TRAINING INDUSTRY ANALYSIS

SUBMITTED BY:
NISCHAL UPRETI
 Table of Contents
YOGA TRAINERS MARKET ANALYSIS .........................................................................................................................3
IT INDUSTRY MARKET ANALYSIS ...............................................................................................................................7
ARTIFICIAL INTELLIGENCE IN INDIA ......................................................................................................................... 10
BIG DATA ANALYTICS ............................................................................................................................................. 14
LEADERSHIP TRAINING COMPANIES IN INDIA ......................................................................................................... 18
BUSINESS MODEL OF A CORPORATE FIRM .............................................................................................................. 31
GLOBAL TRAINING TREND ANALYSIS ...................................................................................................................... 32
USA Training Trend Analysis ................................................................................................................................... 37
UAE Training marketplace ...................................................................................................................................... 43
YOGA TRAINERS MARKET ANALYSIS
Introduction
For many of us yoga is equivalent to mental and physical well-being. But for a growing tribe this ancient Indian
discipline has turned into a source of income. The craze for yoga is growing on the back of a boom in wellness and
fitness sector. And since the inception of International Day of Yoga on June 21, 2015 yoga has received a leg up.

From yoga studios to yoga accessories or demand for yoga teachers, yoga becomes the flavour of the season,
especially during June-July. According to media reports, the estimated value of yoga industry globally is at around
$80 billion. In India, the value of wellness industry has crossed Rs 85,000 crore. Yoga industry in the US is expected
to become a $11.5 billion industry by 2020.According to statistics and studies portal Statista, the US had 37 million
people practicing yoga by the end of 2015 as against 17 million in 2008. This number is expected to increase to 55
million by 2020.Classes are the main source of revenue for the industry. Just over 50 per cent of the revenue of
yoga and pilates products and services market in the US was generated from yoga classes in 2015," Statista says in
a report.

Industry Insights
The Yoga industry has found a strong footing in the wellness industry. 2018 has ensured that Yoga and associated
terms have made it to the top of web search results. Over the years, the number of practitioners has increased
and the trend continues, making a conscious shift towards Yoga, meditation and personal well-being. These
statements stand true as a global testament to this industry. According to global statistics, the number of Yoga
practitioners is predicted to rise to a staggering 55 million people, by 2020 in the USA alone.
The increase of interest in yoga has largely been fuelled by the healthcare industry. Yoga has increasingly been
used as therapy, for both physical and mental ailments.

The key reason for the widespread popularity of Yoga is the diversity of long-term benefits associated with the
practice. On a general note, it is widely agreed that regular yoga practice increases the quality of life. Besides
strengthening the practitioner, it provides them with better mental clarity, encouraging them to adapt to a
healthier way of life and making them balanced physically, mentally and emotionally.

India has made a more holistic shift towards Yoga and mindfulness with the Prime Minister initiative and schemes
nationwide. The recall of this ancient art form is reclaiming culture and heritage along with the benefits it has to
offer a modern-day society. In 2018, the NITI (National Institution for Transforming India) Aayog sought a hike in
the taxes levied on products like tobacco, alcohol and sweetened beverages while suggesting that Yoga should be
introduced as a regular activity in schools, universities, and corporations in a bid to revolutionize value education
and how we view health and self-care.

The Yoga segment of the wellness industry is set to ride the wave come 2019. Opening of new yoga studios, more
trainees and yoga instructors, the creation of hybrid forms of Yoga, the addition of Yoga as a practice to multiple
disciplines, yoga as aided therapy, preventive therapy, meditation as therapy, mindfulness philosophies are all
predicted to play larger roles in the lives of the larger population demographic. It has also found its way into the
travel & tourism industry, popularly known as ‘Yoga Tourism’. A sudden entry of concepts like Yoga retreats and
cruises in many Indian cities like Rishikesh, Goa, Kerala, Pondicherry, Kerala, Gokarna are home to a vast number
of Yoga schools and retreats, that cater to the various styles of Yoga and can be chosen to suit one’s budget needs.
Industrial change
• Yoga is predicted to be among the top fitness trends in 2019.

•The revenue of the USA yoga industry in 2020 is projected at $11.6 billion. The massive jump symbolizes rapid
growth and development of the fitness category.

•Yoga will positively influence therapies related to children and of individuals coping with learning disabilities and
other mental and physical ailments.

•Incorporation of modified forms of yoga in educational institutes and corporate establishments will be
witnessed.

•The years 2019 - 2020 are bound by the Yoga revolution that will change education, healthcare, and wellness
segments. Yoga will be reiterated as a boon to the modern-day world, physically, mentally and economically.

Yoga freelancer market insights

YOGA TRAINER DEMAND AND

SUPPLY IN 2019

500000
600000

400000 200000
200000

0
Requirement of trainers Trainer available

Consumer Willingness to Pay

25000
25000
20000 15000
15000
10000 5000
5000
0
Monthly shell out Monthly shell out Average Monthly
(Min) (Max) Shell out
 YOGA FREELANCER TRAINERS
Males Females

37%

63%

Consumer Market
3%

24%
34%

11%

28%

Professionals Business Students House wife others

Yoga practitioner as per age

16%
35% <21
21-45
>45
49%
Demand for Yoga trainers
The demand for yoga instructors has been growing at 30 to 35 per cent per annum, thereby, opening up arenas
for yoga certification academies and yoga schools. As the consumer becomes more aware, the industry is poised
to become more organized with the demand for professionally certified yoga trainers going up.

Mushrooming Yoga studios and innovation

The popularity of Yoga has opened up the sector to innovation and startups. Newer and Younger yoga studios, like
Zorba: A Renaissance Studio, have taken to spreading aggressively, tapping the demand for Yoga and moderating
it with the clients’ style.

Shooting sales of Yoga products, accessories

With the popularity of Yoga on the rise and with the celebration of International Yoga Day, the sales of Yoga mats
and other products like Yoga pants etc. have grown almost 50 per cent. The demand shoots up especially in June,
which is the month of International Yoga. This points to the scope of being actively involved in manufacturing and
selling these products.

Budding outdoor Yoga communities

While outdoor yoga communities have been an old practise with people getting together in parks and practising
Yoga, many have now started hiring Yoga trainers to conduct these sessions. The communities, hence, are seen
growing bigger, thereby, resulting in an increase in demand for Yoga trainers and also presenting an opportunity
for Yoga trainers and studios for building more such communities outdoor.
The market for Yoga is one full of opportunities and wider scope. While the practise originates from India, we are
yet to see India as the Number 1 market for Yoga. As more people venture into this, as more investments are
injected, and the demand for Yoga continues to grow, India may soon look at tapping the right potential in this
sector.
IT INDUSTRY MARKET ANALYSIS
• US L&D market stands at 100 billion USD of which 70 billion USD attributes to corporate training. US
corporate spending on L&D is growing over 10% YOY since 2008 and 2009 world economy recession.
• India training and development spend is just under 1 Billion USD per year.
• India Skills sector is expected to become an over $20bn market opportunity yearly
• 90% of the jobs in India are skill-based while only 6% trained workforce availability in India.
• Currently the system has the capacity to train only 3 million youth against 12 million entering the labour
force annually. So, there is huge demand for Trainers to make these people skilled.

