HRM 603

Individual Term Paper

Training Needs Analysis (TNA) in the Organization

Submitted to:

Dr. Kamal Uddin Ahmed

Course Instructor
Department of Master of Business Administrator
North South University

Submitted by

Syeda Shotorupa Zafar

ID: 151 2772 660
Course: Training and Development
Fall 2016
Department of Master of Business Administrator Date of Submission: 17 November
North South University
2016
 Letter of Transmittal

17 November 2016

To

Dr. Kamal Uddin Ahmed

Faculty Member

MBA Department

North South University

Subject: Submission of term paper on Training Needs Analysis (TNA) in the organization

Dear Sir,

I have completed my individual term paper on Training Needs Analysis in the organization
as per course requirement of HRM 603. I have completed my analysis through necessary
research from internet, training and development books, journals and your class lectures.

My efforts will be valued; if this term paper serves the purpose for what it has been assigned.

Thank you.

Sincerely,

__________________________

Syeda Shotorupa Zafar

ID: 151-2772-660

MBA, North South University

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 Acknowledgement

The whole report was based on Training Needs Analysis in the organization in the light of
the course Training and Development (HRM- 603), results from considerable intellectual and
moral support given by our honorable course teacher, Dr. Kamal Uddin Ahmed, School of
Business in North South University. Over the last two months, he has been our guide from
whom I got the inspiration and guidance to learn Training and Development. I strongly
believe work like this one will surely help me to develop & make me better adapted as well
as capable to cope with that type issues in todays world.

Moreover, I would like to remember the almighty Allah for blessing me with the strength,
ability and patience to do this task.

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 Executive Summary

Training is the process of gaining skills (competencies) and knowledge to perform an activity
effectively. Training usually has a practical focus. Rarely does someone walk into a job with
all the skills, knowledge and attributes required to do their work to an optimum level from
day one. Often there is a requirement for some form of training or knowledge development.
Training and development is also useful to up-skill your existing employees into higher
positions or to take on different roles in your business. Training is an investment in your
business and can lead to increased productivity, enthusiastic staff, higher morale, increased
profit and a positive business reputation. Manager needs to determine what training
employees need, particularly new employees, to ensure that they are able to complete the
work you need them to do. This process is commonly referred to as a training needs analysis
(TNA).

A TNA will help an organization to identify what training might be required to bridge the gap
between an employees current skill level and the skill level that you need them to have. To
make sure your training investment is properly targeted, consider:

The role of each staff member and what you want them to achieve and contribute to your
business; and

Whether each staff member has the skills and knowledge to do what you need them to
do. If not, identify what skills or knowledge they need and put in place training in these
areas to up skill them

A TNA can be applied across the business, from individual staff members to whole
departments. Training needs analysis is a systematic process of understanding training
requirements. It is conducted at three stages - at the level of organization, individual and the
job, each of which is called as the organizational, individual and job analysis. Once these
analyses are over, the results are collated to arrive upon the objectives of the training
program. Another view of the training need is that, it is the discrepancy between what is and
what should be. Taking cues from this the world bank conducted a needs analysis and
arrived upon the conclusion that many of its units in eastern regions of Europe required
transformation from state owned business to self sustaining organizations.

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Table of Contents
1. Introduction ..................................................................................................................................... 1
2. How conducting Training Needs Analysis (TNA): ........................................................................ 2
2.1. Establishing the Objectives: .................................................................................................... 2
2.2. Reviewing past and current Training Programs: ..................................................................... 3
2.3. Analyzing the Job Functions: .................................................................................................. 3
2.4. Categorizing the types of Training needed: ............................................................................ 3
2.5. Design and Implementation of Training Needs Survey: ......................................................... 3
2.6. Communicating the results of Higher Management: .............................................................. 3
3. Types of Training Needs Analysis: ................................................................................................. 4
3.1. Proactive Training Needs Analysis: ........................................................................................ 4
3.2. Reactive Training Needs Analysis: ......................................................................................... 5
4. Framework of Training Needs Analysis: ........................................................................................ 6
4.1. Trigger Point of Performance (AP<EP): ................................................................................. 6
4.2. Input of Training Needs Analysis: .......................................................................................... 7
4.2.1. Organizational Analysis: ................................................................................................. 7
4.2.2. Operational Analysis: ...................................................................................................... 8
4.2.3. Person Analysis:.............................................................................................................. 9
4.3. Process-Performance Discrepancy (Performance Gap): ......................................................... 9
4.4. TNA Outcomes: .................................................................................................................... 10
4.4.1. Training Need: .............................................................................................................. 10
4.4.2. Non-Training Need: ...................................................................................................... 10
5. Conclusion: ................................................................................................................................... 11
6. References ..................................................................................................................................... 12
6.1. Text Book: ............................................................................................................................ 12
6.2. Lecture Notes: ....................................................................................................................... 12
6.3. Personal Interview: ............................................................................................................... 12
6.4. Internet: ................................................................................................................................. 12
7. Appendices:................................................................................................................................... 13
7.1. Model 1 of Process when Performance Discrepancy is identified: ....................................... 13
7.2. Model 2 of Process when Performance Discrepancy is identified: ....................................... 14
 1. Introduction

