- The rate of increase in revenue and profit of the organization after training.
- Rate of increase in salary and income of workers after training
Changes in work attitudes and behaviors compared to before training
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Criteria that can be used to assess the level of behavioral change of employees after training include:
- Employee enthusiasm increased compared to before training (can interview direct manager to determine)
- Percentage of workers with a more professional approach than before training
- Changes in employees' attitudes when receiving and performing work compared to before training (receiving work with a happier, more comfortable attitude...)
KPI index to evaluate the effectiveness of human resource training
- Concept of KPI index:
KPI – Key Performance Indicators in English are understood as key performance indicators, or success indicators (Key Success Indicators), or commonly known as performance evaluation indexes, which are built to evaluate the effectiveness and growth of business activities compared to the set goals. It helps businesses shape and monitor the process of operation and growth compared to the business's goals.
- Objectives when building KPIs:
S – Specific – Specific: What does this index say, how is it measured and why should this index be chosen, thereby helping employees clearly identify the tasks and goals they must do to achieve the desired work efficiency.
M – Measurable – Measurable: Can be quantified precisely in different units. For example: market share, customer satisfaction, volume achieved, return on investment.
A – Achievement – Feasibility: Managers need to set appropriate and truly necessary goals to help the business achieve its requirements.
R – Realistic – Realistic: KPIs are indicators that focus on the present and the future, so it is necessary to build indicators that are close to reality. You should not give indicators that are beyond your ability or are not true to the reality of the job.
T – Timebound – Has a specific deadline: KPIs must have a specific time limit applied during what period, knowing how long it must be completed.
- Characteristics of KPI indicators:
Are non-financial evaluation indicators: Not expressed in monetary units such as yen, dollars, etc. It can be the number of CVs, application files, number of recruited employees, etc.
Regularly evaluated: KPI is an index that is regularly evaluated. Depending on the characteristics of each business, the evaluation is carried out daily, monthly, or quarterly.
Influenced by the CEO and senior management team based on monitoring and evaluation to make appropriate decisions for the organization.
Requires employees to understand and take corrective action, performance measurement indicators are linked to each member of the organization through monitoring and evaluating employees, thereby making adjustments to suit each individual to help complete the set goals well.
Has a significant impact on the success factors that help improve other metrics.
- Training KPI index
1. Total training hours/employee:
- This index is equal to the total number of training hours per unit of time for each position.
- Meaning: This index shows whether you have trained your employees enough time or not.
not according to plan
2. Average training hours / employee:
- You look at the average training hours / title.
- Meaning: When looking at this index, do you see whether the level of training time is reasonable, especially for low-level positions?
3. Training costs / staff:
- Average training cost = total cost / total employees.
Note, costs should be calculated by title.
- Total cost includes cost of hiring lecturers (or internal lecturers), textbooks, facilities, etc.
- Meaning: Training costs tell you how much you are investing in an employee.
4. Training staff ratio:
- This ratio is calculated for the number of employees trained / total number of employees needing training applicable to the same job title and training field.
- You can use the percentage of employees who receive internal training or external training.
- Meaning: Lets businesses know the training situation. How many employees have been trained, and how many employees have not been trained.
5. Training effectiveness:
- Ratio of employees applying after training / total number of employees trained (assessed by management).
- Of course, in the training evaluation report, you need to know how employees applied the training to their work.
- Significance: This training effect is very important. It not only shows which employees are suitable for the job goals, but also evaluates whether the training is appropriate or not, the applicability between training theory and practice.
What is the practical application to have a direction to adjust training activities in a reasonable and effective way?
1.8. Practical basis
1.8.1. Practical basis for human resource training of domestic insurance companies
Bao Minh Insurance Company
Bao Minh Insurance Company was established on November 28, 1994, equitized since October 1, 2004, and is currently one of the leading life and non-life insurance businesses in Vietnam, with a network of 59 member companies, 550 transaction offices, operating nationwide. To achieve success in the market as it is today, the company has paid great attention to its human resources and that is one of the core values of the company that helps create differences, brings advantages and competitiveness, determines the existence and rapid, sustainable development. Measures to improve the quality of human resources that the company has implemented and brought many positive effects are as follows:
The company has developed and applied processes and regulations in selecting and evaluating employees, describing functions and jobs for each position, as a basis for recruiting and promoting staff.
Bao Minh Company always has an annual plan for new training and retraining of employees according to job titles. The Company and employees always agree and fulfill their commitments on the rights and obligations of each party participating in the learning process, working ability and service time for the company after completing the training course. It can be seen that the Company's human resource training is very strong and professional in order to develop high-quality human resources for the Company.
