ANUJ RANA

download ANUJ RANA

of 105

Transcript of ANUJ RANA

  • 7/29/2019 ANUJ RANA

    1/105

    INTRODUCTION

    Training:

    In the present industrial era, it is necessary to raise the skill levels and increase the versatility

    and adoptability of employees. Inadequate job performance a decline in productivity or changes

    resulting out of job redesigning or a technological break -through require some type of training

    and development efforts.

    As the jobs become more complex, the importance of employee development also increases in

    a rapidly changing society.

    "Employee training and development is not only an activity that is desirable but also an activity

    that an organization must commit resources to if it is to maintain a viable and knowledgeable

    work force."

    Thus it shows that training and development has been becoming more and more important par

    of any industrial undertaking. Moreover management ability does not come automatically. It

    comes slowly and gradually from training experience and growth, since the days of the early

    Management pioneers, training has been recognized as vital and legitimate area of corporate

    concern.

    Definition of Training:

    Following are some of the major definitions given by various scholars:

    According to Flippo," Training is the act of increasing the knowledge and skill of an

    employee for doing a particular job

    According to lucius, "The term training is used to indicate only a process, by which the

    aptitudes, skills and abilities of the employees to perform specific jobs are increased."

    1

  • 7/29/2019 ANUJ RANA

    2/105

    Characteristics or Nature of Training

    On the basis of different given by various scholars and on the basis of general knowledge the

    following facts can be presented about the nature or training and its characteristics:

    Expense on Training is investment and not wastage:

    The most important characteristics of training is that expenditure incurred on it is

    investment and not wastage. In other words the expenses on training of employees will be a

    recurring advantage for the enterprises for a long run, which will be in the form of an

    increased efficiency of the employees.

    It relates to special jobs:

    The purpose of training is not to increase the general knowledge of the employees but to

    make them proficient or skillful in a special job.

    It is beneficial both to the organization and the employees:

    Training is a process which benefits both the organization and the employees. on the one

    hand ,the dream of the enterprise to have more production is fulfilled, and on the other

    hand, because of increased proficiency the employee get better remuneration by increasing

    production in less time. Because of a decrease in the numbers of accidents their life is also

    safe and secured.

    Training is a continuous process

    Training is not a process which can give all the knowledge to an employee regarding a

    particular work for all time to come. Whenever some new procedure, and new technology

    are adopted in the enterprise, training becomes imperative.

    2

  • 7/29/2019 ANUJ RANA

    3/105

    Difference between Training and Development :

    Basis Training Development

    Meant for Operatives Executives

    Focus Current job Current and future jobs

    Scope Individual employee Work group or organization

    Goal Fix current skill deficit Prepare for future work demands

    Initiated by Management The Individual

    Content Specific job related

    information

    General Knowledge

    Time- frame Immediate Long term

    Table-1

    IMPORTANCE:

    BENEFITS OF THE BUSINESS BENEFITS OF THE EMPLOYESS

    Trained worker works more efficiency. Training makes an employee more useful

    to a firm. Hence he will find employment

    more easily.

    They use machines tools, materials in a

    properly is thus eliminated to a large

    extent.

    Makes employees more efficient and

    effective.

    3

  • 7/29/2019 ANUJ RANA

    4/105

    Fewer accidents, Trained worker need

    not be put under close supervision as

    they know how to handle operations

    properly.

    Training enables employees to secure

    promotions easily.

    Training makes employees more loyal

    to an organization. They will less in

    client to leave the unit where there is

    growth opportunity.

    It can enable employees to cope up with

    organizational social & technological

    changes.

    Table-2

    Need for Training

    Training is needed to serve the following purposes:.

    Newly recruited employees require training so as to perform their tasks effectively.

    Training is necessary to prepare existing employees for high level jobs. Existing employees

    require refresher training so as to keep abreast of the latest developments in job operations.

    In the face of rapid technological changes, this is an absolute necessity.

    Training is necessary to make employees mobile and versatile.

    Training is needed to bridge the gap between what the employees have and what the job

    demands. Training is needed to make employees more productive and useful in long run.

    Training Methods

    There is a range of teaching methods available to the trainer. Each method has its advantages

    & disadvantages in terms of the objective of a particular training programme or training

    situation. The differences between the training methods lie mainly in terms of the trainees

    4

  • 7/29/2019 ANUJ RANA

    5/105

    personal involvement or participation in the process of learning. This can be represented on a

    continuum from least to highest involvement. It is difficult to establish whether one method of

    instruction is superior, in every way, to another method. Each method of instruction has its use

    in a training programme.

    The choice of method is a matter of experience & competence of the instructor. It is also a

    matter of his judgments of how much & what a particular group of trainees could learn from

    using one method or another.

    However, in management training the principal problem is not how to deal with specific

    subjects & functional areas. It is much more important to:

    Explain the relationship between various functions of the enterprise & highlight the

    complex character of the management process;

    Help participants not to take a one-function & over-simplified approach to multi-

    dimensional situations in business organizations.(one-function approach means

    marketing man viewing everything from marketing point of view, production man

    viewing everything from production point of view etc.)

    Promote general management skills, which essentially lie in an inter-disciplinary systems

    approach to management.

    Training method can be classified by the location of instruction. It may be divided into two

    types

    I. On the Job Training

    II. Off the Job Training

    5

  • 7/29/2019 ANUJ RANA

    6/105

    ON THE JOB TRAINING:

    It is provided when the workers are taught relevant knowledge, skills and abilities at the actual

    workplace. The widely used training methods are listed below.

    1. Job Instruction Training

    The JIT methods is a four step instructional process involving preparation, presentation,

    performance tryout and follow up. It is used generally to teach workers how to do their current

    jobs. The four steps followed in the JIT methods are:

    The trainee receives an overview of the job, its purposes and its desired outcomes, with a

    clear focus on the relevance of training.

    The trainer demonstrates the job in order to give the employees a model to copy. The

    trainer shows aright way to handle the job.

    Next, the employee is permitted to copy the trainer way. Demonstrations by the trainer and

    practice by the trainee are repeated until the trainee masters the right way to handle the job.

    Finally, the employees does the job independently without supervision.

    2. Coaching

    Coaching is a kind of daily training and feedback given to employees by immediate

    supervisors. It involves a continuous process of learning by doing. It may be as an informal,

    unplanned training and development activity provided by supervisors and peers. In coaching,

    the supervisor explain things and answers questions, he throws light on why things are done the

    way they are, he offers a model for trainee to copy; conducts lot of decision making meetings

    with trainees; procedures are agreed upon and the trainee is given enough authority to make

    divisions and even commit mistakes.

    6

  • 7/29/2019 ANUJ RANA

    7/105

    3. Mentoring

    Mentoring is the process of shaping competencies or behaviors by providing feedback, usually

    to subordinates or even peers, about how to achieve the best in life.

    Mentoring is relationship in which senior manager in organization assumes responsibility for

    grooming a junior person. Generally, technical, interpersonal & political skills are conveyed in

    such a relationship from a more experienced person.

    Objective:

    1. To help identify Mentors who can train the next generation Trainees, to align and move into

    the organization, thus building a talent pool in the years to come.

    2. To help in institutionalizing a Mentoring system which would help nurture high potential

    individuals and put them on a faster learning curve.

    3. Start an initiative that would bring a different culture and space for the future managers.

    Methodology

    Phase 1 Identifying Mentors

    1. Identify prospective Mentors.

    2. Identify the Critical Competencies required for being a mentor.

    3. Map the competencies of the Mentors.

    4. Identify Individuals who have maturity to become Mentors.

    Phase 2 Training the Mentor.

    1. Train the Mentors on the key aspects of mentoring and process that aid in institutionalizing

    mentoring as a system.

    2. A three-day Role and Identity Lab: This would be designed to build up the energy required

    7

  • 7/29/2019 ANUJ RANA

    8/105

    and the commitment to the process. Each individual would need to find a context, which

    would sustain the role that he is required to play.

