founded in the late 19th and early
20th centuries. Key discoveries of the 1920s and 1930s, such as insulin and penicillin,
became mass-manufactured and distributed. Switzerland, Germany and Italy had
particularly strong industries, with the UK, US, Belgium and the Netherlands following
suit.

Legislation was enacted to test and approve drugs and to require appropriate labeling.
Prescription and non-prescription drugs became legally distinguished from one another as
the pharmaceutical industry matured. The industry got underway in earnest from the
1950s, due to the development of systematic scientific approaches, understanding of
human biology (including DNA) and sophisticated manufacturing techniques.

Numerous new drugs were developed during the 1950s and mass-produced and marketed
through the 1960s. These included the first oral contraceptive, "The Pill", Cortisone,
blood-pressure drugs and other heart medications. MAO Inhibitors, chlorpromazine
(Thorazine), Haldol (Haloperidol) and the tranquilizers ushered in the age of psychiatric
medication. Valium (diazepam), discovered in 1960, was marketed from 1963 and
rapidly became the most prescribed drug in history, prior to controversy over dependency
and habituation.

Attempts were made to increase regulation and to limit financial links between
companies and prescribing physicians, including by the relatively new U.S. Food and
Drug Administration (FDA). Such calls increased in the 1960s after the thalidomide

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tragedy came to light, in which the use of a new tranquilizer in pregnant women caused
severe birth defects. In 1964, the World Medical Association issued its Declaration of
Helsinki, which set standards for clinical research and demanded that subjects give their
informed consent before enrolling in an experiment. Pharmaceutical companies became
required to prove efficacy in clinical trials before marketing drugs.

Cancer drugs were a feature of the 1970s. From 1978, India took over as the primary
center of pharmaceutical production without patent protection.

The industry remained relatively small scale until the 1970s when it began to expand at a
greater rate. 2007 Legislation allowing for strong patents, to cover both the process of
manufacture and the specific products, came in to force in most countries. By the mid-
1980s, small biotechnology firms were struggling for survival, which led to the formation
of mutually beneficial partnerships with large pharmaceutical companies and a host of
corporate buyouts of the smaller firms. Pharmaceutical manufacturing became
concentrated, with a few large companies holding a dominant position throughout the
world and with a few companies producing medicines within each country.

The pharmaceutical industry entered the 1980s pressured by economics and a host of new
regulations, both safety and environmental, but also transformed by new DNA
chemistries and new technologies for analysis and computation. Drugs for heart disease
and for AIDS were a feature of the 1980s, involving challenges to regulatory bodies and a
faster approval process.
Managed care and Health maintenance organizations (HMOs) spread during the 1980s as
part of an effort to contain rising medical costs, and the development of preventative and
maintenance medications became more important. A new business atmosphere became
institutionalized in the 1990s, characterized by mergers and takeovers, and by a dramatic
increase in the use of contract research organizations for clinical development and even
for basic R&D. The pharmaceutical industry confronted a new business climate and new
regulations, born in part from dealing with world market forces and protests by activists
in developing countries. Animal Rights activism was also a challenge.

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Marketing changed dramatically in the 1990s, partly because of a new consumerism. The
Internet made possible the direct purchase of medicines by drug consumers and of raw
materials by drug producers, transforming the nature of business. In the US, Direct-to-
consumer advertising proliferated on radio and TV because of new FDA regulations in
1997 that liberalized requirements for the presentation of risks. The new antidepressants,
the SSRIs, notably Fluoxetine (Prozac), rapidly became bestsellers and marketed for
additional disorders.

Drug development progressed from a hit-and-miss approach to rational drug discovery in

both laboratory design and natural-product surveys. Demand for nutritional supplements
and so-called alternative medicines created new opportunities and increased competition
in the industry. Controversies emerged around adverse effects, notably regarding Vioxx
in the US, and marketing tactics. Pharmaceutical companies became increasingly accused
of disease mongering or over-medicalizing personal or social problems.

Growth Scenario in 2010

India's pharmaceutical industry is now the third largest in the world in terms of volume.
Its rank is 14th in terms of value. Between September 2008 and September 2009, the total
turnover of India's pharmaceuticals industry was US$ 21.04 billion. The domestic market
was worth US$ 12.26 billion. This was reported by the Department of Pharmaceuticals,
Ministry of Chemicals and Fertilizers. As per a report by IMS Health India, the Indian
pharmaceutical market reached US$ 10.04 billion in size in July 2010. A highly
organized sector, the Indian Pharma Industry is estimated to be worth $ 4.5 billion,
growing at about 8 to 9 percent annually. Know more out this in our article on Indian
Pharmaceutical Industry- Future Trends Also check out Pharmaceutical Market Trends
2010

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Current trends in pharmaceutical industry
Pharmaceutical Industry Trends- Global Scenario
If present industry overview is taken into consideration then the global pharmaceutical
market in 2010 is projected to grow 4 - 6% exceeding $825 billion. The global
pharmaceutical market sales is expected to grow at a 4 - 7% compound annual growth
rate (CAGR) through 2013. This industry growth is driven by stronger near-term growth
in the US market and is based on the global macroeconomy, the changing combination of
innovative and mature products apart from the rising influence of healthcare access and
funding on market demand. Global pharmaceutical market value is expected to expand to
$975+ billion by 2013. Different regions of the world will influence the pharmaceutical
industry trends in different ways.

Asia Pacific Pharmaceutical Market

The pharma market world over will experience significant shifts. Asia-Pacific region will
emerge as the fastest growing pharmaceutical market over the recent past. The reason for
this positive shift can be attributed to the low costs and favorable regulatory environment.
This region has experienced important developments regarding contract manufacturing,
especially in generics and APIs. An increased R&D activity in the region has helped
Asia-Pacific pharmaceutical industry to achieve an estimated market size of around US$
187 Billion in 2009. Here, the pharmaceutical industry is expected to grow at a CAGR of
around 12.6% during 2010-2012. It can, in fact, become the global API production hub in
next few years.

Pharmaceutical sales are growing at a fast rate in India, China, Malaysia, South Korea
and Indonesia due to the rising disposable income, several health insurance schemes (that
ensures the sales of branded drugs), and intense competition among top pharmaceutical
companies in the region (that has boosted the availability of low cost drugs). China’s
pharmaceutical market will continue to grow at a 20+ % annually, and will contribute
21% of overall global growth through 2013. India - 3rd Largest Producer of

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Pharmaceuticals Across the World- is already a US$ 8.2 Billion pharmaceutical market.
The Indian pharmaceutical industry is further expected to grow by 10% in the year 2010.

Middle East Pharmaceutical Market

The Middle East combined with the African Pharmaceutical market is projected to grow
at a CAGR of around 11% during 2010-2012. The development of infrastructure and
rapidly changing regulations in this region are being seen as the cause of its growth. Also
there is a high prevalence of diseases and huge population base that increases the overall
pharmaceutical sales in this part of the world. Presently South Africa, Saudi Arabia and
Israel dominate the region's pharmaceutical industry due to their better infrastructure and
regulatory environment. However, The Middle East pharma market depends on imported
pharmaceutical drugs and therapeutics. The governments of countries in this region are
taking measures to raise their domestic production through heavy investments in the
pharmaceutical industry. How far they are successful in the attempt of becoming
considerable pharma production center remains to be seen.

Pharmaceutical Drugs Trends

Anti-Diabetic Drugs and those for cardiovascular diseases are expected to see the fastest
growth in 2011. Cardiovascular patients will increase to 251 million in 2010, with the
greatest rate of growth forecast for the US market. This is due to the changes in
demographics and lifestyle that will boost the cardiovascular sales. However, the growth
rates will be limited by continued patent expiries for major products and due to the lack
of of novel therapies. The anti-hypertensives drugs will dominate the global
cardiovascular market with a market share of nearly 50%.

Statistics in industry
 Growth Indicators
 Number of Units
 Investment
 Production - Pharmaceutical Bulk Drugs
 Production - Pharmaceutical Formulations Exports

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  Exports
 Imports - composition

Key Statistics of Indian Pharmaceutical Market

 Annual Turnover Rs. 226 b Growth rate 5.2% Exports Rs. 141 b
 Future projections Rs. 1200 b
 Share of World Pharma market 1.0% in value 8% in volume terms
 Global ranking 13th in value terms 4th in volume terms
 Number of Generic Brands over 60,000 in 60 therapeutic categories
 Number of units - 10,000 out of which approximately 300 in organized sector
 OTC market Rs. 35 b growth 18-20%
 Alternative medicine - Herbal / Ayurvedic market Rs. 38 b
 Per capita drug expenditure Rs. 220 per annum

Future Prospects
The Indian pharmaceuticals market is expected to reach US$ 55 billion in 2020
from US$ 12.6 billion in 2009. This was stated in a report title "India Pharma 2020:
Propelling access and acceptance, realising true potential" by McKinsey & Company. In
the same report, it was also mentioned that in an aggressive growth scenario, the pharma
market has the further potential to reach US$ 70 billion by 2020
Due to increase in the population of high income group, there is every likelihood
that they will open a potential US$ 8 billion market for multinational companies selling
costly drugs by 2015. This was estimated in a report by Ernst & Young. The domestic
pharma market is estimated to touch US$ 20 billion by 2015. The healthcare market in
India to reach US$ 31.59 billion by 2020. The sale of all types of pharmaceutical drugs
and medicines in the country stands at US$ 9.61 billion, which is expected to reach
around US$ 19.22 billion by 2012. Thus India would really become a lucrative
destination for clinical trials for global giants.

There was another report by RNCOS titled "Booming Pharma Sector in India" in which it
was projectedt that the pharmaceutical formulations industry is expected to prosper in the

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same manner as the pharmaceutical industry. The domestic formulations market will
grow at an annual rate of around 17% in 2010-11, owing to increasing middle class
population and rapid urbanisation. Read More in Future Prospects of Indian Pharma
Industry.

Patent Rights
As per WTO, from the year 2005, India has granted product patent recognition to all new
chemical entities (NCEs) i.e., bulk drugs developed then onwards. The Indian
Government's decision to allow 100 percent foreign direct investment into the drugs and
pharmaceutical industry is expected to aid the growth of contract research in the country.
There has also been significant technology transfer to 100% Indian subsidiaries of MNCs
since 2005.

Indian pharmaceutical interests in making a mark on the global scene got an upsurge
when Dr. Reddy's licensed two of its anti-diabetic molecules to Novo Nordisk and when
Ranbaxy licensed its Novel Drug Delivery System (NDDS) of ciprofloxacin to Bayer.
MNCs in India faced the problem of having a very high drugs price control order
(DPCO) coverage, weakening their bottom lines as well as hindering their growth
through the launch of new products. DPCO coverage is expected to be diluted further in
the near future benefiting the MNCs. New legislation is also expected in the OTC
segment increasing the number of brands in the Over the Counter (OTC) segment.

Where is the global pharmaceutical industry today?

Medical progress: Undeniably, research-based pharmaceutical companies have made
enormous progress in the treatment of many illnesses, including infectious diseases,
childhood diseases, some types of cancer, cardiovascular disease, diabetes and hepatitis.
Looking back over the past century, it is clear that medical science has made breathtaking
advances. This is shown, for instance, by the fact that life expectancy has risen
enormously. Around 80 years, compared with 55 in the late nineteenth/early twentieth
century when Roche was established. Even so, it is still not possible to treat the causes of
most diseases.

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Cost of research and development: However, remaining at the cutting edge of
technology in the face of such rapid advancement is becoming increasingly expensive.
Despite the enormous progress that has been made, developing a new drug is still a bit
like looking for a needle in a haystack, only one in 10,000 substances screened eventually
becomes a fully fledged product that can be used to treat patients. And as I have said, it
takes 10 to 15 years to achieve that. That costs an average of about CHF 1 billion for
each drug brought onto the market (including opportunity costs and the cost of failures).
Over the past 20 years the cost of developing new drugs has increased by a factor of
eight. Last year Roche invested more than CHF 5 billion in research and development
and spending will be a good deal higher this year.

Despite the high sums involved, there is still no guarantee of success, let alone a
guarantee that prices or volume sales will be acceptable. The cost and complexity of
research have increased substantially. At the same time, political pressure on prices has
risen and that has evidently increased the attendant business risks.
Those are the main reasons for the progressive consolidation of our industry. Fifteen
years ago, the ten largest companies commanded 25% of the global market; today their
market share is over 50%.

Geographical shift: Another fact is that in recent years the pharmaceutical industry’s
“centre of gravity” has shifted from its traditional home market of Europe to America.
While European companies used to dominate the “champion’s league” — comprising the
top ten pharmaceutical companies — the top players today are US companies. Even so,
Switzerland can boast two players in this league. Twenty years ago, the European and
American pharmaceutical markets were roughly equal in size.

Today the US market is twice the size of the European market and far more profitable (if
price levels in the United States were the same as in Europe, it would be impossible to
maintain funding of industrial research and development at the present level). This
ongoing trend has serious implications for research and innovation. For some time now,

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European companies have been channelling more than half of their research spending to
North America, whereas twenty years ago Europe accounted for two thirds of global
pharmaceutical research. The United States has a clear edge both in terms of “output”, in
other words, the number of new active ingredients for pharmaceuticals, and in terms of
“input”, that is, R&D spending (USD 20 billion are spent on drug development in the
United States every year).

The shift away from Europe is one outcome of years of misguided and short-sighted
policies in Europe. For pharmaceutical companies, globalisation not only means an
increasingly tough race to innovate; the United States, Europe and Switzerland are also
competing fiercely for jobs and investment. And it will not be long before Asian
countries like China, India and Singapore narrow the gap to the global elite in the field of
research. New knowledge is sourced where it is available and cost-effective, and where
the general framework is right. As a consequence, at the end of last year Roche became
the first pharmaceutical company to open a research centre in Shanghai.

This is a challenge to Roche’s established research facilities, including those in

Switzerland, to maintain the dynamism of their research work and ensure they remain
internationally competitive. Over the past 15 years, the EU has lost ground (to the US) as
a centre for the pharmaceutical industry. Fortunately, this “European” trend seems to
have by-passed Switzerland — indeed the importance of pharmaceuticals for the Swiss
economy has grown disproportionately.

Expectations of global pharmaceutical industry

The global pharmaceutical market is expected to earn over a trillion dollar in revenues by
2012 and according to "Global Pharmaceutical Market Forecast to 2012”, our new
research report, the market will witness a number of changes impacting its course of
growth. These include the shift of growth from the developed markets to the emerging
ones, increasing focus on biotech-based drugs, fewer new drug approvals, and a strong
growth in the prevalence of generic This report, an updated and far more exhaustive and
analytical version of our popular 2006 study, provides a comprehensive analysis of every

21
major pharmaceutical market worldwide. Thirty-four major pharmaceutical markets from
North America, Latin America, Europe, Asia-Pacific and Africa have been selected as the
most important regions to be presented in this report. Factual insight, supplemented with
statistical overview on the past, present and future, together with statistics and analysis
pertaining to market size, growth, segmentation, government policies, healthcare
indicators, key players, health coverage, new developments and future prospects has been
provided for each market.

"Global Pharmaceutical Market Forecast to 2012” acts as a valuable tool for

pharmaceutical manufactures/investors/consultants who are studying the global
pharmaceutical market as it helps in identifying and analyzing market opportunities that
will suit their business needs and profiles.

Key Research Findings

The dream of Indian pharmaceutical companies for marking their presence globally and
competing with the pharmaceutical companies from the developed countries like Europe,
Japan, and United States is now coming true.
The new patent regime has led many multinational pharmaceutical companies to look at
India as an attractive destination not only for R&D but also for contract manufacturing,
conduct of clinical trials and generic drug research. With market value of about US$
45billion in 2005, the generic sector is expected to grow to US$ 100billion in the next
few years.

The Indian companies are using the revenue generated from generic drug sales to
promote drug discovery projects and new delivery technologies. Contract research in
India is also growing at the rate of 20-25% per year and was valued at US$ 10-120million
in 2005. India is holding a major share in world's contract research business activity and
it continues to expand its presence.

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1Clinical Research Outsourcing (CRO), a budding industry valued over US$ 118 million
per year in India, is estimated to grow to US$ 380 million by 2010, as MNCs are entering
the market with ambitious plans.

By revising its R&D policies the government is trying to boost R&D in domestic pharma
industry. It is giving tax exemption for a period of ten years and relieving customs and
excise duties of all the drugs and material imported or exported for clinical trials to
promote innovative R&D.

The future of Indian pharmaceutical sector is very bright because of the following factors,
Clinical trials in India cost US$ 25 million each, whereas in US they cost between US$
300-350 million each.

Indian pharmaceutical companies are spending 30-50% less on custom synthesis services
as compared to its global costs.

In India investigational new drug stage costs around US$ 10-15 million, which is almost
1/10th of its cost in US (US$ 100-150million).

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 COMPANY PROFILE
INTRODUCTION
Dr Reddy’s laboratories was founded by Dr. Anji Reddy, a entrepreneur-scientist, in
1984. The DNA of the company is drawn from its founder and his vision to establish
India’s first discovery led global pharmaceutical company. In fact, it is this spirit of
entrepreneurship that has shaped the company to become what it is today.
Dr. Anji Reddy, having moved out of Standard Organics Limited, a company he
had successfully co-founded, started Dr. Reddy’s Laboratories with $ 40,000 in cash and
$120,000 in bank loan! Today, the company with revenues of Rs.1947 crore (US $446
million), as of fiscal year 2005, is India’s second largest pharmaceutical company and the
youngest among its peer group.
The company has several distinctions on its credit. Being the first pharmaceutical
company from Asia Pacific (outside Japan) to be listed on the New York Stock Exchange
(on April 11, 2001) is only one among them. And as always. Dr. Reddy’s chose to do it
in the most difficult of circumstances against widespread skepticism. Dr. Reddy’s chose
up trumps not only having its stock oversubscribed but also becoming the best
performing IPO that year.

