CHAPTER 1. INTRODUCTION

TRADITIONAL AND MODERN APPROACH OF TRAINING AND

DEVLOPMENT

Traditional Approach – Most of the organizations before never used to believe in training. They were holding the traditional view that managers are born and not made. There were also some views that training is a very costly affair and not worth. Organizations used to believe more in executive pinching. But now the scenario seems to bechanging.

The modern approach of training and development is that Indian Organizations have realized the importance of corporate training. Training is now considered as more of retention tool than a cost. The training system in Indian Industry has been changed to create a smarter workforce and yield the best results.

IMPORTANCE OF TRAINING AND DEVELOPMENT

• Optimum Utilization of Human Resources – Training and Development helps in optimizing the utilization of human resource that further helps the employee to achieve the organizational goals as well as their individual goals.

• Development of Human Resources – Training and Development helps to provide an opportunity and broad structure for the development of human resources’ technical and behavioral skills in an organization. It also helps the employees in attaining personal growth.

• Development of skills of employees – Training and Development helps in increasing the job knowledge and skills of employees at each level. It helps to expand the horizons of human intellect and an overall personality of the employees Productivity – Training and Development helps in increasing the productivity of the employees that helps the organization further to achieve its long-term goal.

• Team spirit – Training and Development helps in inculcating the sense of team work, team spirit, and inter-team collaborations. It helps in inculcating the zeal to learn within the employees.

• Organization Culture – Training and Development helps to develop and improve the organizational health culture and effectiveness. It helps in creating the learning culture within the organization.

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• Organization Climate – Training and Development helps building the positive perception and feeling about the organization. The employees get these feelings from leaders, subordinates, and peers.

• Quality – Training and Development helps in improving upon the quality of work and work-life.

• Healthy work-environment – Training and Development helps in creating the healthy working environment. It helps to build good employee, relationship so that individual goals aligns with organizational goal.

• Health and Safety – Training and Development helps in improving the health and safety of the organization thus preventing obsolescence.

• Morale – Training and Development helps in improving the morale of the work force.

• Image – Training and Development helps in creating a better corporate image.

• Profitability – Training and Development leads to improved profitability and more positive attitudes towards profit orientation.

• Training and Development aids in organizational development i.e. Organization gets more effective decision making and problem solving. It helps in understanding and carrying out organizational policies.

• Training and Development helps in developing leadership skills, motivation, loyalty, better attitudes, and other aspects that successful workers and managers usually display.

TRAINING AND DEVELOPMENT OBJECTIVES

The principal objective of training and development division is to make sure the availability of a skilled and willing workforce to an organization. In addition to that, there are four other objectives: Individual, Organizational, Functional, and Societal.

Individual Objectives – help employees in achieving their personal goals, which in turn, enhances the individual contribution to an organization.

Organizational Objectives – assist the organization with its primary objective by bringing individual effectiveness.

Functional Objectives – maintain the department’s contribution at a level suitable to the

organization’s needs.

Societal Objectives – ensure that an organization is ethically and socially responsible to the needs and challenges of the society.

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IMPORTANCE OF TRAINING OBJECTIVES

Training objective is one of the most important parts of training program. While some people think of training objective as a waste of valuable time. The counterargument here is that resources are always limited and the training objectives actually lead the design of training. It provides the clear guidelines and develops the training program in less time because objectives focus specifically on needs. It helps in adhering to a plan. Training objectives tell the trainee that what is expected out of him at the end of the training program. Training objectives are of great significance from a number of stakeholder perspectives.1. Trainer

2. Trainee

3. Designer

4. Evaluator

Trainer – The training objective is also beneficial to trainer because it helps the trainer to measure the progress of trainees and make the required adjustments. Also, trainer comes in a position to establish a relationship between objectives and particular segments of training.

Beneficiaries of Training Objectives:

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Trainee – The training objective is beneficial to the trainee because it helps in reducing the anxiety of the trainee up to some extent. Not knowing anything or going to a place which is unknown creates anxiety that can negatively affect learning. Therefore, it is important to keep the participants aware of the happenings, rather than keeping it surprise.

Secondly, it helps in increase in concentration, which is the crucial factor to make the training successful. The objectives create an image of the training program in trainee’s mind that actually helps in gaining attention. Thirdly, if the goal is set to be challenging and motivating, then the likelihood of achieving those goals is much higher than the situation in which no goal is Set. Therefore, training objectives helps in increasing the probability that the participants will be successful in training.

Designer – The training objective is beneficial to the training designer because if the designer is aware what is to be achieved in the end then he’ll buy the training package according to that only. The training designer would then look for the training methods, training equipments, and training content accordingly to achieve those objectives. Furthermore, planning always helps in dealing effectively in an unexpected situation. Consider an example; the objective of one training program is to deal effectively with customers to increase the sales. Since the objective is known, the designer will design a training program that will include ways to improve the interpersonal skills, such as verbal and non verbal language, dealing in unexpected situation i.e. when there is a defect in a product or when a customer is angry. Therefore, without any guidance, the training may not be designed appropriately.

Evaluator – It becomes easy for the training evaluator to measure the progress of the trainees because the objectives define the expected performance of trainees. Training objective is an important to tool to judge the performance of participants.

Training and Human Resource Management

The HR functioning is changing with time and with this change, the relationship between the training function and other management activity is also changing. The training and development activities are now equally important with that of other HR functions. Gone are the days, when training was considered to be futile, waste of time, resources, and money. Now-a-days, training is an investment because the departments such as, marketing & sales, HR, production, finance, etc depends on training for its survival. If training is not considered as a priority or not seen as a vital part in the organization, then it is difficult to accept that such a company has effectively carried out HRM. Training actually provides the opportunity to raise the profile development activities in the organization. To increase the commitment level of employees and growth in quality movement (concepts of HRM), senior management team is now increasing the role of training. Such concepts of HRM require careful planning as well as greater emphasis on employee development and long term education.

Training is now the important tool of Human Resource Management to control the attrition rate because it helps in motivating employees, achieving their professional and personal

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goals, increasing the level of job satisfaction, etc. As a result training is given on a variety of skill development and covers a multitude of courses.