    Phase 3 Mentee Training

    A two-day workshop for all Mentees

    1. To lay a context for the mentees and understand of the role that he !s required to play.

    2. Create a context to understand the style and the best fit for the Mentor Mentee Match.

    4. APPRENTICESHIP TRAINING

    Apprenticeship training dates back to the Middle Ages, when skilled craftsmen passed on their

    knowledge to others as a way of preserving the guilds. Today, apprenticeship programs are

    partnerships between labor unions, employers, schools, and the government. They are most

    often found in the skilled trades and professional unions such as boiler engineers, electrical

    workers, pipe fitters, and carpenters. The typical apprenticeship program requires two years of

    on-the-job experience and about 180 hours of classroom instruction, though requirements vary.

    An apprentice must be able to demonstrate mastery of all required skills and knowledge before

    being allowed to graduate to journeyman status. This is documented through testing and

    certification processes. Journeymen provide the on-the-job training, while adult education

    centers and community colleges typically provide the classroom training. Formal

    apprenticeship programs are regulated by governmental agencies that also set standards and

    provide services.

    OFF THE JOB TRAINING

    1. SIMULATIONS

    Simulations are designed to mimic the processes, events, and circumstances of the trainee's job.

    8

  • 7/29/2019 ANUJ RANA

    9/105

    Equipment simulators, business games, in-basket exercises, case studies, role playing, and

    behavior modeling, are types of simulations.

    2. EQUIPMENT SIMULATORS.

    Equipment simulators are mechanical devices that incorporate the same procedures,

    movements and/or decision processes that trainees must use with equipment back on the job.

    Among those trained with this method are airline pilots, air traffic controllers, military

    personnel, drivers, maintenance workers, telephone operators, navigators, and engineers. To be

    effective the simulator and how it is used must replicate, as closely as possible, the physical and

    psychological (time pressures, conflicting demands, etc.) aspects of the job site. To facilitate

    this, the equipment operators and their supervisors should be involved in the simulation design

    and pre-testing. This reduces potential resistance to the training and, more importantly,

    increases the degree of fidelity between the simulation and the work setting

    3. BUSINESS GAMES.

    Business games attempt to reflect the way an industry, company, or functional area operates.

    They also reflect a set of relationships, rules, and principles derived from appropriate theory

    (e.g., economics, organizational behavior, etc.). Many business games represent the total

    organization, but some focus on the functional responsibilities of particular positions within an

    organization (e.g., marketing director, human resource manager). These are called functional

    simulations. Games that simulate entire companies or industries provide a far better

    understanding of the big picture. They allow trainees to see how their decisions and actions

    influence not only their immediate target but also areas that are related to that target. Prior to

    starting the game trainees are given information describing a situation and the rules for playing

    the game. They are then asked to play the game, usually being asked to make decisions about

    9

  • 7/29/2019 ANUJ RANA

    10/105

    what to do given certain information. The trainees are then provided with feedback about the

    results of their decisions, and asked to make another decision. This process continues until

    some predefined state of the organization exists or a specified number of trials have been

    completed. For example, if the focus is on the financial state of a company, the game might end

    when the company has reached a specified profitability level or when the company must

    declare bankruptcy. Business games involve an element of competition, either against other

    players or against the game itself. In using them, the trainer must be careful to ensure that the

    learning points are the focus, rather than the competition.

    4. IN-BASKET TECHNIQUE

    The in-basket technique simulates the type of decisions that would typically be handled in a

    particular position such as a sales manager or operations manager. It affords an opportunity to

    assess and/or develop decision-making skills and attitudes. To begin the exercise, trainees are

    given a description of their role (a current or future job) and general information about the

    situation. Trainees are then given a packet of materials (such as requests, complaints, memos,

    messages, and reports) which make up the in-basket. They are asked to respond to the materials

    within a particular time period (usually 2 to 4 hours). When the in-basket is completed, the

    trainer asks the trainee to identify the processes used in responding to the information and to

    discuss their appropriateness. The trainer provides feedback, reinforcing appropriate decisions

    and processes or asking the trainee to develop alternatives. A variation is to have trainees

    discuss their processes in a group format moderated by the trainer. Here the trainer should

    attempt to get the trainees to discover what worked well, what didn't and why.

    5. CASE STUDY

    Case studies are most often used to simulate strategic decision-making situations, rather than

    10

  • 7/29/2019 ANUJ RANA

    11/105

    the day-to-day decisions that occur in the in-basket. The trainee is first presented with a history

    of the situation in which a real or imaginary organization finds itself. The key elements and

    problems, as perceived by the organization's key decision makers, may also be provided. Case

    studies range from a few pages in length to more than a hundred. Trainees are asked to respond

    to a set of questions or objectives. Responses are typically, though not always, in written form.

    Longer cases require extensive analysis and assessment of the information for its relevance to

    the decisions being made. Some require the trainee to gather information beyond what was in

    the case. Once individuals have arrived at their solutions, they discuss the diagnoses and

    solutions that have been generated in small groups, large groups, or both. In large groups a

    trainer should facilitate and direct the discussion. The trainer must guide the trainees in

    examining the possible alternatives and consequences without actually stating what they are.

    Written and oral responses to the case are evaluated by the trainer. The trainer should convey

    that there is no single right or wrong solution to the case, but many possible solutions

    depending on the assumptions and interpretations made by the trainees. The value of the case

    approach is the trainees' application of known concepts and principles and the discovery of new

    ones. The solutions are not as important as the appropriateness with which principles are

    applied and the logic with which solutions are developed.

    6. ROLE PLAY.

    The role play is a simulation of a single event or situation. Trainees who are actors in the role

    play are provided with a general description of the situation, a description of their roles (e.g.,

    their objectives, emotions, and concerns) and the problem they face.

    Role plays differ in the amount of structure they provide to the actors. A structured role play

    provides trainees with a great deal of detail about the situation that has brought the characters

    11

  • 7/29/2019 ANUJ RANA

    12/105

    together. It also provides in greater detail each character's attitudes, needs, opinions, and so on.

    Structured role plays may even provide a scripted dialog between the characters. This type of

    role play is used primarily to develop and practice interpersonal skills such as communication,

    conflict resolution, and group decision making. Spontaneous role plays are loosely constructed

    scenarios in which one trainee plays herself while others play people that the trainee has

    interacted with in the past (or will in the future). The objective of this type of role play is to

    develop insight into one's own behavior and its impact on others. How much structure is

    appropriate in the scenario will depend on the learning objectives.

    Whether structured or spontaneous, role plays may also differ based on the number of trainees

    involved. Single, multiple, and role-rotation formats provide for more or less participation in

    the role play. In a single role play, one group of trainees role plays while the rest of the trainees

    observe. While observing, other trainees analyze the interactions and identify learning points.

    This provides a single focus for trainees and allows for feedback from the trainer. This

    approach may cause the role players to be embarrassed at being the center of attention, leading

    to failure to play the roles in an appropriate manner. It also has the drawback of not permitting

    the role players to observe others perform the roles. Having non-trainees act out the role play

    may eliminate these problems, but adds some cost to the training.

    In a multiple role play, all trainees are formed into groups. Each group acts out the scenario

    simultaneously. At the conclusion, each group analyzes what happened and identifies learning

    points. The groups may then report a summary of their learning to the other groups, followed

    by a general discussion. This allows greater learning as each group will have played the roles

    somewhat differently. Multiple role plays allow everyone to experience the role play role play

    in a short amount of time, but may reduce the quality of feedback. The trainer will not be able

    12

  • 7/29/2019 ANUJ RANA

    13/105

    to observe all groups at once, and trainees are usually reluctant to provide constructive

    feedback to their peers. In addition, trainees may not have the experience or expertise to

    provide effective feedback. To overcome this problem, video tapes of the role plays can be

    used by the trainee and/or trainer for evaluation.