Dr. Anji Reddy is well known for his passion for research and drug discovery. Dr.
Reddy’s started its drug discovery programme in 1993 and within three years it achieved
its first breakthrough by outlicensing as anti-diabetes molecule to Novo Nordisk in March
1997. With this very small but significant step, the Indian industry went through a
paradigm shift in its image from being known as just ‘copycats to ‘innovators’! Through
its success, Dr. Reddy’s pioneered drug discovery in India. There are several such
inflection points in the company’s evolution from a bulk drug (AP) manufacturer into a
vertically integrated global pharmaceutical company today.

Today, the company manufactures and markets API (Bulk Actives), Finished
Dosages and Biologics in over 100 countries worldwide, in addition to having a very
promising Drug Discovery Pipeline. When Dr. Reddy’s started its first big move in 1986
from manufacturing and marketing bulk actives to the domestic (Indian) market to

24
manufacturing and exporting difficult-to-manufacture bulk actives such as Methyldopa to
highly regulated overseas markets, it had to not only overcome regulatory and legal
hurdles but also battle deeply entrenched mind-set issued of Indian Pharma being seen as
producers of ‘cheap’ and therefore ‘low quality’ pharmaceuticals. Today, the Indian
pharma industry, in stark contrast, is known globally for its proven high quality-low cost
advantage in delivering safe and effective pharmaceuticals. This transition, a tough and
often-perilous one, was made possible thanks to the pioneering efforts of companies such
as Dr. Reddy’s.

Today, Dr. Reddy’s continues its journey. Leveraging on its ‘Low Cost, High
Intellect’ advantage. Foraying into new markets and new businesses. Taking on new
challenges and growing stronger and more capable. Each failure and each success
renewing the sense of purpose and helping the company evolve.

With over 950 scientists working across the globe, around the clock, the company
continues its relentless march forward to discover and deliver a breakthrough medicine to
address an unmet medical need and make a difference to peoples lives worldwide. And
when it does that, it would only be the beginning and yet it would be the most important
step. As Lao Tzu wrote a long time ago. ‘Even a 1000 mile journey starts with a single
step.

MISSION
The high cost of many medicines puts them out of the reach of millions of people
who desperately need them. As a global pharmaceutical company, we take very seriously
our responsibility to help alleviate the burden of disease on individuals and on the world.
Through our Global Generics business, we provide high quality, lower-cost alternatives
to innovator drugs. Our wide range of generic medicines bring hope and health to people
around the globe.

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VISION
Despite the great advances of medical science, there are still far too many diseases
for which there are no cures or no satisfactory treatments. We believe that innovation – in
research, processes and technologies – holds the key to finding solutions for unmet or
inadequately met medical needs. Our Proprietary Products business is dedicated to
discovering new or better treatments than currently exist. In addition, our Custom
Pharmaceutical Services business works with Innovator companies and emerging biotech
firms to accelerate the development of new molecules, while lowering research costs.

LOCATION
DRL was recently restructured Into SBU’s ( Strategic Business unit)as followings
1. SBU Bulk activities
2. SBU Branded Formulations.
3. SBU generic formulations
4. SBU emerging business
5. SBU R & D
Based on the nature of business each SBU is defined as a separate entity on the lines of
profit center concept.
The corporate office of Dr.Reddy's Laboratories ltd. is located at Ammepet, Hyderabad.
The SBU bulk is having six units out of which

3 units are located at Bollaram, Medak district.

1 unit at Jeedimetla, Qutubllapur mandal, Hyderabad.
1 unit at Paidibheemavaram, Srikakulam district.
1 unit at Miriyalaguda, Nalgonda district.
Punch line
Life.Research.Hope.
DRL’s core purpose
To help people lead healthier lives.

26
DRL’s mission
To be the first Indian pharmaceutical company that successfully takes its products
from discovery to commercial launch globally.
DRL’s core values
We strive for excellence in everything we think, say and do. The values that
guide our thoughts and actions are
1. Quality
2. Innovation and continuous learning
3. Truth and Integrity
4. Respect for individual
5. Harmony and Social Responsibility

FINANCIAL POSITION
DRL began as a bold venture into the private pharmaceutical market and is
today the third largest pharmaceutical company in India. The initial investment of the
project was Rs.15 crore. The current annual turn over are about Rs.900 crore & the
current annual turning over of SBU bulk is about Rs.470 crore.
DRL has sufficient technical infrastructure and trained manpower for
converting its core strengths into opportunities.
RESEARCH & DEVELOPMENT
DRL has been one of the pioneers of R&D in India. Established in late 1980’s
the research & development division has acquired the status of full-fledged research
organization, developed proprietary processors for organic & custom made
intermediates. R&D plays an active role in selection of new products & non-infringing
routes to manufacture products. It also sets the pace for development & launch of
products at right time in the right form & at right place.
It has nearly 200 qualified scientists working a process innovation &
simplification, cycle & manufacturing, time reduction, waste & energy reduction &
continuous process improvement. It is also planning to open a satellite research centre
at Atlanta. This centre will focus specifically on target based research that will be a step
ahead in its values chain of basic research that is currently analogue based. Ten

27
scientists will man this centre. DRL's biotech research laboratory is to start functioning
in the US soon.
INTERNATIONAL OPERATIONS
DRL Ltd. has a total of six wholly owned subsidiaries in US, France,
Netherlands, Singapore & Hongkong besides three joint ventures in Brazil, Moscow &
republic of Uzbekistan & manufacturing facility in China. It also has representative
offices in Romania, Ukraine, Vietnam & Kazakistan. The company is in the final stage
of setting up a joint venture in China. It has registered 470 products in 28 countries so
far & 80 products are in advanced stage of registration. DRL exports its reverse
engineered underpatent bulk drugs, which give higher margins, compared to generics,
to countries without stringent patent laws.
SERVICES TO THE SOCIETY
Apart from making great strides in Indian pharmaceutical industry Dr.Reddy had
also made significant contributions to the society. He established Dr.Reddy’s foundation,
which touched the lives of thousands of rural women and their families and hundreds of
street children in the twin cities of Hyderabad and Secunderabad. This foundation has
also undertook child and police (CAP) project which is aimed at withdrawing children
from hazardous jobs as getting them into main streams of the society by eradicating child
labour.
DR. REDDY’S FOUNDATION
At Dr. Reddy’s we believe that for any development to be sustainable. People need to be
empowered to support themselves in the first place. The company also believes that in
every human being and organization there is a latent need to ‘give back to society’.

It is with this perspective that Dr. Reddy’s Foundation was incepted by Dr. K. Anji Reddy,
Chairman of Dr. Reddy’s Laboratories, in 1996.

In Dr. K. Anji Reddy’s own words, “The Foundation is a laboratory for catalyzing
innovative, reproducible and sustainable experiments for social change. For social
metamorphosis to be faster and sustainable we realized the need for collective ownership,
and identified our role in catalyzing the process. The Foundation is a realization of my

28
childhood dream to help in poverty alleviation. It is also an expression of my gratitude to
the society that has been supporting my company’s meteoric growth. The highest
patriotism and philanthropy consists in helping and stimulating men and women elevate
and improve themselves by their own free and independent individual action.”

The foundation acts as a social change catalyst that fosters, develops and promotes
initiatives at individual / group / organization levels to promote sustainable human and
social development. Believing in the inherent motivation and capacity of the human
being for progress – given the appropriate and adequate environment - the Foundation
innovates and tries out novel concepts in pilot models that are continuously refined and
scaled up to cover larger groups of deprived populations.
MANPOWER POSITION
All together there are about 2000 employees in bulk SBU. The manpower
strength of DRL’s unit II is 285 all belonging to management & staff. Contract labour of
about 75-80 is being employed for storage & handling, gardening, housekeeping.
OTHER ALLIED ACTIVITIES
1. Maintaining statistical data & preparing reports
2. Apprenticeship, appointment & attendance control.
3. Activities like payment of provident fund, gratuity, increments, disciplinary matters,
issuing of memos, preparation of pay sheets, accident reports, attendance calculation
bonus, loans sanction, retrenchment, lay off etc.
DR.REDDY’S GROUP HR PHILOSOPHY
Dr.Reddy's group as a company will
 Continuously strive towards having a diverse workforce for bringing in different
perspectives to work.
 Provide equal opportunity for employment development & advancement based
only on merit
 Attract, develop & retain multi-skilled high performers regardless of national
origin & provide them with the resources that are necessary for them to give their
best.

29
  Build an organization that is continuously learning & changing itself to meet the
dynamic business environment.
 Involving employees & their families in developing networks of talented people
for creative work & long-term relationships.
 Develop & nurture leaders who shall bring out the best in themselves & others
who are builders & enablers of system's & work culture.
 Promote the sprit of teamwork & sharing in workplace in recognition that
contribution of many is necessary for innovation to occur.
DRL'S Ltd. QUALITY POLICY
DRL is committed to provide customer’s products meeting or exceeding
expectations consistently in terms of specifications, delivery, technical support,
regulatory compliance & competitiveness.
 Constantly improve the procedure, technologies & infrastructure to continuously
better the quality of products produced.
 Ensure optimum training to all personnel accountable for quality related activities.
 Maintain mutually beneficial relationship with vendors, enrich the quality of life
of employees & provide lasting value to shareholders.

SAFETY, HEALTH& ENVIRONMENT(SHE) PHILOSOPHY

 All injuries can be prevented & adverse environmental impacts can be minimized.
Every employee should make his or her personal contribution and share
responsibility to prevent injuries and minimize environmental pollution.
 All accidents, fires & environmental accidents shall be reported and investigated
to prevent their recurrence.
 Every employee should be familiar with the company's guidelines and codes of
safe practices of safety, health & environment & follow them.
 Training & communication at every level in organization through meetings,
publications, and suggestion scheme etc.
 The company lays emphasis on safety of contractor employees working on its
behalf

30
  Every employee should contribute in keeping the workplace clean & tidy.

ENVIRONMENT
At Dr. Reddy’s the management of the environment is not an appendage to its business; it
is integral to it.

This commitment to the environment goes beyond statutory requirements for an

important reason; at the company we have consistently believed that environment
protection and enrichment are not just preferred responses because the ecological fabric
of our world is now more fragile than ever, but because this is man’s basic responsibility
and its protection is the right way to do business. The company’s commitment is reflected
in various initiatives that enhance employee awareness leading to extra-statutory
requirements.

At Dr. Reddy’s there is as much of a focus on reduction of pollution load as there

is on the achievement of financial and production targets. This objective has been
continuously achieved through the discipline of a progressive benchmarking, prudent
target setting and ongoing review. Environmental performance is measured across a
number of parameters, Some of them being

 Water Usage
 Energy Usage
 Wastewater Discharge
 COD & TDS Load Discharge
 Hazardous & non-hazardous waste disposal
 Green house gas emissions

ANKUR - INHOUSE LEARNING CENTRE

Ankur stands for SPROUT, which means beginning of growth or germination
from a bud. Ankur, the learning centre of Dr.Reddy’s group aims at providing learning
resources for self development & potential in folding through shared learning & self

31
learning. Vision of Ankur is to involve people to unable Dr.Reddy's family to be the best
learning organization.
OUTLOOK
DRL forecasts 20-25% growth in near future. DRL's strategic intent is to widen
its formulations business through investment in brand building, launching new products,
acquisition & revamping of marketing networks.
DRL has consolidated its position in domestic formulation market through
aggressive product launches as well as acquisitions. The recent takeover of American
remedies will help it achieve the targeted growth of 25% pa with focus being on
formulations. The company has written off all its dud investments in unrelated areas.
Logo

BOARD OF DIRECTORS
The Board of Directors of Dr. Reddy's currently consists of 9 Directors. Six Directors
are Non-Executive, Independent Directors while the other three are Executive Promoter
Directors. Dr. K. Anji Reddy, who is one of the Promoters of the company, is the
Executive Chairman of the Company. The Board consists of the following members
Whole Time Directors Independent & Non Whole Time Directors
Dr. K. Anji Reddy Dr. Sathyanarayana Rao
Mr. G. V. Prasad Dr. V. Mohan
Mr. Satish Reddy Dr. Omkar Goswami
Mr. P. N. Devarajan
Mr. Ravi Bhoothalingam
Dr. A .Venkateshwarlu

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 Whole Time Directors

Dr. K. Anji Reddy Mr. G. V. Prasad Mr. Satish Reddy

Chairman Vice Chairman & CEO Chief Operating Officer

Independent & Non Whole Time Directors

Dr. Omkar Goswami Mr. P. N. Devarajan Mr. Ravi Bhoothalingam

Dr. P.Satyanarayana Rao Dr. A. Venkateswarlu Dr. V. Mohan

33
 Dr. Kallam. Anji Reddy
Chairman,
Dr. Reddy’s Laboratories Limited
K. Anji Reddy (B.Sc.-Tech in Pharmaceuticals and Fine
chemicals from Bombay University and PhD in Chemical
Engineering from National Chemical Laboratory, Pune, 1969) is the founder Chairman of
Dr. Reddy’s Laboratories Limited (Dr. Reddy’s). He served in the state-owned Indian
Drugs and Pharmaceuticals Limited (1969-75), was founder-Managing Director of
Uniloids Ltd (1976-80) and Standard Organics Limited (1980-84), before founding Dr.
Reddy’s in 1984.

Under Dr. Anji Reddy’s leadership, Dr. Reddy’s has become a pioneer and a
trendsetter in the Indian Pharmaceutical industry. Its has turned the Indian bulk drug
industry from import-dependent in mid-80s to self-reliant in mid-90s and finally into the
export-oriented industry that it is today. Dr. Reddy’s has become the first company to
take up drug discovery research in India (1993) and has led the industry from being-
dubbed as ‘copycats’ for several years to now being acknowledged as ‘Innovators’. Dr.
Reddy’s was listed on the New York Stock Exchange – the first non-Japanese Asian
pharmaceutical company to list on NYSE – in April 2001 (RDY).
Dr. Reddy is a serving member of the Prime Minister’s Council on Trade &
Industry, Government of India, and has been nominated to the Board of National Institute
of Pharmaceutical Education and Research (NIPER). He is also a Member of the Board
of Governors of institute of Chemical Technology, University of Mumbai. Dr. Reddy
chairs the Governing Body of Hyderabad Eye Research Foundation and also serves on
the Board of Vision Research Foundation, Chennai.
Naandi Foundation, a not-for-profit development institution that strives for
eradication of poverty has Dr. Reddy as its founding father. He is also founder-Chairman
of Dr. Reddy’s Foundation for human $ Social Development, a social arm of Dr.

34
Reddy’s, which acts as a catalyst of change to achieve sustainable development. Dr.
Reddy has been the recipient of several awards and honors. Notable among them are the
Sir PC Ray award, twice conferred on Dr. Reddy be Indian Chemical Manufactures
Association (1984, 1992) and the Federation of Asian Pharmaceutical Associations
(FAPA)’s FAPA- Ishidate Award for Pharmaceutical Research in 1998. He was voted
Businessman of the Year by India’s leading business magazine Business India in the year
2001. For his pioneering work and introduction of affordable medicine, CHEMTECH
Foundation has bestowed on him the Achiever of the Year award in the year 2000 and the
‘Hall of Fame’ award in 2005, for his Entrepreneurship, Leadership and thrust on
Innovation.
AWARDS & ACCOLADES
 The Appreciation Certificate of the District Collector for being the “Best Clean
Production Industry” for the year 2006 awarded to API Unit-V.
 The Cll “Southern Region Leadership Excellence Award” is won by Dr.
Reddy’s for the year 2005.
 The Cll “National Award for ‘Excellence in Water Management” for the year
2005 is won by both API Unit-ll as well as API Unit-VI.
 The Generics Unit or Dr. Reddy’s achieves the new
ISO 140012004 standard on 9th June, 2005.
 The “Greentech
Environmental Excellence
Silver Award” for the year
2004-05 is won by API-Global

35
 CHAPTER-III
THEORETICAL FRAMEWORK

36
 THEORETICAL FRAMEWORK
Introduction

Human Resource Development is a system of developing in a continuous and planned

way the competencies of individual employees, dyadic groups (supervisor and
subordinate), teams and the total organisation to achieve the organisations goals. It
maximize the congruence between the individual and the organisational goals of
employees an develops an organisational culture in which superior- subordinate
relationships, teamwork and collaboration among various units become strong and
contribute to the professional well-being, motivation and pride of employees.

Definition of HRD

Nadler (1970) defined HRD as a series of organized activities conducted within a

specified period of time and designed to produce behavioral change. In a revised
definition Nadler (1984) defined HRD as organized learning experience in a definite time
period to increase the possibility of job performance and growth

Human resource development can be defined as a set of systematic and planned activities
designed by an organisation to provide its members with the opportunities to learn
necessary skills to meet current and future job demands. Learning is at the core of all
HRD efforts. HRD activities should begin when an employee joins an organisation and
continue throughout his or her career, regardless of whether that employee is an executive
or a worker on an assembly line, HRD programs must respond to job changes and
integrate the long-term plans and strategies of the organisation to ensure the efficient and
effective use of resources.

Important characteristics of HRD

 HRD is a system and HRD develops the competencies at all levels.

 HRD is continuous and planned development effort.
 The ultimate object of HRD is to contribute to the professional well-being,
motivation and pride of the employees.

Indicators of HRD at the organisational level

 HRD instruments/sub-systems/mechanisms, (e.g., HRD departments, appraisal

systems, job-rotation, training, and development etc.)
 HRD processes, (e.g., role clarity, trust, openness, pro-action, collaboration, etc.)
 HRD outcomes (E.g. more competent people, work, etc.)

37
 Organisational outcomes (improved performance, profits, diversification, image
productivity, etc.)

HRD Outcomes

 People in the organisation become more competent because on the one hand they
become better aware of the skills required for job performance and on the other hand
there is greater clarity of norms and standards.
 People understand their roles better because through increased communication they
become aware of the expectation which other members of their role set have from
them.
 People become more committed to their jobs because now there is greater objectivity
in the administration of rewards. They come forward with better and more creative
ideas.
 People develop greater trust and respect for each other. They become more open and
authentic in their behavior. Thus new values are generated.
 There is greater collaboration and teamwork which produces synergy effects.
 The people find themselves better equipped with problem-solving capabilities. They
become more prone to risk taking and proactive in their orientation. There is greater
readiness on their part to accept changes.
 Lot of useful and objective data on employees are generated which facilitates better
human resource planning.
 The top management becomes more sensitive to employees problems and human
processes due to increased openness in communication.