India’s corporate spend on training is <2% of employee spends while most advanced countries spends anywhere
between 10 to 15% on the same. With India catching up fast to be 3rd largest economy by 2030 (as predicted by
IMF). If this is to be true, it is estimated that at least 100 Indian corporate giants to be evolved and be represented
in fortune 500 list, thus witnessing an unprecedented performance in coming decade.
This is nearly impossible unless corporate and retail training industry doesn’t grow in accordance. Thus, fuelled by
the huge demand in coming decade, Indian training industry has to inevitably form the back bone of this growth
story. There need to be solutions which can with stand that pace and demand.
A survey by the Institution of Engineering and Technology (IET) shows that nearly two thirds (65%) of mid-size
companies choose to impart soft-skill training over technical training to new employees. In comparison, only a
quarter of large-sized companies focus on soft skill development, and the remaining 75% prefer imparting technical
skill.

Another report for training landscape in India, covered over 120 large- and mid-sized companies across seven cities
shows that: About 45% of large-sized companies said they offer subsequent training opportunities to employees
at regular intervals, with the same percentage of mid-sized companies offering training only at the time of
induction. Overall, 35% of the companies surveyed said that offline methods of training are preferred as they
ensure employee attendance and are taken more seriously.

IT Training market scenario of India

IT Training Delivery Methods

40
35
Percentage

30
25
20
15
10
5
0
Instruc
Virtual Online Blende
ted
Classro Trainin d (Mix Others
Trainin
om g of all)
g
Small Company 32.67 8.99 22.01 31.99 4.34
Mid Size Company 32.93 12.58 21.88 31.25 1.37
Large Size Company 37.73 12.61 26.46 20.06 3.15
 IT Skills Market Size in Million USD
800
700
600
MARKET SIZE

500
400
300 2016
200 2017
100
2018
0

AXIS TITLE

Revenue Contribution of IT in various

Industries

BFSI
17%
Marketing & Advertising
38%
9%
Travel & Hospitality
12%
Pharma & Healthcare
24% E commerce

Talent Supply-Gap analysis

250000

200000

150000

100000

50000

0
2018 2021

Total Job openings Univeristy Talent

 Revenue per Employee(USD)
Series1

45000
44000 2019, 44033
43000
42000 2018, 42299
41000
2017, 40633
40000
39000 2016, 38772
38000
2015 2016 2017 2018 2019

Split of Training Demand by Region

20% 18%
North

4% South
East
West
58%

Top IT skills desired

Others

SAP ERP

Python/Ruby

Cloud Computing

Cyber Security

Hadoop

Mobile application development

.Net

Database Management

HTML/CSS/Web Development

Java

0 10 20 30 40 50 60 70 80
 Trends in Global IT spending
120

100

80

60

40

20

0
2014 2020 2025

Traditional technologies Digital Technologies

India Share in World IT spending

IT Services

Business Process…

Engineeering Research &…

Software Products

0 200 400 600 800 1000 1200 1400 1600

Engineeering Business
Software
Research & Process IT Services
Products
Development Management
India IT-BPM revenues 7 20 28 75
World IT-BPM Spends in US 386 1498 186 650

ARTIFICIAL INTELLIGENCE IN INDIA

Over the last two years, we have witnessed a steady increase in our percent of readership in India. Sometime in
2017, Bangalore became one of our largest sources of job applicants, and our single biggest city in terms of readers
– overtaking both London and NYC.

The Initiatives of the Indian Government Thus Far

Since the early 90s, the IT and ITeS services sector in India has been of tremendous importance to its economy
eventually growing to account for 7.7% of India’s GDP in 2016. In an attempt to capitalize on this foundation, the
current Indian administration announced in February 2018 that the government think-tank, National Institution
for Transforming India (NITI) Aayog (Hindi for Policy Commission), will spearhead a national programme on
AI focusing on research.
This development comes on the heels of the launch of a Task Force on Artificial Intelligence for India’s Economic
Transformation by the Commerce and Industry Department of the Government of India in 2017.
Just as Google, Oracle, Microsoft, and Amazon are battling to serve the cloud computing and machine learning
needs of the US government, the next three to five years may lead to a similar dynamic within India. As the Indian
government pushes for digitization and enacts more AI initiatives, private firms will flock to win big contracts –
adding to the pool of funds to develop new technologies and spin out new AI and data science-related startups.
The Current Challenges to AI Traction in India
Despite the initial enthusiasm for AI, there were also a few opinions from experts about a sense of unfulfilled
potential and that the country could be doing far more to adopt and integrate AI technologies.
Another common theme we heard often during our interviews was that – culturally speaking – the cost of failure
is much higher in India than the West. While failing in an attempt at bold innovation and grand goals might be seen
as noble or brave in Silicon Valley or New York City (or even Boston), failure often implies a loss of face in India and
some Asian countries. This has historically meant a lack of room for innovative experimentation.
Next Steps for AI Development in India
It may be another 2-5 years until AI adoption becomes mainstream in the Fortune 500 – and even that is only at
the level of pilots and initiatives, not of revolutionary results.
This “learning” phase – evident given the state of AI adoption the Western markets – may last longer in India’s
relatively underdeveloped economy.
Venture Capital in AI still in Early Stages
Co-founder of XLPAT Labs and member of India’s AI Task Force Komal Sharma specifically points out that even
some of the government projects have faced issues in terms of receiving funding for initiating AI pilot projects. She
seems to indicate that the current Indian AI and startup funding ecosystem is not mature enough to be comparable
to the US or even China.
Industries where AI has caused disruption

Artificial Intelligence (AI) is redefining industries by offering personalization, automating processes, and disrupting
how we work. In modern times, AI is embraced by every industry from healthcare to government. Here are the 10
industries where AI has caused a disruption.

1. Agriculture
The most popular applications of AI in agriculture range from robotics to crop and soil monitoring to predictive
analytics. Agriculture majors are developing autonomous robots programmed to handle routine agricultural tasks
such as crop harvesting at a higher volume human labourers. AI is deployed in crop and soil monitoring deploying
computer vision and deep learning algorithms to process data captured by drones and/or software-based
technology to monitor crop and soil health. Predictive Analytics-driven by machine learning models are being
developed to track and predict the impact on crop yield faced by erratic weather changes.

