pg. 1

TERM PAPER REPORT

On

TRAINING NEED ANALYSIS

IN NCR REGION

Department of Management, Faculty of Social Sciences,

Dayalbagh Educational Institute (Deemed University),

Dayalbagh, Agra-282110

Submitted By:-

Mona

147631 (MBA 2nd SEM)

Submitted To:-

Purnima Bhatnagar

Department of Management

pg. 2

Acknowledgement

I would like to take this opportunity to express my sincere gratitude to my respected

mentor PURNIMA BHATNAGAR, for her valuable guidance. I extend my sincere thanks

to my Parents, friends and DAYALBAGH EDUCATIONAL INSTITUTE for being source

of inspiration and for their constant support in the design, implementation and evaluation

of the report. Their constructive criticism and invaluable suggestion have benefitted me a

lot while developing the report. They have been very cooperative throughout this project

work. Through this column, it would be my utmost pleasure to express warm thanks to

them for encouragement and consent without which I might not be able to accomplish this

project. I also express my gratitude to DAYALBAGH EDUCATIONAL INSTITUTE for

providing me the infrastructure to carry out the project and to all other concerned persons

who were directly and indirectly instrument in enabling me to stay committed for this

project.

pg. 3

Table of content

Contents 1. Acknowledge …………………………………………….

2. Executive summary……………………………………….

3. Introduction of training need analysis………………

4. Purpose of training need analysis in organisation….....

5. Objectives of the study …………………………………………………….

6. Training Methods…………………………………………………………………..

7. Research methodology…………………………………………………………………….

8. Data analysis…………………………………………………………………………………………

9. Limitations……………………………………………………………………………………………….

10. Conclusion……………………………………………………………………………………………………

11. Bibliography…………………………………………………………………………………………………….

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Executive summary

There is an increasing interest in training in the world in general to improve the performance of

employee to achieve the desired level of effectiveness and to remain successful.

In most of organization training is not conducted in a professional manner, in terms of TNA,

nominating the trainees, implementing the programmes and evaluating the programmes.

Training Needs Analysis (TNA) is often considered the most important step among the steps in

the training cycle and therefore, should precede any training intervention. However, in spite of

needs assessment’s important role, the literature contains little empirical work on the topic.

Thus, this study seeks to understand the role of existing training needs analysis process in

organization. And the factors that affect the process to identify the needs and the impact of this on

improving organizational performance.

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INTRODUCTION

The significance and value of training has long been recognized. Given today’s business climate

and the exponential growth in technology with its effect on the economy and society at large, the

need for training is more pronounced than ever.

Therefore, organizations’ need to consider some important issues as they face the future:

continuous technological change; the increasing removal of trade barriers; the consequent

globalization; the volatility of customer demand within existing markets. These continuous

changes have challenged organizations to learn how to manage their businesses in the context of

these continuous unpredictable changes, to learn how to confront these changes quickly and

successfully. It is argued that, in order for an organization to achieve its objectives and goals, it

needs to consider the important role of its people; it needs a highly competent, skilled and trained

workforce. The need to compete from the inside out has made organizations’ aim to increase the

power of their people-related processes to build and sustain competitive advantage as the ultimate

organizational objective; thus, outperforming competitors.

What is Training?

Training needs analysis identifies training needs at employee, departmental or organisational level

in order to help the organisation to perform effectively. The aim of training needs analysis is to

ensure that training addresses existing problems, is tailored to organisational objectives, and is

delivered in an effective and cost-efficient manner.

The simplest definition of the training in the traditional training theory is “the acquisition of

knowledge and skills for presently know tasks” also, define training as following: “Training serves

to help increase upward mobility within the organization, to adjust workers to the technological

changes affecting the workplace, and often simply to introduce people to the world of work at the

entry level”.

Therefore, training is an important activity within an organization and it aimed at effecting

positive changes in the trainees in terms of their knowledge, skills and attitudes, making the level

of performance better. In other words, training is a planned and continuous process designed to

meet the training needs of present and future of an individual through increasing knowledge and

improving skills, which improves employees’ performance and increase productivity at work.

Training is responsible for building skilled, qualified and capable people, which helps

organizations to improve their performance and adapt to any new change. This is why some

successful organizations spend a great deal on the Training and Development function; however,

organizations often train more employees than necessary, or the training investment is "wasted"

on the wrong employees. In USA, an estimated $50 billion is spent annually on formal training,

with an additional $90 to $120 billion in less-structure, informal training. Therefore, scholars

generally recognized that the first important phase in planning and developing a training

programme is to determine the needs for such a programme within an organization. Furthermore,

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the idea behind training needs analysis is that only when there is a match between training needs

and the content of training, beneficial outcomes to organizational performance can be realized.

