Learning and Development Effectiveness in Organisations

Scholars and practitioners both acknowledge the important role that learning and development (L&D) plays in organisations. The development of human capital is an essential component of individual employability, career advancement and competitive advantage. Therefore, the development of the knowledge, skills and attitudes of employees constitutes a very important organisational HR practice and it is viewed as one of the most important HR challenges that organisations face. Accordingly, the evidence indicates that organisations continue to invest in L&D programmes as part of their HR strategy. There has been an enormous expansion of research on L&D in organisations; however, a certain degree of ambiguity exists concerning the effectiveness of these activities and there is limited understanding about the best way to implement them. This finding was, for us, an important reason to write this monograph. We seek to offer an integrated and contextualised framework for L&D effectiveness which addresses both the nature of L&D and its antecedents and outcomes in organisations. We created our L&D effectiveness model based on key findings from reviews, empirical research and meta-analyses as well as from previous established theoretical frameworks within the field. We set out in this monograph to bridge theory and practice so that our framework guides L&D researchers in their future research efforts and helps practitioners in their L&D activities.

The concepts of learning and development are used in different ways throughout the literature. This chapter considered the nature of learning and development and differentiates it from related concepts such as training, education, human resource development, and workplace learning. The chapter then focused on describing the historical evolution of learning and development as an organisational practice and area of research, highlighting its origins from its initial focus on job-based training, to its evolution in the form of classroom learning, eLearning, blended learning and self-directed learning.

There are numerous theoretical perspectives that researchers have used to study the effectiveness of training in organisations. We describe and evaluate four theoretical perspectives (universalistic, contingency, configurational and architectural) that researchers have used to explain training effectiveness. We then evaluate a selection of theoretical perspectives including human capital theory, the resource-based view, the behavioural approach, social exchange theory, the behavioural approach, ability-motivation-opportunity theory and attribution theory, each of which suggests different reasons for a link between training and effectiveness. The chapter concludes with a discussion of external and internal contextual factors that shape training effectiveness in organisations.

This chapter presents an open system informed model of training effectiveness in organisations. The model is composed of inputs, process components and outputs. The inputs consist of macro external inputs, internal micro-level inputs and training design inputs. The process elements of the model consist of three components: individual and organisational reactions to training, individual and organisational learning outcomes, and individual and organisational-level training transfer factors. The outputs component of the model consists of emergence enablers, collective human resource outcomes, operational performance outcomes and financial outcomes. The chapter summarises the literature on each component of the model.

This chapter addresses the current state of research on training effectiveness in organisations. It summarises the key findings on what we know about training effectiveness, the research emphasis given to different components of the model, and how research informs the ways in which organisations should approach learning and development to maximise effectiveness. The chapter highlights the role of training needs analysis, the types of attendance policies that should be used, the most effective design of training delivery to maximise effectiveness, the relative effectiveness of training methods, the organisation of training content, the importance of learning or training transfer, and the types of outcomes that are derived from learning and development.

This chapter summarises the research on the effectiveness of learning and development in organisations. It makes research recommendations of the content of effectiveness research, recommendations for research design, and recommendations for practice. It summarises key gaps in the research base, as well as highlighting practice recommendations that learning and development specialists can implement to enhance the overall effectiveness of these activities in contributing to organisational performance.