2. Call Centres
Call centers are witnessing a revolutionary change in the industry with the development of bots and automated
messaging, which is often thought to be one of the industries which are at most risk of becoming obsolete in a
world of AI. Call centers are an important link between businesses and customers for customer service and product
offerings. AI software has been developed to listen to calls and analyze their impact on customer’s buying behavior
and shopping experience. Automated calls driven by bots and chatbots may lead to an increase in customer’s
loyalty in the future and they may even be programmed to smooth the situation if the customer gets upset.

3. Energy & Mining

AI can be deployed into smart electric grids to make them more efficient in delivering energy, and to predict when
batteries and other equipment will fail. AI implementation will make the energy exploration an easier and more
economical task. AI and its subsets, machine learning, are trends which will disrupt the energy industry, leaving
massive opportunities for savings. Business majors like the General Electric is looking ahead to use AI to optimize
how electricity flows out of batteries and points of consumption. According to Bloomberg News reports, AI tech
into energy and mining could eventually save $200 billion globally.

4. Healthcare
Healthcare is a sector where AI has endless possibilities, from user-friendly bots and chatbots assisting patients in
their health diagnosis to robots performing operations with precision. AI is currently used in the healthcare
industry to identify high-risk patient groups, predict diseases, increase speed and accuracy of treatment and to
automate diagnostic tests. AI has huge potential to improve drug formulations, predictive care, and DNA analysis
that has the power to positively impact the quality of healthcare and affect human lives.

5. Intellectual Property
In the global innovation economy driven by AI and allied technologies, demand for intellectual property (IP) titles,
patents, trademarks, industrial designs; copyright is rapidly increasing and becoming more complex. AI, big data
analytics and new technologies such as blockchain have huge potential to address the growing challenges facing
IP offices. Copyright is an important IP asset for AI; AI protects the technology product (code and data) from
unauthorized use and reproduction through digital locks. An IP strategy for AI systems will layer IP rights to protect
different aspects of information and business enterprises can clearly define and protect their IP with registrations
and digital documentation.

6. IT Service Management
AI technology when put into utilization by corporate and government networks will be a dominant feature of IT
service management (ITSM) in the future. AI will improve technology utilization in homes and in the workplace. AI
technology will cause a disrupting change in ITSM offerings in three key areas of Point of Entry (incident/request
creation), automated backend processes and knowledge management. AI will impact the IT Service Management
Industry in the years to come predominantly due to the resolution of recurring losses, self-service for low tier
incidents, improved organization & optimization and instant information like meeting schedules through personal
assistants.

7. Manufacturing
AI is increasingly been deployed in the manufacturing sector including vehicle manufacturers for automation and
optimization of assembly lines. Many industries employing complex knowledge requirements like the pharma and
the healthcare sector are vigorously planning and testing AI technologies to focus on augmenting decision-making.
Medical data and research are being integrated with AI to inform the practitioner’s diagnosis and treatment
recommendations.

8. Technical Support
The service industry will experience most of the AI adoption throughout 2018 with the integration of AI-powered
voice assistants and chatbots. AI-powered voice assistants are answering uncomplicated queries routed to the
service helpdesk, like answering about working hours, or determining when an engineer is due to arrive. A bot
powered by AI drives significant potential for companies to connect voice assistants to enterprise software with
capabilities such as self-service diagnostics or scheduling optimization engines, to automatically offer appointment
slots.

9. Retail
AI-Powered chatbots are assisting retailers to increase the amount of data they can collect about the customer,
and edging them towards a competitive advantage over the non-adopters of AI technologies. Chatbots collect
immense data through digital requests from shopping users who use technology to navigate websites and to make
purchases. In the future, chatbots in retail will be able to improve conversation capabilities, capture audible
reactions and eventually provide intelligent data and analytics to the retailer by capturing emotions and mood of
their customers to predict emotional responses to their online experience. This will empower retailers to offer
personalized customer experiences to enhance customer loyalty in the near future.

10. Transport
The transportation domain uses AI in mission-critical tasks which include autonomous self-driving buses carrying
passengers in Finland, Singapore and China, autonomous trucks in San Francisco and railway cargo transportation.
Major challenges in the transportation industry like safety, reliability, capacity problems, environmental pollution,
and energy emissions are providing huge opportunity and a potential for high ROI for the AI innovation.
BIG DATA ANALYTICS

It has been predicted that in 2021, the big data market will grow from $28.65 Billion in 2016 to $66.79 Billion at a
Compound Annual Growth Rate (CAGR) of 18% which is relatively high. The year 2015 was considered as the base
year with 2016 was predicted for performing market forecasting and estimation which spans from 2016 to 2021.
The demands of analyzing big data are growing with the increase in the number of mobile apps and devices paving
way for the acceptance of big data services and solutions across many organizations. The big data market includes
services and software, which eventually were segmented into big data analytics, visualization, data discovery and
big data management software; as well as training and support, consulting and system integration, and managed
services. Not too long ago, big data market showed excellent growth in its rate of adoption and is widely segmented
by big data type, component (services and software), vertical, deployment model and region. The global big data
market also is segmented across five major regions: Europe, North America, Middle East, Africa and Latin America
and Asia-Pacific.

Big Data Market in India

India’s big data analytics sector is expected to grow in multiples by 2025 and should reach as high as $16 billion
from the present $2 billion according to the National Association of Software and Services.
Currently, India is among the world’s top 10 big data market with NASSCOM predicting the big data market in India
should project her to be among the world’s top three in the next few years. The VP of NASSCOM, K.S. Viswanathan
predicted the sector growing at compounded annual growth rate (CAGR) of 26% in the next five years. He said the
sector possessed a huge potential to grow and by 2025, India should have 32% share of the global big data market.
He also said NASSCOM was partnering with other members so as to build a multi-pronged approach which
encompasses thought leadership, skills development, platforms and products to achieve this goal.
NASSCOM states that there about 600 analytics firms in India from which 400 of them are within their start-up
stage with about 100 companies joining the fold in 2015. At the moment, there is about $700 million worth of
funds for start-ups over the last two and a half years. Also, analytical firms are seeing India as a hub emerging for
analytics solutions all over the world. The big data and analytics industry is experiencing a drastic growth which is
powered by the increase in the demand for cloud-based and predictive analysis solutions provided by industries
like BSFI, healthcare, telecom and retail. The big data segment, currently employing more than 90,000 people in
several data analytics role will need massive manpower in the next five years.
Also, industry experts are of the opinion that analytics is getting a major boost since there is an exponential growth
in big data. A report states that the last few years witnessed decent moderation due to the global recession with
the industry’s potential being unquestionable with opportunities in both emerging and mature services and
verticals.
NASSCOM also stated the BPO industry will be helped by big data to move forward in evidence-based decision
making for clients which has a great impact on business operation. Indian BPO industry is at a steady 37 percent
of overall global sourcing BPO revenues. Also, the ecosystem of big data will continuously evolve through sustained
investments so as to strengthen the current technologies and creating a strong talent pool.