Today's work environment requires employees to be skilled in performing complex tasks in

an efficient, cost-effective, and safe manner. Training (a performance improvement tool) is
needed when employees are not performing up to a certain standard or at an expected level of
performance. The difference between actual the actual level of job performance and the
expected level of job performance indicates a need for training. The identification of training
needs is the first step in a uniform method of instructional design.. A successful training
needs analysis will identify those who need training and what kind of training is needed. It is
counter-productive to offer training to individuals who do not need it or to offer the wrong
kind of training. A Training Needs Analysis helps to put the training resources to good use.

Training Needs Analysis (TNA) is the process of

identifying training needs in the organization for
the purpose of improving employee performance.
It is a systematic method for determining what
caused performance to be less than expected or
required. Manager must know what kind of skills,
abilities and knowledges need to the employees of
his organization. Main focus of training needs analysis is to improve the performance of the
employee. TNA helps to identify if the employee deficiency can be corrected through training
or not. Actually TNA tries to determine the consistency of employee performance. It
increases chances that time and costs spent in training can be spent wisely. So analyzing what
the training needs are is a vital prerequisite for any effective training program or event.
Simply throwing training at individuals may miss priority needs, or even cover areas that are
not essential. TNA enables organizations to channel resources into the areas where they will
contribute the most to employee development, enhancing morale and organizational
performance. TNA is a natural function of appraisal systems and is key requirement for the
award of Investors in People. Effective TNA involves systematic planning, analysis and
coordination across the organization, to ensure that organizational priorities are taken into
account, that duplication of effort is avoided and economies of scale are achieved. All
potential trainees should be included in the process, rather than rely on the subjective
evaluation of managers. Ideally, managers should also receive training in the process of TNA
itself, to clarify what they are trying to achieve and what their approach should be.

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 2. How to conduct a Training Needs Analysis (TNA):

Everyone recognizes the importance of training in improving the quality and productivity of
our workforce. Unfortunately, training is often done in a haphazard manner. There must be a
systematic way of knowing where to allocate our limited training budget to the areas that
need improvement the most. Training needs analysis (TNA) addresses the problem of
methodically discerning the actual gaps in the needed skills of the work force. According to
the vice president at corporate banking in HSBC Bangladesh:

Training Need Analysis (TNA) is important to understand the training and development
needs of employee, so they can perform efficiently and effectively.

On the basis of these important characteristics, Here are some ways of how successfully
conduct TNA in the organization:

Establishing the Objectives

Reviewing Past and Current Training Programs

Analyzing the Job Functions

Catagorizing the types of Training Needed

Design and Implementation of Training Needs Survey

Communicating the results of Higher Management

Figure 1: How conduct a Training Needs Analysis (TNA)

2.1. Establishing the Objectives:

Some of the things that will set the parameters here are the budget for the training, and the
present and future plans of the company in relationship to their manpower skills
requirements. It is essential to set objectives in order to know how effective the training is.

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 2.2. Reviewing past and current Training Programs:

It is imperative to check what current training activities are being implemented in order to
have coordination and to avoid duplication of efforts. Reviewing past performance must be
done to learn about their strengths and weaknesses in order to make the current program more
effective.

2.3. Analyzing the Job Functions:

It would be foolish to look for something that is not related to the job description of the
person. Company would not consider a lack of accounting skills in a person who is just
limited to keeping the office clean. Still, these are points that must be carefully probed
because what is written may not exactly match the actual job function. Even tasks written in
the job description may need to be clarified. In this stage, preliminary observations may be
made.