Role of HRD Professionals in Training

This is the era of cut-throat competition and with this changing scenario of business; the role of HR professionals in training has been widened. HR role now is:1. Active involvement in employee education

2. Rewards for improvement in performance

3. Rewards to be associated with self esteem and self worth

4. Providing pre-employment market oriented skill development education and post employment support for advanced education and training Flexible access i.e. anytime, anywhere training.

BEST TIME TO IMPART TRAINING TO EMPLOYEE

1. NEW RECRUITS TO THE COMPANY

These have a requirement for induction into the company as a whole in terms of its business activities and personnel policies and provisions, the terms, conditions and benefits appropriate to the particular employee, and the career and advancement opportunities available.

2. TRANSFEREES WITHIN THE COMPANY

These are people who are moved from one job to another, either within the same work area, i.e. the same department or function, or to dissimilar work under a different management. Under this heading we are excluding promotions, which take people into entirely new levels of responsibility.

3. PROMOTIONS

Although similar to the transferee in that there is a new job to be learned in new surroundings, he is dissimilar in that the promotion has brought him to a new level of supervisory or management responsibility. The change is usually too important and difficult to make successfully to permit one to assume that the promotes will pick it up as he goes along and attention has to be paid to training in the tasks and the responsibilities and personal skills necessary for effective performance.

4. NEW PLANT OR EQUIPMENT

Even the most experienced operator has everything to learn when a computer and electronic controls replace the previous manual and electro-mechanical system on the process plant on

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which he works. There is no less a training requirement for the supervisors and process management, as well as for technical service production control and others.

5. NEW PROCEDURES

Mainly for those who work in offices in commercial and administrative functions but also for those who we workplace is on the shop floor or on process plant on any occasion on which there is a modification to existing paperwork or procedure for, say the withdrawal of materials from stores, the control of customer credit the approval of expense claims, there needs to be instruction on the change in the way of working in many instances, a note bringing the attention of all concerned the change is assume to be sufficient, but there are cases, such as when total new systems in corporating IT up dates are installed, when more thorough training is needed.

6. NEW STANDARDS, RULES AND PRACTICES

Changes in any one these are likely to be conveyed by printed note or by word of mouth by the manager to his subordinates, and this can be the most satisfaction way of dealing with the change from the point of view of getting those affected to understand their new responsibility. However not all changes under this heading can be left to this sort of handling. Even the simplest looking instruction may be regarded as undesirable or impracticable by whoever has to perform it he may not understand the purpose behind the change and lose confidence in a management which he now believes to be ‘messing about’, or he may understand the purpose and have a better alternative to offer if it is not too late.

7. NEW RELATIONSHIP AND AUTHORITIES

These can arise, as a result of management decisions, in a number of ways. In examples, the recognition of the accounts department can result in a realization of responsibilities between the section leaders of credit control, invoicing and customer records, although there is no movement of staff between the sections (i.e. no transfers). Although the change in work content for each clerk and supervisor is defined clearly for each person in the new procedures, there is nevertheless a need for each person to know where he stands in the new set up, which is responsible for what, and where to direct problems and enquiries as they arise in the future.

8. MAINTENANCE OF STANDARDS

We are here concerned with maintenance of standards through training, for it must be remembered that supervision and inspection and qualify control are continuously responsible for standards and exercise their own authorities to this end. Although it is generally agreed that some retraining from time to time, taking varied forms even for the on group of employees, does act as both a reminder and a stimulus, there is not much agreement on the next frequency and form that such retraining should take, of there is as yet little scientific knowledge on this subject which is of much use in industrial situations.

9. THE MAINTENANCE OF ADAPTABILITY

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Again, whilst there is little scientific study of the loss of ability to learn new skills in those cases where people spend a long time without change, and without the need to learn, there is increasing evidence in current experience to suggest that this is the case in industrial employment. Add, of course, there is the inference arising from the laboratory experiments of psychologists.

10. THE MAINTENANCE OF MANAGEMENT SKILLS & STANDARDS

Skills in supervising, employee appraisal, communications, leadership etc are important in all companies. Some of these skills are seen to be critical to major developments in company organisation, culture, employee empowerment and so on. Initial training in these skills is not uncommon in the largest companies on appointment into management and supervision. But continuous training and performance monitoring is rare, despite the common knowledge that standards are as varied as human nature.

11. RETIREMENT AND REDUNDANCY

Employees of any position in the company work opportunities money management.

METHODS OF TRAINING

There are various methods of training, which can be divided in to cognitive and behavioral methods. Trainers need to understand the pros and cons of each method, also its impact on trainees keeping their background and skills in mind before giving training. Cognitive methods are more of giving theoretical training to the trainees. The various methods under Cognitive approach provide the rules for how to do something, written or verbal information, demonstrate relationships among concepts, etc. These methods are associated with changes in knowledge and attitude by stimulating learning.

The various methods that come under Cognitive approach are:

1. LECTURES It is one of the oldest methods of training. This method is used to create understanding of a topic or to influence behavior, attitudes through lecture. A lecture can be in printed or oral form. Lecture is telling someone about something. Lecture is given to enhance the knowledge of listener or to give him the theoretical aspect of a topic. Training is basically incomplete without lecture. When the trainer begins the training session by telling the aim, goal, agenda, processes, or methods that will be used in training that means the trainer is using the lecture method. It is difficult to imagine training without lecture format. There are some variations in Lecture method. The variation here means that some forms of lectures are interactive while some are not.

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Straight Lecture: Straight lecture method consists of presenting information, which the trainee attempts to absorb. In this method, the trainer speaks to a group about a topic. However, it does not involve any kind of interaction between the trainer and the trainees. A lecture may also take the form of printed text, such as books, notes, etc. The difference between the straight lecture and the printed material is the trainer’s intonation, control of speed, body language, and visual image of the trainer. The trainer in case of straight lecture can decide to vary from the training script, based on the signals from the trainees, whereas same material in print is restricted to what is printed.

A good lecture consists of introduction of the topic, purpose of the lecture, and priorities and preferences of the order in which the topic will be covered.