    The role-rotation method begins as either a single or multiple role play. However, when the

    trainees have interacted for a period of time, the role play is stopped. Observers then discuss

    what has happened so far and what can be learned from it. After the discussion, the role play

    resumes with different trainees picking up the roles from some, or all, of the characters. Role

    rotation demonstrates the variety of ways the issues in the role play may be handled. Trainees

    who are observers are more active than in the single role play since they have already

    participated or know they soon will be participating. A drawback is that the progress of the role

    play is frequently interrupted, creating additional artificiality. Again, trainees may be inhibited

    from publicly critiquing the behavior of their fellow trainees.

    7. BEHAVIOR MODELING

    Behavior modeling is used primarily for skill building arid almost always in combination with

    some other technique. Interpersonal skills, sales techniques, interviewee and interviewer

    behavior, and safety procedures are among the many types of skills that have been successfully

    learned using this method. While live models can be used, it is more typical to video tape the

    desired behavior for use in training. The steps in behavior modeling can be summarized as

    follows:

    1. Define the key skill deficiencies

    2. Provide a brief overview of relevant theory

    3. Specify key learning points and critical behaviors to watch for

    13

  • 7/29/2019 ANUJ RANA

    14/105

    4. Have an expert model the appropriate behaviors

    5. Have trainees practice the appropriate behaviors in a structured role play

    6. Have the trainer and other trainees provide reinforcement for appropriate imitation of the

    model's behavior

    Behavior modeling differs from role plays and games by providing the trainee with an example

    of what the desired behavior looks like prior to attempting the behavior. While this method is

    primarily behavioral, steps 2 and 3 reflect the cognitively oriented learning features of the

    technique. Feedback to the trainee is especially powerful when video is used to record both the

    model's and the trainee's performance. Through split screen devices, the performance of the

    model and the trainee can be shown side by side. This allows the trainee to clearly see where

    improvements are needed.

    Simulations are not good at developing declarative knowledge. Some initial level of declarative

    and procedural knowledge is necessary before a simulation can be used effectively. Although

    some knowledge development can occur in simulations, usually other methods are required for

    this type of learning. Simulations provide a context in which this knowledge is applied.

    Improving the trainees' ability to apply knowledge (i.e., facts, procedures, strategies) is the

    focus of simulations. Simulations do a good job of developing skills because they:

    simulate the important conditions and situations that occur on the job

    allow the trainee to practice the skill

    provide feedback about the appropriateness of their actions

    Each of the different formats has particular types of skills for which they are more appropriate:

    Mechanical, machine operation and tool-usage skills are best learned through use of

    equipment simulators.

    14

  • 7/29/2019 ANUJ RANA

    15/105

    Business decision-making skills (both day to day and strategic), planning, and complex

    problem solving can be effectively learned through the use of business games.

    The in-basket technique is best suited to development of strategic knowledge used in

    making day-to-day decisions.

    Case studies are most appropriate for developing analytic skills, higher-level principles,

    and complex problem-solving strategies. Because trainees do not actually implement

    their decision/solution, its focus is more on what to do (strategic knowledge) than on

    how to get it done (skills).

    Role plays provide a good vehicle for developing interpersonal skills and personal

    insight, allowing trainees to practice interacting with others and receiving feedback.

    They are an especially effective technique for creating attitude change, allowing

    trainees to experience their feelings about their behavior and others' reactions to it.

    15

  • 7/29/2019 ANUJ RANA

    16/105

    SCOPE & IMPORTANCE

    Scope of Training & Development

    Some of the specific reasons as to why a business should train its employees are:

    Future needs of employees will be met through training and development programmes.

    Organizations take fresh diploma holders or graduates as apprentices or management

    trainees. They are absorbed after course completion.

    Training serves as an effective source of recruitment.

    Training is an investment in human recourses with a promise and it serves as an

    effective source of recruitment.

    Training is an investment in HR with a promise of better returns in future.

    Training and development programmes, as pointed out, help remove performance

    deficiencies in employees.

    Introduce new employees to the business (this is known as induction training) see

    below

    Help provide the skills the business needs (in particular making the workforce more

    flexibleor being trained on new higher technology machinery)

    Provide employees with better knowledge about the business and the market it operates

    in

    Provide support for jobs that are complex and for which the required skills and

    knowledge are often changing (e.g. a firm of lawyers training staff about new

    legislation)

    16

  • 7/29/2019 ANUJ RANA

    17/105

    Support the introduction of new working methods, such as a firm introducing new lean

    production techniques

    Reduce the need for supervision and therefore free up valuable manager time Help

    achieve a good health and safety record Help improve quality of a product or service

    and lower customer complaints

    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.

    17

  • 7/29/2019 ANUJ RANA

    18/105

    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

    organisational policies

    Training and Development helps in developing leadership skills, motivation, loyalty, better

    attitudes, and other aspects that successful workers and managers usually display.

    18

  • 7/29/2019 ANUJ RANA

    19/105

    INDUSTRY PROFILE

    The Indian Pharmaceutical Industry today is in the front rank of Indias science-based

    industries with wide ranging capabilities in the complex field of drug manufacture and

    technology. A highly organized sector, the Indian Pharma Industry is estimated to be worth $

    4.5 billion, growing at about 8 to 9 percent annually. It ranks very high in the third world, in

    terms of technology, quality and range of medicines manufactured. From simple headache pills

    to sophisticated antibiotics and complex cardiac compounds, almost every type of medicine is

    now made indigenously.

    Playing a key role in promoting and sustaining development in the vital field of medicines,

    Indian Pharma Industry boasts of quality producers and many units approved by regulatory

    authorities in USA and UK. International companies associated with this sector have

    stimulated, assisted and spearheaded this dynamic development in the past 53 years and helped

    to put India on the pharmaceutical map of the world.

    The Indian Pharmaceutical sector is highly fragmented with more than 20,000 registered units.

    It has expanded drastically in the last two decades. The leading 250 pharmaceutical companies

    control 70% of the market with market leader holding nearly 7% of the market share. It is an

    extremely fragmented market with severe price competition and government price control.

    The pharmaceutical industry in India meets around 70% of the country's demand for bulk

    drugs, drug intermediates, pharmaceutical formulations, chemicals, tablets, capsules, orals and

    injectibles. There are about 250 large units and about 8000 Small Scale Units, which form the

    core of the pharmaceutical industry in India (including 5 Central Public Sector Units). These

    units produce the complete range of pharmaceutical formulations, i.e., medicines ready for

    19

  • 7/29/2019 ANUJ RANA

    20/105

    consumption by patients and about 350 bulk drugs, i.e., chemicals having therapeutic value and

    used for production of pharmaceutical formulations.

    Following the de-licensing of the pharmaceutical industry, industrial licensing for most of the

    drugs and pharmaceutical products has been done away with. Manufacturers are free to produce

    any drug duly approved by the Drug Control Authority. Technologically strong and totally self-

    reliant, the pharmaceutical industry in India has low costs of production, low R&D costs,

    innovative scientific manpower, strength of national laboratories and an increasing balance of

    trade. The Pharmaceutical Industry, with its rich scientific talents and research capabilities,

    supported by Intellectual Property Protection regime is well set to take on the international

    market.

    DVANTAGE INDIA

    Competent workforce: India has a pool of personnel with high managerial and technical

    competence as also skilled workforce. It has an educated work force and English is commonly

    used. Professional services are easily available.

    Cost-effective chemical synthesis: Its track record of development, particularly in the area of

    improved cost-beneficial chemical synthesis for various drug molecules is excellent. It provides

    a wide variety of bulk drugs and exports sophisticated bulk drugs.

    Legal & Financial Framework: India has a 53 year old democracyand hence has a solid legal

    framework and strong financial markets. There is already an established international industry

    and business community.

    Information & Technology: It has a good network of world-class educational institutions and

    established strengths in Information Technology.

    20

  • 7/29/2019 ANUJ RANA

    21/105

    Globalisation: The country is committed to a free market economy and globalization. Above

    all, it has a 70 million middle class market, which is continuously growing.

