Initiatives for the improvement of continuous management training
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Published
18-09-2018
Jon Landeta Rodríguez
Jon Barrutia
Jon Hoyos Iruarrizaga
Andrés Araujo de la Mata
Abstract
Purpose. This work aims to present, from the company viewpoint, a structured account of management proposals and practices directed toward improving the intensity and effectiveness of continuous management training (CMT).
Design/methodology/approach. The article takes as its main theoretical referents the Theory of Human Capital, the Resource-Based Vision and the contributions made via the new institutional economy with regard to the problems of information asymmetry between companies, employees and training providers and completes the proposals that derive from this theoretical approach. To do this, experience-based contributions are collected from a selection of company training and HR managers from twelve Basque companies characterised by their strong investment in management training. The methodology used was qualitative and obtained by different qualitative techniques: Focus Groups, Nominal Groups and the Delphi Method, which make up the so-called Hybrid Delphi.
Findings and implications. The proposals are aimed at the main agents in training activity: training providers, associations and public agents engaged in management training and, particularly, companies themselves. The initiatives seek above all to increase training market transparency, to improve mutual commitments between companies and managers, and to link training and development with culture and strategic management, so that firms make optimal investment in management training.
Originality/value. The methodology used is original, and the contributions are consistent with the theory,have a proven practical utility, and are presented in a hierarchy, which facilitates decision making.
How to Cite
Landeta Rodríguez, J., Barrutia, J., Hoyos Iruarrizaga, J., & Araujo de la Mata, A. (2018). Initiatives for the improvement of continuous management training. Cuadernos De Gestión, 15(1), 61–92. https://doi.org/10.5295/cdg.130411jl
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Keywords
Managers, training, adverse selection, moral hazard, Delphi, information asymmetry
References
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Aragón, A., Barba, I. and Sanz, R., 2003. Effects of training on business results, International Journal of Human Resource Management, 14(6), pp. 956-980.
Araujo, A., Barrutia, J., Ibáñez, P. and Landeta, J., 2001. Oferta y demanda de formación en gestión para directivos en el ámbito de la CAPV. Bilbao: Cluster del Conocimiento en Gestión Empresarial y Ediciones PMP.
Araujo, A., Ibáñez, P., Landeta, J. and Ranguelov, S., 2003. Análisis de la flexibilidad de la oferta de formación en gestión del País Vasco, Cuadernos de Gestión, 3(1 y 2), pp. 101-119.
Bardecki, M.J., 1984. Participants´ response to the Delphi Method: An attitudinal perspective, Technological Forecasting & Social Change, 25, pp. 281-292.
Barney, J., 1991. Firm resources and sustained competitive advantage, Journal of Management, 17, pp. 31-46.
Barney, J. and Wright, P.M., 1998. On becoming a strategic partner: The role of human resources in gaining competitive advantage, Human Resource Management, 37(1), pp. 31-46.
Barney, J.B., 1986. Strategic factor markets: Expectations, luck and business strategy, Management Science, 32(1), pp. 1231-1241.
Becker, G.S., 1964. Human Capital, Princeton, N.J: Princeton University Press.
Bernhardt, D., 1995. Strategic Promotion and Compensation. Review of Economic Studies, 62, pp. 315-339
Boxall, P.F., 1996. The strategic HRM debate and the resource-based view of the firm, Human Resource Management Journal, 6(3), pp. 59-75.
Brunello, G., and De Paola, M., 2004. Market Failures and the Under-provision of Training. Brussels: OECD Seminar on Human Capital and Labour Market Performance.
Caloghirhou,Y., Kastelli, I. and Tsakanikas, A., 2004. Internal Capabilities and external knowledge sources: Complements or substitutes for innovative performance, Technovation, 24, pp. 29-39
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Castanias, R.P. and Helfat, C.E., 2001. The managerial rents model: Theory and empirical analysis, Journal of Management, 27, pp. 661-678.
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Cedefop. European Centre for Development of Vocational Training, 2004. Learning for employment. Second report on vocational education and training research in Europe: Synthesis report. Lusembourg: Cedefop Reference series. Publications Office of the European Union.
Cesaroni, F., 2004. Technological Outsourcing and Product Diversification: do Markets for Technology affect Firms´ Strategies?. Research Policy, 33, pp. 1547-1564.
Dalkey, N. and Helmer, O., 1963. An experimental application of the Delphi Method to use of experts, Management Sciences, 9, pp. 458-467.
