Advantages and Disadvantages of On-the-Job Training in Comparison with Off-Job Training - Research Paper Example

HRM-written report: Discuss the advantages and disadvantages of on-the-job training and development compared with off-job training and development. Using examples, in which circumstances might each be more appropriate? 1. Introduction The expansion of globalization led to the increase of competition in all industrial sectors; in most firms worldwide employees have to respond to a series of continuously changing market trends and customer requirements. Under these terms, the support of the employer through various schemes has become quite necessary. Usually, monetary benefits are used in order to keep job satisfaction at high levels; however, the specific scheme is not adequate in order to keep employees’ performance high. Appropriate training sessions and programs need to be used by human resources managers worldwide ensuring that employees will be aware of their firms’ needs and potentials but also of the customers’ demands. Two different job training schemes are likely to be used by HR managers in modern organizations: on-the-job-training and off-job-training. These two schemes are critically examined and evaluated in current paper using relevant examples. The examination of the material used for the study has led to the assumption that both the above schemes have been proved valuable in firms around the world; however, both of them have benefits and disadvantages that need to be taken into consideration by the HR managers that seek to offer such support to the employees of their firms. It should be noticed that these schemes can be used simultaneously especially in firms that are well expanded in the international market – these firms have the resources available in order to respond to the requirements of such a scheme. 2. On-the-job training and development compared to the off-job training and development In order to understand the value of each on the job training schemes examined in this paper it is necessary to refer primarily to their general framework and characteristics. A critical analysis between the two will be then feasible using appropriate examples. 2.1 Main aspects of on-the-job training and development In accordance with a definition published by the DOI University on-the-job training ‘is particularly appropriate for developing proficiency skills unique to an employee's job - especially jobs that are relatively easy to learn and require locally-owned equipment and facilities’ (DOI University, 1998). From a similar point of view, it is noted that in the case of on-the-job training ‘the new employee learns the job while doing the job and while earning his or her pay check; on the job training is also called hands on training’ (WISEgeek, 2009). In accordance with the above on-the-job training can be particularly valuable for the employer helping towards the limitation of funds invested on the professional development of employees in a specific organization. However, the effectiveness of the specific training scheme cannot be guaranteed; many factors, including the employee’s ability to respond to the guidelines given could affect the results of the specific training scheme (Jong et al., 2001, 408). The value of the on-the-job-training scheme for modern firms can be highlighted through the reference to relevant case studies – as analyzed below. Benefits and weaknesses of the on-the-job training scheme The potential effectiveness of on-the-job training has been tested by Scribner and Sachs – the relevant research was conducted for the City University of New York. In the context of the above research, the on-the-job practices used by the managers in a particular organization (electronics manufacturing firm) were examined; the workforce of the above firm was estimated to 500 people. On-the-job training was established in the above firm through a computer system the ‘Manufacturing Resource Planning’. After examining the characteristics of the specific system, its requirements and the responses of the employees, Scribner and Sachs were led to the assumption that in the particular organization ‘workers were expected to take on the new responsibilities without being specifically trained for them; yet the training that "took shape" enables new workers to stay on the job and assume increased responsibilities’ (Scribner et al., 2007). In other words, the use of on-the-job-training practices in the above firm has been proved valuable supporting especially the new employees; however, the increase of the performance of existing employees through the above system has not been proved – at least clearly. On-the-job-training and development was also tested in practice by Dofasco, a firm operating in the steel industry in North America. The on-the-job training scheme implemented in the specific firm is called ‘"Solutions in Steel" TM strategy’ (FKA, 2009). On-the-job training helped the firm’s managers to reduce the time required for the completion of the relevant training sessions. Another major benefit of the above scheme has been the fact that ‘the level of consistency in both knowledge and skills among learners has been increased’ (FKA, 2009). Another example of the effectiveness but also of the risks of the on-the-job training schemes is the case of Humana Inc., a USA firm (Kentucky). The firm operates in the health benefits industry. The firm’s managers introduced a computer system in order to ‘keep track of all the terms in all the contracts the company had with its providers’ (SumTotal Systems, 2008). However, the firm’s employees were not appropriately trained for handling the specific system – despite it the above system has been thought as a valuable tool for promoting the on-the-job training across organization. The firm’s training manager made appropriate changes on the above system. After these changes, the firm’s employees were able ‘to track the students' total time in the system, how much time on spent on each question, how many attempts the student made, and the total score’ (SumTotal Systems, 2008). The new version of the on-the-job training scheme – as described above – was effective supporting the performance of the firm’s employees. 