Human resource management aims at developing a talented workforce (Choo & Bowley, 2007). Effective HRM facilitate in gaining competitive advantage and overcoming organizational weakness in the market (Chianga, Back, & Canter, 2005). Training is an art of preparing employees through development by providing required information and resources to them (Armstrong, 2007). It helps in enhancing management quality in the organization and the working life of the employees giving them an opportunity not only to be successful in their jobs but also excel in the career (Barbazette, 2005). This is training analysis and planning paper prepared on State trading organization of Maldives (STO). It include three main section, first section provide detailed organizational information, second section detailed analysis on training needs of the organization and third section deals with designing of training program to meet stated need. It facilitate in understanding role of training in organizational growth by analyzing different job profiles, their strengths and weaknesses.
Description of the organization
State trading organization is a public limited company founded by Maldivian government in the year 1964. 81.63 percent of share is owned by Maldivian government and rest by public. It is headquartered at Kambaa Aisha Rani Hingun, Maldives and there are around 2000 employees working for the brand. In the year 2016, it was operating with revenue MVR 793 million (www.sto.mv, 2018). This company specializes in both retail and wholesale business at competitive price. This company operates in various islands and also has several subsidiaries dealing in different business.
Type of business
STO deals in different type of business, which include STO electronics, it is a consumer electronic brand established in the year 1993 dealing in home theaters, digital photography, video equipment, hi-fi system and microsystems. Another is home improvement products established in the year 1995 deals in home appliances, furniture and cooling system. In the year 1991 supermarket was established with the aim of providing food items at reasonable price, STO staple food, and STO construction deals with cement, river sand, roofing materials, STO fuel and lubricants. Several subsidiaries of STO include Allied Insurance Company of the Maldives Pvt Ltd, Maldives’ Gas Pvt Ltd, Fuel Supplies Maldives Pvt Ltd, Lafarge Maldives Cement Pvt Ltd, Maldives National Oil Company, Maldives Industrial Fisheries Co Ltd, STO Hotels and Resorts Pvt Ltd, Maldives Structural Products Pvt. Ltd and STO Maldives (Singapore) Pte Ltd (State trading organization plc , 2017).
Wholesale Products
Different products in which STO deals in wholesale market include Staple foods, Construction materials, Electronics, Power tools, Medical supplies and pharmaceuticals, etc.
Retail Products
All of wholesale products except staple foods are sold on retail basis.
Key vision of STO is to “Enriching lives through expansion and accessibility”. This open aims at strengthening national food security, enhancing availability of food at reasonable prices.
Organizational mission is to expand its present business through new market entry, diversification in new business and market. It also aims towards internationalization of business and become prominent international player in global market. It aims towards easy accessibility of food and other items to public at large and invest in human development to build a skilled and proficient workforce to ensure long run sustainability.
Key values of STO include caring, accessible, respectful, innovation and progressive.
Present structure of STO is split by functional units such as human resource, logistics, import, export and construction unit. There is presence of centralized management system reporting system is done directly to chief executive officer of the company. There is centralized culture of collectivism where group and relationships holds more importance than individual success. Power index is also high with proper authority delegation but there is lack of proper authority delegation and bureaucratic structure makes decision making process slow. (www.sto.mv, 2018)
|
Designation |
Skill |
Knowledge |
Ability |
Experience |
|
Human resource department |
Key skills required for effective people management include technical skills, organized, negotiation ability, interpersonal communication, conflict management, leadership and multi-tasking. (Gu & Sen Sui, 2009) |
Must have core foundation and degree in human resource management |
Ability to coordinate function, understand and judge people behavior, communicate effectively |
