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    Training in the TravelIndustry report 2010

    An investigation intorecruitment, training,skills needs and futuretrends across the UKstravel industry

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    EXECUTIVE SUMMARY

    Jointly produced by ABTA and People 1st, this report provides a detailed insight intorecruitment, training, skill needs and future trends across the UKs travel industry.

    The information contained within it is based on primary research with over 700representatives of the travel industry, three detailed case studies and reference to anumber of secondary datasets.

    In spite of the severe recession experienced over the last couple of years, the travelindustry has remained relatively buoyant. Whilst there have been some casualtiesalong the way with a number of companies going into liquidation, the situation overallhas been more positive than predicted.

    In the case of recruitment, for example, the vast majority of travel businessesworkforce had either remained level or increased over the last year.

    Similarly, far from avoiding the financial investment that can be associated withproviding training, almost all employers (93 percent) provided training to their staffrecently. Perhaps as a reflection of the current economic climate and attempts tosave money though, the cost-effective method of e-learning was the most commonlyused for training.

    With a view to remaining competitive in the marketplace, customer service skills wereconsistently mentioned as the single most important factor. This applied more orless across the board whether it be with regard to the frequency of the type oftraining provided to staff, the perceived benefits of providing training or skills whichwill become increasingly important in the coming years.

    Looking at skills gaps in the industry, 14 percent of travel consultants were describedas not fully proficient in their roles with things like sales skills being most in need ofimprovement.

    As regards the formal training mechanisms in place for the travel industry, opinionson these were mixed. Whilst qualifications in general were quite highly thought of,opinions on full time provision were less clear cut. From the employer point of view,having the right attitude, having an interest in travel and having a good level ofgeneral education were all rated as more important than having industry relatedqualifications for school and college leavers.

    Similarly, the views from school and college leavers on how useful their travel relatedqualifications had been in preparing them for their job suggested that a sizeableproportion felt they had not been tremendously useful.

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    CONTENTS

    Page number

    Executive summary 2

    Introduction 4

    Travel industry training and developmentbenchmark survey 2008 revisited

    7

    Recruitment 8Staffing levels and recruitment 8Recruitment of staff from full-time education 8Recruitment of senior managers 9Working conditions 10

    Training and development in the travel industry 11Type of training and development 11Formal training 14

    Benefits of training 16Employer perspective 16Employee perspective 17

    Skill needs 19Skills of college/university leavers 19

    Views of qualifications and training providers 21

    General views on qualifications 21Employee views on qualifications 22View on training providers 23

    Funding for training and development 24

    Accessing information on training and development 25

    Future trends and knowledge requirements 27

    Conclusion

    Appendices

    30

    One: Survey respondents 31Two: Britaly Travel case study 33Three: Thomas Cook case study 36Four: Travel Bureau case study 40

    3

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    INTRODUCTION

    Recent trends in the travel industryThis report investigates training practices across the UKs travel industry using in

    depth primary research supported by analysis from a range of secondary datasources.

    Since 2008s Travel industry training and development survey produced jointly byABTA and People 1st, much has changed in the industry. Few people predicted theseverity and extent of the economic changes which arose throughout the recession.Whilst the country has now officially emerged from recession, the repercussions of itwill be felt across industry for a long time to come.

    Looking at the travel industry in particular, figures indicate there are around 96,5001people working in the industry across the UK with 8,800 individual outlets operatingfrom around 5,800 businesses. It is estimated there are around 47,500 travel agents

    across the UK2

    .

    However, to put things into more context, the end of late 2008 and early 2009 saw ageneral feeling of pessimism across the travel industry. As companies across theeconomy looked to cut back on spending, business travel was the first to experiencesubstantial losses. This soon spread to consumer spending and the leisure travelmarket began to experience losses.

    As 2009 progressed the situation worsened with the rise in air tax, swine flu andnatural disasters all contributing to the closure of high street travel agencies, reducedstaffing levels in business travel companies and the demise of several tour operatorsand airlines.

    However, ultimately, many businesses throughout the industry coped very well withthe economic crisis and there were many reports of robust booking patterns in early2010. Unfortunately, with the ash clouds emanating from Icelands Eyjafjallajkullvolcano, new difficulties came to the fore for the travel industry with yet more reasonsfor consumers to be reluctant to make bookings.

    Despite all this, taking a holiday is still seen as an essential by much of the UKpopulation and, whilst booking patterns may have changed considerably over recentyears, those companies responding appropriately to the market will prosper.

    1

    Office for national statistics, Labour force survey, 20092Office for national statistics, Labour force survey, 2009 (note this does not include those

    working as tour operators)

    4

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    The current research

    The main areas examined in this piece of work cover training practices, trainingproviders, recruitment and working practices with a particular emphasis onfuture trends and knowledge requirements in the industry.

    In addition, this report is supplemented by three detailed business case studies.

    The surveysThe majority of data cited in this report originates from two main sources which,combined, represent a sample size of 718:

    1. People 1st Industry Survey 2010a. This consisted of in depth telephone interviews with 159 businesses

    working in the travel industry.2. Training in the travel industry 2010

    a. This consisted of two separate online surveys: one aimed atemployers and the other at employees within the industry. In total

    there were 88 responses from employers and 471 from employees.

    The case studiesWhilst the full case studies can be found in the appendices to this report, a briefdescription of each is given below.

    Britaly TravelBased on an interview with Director of Britaly Travel, Daniele Broccoli, this casestudy outlines how this small family run business has ridden the storm of therecession, taken advantage of both National Vocational Qualifications (NVQs) andApprenticeships and instilled a flexible, open and supportive company culture.

    Thomas Cook UK & IrelandBased on an interview with Mari Harrison, Head of Learning and Development atThomas Cook UK & Ireland, this case study outlines the benefits e-learning has hadon the business and provides tips to other employers thinking of using e-learning.

    Travel BureauDescribes how Travel Bureau use training and development in their business andprovides practical advice to help other businesses do the same; based on aninterview with Jeanne Lally, Commercial Director at Travel Bureau.

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    Acknowledgements

    Many thanks are due to those who both helped distribute and publicise the onlinequestionnaire and also those who completed it. The suggestions andrecommendations made by the members of ABTAs professional developmentsteering group with regards to the development of the online questionnaire was alsovery much appreciated. Particular thanks go to the following organisations whogave up their valuable time to be involved in the case studies:

    Britaly Travel Thomas Cook The Travel Bureaux

    For further information on this research, please contact Alastair Galbraith,

    Senior Research Executive, People 1st

    ([email protected]).

    6

    mailto:[email protected]:[email protected]
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    Travel industry training and development benchmark survey 2008revisited

    Before going on to discuss the current research its essential to revisit the work from2008 with a brief summary of the main points which emerged.

    Extent of training and development

    89 percent of employees said they had received some form of training in theprevious year.

    The most popular types of training were familiarisation trips, informal andformal training.

    The main reasons why businesses train their staff are to improve customerservice, increase efficiency, motivate staff, generate new business andensure consistent standards.

    Over two thirds of businesses train staff for future career development,helping them with succession planning and enabling them to recruit andpromote from within.