    Consolidation: For the first time in many years, the international pharmaceutical industry is

    finding great opportunities in India. The process of consolidation, which has become a

    generalized phenomenon in the world pharmaceutical industry, has started taking place in

    India.

    THE GROWTH SCENARIO

    India's US$ 3.1 billion pharmaceutical industry is growing at the rate of 14 percent per year. It

    is one of the largest and most advanced among the developing countries.

    Over 20,000 registered pharmaceutical manufacturers exist in the country. The domestic

    pharmaceuticals industry output is expected to exceed Rs260 billion in the financial year 2002,

    which accounts for merely 1.3% of the global pharmaceutical sector. Of this, bulk drugs will

    account for Rs 54 bn (21%) and formulations, the remaining Rs 210 bn (79%). In financial year

    2001, imports were Rs 20 bn while exports were Rs87 bn.

    STEPS TO STRENGTHEN THE INDUSTRY

    Indian companies need to attain the right product-mix for sustained future growth. Core

    competencies will play an important role in determining the future of many Indian

    pharmaceutical companies in the post product-patent regime after 2005. Indian companies, in

    an effort to consolidate their position, will have to increasingly look at merger and acquisition

    options of either companies or products. This would help them to offset loss of new product

    options, improve their R&D efforts and improve distribution to penetrate markets.

    21

  • 7/29/2019 ANUJ RANA

    22/105

    Research and development has always taken the back seat amongst Indian pharmaceutical

    companies. In order to stay competitive in the future, Indian companies will have to refocus

    and invest heavily in R&D.

    The Indian pharmaceutical industry also needs to take advantage of the recent advances in

    biotechnology and information technology. The future of the industry will be determined by

    how well it markets its products to several regions and distributes risks, its forward and

    backward integration capabilities, its R&D, its consolidation through mergers and acquisitions,

    co-marketing and licensing agreements.

    COMPANY PROFILE

    Jubilant Organosys is a collaborative, innovative provider of products and services to the global

    life sciences industry, striving to accelerate the process of pharmaceutical drug approval.

    22

  • 7/29/2019 ANUJ RANA

    23/105

    We have a presence across the pharmaceuticals value chain ranging from drug discovery

    services, custom research and manufacturing services, advance intermediates and fine

    chemicals to active pharmaceutical ingredients, dosage forms and regulatory affairs services.

    We also enjoy leadership in Industrial Products and Performance Polymers products in India.

    VISION, PROMISE & VALUES

    Jubilant symbolizes positivity, dynamism, triumph and joy, all of which guide and shape the

    Groups collective experiences and efforts. Jubilant will always care for human needs, share its

    expertise to provide a better life and help upgrade the stakeholders standard of living and

    sustainable growth by dynamizing the value chain within the Group.

    Our vision is to be amongst the top 10 most admired companies to work for. We want to

    maintain our leadership position in our chosen area of business in India and to establish it

    globally. We will endeavour to create new opportunities for growth in our strategic businesses

    which give a 10 points higher rate of return than the cost of capital.

    Our values determine our business path. Combined with our Promise and Vision, these values

    have determined what we have achieved and they continue to guide our future.

    OUR VISION

    23

  • 7/29/2019 ANUJ RANA

    24/105

    OUR PROMISE

    OUR VALUES

    24

  • 7/29/2019 ANUJ RANA

    25/105

    We will carefully select, train anddevelop our people to be creative,

    empower them to take decisions, sothat they respond to all customers

    with agility, confidence andteamwork

    We stretch ourselves to be costeffective and efficient in all aspects

    of our operations and focus onflawless delivery to create andprovide the best value to our

    customers

    By sharing our knowledge and

    learning from each other and fromthe markets we serve, we will

    continue to surprise our customerswith innovative solutions

    With utmost care for the environment

    and safety, we will always strive toexcel in the quality of our processes,

    our products and our services

    25

  • 7/29/2019 ANUJ RANA

    26/105

    CORPORATE OVERVIEW

    Jubilant Organosys is an integrated pharmaceutical industry player having presence across the

    pharmaceuticals value chain. We are a collaborative and innovative provider of products and

    services to the global life sciences industry, striving to accelerate the process of pharmaceutical

    drug approval. Our range of offerings include drug discovery and development services,

    custom research and manufacturing services, advance intermediates, fine chemicals, active

    pharmaceutical ingredients, dosage forms and regulatory affairs services.

    We are one of the largest Indian Custom Research and Manufacturing Services (CRAMS) and

    Drug Discovery Services companies and a leading active pharmaceuticals ingredients company

    in India.

    We are a Science Active company with more than 25 years of chemistry knowledge in

    producing innovative products and processes by leveraging our R&D expertise, knowledge

    driven operations and global scale manufacturing capacities.

    Jubilant Organosys has three subsidiary companies in India - Jubilant Biosys Ltd. for

    bio/chemo informatics databases & drug discovery services, Jubilant Chemsys Ltd. for

    medicinal chemistry services and Clinsys Clinical Research Ltd. for clinical research.

    We have a strong international presence, having international subsidiaries in USA, Belgium

    and China. PSI N.V. and PSI Supply N.V., in which Jubilant Organosys holds 80% equity, are

    the Belgium based pharmaceuticals companies providing regulatory affairs services and supply

    of dosage forms to European generic companies. Jubilant Pharmaceuticals, Inc., a subsidiary of

    Jubilant in USA, is a generic pharmaceutical company having a US FDA approved

    manufacturing facility in the USA. Clinsys Clinical Research Inc., a wholly owned subsidiary,

    is a clinical research organization (CRO) operating out of the USA. Jubilant Organosys also has

    26

  • 7/29/2019 ANUJ RANA

    27/105

    marketing subsidiaries in USA and China. Jubilant products are sold across the globe in more

    than 50 countries.

    Our business is organized in three business segments: Pharmaceuticals & Life Science

    Products, Industrial Products and Performance Polymers.

    We have four manufacturing locations in India situated at Gajraula (in Uttar Pradesh),

    Nanjangud (in Karnataka), Nira (in Maharashtra) and Samlaya (in Gujarat) and a US FDA

    approved manufacturing facility for dosage forms in Maryland, USA.

    Globally, Jubilant Organosys is a leading manufacturer in defined product segments, including

    select APIs (e.g., Carbamazepine and Citalopram), Pyridine and its derivatives, Solid polyvinyl

    acetate, Vinyl Pyridine Latex and Organic Intermediates (e.g., Ethyl Acetate and Acetic

    Anhydride).

    JUBILANT HISTORY

    2005 - Acquires Target Research Associates, Inc, renamed Clinsys Inc; a USA based Clinical

    Research Organization (CRO) Acquires Trinity Laboratories, Inc. and its wholly owned

    subsidiary, Trigen Laboratories Inc, renamed Jubilant Pharmaceuticals, Inc, a generic

    pharmaceutical Company in USA having a US FDA approved formulation manufacturing

    facility. Enters clinical research business by setting up wholly owned subsidiary Jubilant

    Clinsys Ltd.

    2004 - Sets up medicinal chemistry services business through wholly owned subsidiary Jubilant

    Chemsys Ltd.Enters formulations and regulatory affairs businesses by acquiring

    Pharmaceutical Services Incorporated, N. V. and PSI supply N. V., the pharmaceutical

    companies in Europe.

    27

  • 7/29/2019 ANUJ RANA

    28/105

    2003 - Sets up a new state-of-the-art Research & Development Centre in Noida, near New

    Delhi. Equipped with all latest scientific instruments.

    2002 - Acquires the active pharmaceutical ingredients business.

    2001- New corporate identity. Jubilant Organosys Ltd reflects changed corporate and business

    profile.

    2000 - Enters the Bio/ Chemo informatics arena by setting up Jubilant Biosys Ltd.

    1998 - Enters high school value added Pyridine derivatives HBR and Cyano Pyridine Plants.

    Forms marketing subsidiary in the USA. Acquires acetyl plant in western India.

    1997 - Commission first Multi-purpose fine chemicals plants. Plant for food polymer

    Commissioned.