2. DEMONSTRATION TRAINING METHODThis method is a visual display of how something works or how to do something. As an example, trainer shows the trainees how to perform or how to do the tasks of the job. In order to be more effective, demonstration method should be should be accompanied by the discussion or lecture method. To carry out an effective demonstration, a trainer first prepares the lesson plan by breaking the task to be performed into smaller modules, easily learned parts. Then, the trainer sequentially organizes those modules and prepares an explanation for why that part is required. While performing the demonstration, trainer:

Demonstrates the task by describing how to do, while doing

Helps the focusing their attention on critical aspects of the task

Tells the trainees what you will be doing so they understand what you will be showing them

Explains why it should be carried out in that way

The difference between the lecture method and the demonstration method is the level of involvement of the trainee. In the lecture method, the more the trainee is involved.

The financial costs that occur in the demonstration method are as follows:

Cost of training facility for the program

Cost of materials that facilitate training

Food, travel, lodging for the trainees and the trainers

Compensation of time spent in training to trainers and trainees

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Cost related to creating content, material

Cost related to the organization of the training

After completing the demonstration the trainer provide feedback, both positive and or negative, give the trainee the opportunity to do the task and describe what he is doing and why.

3. DISCUSSION TRAINING METHODThis method uses a lecturer to provide the learners with context that is supported, elaborated, explains, or expanded on through interactions both among the trainees and between the trainer and the trainees. The interaction and the communication between these two make it much more effective and powerful than the lecture method. If the Discussion method is used with proper sequence i.e. lectures, followed by discussion and questioning, can achieve higher level knowledge objectives, such as problem solving and principle learning.

The Discussion method consists a two-way flow of communication i.e. knowledge in the form of lecture is communicated to trainees, and then understanding is conveyed back by trainees to trainer.

Understanding is conveyed in the form of verbal and non-verbal feedback that enables the trainer to determine whether the material is understood. If yes, then definitely it would help out the trainees to implement it at their workplaces and if not, the trainer may need to spend more time on that particular area by presenting the information again in a different manner.

Questioning can be done by both ways i.e. the trainees and the trainer. When the trainees ask questions, they explain their thinking about the content of the lecture. A trainer who asks questions stimulates thinking about the content of the lecture. Asking and responding questions are beneficial to trainees because it enhance understanding and keep the trainees focused on the content. Besides that, discussions, and interactions allow the trainee to be actively engaged in the material of the trainer. This activity helps in improving recall.

4. COMPUTER-BASED TRAINING (CBT)With the world-wide expansion of companies and changing technologies, the demands for knowledge and skilled employees have increased more than ever, which in turn, is putting pressure on HR department to provide training at lower costs. Many organizations are now implementing CBT as an alternative to classroom based training to accomplish those goals.

According to a recent survey, about 75% of the organizations are providing training to employees through Intranet or Internet. Internet is not the method of training, but has become the technique of delivering training. The growth of electronic technology has created alternative training delivery systems. CBT does not require face-to-face interaction with a human trainer. This method is so varied in its applications that it is difficult to describe in concise terms.

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5. COACHING

Coaching is one of the training methods, which is considered as a corrective method for inadequate performance. According to a survey conducted by International Coach Federation (ICF), more than 4,000 companies are using coach for their executives. These coaches are experts most of the time outside consultants.

This method best suits for the people at the top because if we see on emotional front, when a person reaches the top, he gets lonely and it becomes difficult to find someone to talk to. It helps in finding out the executive’s specific developmental needs. The needs can be identified through 60 degree performance review.

6. MENTORING

Mentoring is an ongoing relationship that is developed between a senior and junior employee. Mentoring provides guidance and clear understanding of how the organization goes to achieve its vision and mission to the junior employee. The meetings are not as structured and regular than in coaching. Executive mentoring is generally done by someone inside the company. The executive can learn a lot from mentoring. By dealing with diverse mentee’s, the executive is given the chance to grow professionally by developing management skills and learning how to work with people with diverse background, culture, and language and personality types Executives also have mentors. In cases where the executive is new to the organization, a senior executive could be assigned as a mentor to assist the new executive settled into his role. Mentoring is one of the important methods for preparing them to be future executives. This method allows the mentor to determine what is required to improve mentee’s performance. Once the mentor identifies the problem, weakness, and the area that needs to be worked upon, the mentor can advise relevant training. The mentor can also provide opportunities to work on special processes and projects that require use of proficiency.

7. JOB ROTATION

For the executive, job rotation takes on different perspectives. The executive is usually not simply going to another department. In some vertically integrated organizations, for example, where the supplier is actually part of same organization or subsidiary, job rotation might be to the supplier to see how the business operates from the supplier point of view. Learning how the organization is perceived from the outside broadens the executive’s outlook on the process of the organization. Or the rotation might be to a foreign office to provide a global perspective. For managers being developed for executive roles, rotation to different functions in the company is regular carried out.

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This approach allows the manger to operate in diverse roles and understand the different issues that crop up. If someone is to be a corporate leader, they must have this type of training. A recent study indicated that the single most significant factor that leads to leader’s achievement was the variety of experiences in different departments, business units, cities, and countries.

An organized and helpful way to develop talent for the management or executive level of the organization is job rotation. It is the process of preparing employees at a lower level to replace someone at the next higher level. It is generally done for the designations that are crucial for the effective and efficient functioning of the organization.

OFF THE JOB TRAINING –

There are many management development techniques that an employee can take in off the job. The few popular methods are:

Sensitivity Training

Transactional Analysis

Straight lectures/ lectures

Simulation Exercises

CHAPTER 2- HONDA INTRODUCTION & COMPANY PROFILE

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Honda Motor Co., Ltd is a Japanese public multinational corporation primarily known as a manufacturer of automobiles, motorcycles and power equipment.

Honda has been the world's largest motorcycle manufacturer since 1959, as well as the world's largest manufacturer of internal combustion engines measured by volume, producing more than 14 million internal combustion engines each year. Honda became the second-largest Japanese automobile manufacturer in 2001. Honda was the eighth largest automobile manufacturer in the world behind General Motors, Volkswagen Group, Toyota, Hyundai Motor Group, Ford, Nissan, and PSA in 2011.

Honda was the first Japanese automobile manufacturer to release a dedicated luxury brand, Acura, in 1986. Aside from their core automobile and motorcycle businesses, Honda also manufactures garden equipment, marine engines, personal watercraft and power generators, amongst others. Since 1986, Honda has been involved with artificial intelligence/robotics research and released their ASIMO robot in 2000. They have also ventured into aerospace with the establishment of GE Honda Aero Engines in 2004 and the Honda HA-420 HondaJet, which began production in 2012. Honda has three joint-ventures in China (Honda China, Dongfeng Honda, and Guangqi Honda).