    Investment in training and development Half of businesses expected their training budgets to increase slightly and 13

    percent expected them to increase significantly over the next five years. Many felt the economic climate would have some kind of effect on their

    business with some believing that the type of training may change with agreater emphasis on product training and e-learning.

    Benefits of training and development

    Top of the list for business benefits was the improved customer service itallowed (96 percent of businesses said that training had improved customer

    service). The main ways in which training had helped staff were to improve their

    capability to do the job, make them more productive and improve the level ofcustomer service they provide.

    71 percent of employees thought it was very important and 24 percentthought it was important that they receive training and development from theiremployer.

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    RECRUITMENT

    In this section of the report we review recruitment practices across the travel industry.Firstly, recruitment in the current economic climate is discussed followed by a moredirect look at the recruitment of staff from full time education, analysis of

    management recruitment and a brief look at working conditions in general.

    Staffing levels and recruitmentThe current economic climate has had an impact on many different aspects ofbusinesses within the UKs travel industry; one such area is in staffing levels andrecruitment.

    There had been many concerns that the recession would lead to mass redundanciesbut People 1sts industry survey, 2010 found that over half (53 percent) of employersin the travel industry said their core workforce levels had remained the same over thelast year. Furthermore, a quarter (25 percent) said it had actually increased.

    Of the 43 percent who had taken on new staff, two in five (40 percent) said it hadbeen easier to recruit, a quarter claimed it had been more difficult (25 percent) and28 percent said it was about the same.

    Of those who felt recruitment had become easier, the vast majority (81 percent)attributed this to there being more people applying for jobs. 15 percent also feltthere were more applicants with the required skills/experience and 11 percent statedthere were more with the right attitude.

    However, the majority (71 percent) of those who believed recruitment was becomingmore difficult attributed this to it being more difficult to find people with the rightskills/experience.

    Recruitment of staff from full-time educationEmployers were also asked whether or not they had recruited any leavers fromschool, college or university over the last 12 months. The 45 percent who said theyhad were then asked to rate how important it was that these new recruits had certainlevels of competence in various areas.

    Looking at the results together, it appears that the most important thing to employersis that these leavers have the right attitude with an average across the three groupsof leavers working out at 82 percent of respondents saying it was very important.Next in importance was that leavers have an interest in travel (69 percent stating itwas very important), followed by importance that leavers have a good level ofgeneral education (60 percent). Less than a quarter (24 percent) said it was veryimportant that the leavers had undertaken industry related qualifications, perhapsindicating the intensive training that many (particularly larger) travel organisationsprovide to new recruits.

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    Figure one: Importance of full-time education leavers competence in various areas

    24%

    57%

    78%

    65%

    28%

    63%

    86%

    72%

    21%

    62%

    83%

    71%

    24%

    60%

    82%

    69%

    0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

    Haveundertakenindustryrelated

    qualifications

    Haveagoodlevelofgeneraleducation

    Havetherightattitude

    Haveaninterestintravel

    Average

    UniversityleaversCollegeleaversSchoolleavers

    Source: Training in the travel industry 2010, employer survey (Base: 38 [employerswho had recruited school, college or university leavers over the last 12 months])

    Whilst the content of the full-time education courses are undoubtedly of relevance forthe industry, it appears that they may not fully prepare an individual for the industryas well as they might and, from the employers points of view, having the rightattitude, an interest in travel and a good standard of general education are moreimportant.

    Recruitment of senior managersEmployers were asked where their senior managers tend to be recruited from. Ascan be seen from the chart below, the most common response was from within thecompany, followed by other travel companies. Relatively few (only four percent)said they tended to be recruited from other industries.

    9

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    Figure two: Recruitment of senior managers

    4%

    36%

    60%

    FromotherindustriesFromothertravelcompanies

    Fromwithinthecompany

    Source: Training in the travel industry 2010, employer survey (base: 81 [allemployers]

    Working conditionsLooking at working conditions, 89 percent of employers said that their organisationoffers flexible working conditions.

    By far the most common option offered (mentioned by 90 percent of respondents)was the option to work part-time. However, options to work from home (mentioned

    by 41 percent of respondents), job-share (35 percent) and flexi-time (31 percent)options were also relatively popular.

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    TRAINING AND DEVELOPMENT IN THE TRAVEL INDUSTRY

    This section of the report focuses on training and development. It identifies the typeof training which most employers provide and the topic areas which are oftencovered. It also examines the areas in which management staff are most commonly

    trained in and assesses how useful people have found formal, full time training to bein preparing them for work in the industry.

    Type of training and development

    Of the employers who completed the online survey almost all (93 percent) stated thattheir organisation provides training to its staff. The results for employees supportedthis with 85 percent saying they had undertaken training since being with their currentemployer.

    In terms of the training received, table one indicates that the most popular was E-learning (received by 54 percent of respondents), followed by informal training (53

    percent) and induction or initial training (51 percent).

    It is interesting to note that, as predicted by many in the 2008 survey, e-learning hasbecome a very common mode of learning. Generally speaking, this is a cost-effective means of training staff so, with the current financial climate, it appears thatan increasing number of employers are using this.

    Table one: Types of training received by employeesType of training Frequency Percent

    E-learning 252 54%

    Informal training (such as attendance at seminars, conferences etc) 250 53%

    Induction or initial training 239 51%

    Familiarisation trips / educationals 231 49%

    Formal training (on or off the job) 210 45%

    Training that leads to a formal qualification 150 32%

    Coaching 130 28%

    Training recognised by the Accredited Travel Professional (ATP)scheme

    126 27%

    Mentoring 112 24%

    Other 18 4%

    Source: Training in the travel industry 2010, employee survey (base: 468 [allemployees who have received training])

    As a number of the training types listed above are rated with similar scores it appearslikely that they will often be used in combination.

    Looking more specifically at the subject areas which respondents have been trainedin, figure three indicates that customer service is the most common (mentioned by 69percent of respondents).

    Customer service is perhaps one of the most important factors in allowingbusinesses in the service sector to give themselves a competitive edge. Whilsttravel businesses can distinguish themselves by offering unique products/servicesand catering to certain sections of the market, the over-arching factor in ensuringsuccess is to provide high levels of customer service.

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    In reality, a holistic approach to training includes all of the main subject areas. Themajority of them, however, are held together by good customer service in that, forexample, having good product knowledge and excellent communication skillscontributes towards providing a high level of customer service.

    Figure three: Main subject areas of training

    2%

    36%

    43%

    46%

    47%

    53%

    63%

    69%

    0% 10% 20% 30% 40% 50% 60% 70% 80%

    Other

    IT

    Managementandleadership

    Destinations

    Communicationsskills

    Sales

    Productknowledge

    Customerservice

    Source: Training in the travel industry 2010, employee survey (base: 468 [allemployees who have received training])

    In terms of how the training is actually delivered 68 percent of respondents statedthey had received on the job training, 67 percent had received on-line training and 55percent classroom based tutorials.

    Whilst the incidence of training is therefore very high amongst employees generallyacross the travel industry, we also examined training aimed specifically at managers.

