System Dynamics Group

“We need to train more”: a dynamic model on the impacts of a training policy implementation

Babak Bahaddinbbahaddin@Albany.edu

Felippe Cronembergerfcronemberger@Albany.edu

SUNY University at AlbanyDecember 4th, 2015

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1. Background2. Theory3. Model4. Policies5. Conclusion

The Context

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Authors Contribution Title

Felippe Cronemberger Learning Systems Lead PhD Student(University at Albany)

Babak Bahaddin Modeler PhD Student(University at Albany)

Dr. Edward Pavur Human Resource ExpertAdjunct Professor (UALbany)Consultant in Management

Service

Dr. Rod MacDonald System Dynamics Expert Senior Research Associate (University at Albany)

Team Members

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Relevance• Micro(Kirkpatrick, 1959)

http://www.kirkpatrickpartners.com/OurPhilosophy/TheKirkpatrickModel

vs Macro(?)

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I. International branch of an american company

• Information Technology Services• Expanding operations regionally

II. ~ 8 hours per employee/FY.• Recently installed e-learning platform.• Mostly compliance training and “self-

enrollment”.

The Problem/Case

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The meeting

- Training hours in the market are much higher than ours.

- Our Productivity will grow if we train more.

- From now on, our training policy is 45 hours instead of 8 hours.

- Training policy is mandatory for everyone.

We need to train more!!!

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Reference Mode

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Then something went wrong …

Felippe:Dear Associates,from now on you have to train 45 hours.

Employees:

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New Hirers: That is a perfect chance to prove myself in the company.

Three different response

Experienced Employees: Now beside all my tasks I have to train. Deep breath.

More Experienced Employees: What? You must be kidding. I do not need any training. I know my job. I am not doing this.

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Clark Hull’s Theory

Hull, C. L. (1950). Simple qualitative discrimination learning. Psychological Review, 57, 303-313.

The general learning and motivation theory of Clark Hull can be described in the following basic equation:

SER = SHR × D In this equation, based on research with animals, Hull defined the terms as follows: • SER is Excitatory Potential (likelihood that the organism would produce response R

to stimulus R),• SHR is the Habit Strength (derived from previous conditioning trials), and

• D is Drive Strength (determined by, e.g., the hours of deprivation of food, water, etc.).

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Hull, C. L. (1950). Simple qualitative discrimination learning. Psychological Review, 57, 303-313.

• This equation can be converted for use in many applied areas.

• Here is an example for individual job performance in organizations. In this context the terms of the equation are changed:

• Excitatory Potential = Job Productivity,• Habit Strength = Skill• Drive Strength = Motivation.

This results in the following restatement of Hull’s equation:

Job Productivity = Skill × Motivation

Clark Hull’s Theory

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How does training affect productivity?

Productivity is product of Skills and Motivation.

Training will reduce Motivation.

If I train today, will my skills increase tomorrow?

NO!!!

Training will increase our knowledge.

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We start from an equilibrium.Total Turnover = HiringTotal Population = 900 people

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Knowledge from Skilled Experienced employees will not change so much after training policy.

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In this model, skills can only be learned on the job.The more you stay in the company, the more you can get skilled.

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Increase in Knowledge after Training Policy

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Effect of Knowledge on Getting Skilled

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Productivity will go up as we were expecting in our reference

mode

But

Where is Motivation?

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It does not seem that bad

BUTWhat will happen if productivity

goes up?

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For a period of time we will have backlog.

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We will hire less people.

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In general, our productivity will go up.But how close we are to our desired line?

Thing will get worse if we consider the growth in the company.

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Conclusion1. Unintended consequences will occur which will reduce and will delay our initial purposes.

2. Only by considering the whole picture, we can solve the complexities of a new policy.

3. We should prepare our employees’ mindset before implementing any new policy.

4. The better the initial settings gets established, the closer we get to our success point.

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Future

• Timing is critical when implementing policies• Watch carefully for “organizational climate”• Effect of Motivation on Turnover• Effect of overtime Working on productivity

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Thank you!