2.4. Categorizing the types of Training needed:

For best results, training should be adapted to the type of training needs. One way to do this is
by examining the individual, occupation, and organizational level capabilities and needs. For
example, technical training may mean just enough concepts to enable management to
communicate regarding the matter.

2.5. Design and Implementation of Training Needs Survey:

HR Manager must know how to go about the process of gathering relevant information. The
correct survey questions are critical, as well as the manner of obtaining the data. There are
cases that need a personal interview and instances where filling up a form will do.

2.6. Communicating the results of Higher Management:

In many cases the conclusions must be presented in the proper format so that higher
management can more easily grasp the correctness and importance of the suggestions. This is
crucial to have the program approved. Training needs analysis is the first step in starting an
effective training program.

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 3. Types of Training Needs Analysis:

The focus of training needs analysis is typically job performance. If people lack the
knowledge or skills necessary to perform successfully the various tasks which comprise their
jobs organization needs to identify the training need.

Types of
Training Needs
Analysis

Proactive Reactive
Training Needs Training Needs
Analysis Analysis

Figure 2: Types of Training Needs Analysis

3.1. Proactive Training Needs Analysis:

Proactive TNA is strategic and carefully planned without a definite problem as the focus. It is
used to deliver new techniques or processes to employees, as well as strengthen existing
expectations.

Proactive TNA happens when the weaknesses of a work force are unknown and it
helps indicate where help is needed.

Proactive TNA focuses on the creation of the training plan. The proactive approach
begins with an assessment of the training needs.

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 The proactive TNA focuses on future human resource requirements. The HR function
needs to be involved in the development of a strategic plan (SWOT analysis). From
the resulting unit objectives, HR must develop unit strategies and tactics to be sure the
organization has employees with the required KSAs (Knowledge, Skills and
Attitudes) in each of the critical jobs based on future KSA requirements. Two
approaches can be taken to develop needed KSAs:

1. Prepare employees for promotions/ transfers to different jobs.

2. Prepare employees for changes in their current jobs.

3.2. Reactive Training Needs Analysis:

Reactive TNA happens when a specific problem is

pinpointed. For instance, if a worker's performance
problem is evident, reactive TNA is used to correct that
specific issue.

Reactive TNA occurs when a problem is already

obvious, creating the need for specialized
training to correct the specific problem.

Deficiency approach or reactive TNA The focus of training needs analysis is job
performance. If people lack the knowledge or skills necessary to perform successfully
the various tasks which comprise their jobs we have identified training need. If
another factor is hindering performance, such as faulty equipment or low morale, we
have identified another type of need. We concentrate on job performance because it is
observable and because it synchronizes with the behaviorist model of learning which
figures so prominently in most thinking about training.

Reactive approach may be required at times as strategic plans are not meant to be
unchangeable and day to day issues develop that were not anticipated in the strategic
planning process.

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4. Framework of Training Needs Analysis:

Figure 3: Framework of Training Need Analysis

4.1. Trigger Point of Performance (AP<EP):

Figure 4: Actual Performance < Expected Performance

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 4.2. Input of Training Needs Analysis:

Person
Analysis

Operational
Analysis

Organizational
Analysis

Figure 5: Input of Training Needs Analysis

4.2.1. Organizational Analysis:

Organizational analysis involves looking at the internal environment of the organization-

Influences that could affect employee performance

Determine its fit with organizational goals and objectives.

An examination of how the internal environment affects job performance

Identifies constraints on training

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This type of assessment analyzes the effectiveness of the organization as a whole and
identifies any discrepancies. It is used to uncover the competencies, knowledge and skills that
are needed by the company to bridge any gaps. Organizational analysis also takes into
account external factors such as the economy, environmental policies, technological advances
and changing workforce demographics. This analysis determines where training is needed,
how it will be conducted and when.

Organizational analysis answers two critical development planning questions:

Where in the organization is training required?

Will the training be effective if implemented (fill the gaps)?

4.2.2. Operational Analysis:

Operational analysis examines specific jobs to determine the requirements KSAs

(Knowledge, Skills and Attitudes) necessary to get the job done (expected job performance).
This process is generally called a job analysis (content of Job and Job Requirements).

The operational analysis gathers information about a particular job function or

occupational group.
This analysis identifies the key tasks, competencies and skills required to perform the
job at the most efficient level.
Using job descriptions, skill analyses and job inventory questionnaires these
assessments are used to discover specific training needs.
This type of analysis is particularly useful if an organization is moving in a new
direction or undergoing restructuring.
Again, the assessment is used to determine if there are any gaps between existing
competencies and those needed for improved performance.