    Almost two-thirds (63 percent) of respondents said they provide training formanagers with the most frequently covered areas being in customer service,organisational skills and people management skills.

    Traditionally for managers we would probably expect business planning andstrategic management and budget/financial skills to be rated the highest as theseare, arguably, what makes a manager a manager. However, these results suggestthat, whilst these skills are still important, the industry is becoming increasinglycustomer focused with customer service again being rated amongst the mostcommon form of training.

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    Figure four: subject areas commonly covered in training for managers

    6%

    6%

    60%

    61%

    71%

    79%

    79%

    79%

    0% 10% 2 0% 30% 40% 50% 60% 70% 80% 90 %

    Other

    Don'tknow

    Budget/financialskills

    Businessplanningandstrategicmanagement

    Leadership

    Peoplemanagementskills(egsupervisory,motivation)

    Organisational skills(egdelegation,projectmanagement)

    Customerservice

    Source: People 1st industry survey 2010 (base: 159)

    Sometimes training (particularly for areas such as health and safety) can be verygeneric and not always specifically relevant to an individuals job. However, it isencouraging to note that the majority of training given to managers is specifically

    tailored to the travel industry. Figure five shows that training in business planningand strategic management and budget/financial skills in particular are highlylikely to be tailored specifically to the industry.

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    Figure five: Incidence of training specifically aimed at the travel industry (managers)

    22%

    12%

    30%

    27%

    25%

    25%

    60%

    64%

    55%

    52%

    52%

    57%

    10%

    17%

    12%

    17%

    17%

    16%

    7%

    7%

    3%

    4%

    6%

    3%

    0% 10% 20% 30% 40% 50% 60% 70%

    Budget/financial

    skills

    Businessplanningandstrategicmanagement

    Leadershiptraining

    Peoplemanagementskills

    Organisational skills

    Customerservicetraining

    Don'tknowBoth

    Tailored

    Generic

    Source: People 1st industry survey 2010 (base: 159)

    Formal training

    13 percent of travel employees said they had completed full-time education (atcollege or university) in the last three years. For 63 percent of these respondents,the training was directly related to their current job in the industry. Overall the viewswere mixed regarding how useful the training had been in preparing the individual fortheir current role. On a scale of one to five (where one equals very useful and fiveequals made no difference), the most common response was 3 (42 percent ofrespondents).

    In some respects these results suggest a slight indifference to the quality of full timetravel education. It is encouraging to note that, in terms of usefulness, 49 percentrated travel related qualifications as one or two (i.e. very useful or useful) but the factthat 51 percent rated it as three or worse (i.e. tending towards intimating that it madeno difference) is definitely a cause for concern.

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    Figure six: Level of usefulness of travel related qualifications

    2%

    7%

    42%

    34%

    15%

    0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

    5(madenodifference)

    4

    3

    2

    1(veryuseful)

    Source: Training in the travel industry 2010, employee survey (Base: 37 [allemployees who have completed a full time industry related qualification within thelast three years])

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    BENEFITS OF TRAINING

    Having examined the type of training provided and assessed how effective itsconsidered to be in the previous section, the following section explores this furtherpaying particular attention to the benefits of it from both the employer and employee

    perspective.

    Employer perspectiveIn assessing the main reasons why businesses train their staff, we identified the fivetop reasons as:

    To improve customer service. To increase efficiency. To improve product knowledge. To ensure consistent standards across the business. To improve future growth capability

    Examining this in more detail, employers rated (on a five point scale ranging from

    very important [1] to not important at all [5]) the importance of a range of possiblepre-set outcomes of training. Taking an average of scores, these possible outcomeswere collectively rated as very important by 62 percent of respondents.

    As can be seen once again in table two, customer service is of major importance tobusinesses; it can perhaps be best described as the glue that binds together a wholerange of different business attributes (such as increased efficiency) which, together,greatly enhance an organisations competitiveness in the market place.

    Whilst table two highlights the importance of a number of benefits to training, itappears that the concept of preparing staff for promotion or more responsibility isfurther down the priority list.

    Also of less concern is the drive to reduce staff turnover. However, research byPeople 1st found the average labour turnover rates across the travel and tourismindustry to be 17 percent3. As the rate across the economy as a whole is also 17percent4 it is therefore unlikely that many businesses see this as an issue.

    Many of the same questions were asked in the 2008 survey and these have beenincluded in the table for reference. It is perhaps indicative of the increasingrecognition of trainings importance overall that seven of ten statements receivedhigher ratings in 2010 (see table two). Of particular note was the 16 percentincrease in respondents rating prepare staff for promotion or more responsibility

    as very important.

    3People 1

    stemployer survey 2009

    4Chartered institute of personnel development 2008

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    Table two: Why businesses train their staffProportion of respondentsrating this as 'very important'Possible business benefit2010 2008 Change

    Improve customer service 90% 88% 2%

    Increase efficiency 88% 82% 6%

    Improve product knowledge 68% n/a n/a

    Ensure consistent standards across business 65% 58% 7%

    Improve future growth capability 62% n/a n/a

    To help generate new business 61% 69% -8%

    In response to new products/services 55% 59% -4%

    To motivate staff 54% 55% -1%

    Comply with regulations 53% 35% 18%

    Embed the company brand and culture 53% 45% 8%

    Help reduce staff turnover 48% 41% 7%

    Prepare staff for promotion or more responsibility 46% 30% 16%

    Source: Training in the travel industry 2010, employer survey (Base: 82 [all

    employers who provide training])

    In general, the benefit of training was summed up by one employer who stated:

    the main benefit (is) that you empower people to be able to deal with issueswithout having them escalated. You allow them to progress and enjoy their role moreand you enable them to train others to reap that benefit.

    Employee perspectiveFrom the employee point of view, there are also a range of benefits associated withtraining. The table below lists a number of key benefits in descending order of theirimportance for workers in the industry. Rated most highly was that training improvedtheir confidence (72 percent of respondents). Also considered by many to be abenefit was that the training made respondents more capable of performing their job(70 percent of respondents) and improved the level of customer service they provide(69 percent).

    Table three: Key benefits of training for employeesKey benefit Proportion of respondents

    Improved your confidence 72%

    Made you more capable of performing your job 70%

    Improved the level of customer service you provide 69%

    Motivated you 62%Made you more efficient 58%

    Made you more productive 56%

    Given you a better understanding of the company's goals 46%

    Made you more loyal to the company you work for 41%

    Helped you generate new business 38%

    Helped prepare you for promotion 25%

    Helped you get promoted 17%

    Other 2%

    Source: Training in the travel industry 2010, employee survey (base: 82 [allemployers who provide training])

    It is interesting to note that, in contrast to the apparent increase from employers inusing training as a means to prepare employees for promotion, the benefits

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    associated with promotion for employees (i.e. helped prepare you for promotion andhelped you get promoted) are rated much lower than a number of the other benefits.

    Looking further into this, 79 percent of employers who provide training also state thatit is linked to career progression and/or succession planning (i.e. the training allowsstaff to take on new roles rather than just training for the current job). In addition, alarge proportion of employers indicated there is a link between the completion oftraining and pay increases. For example, over half (51 percent) said it sometimesleads to a pay increase (one percent said it always does and 48 percent said itdidnt).