Must be experience industry such as fuel, food, construction to deal with people from different departments |
|
Logistics |
Strong numerical and analytical ability is required, with forward and future thinking and planning, ability to work in team, decision making (Chianga, Back, & Canter, 2005) |
Knowledge regarding coordination, storage and transportation to manage import and export. |
Ability to plan the procurement, packaging and storage, ability to coordinate different tasks between different teams |
Experience in operation management, transportation and warehousing |
|
Financials |
Analytical skills, confidence in decision making, problem solver and professional |
Must have strong financial technical knowledge. Technological knowledge regarding different financial software’s, |
Ability to keep accurate record, preparation of financial data and analyze them to make strategic decisions |
Experience in investment management, trading |
|
Business development |
Bringing new business opportunities, planning presentation, communicating new products Feedback customer management strong behavioral and communication skill, stress management Strong sales and negotiation skills |
Strong market, industry and product knowledge, sales and negotiation, IT and relationship management |
Ability to convince people, make presentation and bring new business |
Experience in customer handling and service management both business and retail would help |
|
Public relation and media department |
Relationship building skills, knowledge, multi taking in high pressure, concentrate on details, adapts to changes, social media |
Strong IT knowledge, digital marketing, media knowledge |
Ability to plan publicity strategy, writing press release, organizing promotional events, analyzing media coverage, liaising with clients |
Experience in marketing and advertisement (entrepreneur.com, 2015) |
This section elaborates on weather training is required among employees or not, it analyzes problem and type of training required to overcome the same. It include SWOT analysis, task to achieve set knowledge skill and abilities (Halwes, 1998), it also include person analysis process to understand what kind of training is required by individuals. After understanding training requirements, objectives will be set, and then type of training requirements and its associated cost will be evaluated. Training needs were evaluated using direct observation and job description (Rathore & Maheshwari, 2013).
HR SWOT analysis is an effective told for strategic planning. The acronym stands for strength, weaknesses, opportunities and threats. It helps in understanding weather strategies are in alignment with stated mission and vision or not, future action required to overcome difficulties.
|
Strength Key internal advantage of STO is its strong brand image in the market; it is among oldest and strongest firms in the market. Its professional staff and upgrade technology helps in adapting new changes. There is presence of diversified workforce. |
Weakness Key problems with HR include uneven participation, bureaucratic culture which makes decision making process slow, centralized human resource system for different business unit creates role confusion and ambiguity. There is lack of supervision and no ongoing training programs. High cost of training. Majority of staff are managed at remote level with zero face to face interaction, it pauses poor staff management |
|
Opportunities STO is expanding its business in various international markets; it will help in pooling talent from different market, enhancing knowledge and skills. There is availability of new skilled employees, new technologies and knowledge pool. Enhanced law also helps in gender equality. |
Threats Key threat is enhanced competition from various markets; it might also create hindrance for employee retainment leading to high cost of training. Different industry have different skill requirements, centralized human resource might not help in getting key qualities. Increased demand from employees for short term opportunities and also increased litigations concern. |
Key organizational issues for STO include increased competition, greater emphasis on cost reduction, and business expansion in new markets. Task analysis involves process of collecting information regarding job and its system; it involves steps that must be executed to complete a task, it also involves understanding of task environment such as work flow to meet expectation. Task statements for STO are as follow;
Here analysis on knowledge that is subject required to complete the task, technical and non-technical proficiencies and demonstrable capacity to apply the same.
