Training and Development as an Investment (Lecture 1: 4th October)

Scenario of Hospitality Industry

• It is vital for the hospitality business today to have highly trained employees. The current environment faces fierce competition not only for the guests but also for the employees.
• Now the constant challenge for the managers of hospitality operations is to hire and retain sufficient trained staffs. 
• Today hospitality industry focuses on accounting of human assets and their value in a high service industry.
• In preparing for the upturn and to be ready to seize the opportunities for more businesses as the economy recovers, businesses need to invest in staff training, even during the economic downturn.
• So, today training is termed as an investment because it values the outcomes as a assets which will pay off the invested amount with large returns in the long run. Some quotation highlighting the importance of training are: 
• “Only meaningful economic resource is knowledge” Preter Drucker
• “The human capital theory” by Gary Becker suggests that; employees, business, and society receive a direct economic benefit form investment in people.
• “The key to national economic growth is investment in education” UNHD report
• Developing the human capital will increase the ability to adapt to environmental changes and become learning organization.

ROI

Measuring the benefits of training and extrapolating throughout the organization will conform the training’s return on individual ( ROI) in human capital. The measurement of benefits can be viewed in:

• Absenteeism: the frequency of the employee not appearing on the job, which results to large operational problem. It occurs due to low morale, low motivation, level of stress, increase accidents and illness, management insensitivity and lack of response to the critical needs of employee.
• Turnover: The entire cycle of losing employees and the process of replacing them.
• Business with strong communication systems enjoy lower staff turnover.
• Employee training is the most useful tool to fill this problem by increase job satisfaction, involvement in corporate culture, decision making, jobs, and organizational stability.
• It includes costs
• Separation cost: maintaining files, conducting exit interviews, separation pay, unemployment taxes, and termination of benefits.
• Replacement cost: search, background checks, buying new uniforms, interview cost.
• Training cost: orientation cost, printed materials, trainer wages.
• High degree of job satisfaction through increased training programs leads to higher retention rate. It means low turnover which is highly correlated to high guest returns and investor interest.
• Recruitment: manger should be aware of the cultural diversity issue while hiring people who are likely to succeed in the position according to knowledge, skills, experience, and language needed to fill the position. The cost of recruitment includes; advertising, application forms, interviewing, reference checks, etc.

A Case for Training and Development (Lecture:4, 2nd October)

Training issues in 21st century (continue...):

Diversity: The changing business environment involves more complex workforce due to diversity in sex, gender, age, socio-economic background, literacy level, culture. The training program should be designed in such a way that the diverse work force is having the awareness, willingness, and adaptability to use different training approaches.

Learning disabilities: Learning disabilities are problems that affect the brain's ability to receive, process, analyze, or store information. They arise in numerous ways like; visual, auditory, muscular, processing, social, attention. These problems can make it difficult for a trainee to learn as quickly as someone who isn't affected by learning disabilities. But a learning disability doesn't have anything to do with a person's intelligence.

Globalization: The process of increasing the connectivity and interdependence of the world's markets and businesses. This process has speeded up dramatically in the last two decades as technological advances make it easier for people to travel, communicate, and do business internationally.

Globalization is a process of interaction and integration among the people, companies, and governments of different nations, a process driven by international trade and investment and aided by information technology. This process has effects on the environment, on culture, on political systems, on economic development and prosperity, and on human physical well-being in societies around the world. Globalization in hospitality industry often starts with understanding cultural differences. Each organization has a different emphasis in its globalization depending on its level of maturity and integration.

Career options in Hospitality Training: 

The need of a good trainer to train its employees is important aspect of every organization in today’s hospitality industry. The career as a hospitality trainer has increased in recent years. Trainer jobs can be found in all departments, at all levels and in all types of hospitality organizations. The career options on the basis of level are:

1. Department Level trainers: They are the hourly, non supervisory employees, hourly supervisors, or department managers who are responsible for imparting training to department level employees. They affect on new employees success, morale, and impression and socialization process
2. Property level trainers: They are the coordinator or facilitator of training activities throughout the hotel, restaurant, and club. The trainer should have experience as a department level trainer and board understanding of the property.
3. Regional and Corporate level trainers: They are responsible for the education and skill advancement on regional and corporate levels. Corporate trainers understand the goals of the organization and the skill level and educational needs. They are the personal at vice- president level of the business.

A Case for Training and Development (Lecture 3: 30th September)

Adult Learning principles

• Adult learner theorist and andragogy Malcolm Knowles emphasized that self- motivation is the best stimulus for learning with “need to know” and “readiness to learn”, are critical to success of adult learning.
• Introduction of the concept of WIFM to the group of employees is a very effective training technique. What’s in it for me? To draw the attention of the adult learners.
• Training should focus to life, task, or problem –centered related to adults.
• Experiential learning exercises should be emphasized (case studies, role plays , games etc)
• Use groups and teamwork rather than traditional classroom set-up.
• Enhance self-esteem and feelings of accomplishment are motivators in adult learning.

Promoting training:

• Training manager or director must support for and involvement in training throughout the organization, starting with senior level management.
• Creative marketing approaches will heighten the interest level among employees in lure of certificate, photos in news letter, etc.
• CEO or CLO should motivate employee to take the training programs, which will help to establish the appropriate learning environment for employees and build the culture of the business as a learning organization

Training Issues of the Twenty-First Century.

Issues of the century have occurred due to the intense competition going in the environment. Quality issues and how business can gain the competitive edge has become even more vital. The importance of continuous employee training and development play paramount role in consistently delivery of quality service.  However the various issues comes front as a big challenge to overcome. They are:

1. The scheduling of training: This issue focuses towards how the trainer is going to schedule the training program, how he is going to make assurance to the management that the training program will not hamper the operation of the business and at the same time ensures the productivity of the training will be positive.
2. Negligent Training: It is applied in cases where customers or guests are injured because (of the behavior of employees), due to lack of training, alleged negligent design of training, delivery of training, vendor selection, trainer selection or supervision during the training . A business owner whose employee commits an illegal action while on the job can find their business liable for the employee's actions, especially if the business did not exercise the proper care in training that employee.