    In terms of employee views of the overall importance of training, the proportion ofrespondents stressing the importance that they receive training and ongoingdevelopment from their employer was very high. 95 percent said it was eitherimportant or very important. Similarly 93 percent of respondents said that, if theywere looking for a new job in the travel industry, it would be either important or veryimportant that the company offered training and ongoing development.

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    SKILL NEEDS

    This section first explores the skills which are lacking amongst travel consultants thenturns to examine the work readiness of those recruited from college and university.

    Businesses from People 1

    st

    s industry survey 2010 stated that 14 percent of thetravel consultants they employ are not fully proficient in their roles. As figure sevenshows, sales skills were mentioned as the skill which was most in need ofimprovement, followed by general IT user skills and product knowledge.

    Figure seven: Skills in need of improvement amongst travel consultants

    5%

    13%

    14%

    16%

    18%

    20%

    21%

    29%

    0% 5% 10% 15% 20% 25% 30%

    Basicliteracy/numeracy

    Oralcommunicationskills

    Therightattitude

    Jobspecific skills

    Customerhandlingskills/customerservice

    Productknowledge

    GeneralITuserskills

    Salesskills

    Source: People 1st industry survey 2010 (Base: 159)

    Skills of college/university leaversJust under a quarter (23 percent) of employer respondents had recruited staff directlyfrom college or university.

    In terms of how long it takes these members of staff to become fully competent intheir roles, the most common answer given was one to two years (as noted by 38percent of respondents).

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    Figure eight: Work readiness of college/university leavers

    5%

    10%

    24%

    19%

    38%

    5%

    0%

    5%

    10%

    15%

    20%

    25%

    30%

    35%

    40%

    Notime,are

    alreadyfully

    competent

    Onlyafew

    weeks

    Upto6months

    6monthstoa

    year

    1to2years

    Over2years

    Source: People 1st industry survey 2010 (Base: 159)

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    VIEWS OF QUALIFICATIONS AND TRAINING PROVIDERS

    This section of the report begins with a look at opinions on qualifications for theindustry in general, before examining employer views and employee thoughts on thevarious training providers available.

    General views on qualifications

    Participants in People 1sts industry survey 2010 were asked what their generalopinions were of the qualifications available for the travel industry. Almost half (43percent) described them as good with a further 11 percent saying they wereexcellent. Only 16 percent felt they were poor or very poor. A further 10 percentwere not familiar enough with the qualifications to make an informed judgement.

    It is worth acknowledging that these results may seem to contradict earlier findings ofthis report where full time education courses were viewed less favourably. However,the findings under discussion here apply to qualifications in general including, for

    example, work-based training rather than full-time training exclusively.

    Figure nine: General views of industry related qualifications

    3%

    13%

    21%

    43%

    11%

    0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

    Verypoor

    Poor

    Neithergoodnorpoor

    Good

    Excellent

    Source: People 1st Industry Survey 2010 (Base: 159)

    Looking more specifically at the diploma in travel and tourism, most respondents (55percent) were neutral about the qualification with six percent stating they didnt know.This perhaps reflects the lack of knowledge so far about this qualification. It is,however, encouraging to note that almost three in ten (38 percent) had a high orvery high opinion of it.

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    Figure ten: Views of the travel and tourism diploma

    2%

    10%

    55%

    24%

    4%

    6%

    0% 10% 20% 30% 40% 50% 60%

    Verypoor

    Poor

    Neutral

    High

    Veryhigh

    Don'tknow

    Source: People 1st Industry Survey 2010 (Base: 159)

    Employee views on qualifications

    Of the 150 respondents who had undertaken training which leads to a formalqualification, the most commonly undertaken qualification (discounting otherqualifications) was the Level 2 NVQ in travel services (53 percent of respondents).However the Level 3 NVQ was also popular (49 percent of respondents).Apprenticeships had only been done by 13 percent of respondents.

    Table four: Most commonly undertaken formal qualificationsQualification type Frequency Percent

    Other 90 60%

    A Level 2 NVQ in Travel Services 79 53%

    A Level 3 NVQ in Travel Services 73 49%

    Another type of S/NVQ 37 25%An Apprenticeship 19 13%

    Source: Training in the travel industry 2010, employee survey (Base: 210 [allemployees who have received training which leads to a formal qualification])

    Despite the relatively few respondents enrolled on apprenticeships, they were ratedthe highest in the survey with three quarters (74 percent) saying they had been veryeffective in helping the respondent perform effectively in their current role.

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    Table five: Ratings of most commonly undertaken formal qualifications

    Qualification type1 (veryeffective)

    2 3 45 (not effective atall)

    Apprenticeship 74% 16% 0% 0% 11%

    Level 2 NVQ in TravelServices

    35% 28% 23% 9% 5%

    Level 3 NVQ in TravelServices

    33% 27% 32% 4% 4%

    Another type of S/NVQ 36% 22% 31% 11% 0%

    Other 32% 47% 14% 8% 0%

    Source: Training in the travel industry 2010, employee survey (Base: 210 [allemployees who have received training which leads to a formal qualification])

    Regarding the training tools which ABTA have made available online, less than onein five (18 percent) employers stated their staff had completed any of these (although37 percent also stated that they didnt know). The most popular was All aboutABTA (mentioned by 69 percent of those with staff who had completed suchcourses) followed by Make Travel Greener (46 percent) and Every Child,Everywhere (38 percent).

    Views on training providers

    Employers were asked if they used any of a range of training providers. As can beseen from the figure below, work based training providers were most commonly used(74 percent of employers who provide training). The general levels of satisfactionwith these providers was fairly high with, on average 42 percent being very satisfiedand 42 percent being satisfied. In terms of individual ratings of providers, 40 percentof employers were very satisfied with universities, 39 percent with work basedtraining providers and just 29 percent with colleges.

    Figure 11: Incidence of use of training providers

    22%

    36%

    38%

    74%

    0% 20% 40% 60% 80%

    Universities

    Colleges

    Othertrainingproviders

    Workbasedtraining

    providers

    Source: Training in the travel industry 2010, employer survey (Base: 82 [allemployers who provide training])

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    FUNDING FOR TRAINING AND DEVELOPMENT

    40 percent of employers stated that they receive government funding to help traintheir staff. The most common use for this funding was on stand-alone S/NVQs

    (mentioned by 69 percent of those receiving funding) followed by apprenticeships (50percent).

    However, generally speaking, the funding received by these employers is only asmall proportion of their training costs; nearly seven in ten (69 percent) estimatedthe proportion to be less than 25 percent of their total costs.

    Clearly government spending in the current economic climate is uncertain and it is ofsome concern that over half (54 percent) currently using funding stated theircompany would be unlikely to fund it themselves if government funding werereduced.

    Exploring this further, respondents were asked what they anticipated the impact ofreduced government spending would be. As explained by one employer:

    In (the) current climate some costs would be met but not on the scale that wehave done when we have received funding.

