Tuesday, February 13, 2007

 

Profiles of learning companies - Part 1

During my IT days, we segmented (and I think it is still like so) the markets generally into two distinct markets:- (1) The Volume & (2) The Enterprise. The Volume market in essence are dealing with fast-moving IT related products like desktops, printers, and low-end servers. Ths is a very much price sensitive market segment. On the other hand, the Enterprise is a value market, in that, the customers are more demanding, and required higher-end IT products, like enterprice servers and data storage systems. To address the Enterprise market, the organisation required higher level of competencies in terms of product knowledge, customer management, logistics, etc.

In training business, I've found that the same principal applies. There are companies, and most apparent among the SME/SMB, whom historically has not considered human capital improvement (aka. training) as a strategic intent to improve company performance, can be said fallen into the "Volume" market segment. Characteristics of this Volume Learning Companies (VLC) are:
- Resistence to suggestion of providing training to employee.
- Lacking, and in some cases, zero evidence, of business planning process
- HR is relegated to merely an administrative function
- Low moral among the employee
- NEVER has any skill improvement programme, or trainings done

It is therefore effectively impososible to preach the virtue and values and benefits of training to these organisations. That is simply because they know the virtue and values and benefits of training (who wouldn't?). The crux of the matter is these organisations are just not going spend a single cent in training. I believe that lack of a structured business planning process is the fundamental problem. If one can't see the forest, how could one appreciate a tree?

So how to get these VLC to spend money on training? The answer is you don't. You've to find a way to get the training business but without them forking out additional money. I will explain this and other thoughts next time.

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