Building human resource strategy and planning
The company's Board of Directors has had the right strategies and solutions and made breakthroughs to build and develop high-quality human resources for each stage and each business sector to meet immediate and long-term tasks. The development of human resources is under the supervision and direction of the Board of Directors in coordination with the Labor Organization Department and other departments to attract, retain, train and develop human resources in appropriate ways.
Recruitment
In recruitment, the company always adheres to the business tasks of the period and correctly implements the issued recruitment process and criteria, ensuring democracy, publicity, transparency, linking the increase in the number of employees with improving the quality of human resources (both educational level and professional experience); in which, the top priority is to ensure harmony in the structure, age, gender, and profession of employees...
PVI Thang Long Insurance Company
According to the business development plan, the company also needs to build for itself appropriate human resource strategies and plans to create breakthroughs, promote the company's goals and plans to soon become reality. Accordingly, synchronously implement attractive policy mechanisms to attract, train, foster and develop human resources in appropriate forms.
The company needs to have an annual plan for new training and retraining for employees according to job titles. Plan, diversify training types and encourage self-study in permitted conditions to create opportunities for employees to supplement and update knowledge to improve their qualifications and professional skills. In addition, the company and employees should agree and commit to the obligations and rights of both parties in the process of training employees, working ability and time serving the company after the training and studying process.
Treatment
Establishing a salary payment system based on results and work efficiency has the effect of stimulating employees to compete and work enthusiastically, increasing productivity and work efficiency; having a priority policy for high-quality human resources; needing a policy of extraordinary rewards for groups and individuals with outstanding achievements in the work and business process to stimulate and encourage the spirit of competition to work within the assigned plan.
Spiritual development work:
There should be activities to improve the material and spiritual life of workers, create favorable conditions and environments for officers and employees to develop their talents such as vocational competitions, appropriate remuneration, sports and cultural exchange activities or building corporate culture... also contribute to developing the spiritual life of workers in the company, thereby connecting workers with the company, attracting and retaining high-quality workers, promoting creativity for workers and stabilizing the spirit of workers.
1.8.2. Some lessons learned for Bao Viet Quang Binh Company
Different businesses, depending on the company size, financial potential, form of operation, new insurance products... will have different ways to manage and develop their businesses. The same is true in improving the quality of human resources, based on their own strengths, large businesses will have their own activities to improve the quality of human resources for their businesses. From the perspective of determining that people are assets, the central position that creates a difference for competitors, Bao Viet Quang Binh Company needs to take the advantages of the above two businesses in human resource training as experience for itself such as:
Always identify developing and improving the quality of the company's human resources as a key and urgent task to contribute to increasing work productivity, ensuring business efficiency, contributing to improving competitiveness, and meeting the strategy.
To build a sustainable company and become a strong unit in the market, the company has carried out the following specific tasks:
Improve the quality of existing human resources
On the basis of its insurance business mission, the company always reasonably calculates the needs, balances human resources and makes the most suitable plans for training, retraining, rotation and transfer of staff. Builds a fair, reasonable and highly motivating salary, bonus and welfare regime for employees. Ensures that the salary for the company's staff is equal to or even higher than the average salary of businesses operating in the same field, thereby improving the material and spiritual life, helping employees feel secure in their work, contribute and stay with the company for a long time.
Building corporate culture: ensuring the connection of members, building relationships, attitudes, and behavioral culture of members in the company towards good values and creating a unique highlight of the company. Assigning and arranging work in accordance with the capacity, strengths, and professional qualifications of employees; maintaining a serious annual employee evaluation system; reviewing and amending and supplementing industry standards and job titles; establishing a satisfactory treatment regime for employees, especially highly qualified employees;
Enhance the activities of mass organizations thereby actively contributing to creating a professional working environment.
Improve the quality of training and development
Plan and implement specialized training departments, proactively train and improve human resources to meet business requirements. Develop and improve training mechanisms and policies, care for and support learners to improve their qualifications and skills. Have policies on using, treating and appointing staff after completing courses. Organize
Regular and specialized training and development appropriate to business capacity
and staff capacity.
Implement training and development plans to improve the qualifications of employees, specifically: For officials and managers: Comprehensive training and retraining in professional expertise, management skills, etc.
For professional staff: Organize training and fostering to improve professional qualifications while focusing on training to improve political qualities, foreign language and IT skills and capacity.