Yet Another Reason Structured On-The-Job Training Should Be Part of Any Company’s Business Model – New ISO 30414 Standards for Human Capital Metrics
by Dean Prigelmeier, President of Proactive Technologies, Inc.
A new reason has come to town to support why structured on the job training – at least the
PROTECH™ system of managed human resource development approach – can be an important component of an organization’s business strategy and model: ISO 30414 – Human Capital Metrics and Reporting.
For far too long, critics have been vocal that decisions on how to reduce costs to protect “shareholder value” were heavily weighted against workers, undercounting the firm’s cumulative investment in each worker’s development and aggregate value of the firm’s worker expertise. It was easy to erase labor wages off the books without considering the loss of value to the company when that value was never measured and counted in the first place. While the benefits of such cuts can provide a short-term lift to earnings per share, the long-term impact on organizational capacity, quality and effectiveness is often not known to shareholders until problems arise.
click here to expandA “Pay-for-Value” Worker Development Program – Fair to Management and Workers, and Effective Too!
by Stacey Lett, Director of Operations – Eastern U.S. – Proactive Technologies, Inc.
A conundrum for many employers – those who are allowed to consider the wage-value relationship in their business strategy – is “what is the right pay rate for work performed.” An often used strategy is to establish a competitive wage range for a job classification based on area surveys of similar job classification in the industry, adjusted for the uniqueness of work requirements for the employer’s job classification. Once hired, an employee progresses through the wage range measured by time in the job classification, in some cases with wage adjustments based on merit. While consistent, this approach may limit the employer to paying, in many cases, more for labor than the value derived. And here is why.
If an employer purchases a new, technologically advanced, piece of machinery that is advertised to increase the output of a process from 100 units per hour to 300 units per hour, the employer would be disappointed if it only received 150 units per hour. That employer would, most likely, challenge the manufacturer and perhaps request a refund if not satisfied.
click here to expandProactive Technologies Discount Program Ends, But…”Low-Risk” Pilot Approach Option Remains in Effect
by Proactive Technologies, Inc. Staff
The Proactive Technologies, Inc.’s Fall Discount Offer expired November 30th. However, discounts are still offered for “economies of scale” (the larger the project, the larger the savings due to coordinated travel, production costs and labor). PLUS, Proactive Technologies has continued the “low-risk” project pilot approach offer for those employers who need to make the case to management before rolling out a larger project.
This accelerated transfer of expertise™ approach is a tremendous offer without the discount. This approach can help any employer quickly and completely train the skilled workers they need AND realize an increase in worker capacity, work quantity/quality and compliance (ISO9001:2015/ TS16949/AS9100D), engineering specifications and safety) while reducing the internal costs of training. New-hires and incumbent workers are driven to full job mastery and higher levels of return on worker investment (ROWI). The task-based, structured on-the-job training infrastructure is perfect for apprenticeships (registered or not); instead of marking the calendar for “time-in-job,” job-relevant tasks are mastered and documented. AND, unlike classroom or online training, the cost per trainee decreases with each added trainee once set up.
click here to expandGrow Your Own Multi-Craft Maintenance Technicians – Using a “Systems Approach” to Training
by Dr. Dave Just, former Dean of Corporate and Continuing Education at Community Colleges in MA, OH, PA, SC. Currently President of K&D Consulting
Since partnering with Proactive Technologies, Inc. in 1994, together we have advocated the use of a “systems approach” to training that includes a combination of related technical instruction and structured on-the-job training to develop multi-craft maintenance technicians. This approach works equally as well with other job classifications within a organization. This is a viable option to paying tens of thousands of dollars per year to employment recruiters to locate these technicians on a nationwide basis…who still need to be trained once hired. Plus, once the investment is made to setup the infrastructure, you can train as many workers as you need – with a declining cost per trainee.
click here to expandReplicating Your Best Performers
by Dean Prigelmeier, President of Proactive Technologies, Inc.
One project I was involved with sought to establish a structured on-the-job training program for a “CNC Operator” position and establish an apprenticeship. It consisted of around 40 different machines; manual and NC-operated of several brands, controller types and purposes. When I analyze a job – task by task – I first contact the resident “subject matter expert.” It is my experience that in lieu of accurate standard process documents that everyone can use when assigned a machine, each operator keeps their own setup and operation notes. They are usually reluctant to share them.
As analysts, we assume that if the subject matter expert is assigned to us, it is a reflection of management’s confidence in the operator’s consistently high level of performance. We also learn a lot about the sub-culture that has arisen at the organization, bordering on “work performance anarchy.” Despite the connotations, this is a useful revelation. This lack of vital information sharing that has been going on can be eliminated. The collective wealth of task-specific information can be screened, validated, standardized and revision-controlled to be shared with all who are asked to perform the tasks.
click here to expandRead the full January, 2019 Proactive Technologies Report newsletter, including linked industry articles and online presentation schedules.
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