Definition of training need analysis

One of the clearest explanation of needs assessment is given by Anderson, who writes that the

needs assessment is the starting point in the training process. It is the phase in which an

organization’s needs are identified, forming the foundation of an effective training effort. The

needs assessment tells where and what kind of training programs are needed, who needs to be

included, conditions under which training will occur, and criteria to guide program evaluation.

Therefore, Training needs assessment is an ongoing process of gathering data to determine what

training needs exist so that training can be developed to help the organization accomplish its

objectives. Furthermore, the idea behind training needs analysis is that only when there is a match

between training needs and the content of training, beneficial outcomes to organizational

performance can be realized.

Identification of Training Needs

In general, the identifying training needs step is recognized as one of the most important steps in

training. This first step in training process is primarily conducted to determine where training is

needed, what needs to be taught, and who needs to be trained. Thus, without this step, there can be

no solid prognosis to diagnose if the whole training process was correctly designed.

Advantages

Resources are targeted at identified priorities.

TNA will increase organizational ability to plan for and adapt to changes in the

workplace.

Individuals and teams are helped to perform better, enhancing levels of job satisfaction,

morale and motivation.

Having a TNA process in place enhances the organization’s progress towards Investors in

People, as TNA is one of the key standards.

It is a natural function of an appraisal system, where discussions take place on what skills

need to be improved, and how.

It provides a constructive base for improving performance.

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Disadvantage

There are no disadvantages to the process, but it does require:-

Time and energy to plan the analysis systematically, and to analyse the results.

Coordination of the results between different managers, to ensure that an organisational

plan reflects the priorities across the whole company, allowing for economies of scale

and avoiding duplication in different departments.

The full involvement of, and discussion with, potential trainees, rather than the subjective

evaluation of their managers.

Review of literature

(Boydell and Leary 1996, Reid and Barrington 1999)

Training needs analysis is considered to be the foundation of all training activities. In order

to deliver appropriate, effective training which meets the needs of individuals and the

organisation and represents value for money a training needs analysis is essential.

(Wills 1998, Boydell and Leary 1996, Reid and Barrington 1999, Garavan et al., 1995,

Bartram and Gibson 1997, 1999, Reay 1994).

There is general agreement in the literature that a training needs analysis is a best practice

first step in the systematic approach to training.

Bartram and Gibson (1999:107)

The systematic approach is described slightly differently by different authors, with varying

stages and elements but there are a number of core features to the approach. The

systematic approach is one which involves considering the linkages between the parts of

the training process. There is an assumption that training must be planned in a cyclical or

procession manner and that this approach will lead to high quality, planned training state

that a “systematic approach to identifying training needs ensures that people are offered

opportunities to learn which are efficient and effective”.

(CLMS M2 U6, Wills 1998)

While the structure of the systematic approach has a certain appeal in that there is a

structured and logical step by step process to follow, there is a danger that all energy could

be focussed on the system and the relationship of the various elements within it to the

detriment of the original purpose, namely to provide the necessary training to the

organisations employees to enable them to work in the most optimal manner.

Herbert and Doverspike (1990)

Noted the large amount of training needs analysis literature and the significant degree of

overlap in the descriptive and prescriptive literature. The term training need as out-lined in

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the various texts inevitably comes back to the assumption that there is a set of knowledge,

skills and attitudes required for a job and that training needs analysis should identify what

they are, assess the current level of knowledge, skills and attitudes and that the resulting

gap is therefore the training need.

Chiu et al., (1997)

Chiu et al., (1997) conducted a literature review and analysis on training needs

analysis. They found that the literature is dominated by supply led initiators of training

needs analysis, such as trainers and academics. They also note that the literature is

full of recommendations for how to conduct a training needs analysis. Further, they

note that the methods used are generic in nature, for example, interviews, surveys

and that these methods may not be able to meet the newer demands on training needs

analysis to integrate with corporate strategy and focus on future needs. Of the few

studies which have introduced new methods they cite Anderson’s (1994) action

research approach. They note that there are no empirical studies to validate methods.

McGehee and Thayer

McGehee and Thayer (1961) are widely acknowledged as the seminal text on training

needs analysis and are quoted in much of the literature. They outlined the analysis of

training need at the level of the organisation, group and individual and these levels continue

to form the foundation of most approaches.

(Noble, 1997)

A comparative study looking at the management of training in multinational corporations

found that the majority use performance appraisal as the methodology to identify training

needs.