    1995 - Gets ISO 9001 certification

    1990 - Commissions Pyridine & Picoline plant.

    1988 Launches its first branded product. Vamicol, an adhesive product.

    1987 Introduces new products in Performance Chemicals segments. Poly vinyl acetate

    Emulsion for paint, textile, paper & packaging and woodworking industry.

    1985 Research & Development center gets recognition from Government of India.

    1983 Commercial production of Vinyl Acetate Monomer (VAM).

    1981 Initial Public Offering. Listing on leading stock exchanges in India.

    1978 Incorporated as Vam Organic Chemical Ltd.

    28

  • 7/29/2019 ANUJ RANA

    29/105

    BOARD OF DIRECTOR

    Shyam S Bhartia

    Chairman & Managing

    Director

    Hari S Bhartia

    Co-Chairman & Managing

    Director

    Dr. J M Khanna

    Executive Director &President - Life Sciences

    S N Singh

    Executive Director -Chemicals

    S Bang

    Executive Director -Manufacturing & SupplyChain

    Ajay Relan

    Director

    Abhay Havaldar

    Director

    Bodhishwar Rai

    Director

    Arabinda Ray

    Director

    Dr. Naresh Trehan

    Director

    Surendra Singh

    Director

    H K Khan

    Director

    MANUFACTURING FACILITIES

    Jubilant's manufacturing capabilities are one of its key differentiators. The Company has

    vertically integrated manufacturing facilities for its range of Custom Research and

    29

    http://www.jubl.net/shyam_bhartia.jsphttp://www.jubl.net/hari_bhartia.jsphttp://www.jubl.net/hari_bhartia.jsphttp://www.jubl.net/jm_khanna.jsphttp://www.jubl.net/sn_singh.jsphttp://www.jubl.net/sbang.jsphttp://www.jubl.net/sbang.jsphttp://www.jubl.net/ajay_relan.jsphttp://www.jubl.net/abhay_havaldar.jsphttp://www.jubl.net/abhay_havaldar.jsphttp://www.jubl.net/bodhish_rai.jsphttp://www.jubl.net/arabinda_ray.jsphttp://www.jubl.net/naresh_trehan.jsphttp://www.jubl.net/surendra_singh.jsphttp://www.jubl.net/surendra_singh.jsphttp://www.jubl.net/hk_khan.jsphttp://www.jubl.net/hk_khan.jsphttp://www.jubl.net/surendra_singh.jsphttp://www.jubl.net/naresh_trehan.jsphttp://www.jubl.net/arabinda_ray.jsphttp://www.jubl.net/bodhish_rai.jsphttp://www.jubl.net/abhay_havaldar.jsphttp://www.jubl.net/ajay_relan.jsphttp://www.jubl.net/sbang.jsphttp://www.jubl.net/sn_singh.jsphttp://www.jubl.net/jm_khanna.jsphttp://www.jubl.net/hari_bhartia.jsphttp://www.jubl.net/shyam_bhartia.jsphttp://www.jubl.net/shyam_bhartia.jsphttp://www.jubl.net/hari_bhartia.jsphttp://www.jubl.net/jm_khanna.jsphttp://www.jubl.net/sn_singh.jsphttp://www.jubl.net/sbang.jsphttp://www.jubl.net/ajay_relan.jsphttp://www.jubl.net/abhay_havaldar.jsphttp://www.jubl.net/bodhish_rai.jsphttp://www.jubl.net/arabinda_ray.jsphttp://www.jubl.net/naresh_trehan.jsphttp://www.jubl.net/surendra_singh.jsphttp://www.jubl.net/hk_khan.jsp
  • 7/29/2019 ANUJ RANA

    30/105

    Manufacturing Services, APIs, Dosage Forms, Industrial Products and Performance Polymers

    businesses.

    Jubilant Organosys has geographically diversified manufacturing facilities in eight locations:

    Gajraula (UP), Nanjangud (Karnataka), Roorkee (Uttarakhand), Nira (Maharashtra), Udaipur

    (Rajasthan), Samlaya (Gujrat), Salisbury, state of Maryland (USA) and Spokane, state of

    Washington (USA). The Company's manufacturing facility in Maryland, USA, is US FDA

    approved . The Indian cGMP compliant facility for manufacturing finished dosage forms in

    Roorkee, Uttarakhand is operational and readying to undergo inspection by USFDA,

    UKMHRA and other regulatory bodies

    AWARDS

    Jubilant's rapid progress across all corporate aspects has consistently been acknowledged by

    various industry bodies, government and non-government agencies in the form of awards and

    certifications.

    Golden Peacock award for Innovation Management - 2003

    Six-sigma Quality Award at the All India CII Convention -2004

    The Greentech Foundation Award for Environment Excellence

    The Energy Conservation Award (Chemical sector) from the Government of India for

    the Gajraula unit

    Best Managed Manufacturing Plant for Single super phosphate by FAI - 2003

    Best HR Practices Award by Centre for International Businesses - 2004

    P C Acharya Award for Development of Indigenous Technology by ICMA - 2004

    Top 5 Best Managed Workforce in India - Hewitt Award

    The DSIR Award for Innovation in Chemicals & Allied Industries

    30

  • 7/29/2019 ANUJ RANA

    31/105

    JUBILANT CORPORATION

    Jubilant Group is a well-diversified conglomerate having business interests in four sectors of

    activity:

    Pharmaceuticals, Life Sciences and Speciality Chemicals

    Oil & Gas (Exploration and Production)

    Food

    Services

    The Group has a strong global presence in pharmaceuticals and chemicals business

    The Group is now enhancing its presence in services sectors with focus on Oil & Gas (E&P),

    Food and Transport. Jubilant Group had a sales turnover of US$ 615 million in financial year

    2005

    INNOVATION

    Jubilant believes that, only an innovative firm will continue to achieve success in scientific,

    technological and social arenas in the coming years.

    31

    http://www.jubilantcorp.com/corp/ourbusinesses/chemicals.jsphttp://www.jubilantcorp.com/corp/ourbusinesses/oil.jsphttp://www.jubilantcorp.com/corp/ourbusinesses/food.jsphttp://www.jubilantcorp.com/corp/ourbusinesses/tradingservices/index.jsphttp://www.jubilantcorp.com/corp/ourbusinesses/chemicals.jsphttp://www.jubilantcorp.com/corp/ourbusinesses/oil.jsphttp://www.jubilantcorp.com/corp/ourbusinesses/food.jsphttp://www.jubilantcorp.com/corp/ourbusinesses/tradingservices/index.jsp
  • 7/29/2019 ANUJ RANA

    32/105

    Innovation is about instilling a mindset of entrepreneurial thinking, flexibility, and organic

    growth - at every level of the organisation. The organisation must learn to evolve continuously

    to meet, the customer and market needs and create competitive advantage in this age of rapid

    change.

    Jubilant is creating a culture of innovation to give a free rein to the creative potential of our

    employees in order to develop fresh solutions and bring tangible results in the fields of R&D,

    Contract Management and Human Resources.

    R & D FACILITIES

    Jubilant is an innovative firm that leverages R&D, its potential and capabilities to exploit the

    existing and potential markets. We believe that R&D can contribute to establish criteria for

    quality and develop methods to verify them. R&D can cooperate to find solutions to production

    and customers' problems.

    Research, Development and Application studies form the backbone of Jubilant Organosys' local

    and global presence. Over the last fifteen years most of the Advance Intermediates, Fine

    Chemicals, APIs, Dosage Forms and Performance products have been developed in our R&D

    laboratories. We have well equipped laboratories and pilot plant facilities that synthesise

    organic compounds and polymers. The sophisticated instrumental facilities provide for

    complete analysis of products and their structures.

    Our R&D facilities are interdisciplinary -- they include technical, marketing and economics

    32

  • 7/29/2019 ANUJ RANA

    33/105

    skills generating new products/processes/services. Our research and experimental development

    comprises of creative yet systematic work, increasing the pool of knowledge in devising new

    applications.