Industries that require Big Data

Healthcare
Big data in healthcare is transforming the way we identify and treat illnesses, improve quality of life and avoid
preventable deaths. The drive now is to understand as much about a patient as possible, as early in their life as
possible – hopefully picking up warning signs of serious illness at an early enough stage that treatment is far
simpler, and less expensive.
For example, in one specialist premature and sick baby unit, Big Data techniques have been used to monitor the
babies’ heartbeats and breathing patterns. Using this data, the unit was able to develop algorithms that predict
infections 24 hours before any physical symptoms occur.

Retail
The way we buy and sell is evolving fast. Both online and offline, those retailers that are embracing a data-first
strategy towards understanding their customers, matching them to products and parting them from their cash are
reaping huge rewards.
This means that data analytics is now being applied at every stage of the retail process – working out what the
popular products will be by predicting trends, forecasting where the demand will be for those products, optimising
pricing for a competitive edge, identifying the customers likely to be interested in certain products, working out
the best way to approach those customers, taking their money and, finally, working out what to sell them next.

Manufacturing
Data plays a hugely important role in modern manufacturing processes. Advances in robotics and increasing levels
of automation are dramatically changing the face of manufacturing. Adidas is one big name investing heavily in
automated factories, for example.
Even in a more traditional manufacturing environment, data is still making its mark. By embedding sensors into
their equipment, manufacturers are capturing valuable data that helps them monitor the health and efficiency of
those machines. Sensors are also increasingly being installed into a wide range of products, from jet engines to
yoga mats, allowing manufacturers to gather valuable data on how those products are performing and being used.
Financial services, banking and insurance
The applications of data go far beyond high-tech, big-money trading. For example, data is helping credit card
companies like American Express detect fraudulent transactions and expand into trend analysis services for
businesses.
In insurance, data is already being used to help insurers set fairer and more accurate policy premiums, identify
fraudulent claims and improve their marketing efforts. Companies like Progressive and Aviva are taking data
collection a step further by offering discounts to drivers who allow them to monitor their driving via smart phone
apps and in-car devices, allowing the insurer to observe how safe a person’s driving really is.

Education
Increasingly large amounts of data are being generated about how we learn, and education establishments are
now beginning to turn this data into insights that can identify better teaching strategies, highlight areas where
students may not be learning efficiently, and transform the delivery of education. In one example, in Wisconsin’s
Menomonee Falls School District, data has been put to use for everything from improving classroom cleanliness to
planning school bus routes.
Of course, these days, not all education takes place in the classroom. The boom in online courses is providing a
wealth of insights into the ways that people learn, and leading to huge advances in personalised, adaptive learning.

Transportation, supply chain management and logistics

In warehouses, digital cameras are routinely used to monitor stock levels and the data provides alerts when
restocking is needed. Forecasting takes this a step further – the same camera data can be fed through machine
learning algorithms to teach an intelligent stock management system to predict when a resupply will be needed.
In the not-too-distant future, warehouses and distribution centres will effectively run themselves, with very little
need for human interaction.
And in the world of transportation, companies are collecting and analysing telematics data from their vehicles and
using this data to improve driving behaviour, optimise transport routes and improve vehicle maintenance.

Agriculture and farming

Even very traditional industries are embracing the power of data. US agricultural manufacturer John Deere has
enthusiastically adopted Big Data practices, launching several data-enabled services that let farmers benefit from
crowd sourced, real-time monitoring of data collected from its thousands of users.
Myjohndeere.com is an online portal that allows farmers to access data gathered from sensors attached to their
own machinery as they work the fields, as well as aggregated data from other users around the world.

Energy
The costs of extracting oil and gas are rising, and the turbulent state of international politics adds to the difficulties
of exploration and drilling for new reserves. In the face of big problems, the energy industry is turning to data for
solutions. Royal Dutch Shell, for example, has been developing the “data-driven oilfield” in an attempt to bring
down the cost of drilling for oil.
And on a smaller but no less important scale, data and the Internet of Things (IoT) is disrupting the way we use
energy in our homes. The rise of “smart homes” includes technology like Google’s Nest thermostat, which helps
make homes more comfortable and cut down on energy wastage.

Government and public sector services

A number of cities are currently piloting data analytics with the aim of turning themselves into “smart cities”,
where data collection, analytics and the IoT combine to create joined-up public services and utilities.
My home town of Milton Keynes is one that’s already using smart, connected, data-driven technology to
help improve public services. For example, a sensor network has been rolled out across all 80 of the council’s
neighbourhood recycling centres to help streamline collection services, so wagons can prioritise the fullest
recycling centres and skip those with almost nothing in them.
Hospitality
Hotel and leisure operators are turning to advanced analytics solutions for clues about how to keep their customers
happy.One common use of analytics in the hotel industry revolves around yield management. This is the process
of ensuring that each room attracts the optimal price – taking into account troughs and peaks in demand
throughout the year as well as other factors, such as weather and local events, that can influence the number (and
type) of guests checking in.
Of course, the traditional hospitality industry is also facing stiff competition from data-enabled services like Airbnb,
which helps travellers find unique accommodation all around the world.
Professional services
When you read or hear news stories about the imminent takeover of robots and algorithms that will eliminate jobs
for human workers, many times the first examples given are blue-collar jobs like factory workers and taxi drivers.
But even highly skilled professional services – like accounting, law and architecture – are seeing massive change
thanks to advances in data, analytics, machine learning, robotics and artificial intelligence.
In accounting, for example, software can automatically import transactions, keep track of digital receipts,
automate payroll and keep track of taxes. But even more complex tasks like auditing, regulatory compliance and
trend analysis can be carried out by computers these days.
Sports
Most elite sports have now embraced data analytics. In Premier League football, a set of cameras installed around
the stadiums now track every player using pattern recognition generating over 25 data points per player every
second! NFL players have installed sensors in shoulder pads to gather data on their performance, and analytics
helped British rowers row their way to Olympic gold. Data has even unlocked the secrets of the perfect golf swing.
In fact, it’s hard to think of any area of sport that isn’t embracing data and analytics these days. Many elite sports
teams go so far as to track athletes outside of the sporting environment – using smart technology to track nutrition
and sleep, as well as social media conversations to monitor emotional wellbeing.
Businesses built on data
Increasingly, data is becoming a key business asset in its own right, and platform businesses that are entirely fuelled
by data are among the most successful companies in the world. Apple, for example, is using data right across its
business to drive success. And Google arguably knows more about us than our loved ones – knowledge it uses to
provide a highly personalised service and to help other businesses target customers effectively.
Data is also at the heart of the sharing economy, including businesses like Uber. These companies represent a new
way to use data effectively to provide services to people when and where they want them.

