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Why Some Uk Companies Are Reluctant To Invest In Training And Development

1650 words - 7 pages

Explain why some UK companies are reluctant to invest in training and
development. Do you consider these reasons to be valid?

The rapid development of technology and in other areas have led
companies’ ability to replicate products more easily, and the rapidly
expansion of the service sector has led the nature of consumers to
demand high quality at the lowest prices. Both of these highlight the
importance of gaining the competitive advantage through the labour

A method through which a company could obtain this edge, is through
training and development of their various skills. Its implementation
and management concerns many concepts, esoteric and thus hard to

...view middle of the document...

If typing becomes obsolete and voice recognition becomes the norm,
training in typing would not be considered developmental anymore and
training would cease as it would not positively affect the
HRM/business strategy.

T&D potentially has a positive impact upon the employment relations
climate. Signalling employees that they are being valued, training was
positively correlated with job pay, job promotion and future
prospects, and job security (Heyes, Stuart). This was though dependent
on the factor that top level management endorse it and positively
propose it. Training was also seen to enhance job motivation under
certain conditions: there was a practical use to the training and this
had been clearly depicted to them (Heyes, Stuart).

Alternatives to T&D are to poach employees from other rivals, or
acquire employees through the expensive recruitment and selection
process who has the requisite skills required- premium must be paid.
The former is a large barrier to the T&D initiative as the benefits
accrue to the company and the employee. The rival can potentially
poach your trained employees. This is known as the Prisoner’s Dilemma,
due to which many companies in the UK do not invest in human resource
development (Sisson, Storey). The use of temporary or outsourced
employees will not only be harder to train as they may deemed unworthy
of investment due to their movement ability, they may be not able to
provide the high quality service. Though companies outsourcing their
call centres seem to be providing them the necessary service. But
these operators in India cannot replicate the highly customer
orientated service that British call centres can provide i.e. speaking
to Yorkshire people in their own dialects- this would require

Employees are going to become trained whether the initiative is taken
or not as with time they will gain tacit knowledge and they will pick
things up ‘by sitting next to Nellie’ over time. This is very
inefficient, and a focused initiative could alleviate this.

Many initiatives are not as simple as keyboard typing. Sales
techniques methods could be judged on the basis of sales figures and
also can be observed (possibly even ethnographically), but these
methods of measure can vary due to a number of reasons. Other methods
used by Barrat Developments plc were: performance and productivity
levels, turnover, and absenteeism(Winstanley, Woodall, pg 107).
Application of the Bramley doctrine poses a few troubles here. These
methods can depict the evaluation of the T&D initiative but only to
some degree.

Another factor as to why T&D does not take place is because UK
managers goals are not aligned with the development of their staff,
but the profitability or growth of the organisation. It is only
natural to be more concerned about yourself than others and with the
difference of the managements’ goals and that of the T&D goals, the
appraisal system of motivation will...

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