The Evolution of Human Resource Development

Although the term human resource development has been in common use since the
1980s, the concept has in vogue longer than that. To understand its modern definition, it
is helpful to briefly recount the history of this field.

Early Apprenticeship Training Programs

The origin of HRD can be traced to apprenticeship training programs in the eighteenth
century. During this time, small shops operated by skilled artisan produced virtually all
household goods, such as furniture,

clothing, and shoes. To meet a growing demand for their products, the craft shop owners
had to employ additional workers. Without vocational or technical schools the
shopkeepers had to educate them and train their own workers. For little or no wages,
these trainees, or apprentices, learned the craft of their master, usually working in the
shop for several years until they became proficient in their trade. Not limited to the
skilled trades, the apprenticeship model was also followed in the training of physicians,
educators, and attorneys. Even as late as the 1920s, a person apprenticing in a law office
could practice law after passing a state-supervised exam.

38
Apprentices who mastered all the necessary skills were considered “yeomen,” and could
leave their master and establish their own craft shops; however, most remained with their
masters because they could not afford to buy the tools and equipments needed to start
their own craft shops. To address a growing number of yeomen, master craftsmen formed
a network of private “franchises so they could regulate such things as product quality,
wages, hours, and apprentice testing procedures. These craft guilds grew to become
powerful political and social forces within their communities, making it even more
difficult for yeomen to establish independent craft shops. By forming separate guilds
called “yeomanry,” the yeomen counterbalanced the powerful craft guilds and created a
collective voice in negotiating for higher wages and better working conditions.
Yeomanries were the forerunners of modern labor unions.

Early Vocational Education Programs

In 1809, a man named DeWitt Clinton founded the first recognized privately funded
vocational school, also referred to as a manual school, in New York City. The purpose of
the manual school was to provide occupational training to unskilled young people who
were unemployed or had criminal records. Manual schools grew in popularity,
particularly in the Midwestern states, because they were a public solution to a social
problem: what to do with “misdirected” youths. Regardless of their intent, these early
forms of occupational training established a prototype for vocational education.

In 1917, United states Congress passed the Smith-Hughes Act, which recognized the
value of vocational education by granting funds (initially $7 million annually) targeted
for state programs in agricultural

trades, home economics, industry, and teacher training. Today, vocational instruction is
an important part of each state’s public education system. In fact, given the current
concerns about a “skills gap” (especially for technical skills), vocational education has
become even more relevant.

Early Factory Schools

With the advent of the Industrial Revolution during the late 1800s, machines began to
replace the hand tools of the artisans. “Scientific management” principles recognized the
significant role of machines in better and more efficient production systems. Specifically,
semiskilled workers using machines could produce more than the skilled workers in
small craft shops. This marked the beginning of factories as we know them today.

Factories made it possible to increase production by using machines and unskilled

workers, but they also created a significant demand for the engineers, machinists, and
skilled mechanics needed to design, build, and repair the machines. Fueled by the rapid
increase in the number of factories, the demand for skilled workers soon outstripped the
supply of vocational school graduates. To meet this demand, factories created mechanical
and machinist training programs, which were referred to as “factory schools.” The first

39
documented factory school was located at Hoe and Company, a New York manufacturer
of printing press in 1872. This was soon followed by Westinghouse in 1888, General
Electric and Baldwin Locomotive in 1901, International Harvester in 1907, and then
Ford, Western Electric, Goodyear, and National Cash Register. Factory school programs
differed from early apprenticeship programs in that they tended to be shorter in duration
and had a narrow their focus on the skills needed to do a particular job.

Early Training Programs For Semiskilled And Unskilled Workers

Although both apprenticeship programs and factory schools provided training for skilled
workers, very few companies during this time offered training programs for unskilled or
semiskilled workers. This changed after two significant historical events. The first was
the introduction of the Model T by Henry Ford in 1913. The Model T was the first car to
be produced on a large scale using an assembly line, in which production required only
the raining of semiskilled workers to perform several tasks.

The new assembly lines cut production costs significantly and Ford lowered its prices,
making the Model T affordable to a much larger segment of the public. With the
increased demand for the Model T, Ford had to design more assembly lines, and this
provided more training opportunities. Most of the other automobile manufacturers who
entered the market used assembly line processes, resulting in a proliferation of
semiskilled training programs.

Another significant historical event was the outbreak of World War I. To meet the huge
demand for military equipment, many factories that produced non - military goods also
had to retool their machinery and retrain their workers, including the semi skilled. For
instance, the U.S. Shipping Board was responsible for coordinating the training of
shipbuilders to build warships. To facilitate the training process, Charles Allen, director
of training, instituted a four-step instructional method referred to as “show, tell, do,
check” for all the training programs offered by the Shipping Board. This technique was
later named as job instruction training (JIT) and is still in use for training many workers
on the job.

The Human Relations Movement

One of the undesirable by-products of the factory system was the frequent abuse of
unskilled workers, including children, who were often subjected to unhealthy working
conditions, long hours, and low pay. The appalling conditions spurred a national anti-
factory campaign. Led by Mary Parker Follett and Lillian Gilbreth, the campaign gave
rise to the “human relations” movement advocating more humane working conditions.
Among other things, the human relations movement provided a more complex and
realistic understanding of workers as people instead of merely “cogs” in the wheel of a
machine.
The human relations movement highlighted the importance of human behavior on the
job. This was also addressed by Chester Barnard, the president of New Jersey Bell
Telephone, in his influential 1938 book the functions of the Executive. Barnard described

40
the organisation as a social structure integrating traditional management and behavioral
science applications.

The movement continued up to 1940s, with World War II as a backdrop. Abraham

Maslow published his theory on human needs, stating that people can be motivated by
both economic and noneconomic incentives. He proposed that human needs are arranged
in terms of lesser to greater potency (strength), and distinguished between lower order
(basic survival) and higher order (psychological) needs. Theories like Maslow’s serve to
reinforce the notion that the varied needs and desires of workers can become important
sources of motivation in the workplace.

The Establishment of the Training Profession

With the outbreak of World War II, the industrial sector was once again asked to retool
its factories to support the war effort. As was with World War I, this initiative led to the
establishment of new training programs within larger organisations and unions. The
federal government established the Training With in Industry (TWI) Service to
coordinate training programs across defense-related industries. TWI also trained
company instructors to teach their programs at each plant. By the end of the war, the TWI
had trained over 23,000 instructors, awarding over 2 million certificates to supervisors
from 16,000 plants, unions, and services. Many defense-related companies established
their own training departments with the instructors trained by TWI. These departments
designed, organized, and coordinated training across the organisations. In 1942, the
American Society for Training Directors (ASTD) was formed to establish some standards
within this emerging profession. At the time, the requirements for full membership in
ASTD included a college or university degree plus two years of experience in training or
a related field, or five years of experience in training. A person working in a training
function or attending college was qualified for associate membership.

Emergence of Human Resource Development

During the 1960s and 1970s, the professional trainers realized that their role extended
beyond the training in classrooms. The move toward employee involvement in many
organizations required trainers to coach and counsel employees. Training and
development (T&D) competencies therefore expanded to include interpersonal skills such
as coaching, group process facilitation, and problem solving. This additional emphasis on
employee development inspired the ASTD to rename itself as the American Society for
Training and Development (ASTD).

The 1980s saw even greater changes affecting the T&D field. At several ASTD national
conferences held in the late 1970s and early 1980s, discussions centered on this rapidly
expanding profession. As a result, ASTD approved the term human resource
development to encompass this growth and change. Books by individuals such as
Leonard and Zeace Nadler appeared in late 1980s and early 1990s, and these helped to
clarify and define the HRD field. Further, in the 1990s and up to today, efforts have been

41
made to strengthen the strategic role of HRD, that is, how HRD links to and supports the
goals and objectives of the organisation.

There was also an emphasis within ASTD (and elsewhere) on performance improvement
as the particular goal of most training and HRD efforts, and on viewing organisations as
high performance work systems. In 2004, ASTD had approximately 70,000 members in
over 100 countries, and remained the leading professional organisation for HRD
professionals. Recent emphasis on HRD (and within ASTD) will be discussed more in
the following sections. First it would be helpful to discuss the relationship between
human resource management and HRD.

Relationship between HRM and HRD

In some organisations, training is a stand-alone function or department. In most

organisations, however, training or human resource development is part of a larger
human resource management system. Human resource management (HRM) can be
defined as the effective selection and utilization of employees to best achieve the goals
and strategies of the organisation, as well as the goals and needs of employees. An
important point of emphasis is that the responsibility of the HRM is (or, at least, should
be) shared by human resource specialists and line management. Some organisations have
a centralized HRM department with highly specialized staff, but in other organisations,
the HRM function is decentralized and conducted throughout the organisation.

HRM can be divided into primary and secondary functions. Primary functions are
directly involved with obtaining, maintaining, and developing employees. Secondary
functions either provide support for general management activities or are involved in
determining or changing the structure of the organisations. These functions are detailed
below.

Primary HRM Functions

 Human resource planning activities are used to predict how changes in

management strategy will affect future human resource needs. These activities are
critically important with the rapid changes in external market demands. HR
planners must continually chart the course of the organisation and its plans,
programs, and actions.
 Equal employment opportunity activities are intended to satisfy both the legal and
moral responsibilities of the organisations through the prevention of
discriminatory policies, procedures, and practices. This includes decisions
affecting hiring, training, appraising, and compensating the employees.
 Staffing (recruitment and selection) activities are designed for the timely
identification of potential applicants for current and future openings and for
assessing and evaluating applicants in order to make appropriate selection and
placement decisions.
 Compensation and benefits administration is responsible for establishing and
maintaining an equitable internal wage structure, a competitive benefits package,
as well as incentives tied to individual, team, or organisational performance.

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  Employee (labor) relations activities include developing a communication system
through which employees can address their problems and grievances. In a
unionized organisation, labor relations will include the development of working
relations with each labor union, as well as contract negotiations and
administration.
 Health, safety, and security activities seek to promote a safe and healthy work
environment. This can include actions such as safety training, employee
assistance programs, and health and welfare programs.
 Human resource development activities are intended to ensure that organisational
members have the skills or competencies to meet current and future job demands.

Secondary HRM Functions

Other functions that may be shared by HRM units include the following:

 Organisation/job design activities are concerned with interdepartmental relations

and the organisation and definition of jobs.
 Performance management and performance appraisal system are used for
establishing and maintaining accountability throughout the organisation.
 Research and information systems (including Human Resource Information
Systems) are necessary to make enlightened human resource decisions.

Thus, the relationship between the HRM and HRD can be explained as:

 HRM is the large system in an organisation. HRD is a sub system of the large system
and HRD activities cannot be performed in isolation
 HRM function is largely maintenance oriented and a function of management. HRD
is an ongoing process and it is development oriented, aiming to enhance both personal
and professional growth
 HRM believes that an increase in the business results would lead to increase in the
performance or productivity. But HRD believes that the improvement in the
performance would be the result of the continuous increase in its activities.
 HRM is more result oriented, whereas HRD is more process oriented
 HRM focuses more on the improvement in performance and on improvement in the
capabilities of employees productivity
 HRM aims at creating a successful business result for the organisation and HRD aims
at creating learning organisation for improving organisational capabilities and thereby
successful business results.
 Functions of HRD

The original HR wheel from McLagan identified three primary HRD functions: (1)
training and development, (2) organisation development, and (3) career development.
These functions are discussed in greater detail.

Training and Development (T&D)

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Training and development (T&D) focus on changing or improving the knowledge, skills
and attitudes of individuals. Training typically involves providing employees the
knowledge and skills needed to do a particular task or job, though attitude change may
also be attempted. Developmental activities, in contrast, have a longer-term focus on
preparing for future work responsibilities, by also increasing the capacities of employees
to perform their current jobs.

T&D activities begin when a new employee enters into the organisation, usually in the
form of induction training i.e. employee orientation and skills training. Employee
orientation is the process by which new employees learn important organisational values
and norms, establish working relationships, and learn as to how to function within their
jobs. The HRD staff and the hiring supervisor generally share the responsibility for
designing the orientation process, conducting general orientation sessions, and begin the
initial skills training. Skills and technical training programs then narrow down in scope to
teach the new employee a particular skill or area of knowledge.

Once the new employees have become proficient in their jobs, HRD activities should
focus more on developmental activities- specifically, coaching and counseling. In the
coaching process, individuals are encouraged to accept responsibility for their actions, to
address any work-related problems, and to achieve and sustain superior levels of
performance. Coaching involves treating employees as partners in achieving both
personal and organisational goals. Counseling techniques are used to help employees deal
with personal problems that may interfere with the achievement of these goals.
Counseling programs may address such issues as substance abuse, stress management,
smoking cessation, or fitness, nutrition and weight control.

HRD professionals are also responsible for coordinating management training and
development programs to ensure that managers and supervisors have the knowledge and
skills necessary to be effective in their positions. These programs may include
supervisory training, job rotation, seminars, or college and university courses.

Organisation Development

Organisation development (OD) is defined as the process of enhancing the effectiveness

of an organisational capabilities and the well-being of its members through planned
interventions that apply behavioral science concepts. OD emphasizes both macro and
micro level organisational changes; macro changes are intended to ultimately improve the
effectiveness of the organisation, whereas micro changes are directed at individuals,
small groups, and teams. For example, many organisations have sought to improve
organisational capabilities by introducing employee involvement programs that require
fundamental changes in work expectations, reward systems, and reporting procedures.

The role of the HRD professionals involved in an OD intervention is to function as a

change agent. Facilitating change often requires consulting with and advising line
managers on strategies that can be used to effect desired change. The HRD professional
may also become directly involved in carrying out the intervention strategy, such as

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facilitating a meeting of the employees responsible for planning and implementing the
actual change process.

Career Development

Career development is “an ongoing process by which individual’s progress through a

series of stages, each of which is characterized by a relatively unique set of issues,
themes, and tasks.” Career developments involve two distinct processes: career planning
and career management. Career planning involves activities performed by an individual,
often with the assistance of counselors and others, to assess his or her skills and abilities
in order to establish a realistic career plan. Career management involves taking the
necessary steps to achieve that plan, and generally focuses more on what the organisation
can do for foster employee career development. There is a strong relationship between
career development and T&D activities. Career plans can be implemented, at least in part,
through an organisation’s training programs.

Role & Competencies of HRD Professionals

A HRD professional must perform a wide variety of functional roles. A functional role is
a specific set of tasks and expected outputs for a particular job, for example, classroom
trainer or instructional designer. To carry out these various roles, HRD professionals
need to possess many different skills or competencies. In their “Mapping the Future”
study,

Bernthal et al. described three areas of “foundational” competencies needed by all HRD
professionals (see Figure). Foundational competencies are described in three areas:
personal, interpersonal, and business/ management. HRD professionals then make use of
these foundational competencies as they develop particular areas of expertise. These
areas of expertise are shown in the middle of the pyramid. Finally, the top of the pyramid
shows four key roles for HRD professionals: learning strategist, business partner, project
manager, and professional specialist.

Competency Model

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Adopted from Werner & DeSimone (2007). Human Resource Development, 4e.
Thomson South-Western.
The learning strategist is involved in the high-level decision making concerning how
HRD initiatives will support the goals and strategies of the organization.
The business partner works together with managers and others in determining how the
HRD initiative will be implemented and evaluated. The project manager is involved in
the day-to-day planning, funding, and monitoring of HRD initiatives, whereas the
professional specialist adds his or her expertise in particular areas, for example,
designing, developing, delivering, and evaluating the HRD initiative. HRD managers and
executives are most likely to be involved with the learning strategist and business partner
roles. Next, we will briefly discuss the roles played by two types of HRD professionals:
the HRD executive/manager and the HRD practitioner.

The HRD Executive/Manager

The HRD executive/manager has primary responsibility for all HRD activities. This
person must integrate the HRD programs with the goals and strategies of the
organization, and normally assumes a leadership role in the executive development
program, if exists. If the organization has both the HRM and a HRD executive, the HRD
executive must work closely with the HRM executive as well. The HRD executive often
serves as an adviser to the chief executive officer and other executives. The outputs of
this role include long-range plans and strategies, policies, and budget allocation
schedules. One of the important tasks of the HRD executive is to promote the value of

46
HRD as a means for ensuring that organizational members have the competencies to
meet current and future job demands.

If senior managers do not understand the value of HRD, it will be difficult for the HRD
executive to get their commitment to HRD efforts and to justify the expenditure of funds
during tough times. Historically, during the times of financial difficulties, HRD programs
have been the major target of cost-cutting efforts. Unless the HRD executive establishes a
clear relationship between HRD expenditures and organizational effectiveness (including
profits), HRD programs will not receive the support they need. But how does an HRD
executive who wants to offer a program on stress management, for example, compete
with a line manager who wants to purchase a new piece of equipment? The answer is the
executive must demonstrate the benefits the organization may receive by offering such a
program. Evaluation data are vital to the HRD executive when presenting a case.

The role of the HRD executive has become more important and visible as organizations
make the necessary transition to a global economy. The immediate challenge to HRD
executives is to redefine a new role for HRD during this period of change. According to
Jack Bowsher, former director of education for IBM, when HRD executives “delve
deeply into reengineering, quality improvement, and strategic planning, they grasp the
link between workforce learning and performance on the one hand, and company
performance and profitability on the other.” The HRD executive is in an excellent
position to establish the credibility of HRD programs and processes as tools for managing
in today’s challenging business environment.

Other HRD Roles and Outputs for HRD Professionals

As organizations have adjusted to environmental challenges, the roles played by HRD

professionals have changed as well. According to McLagan, HRD professionals perform
at least nine distinct roles. These roles as given below are more likely to correspond to
the job titles or job descriptions for professional positions in HRD.
The HR strategic advisor consults strategic decision makers on HRD issues that directly
affect the articulation of organization strategies and performance goals. Outputs include
HR strategic plans and strategic planning education and training programs.