    Similarly, others felt that the training would simply be stopped:

    We would not be able to afford to cover the cost of this training so it would nothappen, also we have employed trainees as a result of this funding and thatwould not happen if we had no help.

    Of course, many employers in the survey had not made use of funding at all. Themost common reason cited by employers for this was that they were simply unawarethat any funding was available (mentioned by 53 percent of respondents). Similarlyover a third (37 percent) stated that they just wouldnt know where to start or foundthere were too many restrictions on eligibility for funding (26 percent).

    Taking this theme further, respondents were also asked if they had attempted toaccess funding in the past but given up. Despite only 16 percent stating that thishad been the case, it was clear they had been frustrated by the process:

    Very long winded, lots of protocol, lots of form filling, training bodiesdisorganised and I felt like I was being sent from one person to another to getinformation.

    Too restrictive around who was and was not eligible to receive the funding.

    Only found funding available like Train to Gain at too low a level of competencefor us to consider.

    Considering the uncertainty of future funding, employers were asked how concernedthey were about this. Over a third (37 percent) were neutral about it although 48percent were either concerned or very concerned.

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    ACCESSING INFORMATION ON TRAINING AND DEVELOPMENT

    From an extensive list, employers were asked how they usually access informationon training and development. The table below shows the frequency with whichemployers said they used each particular source of information. Whilst the other

    category featured highly, the most popular was ABTA Today (with over a third ofrespondents mentioning this). As one employee pointed out:

    As the industry is forever changing, we need to be constantly up to date with allthe information. As ABTA is our governing body, they should be the first point ofcall regarding training.

    Table six: Use of sources for accessing information on training and developmentSource of information Percent

    ABTA Today 36%

    Training provider (eg college) 31%

    Other 30%

    General internet search 27%Learning and Skills Council / Skills Funding Agency 26%

    Business Link 23%

    Accredited Travel Professional (ATP) website 19%

    People 1st 17%

    National Apprenticeship Service (NAS) 12%

    Regional Development Agency 12%

    Chambers of commerce 8%

    UKSP.co.uk 5%

    National Employment Service (NES) 4%

    Source: Training in the travel industry 2010, employer survey (base: 88 [all

    employers])

    The vast majority of employers (70 percent) and around half of employees (48percent) said they would find it useful if ABTA were to provide more information ontraining and courses.

    The general feedback therefore seemed to be that there was room for improvementin terms of the information ABTA provided on training and courses. A number ofrespondents stated they would be interested in anyinformation about ABTA trainingcourses as their knowledge of these was very limited at present. In short, many ofthe respondents were unaware of the information which ABTA currently provides andwould appreciate further details about what training is available, where it is available,

    how much it costs and other basic details. Some representative comments providedas regards the actual information people would like are as follows:

    A calendar of training courses available in the local area.

    Courses displayed by location to make searching easier.

    A comprehensive guide to training with the monthly magazine.

    A one stop co-ordinated page showing the range of courses available and whowith.

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    Turning to what additional services ABTA should provide, many hoped ABTA wouldbe able to provide a more authoritative voice for the industry, ensuring that coursesare effective and actively promoting the ones which are particular effective:

    More information regarding which courses are the best ones and where to getthe training that gets results.

    ABTA and other training providers should offer proper courses with depth tothem, too often courses skim the surface and don't do anymore than offer a fewcups of coffee and a talking shop.

    In terms of communicating information on training and development, mostrespondents (79 percent) stated that email was the best way, followed by informationon Abta.com (36 percent, information in the trade press (29 percent) and the ABTAToday magazine (27 percent).

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    FUTURE TRENDS AND KNOWLEDGE REQUIREMENTS

    The final main section of this report looks towards the future and reports the skills,jobs and knowledge elements which those working in the industry think will becomeincreasingly important in the coming years.

    With a view to finding out more about the future skill needs of the industry,respondents were presented with a series of 16 different skills common to theindustry and asked to rate them on a five point scale according to the followingcategories whereby the particular skill in question would be 1 essential in 10 years time2 more important in 10 years time than it is now3 as important in 10 years time as it is today4 of less importance in 10 years time5 of no importance in 10 years time

    The table below lists the various skills in descending order of what proportion rated it

    as being essential in 10 years time. In keeping with much previous research,providing excellent customer service was rated as the most likely skill to becomeessential, followed by verbal communication. Perhaps reflecting the fact that thissurvey was carried out as the ash from Icelands Eyjafjallajkull volcano wreakedhavoc on the UKs travel industry, assisting with problems and emergencies wasalso very highly rated.

    Table seven: Importance of particular skills for the future1

    (essential)2 3 4

    5 (of notimportance)

    Providing excellent customer service 89% 2% 6% 0% 2%

    Verbal communication 70% 12% 16% 1% 1%

    Assisting with problems and emergencies 70% 16% 12% 1% 1%Team working 59% 17% 20% 2% 2%

    General IT skills 59% 27% 11% 1% 2%

    Motivating skills 56% 23% 18% 1% 1%

    Training staff / colleagues 53% 24% 19% 1% 2%

    Literacy 52% 25% 20% 0% 2%

    Selling products and services (egaccommodation, tours)

    51% 28% 16% 2% 2%

    Leadership skills 49% 29% 18% 2% 1%

    Numeracy 48% 29% 20% 1% 2%

    Selling tailor-made travel services 46% 34% 18% 1% 0%

    Supervising skills 39% 34% 23% 2% 1%Specialist IT skills 39% 30% 28% 1% 2%

    Language skills 39% 30% 23% 5% 4%

    Other 32% 16% 44% 0% 8%

    AVERAGE 54% 24% 18% 2% 2%

    Source: Training in the travel industry 2010, employer survey (base: 88 [allemployers])

    Turning to look at knowledge rather than skills, respondents were asked to rate therelevance of a number of key knowledge elements. Knowledge of travel insurancewas thought to be the most essential area, followed by travel related geography (seetable eight).

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    Table eight: Importance of particular knowledge elements for the future1

    (essential)2 3 4

    5 (of noimportance)

    Travel insurance 60% 15% 21% 1% 2%

    Travel related geography 55% 23% 20% 2% 0%

    Company policies and procedures 51% 17% 30% 0% 2%

    Legislation 48% 27% 22% 2% 1%

    Other 47% 18% 35% 0% 0%

    Knowledge of environmental issues 46% 26% 20% 6% 1%

    Knowledge of modes of transport 45% 29% 23% 1% 1%

    Knowledge of accommodation 43% 31% 23% 1% 1%

    Knowledge of cruises 40% 27% 26% 4% 4%

    AVERAGE 48% 24% 23% 2% 2%

    Source: Training in the travel industry 2010, employer survey (base: 88 [allemployers])

    Similar to much of the rest of this report, customer service was widely regarded as

    critical to the travel industrys continued success. One respondent commented:Customer service and sales are the foundation of our businesswe need to befully trained and up to date with any new developments, and feel confident to useit."

    Furthermore:"Customer service is an ongoing skill as online booking could never replace this.

    There was therefore an overall consensus amongst employees and employers alikethat customer service will always be critical to gain and retain business.