Reid and Barrington

Reid and Barrington (1999) make the point that Human Resource Development (HRD)

should be an essential strategic element in how an organisation achieves its goals and

objectives. The need to link training needs analysis fully to organisational goals and

objectives is highlighted by many authors.

Hayton

Hayton (1990) cites problems with traditional methods of training needs analysis including

those mentioned above and also states that non-training solutions tend to be ignored and

the process tends not to involve consultation with employees and is usually management

driven and focused. Hayton (1990) discusses the need for skills audit to be linked with an

organisations broader change strategy. Key recommendations he makes include involving

employees in the process and linking skills audit to the company strategy. He also

highlights the need for a simple approach which can be understood by employees’ unions

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and management. He recognises the potential for industrial relations issues with skills

audits.

Gray et al., (1997)

Gray et al., (1997) in a study of public health care found that in many organisations needs

were identified by senior management and commented that this is problematic as managers

are a step removed from day to day operations and may not have the most accurate picture

of the actual requirements.

Matthews et al., (2001)

Surveyed organisations around competency assessment requirements for ISO and found

that training needs analysis was very management driven. They found training needs

analysis dominated by senior management decisions and supervisors opinions. The most

commonly used formal approach was the skills inventory.

Anderson (1994:24)

Anderson (1994:24) states that training is often based on wants rather than needs and can

occur on an ad hoc basis which is not integrated with wider organisational goals and

objectives. “General surveys of large populations are costly, time consuming and

frequently meaningless”.

Herbert and Doverspike

Herbert and Doverspike (1990:268) raised issues around using appraisal data as part of

training needs analysis and conclude that the use of this data may not achieve the intended

goals.

Wills (1998)

Wills (1998) discusses the need to meet both the needs of the individual and the

organisation and suggests that corporate policies and strategies are the starting point for the

analysis of both in order to align training and organisational direction. He also discusses

the need for clarity around corporate mission, vision and strategy and the importance of

senior management support.

Research by Hussey (CLMS 1999)

Research by Hussey (CLMS 1999) looking at the use of education and training as a

strategic driver found that only a third of firms surveyed linked the aims of their

management development programmes to the achievement of organisational goals. The

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majority of firms identified needs through appraisals alone thus there was no explicit

connection to the overall direction of the organisations strategy or goals. Hussey argued

that if training was strategic the focus of training would change as strategic focus changed,

however he found that training plans tended to be very stable thus indicating a lack of

connectivity with strategic direction. Hussey recommended the closer integration of

training with business strategy (CLMS 1999).

Research by Leicester 1988 (CLMS M2 U6)

Research by Leicester 1988 (CLMS M2 U6) identified a key link between employee

development and corporate strategy and found that the key variable was the quality of

human resource management (HRM). As the quality of HRM increased so did the link

between staff development and corporate success. Leicester suggested that there

may be three elements to achieving the integration of employee development and

corporate strategy. One element is to have a performance appraisal system where

objectives come from organisational objectives; mechanisms need to be in place to

allow for employee self-development and finally achieving a balance between training

to meet organisational goals and training to meet individual need. Further, Leicester’s

research suggested that employees were likely to be more adaptable where

opportunities for self-development are provided and it is given a relatively high priority

(CLMS M2 U6).

Ferdinand (1988)

Ferdinand (1988) in looking at management training needs analysis focussed on specific

management groups and organisational challenges, outlining approaches that may fit the

different management groups and organisational scenarios. He highlights that without

due consideration to the context in which the training needs analysis is being conducted

the form of the process and the outcomes from it may not be acceptable to the

organisation or the key stakeholders.

Purpose of training need analysis in organization

It can be valuable exercise in itself for staff in the organization to step back from their day-to-day

concerns and review their current and likely future operations. This is equally true for training staff

involved in the analysis. Training needs analysis (TNA) can be seen as a health check on the skills,

talent and capabilities of the organization. It is the systematic gathering of data to find out where

there are gaps in the existing skills, knowledge and attitudes of employees. It involves collecting

data about existing employees' capabilities and the organizational demands for skills and the

analysis of the implications for changes in capability of new and changed roles. It should always

flow from the business strategy and its aim is the production of a plan allowing the organization

to ensure there is sufficient capability to sustain business performance.

pg. 11

To identify areas of particular strength or weakness in the organization. To develop plan to build

on strength and reduce weaknesses i.e. improve performance. To develop plan to build on strength

and reduce weaknesses i.e. improve performance. To enable priorities for action to be established

To plan the most effective development of limited resources, for instance, to ensure cost

effectiveness and value for money. To justify investment in training by showing how training will

contribute to achieving corporate objectives.