Operational Analysis answers the following planning question:

What skills and/or behaviors must be acquired in this job function?

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 4.2.3. Person Analysis:

Person analysis examines those who occupy the jobs to see whether they possess the
required KSAs necessary to do the job.

The individual assessment focuses on a particular employee to discover how well they
are performing.
This type of assessment determines the individuals existing skills and competencies,
their learning style and capacity for new work.
The individual analysis identifies who within the organization requires training and
what kind of training is needed. 360 degree evaluations are useful as individual
assessments as they identify the employees strengths and areas for improvement in
regards to competencies, skills and behaviors.
The individual analysis forms the basis for the creation of a customized training.

These assessments answer the following key development questions:

Does the employee have the necessary skills?

What training is required for the employee to acquire the necessary skills?

4.3. Process-Performance Discrepancy (Performance Gap):

Performance gap is the difference between required and existing skill levels. The word
"skill" is generic in this case - it includes the knowledge, skills, attitude and aptitude required
to undertake the activity efficiently and effective (Appendix 7.1 and 7.2).

Figure 6: Performance Gap

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 4.4. TNA Outcomes:

The two outcomes of Training Need Analysis are:

Training Needs
Non Training Needs

Figure 7: Training Needs and Non Training Needs

4.4.1. Training Need:

Training need expose a performance gap, and the gap can be filled with training. It exists
when the employee does not know how to do the job. It is a lack of Knowledge, Skills, and
Attitudes.

4.4.2. Non-Training Need:

Non-training need expose a gap; however this gap cannot be filled (or fixed) with training. It
might encompass: workflow, recruitment, or job design. Employees know how to do the job,
but something else affects their performance.

So, this is all about the framework of training need analysis in an organization. When the
Actual Performance in an organization is less than the expected performance than the need of
training is occurred. But before providing training to the employees, Training Need Analysis
is essential for all type of organizations.

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 5. Conclusion:

Training needs discovered in one department are likely to exist in others. It is pointless for
individual managers to throw their own limited resources at each problem as it arises,
duplicating efforts and dissipating energy. Most organizations have a personnel function
which organizes training delivery. Training needs often appear at the organizational or
activity level. For example, the arrival of a new office or workshop equipment may well have
training implications for everyone using it. Alternatively, an organization that decides to
enhance its level of customer service as part of a corporate strategy knows that a program of
training and development is essential for its success. Active monitoring systems are essential
to spot these and can make a valuable contribution to the process of collecting information on
performance gaps and training needs. Consider whether the training needs can be met by
using internal expertise or whether external assistance will be necessary. Besides, Training is
an expensive process not only in terms of the money spent on it but also the time and the
other resources spent on the same. The most important question therefore is determining
whether or not a need for training actually exists and whether the intervention will contribute
to the achievement of organizational goal directly or indirectly. This depends on training
needs analysis which is the first step in the entire process of training and development.

Managers should avoid:

Making snap assumptions about performance problems

Organizing training without first establishing a need.

Taking a one size fits all approach. A course which one person found helpful will not
necessarily meet the needs of a diverse group of individuals.

Focusing on obvious training needs at the expense of those which may only be
discovered through systematic monitoring.

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6. References

6.1. Text Book:

P. Nick Blanchard, James W. Thacker, V. Anand Ram (2010), Effective

Training, 4th Edition, Chapter 4: Need Analysis, Page 102-146

6.2. Lecture Notes:

HRM 603 class lecture notes, Dr. Kamal Uddin Ahmed, North South
University, Bangladesh.

6.3. Personal Interview:

Nashid Hassan, Vice President, Corporate Banking, HSBC Bangladesh

6.4. Internet:

1. http://www.hr-guide.com/data/G510.htm

2. http://www.london.ac.uk/fileadmin/documents/staff/staff_development/tna.pdf

3. http://www.businesscoachphil.com/understanding-the-importance-of-training-needs-
analysis

4. https://www.academia.edu/9367041/Proactive_vs_reactive_TNA

5. http://www.emeraldinsight.com/doi/abs/10.1108/03090599410056577

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7. Appendices:

7.1. Model 1 of Process when Performance Discrepancy is identified:

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7.2. Model 2 of Process when Performance Discrepancy is identified:

14