2.2 Off-job training and development – characteristics Off-job training and development is characterized by the distance between the place of the training offered to the employees and the workplace. More specifically, it is noted that in the case of off-job training ‘employee training is developed at a site away from the actual work environment; it often utilizes lectures, case studies, role playing, simulation, etc.’ (Business Dictionary, 2009). In accordance with the above definition, off-job training is likely the common educational schemes; a specific educational institute is chosen – in accordance with the firm’s characteristics, its industrial sectors but mostly of its needs; at a next level, the material – curriculum delivered to the employees is decided by the firm’s managers; the time spent on the specific project has also to be specified in advance. The cost of the specific scheme is expected to be high – compared to that of the on-the-job training. This is a major disadvantage of the off- job training when compared to the on-the-job training and development. The benefits and the weaknesses of the off- job training are analyzed in the section that follows – using also relevant case studies. Benefits and weaknesses of the off-job training scheme Off-job training is preferred by employers worldwide – probably as most effective compared to the on-the-job training and development. In a relevant survey conducted in Canada in 2001 it has been proved that ‘only about a third of Canadian workers receive on-the-job training’ (Zeytinoglu et al., 2009, 95). However, in the above study it is also proved that on-the-job-training programs – wherever they have been used – have led to the increase of innovation and competitiveness in firms involved. It seems that the risks related with the on-the-job training programs – as analyzed above – prohibit the expansion of these programs in modern organizations. When the employees that enrolled in an off-the-job training program where asked about the reasons that led them to participate in the specific program they answered that they ‘enrolled in the program to reclaim security, dignity, meaningful work, and caring relationships’ (Ayers et al., 2008, 257). On the other hand, in the study of Mafi (2001) it is noted that ‘most managerial training continues to be conducted in classrooms, detached from the organization and the trainee’s goals’ (Mafi, 2001, 488). At a next level, off-job training could respond more effectively to the employees’ needs - the latter would not have to reveal their professional needs in the workplace but in the context of a classroom (Drexler et al., 1981, 907); the employees’ skills would be then increased and their performance in the workplace would be improved; however, it would be necessary that the learning material is carefully chosen by the firm’s managers – meeting the employees’ and the firm’s needs (Tews et al., 2009, 245). The cost of the whole program would still remain a constraint for a firm’s managers to choose an off-job training scheme. Microsoft has developed a website offering off-job training services to firms of various industrial sectors (eFluxMedia, 2009). Off- job training is also promoted among firms in the construction industry (Construction Skills, 2009). 2.3 Comparative analysis of on-the-job training/ development and off-job training and development When being compared the two training schemes analyzed above are proved to have major differences. The on-the-job training program seems to be preferred by most firms worldwide. However, its weaknesses need to be taken into consideration by HR managers that decide to use the specific program within their firm. Regarding this issue it is noted that in order ‘to have a successful on-the-job-training (OJT) program, supervisors need to assign a coach to each employee involved in OJT;it is the responsibility of the coach to plan training carefully and conduct it effectively’ (DOI University, 1998). On the other hand, the requirements of the specific scheme have to be met; because the development of the on-the-job training scheme is usually delegated to a firm’s employee, it is necessary that the specific employee is ‘responsible for giving and evaluating the training has to be sure that his or her other job responsibilities are being met’ (WISEgeek, 2009). Moreover, it is quite possible that no appropriate employee can be identified within a specific organization for the development and monitoring of a relevant scheme – referring to the on-the-job training; then the off-job training scheme has to be chosen. In accordance with the above, off-job training can be proved to be more effective than the on-the-job training approach. However, the cost of off-job training schemes is usually high – a factor that could lead many firms to prefer the on-the-job training schemes. In large organizations such dilemmas would not exist. Off-job training should be also critically examined by a firm’s HR managers as the specific training scheme can also have negative aspects. We could indicatively refer to the following ones: a) learning material that does not correspond to the firm’s needs, b) there are no resources supported the learning material used in the specific scheme (LSIS, 2009), c) tutors used in the relevant programs do not have the skills required for the effective delivery of the material, d) the cost of the off-job training scheme is higher than the one initially estimated, e) the response of employees to the off-job training scheme is proved to be poor – no appropriate incentives are given to employees to participate in the program – probably also the time and the place set for the delivery of the material is not standard, a fact that can adversely affect the performance of employees in the specific scheme. 