In 2013, Honda invested about 5.7% (US$6.8 billion) of its revenues in research and development. Also in 2013, Honda became the first Japanese automaker to be a net exporter from the United States, exporting 108,705 Honda and Acura models while importing only 88,357.

Throughout his life, Honda's founder, Soichiro Honda had an interest in automobiles. He worked as a mechanic at the Art Shokai garage, where he tuned cars and entered them in races. In 1937, with financing from his acquaintance Kato Shichirō, Honda founded Tōkai Seiki (Eastern Sea Precision Machine Company) to make piston rings working out of the Art Shokai garage. After initial failures, Tōkai Seiki won a contract to supply piston rings to Toyota, but lost the contract due to the poor quality of their products. After attending engineering school without graduating, and visiting factories around Japan to better understand Toyota's quality control processes, by 1941 Honda was able to mass-produce piston rings acceptable to Toyota, using an automated process that could employ even unskilled wartime laborers.

Tōkai Seiki was placed under control of the Ministry of Commerce and Industry (called the Ministry of Munitions after 1943) at the start of World War II, and Soichiro Honda was demoted from president to senior managing director after Toyota took a 40% stake in the company. Honda also aided the war effort by assisting other companies in automating the production of military aircraft propellers. The relationships Honda cultivated with personnel at Toyota, Nakajima Aircraft Company and the Imperial Japanese Navy would be instrumental in the postwar period. A US B-29 bomber attack destroyed Tōkai Seiki's Yamashita plant in 1944, and the Itawa plant collapsed in the 1945 Mikawa earthquake, and Soichiro Honda sold the salvageable remains of the company to Toyota after the war for ¥450,000, and used the proceeds to found the Honda Technical Research Institute in October

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1946. With a staff of 12 men working in a 16 m2 (170 sq ft) shack, they built and sold improvised motorized bicycles, using a supply of 500two-stroke 50 cc Tohatsu war surplus radio generator engines. When the engines ran out, Honda began building their own copy of the Tohatsu engine, and supplying these to customers to attach their bicycles.  This was the Honda Model A, nicknamed the Bata Bata for the sound the engine made. In 1949, the Honda Technical Research Institute was liquidated for ¥1,000,000, or about US$5,000 today; these funds were used to incorporate Honda Motor Co., Ltd. At about the same time Honda hired engineer Kihachiro Kawashima, and Takeo Fujisawa who provided indispensable business and marketing expertise to complement Soichiro Honda's technical bent. The close partnership between Soichiro Honda and Fujisawa lasted until they stepped down together in October 1973.

The first complete motorcycle, with both the frame and engine made by Honda, was the 1949 Model D, the first Honda to go by the name Dream. Honda Motor Company grew in a short time to become the world's largest manufacturer of motorcycles by 1964.

The first production automobile from Honda was the T360 mini pick-up truck, which went on sale in August 1963. Powered by a small 356-cc straight-4 gasoline engine, it was classified under the cheaper Kei car tax bracket. The first production car from Honda was the S500 sports car, which followed the T360 into production in October 1963. Its chain-driven rear wheels pointed to Honda's motorcycle origins.[19]

Over the next few decades, Honda worked to expand its product line and expanded operations and exports to numerous countries around the world. In 1986, Honda introduced the successful Acura brand to the American market in an attempt to gain ground in the luxury vehicle market. The year 1991 saw the introduction of the Honda NSX supercar, the first all-aluminum monocoque vehicle that incorporated a mid-engine V6 with variable-valve timing.

CEO Tadashi Kume was succeeded by Nobuhiko Kawamoto in 1990. Kawamoto was selected over Shoichiro Irimajiri, who oversaw the successful establishment of Honda of America Manufacturing, Inc. in Marysville, Ohio. Both Kawamoto and Irimajiri shared a friendly rivalry within Honda, and Irimajiri would resign in 1992 due to health issues.

Following the death of Soichiro Honda and the departure of Irimajiri, Honda found itself quickly being outpaced in product development by other Japanese automakers and was caught off-guard by the truck and sport utility vehicle boom of the 1990s, all which took a toll on the profitability of the company. Japanese media reported in 1992 and 1993 that Honda was at serious risk of an unwanted and hostile takeover by Mitsubishi Motors, who at the time was a larger automaker by volume and flush with profits from their successful Pajero and Diamante.

CHAPTER 4. HONDA TRAINING

Honda's approach to personnel education is based on on-the-job training: building specialized skills and professional capabilities through direct experience. Honda has established on-the-

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job training programs for every job description, setting qualitative and quantitative targets for the knowledge and skills to be acquired. These programs provide an opportunity for associates to acquire specialized skills and managerial capabilities, while helping supervisors assess and foster the aptitude of the associates they manage. To supplement these on-the-job training programs, Honda also offers off-the-job training designed to provide associates an opportunity to enhance their careers by developing new specialized skills or management capabilities. To support associates who wish to take the initiative to learn new skills, acquire knowledge, and cultivate themselves in order to fully realize their own potential, Honda offers opportunities for language learning, distance education, and inter-industry exchanges.

Principal off-the-job training programsAt Honda, we match a combination of on-the-job and off-the-job training to our associates' aptitudes and aspirations in an effort to help them improve their abilities. Our off-the-job training program is divided into three main areas, with separate training programs for each level:

1. Self-improvement training (career development)

2. Work performance training (skill development)

3. Management leadership training (management training)

In particular, a new leadership training program was launched in 2012 as part of efforts to strengthen development of global leaders who will drive Honda's global operations. From 2013, associates from around the world were chosen to take part in the training alongside participants from Japan.

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Respecting associates' opinions and independenceHonda fosters each associate's drive and independence, and has put in place a number of systems designed to harness and direct those attributes towards the ongoing reorganization and growth of the company.

Associate development and evaluation through two-way communicationHonda places emphasis on two-way communication with supervisors in associate development and evaluation, and all associates have at least three interviews with their supervisors each year. During the first interview in April, associates describe their future in their own words (including aspirations, personal objectives, etc.) and come out with a clear vision for the future and their direction going forward through their supervisor's advice. They then work out their individual role based on the organization's business goals for the fiscal year in question.