The HR systems designer and developer assist HR management in the design and
development of HR systems that affect organization performance. Out puts include HR
program designs, intervention strategies, and implementation of HR programs.

The organization change agent advises management in the design and implementation of
change strategies used in transforming organizations. The outputs include more efficient
work teams, quality management, intervention strategies, implementation, and change
reports.

The organization design consultant advises management on work systems design and the
efficient use of human resources. Outputs include intervention strategies, alternative
work designs, and implementation.

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The learning program specialist (or instructional designer) identifies needs of the learner,
develops and designs appropriate learning programs, and prepares materials and other
learning aids. Outputs include program objectives, lesson plans, and intervention
strategies.

The instructor/facilitator presents materials and leads and facilitates structured learning
experiences. Outputs include the selection of appropriate instructional methods and
techniques and the actual HRD program itself.

The individual development and career counselor assists individual employees in

assessing their competencies and goals in order to develop a realistic career plan. Outputs
include individual assessment sessions, workshop facilitation, and career guidance.

The performance consultant (or coach) advises line management on appropriate

interventions designed to improve individual and group performance. Outputs include
intervention strategies, coaching design, and implementation.

The researcher assesses HRD practices and programs using appropriate statistical
technique to determine their overall effectiveness and communicates the results to the
organization. Outputs include research designs, research findings and recommendations,
and reports.
Challenges to Organization and HRD Professionals
Organizations confront with many challenges as a new organisation culture crop up. The
recent ASTD-sponsored study (mentioned earlier) presented eight emerging workplace
trends that impact HRD. These trends are given in Box 2.1 Along the same lines, Michael
Hitt and his colleagues have identified increasing globalization and the technological
revolution (in particular, the Internet) as two primary areas that enforce new environment.
They suggest a number of actions that organizations have to address to the uncertainty
and turbulence in the external environment.
These actions include developing employee skills, effectively using new technology,
developing new organizational structures, and building cultures that foster learning and
innovation. These obviously have a great deal to do with human resource development.
We will add to and build upon their list to present five challenges currently facing the
field of HRD. These challenges include (1) increasing workforce diversity, (2) competing
in a global economy, (3) eliminating the skills gap, (4) meeting the need for lifelong
individual learning, and (5) facilitating organizational learning.

Increasing Workforce Diversity

The workforce has become increasingly diversified, and this trend will continue. This
includes along racial, ethnic, and gender lines, as well as increasing percentage of the
workforce over 55 of age.

Effectively managing diversity has been identified as one of five distinguishing features
of organizations that make it into Fortune magazine’s list of “100 Best Companies.”

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Diversity issues have several implications for HRD professionals. First, organizations
need to address racial, ethnic, and other types of diversity that may persist, as well as
cultural and language diversities.

Second, with the increasing numbers of women in the workforce, organizations should
continue to provide developmental opportunities that will prepare women for
advancement into the senior ranks and provide safeguards against sexual harassment.
Third, the aging of the workforce highlights the importance of creating HRD programs
that recognize and address the learning-related needs of both younger and older workers.

Competing in a Global Economy

As companies compete in a global economy, many are introducing new technologies that
require more educated and trained work force. Thus, successful organizations must hire
employees with the knowledge to compete in an increasingly sophisticated market.
Competing in the global economy requires more than educating and training workers to
meet new challenges. In addition to retraining the workforce, successful companies will
institute quality improvement processes and introduce change efforts (for example, high
involvement programs). The workforce must learn to be culturally sensitive to
communicate and conduct business among different cultures and in other countries.
Developing managers to be global leaders has been identified as a major challenge for
organizations in this decade. Additionally, employers are learning and implementing new
ways of managing their employees.
The Need for Lifelong Learning

Given the rapid changes that organizations faces, it is clear that employees must continue
the learning process throughout their career to meet these challenges. This need for
lifelong learning will require organizations to make an ongoing investment in HRD.
Lifelong learning can mean different things to different employees. For example, for
semiskilled workers, it may involve more rudimentary skills training to help them to
build their competencies. To professional employees, this learning may mean taking
advantage of continuing education opportunities. This is particularly important for
certified professionals who are required to complete a certain number of continuing
education courses to maintain their certification. To managers, lifelong learning may
include attending management seminars that address new management approaches.

The challenge to HRD professionals is to provide a full range of learning opportunities

for all kinds of employees. One way that organizations are meeting this challenge is by
establishing multimedia learning centers (sometimes on the organization’s intranet).
These centers offer a variety of instructional technologies that can be matched to each
trainee’s unique learning needs. Individual assessments can determine deficiencies or
gaps in employees’ performance capabilities, while also pointing out their preferred
learning styles. For instance, self-motivated employees found to be deficient in arithmetic
may be trained in an interactive video program allowing them to set their own pace. A
multimedia learning center could also provide teleconferencing facilities for technical and
professional employees to participate in a seminar that is being conducted thousands of

49
miles away. What is clear, however, is that whether they use multimedia or other training
approaches, organizations must find a way to provide lifelong learning opportunities to
all of their employees.
Facilitating Organizational Learning

Organization development scholars such as Chris Argyris, Richard Beckhard, and Peter
Senge, author of the book The Fifth Discipline, have recognized that if organizations are
going to make fundamental changes, they must be able to learn, adapt, and change. A
survey of HRD executives stated that 94 percent of the respondents felt that it is
important for an organization to become a learning organization.

Although such principles emphasize the organizational level, they also have implications
at the group and individual levels. One challenge for HRD professionals is to facilitate
the transition of traditional training programs to emphasis on learning principles and
tactics, on how learning relates to performance, and more importantly, on the relationship
between learning and fundamental change. To do this, HRD professionals must develop a
solid understanding of learning theory and be able to devise learning tools that enhance
individual development.

Learning and Instruction

Learning is defined as a relatively permanent change in behavior, cognition, or affect that

occurs as a result of one’s interaction with the environment. Several aspects of this
definition are important. First, the focus of learning is change, either by acquiring
something new (skill in conducting meetings) or modifying something that already exists.
Second, the change must be comparatively long lasting before we can say learning has
really occurred. Third, the focus of learning can include behavior, cognitions, affect, or
any combination of the three. Learning outcomes can be skill based (climbing a utility
pole), cognitive (procedures for applying for a research grant), or effective (becoming
more safety conscious). Finally, learning results from an individual’s interaction with the
environment. Learning does not include behavior changes attributable to physical
maturation or a temporary condition (such as fatigue or drugs).

The Basic Learning Principles

The cornerstone of learning theory is the concept of association. Association is the

process by which two cognitions become paired together, so that thinking about one
evokes thoughts about the other. There are

three principles that influence the learning of associations. They are:

1. Contiguity Objects that are experienced together tend to become associated with
each other. For example, learning vocabulary in a foreign language usually
involves pairing a new word with an object or picture of an object.
2. The Law of Effect The law of effect states that a behavior followed by a
pleasurable consequence is likely to be repeated. For example, when a
superior
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 3. compliments a police officer who values recognition for the way he or she has
handled a difficult arrest, the officer associates the compliment with the arrest
method and he/she is likely using that method to make difficult arrests in the
future.
4. Practice Repeating the events in an association will increase the strength of the
association. For example, the more times someone rappels down a cliff or a wall,
the more adept he or she becomes at rappelling. But practice alone is not enough
to guarantee a strong association. The effect of practice is strengthened with
reinforcement, such as receiving a pleasurable consequence.

Limits of Learning Principles in Improving Training Design

Unfortunately, when it comes to improving training design, these general principles are
not as helpful as one might expect. Many of the researches that demonstrated these
principles were conducted in tightly controlled laboratory settings using artificial tasks,
which limit the applicability of the findings to many “real-world” training settings.

Robert Gagne convincingly demonstrated the limited benefit of learning principles to

increase training effectiveness in landmark article “Military Training and Principles of
Learning.” Gagne showed that practice and reinforcement failed to improve performance
of three representative military tasks: gunnery (a motor skill), turning on a radar set (a
procedural task), and diagnosing malfunctions in complex electronic equipment
(troubleshooting). Instead of relying on the prevailing learning principles, Gagne argued
that training could be improved by using three principles:

1. Task Analysis Any task can be analyzed into a set of distinct component tasks.

2. Component Task Achievement Each component task must be fully achieved before
the entire task performed correctly.
3. Task Sequencing The learning situation should be arranged so that each of the
component tasks is learned in the appropriate order before the total task is attempted.

Maximising Learning

Definition of learning makes it clear that people acquire and develop skills, knowledge,
and change behavior as a result of an interaction between forces within the learner and in
the environment.

Trainee characteristics

A learner or trainee’s personal characteristics will influence how he or she learns new
tasks and new information. There are three such characteristics and they are trainability,
personality, and attitudes. We discuss these three primary areas as we emphasize ways to
maximize learning, namely trainee characteristics, training design, and the transfer of
training.

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Trainability focuses on the trainee’s readiness to learn and combines the trainee’s level of
ability and motivation with his or her perceptions of the work environment. A simple
formula to convey this is:

Trainability= f (motivation x Ability x perceptions of the Work Environment)

This formula illustrates that a trainee must have both the motivation and the ability to
learn; if either of this is lacking, learning will not occur. The equation also shows that a
very high level of one cannot completely overcome a very low level of the other. In
addition, if employees perceive little support in the work environment for learning new
knowledge or skills, they will be less likely to learn and use them. Thus, it is important to
note that trainability is not just a function of the individual trainee, but also of the work
environment in which the learner will be asked to use what was presented in the HRD
intervention.

Trainability is extremely important in HRD. Placing employees in the programs in which

they are not motivated to attend or are not prepared to do well will waste the time and
resources. Trainees with less ability take longer time to learn, which can increase the
length of the training period and the expenses involved in conducting training
programmes. In fact, it is possible that such trainees may never learn to the levels desired
by the organization.
Over the past several years, researchers have studied the notion pertaining motivation.
The findings of recent research show that:

 The way trainees perceive training affects the levels of learning, perceptions of
efficacy, anxiety, and perceptions of fairness.
 The way in which individuals view their own ability (as a fixed entity or an
acquirable skill) affects anxiety level, efficacy perceptions and the learning of
declarative (factual) knowledge.
 Experiencing negative events on the job prior to training can increase trainees’
motivation to learn and their performance in training.
 A number of other factors have been found to increase the individuals’ motivation
to participate in and learn from training. Factors identified include involvement in
decisions about training, perceptions that participation in training will lead to
benefits (e.g., increased job performance and career advancement opportunities),
and perceptions of support, or lack of obstacles to use what has been learned in
the work environment.
 Characteristics of the organization (e.g., policies and guidelines regarding training
participation) have been linked to participation in developmental activities.
 These findings are useful and suggest ways in which organizations can increase
the motivation to participate in and learn from HRD interventions.

Trainability testing is one approach that can be used to ensure that trainees have both the
motivation and relevant ability to learn. This approach focuses on measuring the
motivation and relevant abilities of candidates for training and selecting the candidates
for training only those who show a sufficient level of trainability.

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Another approach for trainee testing is to allow candidates to complete part of the
training program and use their performance on that section as a predictor of how well
they will perform during the remainder of training.

Personality and attitudes: Although not explicitly mentioned in the definition of

trainability, a trainee’s personality and attitudes can also have an effect on learning. Ray
Not suggested that an employee’s attitudes toward career exploration and job
involvement impact learning and its applications to the job. Other researches have shown
that job involvement, expectations for training, and trainee confidence are all related to
success in training.

Personality is the stable set of personal characteristics that account for consistent patterns
of behavior. Personality traits that are related to employee learning include locus of
control, the need for achievement, activity, independence, and sociability. Murray
Barrick and Michael Mount reported the results of a meta-analysis showing that two
personality dimensions-extraversion and openness to experience-are valid predictions of
success in training. Joseph Martocchio and Jane Webster found that an individual’s level
of cognitive playfulness (which is in part the spontaneity, imagination, and exploratory
approach a person brings to task performance and learning) affects learning, mood, and
satisfaction with training. They also found that individuals with low levels of cognitive
playfulness were affected more by positive feedback than individuals with higher levels
of cognitive playfulness.

To summarize, assessing employee’s relevant abilities, motivation, and personality prior

to HRD programs can be important in maximizing the chances that learning will occur.
This approach to maximizing learning fits with Glaser’s notion that knowing the initial
state of the learner is an important part of effective training.

Training Design

Training design involves adapting the learning environment to maximize learning.

Training design issues include (1) the conditions of practice that influence learning and
(2) the factors that impact retention of what is learned.

Conditions of practice: At least six issues have been studied that relate to practice and
learning. They include (a) active practice, (b) massed versus spaced practice sessions, (c)
whole versus part learning, (d) over- learning, (e) knowledge of results, and (f) task
sequencing.

Active practice suggests that learners should be given an opportunity to repeatedly

perform the task or use the knowledge learned.

Massed versus spaced practice sessions concern whether to conduct the training in one
session or to divide it into segments separated by some period of time. In general,
information and skills can be learned either way, but spaced practice sessions with a
reasonable rest period between them lead to better performance and longer retention of

53
what is learned than a massed practice session. For difficult, complex tasks, an initial
massed session followed by spaced practice sessions has led to improved performance.

Whole versus part learning concerns the size of the unit to be learned, that is, should
trainees practice an entire task (or study certain material as a whole), or should the task or
material be learned in separate parts or chunks? Gagne suggested that procedural material
(material organized into series of steps) should be analyzed and divided into subunits,
with the trainees mastering each subunit before performing the entire procedure.

The answer to which method is most effective appears to depend on the nature of the task
to be learned. When the subtasks are relatively easy to perform and are well organized,
the whole value method is superior. Otherwise, the part methods have seen to be more
effective.

Over-learning is defined as practice beyond the point at which the material or task is
mastered.

The rationale for over-learning is three fold. First, over-learning may improve
performance in a variety of different situations. By developing stronger associations
between the parts of a task or unit of knowledge, it is less likely that situational changes
will interfere with learning. Second, over-learning provides additional practice in using
the skill or knowledge when there is little opportunity for doing so in the job setting.
Third, over-

learning should make what is learned more “automatic,” thereby improving performance
in stressful or emergency situations.

Research indicates that over-learning, in fact, increases the retention of what is learned.
Quite obviously, its major drawback is that over-learning can increase the time and
expense of training.

Knowledge of results, or feedback, provides objective information regarding the

adequacy of one’s performance, and it can come from observers, the performer, or the
task itself. A sizable body of research suggests that feedback enhances learning and
retention. Trainers and educators generally agree that feedback improves learning.
Researchers suggest that feedback is both informational- when it helps the learners to
determine that they have performed something correctly, and motivational- when it is
valued by the learner or indicates valued outcomes. The effectiveness of feedback also
seems to depend on how it is provided, especially in regard to timing and specificity. To
ensure that the learner clearly understands the relationship between the feedback and the
behavior, it should be provided as soon as possible after the behavior occurs. Further, the
attributions the individuals make about feedback can affect efficacy beliefs, with
feedback attributed to factors within the trainee’s control increasing perceptions of
efficacy.

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Finally, task sequencing suggests that tasks and knowledge can be learned more
effectively if what is to be learned is divided into subtasks that are arranged and taught in
an appropriate sequence. Gagne and colleagues provide guidelines for how task
sequencing can help in learning intellectual skills, motor skills, and attitudes.

To summarize, research on the various conditions of practice offers some practical

guidelines for designing more effective HRD interventions. In general, over-learning,
feedback, and practice sessions spaced over all tend to increase learning.

Retention of learning

The goal of training goes beyond ensuring that the trainee learns the task or material
being presented. It is usually important that newly learned material is retained. Three
additional issues that influence retention

are the meaningfulness of material, the degree of original learning, and interference.

The meaningfulness of material is the extent to which it is rich in associations for the
individual learner. For example, a new way of soldering circuits might be quite
significant to an electronics enthusiast, yet absolutely the meaningless to a professional
athlete or a hair stylist.

To put it simply, the more the meaningful factual material is, the easier it is to learn and
remember. Thus, training should be designed to be more meaningful to employees to
encourage learning retention. Overviews of topics at the beginning of training sessions
can help trainees understand the course content as a whole. Using examples and
terminology familiar to trainees and mnemonic devices (such as creating a word out of
the first letters of items in a list) also increase meaningfulness by providing more
associations.

The degree of original learning also influences learning retention. The more effectively
the information is initially learned, the more likely it will be retained. Though this is not
surprising, it does reinforce the research on over-learning, massed versus spaced practice,
and whole versus part learning as ways to ensure initial learning.

Interference can also affect the extent to which learning is retained. Interference can be of
two types. First, material or skills learned before the training session can inhibit recall of
the newly learned material. Second, information learned after a training session may also
interfere with retention. For example, a fighter trained to operate the power ladder on the
city’s older fire trucks may have difficulty in retaining that knowledge if a different
sequence of steps are to be learned for the same operation on a newer fire truck.

Both types of inferences are similar in that the learner is required to make different
responses to the same situation. The more responses one learns, the greater is the chances
for inference in learning to occur.

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Transfer of training is a recurring theme in HRD literature. A main goal of HRD is to
ensure that employees perform their jobs effectively. In addition to learning and retaining
new material, employees must also use

it on the job to improve performance. The transfer of training to the job situation is
critically important to the success of HRD efforts.

Transfer can take different forms. Positive transfer occurs when job performance is
improved as a result of training. Zero transfer occurs when there is no change in job
performance as a result of training. Negative transfer occurs when job performance is
worse as a result of training. Negative transfer may be unlikely, but the detrimental effect
inference can have on learning and performance. Tennis players, for example may find
that their tennis shots become less accurate after learning how to play racquetball.

Another distinction that should be made is between “near transfer” and “far transfer.”
Near transfer has to do with the ability to directly apply on the job what has been learned
in training, with little adjustment or modification, whereas far transfer has to do with
expanding upon or using what was learned in training in new or creative ways. It
obviously depends upon the context whether an organization is more concerned with near
transfer, far transfer, or both, though in most cases, far transfer is the best indicator that
training has been successful.