    Our laboratories spread over a combined area of 300,000 sq. ft., have over one thousand and

    twenty five skilled scientists and engineers engaged in research on new products, process

    developments and their possible applications across diverse industries.

    R&D has now assumed a wider role of managing technological change. We have entered an

    age of innovation explosion, where the number of new developments across the

    pharmaceuticals value chain appears visible. At Jubilant our research and development effort

    fulfils four basic objectives, which are:

    The development of new products

    Improvement in the quality and performance of our existing products

    Increasing efficiencies in our manufacturing processes

    Supporting the customer through product application

    Our R&D works closely with direct customers using specialized skill sets, to ensure that new

    product development remains focused on the customer's current and future needs, and

    supported by strong technical support services. The focus on the customer equips our team to

    understand and meet the needs of the Pharmaceuticals and Life Sciences industry.

    Development and change are constant in life. Science has decoded the "book of human life'' by

    gene mapping. To continue the ongoing scientific, technological and social endeavours, the role

    33

  • 7/29/2019 ANUJ RANA

    34/105

    of research and development (R&D) cannot be overstated. We believe innovation is necessary

    to generate new ideas, in design quality and process control, in technical assistance to

    production and customers, or just pure research.

    FINANCIAL INFORAMTION

    Profit & Loss Account

    Particulars

    FY

    2008

    FY

    2007

    FY

    2006

    FY

    2005

    FY 2004

    Gross Sales 16242.9 12737.0 9456.7 7853.9 6598.2Excise 1189.4 1034.3 864.7 719.5 649.4

    Net Sales 15053.5 11702.7 8592.0 7134.4 5948.8Domestic Sales 9102.1 7501.0 6304.7 5161.1 4766.3

    International Sales 5951.4 4201.7 2287.3 1973.3 1182.5

    Other Income 196.9 166.4 99.5 39.3 44.1Total Income 15250.4 11869.1 8691.5 7173.7 5992.9

    Expenditure

    Cost of materials 8158.9 6177.7 4443.7 3649.1 3118.5Manufacturing expenses 1597.0 1394.4 1171.0 929.6 841.4

    Selling, general and administrative expenses 3127.1 2054.0 1426.7 1313.3 1153.3Total Expenditure 12883.0 9626.1 7041.4 5892.0 5113.2

    PBIDTA 2367.4 2243.0 1650.1 1281.7 879.7

    Depreciation 513.4 381.4 326.2 237.5 255.8PBIT 1854.0 1861.6 1323.9 1044.2 623.9

    Interest 172.7 220.4 357.6 402.5 411.1PBDT 2194.7 2022.6 1292.5 879.2 468.6PBT 1681.3 1641.2 966.3 641.7 212.8

    Tax 392.4 431.6 179.0 160.6 -19.4PAT 1288.9 1209.6 787.3 481.1 232.2

    Share of Profit / (Loss) in Associate 0.00 0.00 -8.9 -0.3 0.00Minority Interest 7.8 -17.7 4.0 0.00 0.00PAT after share of profit / loss in associate

    and minority interest

    1296.7 1191.9 782.4 480.8 232.2

    34

  • 7/29/2019 ANUJ RANA

    35/105

    Balance Sheet

    Particulars FY 2008 FY 2007 FY 2006 FY 2005 FY 2004

    SOURCES OF FUNDS

    Shareholders Fund

    Share Capital 142.5 129.6 117.3 73.3 73.3Reserves & Surplus 8114.8 4915.3 1980.7 1408 1033.5Total Shareholders Fund 8257.3 5044.9 2098 1481.3 1106.8

    Deferred Tax Liabilities (Net) 1042 857.9 741.7 564.1 307.9Minority Interest 150.9 50.5 39.1 0.00 0.00Loan Funds

    Secured Loans 3344.9 2056.2 3857.7 3473.2 2584.9

    Unsecured Loans 3875.4 1662.6 352.3 655.9 831.1Total Loan Funds 7220.3 3718.8 4210 4129.1 3416

    Total Sources 16670.5 9672.1 7088.8 6174.5 4830.7

    APPLICATION OF FUNDS

    Total Fixed Assets 11531.3 7268.8 4950.1 4244.4 3273.2

    Investments 2.2 2.1 0.00 161.8 84.2Current Assets, Loans &

    AdvancesInvestories 3116.9 1937.5 1314.3 1350 1030.2Sundry Debtors 2479.2 1765.3 1421 815.2 768.8Cash & Bank Balances 1389.6 375.7 227.5 106.3 101.5Loans & Advances 1963.4 1219.9 768.7 760.3 550.4Total Current Assets, Loans &

    Advances

    8949.1 5298.4 3731.5 3031.8 2450.9

    Less Current Liabilities &

    ProvisionsLiabilities 2692.6 2222.8 1386.2 1079.7 880Provisions 1151.7 730 228.5 185 97.5Total liabilities & provisions 3844.3 2952.8 1614.7 1264.7 977.5

    Net Current Assets 5104.8 2345.6 2116.8 1767.1 1473.4

    Miscellaneous Expenditure (to 32.2 55.6 21.9 1.2 0.00

    35

  • 7/29/2019 ANUJ RANA

    36/105

    the extent not written off or

    adjusted)

    Total Applications 16670.5 9672.1 7088.8 6174.5 4830.8

    JUBLIANT ORGANOSYS LIMITED TRAINING & DEVELOPMENT

    PROCEDURE

    TRAINING PROCESS

    36

  • 7/29/2019 ANUJ RANA

    37/105

    Model of the Training Process

    STEP1: Need Analysis

    Identification of Training Need:

    1.1 For Executive: Key duties & responsibilities are mentioned position wise, after that

    required competency to carry out those duties & responsibilities which are mentioned

    (generic, behavioral & technical). Thereafter competence level of each individual is taken.

    1.2 For workers: It is recommended by the concerned H.O.D.

    1.3 Organizational Need Basis: It is recommended by H.O.D. HR

    STEP 2: Training Design:

    Preparation of Training Calendar:

    Yearly calendar

    37

    NEEDANALYSIS

    DESIGN(TRAININGMETHODSEXAMINED)

    DEVELOPMENT(TRAININGMETHODAPPLIED)

    EVALUATION

    IMPLEMENTATION

  • 7/29/2019 ANUJ RANA

    38/105

    Monthly training calendar

    2.2 Identification of Training Faculty:

    According to the training program, training faculty is identified

    STEP 3: Training Implementation:

    3.1 Imparting Training

    a) As per training need attached nomination are received from concerned HOD for

    seminar/external specialized training program. Approvals are to be obtained for the

    training programs (out house training ) from H.O.D. HR

    b) Attendance sheet is filled during the training program.

    c) Training feedback is obtained at the end of the training program.

    STEP 4: Training Evaluation

    Training evaluation is to be made on the basis of the feedback given by the HOD. This is to be

    done within 3 months after the training. Then the training records are maintained.

    38

  • 7/29/2019 ANUJ RANA

    39/105

    Results and conclusions

    The training need of the executives and workers were found with recommendation from HODs

    and analysis of their job responsibilities.

    The needs identified were associated with the competencies which the employees need to

    develop to effectively to carry out their job responsibilities.

    The training also aims to honor their existing skills to work in a productive manner. The

    training imparted is not just limited to the technical specification of their work but also one of

    its objectives was to develop the personality and attitude in the employees. This was done to

    39

    NEEDANALYSIS

    CONDUCT OFTHE SESSIONS

    TRAININGEVALUATION

    DESIGNINGTHE PROGRAM

  • 7/29/2019 ANUJ RANA

    40/105

    keep in mind the comprehensive nature of the training imparted and increased emphasis on the

    human resource of the company.

    For the period April 07-Mar 08 the number of training programs were only 84, But for the

    period Apr07-Mar08 the number of training programs have been increased to 200 with more

    emphasis on the safety training .Out of these 200 programs 40% were of safetytraining, 2% for

    Induction training, 16% for IT training, 12% for behavioral training, 15% for Core function

    training.