During interviews in June and December, supervisors evaluate associate performance during the preceding six months, explain the reasoning behind their judgments, and share an assessment of each associate's strengths and weaknesses. By facilitating a discussion of subjects such as future objectives and career directions, the interviews pave the way for associates' skill development.

NH CircleIn NH Circle activities, associates take the initiative to get together and discuss ways to improve their work, their workplace and their company. The abbreviation "NH" stands for "Now, Next and New Honda." The phrase embodies the concept of taking new steps now toward creating the next great Honda improvement.

The activity, rooted in the Fundamental briefs of respect for the individual and valuing independence, fairness and trust, seeks to: create dynamic, forward-looking workplaces where individuality is respected; utilize the potential of each and every associate by encouraging them to make the most of their abilities; and contribute to the overall health of the company and its continued development. Together with Regional Contests that are held in six regions worldwide, a World Convention featuring circles selected from each of the Regional Contests provides a venue for participants to showcase the results of their activities, raise mutual awareness, and exchange views and ideas. The scope of the program's activities has expanded each year since its launch in 1973. During FY2014, a total of 168,140 associates and employees participated in 22,980 circles in 32 countries worldwide, including at suppliers, affiliates, and dealers.

Associates presented the results of their activities in 2013 at a Japan Regional Contest held from October 18 to October 20 at the Kumamoto Factory. A total of 288 associates representing 48 circles that had won their district contests gathered to participate in the event.

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Improvement suggestion system

Honda has a system in place to encourage all associates to propose ways in which the company's operations could be improved, whether in large ways or small. Launched in 1953, this initiative is one way Honda seeks to encourage a spirit of independence and innovation, fostering the development and refinement of skills and capabilities. Each year, large number of suggestions are received and implemented.

During FY2014, more than 160,000 improvement suggestions were received from Honda worksites. Of these, 8 proposals chosen to receive the President's Award, 16 proposals similarly chosen to receive the Excellence Award and 8 proposals similarly chosen to receive the Excellence Award for safety were announced and recognized at the Improvement Suggestion No. 1 Convention, which was held at the Hamamatsu Factory.

Keeping customers coming back for more is a mark of any successful business. In the automotive industry, where brand devotion can be erratic, customer loyalty is especially important. Today's car manufacturers are driven more than ever to retain customers, and the smartest industry players know that customer satisfaction does not equal customer loyalty.Satisfaction is about meeting expectations; loyalty is about relationships. This fundamental principle led the parts and service group within American Honda Motor Company to radically shift the way it trains service and parts managers, service advisers, and parts counter employees. These employees—the people who greet customers at the parts counter and in the service drive with, "What can we do for you today?"—are the face of Honda, interacting directly with customers during the time they own their vehicles. Their ability to build positive relationships with customers is key to short-term customer satisfaction and to the greater goal of lifetime customer loyalty.Honda knew it could boost customer loyalty by making revolutionary changes to its training program. Rick Kramer, national manager of dealer development at Honda, and Marian Proffer, assistant manager of fixed operations training, assembled a team to make the vision a reality. The team included Terry Coates, president of 10/10ths Development Corporation, a training and development company specializing in behavioral assessments; Matt Bown, Honda's instructional designer; and automätik, an instructional design firm. Together they developed a new program that is being rolled out to more than 1,000 U.S. Honda dealerships.Honda's previous training program, a three-day class in interpersonal skills, was built on a traditional classroom model: lecture, paper, pen, and workbook. "It was pretty conventional," says Kramer. "An instructor-led workshop with limited interaction [and] a book you might never open again—if you could find it."Understandably, employees were calling for a better learning experience. "Surveyed participants said they wanted much more interaction and better resources to use outside of training," says Proffer. "The only thing they wanted us to retain was the DiSC profile." The old curriculum had used a paper version of the DiSC behavioral style assessment, and while participants valued the tool, the team knew it had to become more interactive.With these insights and challenges top of mind, the team created a more dynamic and participatory training plan, one that uses new technology and makes the behavioral style

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assessment a vibrant core component by using the latest third-generation Everything DiSC Workplace Profile. The new four-part training series was called "Building Lifetime Customer Loyalty," or BLCL.BLCL was both bold and necessary. "The automotive industry's been chasing 'satisfaction' for years, but 'satisfaction' doesn't get you what you want—people coming back," explains Coates. "That takes a serious focus on human communication and relationships. The people at Honda stuck their necks out to make such a radical change to what had been done in the past. It's nice when that risk pays off." And pay off it has."People love it. We're getting glowing comments not only from the dealer network but from our district parts and service managers, and zone management teams as well," says Proffer. "They believe what they're learning is going to really help them be much more effective in relating to their staff and their staff relating to one another. We've even had dealers that want to deploy it organizationally."Honda launched the first BLCL class, "Establishing the Relationship," in April 2012 at the start of the company's fiscal year. In the first quarter of the program, a team of facilitators conducted 151 workshops with an average of 22 participants in more than 50 U.S. cities. The momentum continues as subsequent classes in the BLCL series—"Branding the Relationship," "Growing the Relationship," and "Cementing the Relationship"—are rolled out quarterly.Honda created a customized, Flash-based curriculum. A voice-over with on-screen graphics is used to review key information, providing an alternative to traditional facilitator lecture. In addition, the behavioral style assessment creates a rich, personalized experience for each participant.The curriculum uses the profile to help individuals understand their personal behavioral style, which is a combination of four tendencies: dominance (D), influence (i), steadiness (S), and conscientiousness (C). Far from simply labeling an individual's style and placing him in a box, Everything DiSC Workplace demonstrates that the various styles have much to learn from one another and serves as a reminder that everyone exhibits "shades" of all four styles.

CHAPTER 4. TOYOTA – INTRODUCTION & COMPANY PROFILE

Toyota Motor Corporation is a Japanese automotive manufacturer headquartered in Toyota, Aichi, Japan. In March 2014 the multinational corporation consisted of 338,875 employees worldwide and, as of November 2014, is the twelfth-largest company in the world by revenue. Toyota was the largest automobile manufacturer in 2012 (by production) ahead of

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the Volkswagen Group and General Motors. In July of that year, the company reported the production of its 200-millionth vehicle. Toyota is the world's first automobile manufacturer to produce more than 10 million vehicles per year. It did so in 2012 according to OICA, and in 2013 according to company data. As of July 2014, Toyota was the largest listed company in Japan by market capitalization (worth more than twice as much as #2-ranked SoftBank) and by revenue.

