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Training, development, and performance

Developing employees and managing their performance helps businesses improve and helps people grow in their careers.

Training and development

Training builds skills for current jobs; development prepares people for future roles. Methods include on-the-job training (learning while working, such as job shadowing and apprenticeships), off-the-job training (courses, workshops, e-learning), mentoring, coaching, and job rotation.

Benefits and costs

Training improves productivity, quality, safety, and motivation, and helps retain staff who value growth. Its costs include fees, time away from work, and the risk that trained employees leave for competitors. Businesses evaluate training using models such as Kirkpatrick's four levels: reaction, learning, behaviour, and results.

Performance management

Performance management is an ongoing process of setting goals, monitoring progress, giving feedback, and supporting development. Many organisations have moved from once-a-year appraisals toward regular check-ins and continuous feedback, finding annual reviews alone too infrequent and backward-looking.

Appraisal methods

Appraisal methods include rating scales, management by objectives (MBO, assessing results against agreed goals), behaviourally anchored rating scales, and 360-degree feedback from managers, peers, subordinates, and sometimes customers. Each has strengths; combining methods can give a fuller picture.

Giving feedback

Effective feedback is specific, timely, and focused on behaviour and impact rather than personality: 'In Tuesday's meeting, the report's missing data delayed the decision' rather than 'you're careless'. It should include both recognition and suggestions for improvement, and invite the employee's view.

Rating errors

Appraisals can be distorted by errors: the halo effect (one positive trait colours the whole rating), recency bias (overweighting recent events), central tendency (rating everyone as average), and leniency or strictness. Training raters and keeping records throughout the year reduce these errors.

Career development and succession

Career development helps employees plan and progress, through promotions, lateral moves, training, and stretch assignments. Succession planning identifies and develops future leaders for key roles, so the organisation is not left without leadership when people retire or leave.

Worked example

A company uses management by objectives for its sales team. In January, a salesperson agrees to targets: 300,000 dollars in sales, ten new clients, and completing a negotiation course. Quarterly check-ins track progress and adjust support. At year end, she reached 320,000 dollars and eight new clients and completed the course; the review recognises her success and plans development in client acquisition.

Key takeaways

Training builds current skills; development prepares for future roles, through on-the-job and off-the-job methods. Kirkpatrick's model evaluates training at four levels. Performance management is continuous goal-setting and feedback. Appraisal methods include MBO and 360-degree feedback. Good feedback is specific, timely, and about behaviour. Rating errors include halo, recency, and central tendency. Career development and succession planning build future capability.

Flashcard

Training

Building skills for current jobs

Versus development.

Check your understanding

A manager rates an employee highly in every area because she is excellent at presentations. This is an example of:

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