Delbeq, A. L. and Van de Ven, A.H., 1971. A group process model for problem identification and solving, Journal of Applied Behavioral Science, 7(3), pp.466-492.
Eurostat, 2007. Continuing training in enterprises in Europe - Results of the third European Continuing Vocational Training Survey in enterprises, Luxembourg: Eurostat Working Papers.
Garcia Erquiaga, E, 2007. Formación directiva y capacidad competitiva: Entrenando para el éxito empresarial, Información Comercial Española ICE, 838, pp. 157-168
Grant, R.M., 1991. The resource-based theory of competitive advantage: Implications for strategy formulation, California Management Review, 33(3), pp. 114 –135.
Gubman, E.L., 1995. Aligning People Strategies with Customer Value, Compensation & Benefits Review, 27(1), pp. 15-22.
Hansson, B., 2007. Company-based determinants of training and the impact of training in company performance: Results from an international HRM survey, Personnel Review, 36, pp. 311-331.
Hendry, C. and Pettigrew, A., 1992. Patters of Strategic Change in Development of Human Resource Management, British Journal of Management, 3(3), pp. 137-156.
Holmstöm, B., 1982.Moral Hazard in teams, Bell Journal of Economics,13, pp. 324-340.
Jensen, M.C. and Meckling, W.H., 1976. Theory of the firm: managerial behavior, agency costs and ownership structure, Journal of Financial Economics, 3, pp. 305-360.
Kamoche, K., 1996. Strategic human resource management within a resource-capability view of the firm, Journal of Management Studies, 33(2), pp. 213-233.
Kamoche, K. and Mueller, F., 1998. Human resource management and the appropriation-learning perspective, Human Relations, 51, pp. 1033-1060.
Kim, D.H., 1993. The link between individual and organizational learning, Sloan Management Review, 33, pp. 37-50.
Krueger, R. A., 1994. Focus Groups: A practical guide for applied research. (2nd ed.). Thousand Oaks, CA: Sage.
Lado, A.A. and Wilson, M.C., 1994. Human resource system and sustained competency-based perspective, Academy of Management Review, 19(4), pp. 699-727.
Landeta, J., 2002. El método Delphi. Una técnica de previsión del futuro. Barcelona: Ariel.
Landeta, J., 2006. Current validity of the Delphi method in social sciences, Technological Forecasting and Social Change, 73, pp. 467-482.
Landeta, J., Barrutia, J., Araujo, A. and Hoyos, J., 2007. Claves del comportamiento de la empresa respecto a la formación continua de sus directivos, Pamplona: Thomson-Civitas.
Landeta, J., Barrutia, J. and Hoyos, J., 2009. Management turnover expectations: a variable to explain company readiness to engage in continuous management training. The International Journal of Human Resource Management, 20(1), pp. 164-185.
Landeta, J., Barrutia, J. and Lertxundi, A., 2011. Hybrid Delphi: A methodology to facilitate contribution from experts in professional contexts, Technological Forecasting & Social Change. 78, pp. 1629-1642.
Linstone, H. and Turoff, M., 1975. The Delphi Method. Techniques and Applications, Mass.: Addison-Wesley Pub.
Marshall, J. N., Alderman, N., Wong, C. and Thwaites, A., 1995. The Impact of Management Training and Development on Small and Medium-sized Enterprises. International Small Business Journal, 13 (4), pp.73-90.
Mueller, F., 1996. Human resources as strategic assets: an evolutionary resource-based theory. Journal of Management Studies, 33(6), pp. 757-785.
Muñoz, R.M. and Salinero, M.Y., 2011. Training as a source of competitive advantage: performance impact and the role of firm strategy, the Spanish case. The International Journal of Human Resource Management, 22, pp. 574-594.
Ng, I. and Dastmalchian, A., 2011. Perceived training benefits and training bundles: a Canadian study. The International Journal of Human Resource Management, 22, pp. 829-842.
Ng, Y.C. and Siu, N.Y.M., 2004. Training and enterprise performance in transition: evidence from China. The International Journal of Human Resource Management, 15, pp.878-894.
Nikandrou, I., Apospori, E., Panayotopoulou, L., Stavrou, E.T., and Papalexandris, N., 2008. Training and firm performance in Europe: The impact of national and organizational characteristics. International Journal of Human Resource Management, 19(11), pp. 2057-2078.
Peteraf, M.A., 1993. The cornerstones of competitive advantage: a resource-based view, Strategic Management Journal, 14, pp. 179-191.
