How do businesses develop their staff through training and appraisal?
Training and appraisal: induction, on-the-job and off-the-job training, the benefits of training to the business and the employee, and the purpose of staff appraisal.
A CCEA GCSE Business Studies guide to training and appraisal. Covers induction training, on-the-job and off-the-job training and their advantages and disadvantages, the benefits of training to the business and the employee, and the purpose and benefits of staff appraisal.
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What this dot point is asking
You need to explain the main types of training, induction, on-the-job and off-the-job, their advantages and disadvantages, the benefits of training to both the business and the employee, and the purpose of staff appraisal. CCEA examiners reward precise definitions, the clear on-the-job-versus-off-the-job contrast, and the ability to apply the benefits to the business in the stimulus. Training matters because skilled, motivated staff are more productive, give better service and are more likely to stay, all of which help a business develop.
Induction training
When a new employee starts, they usually receive induction training first.
On-the-job and off-the-job training
After induction, ongoing training is usually one of two types, and CCEA often asks you to compare them.
The benefits of training
Training brings benefits to both sides of the employment relationship.
For the business, trained staff are more skilled and productive, quality and customer service improve, there are fewer mistakes and accidents, and staff are more motivated and likely to stay. For the employee, training brings new skills, more confidence, better chances of promotion and higher pay, and greater job satisfaction. The main drawbacks for the business are the cost of training, time away from work, and the risk that newly trained staff leave for a rival.
Appraisal
A business also reviews how well its staff are performing through appraisal.
Worked example: choosing training for new staff
A common exam task is to recommend training for a described business.
Why this matters
Training and appraisal are central to managing and developing people, and they link to recruitment, motivation and the firm's quality and success. Well-trained, well-reviewed staff are more productive, give better service and stay longer, reducing the cost of recruiting replacements. In the exam, the most valuable skills are stating the on-the-job-versus-off-the-job contrast precisely and judging the benefits of training against its cost for the specific business in the stimulus.
Try this
Q1. Define induction training. [2 marks]
- Cue. The training given to a new employee when they start, introducing them to the workplace, colleagues and health and safety rules.
Q2. State one advantage of on-the-job training. [1 mark]
- Cue. It is cheaper, relevant to the actual job, or the employee keeps working while learning.
Q3. State one purpose of staff appraisal. [1 mark]
- Cue. To review performance, set targets, identify training needs, or give feedback.
Exam-style practice questions
Practice questions written in the style of CCEA exam questions on this dot point, with worked answer explainers. The year tag is the paper they imitate, not the source.
CCEA Unit 2 (style)4 marksExplain the difference between on-the-job and off-the-job training.Show worked answer →
An explain question testing AO1 and AO2. Define both and bring out the contrast.
On-the-job training takes place at the workplace while the employee does the job, for example learning by watching an experienced colleague or being shown how to use equipment.
Off-the-job training takes place away from the normal work position, for example on a course, at a college or at a training centre run by an outside provider.
The key contrast: on-the-job training happens at work while doing the job, while off-the-job training happens away from the job. Marks are for a clear definition of each plus the contrast.
CCEA Unit 2 (style)6 marksDiscuss the benefits to a business of training its employees.Show worked answer →
An extended question testing AO2 and AO3. Give developed benefits, then judge.
Benefits: trained staff are more skilled and productive; quality and customer service improve; fewer mistakes and accidents occur; staff feel more valued and motivated, so they are more likely to stay; and the business can adapt to new technology and methods.
Judgement: argue the benefits are large but training has a cost, in fees, time away from work and the risk that trained staff leave for a rival, so the business must weigh the cost against the gain in productivity and retention. For most firms the benefits outweigh the cost. A supported judgement reaches the top band.
Related dot points
- Recruitment and selection: the stages of recruitment, the job description and person specification, internal versus external recruitment, and the methods used to select the best candidate.
A CCEA GCSE Business Studies guide to recruitment and selection. Covers the stages of the recruitment process, the job description and person specification, the advantages and disadvantages of internal and external recruitment, and the selection methods a business uses to choose the best candidate.
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- Business success and failure: how success is measured, the internal and external causes of business success, and the main reasons businesses fail.
A CCEA GCSE Business Studies guide to business success and failure. Covers how success can be measured, the internal and external factors that help a business succeed, and the main causes of business failure such as poor cash flow, weak management, lack of demand and strong competition.
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Sources & how we know this
- CCEA GCSE Business Studies specification — CCEA (2017)