To provide a basis for integrating training into the business by getting line management

involvement and commitment.

Careful training needs analysis is very important because:

Organizational performance depends on the right quality and quantity of human

capital.

Learning opportunities enables staff to achieve personal and career goals and

increase employee engagement.

An effective retention well planned training is strategy.

If an initial assessment is made based on organizational needs and strategy, then

it is likely that cost effective learning provision will result.

Training Needs Analysis will need to answer:-

What skills need imparting?

Who needs the training?

Why do people need the training?

Where the training may be conducted

When will they need the new skills?

Aim and Objectives of the study The main aim of this research is to examine the management of training needs analysis in order to

identify the different barriers of doing an effective TNA process. Therefore, this study is

specifically concerned with achieving the following research objectives:

pg. 12

To understand employee perception about:

1. Whether they are provided with correct method of training.

2. The areas where they should be given additional training programme.

3. Number of times training should be provided in a year.

Scope of the study

The scope of this study is limited to identifying the training needs in the organization. Thus various

officials from top to bottom, policy makers, academics and experts in this area are included within

the scope of the study. The scope of the study further extended to suggest recommendations for

the policy makers to implement the training needs analysis models in identifying training needs in

the organization.

Training Methods

Most training takes place on the job. This can be attributed to the simplicity of such methods and

their usually lower cost. However, on-the-job training can disrupt the workplace and result in an

increase in errors as learning proceeds. Also, some skill training is too complex to learn on the job.

In such cases, it should take place outside the work setting.

On-the Job Training

Popular on-the-job training methods include job rotation and understudy assignments. Job rotation

involves lateral transfers that enable employees to work at different jobs. Both job rotation and

understudy assignments apply to the learning of technical skills. Interpersonal and problem-

solving skills are acquired more effectively by training that takes place off the job.

Off-the-Job Training

There is a number of off-the-Job training methods that managers may want to make available to

employees. The more popular are classroom lectures, films, and simulation exercises. Classroom

lectures are well suited for conveying specific information. They can be used effectively for

developing technical and problem-solving skills. Films can also be used to explicitly demonstrate

technical skills. Interpersonal and problem-solving skills may be best learned through simulation

exercises. However, complex computer models, such as those used by airlines in the training of

pilots, are another kind of simulation exercise. Training and development can sustain or increase

its employees' current productivity, while, at the same time, prepare employees for a changing

world.

Type of research:

This project is based on exploratory as well as descriptive study.

pg. 13

Data Collection

To fulfil the information need of the study, the data is collected from primary as well as secondary

sources-

A -Primary source Primary data collection method is selected because this study nature does not permit to apply observational

method.

In survey approach, a questionnaire method is selected for taking a customer view because it is feasible

from the point of view of our subject & survey purpose. I have conducted 100 sample of survey in my

project to judge the satisfaction level of employees.

B - Secondary source Secondary data is taken from such as:

• Information collected from customers.

• Reports of various study group or working groups appointed by Government from time to time.

SAMPLE TECHNIQUE The sample was selected using a Judgmental sampling and random sampling.

SAMPLE SIZE For the questionnaire I have taken the sample size of 100.

pg. 14

Data analysis

Interpretation: 67% of employee received the training in their current

job and 33% employee do not received the training in their current job.

pg. 15

Interpretation: 60% of employee feel training is needed to perform their current

role and 36% of employee do not feel the training need and 3% says they never feel

the need of training.

Interpretation: In an organisation 67% employee feel dependency on their senior

and 28% do not feel dependency and the 2% never feel dependency on their senior

and 3% employee gave the other reason.

pg. 16

Interpretation: 73% of employee feel future training and professional

development needs exist in their organisation and 27% of employee say

no future training and development needs exist in their organisation.

Interpretation: In NCR region 55% of employee say in their organisation

have a dedicated training cell and 44 % say no they don’t have and 1%

gave the other reason.

pg. 17

Interpretation: 62% of top management of different companies are

ready to pay for outside trainees on the other hand 38% are not willing to

pay.

INTERPRETATION: As per the data came across me from employees 10% are

willing to join addition training programme specially on presentation skills and 14%,

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20%, 45%, 8% are looking for workplace ethics, conflict management,

organisational skills and other respectively.

Interpretation: When the question arrived to employees that whether training

should be provided in your organization or not 46% told it should be monthly basis

18% told on every 6 months, 19% told annually and 11% told that they do not require

any training.

pg. 19

Interpretation: 57% of employee feel that their companies providing

correct method of training and 39% of employee say their companies not

providing correct method of training.