|
Task |
Task elements |
KSA |
|
Making staff aware regarding new credit management system |
ü Need to maintain department organizational structure ü Measuring performance of each department through adequate metric ü Managing proper relationship with collection agencies, credit reporting agencies, credit insurance providers and sales department ü Managing proper credit operation, policy, developing credit scoring model ü Investigating customers and monitoring credit reviews |
ü In-depth knowledge regarding credit management software ü Proficiency in IT ü Analytical abilities ü Negotiation skills ü Understanding of lending and other credit procedures |
|
Need for improving employee performance in trading segment |
ü Adapting changes in trading environment ü Motivating employees |
ü Adaptability ü Business knowledge ü Communication ü Establishing objectives |
|
Need to improve sales by empowering employees |
ü Sales and performance management scheme has been implemented ü Employees must be completely aware about performance based schemes and incentives ü Regular motivation through financial and non-financial support ü Need to enhance customer interaction ü Customer service improvement |
ü Action Orientation ü Customer relationship management, must be social and active ü Negotiation skills ü Stress handling ü Strong communication skills ü Interpersonal relationship building ability ü Persuasion and Influence ü Planning ü Self-Management ü Teamwork ü Technology |
|
Implement continuous improvement |
To improve company and employee performance, HR managers planning to implement SKSM system to control better attendance and control employee in better way. Employee must be trained adequately to use new software, enhance digital communication, there is need to enhance organization inter communication system. Hire new pharmacy agents Implement quality management programs; educate employees to use the same. |
ü Knowledge regarding quality management ü Tools for quality management ü Knowledge of technology usage and software application |
|
Need to enhance customer service in supermarket business segment |
ü Enhancing customer interaction ü Clarify Your Mission and Break the Mission into Specific Goals ü Taking effective feedback from customers ü Responding quickly on customer query, feedback or complaints ü Provide knowledge |
Thick skin Empathy with customer Interpersonal relationship patience and consistency Strong and persuasive communication skills |
Personal analysis deal with individuals required training, it aims to answer target segment eligible for training process and their level of knowledge, it also aims to understand their learning style, weather they possess skill required or not, factors that necessities training (Chopra, 2015). It involves three key stages, development of performance standard, gap between desired and actual employee performance and obstacles to effective performance (Noe, 2013). Different strategies that can be used by HR manager for performance pressure point analysis include observation, consultation, group discussion, records, and interviews (Phillips J. J., 2012). Here in STO performance pressure points were identified through observation, analyzing records and reports such as annual report, identified factors are as follow;
Performance appraisal data has been used for person analysis, where response from supervisors and employees highlights knowledge, skill and abilities of individual employees (Pike, 2003).
After determining training needs, it’s time to design the training program for STO; four key areas must be focused by a strong training program, setting training objectives, reediness of trainees for training, principle of learning and instructions characteristics.
Aim and Objectives
Next step was to analyze readiness of prospective trainees by analyzing their skill, knowledge and abilities. This was done by evaluating employee’s self-assessment during performance appraisal. Further, training instructor also plays key role in training success, it will be provided by knowledge experts from the field of information technology, sales management and customer relationship management.
Key areas for training in STO include providing employees information regarding new information technologies, enhancing their performance by increasing sales, employees and customer satisfaction.
Learning style plays important role in training and development; according to Noe (2008), learning is a stimulus among individuals that facilitate in knowledge development. Therefore trainer must adopt learning process to reinforce desired behavior. It includes Reinforcement Learning theory, Social Learning Theory, Cognitive Learning and Humanistic Learning. In STO context, it is advice managers should opt for reinforcement learning and social learning theory.
It also advice to opt for learning curve as it will help in continuous improvement in behavioral development and gaining competitive advantage. Therefore, certain behavioral training can be given continuously to improve efficiency and specialization.
Identify the methods of training
After analyzing importance of training in STO, it’s time to evaluate type of training according to needs for upper, middle and lower level employees.
This training program is for new joiners with no work experience, it aims to provide knowledge regarding basic skill requirements, to understanding organizational mission, vision and value system.
This is the most suitable training programs for IT management and software knowledge. It can be provided within organization through hands on experience while working in the organization, it can be provided by senior manager or expert. However, while implementing on the job training program, trainer needs to evaluate its drawbacks as this method lack a well-structured training environment, poor training skills in managers and lack of performance evaluation criteria’s (Chianga, Back, & Canter, 2005). However, this is a cost and time effective training system; it will help employees in learning the use of new software’s and implementing the same. key steps that will be followed in on the job training include preparation regarding training requirement by stating clear agendas, reassuring employees, orient them on correct way of doing particular task, let the employee perform themselves then evaluate and give feedback (Gu & Sen Sui, 2009). This method of training will be adopted for making employees aware regarding credit management system and sales training. As sales can be learnt through experience, therefore practical lessons are crucial to understand different customer behavior and strategies to respond them. On the job training will be given through job rotation and coaching, it helps in understanding work in different department, as there is centralized system present in STO, it will help in creating harmony in different departments.
This program will be implemented for making employees aware regarding new software’s and its usage, it will be given by knowledge expert, therefore involve high cost but ensure goal centric information delivery (Sahu, 2005).