Conclusion
 It’s very clear that we’re well passed the time when businesses should be wondering if they have to worry about
Big Data. As these examples show, Big Data is already revolutionising just about every industry and those
companies with a clear data strategy are becoming the leaders in their fields.

LEADERSHIP TRAINING COMPANIES IN INDIA

Leadership training, or leadership development, is defined ascourses or training/educational programs whose
purpose is to improve the performance of managers and personnel leaders within the organization.
The leadership training market has been one of the fastest-growing and evolving segments in the learning and
development (L&D) industry over the past decade. There are numerous companies that sell leadership training
products and services to supplement in-house L&D capabilities.
According to Training Industry research, the most common leadership training topics (often called “soft skills”)
offered globally include:
• Coaching
• Communication
• Negotiation
• Teamwork and collaboration
• Diversity and inclusion
• Leading innovation
• Providing feedback
• Emotional intelligence
Training often includes courses and programs for first-line supervisors, middle managers and senior executives.

Size of the Market

Global corporate training spending has been steadily increasing over the past several years, with a total spend of
$366.2 billion in 2018. The leadership training market is one of the only L&D markets that has experienced growth
independent of economic trends year after year. Training Industry research estimates that in 2018, organizations
around the world spent about $3.4 billion with leadership development solutions and program vendors; we predict
that spending will increase in 2019.
There are a variety of sources of information on the size of the training market. Training Industry’s is the only one
that takes into account data from both the buy side and the supply side, from organizations with centralized and
decentralized training functions, and from customer training and tuition reimbursement programs.

rview of the Indian L&D industry

• Indian L&D industry was estimated to be worth US$ 3.5 billion as of August 2012 and is estimated to register
a strong growth over the next few years due to a rising demand for experienced professionals
• as Indian companies expand overseas, investments in training and development for employees become a
requisite for empowering them to compete at the global stage
• by 2028, India is poised to become the third largest economy globally. However, one of the key challenges in
maintaining the growth momentum of the economy is to accelerate L&D in an increasingly competitive
business environment.
• Some of the reasons behind the high demand of L&D in the Indian economy are:
• India is seen as a knowledge-driven economy - most Indian corporates face talent shortages, especially
customer-facing roles such as sales
• As of August 2012, India stood at par with China in terms of the overall L&D spend among emerging nations,
however, India’s overall L&D spend is way lower than that of the developed countries, which creates
immense opportunities for the Indian L&D industry
• Among the developed nations, companies in the US increased their L&D spend by 14% to an estimated US$
13.6 billion between 2011 and 2012.
With a survey being conducted for 150 companies, the survey results are as follows:

Survey Results

What is the role of learning and development in an organisation?

• most organisations look for specific trainers that would help develop and refine the skill sets of employees
on a need basis
• career builders are the next most favoured type of instructors, followed by strategic business partners,
curriculum developers, and educational specialists.

Key takeaway
Organisations invest most in trainers when it comes to spending on L&D.
How is L&D viewed by employees within organizations?
• Most of the companies believe that L&D is an ongoing process and would benefit the organisation in the
long-run.
• L&D for employees is important as it acts as an enabler of better practices within the organisation.

What is the contribution of the L&D team in creating value for the organisation?

• the contribution of the L&D team in creating value for the organisation has increased over the years
• this is primarily because of the growing need for an updated knowledge base and a platform for continuous
knowledge transfer.

Key takeaway

• The results clearly show the high importance being given to L&D teams in organisations.
Can e-learning be used as an efficient and cost-effective alternative to other traditional methods of skill
development?

• 84% of the respondents believe that e-learning is an efficient and cost-effective tool for organisational
learning.
• 16% of the respondents still consider traditional learning methods to be more useful for skill development.

Why are organisations adopting e-learning?

• the top reason is ease of learning, which gives flexibility to employees to learn at their own pace.
• other reasons include tracking of usage patterns of trainees to better manage the curriculum, improvement
in decision-making of the team conducting the training and quicker update of training content
• apart from this, making content accessible to more trainees is another significant factor. This highlights the
edge that e-learning has over traditional training methods. The results that emerge from this analysis can
be used to convince corporates to take up e-learning to supplement traditional learning methods.
What are the modes of imparting training in your organisation and who develops the content for the programs?
• training is delivered through face-to-face workshops or seminars and conferences. They can
be given as a part of mentoring sessions also
• the content for such programs is majorly developed by in-house subject matter experts.
• companies still do not outsource content development probably because they are unable to
find such comprehensive offerings in the market for learning and development tools.
BUSINESS MODEL OF A CORPORATE FIRM
GLOBAL TRAINING TREND ANALYSIS
The global Trainers market is valued at million US$ in 2018 and will reach million US$ by the end of 2025,
growing at a CAGR of during 2019-2025. The objectives of this study are to define, segment, and project the
size of the Trainers market based on company, product type, end user and key regions.
Several organizations within the training industry estimate the size of the market by comparing internal
research to economic data. TrainingIndustry.com uses data from the U.S. Bureau of Economic Analysis along
with data collected from our segment analyses derived from annual Top Training Company studies. Training
Industry’s estimates of the global spend compared to the North American spend is below. Note that data
related to spend includes all dollars spent by companies for training activities, including insourced and
outsourced spend.
This data does not include expenditures related to consumers spend for training programs (individuals taking
training courses for personal or non-work related development); revenues of educational institutions
(universities and for-profit educational companies) or revenues of community colleges from students paying
tuition. It does include dollars paid by corporations to educational institutions for corporate training initiatives.

SOURCING BREAKDOWN
Training Industry estimates that companies spend an average of 39% of their training budget on external
(outsourced) suppliers, while approximately 61% of their budgets is spent on internal resources.
It is estimated that the outsourced market for training services and tuition reimbursed by corporations in
North America was approximately $65.9B in 2018, while the insourced spend for training activities was
approximately $101.0B in 2018.
Of the outsourced spend in North America in 2018, training BPO (business process outsourcing) deals
comprise an estimated 5.9% of the market. The training BPO market consists of comprehensive and selective
outsourcing engagements, of which selective outsourcing engagements are growing the fastest.

Global Training trend

 Total training expenditure(Billion)
100

80

60

40

20

0
2013 2014 2015 2016 2017 2018

Total Training Expenditures Training Staff Payroll

Spending on outside service & Payroll
USA Training Trend Analysis
Since small companies dominate the U.S. market, in terms of sheer numbers, these organizations receive a
heavier weighting, so that the data accurately reflects the U.S. market.
About Survey Respondents:
• 61% are managers or above in the organization
• 17% are developers or instructional designers
• 22% are mid- to low-level (based on title selection) associates
• 64% determine the need for purchasing products and services
• 30% set the budget
• 31% manage requests for proposals/bids
• 70% recommend the purchase
• 28% have the final purchase decision
TRAINING EXPENDITURES
Total 2018 U.S. training expenditures—including payroll and spending on external products and services—
declined 6.4 percent to $87.6 billion. Spending on outside products and services rose from $7.5 billion to $11
billion, while other training expenditures (i.e., travel, facilities, equipment) decreased to $29.6 billion from
$44.5 billion. Meanwhile, training payroll increased nearly 13 percent to $47 billion.
The training expenditure figures were calculated by projecting the average training budget to a weighted
universe of 127,095 companies, using a Dun & Bradstreet database available through Hoovers of U.S.
organizations with more than 100 employees.