    With regard to IT skills, another skill that was regarded as essential to future success,one employer commented succinctly:

    those who can maximise IT skills will continue to be successful

    A number of respondents agreed that the continuing growth of the Internet wouldmean that companies would have to be fully IT proficient, be able to market onlineand produce effective online reservation systems. Another employer stated theneed for travel employees to be able to prepare and send information by e-mail,blogs, twitter, SMS, and any other new form of communication that arises.

    Clearly then, the importance of IT skills is not confined to simple day-to-day computeruse but to effectively using internal IT systems and the wider ability to market and sell

    effectively through all forms of current and future technology.

    There was also a large emphasis placed on the importance of product knowledge inthe future. Interestingly, whilst many respondents commented on the importance ofIT skills in the future one employer alluded to the fact that, with a strong emphasis onfirst hand knowledge, a holistic approach can be the most effective to beingsuccessful in the industry:

    "Technology is always going to be important but I have many years experience inthe industry and in my view the most important skill is product knowledge andpersonal experience. Anyone can use a computer but when it comes down to it,it is not the computer that customer buys holidays from. Over the years I have

    seen companies take trainees on and send them on selling skills courses. Thisis all very well but if they do not know their product how can they sell it? More

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    companies and tourist boards have to offer the younger members in our industrymore educationals, not to far flung places, but to Spain, Greece and Turkey.First hand knowledge is the key and this is the best way they can learn. Thecruise companies are getting it right. Ship launches and ship visits areencouraged and look what is happening to their industry."

    Another employer commented that whilst technology allows customers to find a lot ofinformation for themselves, this can never replace first hand knowledge and apersonal touch.

    With regard to new jobs arising in the industry, feedback from employees was limited.However, many did acknowledge that the travel industry is constantly changing andhaving to reinvent itself; therefore the job roles and requirements change frequently.As one employee put it:

    There are so many companies now looking at marketing, graphic design,technology, destination management, account management etc. etc. that new

    roles are always emerging.

    Employers were more forthcoming with their responses and there was agreementthat new jobs would emerge in communications and in contact centre roles withinnon travel specific outsourcing companies. There was also agreement that newjobs would emerge in e-marketing due to companies looking to take advantage ofnew technology. One employer even noted that new jobs would emerge solely forwriting relevant applications for the iPhone.

    Regarding organisations investment in training and development over the next fiveyears it is encouraging to note that over two thirds (67 percent) said they expected itto increase.

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    CONCLUSION

    This report has provided information on a number of different areas with considerableimportance to the travel industry.

    It found that the majority of the travel industry workforce has remained stable orindeed increased over the last year (78 percent of respondents). For those that hadtaken on new staff, 40 percent said it had been easier to recruit due to such factorsas the greater amount of people available and the higher levels of their skills andexperience.

    For those taking on staff directly from full time education, around a quarter (24percent) said it was very important that the new recruits had undertaken industryrelated qualifications. However, other attributes such as having the right attitude andan interest in travel were considered to be of greater importance.

    The vast majority of employers (93 percent) provide training to their staff, backed up

    by the 85 percent of staff who had received training. Whilst training is provided in awhole host of different areas such as product knowledge, sales and communicationsskills for general staff and organisational skills, people management and leadershipskills for managers, customer service is the one unifying factor which brings them alltogether. In addition, it is considered by many to be the skill which organisations willbe unable to do without in the future if they are to continue to be competitive in themarket place.

    Whilst training is therefore seen as an essential component of a successfulorganisation for many of the respondents, there were mixed opinions over theefficacy of various forms of training. It would appear, for example, that the extent towhich full time training and qualifications prepares individuals for the industry is

    questionable. However, other forms of training such as apprenticeships weredeemed by those with experience of them to be a highly effective method.

    Respondents were also asked which sources of information they commonly use toaccess information on training and development. ABTA publications were ratedmost highly although 70 percent of employers said they would find it useful if ABTAcould provide more information. As the prospect of reduced public funding fortraining raised many concerns amongst those involved in this research, this wouldseem like an ideal time for ABTA to review their communication channels and look tofurnish their members with more detailed information on effective forms of training.

    Looking towards the future, it seems likely that technology will continue to evolve and

    organisations will have need to keep pace with this in order to maintain theircompetitiveness. However, despite the advancements in technology excellentproduct knowledge and customer service skills will maintain their underlyingimportance.

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    APPENDIX ONE

    SURVEY RESPONDENTS

    People 1st Industry Survey 2010

    This survey consisted of in-depth telephone interviews carried out in March 2010.

    159 interviews were carried out with businesses in the travel industry. The tablebelow shows which type of market these businesses predominately catered to.

    Frequency Percent

    The business market 23 14%

    The leisure market 84 53%

    A combination of the two 52 33%

    Total 159 100%

    Training in the travel industry 2010

    In total, 559 individuals provided responses to these online surveys which wereavailable online for four weeks between May and June 2010. There were twodifferent surveys; one for employers and another for employees.

    Employer survey

    Frequency Percent

    0 - 10 17 20%

    11 - 49 8 9%

    50 - 249 13 15%

    250+ 45 51%

    Don't know 5 6%

    Total 88 100%

    Frequency5

    Percent

    Leisure travel agency 42 48%

    Business travel agency 21 24%

    Tour operator 21 24%

    Cruise operator 6 7%

    Travel Industry Partner 1 1%

    Other 18 20%

    5As it was thought that some employers organisations were likely to operate across a range

    of different business types, respondents to the survey were allowed to select multipleresponses to the question How would you describe the type of business you work in?. Thisexplains why the numbers in this table to do not sum to the total number of respondents (88).

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    Employee survey

    Frequency Percent

    Leisure travel 296 63%

    Business travel 66 14%

    Tour operations 49 10%Other 27 6%

    Travel industry partner 18 4%

    Cruise operations 15 3%

    Total 471 100%

    Frequency Percent

    0 - 10 43 9%

    11 - 49 30 6%

    50 - 249 40 9%

    250+ 316 68%

    Don't know 39 8%

    Total 468 100%

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    APPENDIX TWO

    Britaly Travel case study

    Established in 1984, by father and son, Britaly Travel Limited is an independent

    travel agent employing six staff, who deal with over 300 tour operators.

    People 1st spoke to Director of Britaly Travel, Daniele Broccoli who describes howthe small family run business has ridden the storm of the recession, taken advantageof National Vocational Qualifications (NVQs) and Apprenticeships and instilled aflexible, open and supportive company culture.

    Issues and challenges

    Daniele shares some of the issues and challenges Britaly Travel has faced being avery small and busy travel agent.

    The recession as Daniele explains, hit us hardmost of us [smallbusinesses] run on the minimum possibleso with the recession the onlything I could cut back was my staffI didnt have the heart to cut anybodyback, I just rode the stormnow we are riding it back.Indeed, Danieleexplains that key to their strength is the closeness of his staff, who allvolunteered to work four days a week but Daniele did not want to implementthis.

    Tour operators that offer cheaper deals online hurts the travel agentsfinancially more than anyonethe average tour operator is selling online tenpercent cheaper than we buy it for.