Individual Differences in the Learning Process

As discussed earlier, trainee characteristics play a role in the learning, retention, and
transfer of skills and factual material. The three additional factors that account for
differences in individual learning processes are different rates of trainee progress,
interactions between attributes and treatment, and the training of adults and older
workers.

Rate Of Progress

People learn at different rates. Some people progress more quickly than others, and
individual learners may even progress at different rates during the same training program.
For example, a new employee learning how to operate a punch press may show little
progress at first, making many mistakes, and then suddenly master the procedure and
quickly progress to competence.

A useful way to show rates of learning is by drawing learning curves. A learning curve is
plotted on a graph with learning proficiency indicated vertically on the y-axis and elapsed
time indicated horizontally on the x-axis. Five types of learning curves are shown in
Figure.

Types of learning curves

Adopted from Werner & DeSimone (2007). Human Resource Development, 4e.
Thomson South-Western.

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The learning curve for Trainee 1 shows a fast rate of learning, taking little time to achieve
high performance. The curve for Trainee 2 shows a slower rate of learning, with training
ending at a lower level of final performance than for Trainee 1. Trainee 3 reaches a
moderate level of performance quickly but then makes little further progress despite
continued practice. This contrasts to the progress of Trainee 4, who learns slowly at first
but steadily improves to a high level of performance. Finally, the S-shaped learning curve
for Trainee 5 shows rapid progress at first,followed by a period of little progress during
the middle of training, and then rapid progress in the latter part of training.

Learning curves can provide useful feedback to both trainers and trainee. For instance, if
a trainer notices a plateau (the flat part of a curve indicating no progress is being made), a
different approach, encouragement, or some other intervention may be needed for the
trainee to improve. When implementing a new HRD program, plotting learning curves
can be used as a baseline for communicating expectations of progress to future trainees
and trainers, and as aids in scheduling and planning future sessions.

Attribute-Treatment Interaction (ATI)

Interest in the effect of trainee intelligence on learning has led some researchers to
hypothesize that the effectiveness of training methods may be influenced by various
trainee characteristics. Stated simply, some methods of training may be better suited to
certain types of people. Thus, research on attribute-treatment interactions (ATI) has
sought to develop training systems that can be adapted to differences between individual
learners.

Two variables that have received considerable attention in ATI research are cognitive
ability and motivation. The expectancy theory of motivation suggests that when
motivation is low, both high-low-ability individuals will perform at low levels, but when
motivation is high, differences in performance can be expected between high-and low-
ability individuals. To date, researches have found little conclusive evidence of an
interaction between motivation and ability. Jeff Terborg stated that the mixed evidence
regarding the existence of a motivation-ability ATI may be due to differences in
complexity of the tasks studied. Terborg suggested that tasks of moderate difficulty
would be the place where ATIs would most likely occur.

An illustration of a well-developed ATI theory is the cognitive resource allocation theory

proposed by Ruth Kanfer and Philip Ackerman. Their theory uses an information
processing perspective to explain the existence of a cognitive ability-motivation ATI for
both skill acquisition and task performance of moderately difficult tasks.

Cognitive resource allocation theory is based on several propositions, which are

explained below:
1. The attentional demands made by a task will determine the contribution of both
ability and motivation to task performance.

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2. The attentional demands required to acquire a skill change during the skill acquisition
process. Skill acquisition occurs in three phases: declarative knowledge (forming a
mental representation of the task), knowledge compilation (integration of cognitive
and motor processes needed to perform a task), and procedural knowledge
(knowledge how to perform cognitive processes and being able to perform the task
“automatically,” with little attention). Attentional demands are highest during the
declarative knowledge phase, but are reduced significantly during knowledge
compilation and proceduralization.
3. Cognitive ability is related to the amount of attentional resources an individual has:
the higher the level of cognitive ability (e.g., general intelligence), the more
attentional resources the individual has. For example, research shows that intelligence
predicts performance is best during the declarative knowledge phase (when
attentional demands are high) and predicts performance are less during the procedural
knowledge phase (when attentional demands are low).
4. Motivational processes places a limit on the amount of cognitive resources available
(e.g., attention) that an individual will apply to a task (e.g., the more the motivation,
the more attention the individual will apply to the task). In addition, motivational
processes that determine how the individual have allocated cognitive resources (e.g.,
self-regulation, goal setting) require cognitive resources themselves, thereby using
resources that could be used to learn or perform the task. Therefore, to the extent that
motivational processes use cognitive resources that can be taken from the resources
needed to perform the task, Task performance will be hindered rather than facilitated
by the motivational attempt.

Cognitive resource allocation theory predicts that:

1. Individuals with higher levels of cognitive ability will perform than those with lower
levels of cognitive ability during the declarative

2. knowledge phase (because they have more attentional resources with them), but that
the differential will decrease as the knowledge becomes procedural (because
attentional demands are reduced during this phase).
3. Motivational efforts will reduce performance during the declarative knowledge phase
(because they use part of the limited attentional resources available to learn the task),
but enhance performance during the compilation and procedural phases (because
attentional demands of these phases are less, freeing up resources for motivational
process), especially for low-ability individuals.
4. The negative impact of using attentional resources for motivation during the
declarative knowledge phase will have less of an impact on high-cognitive-ability
individuals (because they have a greater amount of resources to draw upon).
5. The research conducted to date supports these predictions. It appears as though ability
and self-efficacy are better predictors of performance in the early stages of skill
acquisition, whereas motivation is a better predictor of performance during later
stages. Perhaps the most direct implication of this research is that motivational efforts
may be best saved until later phases of training for moderately complex tasks when
they are likely to harm performance and more likely to lead to higher levels of
performance.
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Learning Strategies and Styles

Another perspective on the learning process and how to maximize learning examines as
to what people do when they learn. Learning styles and strategies can be important in
determining learning outcomes.

Kolb’s learning styles

David Kolb, a leading theorist on experiential learning, stated that the learning process is
not the same for all people. Because of the complex nature of the learning process, there
are opportunities for individuals’ differences and preferences to emerge. A learning style
represents how an individual choice made during the learning process affects the
information selected and how it is processed. Kolb illustrates the notion of learning styles
by observing how people learn to play pool game:

Some people just step up and hit the ball without bothering to look carefully as where
their shot went unless it went in the pocket. Others seem to go through a great deal of
analysis and measurement but seem a bit hesitant on the execution. Thus, there seem to
be distinctive styles or strategies for learning and playing the game.

Differences in learning styles can explain why some individuals are more comfortable
and successful with some training approaches (e.g., role playing, lectures, and
videotapes) than others. Similarly, learning style differences among trainers can also
contribute to their preferences for certain training approaches over others. Kolb theorizes
that an individual’s learning style is based on that person’s preferred modes of learning.

A mode of learning is the individual’s orientation toward gathering and processing

information during learning. Kolb proposed four basic modes of experiential learning:

1. Concrete Experience (CE) An intuitive preference for learning through direct

experience, emphasizing interpersonal relations and feeling as opposed to
thinking. For example, someone using this mode to learn about job politics would
personally use various political tactics in different group situations to get a sense
of how each one feels, while also gauging others’ responses during each
interaction.
2. Abstract Conceptualization (AC) A preference for learning by thinking about an
issue in theoretical terms. For example, a person using this mode to learn about
job politics would analyze political tactics and their implications, perhaps
consulting or constructing a model that includes abstract representations of the
components of political activities.
3. Reflective Observation (RO) A preference to learn by watching and examining
different points of view to achieve an understanding. For example, people using
the RO mode to learn about job politics would most likely observe others
involved in political activities and reflect on what they have seen from a variety of
perspectives.
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 4. Active Experimentation (AE) A preference for learning something by actually
doing it and judging its practical value. For example, someone using this mode to
learn about job politics might experiment with various political tactics,
determining their effectiveness by the amount of influence they had on other
people.

Kolb argues that an individual’s learning style often combines two modes of learning,
such as abstract conceptualization and active experimentation (thinking and doing). Each
learning style emphasizes some learning abilities and de emphasizes others. Both on his
own work and the work of earlier theorists (including Lewin, Dewey, and Piaget), Kolb
identified four learning styles:

1. Divergent A combination of concrete experience and reflective observation

(feeling and watching), emphasizing imagination, an awareness of values, and the
ability to generate alternative courses of action.
2. Assimilation A combination of abstract conceptualization and reflective
observation (thinking and watching) that stresses inductive reasoning, the
integration of disparate observations into an explanation, and the creation of
theoretical models.
3. Convergent A combination of abstract conceptualization and active
experimentation (thinking and doing), with a focus on problem solving, decision
making, and the practical application of ideas.
4. Accommodative A combination of concrete experience and active
experimentation (feeling and doing), this style is usually demonstrated by
accomplishment, expecting plans, and involvement in new experiences.

Kolb developed a questionnaire called the Learning Style Inventory (LSI). The LSI,
currently marketed by the Hay Group (Hay Resources Direct), assesses an individual’s
orientation toward the four modes of the learning process (CE, RO, AC, and AE). Scores
also reflect the individual’s tendencies toward abstractness over concreteness and action
over reflection.

Kolb’s theory and LSI can help HRD professionals, supervisors, and employees identify
and appreciate different approaches to learning. As a result, interventions can be tailored
to individual learner preferences in both traditional HRD programs and in those using
computerized instruction.

Learning Strategies

Similar to Kolb’s modes of learning, learning strategies represent the “behavior and
thoughts a learner engages in during learning.” Learning strategies are the techniques the
learners use to rehearse, elaborate, organize, and/or comprehend new material as well as
to influence self- motivation and feelings.
Learning Strategies can be Grouped into Various Categories:

1. Rehearsal strategies (e.g., repeating items in a list; underlining text in an article;

copying notes)
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 2. Elaboration strategies (e.g., forming a mental image; taking notes, paraphrasing,
or summarizing new material)
3. Organizational strategies (e.g., grouping or ordering information to be learned;
outlining an article; creating a hierarchy of material)
4. Comprehension monitoring strategies (e.g., self-questioning)
5. Affective strategies (increasing alertness; relaxation; finding ways to reduce test
anxiety)

HRD efforts have applied learning strategies in learning-to- learning programs, which
seek to provide learners with the skills necessary to learn effectively in any learning
situation. Given the dynamic nature of organizations and the environment, there is now a
greater pressure on individuals to learn throughout their lives. Learning-to-learn
programs are aimed at enhancing the learning process and making individuals more
independent. The programs emphasize selecting those learning strategies needed to cope
effectively with the nature of the material and the demands of the learning situation.
Clearly, if employees can acquire and become skilled in applying a variety of learning
strategies, they are likely to benefit more from both formal learning opportunities (such
as training programs) as well as informal ones (such as a problem-solving meeting).

Perceptual Preferences

Just as individuals have preferences for the types of information they seek out in learning
situations and how they processes it, they also have preferences for the sensory channels
they use to acquire information.

For example, someone who asks you for directions may request that you write the
directions out, draw a map, explain them verbally, or use some combination of these
three.

Wayne James and Michael Galbraith proposed seven primary perceptual preferences:

1. Print (reading and writing)

2. Visual (such as graphs and charts)
3. Aural (auditory, e.g., listening)
4. Interactive (discussing, asking questions)
5. Tactile/ manipulative (hands-on approaches, such as touching)
6. Kinesthetic/ psychomotor (role playing, physical activities)
7. Olfactory (association of ideas with smell or taste)

Perceptual preferences imply that trainers should, if possible, tailor their material and
techniques to match trainee preferences. Training was provided either by a lecture or by a
hands-on, simulation approach. Trainees with auditory preferences learn substantially
more when taught
An organization following effective HRD practices would have completed Phase I of the
training and HRD process - needs assessment and obtained the information along with

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organisational constraints and learning theories which are the inputs for designing
effective HRD programs.
We recognize that in some cases the availability of needs assessment data may be limited.
Although HRD practitioners may feel that it will be difficult to design effective training
programs, sometimes they must improvise and make the best of such suboptimal
situations. At the same time, every effort should be made to persuade the management to
identify the importance of conducting needs analysis and prioritizing HRD needs, as time
and resources allow.

With such an array of training methods and media available (as seen in Table), how does
a HRD professional choose as to which approach is most appropriate for maximum
learning? Several factors should be considered:

1. The objectives of the program This factor is paramount. As will be clear, some
approaches are more appropriate for achieving particular objectives than others. For
example, if the objective is to improve interpersonal skills, then more active approaches
such as videotaping, role playing, or behavior modeling would be better choices than the
lecture or computer-based training methods.
2. Time and money available In an ideal world, we would have all the time and money
needed to accomplish our goals. Unfortunately, in many organizations, managers
often ask the HRD department to design and implement programs quickly, while
spending as little money as possible. Competing needs may also force HRD
professionals to select certain approaches because of its low cost. For example, when
designing a program to train mechanics to repair a complicated mechanical system,
an interactive, computer- based program may be appropriate, but because of its cost,
the HRD professional may have to accept for a combination of traditional classes
(using lecture, discussion, and reference books) and on-the- job training.
3. Availability of other resources Some methods require highly trained trainers and
specialized equipment and facilities to be delivered effectively. Again, trade-offs are
likely to be made by choosing alternative approaches with less cost resources.
4. Trainee characteristics and preferences The issues here are on both the trainee’s
readiness and the diversity of the target population. Methods such as computer-based
training require a fairly high level of literacy. If literacy or fluency is a problem,
either a less reading- and writing-intensive method (such as videotape) may be used,
or literacy training must be done first. Similarly, because individuals have different
learning styles, some training methods may be more appropriate than others. For
example, Ronald Sims states that, in designing any program, trainers must pay
particular attention to the principles of learning laid out in Chapter 3, and in particular
to the learning styles described by David Kolb.
In the end, the selection of training methods and media requires that program designers
have the knowledge of different HRD techniques, and then use sound judgment in their
decision making. HRD professionals should investigate all available methods, and when
in doubt, consult experienced colleagues, instructional designers, and consultants.
, particularly those who have family obligations or other personal commitments. Even
when employees know about a scheduled training program in advance, family problems
could arise, causing some trainees to miss In the end, the selection of training methods

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and media requires that program designers have the knowledge of different HRD
techniques, and then use sound judgment in their decision making. HRD professionals
should investigate all available methods, and when in doubt, consult experienced
colleagues, instructional designers, and consultants.

Preparing Training Materials

After the training methods have been selected, the next logical step is to prepare or
purchase the training materials, depending upon whether the program is purchased or
designed by the organization. If a training program is purchased from an outside vendor,
training materials such as books, handouts, and videos will usually be part of the
package. Programs designed in-house will require the preparation of materials. If the
program is similar to past training programs, those materials may simply need to be
modified to fit the current program.

Many kinds of training materials are used, but our discussion here is on program
announcements, syllabi or program outlines, training manuals, and textbooks.

Program Announcements

Program announcements inform the target audience about the training program. The
announcement should indicate the purpose of the program, when and where it will be
held, and how the employee can qualify to participate in the program. Sufficient lead time
should be given to employees so that they can adjust their schedules and process the
necessary request forms. Typically, announcements are sent through supervisory
channels, union stewards, company newsletters, an organization’s intranet, or mailed
individually to employees. Some organizations designate a bulletin board for announcing
training opportunities or make use of electronic mail systems. Some organizations
publish periodic bulletins to provide this information.

Program Outlines

Program outlines (or course syllabi)are documents that

communicate the content, goals, and expectations for the program. Typically provided at
the beginning of the program, these include such things as course objectives, topical areas
to be covered, materials or tools needed requirements of each trainee, and a tentative
schedule of events. The program outline can be used to establish behavioral expectations
including punctuality, attendance, work habits, class participation, and courtesy toward
other trainees. Such expectations should be clearly

explained. For example, it is important for the trainees to be present at all sessions if
training content is sequenced. The attendance policy should reflect this requirement and
explain that any trainee who is absent may be required to begin a new program from the
start.

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Training Manuals or Textbooks
Most trainers rely on a training manual or textbook for the basic instructional material,
readings, exercises, and self-tests. Some documents are organized into modules that make
it easy to organize the training program into sessions. Textbooks provide a broad
treatment of the subject, whereas training manuals are better known for their brevity and
hands-on approach. Trainers who decide to use a textbook would normally contact the
publisher and determine whether individual modules can be purchased separately, how
useful other trainers find the item, and how easily the item can be customized to the
needs of the organization. In addition to these factors, the purchase price should be
compared with the cost of producing a comparable training manual. For example,
Thomson/South-Western has an active custom publishing operation (called Text Choice)
that allows educators and trainers to select portions of their content as well as add
original materials to create a customized textbook.

Training manuals can be readily produced by an organization, particularly given the

availability of desktop publishing software. The production cost would include staff time
for curriculum design and writing, cost of equipment, and printing. The availability of
desktop publishing software and laser printers makes it much easier to produce a high
quality training manual in-house, but still there is a large demand for the manual, as it is
usually less expensive in the long run to purchase a commercially produced manual.

Scheduling the HRD Program

The task of scheduling training or a HRD program may seem relatively straightforward
when compared to other decisions made by the trainer, but this is definitely not the case.
Organizations can be busy, hectic, and unpredictable environments, may make the
scheduling HRD and other activities very difficult. The goal in scheduling a HRD
program is to ensure that the participants (both trainer and learners) are available and

have their attention focused on the learning task at hand. In this section, we will discuss
some of the issues HRD professionals should consider when scheduling programs. The
discussion applies to scheduling programs that require participants to be in attendance at
the time the program is delivered. In contrast, one of the main advantages of individually
oriented delivery methods, such as CD-ROM or self-paced instruction, is that such
approaches can be done whenever the participants have the time to do them.

Scheduling During Work Hours

One popular option for program scheduling is to run the program during normal working
hours. This timing both avoids outside conflicts (such as commuting, family, and
personal obligations) and sends a message to employees that learning is an important part
of their job. While scheduling a program during normal work hours, the HRD
professional should consider factors such as the day of the week, time of day, peak work
hours, staff meeting times, and travel requirements. The day of the week becomes an
issue because employees often favor some days for time off, such as Monday, Friday, and
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the days surrounding a holiday. Employees may wish to extend their weekends and
holidays, so these days are often avoided (if possible) when scheduling training.