The company was founded by Kiichiro Toyoda in 1937 as a spinoff from his father's company Toyota Industries to create automobiles. Three years earlier, in 1934, while still a department of Toyota Industries, it created its first product, the Type A engine, and, in 1936, its first passenger car, the Toyota AA. Toyota Motor Corporation produces vehicles under 5 brands, including the Toyota brand, Hino, Lexus, Ranz, and Scion. It also holds a 51.2% stake in Daihatsu, a 16.66% stake in Fuji Heavy Industries, a 5.9% stake in Isuzu, and a 0.27% stake in Tesla, as well as joint-ventures with two in China (GAC Toyota and Sichuan FAW Toyota Motor), one in India (Toyota Kirloskar), one in the Czech Republic (TPCA), along with several "nonautomotive" companies. TMC is part of the Toyota Group, one of the largest conglomerates in the world.

Toyota is headquartered in Toyota City, Aichi. The main headquarters of Toyota is located in a four-story building in Toyota. As of 2006 the head office has the "Toyopet" Toyota logo and the words "Toyota Motor". The Toyota Technical Center, a 14-story building, and the Honsha plant, Toyota's second plant engaging in mass production and formerly named the Koromo plant, are adjacent to one another in a location near the headquarters. Vinod Jacob from The Hindu described the main headquarters building as "modest". In 2013 company head Akio Toyoda reported that it had difficulties retaining foreign employees at the headquarters due to the lack of amenities in the city.

Its Tokyo office is located in Bunkyo, Tokyo. Its Nagoya office is located in Nakamura-ku, Nagoya. In addition to manufacturing automobiles, Toyota provides financial services through its Toyota Financial Services division, and also builds robots.

On June 14, 2013, Toyota Motor Corp. announced the appointment of outside board members; the appointment was a first for the corporation and occurred following approval from general shareholders at a meeting on the same day. Additionally, Vice Chairman Takeshi Uchiyamada replaced Fujio Cho as chairman, as the latter became an honorary chairman, while Toyoda remains in the post of President.

Toyota is publicly traded on the Tokyo, Osaka, Nagoya, Fukuoka, and Sapporo exchanges under company code TYO: 7203. In addition, Toyota is foreign-listed on the New York Stock Exchange under NYSE: TM and on the London Stock Exchange underLSE: TYT. Toyota has been publicly traded in Japan since 1949 and internationally since 1999.

In 2005, Toyota, combined with its half-owned subsidiary Daihatsu Motor Company, produced 8.54 million vehicles, about 500,000 fewer than the number produced by GM that year. Toyota has a large market share in the United States, but a small market share in Europe. Its also sells vehicles in Africa and is a market leader in Australia. Due to

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itsDaihatsu subsidiary it has significant market shares in several fast-growing Southeast Asian countries.

According to the 2008 Fortune Global 500, Toyota is the fifth largest company in the world. Since the recession of 2001, it has gained market share in the United States. Toyota's market share struggles in Europe where its Lexus brand has three tenths of one percent market share, compared to nearly two percent market share as the US luxury segment leader.

CHAPTER 5 –TRAINING AT TOYOTA

From the founding of Toyoda Loom Works in the 1920s to the creation of Toyota Motor Co. in the 1940s, its leaders believed that the key to success was investment in its people. The Toyota culture has evolved since the company's founding and is the core competence of the company. It is the reason why operations are lean, cars hit the market on time and on budget, chief engineers developing cars deeply understand the customer, company executives

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anticipate long-term trends and have clear strategies, and every employee (called a team member) is vigorously working on achieving the annual plan of the company.

CULTURE AFFECTING TRAINING METHODS

The Toyota Way is first and foremost about culture -- the way people think and behave is deeply rooted in the company philosophy and its principles. At the core it is about respect for people and continuous improvement and this has not changed since the company's founding.

Organizations of many kinds throughout the world have been borrowing specific methods from Toyota that have been turned into programs like lean manufacturing, lean enterprise, and lean six sigma.

A common expression heard around Toyota is “We do not just build cars, we build people.” Every new product development program, every prototype, every quality defect in the factory, and every kaizen activity is an opportunity to develop people. When former Toyota Motor Manufacturing North American President Atushi (Art) Niimi was asked about his greatest challenge when trying to teach the Toyota Way to his American managers he responded: “They want to be managers not teachers.” He explained that every manager at Toyota is a teacher. Developing exceptional people is their number one priority. This has become ingrained in the Toyota Way as a cultural value throughout the company. It is frequently talked about in other companies, but rarely practiced.

When we think of organizations that do a great job of developing exceptional people, outside of Toyota and a select group of top Japanese companies, few large corporations come to mind. It is not that Toyota has cornered the market on developing exceptional people.  Think of how many countries are able to develop world-class athletes and musicians and master chefs and artists and surgeons. There are many professions where top quality skill is a prerequisite for success. The professional skill is the commodity to be traded in the market so people make enormous investments in time and energy to develop exceptional talent. For hospitals, having consistent top talent can mean the difference between thriving and fighting lengthy legal battles. In the typical workplace of the modern corporation it is not so obvious that exceptional talent is worth investing in. The talented engineer or quality inspector or machine operator or supervisor is not out in front and center for all to see. They are somewhat hidden and large companies seem to believe they can get by without developing world-class talent.

But it is never satisfactory within Toyota to just get by. Toyota got to where they are from a small rural-based company through the exceptional talent of its leaders and engineers, team associates and supplier partners. Toyota leaders truly believe that their only source of competitive differentiation is the exceptional people they develop and that is always their top priority. And this starts on the shop floor where the value is being added when building cars each and every day.