Average training expenditures for large companies increased from $17 million in 2017 to $19.7 million in 2018.
The number for midsize companies rose $600,000 to $2.1 million in 2018. But small companies decreased
from $1 million to $355,731 (back to slightly below the 2016 level).
Some 36 percent of organizations said they increased staff from the year before (up from 28 percent in 2017),
while 52 percent said the level remained the same (down from 56 percent in 2017). Some 12 percent said it
was lower, down from 16 percent in 2017. Large and midsize government/ military organizations had the
largest personnel costs. This year, midsize companies spent about a fifth as much as large companies, while
small companies spent about one-quarter as much as midsize ones. The average payroll figure for large
companies was $6.2 million; for midsize organizations, it was $1.1 million; for small companies, it was
$289,752.
For those who reported an increase in their training staff, the average increase was six people, three more
than in 2017. For those who reported a decrease in their staff, the average decrease was 24 people—up from
six last year, but two large companies reported a reduction of 300-plus trainers, skewing the average.
Other training expenditures decreased significantly this year to $29.6 billion from $44.5 billion in 2017. Such
expenditures can include travel, training facilities, in-house training development, and equipment. On
average, organizations spent 11 percent of their budget or $235,077 (up from $135,837 last year) on learning
tools and technologies. Large services organizations had the largest budgets for learning tools ($1.3 million).
Midsize government/ military organizations had the largest tool budget in their size range ($230,758). Large
retailers spent the smallest percentage of their training budgets on tools and technologies (1 percent). Looking
ahead, the most frequently anticipated purchases are online learning tools and systems (41 percent vs. 40
percent last year), learning management systems (33 percent vs. 39 percent last year), and classroom tools
and systems (which leaped into No. 3 with 32 percent vs. 28 percent last year). This is followed by content
development at 31 percent and authoring tools/systems at 27 percent (vs. 28 percent last year), certification
(26 percent vs. 29 percent last year), and mobile learning (24 percent vs. 23 percent last year). Several items
received 10 percent or less of hits, including audience response systems, enterprise learning systems, talent
management administration, translation and localization, and Web 2.0.
Overall, on average, companies spent $986 per learner this year compared with $1,075 per learner in 2017.
Government/ military organizations spent the most per learner this year ($1,433), followed by non-profit
organizations ($1,360). Midsize companies spent less ($858) than large ($1,046) and small ($1,096) companies.
While spending slightly less per learner, companies provided almost the same number of hours of training as
last year. On average, employees received 46.7 hours of training per year, compared to 47.6 hours last year.
Small companies provided the most hours of training this year (61.2). Small services companies had the highest
average number of hours overall (81.8).
Companies continued to devote the bulk of their training expenditures to training non-exempt employees (39
percent vs. 42 percent last year).
TRAINING BUDGET
Budget status remained much the same as last year, with 37 percent saying their training budget increased
and 48 percent saying it remained the same. Some 15 percent reported a decrease in budget. Last year, 36
percent said their budget went up; 49 percent said it remained the same; and 15 percent said it went down.
Services companies showed the greatest tendency for budget cuts, while retailers showed a greater tendency
for gains. Increases were not evenly distributed across organization sizes. More small and midsize companies
showed increases (32 and 51 percent, respectively) than decreases (14 and 11 percent, respectively) than
midsize and large companies, where the numbers were more balanced (23 percent for each).
Most of the budget increases were modest—less than 16 percent. Some 42 percent saw increases in the 6 to
15 percent range, while 30 percent of organizations reported increases in the 1 to 5 percent range. Most
respondents who reported an increase in their training budgets attributed it to the following reasons:

• Increase in the scope of their training programs (65 percent vs. 67 percent last
year)
• Added training staff (48 percent vs. 54 percent last year)
• Increased number of learners served (48 percent vs. 49 percent last year)
• Purchased new technologies/ equipment (34 percent vs. 38 percent last year)

This year, more respondents (36 percent) reported budget decreases between 6 and 15 percent vs. 33 percent
for 1 to 5 percent decreases and 31 percent for more than 16 percent decreases. Some 32 percent (vs. 36
percent last year) chose “other” as the reason for the decrease, citing “added more blended learning
opportunities and reduced the need to travel,” “potential corporate merger,” and “state budget reduced.”
This was followed by:
• Budget adjusted to reflect lower costs (nearly 30 percent vs. 39 percent last year)
• Reduced training staff (26 percent vs. 25 percent last year)
• Decreased outside trainer/consultant investment (21 percent vs. 18 percent)
• Decreased scope of training (13 percent vs .18 percent)