Interpretation: 56% of the employee say on the job training is required

and other 5% required off the job training method.

pg. 20

Limitations

This study also includes some limitations which have been discussed as follows:

To access such a large number of working people were difficult because of non-cooperative

attitude of respondents.

Lack of data was also the other limitation of the study.

There was limitation of time to conduct such a big survey in limited available time.

Ignorance and reluctant attitude of customers was also a major limitation in this study.

Thus above all were the limitations in this research study. The maximum efforts were made to

overcome these limitations in the study.

Conclusion

In conclusion, if employees are to remain productive, career development and training programs

need to be available

Even when training is the best possible intervention method, there is need to assess the type of

training required and then see if the training material is practical. For training to work

effectively, the performance problem must be identified and analyzed. Then needs assessment

must be conducted to determine if training is the best approach to solve the problem. Training

materials must also be developed (building stage), and implemented (delivering stage).

Finally, there is need to evaluate the training. Here, feedback has to be collected from

participants on whether they learned, and follow- up should be made to their work place to see if

they are applying the knowledge and skills learned.

pg. 21

Questionnaire

Dear sir/madam

I am MONA doing MBA from DAYALBAGH EDUCATION INSTITUTE. I

am preparing a project on TRAINING NEED ANALYSIS .for this I have

designed a questionnaire to know your views or satisfaction and requirements

of training in your working career. Please fill the given as per your thinking

and experiences with this. I will be thankful to you for this.

OBJECTIVE OF THE STUDY

To understand employee perception about: 1. Whether they are provided with correct method of training. 2. The areas where they should be given additional training programme. 3. Number of times training should be provided in a year.

Q1. Have you received any training in your current job?

pg. 22

(a) Yes

(b) No

(c) If yes (specify)

Q2. Do you feel training is needed to perform your current role?

(a) Yes

(b) No

(c) Never

Q3.Do you feel dependency on your senior?

(a) Yes

(b) No

(c) Never

Q4.Does a process for identifying future training and professional

development needs exist within your organization?

(a) Yes

(b) No

Q5.Does your organization have a dedicated training cell?

(a) Yes

(b) NO

Q6. Would you or your department willing to pay a fee to hire outside

training groups?

(a) Yes

(b) No

Q7. IN What areas listed below would you like to see additional training

programme?

pg. 23

(a) Presentation skills

(b) Workplace ethics

(c) Conflict management

(d) Organizational skills

Q8. How frequently training should be provided in your organization?

(a) Not at all

(b) Monthly

(c) Every six month

(d) Annually

Q9.Do you feel that your company is providing you with the correct method of

training?

(a) Yes

(b) No

Q10.If No than what are the other method of providing training is required?

(a) On the job training

(b) Off the job training

Name: ___ _______________________________________________

Age: [ ] 20-30 years [ ] 30-40 years [ ] 40-46 years [ ] above 50 years

Income: …………………………………….

Occupation: [ ] Business [ ] Service

pg. 24

Any other (please specify)............................................

Marital status: [ ] Male [ ] Female

Experience: [ ] 1-5 years [ ] 5-10 years [ ] 10-20 years [ ] above 20 years

Sex: [ ] Male [ ] Female

Address: __________________________________________________

Phone No.:__________________________________________________

Email ID: __________________________________________________

REFERENCES

wikipedia.org/wiki/Training needs analysis

Gonnan, P., McDonald, B., Glassman, A., Takeuchi, L., & Henry, M., (2003).

Custom needs assessment for strategic HR training: The Los Angels county

experience.

Public Personnel Management: 32(4), 475-495. Greenberg, J. (1999). Managing

Behavior in Organizations:-Prentice Hall, Upper Saddle River, New Jersey.

Hale, R., & Whitlam, P. (2000). Powering Up Performance Management. Gower

Publishing Limited.

Hiam, A. (1992). Closing the Quality Gap: Prentice Hall Professional Publishing.

Iigen, D., & Pulakose E. (1999). The Changing Nature of Performance.-Jossey-

Bass Publishers.

http://www.businessdictionary.com/definition/training-needs-analysis.html

Goldstein, I. (1989). Training & Development in Organizations. Jossey- Bass

Publishers: Sun Francisco.

William, T. (1 992). Designing Training & Development Systems. AMACOM

Witkin, B. & Altschuld, J. (1 995). Planning and Conducting Needs

Assessments. New Delhi: SAGE Publications.

pg. 25