Time of day is another factor. Programs scheduled for the start of the workday may face a
significant proportion of tardy or tired participants. Scheduling a program for the lunch
hour may require building in time for employees to eat during the program, providing
lunch, or requiring employees to eat before or after training. Mid afternoon programs
coincide with the time that many people’s circadian rhythms are at a low point, resulting
in sluggishness and shorter attention spans. To combat this, the program should include
active participation, break periods, or the availability of light snacks and beverages. In
addition, employees attending programs scheduled close to quitting time may be
distracted or have to leave early to attend to personal or family demands. Obviously, a
program has to be scheduled sometime, but the wise trainer will note these issues and
take steps to deal with them as best as possible.

In addition to day of the week and time of day, other working- hour constraints may be
unique to particular organizational units or

occupational groups. These include peak work hours, staff meeting times, and travel
requirements. Peak work hours are the times of the day, week, month, or year that
departments are the busiest and when scheduling training program would cause a
potential conflict. For example, scheduling a professional development program for
accountants and auditors during tax season would prevent most potential participants
from attending. Managers and supervisors should also be contacted before scheduling
pro¬grams to determine if participants have any staff meetings, travel requirements, or
any other special scheduling needs. This information will help the trainer to select the
best times and develop contingency plans for any potential conflicts.

Scheduling After Work Hours

Sometimes, HRD programs are scheduled after work or during the weekend to avoid
some of the organizational constraints previously discussed. This approach can create
other problems. Extending the workday and workweek can cause a hardship for some
employeesimportant training sessions. Another problem is fatigue. Employees may be
physically tired from a day’s work and may not be mentally alert. Even when after-work
and weekend programs do not cause hardships, many employees are reluctant to give up
their leisure time. In these situations, some organizations provide inducements, including
overtime pay, compensatory time (equal time off), and training as a qualification for
promotion and leisure activities to coincide with the training session.
Training Delivery Methods

The third phase of the training process is implementing training and HRD programs.
(Figure shows where these activities fit within the training and HRD process model.)

Learning covered differences between expert and novice levels of employee

performance. Clearly, training is intended to increase the expertise of trainees in a

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particular area. While thinking about the training method (or methods) to be used, it is
useful to consider the current level of expertise that trainees possess. Figure depicts a
learning pyramid. At the bottom are learning prerequisites, that is, the basic skills or
knowledge the learner needs to get started. As the figure suggests, the novice learner may
easily get confused or anxious, and therefore novice trainees generally require more
guided or instruction-centered training methods. In contrast, as the trainees’ existing level
of expertise increases, they become more creative and confident. Thus, the desired or
ideal training methods are also likely to shift more toward exploratory or experiential
methods.

Training methods can be classified on the basis of whether they take place on the job
versus away from the employee’s normal work setting. Table lists the on-the-job,
classroom, and self-paced training methods of this chapter. Other training methods used
for particular audiences (such as mentoring for management development) is also
discussed.

On-the-Job Training (OJT) Methods

On-the-job (OJT) training involves conducting training at a trainee’s regular work place
(desk, machine, etc.). This is the most common form of training; most employees receive
at least some training and coaching on the job. Virtually any type of one-to-one
instruction between coworkers or between the employee and the supervisor can be called
as OJT. On-the- job training has been promoted as a means for organizations to deal with
the shortage of applicants who possess the skills needed to perform many current jobs,
and as a means for organizations to deal with accelerating market cycles. Unfortunately,
much on-the-job training is conducted informally, without formal structure, planning, or
careful thought.

Structured OJT programs are generally conducted by an assigned trainer who is

recognized, rewarded, and trained to provide appropriate instructional techniques. A
survey of OJT practices found that (1) supervisors, coworkers, and to a lesser degree,
HRD staff members conducted most of the structured OJT programs; (2) a majority of
organizations provided train-the-trainer programs for these assigned OJT trainers; and (3)
top management generally expressed support for structured OJT programs. Formal OJT
has two distinct advantages over classroom training.

First, OJT facilitates the transfer of learning to the job because the trainee has an
immediate opportunity to practice the work tasks on the job. Transfer the learning is
enhanced because the learning environment is the same as the performance environment.
Second, OJT reduces training costs because no training facilities are needed.

There are, however, several limitations to OJT. First, the job site may have physical
constraints, noise, and other distractions that could inhibit learning. Many of these cannot
be changed because of the nature of the job. Second, using expensive equipment for

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training could result in costly damage or disruption to the production schedule. Third,
using OJT while customers are present may inconvenience them and temporarily reduce
the quality of service. Fourth, OJT involving heavy equipment or chemicals may threaten
the safety of others who are working in close proximity. Precautions should be taken by
the trainer to minimize the potential problems from these four areas.

Training methods and techniques

In many cases, OJT is used in conjunction with off-the-job training. For example, KLM
Royal Dutch Airlines uses classroom-based training to provide initial customer service
training for new flight attendants. However, follow-up training is conducted on
evaluation flights. Trainees are asked to demonstrate their service delivery skills on the
evaluation flights in front of experienced flight attendants. There are at least four
identifiable OJT techniques, including job instruction training (JIT), job rotation,
coaching, and mentoring. Now we will see these in detail.

Job Instruction Training (JIT)

JIT is defined as a sequence of instructional procedures used by the trainer to train

employees while they work in their assigned job. It is a form of OJT. The content of a JIT
program is distinguished by its simplicity. Table details a simple four-step process that
helps the trainer and they are to prepare the worker, present the task, and allow practice
time and follow-up. Preparing the workers is important because they need to know what
to expect. Preparation may include providing employees with a training manual,
handouts, or other job aids that can be used as references. Presenting the task should be
carried out in such a way that the trainee understands and replicate the task. Some trainers
demonstrate the task before asking the trainee to repeat the process. Practice time is
important for the trainee to master a particular set of skills. Finally, the trainer needs to
conduct a follow-up as a way of ensuring that the trainee is making progress. During this
follow-up session, the trainer should apply coaching techniques when appropriate.

The success of JIT depends on the ability of the trainer to adapt his or her own style to
the training process. The trainer, particularly if this person is the trainee’s coworker or
supervisor, should have an opportunity to assess the trainee’s needs before beginning the
training. If the training material is too difficult or too easy, the OJT trainer should adjust
the material or techniques to fit the needs of the trainee. Once the trainees have
demonstrated that they can do the work, they should be allowed to work on their own.
However, it is important for the trainer or supervisor to check back periodically to answer
questions and make sure everything is going well.

Job Rotation

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Job rotation is the approach where the trainee is generally expected to learn more by
observing and doing than by receiving instruction. Rotation, as the term implies, involves
a series of assignments to different positions or departments for a specified period.
During this assignment, the trainee is supervised by a department employee, usually a
supervisor, who is responsible for orienting, training, and evaluating the trainee.
Throughout the training cycle, the trainee is expected to learn how each department
functions, including some key roles, policies, and procedures. At the end of the cycle, the
accumulated evaluations will be used to determine the preparedness of the trainee where
the person will be permanently assigned.

Job rotation is frequently used for first-level management training, particularly for new
employees. When this technique is used, it is generally assumed that new managers need
to develop a working knowledge of the organization before they can be successful
managers. Two other forms of on-the-job training, coaching and mentoring, also involve
one-to-one instruction. Coaching typically occurs between an employee and that person’s
supervisor and focuses on examining employee performance and taking actions to
maintain effective performance and correct performance problems. In mentoring, a senior
manager is paired with a more junior employee for the purpose of giving support, helping
the employee learn the job, and preparing responsibility.

Classroom Training Approaches (Off the Job Methods)

Classroom training approaches are conducted outside of the normal work setting. In this,
a classroom can be a training space away from the work site, such as the company
cafeteria or a meeting room. Although many organizations capitalize on whatever usable
space they have made available to conduct training sessions, some larger organizations
maintain facilities that serve as freestanding training centers. Conducting training away
from the work setting has several advantages over on-the-job training. First, classroom
settings permit the use of a variety of training techniques, such as video/DVD, lecture,
discussion, role playing, and simulation. Second, the environment can be designed or
controlled to minimize distractions and create a climate conducive to learning. Third,
classroom settings can accommodate larger numbers of trainees than the typical on-the-
job setting, allowing for more efficient delivery of training. On the other hand, two
potential disadvantages of classroom training methods are: increased costs and
dissimilarity to the job setting, making transfer of training more difficult.

Five primary categories of classroom training methods are:

1. Lecture
2. Discussion
3. Audiovisual media
4. Experiential methods
5. Computer-based training (classroom-based)

The Lecture Approach

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The lecture method involves the oral presentation of information by a subject matter
expert to a group of listeners. As we have noted, the lecture continues to be a popular
training technique. One of the reasons the lecture method is so popular is that it is an
efficient way of transmitting factual information to a large audience in a relatively short
amount of time. When used in conjunction with visual aids, such as slides, charts, maps,
and handouts, the lecture can be an effective way to facilitate the transfer of theories,
concepts, procedures, and other factual material.

And the lecture method has been widely criticized, particularly because it emphasizes
one-way communication. It has been suggested that the lecture method perpetuates the
traditional authority structure of organizations, thus promoting negative behavior (such as
passivity and boredom), and it is poorly suited for facilitating transfer of training and
individualizing training. Similarly, although a skilled lecturer may effectively
communicate conceptual knowledge to trainees who are prepared to receive it, the lecture
has little value in facilitating attitudinal and behavioral changes. Trainees must be
motivated to learn otherwise, when it is used alone, the lecture method does not elicit
audience responses. A related disadvantage of the lecture method is the lack of sharing of
ideas among the trainees. Without dialogue, the trainees may not be able to put things
into a common perspective that makes sense to them. Also, many people claim to dislike
the lecture method.

The Discussion Method

The discussion method involves the trainer in two-way communication with trainees, and
the trainees in communication with each other. As active participation is encouraged, the
discussion method offers trainees an opportunity for feedback, clarification, and sharing
points of view. Given this dynamic, the discussion technique can overcome some of the
limitations of the straight lecture method. A common maxim for discussion facilitators is,
“Never does for the group what it is doing for itself.” However, the success of this
method is dependent upon the ability of the trainer to initiate and manage class discussion
by asking one or more of the following types of questions:

➢ Direct questions can be used to illustrate or produce a very narrow response

➢ Reflective questions can be used to monitor what someone else has said to make
sure the message was received as intended

➢ Open-ended questions can be used to challenge the trainees to increase their

understanding of a specific topic.

Managing discussion goes beyond questioning participants. The trainer must ensure that
the trainees are reinforced for their responses. The trainer must also act as a gatekeeper,
giving everyone an opportunity to express their point of view and not letting the
discussion be dominated by a few vocal participants. Managing discussion in large
training classes can be difficult. Not only the opportunities for an individual to participate
are reduced in large group, some participants may feel intimidated and be reluctant to get

69
involved. Dividing a large class into smaller discussion groups, which can then share
their ideas with other groups, can increase the opportunity for discussion.

There are several limitations of the discussion method. First, a skilled facilitator is needed
to manage the discussion process. Skill in facilitating a discussion is not something that
one acquires quickly; skilled facilitators have generally practiced extensively and
prepared thoroughly before leading a discussion. Second, sufficient time must be
available for meaningful discussion to take place. Third, trainees need to have a common
reference point for meaningful discussion to occur. Assigning and reading material before
the discussion session can help overcome this obstacle. On balance, most trainers and
trainees find a well-done discussion to be more interesting and energizing than a
traditional lecture. Of course, adequate time, motivation, and resources must be made
available for this method to work effectively, (but then, this is true of any method of
delivering training).

Audiovisual Media

Both the lecture and discussion methods are limited in their ability to adequately portray
dynamic and complex events. Audiovisual methods take advantage of various media to
illustrate or demonstrate the training material. Audiovisual media can bring complex
events to life by showing and describing details that are often difficult to communicate in
other ways. For the purposes of this chapter, we categorize audiovisual methods into
three groups: static media, dynamic, and telecommunications.

Static media typically involve fixed illustrations that use both words and images. This can
include printed materials, slides, and overhead transparencies. Printed materials, such as
handouts, charts, guides, reference books, and textbooks, allow trainees to keep the
material, referring it before, during, and after the training session. Slides are often used in
ways similar to printed materials, but by projecting a computer-or camera-generated
image onto a screen, they can serve as a common focus for discussion. Slides can also be
synchronized with audiotapes to form a standardized presentation. Such a setup can be
delivered without using a skilled trainer; at a minimum, someone is needed to operate and
monitor the equipment (slide projector and tape player). Overhead transparencies also
allow the trainer to project printed materials or other images on a screen. Transparencies
can be more flexible than slides because the trainer can also write on the transparency
sheets, turning the screen into a sort of chalkboard.

The use of computer-generated slides (such as Microsoft PowerPoint presentations) has

increased dramatically in recent years. Some go so far as to argue that “the ability to
prepare a slide presentation has become an indispensable corporate survival skill.”

Dynamic media Technique that present dynamic sequences of events are considered
dynamic media and include compact discs (CDs), DVDs, diskettes, videotape, films, and
audiocassettes. There are literally thousands of commercially produced films, videos, and
DVDs are available to HRD professionals through film libraries, professional societies,
and retail outlets. Many training vendors emphasize the sale or rental of training DVDs

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and videos. In addition, many organizations are able to produce their own videos at a
relatively low cost. For example, Southwest Airlines produced a nine-minute rap music
video that introduces employees to work procedures and company operations, while at
the same time conveying the team spirit and fun-oriented culture that typifies the
company.

An effective DVD or video takes advantage of the capabilities of the medium rather than
simply reproducing a printed or static presentation. Unfortunately, many videos are
indeed little more than reproductions of traditional lectures. Some HRD professionals
argue that the baby boomers and later generations, who grew up watching films and
television, may actually prefer this form of presentation. Yet, one potential limitation of
this technique is that trainers may rely too much on the film or video, and focus too little
on the training content. Such reliance can lead to complacency among trainees who view
the films and videos as entertainment, rather than as opportunities to learn.

Video tape is also used as a visual aid for behavior modeling training by recording role
plays and then asking group members to critique their experience while they watch the
video. For example, a sales training program may include a videotaping segment, so that
trainees can observe themselves performing an in-class exercise on how to close a sale.
This approach also provides an opportunity for the trainer to reinforce desired behaviors.
One potential limitation of this technique is that trainees may feel intimidated by the
camera and may even resent the process. To offset this limitation, the trainer must be
supportive and create a “safe” environment during the program.

Telecommunication The transmission of training programs to different locations via

telecommunications has become increasingly feasible via satellite, cable, and fiber optic
networks. Linking several locations for instructional and conference purposes are known
an instructional television (ITV), or interactive television, which allows entire course to
be televised. Telecommunication technology also allows organizations to conduct
conferences between remote locations. This technique is known as teleconferencing, or
videoconferencing, is being used by organizations such as JCPenney, IBM, AT&T,
Domino’s Pizza, and Texas instruments. JCPenney also sells this service to other
organizations. Colleges and universities are also taking advantage of teleconferencing
facility to benefit both their students and corporate clients. Teleconferencing helps
organizations to reduce trainer, travel, and facility costs, and it increases the availability
of training to remote locations.

Studies have consistently shown that audiovisual training methods like film, television,
and videoconferencing are as effective, as other methods are (Primary lecture). Given the
choices available, HRD professionals must select the most appropriate audiovisual
method for each particular HRD program. Kearsley made five recommendations
concerning media selection:

1. Identify the media attributes required for the

conditions, performance, or standards of each instructional objective.
2. Identify student characteristics that suggests or preclude particular media.

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 3. Identify characteristics of the learning environment that favor or preclude
particular media
4. Identify practical considerations that may determine which media are feasible.
5. Identify economic or organizational factors that may determine which media are
feasible.

This list includes both learning-related and practical considerations. Rothwell and
Kazanas pose several further questions that can guide the proper selection of audiovisual
methods:

1. How much time is available to plan and test instruction?

2. What equipment is available to use in designing or delivering instruction, or in
doing both?
3. For what media instructional designers prepare instruction? Do staff skills lend
themselves to some media better than others?
4. How much is an organization willing to spend on the design and development of
instruction?

5. Readers who want to know more about these various audiovisual methods and how to
select among them would do well to consult other sources.

Experiential Methods

So far, we have discussed training methods that focus primarily on presentation of

training content. In many of these methods, such as video and lecture, the learner is
generally assumed to be a passive (or somewhat passive) recipient of information.
Experiential learning advocates, such as David Kolb, state that effective learning requires
active engagement on the part of the learner. Keys and Wolfe summarize this point of
view as follows:

Experientialists believe that effective learning is an active experience that challenges the
skills, knowledge, and beliefs of participants. This is accomplished by creating a
contrived, environment that is both challenging and psychologically safe for the
participant to investigate and to employ new concepts, skills, and behaviors. Experiential
instructors recognized that learners bring to the learning environment a set of
accumulated knowledge and learning methods that are simultaneously functional and/ or
dysfunctional depending on the learning situation.

Experiential training methods that are commonly used in organizations include case
studies, games and simulations, role playing, and behavior modeling. These methods fall
more toward the exploratory side of the learning continuum presented in Figure. Each of
these methods is described in the following sections.

The case study method helps trainees learn analytical and problem-solving skills by
presenting a story (called a case) about people in an organization who are facing a
problem. Cases may be based on actual events involving people in an organization, or

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they can be financial. Case studies are typically included in college textbooks and courses
in management, public administration, law, sociology, and similar subjects. They are
increasingly available in video, DVD, and other media formats and not just on paper.