For performance development of employees in different department, it is advised to implement off the job training program that include series of management games, case studies and different approaches to motivate employees, enhance team building, inter personal skill and overall performance improvement (Kapp, 2012). Management games and simulation will be used to provide training on relationship management, this method help in crating simulation for various business scenarios with computer programs.
Organizations need to calculate cost invested in training against anticipated or actual outcome. It is very difficult to quantify training outcome. Different cost evaluating strategies include cost benefit analysis, or cost per participant versus saving per participant strategy (Ackahh & Agboyi, London). Elements that help in deciding cost per participant include Facilitator fees, training design, Course materials, Videos and workbooks, Facilities rental, Equipment fees, Production downtime, Administration and other miscellaneous expenses (Fisher & Ruffino, 1996). Factors that can be used for calculating saving per candidate include reduction in error, customer turnover, and increase in total revenue, employee turnover, lower grievance, customer complaint and feedback, productivity maximization, lower cost of recruitment (Stone, 2011)
Based on training need analysis, design and develop one short course for the organization which must be not shorter than one week or 10 hours contact time.
Identify learning outcomes
The training of personnel in STO Maldives has following objectives to be achieved;
The goal of this training program is to increase employee performance of STO in all departments internally and externally. This training program will include employees from all three management levels as it involves employees from all levels to implement any organizational change successfully. Therefore, key participants for this training program are as follow;
With the help of need assessment, training area and subjects have been cited below
|
Subject |
Training topics |
Target group |
|
Credit management and IT systems |
Use of credit management system Step by step process of credit management system, its usage, application Level of use Areas of application Knowledge regarding new software’s implemented by company Step by step process of using software |
Chief executive officer Middle level officer from all business units |
|
Sales management |
Sales method Strategies to enhance sales Sales negotiation and deal closing Information system Stress management Dealing with tough customers |
Lower level sales employees who are in direct contact with customers from retail business units of the company such as super market, pharmaceuticals. |
|
Customer relationship management |
Customer education CRM activities and steps to enhance relationship with customers Process of managing negative feedback or complaint Using negative feedback to enhance organizational position Long term customer association |
Both middle and lower level employees |
|
Performance development |
Informing them completely regarding performance based incentives Performance enhancement strategy Motivating employees through team work, management games etc. |
Middle and lower level employees of the organization |
Identify resources
Designing a training program is the most important stage of planning, below is the list of training methods that will be used for this program;
It will be a two day training program for 5 hours each. Each day will include different short sessions of 1 hour and 1 hour break, it include lecture, discussion, idea on eLearning and management development games. Training require space for organizing the program, equipment’s such as laptop, video, booklet on different IT software’s and new schemes implemented by company, equipment’s for planned games and food.
Facilitator analysis
A facilitator is expected to be an expert in field of training; they must possess strong knowledge in selected subject and excellent communication skills. While rendering training program, facilitator needs to understand target group, their knowledge and skills. Trainer must come to the training session earlier than participants to check arrangements and a friendly chat with participants help in creating comfortable environment. While planning resources, trainer must ensure use of one visual aid per idea, less of information in presentation helps in more discussion. Facilitator personal style and appearance also matter, they must be confident, maintain eye contact, needs to be flexible if required. Here corporate trainer must be an expert in information technology, with certified program in corporate training.