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Some might debate whether people are born with talent, or whether it is developed. Toyota’s stand is clear—give us the seeds of talent and we will plant them, tend the soil, water and nurture the seedlings, and eventually harvest the fruits of our labor. This analogy of planting seeds and growing people is a common one within Toyota, possibly tracing back to the company being founded in a farming community. Of course the wise farmer selects only the best seeds, but even with careful selection there is no guarantee that the seeds will grow, or that the fruits they yield will be sweet, and yet the effort must be made because it provides the best chance of developing a strong crop.

We consider people’s native-born gifts to be only about 10% of the total talent picture (or less). In other words, natural talent gifts account for only 10% of the full capability of an individual. Fully 90% or more of what we consider talent in the life of company employees is actually learned through effort and repeated practice. This is the essence of Toyota’s success. Begin with a good foundation— a person who has the capacity and desire to learn and then develop specific talents through repeated effort and practice.

Perhaps this idea is not glamorous or a good story for the makings of legends— the idea that with basic capability any person can become if not the greatest, at least great. We are all in awe of the greats— Babe Ruth, Michael Jordan, Tiger Woods— the few who are also blessed with pure talent and ability. It is not so exciting to go out and watch the middle of the pack players; the athletes who just work hard and perform well, but never have the buzz of greatness.

SECRET OF A GOOD WORK-FORCE

What Toyota has been able to do is gather competent and trainable people around the world, and with considerable time and effort develop high levels of talent in the masses. It is not a few star performers who make up a strong team. It is a collection of many players, each with good capability working in unison that makes an exceptional team. Toyota does not hope for the lucky draw of finding the natural talent— a rare find— they work on the known entity— the latent talent in each person who has the desire for personal growth.

It requires dedicated long-term commitment and effort. It will be hard work. It is important to see this process as much more than mere training. Training for job skills is a starting point, but the development of true talent extends well beyond this level. Understand that the foundational tool used for teaching job skills may also be applied for all other aspects of developing talent. It is the core concept for teaching and learning and thus can be applied to any situation.

‘TOYOTA-WAY’ BOOK

In The Toyota Way Field-book the company attempted to demonstrate the consistent applicability of the core concepts and philosophies of the Toyota production system (building

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on the 14 immutable guiding principles detailed in The Toyota Way) regardless of the work place in which they are applied. This same idea holds true for the core concepts of teaching and developing people. In Good to Great, Jim Collins describes this phenomenon as being similar to the laws of physics relative to scientific application of the physical laws. Collins points out that the general laws don’t really change much, but our understanding of how they operate and how to apply them has. This is a fundamental element of Toyota’s success— don’t mess with the basic principle, rather, deeply understand how to apply it in any situation. We will do our best to present the core concepts and demonstrate them in some common applications, but with some practice you will be able to apply them to any situation where there is teaching and learning.

6 Principles followed by Toyota in Training Employees

Principle 1.  Base management decisions on a long-term philosophy even at the expense of short-term financial goals—Perhaps the most important long-term investment Toyota makes is in its people and the passion to keep team associates employed for their careers reflects that value.

Principle 2.  Standardized processes are the foundation for continuous improvement—As we will see standardized work and job instruction training go hand in hand and long-term team associates need to learn to see waste and make improvements.

Principle 3.  Grow leaders who thoroughly understand the work, live the philosophy and teach it to others—Teaching is the most highly valued skill of leaders and leaders have to deeply understand the work to teach and coach.

Principle 4.  Develop exceptional people and teams who follow your company’s philosophy—Teams depend on well-trained people and part of individual development is learning to work in teams.

Principle 5.   Respect your suppliers by challenging them and helping them improve—Suppliers need to have the same talent level as Toyota team associates and are developed in similar ways.

Principle 6.  Become a learning organization through relentless reflection and continuous improvement—This was intentionally at the top of the hierarchy of the Toyota Way pyramid as becoming a learning organization is the highest level of organizational effectiveness.

When growing flowers the gardener works simply for the beauty of the flower. There is no other gain for the gardener except to enjoy its beauty. Such is the case with the development of talent. Expect to work simply for the sake of the flower, and be happy with the beauty it will bestow upon you.

In Toyota all managers are expected to be teachers, developing talent in others. There is not a direct monetary benefit for working to develop people or a formal line on a performance

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appraisal, but the evidence of this effort is reflected in nearly all aspects of the performance of the managers’ group. If the manager does not foster a teaching environment the groups’ performance will surely suffer. Toyota has worked to create a culture where teaching others is highly valued and viewed as the key. In fact, as we will see, if people are not adequately developed the entire system will grind to a halt.

Training Techniques used at Toyota

1. On the job training (OJT)In this method a trainee is placed on the job and then taught the necessary skills to perform his job. Thus in this method the trainee learns by observing and handling the job under the guidance and supervision of instructor or a supervisor. Thus it is also called the learning by doing method. Techniques like coaching, committee assignments and job rotation fall under this method. Job instruction training, (JIT) is also a popular form of the job training. JIT is used for imparting or improving motor skills with routine and repetitive operations. While on the job training allows a trainee to learn in the real environment and handled real machines. It is also cost effective as no extra space equipment personnel or other training facilities are required for imparting this training. The employees also learn the procedures and rule and regulations in this training. There are some limitations also in this method. The noise at the real work places makes it difficult for the new employee to concentrate and there is danger that the employee under training might cause damage to equipment or other material.

2. Vestibule trainingIn this method a training centre which is known as vestibule is set up where real job conditions are created and expert trainers train the new employees with equipment and machines that a identical with the ones that employees will be using at their work place. This allows the trainees to concentrate on their training because there is no noise of the real work place. As the same time the interest of the employee remains quite high as real work place conditions are simulated in this training. It also saves new employees from a possible injury or any damage to the machines at the real work place. Vestibule training is beneficial for training a large number of employees in a similar type of job. But vestibule training involves the lot of expenditure as experts trainers along with the class room and equipment are required to simulate the real work place environment which is very difficult to create.

4. InternshipIt involves training the colleges or universities pass outs about the practical aspects of their study. This method of training provides a chance to the students to implement the theoretical concepts that they have learnt during their study. Thus it balances the theoretical and practical aspects of the study. Professional likes

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chartered accountants, MBA’s, company secretaries and doctors are given training through this method.

5. Quizzes. For long, complicated training, stop periodically to administer brief quizzes on information presented to that point. Toyota also begins sessions with a prequiz and let participants know there will also be a follow-up quiz. Trainees will stay engaged in order to improve their prequiz scores on the final quiz. Further motivate participants by offering awards to the highest scorers or the most improved scores.