Although cases vary in complexity and detail, trainees should be given enough
information to analyze the situation and recommend their own solutions. In solving the
problem, trainees are generally required to use a rational problem-solving process that
includes:

1. Restating important facts

2. Drawing inferences from the facts
3. Stating the problem or problems
4. Developing alternative solutions and then stating the consequences of each
5. Determining and supporting a course of action

Cases can be studied by individuals or small groups, and the completed analysis and
solutions are typically presented by the trainees to the rest of the class. Proponents of the
case study method argue that this form of problem solving within a management setting
offers illustrations of the concepts students are expected to learn and use, improves
communication skills, and facilitates the linkage between theory and practice. Proponents
also claim that cases allow students to discuss, share, and debate the merits of different
inferences, problems, and alternative course of action. Such insight can help students to
develop better analytical skills and improve their ability to integrate new information.

The case study method has vigorous critics who argue that it can cause groupthink,
focuses too much on the past, limits the teaching role of the trainer, reduces the learner’s
ability to draw generalizations, reinforces passivity on the part of the learner, and
promotes the quantity of interaction among students at the expense of the quality of
interaction. Andrews and Noel claim that cases often lack realistic complexity and a
sense of immediacy, and inhibit development of the ability to collect and distill
information. In addition, trainees may get caught up in the details of the situation, at the
expense of focusing on the larger issues and concepts they are trying to learn.

To overcome these limitations, the trainer should make expectations clear and provide
guidance when needed. In addition, the trainer must effectively guide the discussion
portion of the case study to ensure trainees have an opportunity to explore differing
assumptions and positions they have taken and the rationale for what constitutes effective
responses to the case. The point in discussing cases is not necessarily to find the ‘right”
solution, but to be able to provide a reasoned and logical rationale for developing a
course of action.

Business games and simulations like the case method, business games are intended to
develop or refine problem-solving and decision- making skills. However, this technique
tends to focus primarily on business management decisions (such as maximizing profits).
It is estimated that 25 percent of organizations use non-computer-based games or
simulations, with 10 percent using computer-based games or simulations.

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Business games, particularly computer simulations of organizations and industries, are
widely used in business schools. A review of sixty- one studies supported for the
effectiveness of business games in strategic management courses. Whether these results
can be generalized to organizational settings can be mute question.

Another type of simulation used in management development programs and assessment

centers is the in-basket exercise. The goal of this technique is to assess the trainee’s
ability to establish priorities, plan, gather relevant information, and make decisions. The
sequence of events involved in an in-basket exercise typically includes the following:

1. The trainees are told that they have been promoted to a management position that
was suddenly vacated. They are given background information about the
organization including personnel, relationships, policies, and union contracts.
2. The trainees then receive the contents of the manager’s in-basket. This material
includes documents such as telephone messages, notes, memos, letters, and
reports.
3. The trainees are then asked to read, organize, prioritize, and make decisions
regarding the issues presented by the in-basket material.
4. At the end of the decision period, the trainees’ decisions are then evaluated by
trained scores.

The object of this technique is to force trainees to make decisions in the allotted time
period. Because there is usually insufficient time to read each document and respond, the
trainees must make quick and accurate decisions. The trainees are evaluated not only on
the quality of their decisions but also on their ability to prioritize and to deal effectively
with all the critical documents. Research on the in-basket technique has shown that it is
successful in improving trainee effectiveness, as well as in predicting future managerial
effectiveness, either alone or in combination with other devices.

One limitation of business games and simulations is that although they can be quite
complex, these techniques often lack the realistic complexity and information present in
real organizations. Factors such as organizational history and politics, social pressures,
the risks and consequences of alternatives, and the organization’s culture are difficult to
replicate in a simulation. This may undermine the extent to which what is learned in the
game or simulation will transfer back to the job.

In addition, many games and simulations emphasize the use of quantitative analysis in
making business decisions and underplay the importance of interpersonal issues in
managerial effectiveness.

Role playing A popular training technique, namely role playing is reportedly used by 35
percent of organizations. In the role-playing technique, trainees are presented with an
organizational situation, assigned a role or character in the situation, and asked to act out
the role with one or more of the other trainees. The role play should offer trainees an
opportunity for self-discovery and learning. For example, a management development
program could include a role play situation emphasizing interpersonal conflict between a
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manager and a subordinate. Management trainees would have an opportunity to play the
role of both the manager and the subordinate, in order to understand some of the
dynamics of this situation, as well as practice interpersonal skills. The value of this
technique is enhanced by conducting a feedback session following the role-play, in which
trainees and the trainer criticize the role player’s performance. In many organizations, the
role episode is videotaped, as discussed earlier, which allows for better feedback and self-
observation.

Although self-discovery and opportunity to practice interpersonal skills are out-comes of

role playing this method do have some limitations. First, as discussed earlier, some
trainees may feel intimidated by having to act out a character (and possibly be videotape
doing so).Trainer should take sufficient time in introducing the exercise, emplaning the
process in detail, and most of all, emphasizing how participation will help each trainee to
better understand and apply different interpersonal skills.

A second limitation of the technique is the extent to which trainees are able to transfer
this learning to their jobs. Some trainees may perceive role playing as artificial or as a fun
and game, but not as a legitimate learning tool. Trainees who do not take this technique
seriously may interfere with other trainees’ learning. The trainer must manage the process
effectively and keep reinforcing the importance of participation.

Behavior modeling Social learning theory suggests that many of our behavioral patterns
are learned from observing others. This theory forms the basis for behavior modeling. In
organizations, employees learn all kinds of behaviors, from observing supervisors,
managers, union leaders,and coworkers who serve as role models. Under normal
conditions, role models can have a tremendous influence on individual behavior.

In this technique, trainees observe a model performing a target behavior correctly

(usually on a video or DVD). This is followed by a discussion of the key components of
the behavior, practicing the target behavior through role playing and receiving feedback
and reinforcement for the behavior they demonstrate. Behavior modeling is widely used
for interpersonal skill training and is a common component of many management
training programs.

Researches have shown behavior modeling to be an effective training technique. It is

described in greater detail in our discussion of management development.

Outdoor education Outdoor-based education, such as rope courses, has generated

considerable interest from employers and employees alike. This can include work teams
being involved with outdoor games, orienting, or rafting. Frequently, such programs
include either low ropes or high ropes elements. A low ropes course typically has limited
physical risks; whereas high ropes courses typically have higher perceived risks. Low
ropes courses can also be conducted indoor. Both types of courses usually have a strong
focus on group problem solving and team building. Though there is evidence that such
courses can impact work team functioning and performance, overall, the empirical results
to date have been mixed. Those considering use of such programs should make sure that

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the programs match the objectives set out for training, and that follow-up evaluation is
conducted. A recent article by Scott Williams and colleagues provide helpful guidance
concerning how multiple outcomes can be measured to evaluate the success of outdoor
training.

Self-Paced/Computer-Based Training Media and Methods

As mentioned, computer-based training (CBT) can be conducted in either a classroom or

an individual, self-paced format. Indeed, with the increased availability of networked
computer labs, there can be an almost limitless interplay between instructor-led and
individual-based computer training. As such, we discuss computer-based training both as
one of the five approaches to classroom training, as well as a major example of current
self-paced training approaches. Before 1980s, most self-paced training was paper based.
For example, Fred Fiedler and colleagues developed culture assimilator training for
Americans travelling to particular countries (such as India or Greece). Trainees read
various vignettes about another culture, and then made choices concerning why they
thought a particular action had been taken. Each response directed the trainee to a
particular page in the workbook.

Computers have had an enormous impact on the delivery of training in organizations.

Today, it is estimated that 55 percent of organizations use computer-based training (CBT)
via CD-ROM in their training programs, with other multimedia-based efforts certainly
pushing the number of computer-based training approaches much higher than this. One of
the biggest influences on the growth of CBT was the advent of microcomputers and the
rapid increase in their capabilities. In the early days of CBT, one had to have access to
terminals connected to mainframe computer software that was time-sharing with other
business computing needs. PCs are now present in virtually all organizations, and
important advances in hardware and software are occurring at a dizzying pace.

The primary advantage CBT has over other methods of training is its interactivity. The
interaction between the learner and the computer in many CBT programs mirrors the one-
to-one relationship between student and tutor: questions and responses can go back and
forth, resulting in immediate feedback. Advanced forms of CBT, like intelligent
computer- aided instruction, can even analyze the pattern of a student’s responses and
errors, draw conclusions, and tailor the lesson the learner receives accordingly. An
additional advantage of technology-based training is that it is well suited to “on-demand
learners,” that is, trainees who need (and increasingly demand) greater control over when
and how training is delivered. Three approaches to CBT include computer-aided
instruction (CAI), intranet training, and intelligent computer-assisted instruction (ICAI).

Computer-aided instruction (CAI) programs can range from electronic workbooks, using
the drill-and-practice approach, to compact disc read-only memory (CD-ROM)
presentations of a traditional training program. CAI software packages are available at
relatively low cost for a wide range of material, from teaching basic skills such as reading
and typing, to

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highly technical scientific, engineering, and machine maintenance topics. CAI programs
are available not only as part of business software programs (like the tutorial programs
that come with such word-processing packages as Microsoft Word), but also through
retail outlets, and some have software bestsellers. Some organizations custom design
software from scratch or modify existing programs to meet their unique needs.

Multimedia programs offer an improvement over the more traditional CAI programs
because they provide more appealing visual and audio content. The multimedia platform
can bring the course to life and make the learning experience more enjoyable. Because
audio and video files are very large, most multimedia courses are stored and distributed
on a CD-ROM disk. Many companies have replaced instructor-led courses with CD-
ROMs. For example, AT&T replaced its three-day new-employee orientation program
with a CD-ROM package that explains how the company is organized, the role and
mission of each department, and how departments relate to each other.

There are several advantages to CAI as compared to other training methods and
techniques, especially considering the interactive nature of CAI. Based on the trainee’s
responses, the computer will present various levels of material until the trainee reaches
mastery. A second advantage of CAI’s is its self-pacing feature that allows trainees to
control the speed of instruction and makes them self-sufficient learners. A third
advantage is the logistics of CAI that make it more accessible through an internal
distribution system or downloaded from a central computer or over the Internet to remote
sites to eliminate travel and per diem costs. Finally, CAI offers an instructional
management and reporting system that automatically tracks student progress and the
allocation and use of instructional resources, including terminals, instructors, and
classrooms. The effectiveness of CAI, like other training methods and techniques, can be
measured by changes in productivity and profits.

Internet and Intranet-based training The Internet remains one of the fastest growing
technological phenomena the world has ever seen. Today, tens of millions of computers
are connected to one another via modems, telephone and cable lines, superconducting
(ISDN) transmission lines, and the Internet. Intranets are computer networks that use
Internet and World Wide Web technology, software tools, and protocols for finding,

managing, creating, and distributing information within one organization Personal

computers with a TCP/IP networking protocol make it possible for individuals with
different operating systems (such as Windows, Mac, and the various UNIX-based OSs),
to communicate with each other, access information, transmit data, and download data.
Current technology also creates a number of safeguards that can limit access to
information and ensure privacy. Safeguards include firewalls, encryption, and passwords.
Firewalls are “hardware or software that sits between the Internet and your company’s
private network to form a barrier between your organization and the outside world….and
which keeps track of everyone who tries to access your site.” Encryption capability
allows individuals to transmit messages through a deciphering mechanism that encodes
data when transmitted and then decodes at the destination.

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Intranet-based training (IBT) uses internal computer networks for training purposes.
Through their organization’s intranet, HRD professional can communicate with learners;
conduct needs assessment and other administrative tasks; transmit course materials,
training documents, and multimedia programs; and administer tests at any time and
throughout the organization. IBT is a powerful delivery system for international
organizations that are spread out across the globe. IBT has most of the features of a
multimedia CD-ROM program, plus the capability for users to communicate quickly.
With current advances real-time multimedia technology (e.g., Java, Shock ware, and
Virtual Reality Modeling language), IBT is now fully interactive with sound, video, and
3-D imaging, and will compete with disk-based media like CD-ROMs as a primary
means of providing training via technology.

There are a number of limitations to IBT. Given the multimedia format, which uses large
video and audio files, the primary limitation to date has been the network bandwidth- the
size of a network’s transmittal capacity. However, with the rapid advances in technology
(greater bandwidth, and improved abilities to compress data), this limitation is
increasingly overcome. Another limitation has been the use of multiple, potentially
incompatible browser software configurations that determine which media types and
Hyper Text Markup Language (HTML) format options were available.

Intelligent computer-assisted instruction (ICAI) goes beyond CAI in terms of flexibility

and the ability to qualitatively evaluate learner performance. Whereas a typical CAI
program may allow the learner to select from several levels of presentation (novice,
intermediate, etc.), an ICAI program is able to discern the learner’s capability from the
learner’s response patterns and by analyzing the learner’s errors. The goal of ICAI
systems is to provide learners with an electronic teacher’s assistant that can patiently
offer advice to individual learners, encourage learner practice and stimulate learners’
curiosity through experimentation. This would potentially make the teacher more
available for more creative endeavors, or for helping learners to overcome subtle or
difficult problems beyond the capability of ICAI. Although the availability of ICAI
programs is limited compared to that of CAI, the potential for ICAI is enormous.

ICAI programs are based on advances in artificial intelligence, which involves

“engineering some aspects of the human thought process” into a computer. Artificial
intelligence research is uncovering ways to improve ICAI programs’ capability to use
natural language to interact with the learner and to understand the learner (by tracking
learner responses and learning from them). Given the rate of progress in computer
hardware, software, artificial intelligence, and knowledge engineering (designing and
organizing information and finding effective ways to present it), it would not be
surprising to see ICAI programs become common in training educational programs in the
not-too-distant future.

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Evaluation of Training Costs
It has long been argued that HR programs are difficult to assess in financial terms, but the
evaluation of training costs (including ROI) and utility analysis are two practical ways to
determine the financial impact of various HRD programs. Evaluation of training costs
involves comparison of the costs incurred in conducting an HRD program to the benefits
received by the organization, and can involve two categories of activities:

cost-benefit evaluation and cost-effectiveness evaluation. Cost-benefit analysis involves

comparing the monetary costs of training to the benefits received in nonmonetary terms,
such as improvements in attitudes, safety, and health. Cost-effectiveness analysis focuses
on the financial benefits accrued from training, such as increases in quality and profits,
and reduction in waste and processing time.

A framework offered by Cullen et al. distinguishes between structured and unstructured

training, and it lists possible training costs (training development, materials, time, and
production losses) and benefits (improvements in time to reach job competency, job
performance, and work attitudes). Robinson and Robinson developed a model that
divides training costs into five categories: direct costs, indirect costs, development costs,
overhead costs, and compensation for participants (see Table). These costs are then
compared to the benefits as measured by improvements in operational indicators, such as
job performance, quality, and work attitudes.

The general strategy for evaluating training costs is to measure cost and benefit indicators
in money terms (or translate them to money terms) and then compare them. For example,
a program’s return on investment (ROI) can be calculated by dividing total results by
total benefits:

Return on investment = Results/ Training Costs

The greater the ratio of results to costs, the greater the benefit that the organization
receives by conducting the training program. For example, Bank of America recently
conducted a training program designed for its in-house trainers. Positive reaction,
learning and behavior measures were obtained. Additionally, a 1.15 (or 115 percent) ROI
was determined for this program. For this, the company received an Excellence in
Practice citation from ASTD in 2003.

If the ROI ratio is less than 1, then the training program costs more than it yields to the
organization. Such a program needs to be either modified or dropped (there may of
course, be times when some noneconomic or legally mandated reason exists to continue a
certain training program; even here, however, if the ROI for the program is negative,
some rethinking or reworking of the program is likely occur).

Training program costs

Training Program Costs

To calculate the cost of a training program, an HRD professional should consider five
categories of expenses.
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Direct Costs
These are costs directly associated with the delivery of the learning activities. They
include course materials (produced or reproduced instructional aids, equipment rental
travel food and other refreshments and the instructor salary and benefits.

Such costs so directly tied to the delivery of a particular program that if you cancel. The
program the day before you planned to conduct it. You would not incur them. (While
program materials may have been reproduced or purchased, they would not be consumed,
and so they would be available for a future programe.)
Indirect Costs
These costs are in cured in support of learning activities but cannot be identified with any
particular program. Even if the program were cancelled at the last minute, such costs
could not be recovered.

Examples would be costs for instruction preparation, clerical and administrative support,
course materials already sent to participants and time spent by the training staff in
planning the program simple mentation. Expenses for marketing the program (for
example direct - mail costs) would also be considered in direct. Marketing may have cost
` 2000 if there is insufficient registration and if the program is cancelled, the ` 2000
cannot be recovered.
Development Costs
All costs in cured during the development of the program go in this category. Typically
they included the development of video tapes and computer based instructional
programming design of program materials, piloting of the program and any necessary
redesign.

Issues in Computing and Using Roi Estimates

Using ROI estimates to express the contribution of an HRD program has received
increased attention. For example, Jack Phillips published three articles that advocated
using ROI ratios and offered advice on how HRD practitioners could do this. (Recall that
Phillips proposed a modification of Kirkpatrick’s four-level evaluation model to include
ROI as Level 5) Patti and Jack Phillips have written a recent article addressing ROI
issues in the public sector. Jack Phillips also published a very useful book on HRD
evaluation.

For example, he offered the following process for collecting the information needed to
calculate ROI

1. Collection Level-4 evaluation data: Ask, Did on-the-job application produce

measurable results?
2. Isolated the effects of training from other factors that may have contributed to the
results.

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 3. Convert the results to monetary benefits.
4. Total up the costs of training.
5. Compare the monetary benefits with the costs.

Step 1 and 2 focuses on research design issues. With regard to step 3, Phillips advocates
collecting both hard and soft data (e.g., units produced and accident cost, employee
attitudes, and frequency of use of new skills) that demonstrate a program’s effectiveness.
This step would obviously be part of the evaluation study. Once this collection is done,
Phillips provides suggestions concerning how to convert the data to monetary terms (e.g.,
using historic costs and estimates from various sources). In a similar vein, Parry provides
a worksheet that HRD professionals can use and summarize the costs and benefits
associated with an HRD program. More recently, Parry provided several helpful
worksheets to assist in the calculation of both ROI and cost-benefit estimates.