Training program costing
|
Course Development |
Enter data in this column |
|
|
Duration of course (hours) |
10 |
Hours |
|
Difficulty Level to design course |
40 |
Enter 30 for average class, 40 for more advanced training classes, or 50 for highly technical training |
|
Multimedia Level |
1.5 |
Enter 1 for little or no multimedia, 1.5 for some multimedia, and 2 if the course is composed mostly of multimedia |
|
Experience Level of Designers |
0.8 |
Enter 1.2 for new designers, 1 for average skill sets, and 0.8 for designers with advanced skills |
|
Number of Instructors per hour of training |
0.5 |
If course is blended learning, then enter percentage of time instructors will be used. For example, if 1/2 the class is asynchronous eLearning, then enter 0.5 |
|
Learners |
||
|
Total number of learners to be trained |
20 |
|
|
Class Size |
4 |
|
|
Travel cost (MVR) |
1200.00 |
Enter average travel cost for a participant |
|
Average pay of learner (MVR) |
23.00 |
per hour |
|
Misc. (in MVR) |
||
|
Equipment |
350.00 |
|
|
Outside vendor |
0.00 |
|
|
Consultant |
0.00 |
|
|
Video |
400.00 |
|
|
Other |
160.00 |
|
Percentage of Time |
Hours |
||
|
Assessing training needs |
3% |
2.88 |
|
|
Planning the project |
2% |
1.92 |
|
|
Content analysis |
5% |
4.8 |
|
|
Develop Instructional design |
10% |
9.6 |
|
|
Develop Prototype Lesson |
5% |
4.8 |
|
|
Develop Flowcharts |
3% |
2.88 |
|
|
Develop script for training |
19% |
18.24 |
|
|
Produce or collect learning materials such as (Photos, audio, video) |
13% |
12.48 |
|
|
Author Course |
30% |
28.8 |
|
|
Evaluate the Course (In-Process Reviews) |
10% |
9.6 |
|
|
100% |
96 |
Total Hours to create course |
|
|
Labor Cost (MVR) |
|||
|
Instructional Designer remuneration |
2768.64 |
||
|
Cost of instructor |
230.72 |
||
|
Learner’s wages |
460.00 |
||
|
Cost of travelling |
24000.00 |
||
|
27459.36 |
Total |
||
|
Other Miscellaneous Costs: (MVR) |
|||
|
Tools and equipment’s |
350.00 |
||
|
Video |
600.00 |
||
|
Other expenditures |
160.00 |
||
|
28440.36 |
Grand Total |
(Hackett & Hackett, 2003)
Below is the questionnaire that will be circulated at the end of training among participants to evaluate their learning, areas of concern and outcome from training (Griffin, 2010).
Instructions: Please give answers in writing, or indicate the extent to which you gained confidence in the topics you learnt today on a scale of 1 to 5.
|
1. Overall evaluation |
||||||
|
1.1 |
Which part of training program you liked most and why? Please explain |
|||||
|
1.2 |
What are your main learning’s from today’s session? |
|||||
|
1.3 |
Which discussion or topics you did not understood today and looks for more clarifications? |
|||||
|
1.4 |
Which topics you would like to discuss in future session or other programs? |
|||||
|
1.5 |
Are you satisfied with this training program or not? If not please suggest areas of improvement |
|||||
|
2. To what extent did you gain confidence in topics you learnt today? |
||||||
|
Module 1: Background |
Not at all |
Not well |
Neutral |
Well |
Very well |
|
|
2.1.1 |
The rationale and process of using credit management system within STO different departments and your department specifically |
1 |
2 |
3 |
4 |
5 |
|
2.1.2 |
Key strategies used for sales management |
1 |
2 |
3 |
4 |
5 |
|
2.1.3 |
The overall programme for managing customer relationship management |
1 |
2 |
3 |
4 |
5 |
|
2.1.4 |
How can we improve or support you to accept and implement new changes in STO? |
|||||
|
3. How good was the facilitation? |
Not at all |
Not well |
Neutral |
Well |
Very well |
|
|
3.1 |
The Instructor has strong knowledge regarding discussed subject |
1 |
2 |
3 |
4 |
5 |
|
3.2 |
Instructor gave clear explanations of the topics. |
1 |
2 |
3 |
4 |
5 |
|
3.3 |
Process and speed of lecture and topic discussion was |
Too slow 1 |
Slow 2 |
Yes 3 |
Fast 4 |
Too fast 5 |
|
3.4 |
Instructor welcome feedback and addressed your areas of concern properly |
1 |
2 |
3 |
4 |
5 |
|
3.5 |
How can we improve our facilitation? |
Conclusion
Training aims at employee and organizational development, it’s an investment that help in long term growth. STO is a renowned organization in Maldives region with wide range of businesses, however still company opt for centralized approach of management that causes slow growth and performance hindrance. Management has made medium and long term strategic plans to improve performance in certain business through employee development. Suggested plan will help employees of STO in long term growth and organizational sustainability.
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