Training and Development in Small Businesses - Syntel Inc - Essay Example

Training and Development in Small Businesses Introduction Training and Development is important for every business. It has significant importance in small businesses also. In case of small businesses, generally resources are limited. Managements of small businesses find it very difficult in case of managing their limited resources. Training and development plays very important role for the managers to increase the performances of their organizations. In this paper, Syntel Inc, a USA based service provider of integrated technology and business services has been selected for analysis. In the course of the study key elements of training and development for the purpose of performance improvement of the company will be stated. The potential challenges that the management of the company may face will be discussed. It will also include different effects of detecting the gaps in the organization. This paper will suggest a competitive training strategy. The whole paper will be done on a step by step basis. It will be very helpful for Syntel Inc. Discussion Key elements of training and development It is very important for Syntel Inc to implement proper training and development strategies to improve their business performances. Syntel is an IT consulting company. Training and development will help them to learn new modern sides of different programming languages. In modern day business the organization comes across different critical projects related with modern programming languages (Barcus, 2007). The organization needs to train its employees properly to manage those projects. If proper training is not being provided by the company then employees will not be able to complete those complex projects properly. Training and development is needed to maintain the supply of talents continuously into the organization. Often it is being noticed that experienced employees are leaving the company. It is a loss for the organization. But that loss can be managed if well trained back up employees are ready with the company. It will not interrupt the performances of Syntel Inc. Different training and development programs will increase the efficiency of workers of the company. Once the efficiency of workers is increased then automatically productivity of the company will also increase. Increased productivity will improve the performance of the organization. Being a small business organization resources of Syntel are limited. It is very important for the management of the company to utilize their resources intelligently. Only suitable training and development programs for employees can increase the capacity of the whole workforce. Once the capacity is increased through training and development then the organization is more prepared to perform well with the help of limited resources. In case of small business like Syntel the total training strategy must be planned in advance. During that planning the company’s goal should be kept in mind. Appropriate training and development starts with the clear objectives of a small business. In depth knowledge of an employee of Syntel regarding a project is very crucial for improved performance of the company. Training and development provide that extra bit of in depth knowledge to the employee. Individual excellence and the organizational growth is also an important element of training and development as far as the Syntel Inc is concerned. Individual brilliance will contribute towards the overall performance of the organization. Being a small IT services consulting firm the organization faces great challenges from different large size organizations around the world (Mahmud, 2012). Advanced training and development will help the organization to compete in the market with limited resources. Potential challenges Here in this section of the paper different potential challenges that the management of the organization could face will be discussed. Syntel is a small size organization. According to the annual report of 2013, the company has generated total revenue of $824.8 million and reported net income of $219.6. Financial resources could be a potential challenge for the organization. The company is related with ITES industry. In this industry technology is ever changing. Continuous up gradation of different software and hardware are very important. It requires significant money for the company. But as financial resources are very limited, it is very difficult for the company to maintain the pace with changing technological trends. Limited resources are a serious challenge as far as attrition rate is concerned. It is very important for the company to keep its experienced employees in the company but if Syntel cannot offer good salary to its experienced employee then those employees could leave the company. Productivity and efficiency of work forces could be a serious challenge for the management of the organization. Efficient work force has significant influence on the performance of the company. Lowering efficiency of the workforce could impact the performance of the organization in a negative way. If employees of Syntel are less efficient then they will not be able to finish their software projects within the stipulated time, customers may be deprived of their desired services. Once services are improper customer dissatisfaction arises. It could hamper the performance of the company very seriously. Efficiency could be a serious challenge as it has both direct and indirect impact on the organizational performances. The management of the organization could face serious challenge in case of introducing any operational changes (for example, increase in working hours) for improving the performances of the company. It could face serious resistances from the employees. Employees may consider that their present facilities regarding working hours are being sacrificed by the management. But that change may bring positive impact for the performance of the company. In this way organizational changes could be a serious challenge for the management of the company. Effects of detecting organizational gaps The organization has to manage their limited resources intelligently. First of all it has to identify its different performing and non performing business activities. Once different performing and non performing activities is being identified then it should allocate their resources according to that. KPO related activities are performing very well for the company so the company must allocate more resources towards that activity. On the other hand software related business is not performing very well return are very less from that division. So the company should allocate very little resources for this domain. The organization must arrange appropriate financial resources to protect its experienced employees. Productivity and efficiency can be increased with the help of proper training and development programmes. Advanced and specialized software related trainings will enable the work force of the organization to complete their projects within stipulated time. Once the project is completed within the given time frame different clients of Syntel will feel satisfied with the services of the company. Performance of the company will be enhanced. Satisfied customers will offer more businesses to the company in future. The management of the organization can implement Kurt Lewin’s 3 phases change management model to mange different changes into their organization. This model has three phases. Unfreeze phase will help Syntel to reduce resistances against the change. In this stage the organization will communicate properly and will try to convince its agitating employees about the necessity of the change. In transition phase new behaviour, attitude and values will be developed among the employees for taking the new thing. In the last phase of Freeze the change related with the extended working hours should be implemented by the management into the company. Competitive training strategy In Syntel there are lots different tasks like software development, IT consulting and KPO etc. All those tasks are different from one another. Required trainings are also different for different activities. It is not proper for the management to design a common training and development program for all different tasks, for that reason the organization should go for task oriented training and development strategy. It will help the company to provide proper training for the appropriate task. In this way the organization can spend their limited resources very intelligently. If the company create a common training and development strategy for all tasks then it may be useless for some sections of the company. This task oriented training strategy will be created on the basis of different activities. Power point presentation will be an activity through which task oriented training will be given to the employee of the organization. This activity will help the employee to get vast knowledge in a very precise and crisp way (Wilson, 2005). As it is a visual activity, the impact of this activity will remain for the longer period of time in the mind of the employee. It is a very cost effective instructional strategy. Financial investment is negligible for this strategy but impact is significant. So, from ROI point of view it is a very suitable activity. Problem based activity will be another instructional strategy that can be used by Syntel to increase its performances. In this strategy employees will confront different software and KPO related real time problems and they will be asked to resolve those problems. This activity will create problem solving and practical attitudes among its employees. The employees of the organization will be able to solve different complex software development and KPO problems in future. Real time problems are very easily available in the industry. It does not require significant investment from the side of the company but returns are high from this activity. It will increase problem solving abilities of the employee. It is very suitable as far as ROI of the company is concerned. Conclusion Information technology industry is ever-changing. Change is the only constant thing in this industry. Syntel being a small industry must utilize its resources properly. This paper also shows that training and development has significant influences on the performances of small business like Syntel. In information and technology industry competition is cut throat. Different competitors are breathing down the neck of the company. It is very essential for the company to maintain its competitive edge in the industry. Proper training and development of work forces will help the company to manage its competitive advantages. There is no scope of complacency as far as training and development is concerned. Continuous learning will improve business situation of Syntel. References Barcus, A. S. (2007). The Impact of Organizational Learning and Training on Multiple Job Satisfaction Factors. New York: ProQuest. Mahmud, K. (2012). Impact of Training and Development on Employee Turnover. London: LAP Lambert Academic Publishing. Wilson, J. P. (2005). Human Resource Development: Learning & Training for Individuals & Organizations. New York: Kogan Page Publishers. Read More