    The introduction of low cost airlines, initially hit Britaly Travel, given theirPeterborough office is 58 miles away from Stanstead airport.

    Finding the time to train staff, as is the case for most small businesses, isvery difficult when you are responsible for every aspect of the business:

    You have to do everything yourself, from running the business to emptying bins andcleaning cupsfinding the money and time to train is then very challenging.

    Typically Italian

    To deal with many of the challenges, primarily the recession, Daniele knew thebusiness had to change focus and expand its offer. He stresses that you cant waittoo long on changing the way the company moves.

    Typically Italian was introduced in 2008 as a tour operator arm of Britaly Travel andhas increased its revenue by 100 percent between 2009 and 2010. Typically Italian isnow helping to support Britaly Travel, as Daniele explains making the changesmeans as a company we are now holding our own. If I didnt make changes and justleft Britaly, we would be struggling.

    What is more, each employee played a part in its creation:

    We did it altogether, the staff love Typically Italian, they love the business and theylove speaking to travel agents.

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    Training and culture

    Key to Britaly Travels success has been Danieles flexible approach to training. Hedescribes the training he delivers as ad-hoc and informal. He says that keepingtraining simple, quick and easy means it is effective given the time restraints of asmall business.

    Shadowing and mentoring are great methods of teaching staff new skills. Danieleshares an example:

    My gut feeling with an employee was that she would be good at selling. I gave herthe tip that it was about making the travel agent relax on the phoneonce youestablish that rapport, they will appreciate it. She would listen and make notes as tohow I was selling. The next step was for me to listen in while she was on the call.Then she would put the customer on hold and I would give her a selling tip, forinstance to say that the hotel is three minutes from the beach to help with that sale.

    Britaly Travel make the most of NVQs and Apprenticeships as Daniele says they areideal for small businesses because the are flexible and they give employees relevantskills and can be done on-the-job.

    Instilling an open and flexible work environment is equally pertinent to their success.Daniele says he always listens to his staff and everything they do is very much ateam effort:

    I always stand to be corrected if a member of staff thinks we should be doing it in adifferent way. We will implement something based on the brainstorming sessions andthen if it doesnt work, we change it.

    Tips and lessons learned

    Go with your gut feeling: the great advantage of a small business is to use that gutfeeling. Take informed risks and gambles and learn from your mistakes.Keep training easy and simple: do what you think is going to work for the company,rather than going by the text book.Be flexible: I never look for minutes; I know that if they [employees] are busy theywork through their lunch or stay until six oclock and I dont even have to ask. If oneof the members of staff has a problem getting her daughter to work, if I am not busyIll take herother members of staff will do the sameits swings and roundabouts.Avoid target setting: I dont set targets because I think if you set targets it will createpressure and a sell, sell, sell atmosphere in which youll lose that personal service.

    Make the most of government funded training and qualification: such as NVQs andApprenticeships, as Daniele says about the NVQs they used it was completely freeand the process easy and I would recommend it to other employers.

    And finally.

    .dont wait too long before implementing changes and just think it will be OKifyou have an idea you have been playing with for years then try it, because if you dobelieve in it and you have experience in your industry then it will work.

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    Further information

    Produced by People 1st in June 2010.

    For further information on this case study please contact:

    Vicki Wolf, Professional Development Manager, [email protected]

    Melissa Dinic, Senior Research Executive, People [email protected]

    For further information on Britaly Travel, please contact

    Daniele Broccoli, Director, Britaly [email protected]

    For further information on training and career progression visit uksp.co.uk

    35

    mailto:[email protected]:[email protected]://www.abta.com/http://www.abta.com/mailto:[email protected]:[email protected]://www.people1st.co.uk/http://www.people1st.co.uk/mailto:[email protected]:[email protected]://www.britalytravel.com/http://www.britalytravel.com/http://www.britalytravel.com/mailto:[email protected]://www.people1st.co.uk/mailto:[email protected]://www.abta.com/mailto:[email protected]
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    APPENDIX THREE

    Thomas Cook case study

    Thomas Cook case study: the benefits of e-learning

    Thomas Cook Group plc is one of the worlds leading leisure travel groups with salesof 9.3 billion, 22.1 million customers and around 31,000 employees.

    In the last 12 months, over 8,500 staff have completed an e-learning programme atThomas Cook in the UK & Ireland.

    People 1st interviewed Mari Harrison, Head of Learning and Development at ThomasCook UK&Ireland, to find out about the benefits e-learning has had on the businessand share her advice with other employers thinking of using e-learning.

    Why e-learning?

    E-learning refers to using electronic applications and processes to learn. E-learningapplications and processes include web-based learning, computer-based learningand virtual classrooms.

    Thomas Cook wanted to reduce the cost and time of training, without reducing the

    quality. E-learning was the ideal solution, both from an organisational and employeeperspective.

    Introducing e-learning meant Thomas Cook could:

    make training more accessible and flexible as it can be done at home or inthe work-place at a pace that suits the individual

    cut the cost of training reduce training time enabling staff to spend more time in their job role and

    reach competency quicker

    deliver consistent messages to a large number of people very quickly report and regulate who has completed training

    Thomas Cook has been developing e-learning training programmes in-house sinceFebruary 2009 and delivering courses since July 2009. E-learning is available to allemployees and covers induction, regulation, system and product knowledge as wellas key people management processes and providing information on the companyvision and values.

    Impact

    Thomas Cook measures the impact e-learning has had on the business and has

    seen great results.

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    Cost and time reduction

    The cost of travelling to training was reduced. Had Retail new joiners travelledto a venue for the Systems & Product Induction training, it would have costover 35,000 in travel expenses.

    By reducing the amount of Induction training time for Retail new joiners onSystems and Product from three days in the classroom to one day of e-learning, therefore increasing the time spent working and producing revenue,Thomas Cook has generated over 25,000 in improved efficiencies.

    Our sales consultants have a bespoke e-learning systems programme that theyuse.that has achieved substantial cost savings as it used to be a two day courseand is now a four hour e-learning programme broken down into sections so you donthave to do four hours in one go.

    Staff satisfaction

    E-learning has been received very positively by employees:

    Average knowledge rating of the key sales systems before completing the e-learning (out of a maximum of 5) was 2.37 and after completing the coursewas 3.97.

    An enthused employee commented:

    I really liked the step by step instructions and being able to go over anything youwere unsure of as many times as needed.

    Average knowledge rating of the mainstream in-house products before

    completing the e-learning (out of a maximum of 5) was 2.92 and aftercompleting the course was 4.14.

    Employees commented:

    It was fantastic to go through all our mainstreambrochures in such an engaging way.

    Great layout you go through a brochurefollowed by a short quiz with customer scenariosto check what you have learned.

    Challenges

    Implementing change is never easy in any organisation and e-learning is noexception. Mari explains they faced two main challenges:

    E-learning is not for everyone. People have different learning styles that needto be taken into consideration. Thomas Cook makes sure they offer a balance

    of training methods and adopt a blended approach for delivering Inductiontraining in particular.

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    A new and different training approach takes time and perseverance to embed.