Like the last six years, the highest percentage of organizations (30 percent) said management/supervisory
training will receive more funding than the year before. On average, organizations plan to allocate the most
funding to mandatory compliance training at $3.2 million; desktop application training at $1.3 million;
profession/industry specific training at $1.2 million; on boarding at $ 915,454; and management/supervisory
training at $8 50 ,6 96.
The highest priorities for training in terms of allocating resources in 20 19 are: increasing the effectiveness of
training programs (34 percent vs. 37 percent last year), followed by measuring the impact of training programs
and reducing costs/improving efficiency (19 percent for both in 20 18 vs. 16 and 13 percent, respectively, last
year), and increasing learner usage of training programs (13 percent this year vs. 12 percent last year). Learning
infrastructure is a low priority at 3 percent, and none of the respondents said they are planning to obtain
revenue through external training.
TRAINING DELIVERY
• Some 69.3 percent of hours were delivered with blended learning techniques, up
significantly from 34.7 percent last year.
• Some 35.5 percent of training hours were delivered by a stand-and-deliver
instructor in a classroom setting—down from the 42 percent reported last year.
• 25.6 percent of hours were delivered solely via online or computer-based
technologies, down from 28.6 percent last year. Virtual classroom/Webcast
accounted for 10.2 percent of hours delivered, down a bit from 14 percent last
year.
• 1.7 percent of training hours were delivered via mobile devices, down from 3.6
percent in 2017. None of the respondents used social learning only to delivery
learning, the same as last year. And only 10.6 percent of companies are using it
to some extent, down from 25 percent last year.
• Instructor-led classroom training is used exclusively or mostly (90 to 100 percent
of the time) by 9 percent of the organizations. More companies (34 percent) use
it for 10 to 29 percent of their training. Small and midsize companies rely on
blended delivery methods for a sizable amount of their training (79 and 86
percent of hours, respectively) vs. 43 percent for large companies.
• Mandatory or compliance training continued to be done mostly online, with 82
percent of organizations doing at least some of it online and 28 percent entirely
online (up from 27 percent last year). Online training also often is used for sales
training (82 percent), IT systems training (73 percent), and desktop application
training (70 percent). Online delivery for profession/ industry-specific training
was at 68 percent, followed by management/supervisory training, interpersonal
skills training, and customer service training, all at 56 percent. Online training
was least used for on boarding and executive development (49 percent and 48
percent, respectively).
• Technology use overall was slightly lower than last year. Of the learning
technologies presented, the most often used included:
• Learning management systems (LMSs) at 81 percent, down from 86 percent last
year, followed by virtual classroom/Webcasting/video broadcasting at 69
percent, down from 73 percent last year
• Rapid e-learning tools (45 percent, down from 48 percent last year)
• Application simulation tools (34 percent, down from 38 percent last year)
• The delivery methods least often used for training remained the same as last
year:
• Podcasting at 14 percent (up from 13 percent last year)
• Online performance support (EPSS) or knowledge management system at21
percent (down from 23 percent)
• Mobile applications and learning content management systems (LCMSs), both at
30 percent (down from 32 percent and 35 percent, respectively)
TRAINING OUTSOURCING
2018 saw an increase in the average expenditure for training outsourcing: $422,321, up from $219,265 in
2017. Large companies on average spent $1.3 million vs. $216,657 for midsize companies and $78,184 for
small ones. An average of 14 percent of the total training budget was spent on outsourcing in 2018, doubling
the 2017 percentage.
On average, 26 percent of companies mostly or completely outsourced LMS operations/hosting (down from
34 percent last year), while LMS administration and learner support largely were handled in-house (77
percent).
Instruction/facilitation was handled equally in-house (46 percent) and outsourced (54 percent). Across all the
topic areas, large companies outsourced only slightly more than midsize ones, and midsize organizations
outsourced more than small companies. This effect was most striking for custom content development (60
percent some or completely outsourced for large companies; 53 percent for midsize ones; and 34 percent for
small organizations).
The level of outsourcing is expected to stay relatively steady in 2019—some 82 percent of organizations said
they expect to stay the same in the outsourcing area. The percentage of companies expecting to decrease
outsourcing (11 percent) is higher than those expecting to use outsourcing more (7 percent). Roughly half of
respondents said they don’t plan to outsource learner support or LMS administration in the next 12 months.
While there aren’t many differences between the outsourcing changes by company size, small companies
indicated they will outsource slightly less across the board than large or midsize companies.

KEY USA TRAINING MARKET TRENDS

Training Expenditures in
USA(billions)
100.00
80.00 93.59
87.6
60.00
40.00
44.5 41.59 47
20.00 29.6
7.5 11
0.00
Total Expenditure Outside product & Training Training on Payroll
Services expenditure on
travel, equipments,.
Etc.

2017 2018
 Training Delivery Methods
45.00
40.00
35.00
30.00
25.00
20.00
15.00
10.00
5.00
0.00
Stand & Deliver Instructor Online Mobile Devices

2017 2018

Training Expenditures by company

size (Billion)
25

20
AXIS TITLE

15

10

0
Large Companies Mid Size Small companies
2017 17 0.6 1
2018 19.7 2.1 0.355

Training Delivery Methods

45.00
40.00
35.00
30.00
25.00
20.00
15.00
10.00
5.00
0.00
Stand & Deliver Instructor Online Mobile Devices

2017 2018
 Training Delivery Methods
45.00

40.00

35.00

30.00

25.00

20.00

15.00

10.00

5.00

0.00
Stand & Deliver Instructor Online Mobile Devices

2017 2018

UAE Training marketplace

Introduction
Despite the fact that the United Arab Emirates (UAE) has one of the largest and most diversified economies in
the Gulf region, there exists in the literature virtually no data or research findings relating to the training and
development strategies and practices of Emirati companies.
Economy and workforce
The UAE owes its great wealth to the production of oil and gas. Abu Dhabi holds the world's third largest oil
reserves and at the current rates of extraction they should last to the end of this century. In contrast, a recent
government report suggested that Dubai's reserves may run out as early as 2010, although many believe that
2020 is a more realistic date. Developing a non-oil sector has rightly been one of the main objectives of Dubai's
rulers, and by 1997 oil accounted for only 20% of Dubai's GDP; it was 50% for Abu Dhabi, and 31% for the UAE
as a whole (Siddiqi, 1998). After Saudi Arabia, the UAE now has the most diversified and vibrant economy in
the Gulf region. Dubai has developed itself into a region for manufacturing, re-export, banking, financial
services, tourism, retailing and distribution. Within a few years tourism will account for 20% of Dubai's GDP.
A number of free trade zones throughout the UAE have been very successful in attracting foreign investment
by offering zero taxation, no exchange controls, a 4% tariff and the minimum of regulation.
The UAE's economy is still highly sensitive to the price of oil, and so the decrease in oil prices since the early
1990s led to a slowdown in the rate of growth in the rest of the economy. The UAE has run a budget deficit
for several years, except for a surplus in 1996, which was the result of windfall oil revenues (Business Monitor
International, 1998).
The labour force is approximately 1.3 million, and of these nearly 90% are expatriates. The participation of
UAE nationals in the labour force is 54%. The figure for female participation in the labour force is 19%, while
for men the figure is 72% (Abed et al, 1996). The rising unemployment rate of young people, increasingly
educated, is becoming a problem in the UAE as in the other Gulf countries. The vast majority of UAE nationals
are employed in the public sector where they receive considerably higher salaries and work considerably fewer
hours than their counterparts in the private sector.