3. Conclusion The value of on-the-job-training has been highlighted in the literature and the empirical research – as proved in the material analyzed above. In accordance with Stolovitch et al. (2001, 461) ‘structured on-the-job training (structured OJT), adapted to a developing nation environment, can significantly improve, at low cost, the performance capability of workers’. Other researchers, have highlighted the importance of the specific training scheme for specific categories of employees, like the ex-offenders (Finn et al., 1996) and for specific organizational conditions, like the extremely demanding workplaces (Lohman, 2001). From another point of view, it is noted that ‘because structured on-the-job training (OJT) programs feature a close match between the training and the job, this training approach should only be used in near transfer of training situations’ (Kim et al., 2001, 442). On the other hand, it should be noticed that on-the-job training may be more appropriate for modern firms – because of the low cost related – but it has to be carefully designed and monitored – otherwise the whole project has many chances to fail. In this context, it is noted that ‘after workshop training, staff performance increased, but only one staff participant demonstrated competency; with on-the-job feedback, all staff participants achieved and maintained competency’ (Arco et al., 2006, 713). Feedback is not the only requirement of a successful on-the-job training scheme. The alignment of the cultural background of employees – as possible – is also required for the success of the specific project. Regarding this issue it is mentioned that ‘cultural mismatches may inhibit training effectiveness and that these undesirable effects may become even more pronounced when the training is done on the job and when the trainer and the trainee come from different cultural backgrounds’ (Osman et al., 2001, 452). In accordance with the above, on-the-job training should be preferred by modern firms – being related with the actual organizational environment (Stein, 2001); however, the specific training scheme has been found to have specific limits – when the needs of an organization are above these limits, then the off-job training – which has also found to have many advantages – should be preferred. Bibliography Arco, L., du Toit, E. (2006) Effects of Adding On-the-Job Feedback to Conventional Analog Staff Training in a Nursing Home. Behavior Modification, Vol. 30, No. 5, 713-735 Ayers, D., Dyce, C., Carlone, D. (2008) Security, Dignity, Caring Relationships, and Meaningful Work- Needs Motivating Participation in a Job-Training Program. Community College Review, Vol. 35, No. 4, 257-276 Drexler, J., Lindell, M. (1981) Training/Job Fit and Worker Satisfaction. Human Relations, Vol. 34, No. 10, 907-915 Finn, M., Willoughby, K. (1996) Employment Outcomes of Ex-Offender Job Training Partnership Act (JTPA) Trainees. Evaluation Review, Vol. 20, No. 1, 67-83 Gray, K. (2005) Women Who Succeeded in Leaving Public Assistance for a Living-wage Job. Qualitative Social Work, Vol. 4, No. 3, 309-326 Jong, I., Thijssen, L., Versloot, B. (2001) Planned Training on the Job: A Typology. Advances in Developing Human Resources, Vol. 3, No. 4, 408-414 Kim, J., Lee, C. (2001) Implications of near and Far Transfer of Training on Structured on-the-Job Training. Advances in Developing Human Resources, Vol. 3, No. 4, 442-451 Lohman, M. (2001) Deductive and Inductive on-the-Job Training Strategies. Advances in Developing Human Resources, Vol. 3, No. 4, 435-441 Mafi, S. (2001) Planned on-the-Job Managerial Training. Advances in Developing Human Resources, Vol. 3, No. 4, 488-495 Osman, A., Zidan, S. (2001) Cross-Cultural Implications of Planned on-the-Job Training. Advances in Developing Human Resources, Vol. 3, No. 4, 452-460 Stein, D. (2001) Situated Learning and Planned Training on the Job. Advances in Developing Human Resources, Vol. 3, No. 4, 415-424 Stolovitch, H., Nguele, D. (2001) Structured on-the-Job Training in Developing Nations. Advances in Developing Human Resources, Vol. 3, No. 4, 461-470 Tews, M., Tracey, B. (2009) Helping Managers Help Themselves - The Use and Utility of On-the-Job Interventions to Improve the Impact of Interpersonal Skills Training. Cornell Hospitality Quarterly, Vol. 50, No. 2, 245-258 Zeytinoglu, I., Cooke, G. (2009) On-the-Job Training in Canada: Associations with Information Technology, Innovation and Competition. Journal of Industrial Relations, Vol. 51, No. 1, 95-112 Online Sources Business Dictionary (2009) Off the job training, available from http://www.businessdictionary.com/definition/off-the-job-training.html Construction Skills (2009) Training, available from http://www.cskills.org/levy-grant/grant/grants20082009/b201202.aspx DOI University (1998) On the job training and development, available from http://www.doi.gov/hrm/pmanager/ed6b.html eFluxMedia (2009) Microsoft kicks off job training program, available from http://www.efluxmedia.com/news_Microsoft_Kicks_Off_Job_Training_Program_35324.html FKA (2009) Case Studies, available from http://www.fka.com/case-study-ojt.asp LSIS (2009) Off-the-job training, available from http://www.excellencegateway.org.uk/page.aspx?o=5DCCFC5F-B822-4CC1-9FC4-1A3FAC00E41A Scribner, S., Sachs, P. (2007) On the job training: a case study. Laboratory for Cognitive Studies of Work. City University of New York, available from http://education.eserver.org/on-the-job-training.txt SumTotal Systems (2008) SumTotal Systems Case Study: Humana, available from http://whitepapers.silicon.com/0,39024759,60236890p,00.htm WISEgeek (2009) What is the On the Job Training? Available from http://www.wisegeek.com/what-is-on-the-job-training-ojt.htm Read More