    To help with these challenges, Thomas Cook worked hard to show their employeesthe positive impacts of the change, such as testimonials from managers andexamples of employees who have performed well due to e-learning they hadcompleted. Mari recommends:

    Do a lot of communication, fly the flag for it and have some senior people whochampion it and very quickly show the benefits of it.

    This journey is one that Thomas Cook is still on:

    You have to be determined and it is very important to know that in terms ofembedding e-learning there is not an overnight fix.

    Tips and advice

    Making the most of e-learning

    To maximise the effects of e-learning, Mari suggests the following:

    On its own, use it primarily for systems and productknowledge:Its very good for imparting technical knowledge, processesand policy its very good for factsMari comments.

    Use it as a refresher or to complement classroom trainingwhen developing skills.

    Lessons to other businesses

    Whilst Thomas Cook is obviously a large employer, Mari shares some practical tipsand advice that could be applied to businesses of all sizes:

    Dont underestimate the importance of market research. View a wide range ofe-learning tools before you decide on your partner there is lots in the marketand some are better than others.

    Ask your employees what they would like to use e-learning for. Thomas Cookheld focus groups with front line staff to get feedback.

    Dont make the e-learning too long and make sure its interactive. Marirecommends breaking it down into 20-30 minute modules.

    Bring it in-house to reduce the cost and ensure the training fits the companyculture.

    Get your IT / technical department involved from the outset. They can tell youwhat systems will work in your organisation.

    Final words

    I am a real advocate of it [e-learning], its worth the journeyI am passionate aboutdevelopment and the fact that so many people have been able to receive learning is,for me, a massive win. Its consistent, we can track completion, it has a mydevelopment page which holds a history of what each staff member has done sothey can track their progress and so can their line manager and I am very proud of

    the quality of it.

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    APPENDIX FOUR

    Travel Bureau case study

    Improving business performance through training and development

    The Travel Bureau, established on Gosforth High Street in Newcastle Upon-Tyne in1961 by John & Rose Scott currently employs 30 staff. There are three sectors tothe current business model: corporate travel management, bespoke leisure retail andgroup travel.

    Like many small businesses, training and development at Travel Bureau was ad-hoc

    and in-frequent. However, by carrying out a detailed business review andimplementing structured training and development, Travel Bureau have improvedtheir business and its financial performance. Sales and customer satisfaction hasimproved and staff are more motivated as a result.

    This short case study describes how Travel Bureau use training and development intheir business and provides practical advice to help other businesses do the same,based on an interview with Jeanne Lally, Commercial Director at Travel Bureau. Theexamples focus on the Travel Bureau Corporate division, which employs 12 people.

    The challenges

    Typical of other independent travel agencies with no supporting HR functions, thestaff at Travel Bureau Corporate had great technical expertise but lacked theknowledge and skill to market the business offer to new customers. Without astructured training and development programme in place, the customer service andselling skills were good but had not kept pace with the best in the travel industry.

    To address this, Travel Bureau spent six to eight months working with a staff memberfrom each department, helping them to fully understand the business process from allangles. This allowed them to identify a number of gaps and barriers to achieving aseamless sale, focused on cutting edge customer service.

    They then put in place a training and development programme to upskill their staff

    and develop their skills and knowledge in line with the needs of their clients.

    Implementing change

    Training and development was key to turning the business around:

    Performance Development Reviews were introduced for all staff. Online training was used to up-skill staff, whilst keeping the cost of training

    down.

    Customer service and selling skills champions were identified internally torun one day training sessions with staff.

    Managers worked with an external consultant Richard da Costa - sourcedvia Northumberland Business Service Ltd who co-funded an external bespokeleadership and management course. Richard worked for Tony Weightman

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    Associates who have experience of training in the travel and tourism sector.Jeanne explains:

    ichard provided one-to one bespoke training and development sessions for

    . Another

    pact

    ravel Bureau Corporate has seen significant business improvements resulting from

    crease in sales: We have seen sales increases in over 50 percent on ancillary

    ustomer satisfaction: Being on Facebook and Twitter meant that our customers on

    evices

    taff retention: By putting career paths in, putting people through training and giving

    taff motivation: Our staff had great ideas about what would improve the business,

    l.

    essons learned

    e asked Jeanne what practical advice and tips she would recommend to other

    arry out a detailed review: Although time consuming, its well worth it to fully

    for

    volve staff and get their input: Bringing about change is never easy and can be

    es

    Rkey members of the management team which proved far more effective for usthan offsite training in a group. Richard was particularly effective at buildingthe confidence of newly promoted managers and team leaders.

    A director within the business took ownership of staff developmentemployee was promoted to team leader to oversee everyday issues such assickness and lateness thereby freeing the new manager up to concentrate onmanaging the team for results.

    ImTthe changes outlined above:

    Inbookings, and thats been by focusing on them rather than just selling the corerequirements.

    Cthe other side of the world (during the ash cloud disruptions) could get regularupdates irrespective of being in different time zones and direct to their mobile d and this has led to excellent, positive comments from customers about ouroperational capabilities.

    Sthem variety to their roles where they are learning something newJeanne addsWe

    have very good staff retention; this initiative developed skills and reduced errors by10 percent.

    Stheir own and the team performance. The business review which included Freshairsessions led to some of their ideas changing the way we work. Rather thanmanagers imposing change, the staff themselves suggested and then helpedimplement actions that make them more effective, which in itself is motivationa

    L

    Wbusinesses:

    Cunderstand the processes and identify areas for improvement: you have to gothrough every part of the business, capturing all the processes and look activelyways to reduce duplication or make it a quicker process.

    Inuncomfortable. One way of easing the process, as Jeanne explains, is ensuringemployees understand what the objectives of the change are and getting everyon

    input.

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    External training: Get a third party involved.This encourages open and honestdiscussion and acts as a bridge between manager and directors, as well as providingan alternative view.

    Recruitment: Have a rigorous interview process: One part of our interview is to givethe candidate a technical test and the second part is on soft skills. We use a scoringsystem as well and ensure two people interview the candidate.

    Final words

    Its well worth carrying out a thorough review of your processes and thenimplementing training and development to support any changes and fill any gaps its definitely made the business better it does pay dividends because you candiscuss performance, career pathways, it definitely improves retention and makesyour people more effective because you are managing them more tightly.

    Further information

    Produced by People 1st in June 2010.

    For further information on this case study please contact:

    Vicki Wolf, Professional Development Manager, [email protected]

    Melissa Dinic, Senior Research Executive, People 1st

    [email protected]

    For further information on Travel Bureau, please contact:

    Jeanne Lally, Commercial Director, Travel BureauEmail:[email protected]: http://www.travelbureaugosforth.com/corporate

    For further information on training and career progression visit uksp.co.uk

    mailto:[email protected]:[email protected]://www.abta.com/http://www.abta.com/mailto:[email protected]:[email protected]://www.people1st.co.uk/http://www.people1st.co.uk/mailto:[email protected]://www.travelbureaugosforth.com/corporatehttp://www.travelbureaugosforth.com/corporatemailto:[email protected]://www.people1st.co.uk/mailto:[email protected]://www.abta.com/mailto:[email protected]