    Some of the findings from the TNI exercise are as follows:

    It was found that in the company safety is the top priority as the training programs for

    safety are maximum i.e. 40%.

    It was also seen that the thrust on training for quality improvement was a lot sighting.

    It reveals the fact that the organization is pretty open to new techniques of production

    which are also environment friendly.

    The thrust by executives on behavioral training and that of workers on technical was quite

    understandable.

    The analysis of training calendar gives the following results:

    The total number of employees trained for the year AprO8- March 08ound 3931 covering a

    total of 25840 hours and 3230 number of man days (1 man day = 8 hours).

    The man days planned for this period were 3800 of which 85% were achieved.

    Purpose of Training

    Successful candidates placed on the job needs training to perform their duties effectively.

    Workers must be trained to operate machines, reduce scrap and avoid accident.

    40

  • 7/29/2019 ANUJ RANA

    41/105

    After an employee is selected, placed and introduced he or she must be provided with training

    facilities. Training is the act of increasing the knowledge and skill of an employee for doing a

    particular job. Training is a short-term educational process and utilizing a systematic and

    organized procedure by which employees learn technical knowledge and skills for a definite

    purpose. Dale S. Beach define the training as "... the organized procedure by which people

    learn knowledge and/or skill for a definite purpose.

    In other words training improves, changes, moulds the employee's knowledge, skill, -behavior,

    aptitude, and attitude towards the requirements of the job and organization. Training refers to

    the teaching and learning activities carried on for the primary purpose of helping members of

    an organization, to acquire and apply the knowledge, skills, abilities and attitudes needed by a

    particular job and organization.

    It is not only the workers who need training. Supervisors, managers and executives also need to

    be developed in order to enable them to grow and acquire maturity of thought and action.

    Training and development constitute an ongoing process in any organization.

    In simple terms, training and development refer to the imparting of specific skills, abilities and

    knowledge to an employee. A formal definition of training and development is:

    It is any attempt to improve current or future employee performance by increasing an

    employees ability to perform through learning usually by changing the employees or

    increasing his or her skills and knowledge. The need for training and development is

    determined by the employees performance deficiency, computed as follows:

    Training and Development Need = Standard Performance Actual Performance

    In the modern corporate environment, the necessity of training may arise for different reasons

    as follows:

    41

  • 7/29/2019 ANUJ RANA

    42/105

    Achieve higher productivity

    Reduce supervision time

    Develops the potential ability of workmen

    Minimizes spoilage and wastage of material

    Improve the efficiency of work performance by employees

    Adopt the existing methods and techniques to changing needs

    Enables existing employees and recruits to undertake operations involving new

    technology

    Creating a pool of readily available & adequate replacements for personnel who may

    leave/move up in the organization.

    Enhancing the companys ability to adopt & uses advances in technology because of a

    highly knowledgeable staff.

    Building a more efficient, effective & highly motivated team, which enhances the

    companys competitive position & improves employee morale.

    Ensuring adequate human resource for expansion into new programme.

    Objectives of Training:

    Generally line managers ask the personnel manager to formulate the training policies. The

    personnel Manager formulate the following training objectives in keeping with the Company's

    goals and objectives:

    (a) To prepare the employee both new and old to meet the present as well as the changing

    requirements of the job and the organization.

    (b) To prevent obsolescence.

    42

  • 7/29/2019 ANUJ RANA

    43/105

    (c) To impart the new entrants the basic knowledge and skill they need for an intelligent

    performance of definite job.

    (d) To prepare employees for higher level tasks.

    (e) To assist employees to function more effectively in their present positions by exposing

    them to the latest concepts, information and techniques and developing the skills they will need

    in their particular fields.

    (f) To prepare them to occupy more responsible positions.

    (g) To develop the potentialities of people for the next level job.

    (h) To ensure smooth and efficient working of a department.

    (i) To ensure economical output of required quality.

    (j) To promote individual and collective morale, a sense of responsibility, co-operative attitudes

    and good relationships.

    In other words, the various objectives of Training & Development are as follows:

    Lowers the absenteeism

    Increases the job satisfaction

    Improves the employees self-esteem

    Improve the quality of product

    Lowers the cost of wastage and equipments maintenance

    Assist employees to perform their task more efficiently

    Impart the knowledge of skill performance of tasks to new entrants

    Bridges the gap between the existing performance and potential performance.

    43

  • 7/29/2019 ANUJ RANA

    44/105

    Planning & Training Activities:

    The following steps must form the basis of any training activity:

    Determine the training needs & objectives.

    Translate them into programme that meets the needs of the selected trainees.

    Evaluate the results.

    Training should be seen as a long-term investment in HR using the equation given below:

    Performance = (ability) (motivation)

    Training can have an impact on both these factors. It can heighten the skills & employees

    ability & their motivation by increasing their sense of commitment & encouraging them to

    develop & use new skills. It is a powerful tool that can have a major impact on both employee

    productivity & morale, if properly used.

    McGhee & Thayer recommend the following 3-tier approach to determine the training

    needs:

    1. Organizational Analysis :

    It is to determine where training emphasis should be placed within the organization.

    2. Operational analysis :

    It is to decide what the training should consist of requiring a study of what a person

    should be taught if he is to perform his task with the maximum effectiveness.

    3. Man analysis:

    It is to determine who needs to be trained & what skills, knowledge or attitudes should be

    augmented / improved.

    44

  • 7/29/2019 ANUJ RANA

    45/105

    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.

    45

  • 7/29/2019 ANUJ RANA

    46/105

    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 trainees 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

    46

  • 7/29/2019 ANUJ RANA

    47/105

    is aware what is to be achieved in the end then hell 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.

    1. Models of Training

    Training is a sub-system of the organization because the departments such as, marketing &

    sales, HR, production, finance, etc depends on training for its survival. Training is a

    transforming process that requires some input and in turn it produces output in the form of

    knowledge, skills, and attitudes (KSAs).

    THE TRAINING SYSTEM

    A System is a combination of things or parts that must work together to perform a particular

    function. An organization is a system and training is a sub system of the organization. The

    System Approach views training as a sub system of an organization. System Approach can be

    47

  • 7/29/2019 ANUJ RANA

    48/105

    used to examine broad issues like objectives, functions, and aim. It establishes a logical

    relationship between the sequential stages in the process of training need analysis (TNA),

    formulating, delivering, and evaluating. There are 4 necessary inputs i.e. technology, man,

    material, time required in every system to produce products or services. And every system must

    have some output from these inputs in order to survive. The output can be tangible or intangible

    depending upon the organizations requirement. A system approach to training is planned

    creation of training program. This approach uses step-by-step procedures to solve the problems.

    Under systematic approach, training is undertaken on planned basis. Out of this planned effort,

    one such basic model of five steps is system model that is explained below. Organization are

    working in open environment i.e. there are some internal and external forces, that poses threats

    and opportunities, therefore, trainers need to be aware of these forces which may impact on the

    content, form, and conduct of the training efforts. The internal forces are the various demands

    of the organization for a better learning environment; need to be up to date with the latest

    technologies.

    The three model of training are:

    1. System Model

    2. Instructional System Development Model

    3. Transitional model

    2. 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.

    48

    http://traininganddevelopment.naukrihub.com/systematic-model.htmlhttp://traininganddevelopment.naukrihub.com/isd-model.htmlhttp://traininganddevelopment.naukrihub.com/transitional-model.htmlhttp://traininganddevelopment.naukrihub.com/systematic-model.htmlhttp://traininganddevelopment.naukrihub.com/isd-model.htmlhttp://traininganddevelopment.naukrihub.com/transitional-model.html
  • 7/29/2019 ANUJ RANA

    49/105

    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:

    LECTURES

    DEMONSTRATIONS

    DISCUSSIONS

    COMPUTER BASED TRAINING (CBT)

    o INTELLEGENT TUTORIAL SYSTEM(ITS)

    o PROGRAMMED INSTRUCTION (PI)

    o VIRTUAL REALITY

    Behavioral methods are more of giving practical training to the trainees. The various methods

    under Behavioral approach allow the trainee to behavior in a real fashion. These methods are

    best used for skill development.