Phillips made several suggestions regarding how to increase the credibility of ROI
estimates and the cost estimates that they have built on. These include using conservative
estimates of costs, finding reliable sources for estimates, explaining the assumptions and
techniques used to compute costs, and relying on hard data whenever possible. Beyond
this, Parry suggests having managers and supervisors calculate training costs. He sees
their involvement as a way to remove the potential suspicion that an HRD professional
may try to place the data in the most favorable light to his or her own area.

The second line of thinking regarding ROI estimates focuses on whether and when ROI
estimates should be used. Recognizing the time and cost involved in creating ROI
estimates, Phillips observed that some organizations set targets for how many HRD
programs should be evaluated at this level. He cites evaluating 5 percent of an
organization’s HRD programs at the ROI level as an example of a target that could be
used. Willyerd sounds a cautionary note on the use of ROI estimates. She points out that
some writers (e.g., Kaplan and Norton) question the overreliance on accounting and
financial measures in business in general, and instead call for using an approach to
performance measurement that balances a number of parameters (e.g., financial,
customer, internal process, and innovation and learning).
Willyerd suggests that HRD professionals would be wise to follow Kaplan and Norton’s
notion of a balanced scorecard when presenting the effectiveness of HRD programs, and
that they collect and communicate data from each of the four perspectives. Doing this,
she states that this method, avoids the shortcomings of relying strictly on financial
measures, while still communicating the impact of the HRD program on all of the
organization’s strategic dimensions. A recent book by Lynn Schmidt emphasizes a
training scorecard for training evaluation that goes beyond financial measures alone.
Others have made similar arguments as well.
The author hopes that this surge of interest in ROI will encourage HRD practitioners to
attempt to use ROI estimates as one of the ways to communicate the value of HRD
programs. In January 2004, ASTD held an ROI Network Conference in Scottsdale,
Arizona. At this conference, Merrill Anderson was honored as ROI practitioner of the
year, and Accenture received the ROI impact study award. However, it is emphasized
that such estimates shall be used carefully, and that it is important to build the credibility

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of such estimates in the eyes of management. After all, HRD evaluation is about
supporting decisions. Different decisions call for different supporting data, and building
credibility can ensure that decision makers will actually heed and use the data provided.

Utility Analysis

The results of an evaluation study often express the effect of an HRD program in terms of
a change in some aspect of the trainee’s performance or behavior. For example, if
untrained employees produce an average 22.5 units (per day or per hour) and trained
employees produces on an average 26 units, the gain due to training is 3.5 units per
employee. Utility analysis provides a way to translate these results into money terms.
One popular approach to utility analysis is the Brogden-Cronbach-Gleser model. This
model computes the gain to the organization in money terms
∆U, or “change in utility”) using the following variables:

N = Number of trainees
T = Length of time the benefits are expected to be available
dt = An effect size, which expresses the true difference of job performance between the
trained and untrained groups (expressed in standard deviation units)
SDy = money value of job performance of untrained employees (expressed in standard
deviation units)
C = Costs of conducting the training

Wayne Cascio combined these elements into a formula to compute the money value of
improved performance due to training. The left side of the equation estimates the benefits
of training, while the right side presents the cost. The formula is:

∆U = (N) (T) (dt) (SDy) – C

Some terms in the equation can be directly measured, such as N, C, and dt, but others,
such as T and SDy, must be estimated. More complicated versions of this formula have
been developed to account for other factors that may affect the real monetary value of the
benefits, such as attrition and decay in the strength of training effects over time.

Cascio suggests a method for incorporating the results of utility analysis into cost-benefit
analysis for training and HRD programs. Drawing upon techniques of capital budgeting,
the three phases of Cascio’s approach are as follows:
1. Compute the minimum annual benefits required to break even on the program
(e.g., how much of a payback must the program generate in order to cover its
costs?).
2. Use break-even analysis to determine the minimum effect size (dt) that will yield
the minimum required annual benefit (how much of an improvement in job
performance that the trained employees show for the program to generate the
payback needed to break even?).
3. Use the results from meta-analytic studies to determine the expected effect size
and expected payoff from the program (what is the likely degree of
improvement in job
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performance that the HRD program being proposed has been shown in the previously
conducted research in this program or method?).

The goal of such cost-benefit analyses is to put HRD professionals on a more equal
footing with other managers, so that they can demonstrate the expected gains of their
programs and compare these gains to either the gains from the other programs or other
potential investments (like the purchase of a new piece of equipment).

Although the computational formulas for this approach are somewhat complex, Cascio
points out that they can be computerized, thereby requiring only the HRD manager or
professional determine and input the values that correspond to each of the key parameters
(like cost, benefits, and effect size). The author recommends to complete the utility
calculation exercise at the end of the chapter.

While utility analysis can help to translate the benefits of training programs into money
terms, many training professionals have concerns about the practicality of such efforts.
Further, some researchers have questioned its value because of the nature of the estimates
used to determine some of the factors in the formula. Latham reports that economists
have not accepted this form of analysis. It is also unclear as to what extent HRD
professionals use utility analysis to communicate the effectiveness of HRD programs. If
the utility analysis is intended to help the managers to see the HRD programs as an
investment and to make more informed decisions about HRD programs, it is reasonable
to ask whether their decisions are influenced by utility estimates.

Research on this question has produced mixed results. On the one hand, Latham and
Whyte found that managers are not influenced in the way HR practitioners would hope.
They found that including utility analysis information actually reduced manager’s support
for a valid employee selection program. Similarly, Hazer and Highhouse observed that
“the degree to which managers accept the notion that the effectiveness of HR programs
can be measured in terms of money remains an open question”. On the other hand,
Morrow, Jarret, and Rupinski report that having a senior management team that is
interested in a demonstration that HRD programs are a worthwhile investment and pre
approves the utility model and procedures to be used will lead to acceptance of utility
information as legitimate.

Utility analysis (in addition to ROI and cost estimates) presents an opportunity for HRD
professionals to provide information to decision makers in money terms. However,
simply providing managers with the money estimates generated by utility analysis will
not by itself be sufficient to gain acceptance or use. As with ROI estimates, gaining
management acceptance appears to be a key consideration, Michael Sturman recently
proposed a number of modifications to the equations that are used to calculate utility
estimates.

He concludes his article by stating that “for a complex decision making tool to be useful,
the targeted users of the decision aid must need the information it provides and be trained
in its use”. Commenting on the Whyte and Latham results mentioned earlier, Sturman

83
continues, “We should not be surprised that an individual untrained with a use of a
decision aid fails to adhere to the results of the aid”. Toward that end, we provide a list of
recommendations offered by various authors that should increase the chances that
management will accept and use utility information:

 Involve senior management in determining the utility model and procedures to be

used.
 Train HR professionals and managers in the details of utility analysis.
 Offer an explanation to the components of the utility model.
 Involve management in arriving at estimates.
 Use credible and conservative estimates.

 Admit that the results of utility analysis are often based on fallible but reasonable
estimates.
 Use utility analysis to compare alternatives, rather than to justify individual
programs.

Finally, it is important to remember that not all decision makers, and not all HRD
programs, require justification in money terms. We agree with Latham’s suggestion that
HRD professionals find out from senior managers as to what they consider while
determining the value of HRD programs and provide management with the information
in those terms. For some organizations, this may include the money value, while in others
demonstrating positive improvements in nonmonetary terms may be preferred.

A lively debate concerning the inclusion of “values” (other than financial return) in HRD
evaluation was presented in Human Resource Development Quarterly. Interested readers
are encouraged to look further into these issues, as they again remind us of the ethical
issues involved in all evaluation efforts. Finally, we present with an interesting situation
where the researchers moved away from utility analysis and ROI calculations, and still
managed to provide meaningful organizational-level data on the impact of training.

84
 CHAPTER-IV
DATA ANALYSIS AND INTERPRETATION

85
 TABLE 5.1
Are employee training programs conducted regularly ?

S.No. Items of Scale No. of Respondent In %

1 Yes 100 100%

2 No 0 0%

Total 100 100%

CHART 5.1

TRAINING IN ORGANISATION

120

100

80
No of Respondance

60

40

20

0
1 2
Item os Scale

INTERPRETATION:
According to the analysis, 100% of employees’ opinion is that training programs are
conducted by Dr. Reddy’s Laboratories Ltd.

87
 TABLE 5.2
Which type of training Commenced to trainees?

S.No. Items of Scale No. of Respondent In %

1 General Objectives 50 50%

2 Professional Growth 20 20%

3 Improving Solving Problem 10 10%

4 Promotion of purpose 20 20%

Total 100 100%

CHART 5.2

Commencement of Training

60

50

40
No. of Respondance

30 Series2

20

10

0
General ProfessionalGrowt Improving Solving Promotion of
Objectives h Problem purpose
Items of Sclae

INTERPRETATION:
According to the analysis, 50% of respondents think the general objective of training and
development is for a complete understanding of different management functions 20% for
professional growth 10% for improving problem-solving, and 20% for promotional
purpose

88
 TABLE 5.3
How do you rate the training programs?

S.No. Items of Scale No. of Respondent In %

1 Excellent 20 20%

2 Good 80 80%

3 Poor 0 0

4 Very good 0 0

Total 100 100%

CHART 5.3

Introcution of Objectives

90

80

70

60
No. of Respondance

50

40

30

20

10

0
Excellen Good Poor Verygoo
t d
Items of Sclae

INTERPRETATION:
According to the analysis, 80% of employees opinion is that the training facilities
provided by Dr. Reddy’s Laboratories Ltd are good and 20% of employees excellent
Training facilities are provided

89
 TABLE 5.4
How sufficient is the Duration of the training program ?

S.No. Items of Scale No. of Respondent In %

1 Highly Satisfied 10 10%

2 Satisfied 90 90%

3 Dissatisfied 0 0

4 Highly Satisfied 0 0

Total 100 100%

CHART 5.4

Sufficiency of Training Period

100

90

80

70
No. of Respondance

60

50

40

30

20

10

0
Highly Satisfie Dissatisfie Highly
Satisfied d d Satisfied
Items of Sclae

INTERPRETATION:
According to the analysis, 90% of employees are satisfied and 10 % are highly satisfied
with the working conditions or environment of Dr. Reddy’s Laboratories Ltd.

90
 TABLE 5.5
What is the Provision for Leave Travel concession ?

S.No. Items of Scale No. of Respondent In %

1 Excellent 10 10%

2 Good 90 90%

3 Satisfied 0 0

4 Poor 0 0

Total 100 100%

CHART 5.5

Leave Travel

100

90

80

70
No. of Respondance

60

50

40

30

20

10

0
Excellen Good Satisfie Poor
t d
Items of Sclae

INTERPRETATION:
According to the analysis, 90% of employees found the training program useful for the
day to day activities 10% of employees found the training program useful for day-to-day
activities

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 TABLE 5.6
What is the environment like at the training place?

S.No. Items of Scale No. of Respondent In %

1 To large extent 50 50%

2 To Some extent 50 50%

3 To little extent 0 0

Total 100 100%

CHART 5.6
Environment at the Training Place

60

50

40
No. of Respondance

30 Series1

20

10

0
To large To Some To little
extent extent extent
Items of Scale

INTERPRETATION:
According to the analysis, 50% of employees feel to a large extent & 50% employees feel
to some extent training department provides Congenial conditions for learning.

92
 TABLE 5.7
Sufficient provision of study material is available ?

S.No. Items of Scale No. of Respondent In %

1 To large extent 90 90%

2 To Some extent 10 10%

3 To little extent 0 0

Total 100 100%

CHART 5.7

Sufficient Proivsion of Study Material

10
0

90

80

70
No. of Respondance

60
Series1
50

40

30

20

10

To large To Some To little

extent extent extent
Items of Scale

INTERPRETATION:
According to the analysis 90% of employees to feel that training in personal development
and 10% of Employees feel that training helps to some extent.

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 TABLE 5.8
What is the level of Motivation among trainees at the training program?

S.No. Items of Scale No. of Respondent In %

1 Employees T&D 20 20%

2 Department Nominates 20 20%

3 Supervisor Nominates 50 50%

4 Personally Take Initiative 10 10%

Total 100 100%

CHART 5.8

Motivation of trainees at
Training Programme

60

50

40
No. of Respondance

30

20

10

0
Employees Department Supervisor Personally Take
T&D Nominates Nominates Initiative
Items of Sclae

INTERPRETATION:
According to the analysis of 50% employees say member of T& D nominates, 20% of
employees say head of the department nominates, 20% of employees say immediate
supervisory nominates employees for training and other 10% of employees personally
take imitative.

94
 TABLE 5.9
How Useful is the program for future prospects?

S.No. Items of Scale No. of Respondent In %

1 Yes 70 70%

2 No 30 30%

Total 100 100%

CHART 5.9

Usefuless of Programme for Future

80

70

60
No. of Respondats

50

40 Series1

30

20

10

0
Yes No
Items of Scale

INTERPRETATION:
According to the analysis of 70% employees say that they were aware of the training
objectives and other 30% of employees say that they were not aware of the training
objectives before actual training.

95
 TABLE 5.10
Do trainees have the Freedom to express their doubts during the program?

S.No. Items of Scale No. of Respondent In %

1 No 0 0

2 Outside consultants 50 50%

3 T&D Team Trainees 5 5%

4 Management Institutes 25 25%

5 Specialist companies 20 20%

Total 100 100%

CHART 5.10

Freedom of Trainee to expore doubts in programme

60

50

40
No of Respondance

30 Series1

20

10

0
No Outside T&D Team Management Institutes Specialist
Trainees

INTERPRETATION:
According to the analysis of 50% of employee’s trainers, 25% of employees Members,
20% of employees companies and other 5% of employees T&D team are trainer.

96
97
 CHAPTER-V
FINDINGS, SUGGESTIONS AND
CONCLUSION

98
 FINDINGS

 In the Dr. Reddy’s Laboratories Ltd, all middle-level employees are having above
6 years of experience.
 The training and Hr Policies program in DR REDDYS is focused on new and
old employees.
 Training program is conducted quarterly.
 HRD Policies program in DR REDDYS is based on the performance
and seniority.
 The HRD Policies program in DR REDDYS is also the company response to
new innovation and upcoming technologies.
 The goal of the program is mainly to improve the job related skills.
 It has been observed during the study that most of the employees expressed
the need for each employee to attend the training program least once in a year.
 Most of the trainees supported external faculty rather than internal.
 The job security is not been effected by the training program being undergone.
 The training program is very much relevant to the present nature of work.

99
 SUGGESTIONS

 Training and controlling program may be arranged so that each of the employees
under goes it at least once in a year.

 The training sessions should be handled by both the internal and external faculty
so that it provides more comfort and also the knowledge of the external
environment.

 The modern methods of training should be used so as to have a competitive edge

in the market place.

 The organization should also have high emphasis on the accuracy of performance
in the training program.

 Training should be given to all groups at all levels to improve the efficiency on
the whole.

 The training programs conducted should be need training programs for

improvement of the skills and the knowledge.

 All the employees should be provided a minimum and basic technical knowledge.

100
 CONCLUSION
HRD Strategies, Inc. is a performance based organizational effectiveness firm
dedicated to providing value-added products and services to client organizations. Our
focus and commitment is to provide innovative solutions customized to client needs
through the integration of social and technical systems. Change is inevitable and business
change is paradoxically a constant. Organizational development activities provide a
means for adapting to constant change. Perhaps more importantly, organizational
development provides an avenue for initiating business change rather than merely
reacting to environmental influences. Organizational development provides the business,
management and employees with the tools to meet the challenges of the present and the
future.

101
QUESTIONNAIRE

102
 QUESTIONNAIRE

EMPLOYEE NAME:
GENDER:
DESIGNATION:
AGE:
DEPARTMENT:
I am -------- pursuing M.B.A in ------------------. I am doing project work on HUMAN
RESOURCE DEVELOPMENT relating to HUMUAN RESOURCE MANAGEMENT
at Dr. Reddy’s Laboratories Limited. Provide some related information to these
following questions.

1. Since how long have you been working in this company? [ ]

a) <1year b) 1-3years
c) 3-6years d) above 6years

2. Training is to be given adequate importance in the organization. [ ]

a) Yes b) No
3. The trainees are informed about the training program before. [ ]
a) General objectives b) Professional growth
c) Improving solving problem d) Promotion of purpose

103
4. The trainees are informed about the objectives of the training program. [ ]
a) Excellent b) Good
c) Poor d) Very good
5. The duration of the training program is sufficient [ ]
a) Highly satisfied b) Satisfied
c) Dissatisfied d) Highly dissatisfied
6. Leave travel concession is provided properly [ ]
a) Excellent b) Good
c) Satisfied d) Poor
7. The environment at the training place is properly set every time [ ]
a) To large extent b) To some extent
c) To little extent
8. Sufficient reading material is provided during the training program [ ]
a) To large extent b) To some extent
c) To little extent
9. The trainees are getting motivated through the training program [ ]
a) Employees T&D b) Department nominates
c) Supervisor nominates d) Personally take initiative
10. The training program is useful for future needs. [ ]
a) Yes b) No
11. The trainees have the freedom and right to express their ideas and doubts during the
training program [ ]
a) No b) Outside consultants
c) T&D team trainees d) Management Institutes
e) Specialist companies

104
BIBLIOGRAPHY

105
 BIBLIOGRAPHY

BOOKS

 V.K. Kapoor - Human Resource management

 V.S.P. Rao – Research Methodology
 T.Subba Rao - Human Resource management
 K.ASWATHAPPA- Human resource management-5TH Edition-Tata Mc Graw Hill
publishing Ltd.
 DR.P.SUBBARAO- Personnel and Human Resource Management- Himalaya
Publishing House
 ARUN MONAPPA-Industrial Relations- Tata Mc Graw Hill publishing Ltd.
 C.B.MAMORIA, S.V.GANKAR-Personnel Management-Himalaya Publishing
House-2009.
 A.M.SHARMA-Personnel and Human Resource Management- Himalaya Publishing
House-2009.
 HRM Review Magzine-Worklife Balance, IUP Publications.

JOURNALS
ICFAI REVIEWS

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