6. Small group discussions. Breaking the participants down into small groups and give them case studies or work situations to discuss or solve. This is a good way for knowledgeable veteran employees to pass on their experience to newer employees.

7. Case studies. Adults tend to bring a problem-oriented way of thinking to workplace training. Case studies are an excellent way to capitalize on this type of adult learning. By analyzing real job-related situations, employees can learn how to handle similar situations. They can also see how various elements of a job work together to create problems as well as solutions.

8. Active summaries. Creating small groups and have them choose a leader. Asking them to summarize the lecture’s major points and have each team leader present the summaries to the class. Read aloud a prewritten summary and compare this with participants’ impressions.

9. Q & A sessions. Informal question-and-answer sessions are most effective at Toyota with small groups and for updating skills rather than teaching new skills. For example, some changes in departmental procedure might easily be handled by a short explanation by the supervisor, followed by a question-and-answer period.

10. Web-based training. This method puts computer-based training modules onto the Web, which companies can then make available to their employees either on the company’s intranet or on a section of the vendor’s website that is set up for your company. There are many courses available on the Internet in many different topic areas. These courses provide a hands-on, interactive way for employees to work through training presentations that are similar to CD-ROM or PowerPoint, on their own. Training materials are standardized because all trainees will use the same program. Materials are also easy to update, so your training is always in step with your industry. Web-based training programs are also often linked with software (a learning management system, or LMS) that makes trainees’ progress trackable, which makes recordkeeping very easy for the training administrator.

Problems Faced By Toyota in their Training Programs

The Unfortunate Reality

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For the past few decades it has become a general management trend to talk about the importance of developing people within organizations. ”People are our most valuable resource” has become part of the mission statement—a guiding principle. “Human Resources Management” has gained prominence and has become an important entity within the company. Yet when we visit companies and talk to employees we find a different reality. We find people ill equipped to perform their jobs and we can see people struggling to perform even basic tasks. We try to work with supervisors to lead lean transformations and find they were promoted due to hard work and company loyalty, but lack basic skills in daily management of their work teams. We find managers and leaders who don’t have development plans, or the ability to create them, let alone have specific methods for developing people. And we are constantly frustrated by companies that see lean as a tool kit and do not understand that the main value of lean projects is in developing people who can solve problems and make daily improvements.

Something that is clearly lacking in many companies is an effective method for training people. We work with numerous companies and with people at all levels within these organizations. Every large company has some type of training program in a large variety of areas from technical topics to human resource topics and many these days have “lean” and “six sigma” programs. Often the training is well delivered by competent professionals who have good materials and know what they are doing. Yet, go to where the actual work is being done and ask people how they learned their jobs and you get a different picture. People have learned their jobs over time in a relatively unorganized way and the training courses are interesting but often do not have a direct bearing on the day-to-day job.

A common lament we hear is, “We don’t do a very good job of training here in the real skills people need to do their jobs.” We have heard this comment from managers who should be responsible for assessing the needs, ensuring that appropriate people are developed, evaluating the results and making adjustments to meet the needs. We have heard this comment from supervisors who have direct responsibility for developing their subordinates (and suffer as a consequence of poorly trained employees), and from line and staff workers.

One manager explained how he had to “learn the ropes the hard way,” and he felt that everyone else should have to as well. Instead of his bad experience becoming a motivation to improve, it became a model for future behavior. Not until he looked at the results of his thinking and behavior—high turnover, mistakes leading to customer complaints, daily fire-fighting, and a general sense of apathy (indicated by high absenteeism)—did he have an epiphany. By working with each individual to ensure their success, providing them with the skills needed for the job, and increasing their ability he found the path to greater success for himself. Every great leader knows that she is successful only through the success of those she leads.

Everyone it seems understands the need and can see the deficiency, but so few are willing to step up to the situation and do something about it. Why is this? Why is it so easy to recognize the importance of a well-trained workforce, but so difficult to act? Perhaps there was no

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effective tool (the Job Instruction method outlined in this book is that tool), or perhaps there are no “trainer types” in the group (unlikely). What is more likely, and is highly probable is that doing a more effective job of training and development really is not critical to survival in the short term, and thus is not emphasized. The current process, as limited and ineffective as it might be; “works.” People are able to get by. The work happens, jobs get done, and short-term goals are met.

Unfortunately, for most companies, managing their human assets has for years been secondary to the primary interest of the company—manufacturing, healthcare, baking, banking, construction, or transportation. Certainly people were a necessary part of the company, but in many cases were viewed as simply a means to achieve an end. Henry Ford is reported to have said:  “Why is it that when I want to hire a pair of hands, a brain comes attached to them?” People were necessary for what they could do, not for what they could contribute beyond that. Thinking, creating, improving, and developing were activities relegated to the select few with a specific job title—engineer, manager, or vice-president in charge of strategic initiatives for example. Interestingly those engineers and managers were assumed to get most of their knowledge and skills from engineering schools or MBA programs and rigorous on-the-job training was lightweight at best.

CHAPTER 6 – CONCLUSION

Honda & Toyota are 2 massive Japanese companies ruling the automobile industry since many years. A lot of the credit for this goes to its workers and employees as they are the people who have applied themselves to take the company to greater heights. The Japanese are known for their training techniques as they are very practical and beneficial.

Various kinds of training facilities are provided by the two companies in order to get the best out of their employees. Honda and Toyota both are famous for its training in the automobile

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industry because of the productivity of its workers. Both the companies invest considerable amounts on the training and development of their employees.

They believe deeply in their training programs as they have constantly been the difference between them and other companies. Both these companies have taken long strides in the field of automobiles and have earned enormous status in the industry.

The programs initiated by both the firms are more or less very similar to each other. As the business is the same, the way of working is similar and so are the end products thereby having no difference between the two.

Over the years, Honda and Toyota have come a long way in their own way as motor car giants. Much of this is also credited to their training programs which help the employees to be clear in their heads and performance and give their best to the organisation.

BIBLIOGRAPGHY

www.ukessays.com www.toyota.org www.hondajapan.com www.whatishrm.com Report on Training & Development by Madhur Sinha

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