Pickett, L., 1998. Competencies and managerial effectiveness: Putting competencies to work. Public Personnel Management, 27, pp. 103-115.
Rowe, G. and Wright, G., 1996. The impact of task characteristics on the performance of structured group forecasting techniques. International Journal of Forecasting, 12, pp. 73-89.
Russell, J.S., Terborg, J.R. and Powers, M.L., 1985. Organizational performance and organizational level training and support. Personnel Psychology, 38, pp. 849-863.
Schultz, T.W., 1961. Investment in human capital. American Economic Review, 51, pp. 1-17.
Shapiro, C., Stiglitz, J., 1984. Equilibrium unemployment as a worker discipline device, American Economic Review, 74, pp. 433-444.
Schuler, R.S., 1987. Personnel and Human Resource Management Choices and Organizational Strategy. Human Resource Planning, 10 (1), pp. l-17.
Schuler, R.S. and Jackson, S.E., 1987. Linking Competitive Strategies with Human Resource Management Practices. The Academy of Management Executive, 1 (3), pp. 207-219
Spence, M., 1973. Job Market Signalling. Quarterly Journal of Economics, 87, pp. 355-374.
Stiglitz, J.E. and Weiss, A., 1981. Credit rationing in markets with imperfect information. American Economic Review, 71(3), pp. 393-410.
Storey, D.J., 2004. Exploring the link, among small firms, between management training and firm performance: A comparis-ion between the UK and other OECD countries, International Journal of Human Resource Management, 15(1), pp. 112-130.
Tharenou, P., Saks, A.M. and Moore, C., 2007. A review and critique of research on training and organizational-level outcomes. Human Resource Management Review, 17, pp. 251-273.
Úbeda, M., 2005. Training and business performance: the Spanish case, The International Journal of Human Resource Management, 16(9), pp. 1691-1710.
Van de Ven, A.H. and Delbeq, A. L., 1971. “Nominal versus Interacting group processes for comitte decision making effectiveness”. Academy of Management Journal, 14, pp. 203-212.
Williamson, O., 1975. Markets and Hierarchies: Analysis and Antitrust Implications. Nueva York: The Free Press.
Waldman, M., 1984. Job Assignments, Signalling and Efficiency. RAND Journal of Economics, 15, pp. 255-267.
Waldman, M., 1990. ”Up-or-Out Contracts: A signaling Perspective”. Journal of Labor Economics, 8, pp. 230-250.
Williamson, O., 1975. Markets and hierarchies: Analysis and antitrust implications, New York: Free Press.
Williamson, O., 2005. Why Law, Economics and Organization?. Annual Review of Law and Social Sciences, 1, pp. 369-396.
Wright, P.M., McMahan, G.C. and McWilliams, A., 1994. Human resources and sustained competitive advantage: A resource-based perspective. The International Journal of Human Resource Management, 5, pp. 301-326.
Akerlof, G.A., 1970. The market of lemons: Qualitative, uncertainly and the market mechanism, Quarterly Journal of Economics, pp. 488-500.
Amit, R. and Schoemaker. P., 1993. Strategic assets and organizational rent, Strategic Management Journal, 14, pp. 33-46.
Aragón, A., Barba, I. and Sanz, R., 2003. Effects of training on business results, International Journal of Human Resource Management, 14(6), pp. 956-980.
Araujo, A., Barrutia, J., Ibáñez, P. and Landeta, J., 2001. Oferta y demanda de formación en gestión para directivos en el ámbito de la CAPV. Bilbao: Cluster del Conocimiento en Gestión Empresarial y Ediciones PMP.
Araujo, A., Ibáñez, P., Landeta, J. and Ranguelov, S., 2003. Análisis de la flexibilidad de la oferta de formación en gestión del País Vasco, Cuadernos de Gestión, 3(1 y 2), pp. 101-119.
Bardecki, M.J., 1984. Participants´ response to the Delphi Method: An attitudinal perspective, Technological Forecasting & Social Change, 25, pp. 281-292.
Barney, J., 1991. Firm resources and sustained competitive advantage, Journal of Management, 17, pp. 31-46.
Barney, J. and Wright, P.M., 1998. On becoming a strategic partner: The role of human resources in gaining competitive advantage, Human Resource Management, 37(1), pp. 31-46.
Barney, J.B., 1986. Strategic factor markets: Expectations, luck and business strategy, Management Science, 32(1), pp. 1231-1241.
Becker, G.S., 1964. Human Capital, Princeton, N.J: Princeton University Press.