    The various methods that come under Behavioral approach are:

    GAMES AND SIMULATIONS

    o

    BEHAVIOR-MODELING

    o BUSINESS GAMES

    o CASE STUDIES

    o EQUIPMENT STIMULATORS

    49

    http://traininganddevelopment.naukrihub.com/methods-of-training/lectures.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/lectures.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/demonstrations.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/discussions.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/computer-based-training/index.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/computer-based-training/its.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/computer-based-training/programmed-instruction.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/computer-based-training/virtual-reality.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/index.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/behavior-modeling.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/business-games.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/case-studies.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/equipment-stimulators.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/lectures.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/demonstrations.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/discussions.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/computer-based-training/index.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/computer-based-training/its.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/computer-based-training/programmed-instruction.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/computer-based-training/virtual-reality.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/index.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/behavior-modeling.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/business-games.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/case-studies.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/equipment-stimulators.html
  • 7/29/2019 ANUJ RANA

    50/105

    o IN-BASKET TECHNIQUE

    o ROLE PLAYS

    Both the methods can be used effectively to change attitudes, but through different means.

    Another Method is MANAGEMENT DEVELOPMENT METHOD

    MANAGEMENT DEVELOPMENT

    The more future oriented method and more concerned with education of the employees. To

    become a better performer by education implies that management development activities

    attempt to instill sound reasoning processes.

    Management development method is further divided into two parts:

    ON THE JOB TRAINING

    The development of a managers abilities can take place on the job. The four techniques for on-

    the job development are:

    COACHING

    MENTORING

    JOB ROTATION

    JOB INSTRUCTION TECHNIQUE (JIT)

    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

    50

    http://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/in-basket-technique.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/role-plays.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/management-development.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/management-development.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/on-the-job-training/index.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/on-the-job-training/coaching.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/on-the-job-training/mentoring.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/on-the-job-training/job-rotation.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/on-the-job-training/job-instruction-technique.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/sensitivity-training.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/transactional-analysis.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/in-basket-technique.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/role-plays.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/management-development.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/on-the-job-training/index.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/on-the-job-training/coaching.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/on-the-job-training/mentoring.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/on-the-job-training/job-rotation.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/on-the-job-training/job-instruction-technique.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/sensitivity-training.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/transactional-analysis.html
  • 7/29/2019 ANUJ RANA

    51/105

    STRAIGHT LECTURES/ LECTURES

    SIMULATION EXERCISES

    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

    ofhuman 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.

    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.

    51

    http://traininganddevelopment.naukrihub.com/methods-of-training/lectures.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/index.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/index.htmlhttp://traininganddevelopment.naukrihub.com/organization.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/lectures.htmlhttp://traininganddevelopment.naukrihub.com/methods-of-training/games-and-simulations/index.htmlhttp://traininganddevelopment.naukrihub.com/organization.html
  • 7/29/2019 ANUJ RANA

    52/105

    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

    Steps in Training Programme:

    The figure outlines the important steps in a typical training process:

    52

    Organizational objectives &

    strategies

    Assessment of training needs

    Establishment of training goals

    Designing training programme

    Implementation of training

    programme

    Evaluation of results

    Figure-1

    http://traininganddevelopment.naukrihub.com/http://traininganddevelopment.naukrihub.com/
  • 7/29/2019 ANUJ RANA

    53/105

    1. Organizational objectives and strategies:

    The first step in the training process in an organization is the assessment of its objectives &

    strategies. What business are we in? At what level of quantity do we wish to provide this

    53

  • 7/29/2019 ANUJ RANA

    54/105

    product or service? Where do we want to be in the future? After assessing this organization

    can analyze the strength & weaknesses of its human resource.

    2. Needs assessment :

    Needs assessment diagnoses present problems& future challenges to be met through

    training & development.Organization spends vast sums of money on training &

    development. Before committing such huge resources, organizations would do well to

    assess the training needs of the employees. Needs assessment occurs at two levels: group

    & individual. An individual obviously needs training when his/her performance falls short

    of standards i.e. when there is performance deficiency. Inadequacy in performance may be

    due to lack of skills or knowledge, faulty selection, poor job design or some personal

    problems may also result in poor performance.

    Figure-2

    Assessment of training needs must also focus on anticipated skills of an employee. Technology

    changes fast & new technology demands new skills. It is necessary that the employee be trained

    to acquire new skills. Individuals may also require new skills because of possible job transfers.

    Assessment of training needs occurs at the group level too. Any change in the organization

    strategy necessitates training of group of employees.

    3. Designing training & development programme

    54

    PERFORMANCE DEFICIENCY

    LACK OF SKILL OR KNOWLEDGE

    KNOWLEDGE

    OTHER CAUSES

  • 7/29/2019 ANUJ RANA

    55/105

    Every training & development programmes must address certain vital issue:

    Who participates in the programme?

    Who are the trainers?

    What methods & techniques are to be used for training?

    What should be the level of training?

    What learning principles are needed?

    Where is the programme conducted?

    a) Who are the trainees? Trainees should be selected on the basis

    of self nomination, recommendations of the supervisors or by the HR department itself.

    b) Who are the trainers? T&D programmes may be conducted by

    several people including the following:

    Immediate supervisors

    Co-workers

    Members of the personal staff

    Outside consultants

    Industry associations

    Faculty members at universities.

    Large organizations generally maintain their own training departments whose staff

    conducts the programmes.

    c) Methods & techniques of training: A multitude of methods of

    training are used to train employees. Training methods are categorized into 2 groups (i)

    55

  • 7/29/2019 ANUJ RANA

    56/105

    on-the-job & (ii) off-the job methods. On the job methods refer to methods that are

    applied in the workplace,

    d) While the employee is actually working. Off the job methods are

    used away from workplaces. Training techniques represent the medium of imparting

    skills & knowledge to employees. Thus training techniques are the means employed in

    the training methods. The most commonly used techniques are lectures, films,

    audiocassettes, role playing, video tapes etc.

    e) Level of training: It is important to decide the level of learning.

    The inputs passed on to trainees in T & D programmes are education, skills & the like.

    There are 3 basic levels at which these inputs can be taught. At the lowest level the

    employee must acquire fundamental knowledge i.e. developing a basic understanding of

    a field. The goal of the next level is skills development. The highest level aims at

    increased operational proficiency.

    f) Learning principles : Training & Development programmes are

    more likely to be effective when they incorporate the following principles of learning:

    Employee motivation

    Recognition of individual differences

    Practice opportunities

    Reinforcement

    Transfer of learning

    Goals

    Feedback

    56

  • 7/29/2019 ANUJ RANA

    57/105

    g) Conduct of training: A final consideration is where the training &

    development programme is to be conducted. The decisions comes down to the following:

    At the job itself

    On site but not the job- e.g. in a training room in the

    company

    Off the site- e.g. in a university/college

    classroom/hotel/resort/conference centre.

    4) Implementation of the training programme :

    Once the training programme has been designed, it needs to be implemented. Implementation

    is beset with certain problems. In the first place, most managers are action-oriented & secondly,

    availability of trainers is a problem. Training & development requires a higher degree of

    creativity than, perhaps, any other personnel specialty.

    Programme implementation involves action on the following lines:

    Deciding the location & organizing training & other facilities

    Scheduling the training programme

    Conducting the programme

    Monitoring the progress of trainees.

    5) Evaluation of the programme :

    This is the last stage in the T&D process. Since huge sum of money are spent on T &D

    programme, how far the programme has been useful must be judged. Evaluation helps

    determine the results of the training & development programme. In practice, however,

    organizations either overlook or lack facilities for evaluation.

    Essentials of a good Training Programme:

    57

  • 7/29/2019 ANUJ RANA

    58/105

    Organization of training programme

    Planning the programme

    Selection of trainees &instructors

    Adherence to principles of learning