Corporate policies and strategies

UAE companies trade nationally, regionally across the Gulf countries, and increasingly internationally. Their
business strategy typically focuses on cost minimisation and the use of cheap foreign labour, which possesses
the highest level of skills and technical knowledge. This strategy has allowed companies in the UAE to remain
competitive in the global economy. UAE companies do, however, seem very aware of best training and
development practice as implemented in their foreign counterparts and they generally adopt similar methods
and strategies. The vast majority of training and development professionals are expatriates, mainly from
Europe and South Asia, but they also come from countries as far apart as Australia, the United States and
Sudan, the latter being an Arabic speaking country.
Many organisations in the UAE expanded very rapidly and little attention has often been paid to organisational
design. It is not unusual to find positions such as "Manager of Finance and Human Resources", even among
quite large organisations. 64 per cent of survey companies have a director of human resources, and 73 per
cent said that they have a formal training and development strategy that complements the wider corporate
strategy and business plans. All respondents reported that their owner and/or senior management are either
very interested and committed, or moderately interested and committed, to training and development in their
organisation. 68 per cent of organisations have a training manager and 73 per cent have their own training
centre.
The percentage of human resource managers that have a place on the board of directors is a good indicator
of the extent to which organisations value and recognise the contribution of the human resource function to
their success. The UAE's figure of 64 per cent compares very favourably with the UK (47%), Switzerland (58%),
The Netherlands (44%), Denmark (53%) and Italy (18%) (Brewster and Bournois, 1993). Of course, it cannot be
assumed that having a place on the board allows human resource managers to influence either business or
training strategy, or that it gives them powers of decision making. As a great proportion of the UAE's
companies are owned by individuals, it is more likely that these individuals make the major strategic and
operational decisions. The figure of 73 per cent for the proportion of UAE companies that have a formal
training and development strategy, presumably written, also compares very well with European countries.
Only Denmark, Norway and Sweden have a figure over 60 per cent (Price Waterhouse Cranfield Project, 1991).
All organisations have had to observe the government's desire to increase the process of emiratisation. The
government has been particularly keen to get nationals placed in the banking sector, and the cabinet issued a
ministerial decision that from January 1999 every bank is to increase the number of nationals on their payroll
by 4% each year. Even before this requirement, the percentage of nationals employed in UAE banks had
reached 12%.
Training and development in practice
Training expenditure
The training budget of the survey companies, as a percentage of total payroll costs, varied greatly. 22 per cent
spend less than 0.5 per cent of payroll, 22 per cent between 0.5 and 1 per cent of payroll, 17 per cent over 2.5
per cent of payroll, while only one company spends more than 3 per cent. This compares to an average of 2.5
per cent in the UK in 1995 (Tregaskis and Brewster, 1998). 18 per cent of UK companies spend over 4 per cent
of their wage bill on training, which is lower than France (32%), Sweden (25%) and the Netherlands (19%), but
higher than Germany (16%), Switzerland (11%) and Italy (9%) (Brewster and Bournois, 1993). Horwitz (1998)
argues, however, that the majority of organisations in most countries spend less than 2 per cent of their payroll
on training. In France, where the figure is considerably higher, there exists legislation that requires
organisations to spend on training, and failure to do so results in increased taxation. Similar schemes have
been considered in the UAE but they are unlikely to be introduced in the foreseeable future.
Holden and Livian (1993) observed, however, that many personnel managers don't know how much their
organisation spends on training. Costing training accurately is difficult, but a lack of information on training
expenditure must surely have implications for the effective implementation of training and development. In
countries such as the UK, Germany, Sweden and Denmark over a quarter of organisations didn't know exactly
how much they were spending on training (Holden and Livian, 1993). In the UAE, 18 per cent of the
organisations were unable, or unwilling, to state the size of their training budget as a percentage of total
payroll costs. It is likely that some of the respondents that did submit a figure did not calculate it exactly.
However, all UAE companies reported that their training budget would either increase or stay the same in the
next financial year. The trend in Western Europe has also been that organisations are generally increasing
their expenditure on training and development (Larsen, 1994).
Amount and type of training
The proportion of an organisation's employees that receive some type of formal training or development
activity in any year was spread evenly; one third of companies gave training to less than a quarter of their
employees, one third gave training to between a quarter and a half of their employees, and the remaining
third gave training to over half of their employees. The use of in- company training programmes is the most
popular method of training, with 91 per cent of companies using them. 64 per cent use external providers,
mainly private training institutions. 59 per cent send employees to seminars and conferences, and 32 per cent
use open or distance learning.
Of the companies that have a training centre, 50 per cent of them deliver more than half of their organisation's
training and development activity. 38 per cent have six or more full time staff. While no companies deliver
training only in the Arabic language, 41 per cent use only English, 50 per cent use Arabic and English, and 9
per cent use several different languages. This finding confirms the importance of the English language to
organisations in the UAE. In fact, 52 per cent of organisations deliver training to improve employee language
or communication skills.
The language of business in the UAE is English, while Arabic is the national language. This potentially puts UAE
nationals at a disadvantage in their own country when it comes to entering the labour market. Even though
most teaching in higher education is done in the English language, many nationals leave the school system
with unsatisfactory ability in English, especially in writing. While UAE nationals are required to work with the
English language, so that the UAE can take up its role in the global economy, there is a real danger that this
might be at the expense of losing a part of their national identity. This may have undesirable consequences in
the future, like the social unrest seen in countries such as Bahrain.
86 per cent of organisations deliver job-specific training programmes, 67 per cent deliver general management
programmes, and 95 per cent deliver programmes that focus on skills development. All organisations agreed
that a main purpose of their training and development activity is to improve work performance, and 59 per
cent mentioned that they particularly target the training and development of UAE nationals. 86 per cent of
organisations reported having a formal process for evaluating in-company training programmes, but this
dropped to 59 per cent for the evaluation of externally provided training. A survey by the Cranfield Network
on European Human Resource Management found that 81 per cent of organisations in the UK carry out some
type of formal training evaluation (Tregaskis and Brewster, 1998). While the proportion of companies formally
evaluating training immediately on completion ranges from 71 per cent in Norway to 90 per cent in
Switzerland, follow-up evaluation some months after the training was completed ranges from 35 per cent in
Switzerland to 64 per cent in the UK (Holden and Livian, 1993). The vast majority of companies both in the
UAE and in Western Europe make use of informal feedback from both employees and line management
(Larsen, 1994).
62 per cent of UAE companies expect their use of in-company programmes to increase in the next 1-2 years,
while 10 per cent think their use will decrease. 86 per cent of UAE companies use competencies for training
and, of these, 85 per cent use organisation-specific and organisation-devised standards. Nine per cent of
companies (two organisations) use the British National Vocational Qualification (NVQ). 65 per cent of survey
respondents agreed that the UAE needs a system of competence-based vocational qualifications, and some
thought that the NVQ could provide the starting point for development of such a system.

Training needs analysis and performance appraisal

82 per cent of UAE companies have a formal process for assessing their employees' training needs. This
compares to a figure of 80 per cent in the UK and 85 per cent in France, but the figure is lower in most other
West European countries (Holden and Livian, 1993). Both UAE and European organisations use a similar range
of methods for ascertaining training needs, including analysis of business plans, training audits, performance
appraisal, requests by line management and requests from the employee. Accurate, sufficient and timely
information on training needs is essential if organisations are to ensure that the training they deliver to their
employees actually contributes to the achievement of their business objectives.
64 per cent of organisations record their employees' personal training and development plans in writing. 81
per cent have a formal staff appraisal system that is currently well implemented, while 19 per cent admit to
having a staff appraisal system, which, in practice, is only variably implemented. Evaluation of the performance
of employees is as important as the evaluation of individual training events, and together they can be used to
support the concept of a learning organisation that is striving for excellence.