Bernhardt, D., 1995. Strategic Promotion and Compensation. Review of Economic Studies, 62, pp. 315-339
Boxall, P.F., 1996. The strategic HRM debate and the resource-based view of the firm, Human Resource Management Journal, 6(3), pp. 59-75.
Brunello, G., and De Paola, M., 2004. Market Failures and the Under-provision of Training. Brussels: OECD Seminar on Human Capital and Labour Market Performance.
Caloghirhou,Y., Kastelli, I. and Tsakanikas, A., 2004. Internal Capabilities and external knowledge sources: Complements or substitutes for innovative performance, Technovation, 24, pp. 29-39
Castanias, R.P. and Helfat, C.E., 1991. Managerial resources and rents. Journal of Management, 17, pp. 155-157.
Castanias, R.P. and Helfat, C.E., 2001. The managerial rents model: Theory and empirical analysis, Journal of Management, 27, pp. 661-678.
Cedefop. European Centre for Development of Vocational Training, 2009. Modernising vocational education and training. Fourth report on vocational education and training research in Europe: Synthesis report. Luxembourg: Cedefop Reference series. Publications Office of the European Union.
Cedefop. European Centre for Development of Vocational Training, 2004. Learning for employment. Second report on vocational education and training research in Europe: Synthesis report. Lusembourg: Cedefop Reference series. Publications Office of the European Union.
Cesaroni, F., 2004. Technological Outsourcing and Product Diversification: do Markets for Technology affect Firms´ Strategies?. Research Policy, 33, pp. 1547-1564.
Dalkey, N. and Helmer, O., 1963. An experimental application of the Delphi Method to use of experts, Management Sciences, 9, pp. 458-467.
Delbeq, A. L. and Van de Ven, A.H., 1971. A group process model for problem identification and solving, Journal of Applied Behavioral Science, 7(3), pp.466-492.
Eurostat, 2007. Continuing training in enterprises in Europe - Results of the third European Continuing Vocational Training Survey in enterprises, Luxembourg: Eurostat Working Papers.
Garcia Erquiaga, E, 2007. Formación directiva y capacidad competitiva: Entrenando para el éxito empresarial, Información Comercial Española ICE, 838, pp. 157-168
Grant, R.M., 1991. The resource-based theory of competitive advantage: Implications for strategy formulation, California Management Review, 33(3), pp. 114 –135.
Gubman, E.L., 1995. Aligning People Strategies with Customer Value, Compensation & Benefits Review, 27(1), pp. 15-22.
Hansson, B., 2007. Company-based determinants of training and the impact of training in company performance: Results from an international HRM survey, Personnel Review, 36, pp. 311-331.
Hendry, C. and Pettigrew, A., 1992. Patters of Strategic Change in Development of Human Resource Management, British Journal of Management, 3(3), pp. 137-156.
Holmstöm, B., 1982.Moral Hazard in teams, Bell Journal of Economics,13, pp. 324-340.
Jensen, M.C. and Meckling, W.H., 1976. Theory of the firm: managerial behavior, agency costs and ownership structure, Journal of Financial Economics, 3, pp. 305-360.
Kamoche, K., 1996. Strategic human resource management within a resource-capability view of the firm, Journal of Management Studies, 33(2), pp. 213-233.
Kamoche, K. and Mueller, F., 1998. Human resource management and the appropriation-learning perspective, Human Relations, 51, pp. 1033-1060.
Kim, D.H., 1993. The link between individual and organizational learning, Sloan Management Review, 33, pp. 37-50.
Krueger, R. A., 1994. Focus Groups: A practical guide for applied research. (2nd ed.). Thousand Oaks, CA: Sage.
Lado, A.A. and Wilson, M.C., 1994. Human resource system and sustained competency-based perspective, Academy of Management Review, 19(4), pp. 699-727.
Landeta, J., 2002. El método Delphi. Una técnica de previsión del futuro. Barcelona: Ariel.
Landeta, J., 2006. Current validity of the Delphi method in social sciences, Technological Forecasting and Social Change, 73, pp. 467-482.
Landeta, J., Barrutia, J., Araujo, A. and Hoyos, J., 2007. Claves del comportamiento de la empresa respecto a la formación continua de sus directivos, Pamplona: Thomson-Civitas.
Landeta, J., Barrutia, J. and Hoyos, J., 2009. Management turnover expectations: a variable to explain company readiness to engage in continuous management training. The International Journal of Human Resource Management, 20(1), pp. 164-185.
