Chapter

9
Employee Development

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Development refers to formal education, job experiences, relationships, and assessments of personalities and abilities that help employees prepare for the future.

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Training

Development

Focus
Use of work experiences Goal

Current
Low

Future
High

Preparation for current job

Preparation for changes

Participation

Required

Voluntary

Employee development is a necessary component of a companys efforts to:

Improve quality Retain key employees

Meet the challenges of global competition

and social change Incorporate technological advances and changes in work design
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Assessment

Formal Education Interpersonal Relationships

Job Experiences

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Formal education programs include:

off-site and on-site programs designed

specifically for the companys employees short courses offered by consultants or universities executive MBA programs university programs in which participants actually live at the university while taking classes
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Program
Executive Development Sequence

Description
Emphasis on strategic thinking, leadership, cross-functional integration, competing globally, customer satisfaction Development of functional expertise, business excellence, management of change Emphasis on preparation for specific career path

Target Audience
Senior professionals and executives identified as high-potential

Courses
Management Development Global Business Executive Development

Core Leadership Program

Managers

Corporate Entry Leadership Professional Development New Manager Development Experienced Manager Audit Staff Financial Management Human Resources Technical Leadership

Professional Development Program

New Employees

Increasing use of distance learning by many companies and universities. Companies and the education provider create short, custom courses, with content designed specifically to needs of the audience. Supplementing formal courses from consultants or university faculty with other types of training and development activities.

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Assessment involves collecting information and providing feedback to employees about their behavior, communication style, or skills. Used most frequently to:

identify employees with managerial potential measure current managers strengths and

weaknesses identify managers with potential to move into higher-level executive positions Work with teams to identify members strengths and weaknesses, and factors that inhibit productivity
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Myers-Briggs Type Indicator (MBTI)

Benchmarks

Assessment Center

Performance Appraisals & 360Degree Feedback

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Most popular psychological test for employee development. Used for understanding such things as:

Communication Motivation Teamwork Work styles

Leadership
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Examples of how used:

Can be used by salespeople who want to become

more effective at interpersonal communication by learning things about their own personality styles and the way they are perceived by others. Can help develop teams by matching team members with assignments that allow them to capitalize on their preferences. Can help employees understand how the different preferences can lead to useful problem solving.
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The assessment center is a process in which multiple raters or evaluators evaluate employees performance on a number of exercises.
Usually held at an off-site location Used to identify if employees have the abilities,

personality, and behaviors for management jobs. Used to identify if employees have the necessary skills to work in teams.
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EXERCISES SKILLS
In-basket Scheduling Exercise Leaderless Group Discussion X X X Personality Test X Role Play

Leadership Problem solving

X X

X X

Interpersonal Administrative
Personal

X X X X
X

Benchmarks is an instrument designed to measure important factors in being a successful manager. Items measured are based on research that examines the lessons executives learn at critical events in their careers. This includes items that measure managers skills in dealing with subordinates, acquiring resources, and creating a productive work climate.

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Resourcefulness Doing whatever it takes Being a quick study Building and mending relationships Leading subordinates Compassion and sensitivity Straightforwardness and composure Setting a developmental climate

Confronting problem subordinates Team orientation Balance between personal life and work Decisiveness Self-awareness Hiring talented staff Putting people at ease Acting with flexibility

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Performance appraisal is the process of measuring employees performance. Approaches for measuring performance:
Ranking employees Rating work behaviors Rating the extent to which employees have

desirable traits believed to be necessary for job success (e.g., leadership) Directly measuring the results of work performance.
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The appraisal system must give employees specific information about their performance problems and ways they can improve their performance:
Providing a clear understanding of the differences

between current performance and expected performance. Identifying the causes of the performance discrepancy. Developing action plans to improve performance.
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Managers must be trained in providing performance feedback. Managers must frequently give employees performance feedback. Managers also need to monitor employees progress in carrying out the action plan.
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Peers

Rating Form

Rating Form

Manager

Self

Customers

Rating Form

Rating Form

Subordinates

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1.

Understand strengths and weaknesses.

Review ratings for strengths and weaknesses. Identify skills or behaviors where self and others ratings agree and disagree.
2.

Identify a development goal.

Choose a skill or behavior to develop. Set a clear, specific goal with a specified outcome.
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3. 4.

Identify a process for recognizing goal accomplishment. Identify strategies for reaching the development goal.

Establish strategies such as reading, job experiences, courses, and relationships. Establish strategies for receiving feedback on progress. Establish strategies for receiving reinforcement for new skills or behavior.
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The system must provide consistent (reliable) ratings. Feedback must be job-related (valid). The system must be easy to use, understandable, and relevant. The system must lead to managerial development.

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Job experiences refer to relationships, problems, demands, tasks, or other features that employees face in their jobs. Most employee development occurs through job experiences. A major assumption is that development is most likely to occur when there is a mismatch between the employees skills and past experiences and the skills required for the job.

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To be successful in their jobs, employees must stretch their skills. They must be forced to learn new skills, apply their skills and knowledge in a new way, and master new experiences.

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Making transitions Creating change

Unfamiliar responsibilities Proving yourself Developing new directions Inherited problems Reduction decisions Problems with employees

Having high level of responsibility

High stakes Managing business adversity Job overload

Influencing without authority Adverse business conditions Lack of top management support Lack of personal support Difficult boss

Being involved in non-authority relationships Facing obstacles

Promotion

Enlargement of Current Job Rotation

(Lateral Move)

Transfer
(Lateral Move)

Job Experiences

Externship

Downward Move

Temporary Assignment with Another Organization

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Job rotation is used to develop skills as well as give employees experience needed for managerial positions. Employees understand specific skills that will be developed by rotation. Job rotation is used for all levels and types of employees.

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Job rotation is linked with the career management process so employees know the development needs addressed by each job assignment. Benefits of rotation are maximized and costs are minimized through managing time of rotations to reduce workload costs and help employees understand job rotations role in their development plans. All employees have equal opportunities for job rotation assignments.

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Employees can also develop skills and increase their knowledge about the company and its customers by interacting with a more experienced organizational member. Two types of interpersonal relationships used to develop employees:

Mentoring Coaching
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Mentor and protg participation is voluntary.

Relationship can be ended at any time without fear

of punishment.

Mentor-protg matching process does not limit the ability of informal relationships to develop. Mentors are chosen on the basis of their past record in developing employees, willingness to serve as a mentor, and evidence of positive coaching, communication, and listening skills.

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The purpose of the program is clearly understood. The length of the program is specified. A minimum level of contact between the mentor and protg is specified. Protgs are encouraged to contact one another to discuss problems and share successes. The mentor program is evaluated. Employee development is rewarded.

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The development planning process involves:

Identifying development needs Choosing a development goal Identifying the actions that need to be taken by

the employee and the company to achieve the goal Determining how progress toward goal attainment will be measured Establishing a timetable for development
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An emerging trend in development is that the employee must initiate the development planning process.

The development approach used is dependent on the needs and development goal.

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Development Planning Process

Opportunity

Employee Responsibility
How do I need to improve?

Company Responsibility
Assessment information to identify strengths, weaknesses, interests and values Company provides development planning guide. Manager has developmental discussion with employee Manager provides feedback on criteria

Goal Identification

How do I want to develop?

Criteria

How will I know I am making progress? What will I do to reach my development goal? What is my timetable?

Actions

Company provides assessment, courses, job experiences, and relationships Managers follows up on progress toward developmental goal and helps employees set a realistic timetable for goal achievement

Time

Individualization

Learner Control

Ongoing Support

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