Landeta, J., Barrutia, J. and Lertxundi, A., 2011. Hybrid Delphi: A methodology to facilitate contribution from experts in professional contexts, Technological Forecasting & Social Change. 78, pp. 1629-1642.
Linstone, H. and Turoff, M., 1975. The Delphi Method. Techniques and Applications, Mass.: Addison-Wesley Pub.
Marshall, J. N., Alderman, N., Wong, C. and Thwaites, A., 1995. The Impact of Management Training and Development on Small and Medium-sized Enterprises. International Small Business Journal, 13 (4), pp.73-90.
Mueller, F., 1996. Human resources as strategic assets: an evolutionary resource-based theory. Journal of Management Studies, 33(6), pp. 757-785.
Muñoz, R.M. and Salinero, M.Y., 2011. Training as a source of competitive advantage: performance impact and the role of firm strategy, the Spanish case. The International Journal of Human Resource Management, 22, pp. 574-594.
Ng, I. and Dastmalchian, A., 2011. Perceived training benefits and training bundles: a Canadian study. The International Journal of Human Resource Management, 22, pp. 829-842.
Ng, Y.C. and Siu, N.Y.M., 2004. Training and enterprise performance in transition: evidence from China. The International Journal of Human Resource Management, 15, pp.878-894.
Nikandrou, I., Apospori, E., Panayotopoulou, L., Stavrou, E.T., and Papalexandris, N., 2008. Training and firm performance in Europe: The impact of national and organizational characteristics. International Journal of Human Resource Management, 19(11), pp. 2057-2078.
Peteraf, M.A., 1993. The cornerstones of competitive advantage: a resource-based view, Strategic Management Journal, 14, pp. 179-191.
Pickett, L., 1998. Competencies and managerial effectiveness: Putting competencies to work. Public Personnel Management, 27, pp. 103-115.
Rowe, G. and Wright, G., 1996. The impact of task characteristics on the performance of structured group forecasting techniques. International Journal of Forecasting, 12, pp. 73-89.
Russell, J.S., Terborg, J.R. and Powers, M.L., 1985. Organizational performance and organizational level training and support. Personnel Psychology, 38, pp. 849-863.
Schultz, T.W., 1961. Investment in human capital. American Economic Review, 51, pp. 1-17.
Shapiro, C., Stiglitz, J., 1984. Equilibrium unemployment as a worker discipline device, American Economic Review, 74, pp. 433-444.
Schuler, R.S., 1987. Personnel and Human Resource Management Choices and Organizational Strategy. Human Resource Planning, 10 (1), pp. l-17.
Schuler, R.S. and Jackson, S.E., 1987. Linking Competitive Strategies with Human Resource Management Practices. The Academy of Management Executive, 1 (3), pp. 207-219
Spence, M., 1973. Job Market Signalling. Quarterly Journal of Economics, 87, pp. 355-374.
Stiglitz, J.E. and Weiss, A., 1981. Credit rationing in markets with imperfect information. American Economic Review, 71(3), pp. 393-410.
Storey, D.J., 2004. Exploring the link, among small firms, between management training and firm performance: A comparis-ion between the UK and other OECD countries, International Journal of Human Resource Management, 15(1), pp. 112-130.
Tharenou, P., Saks, A.M. and Moore, C., 2007. A review and critique of research on training and organizational-level outcomes. Human Resource Management Review, 17, pp. 251-273.
Úbeda, M., 2005. Training and business performance: the Spanish case, The International Journal of Human Resource Management, 16(9), pp. 1691-1710.
Van de Ven, A.H. and Delbeq, A. L., 1971. “Nominal versus Interacting group processes for comitte decision making effectiveness”. Academy of Management Journal, 14, pp. 203-212.
Williamson, O., 1975. Markets and Hierarchies: Analysis and Antitrust Implications. Nueva York: The Free Press.
Waldman, M., 1984. Job Assignments, Signalling and Efficiency. RAND Journal of Economics, 15, pp. 255-267.
Waldman, M., 1990. ”Up-or-Out Contracts: A signaling Perspective”. Journal of Labor Economics, 8, pp. 230-250.
Williamson, O., 1975. Markets and hierarchies: Analysis and antitrust implications, New York: Free Press.
Williamson, O., 2005. Why Law, Economics and Organization?. Annual Review of Law and Social Sciences, 1, pp. 369-396.
Wright, P.M., McMahan, G.C. and McWilliams, A., 1994. Human resources and sustained competitive advantage: A resource-based perspective. The International Journal of Human Resource Management, 5, pp. 301-326.
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