Continuity and change: employers’ training practices and partnerships with training providers

Major barriers to, and enablers of, training

Major barriers

There are many potential barriers to employers providing training to their staff. In an Australian Industry Group (AIG) survey of over 500 employers in 2005 (Allen Consulting Group 2006), the main barriers to training were stated by employers to be the difficulty of accommodating training around work demands and other constraints internal to the firm; insufficient government incentives; and issues with the training system, including a lack of flexibility and unavailability of relevant training. The predominant barriers are elaborated on in more detail below.

Resourcing issues

Resourcing and related issues present significant barriers to employers engaging with training. Indeed, the 2005 AIG survey (Allen Consulting Group 2006) found that one of the main barriers to training was the difficulty of accommodating training provision around work demands. Mawer and Jackson’s (2005) consultations with 40 individuals across 12 small- to medium-sized businesses in the retail, manufacturing, and building and construction industries showed that difficulties in releasing staff, long hours and out-of-work commitments for employees, and non-standard employment arrangements were some of the key barriers to providing employees with training.

Organisational size is often cited as a barrier to resourcing training in organisations, with smaller firms facing larger barriers to training due to a lack of suitable formal training opportunities given their size (Storey & Westhead 1997; Storey & Greene 2010). However, in Coetzer, Redmond and Sharafizad’s (2012) study on medium-sized organisations (fewer than 200 employees), organisational size did not emerge as an important barrier in the managerial decision making process.

Costs, perceived complexity and employer knowledge

In the AIG survey (Allen Consulting Group 2006), insufficient financial incentives from government were a major barrier to training. In a later survey by the AIG (AIG 2008), 52% of chief executive officers (CEOs) surveyed stated that cost was the major barrier to up-skilling their existing employees. Further, a lack of government incentives was mentioned by 36% of the CEOs.

The training system itself can serve as a barrier for organisations. Cully (2005), in a summary of research on employer-provided training, stated that: ‘A strong finding to emerge from this body of research is that employers find it difficult to organise training for their workforces; in particular, they find the formal VET system to be complex’ (p.8). E Smith et al. (2005), in their study on the use of nationally recognised training by enterprises for their existing workers, found that organisations perceived the VET system to be complex and jargon-ridden. This perception pervaded all business sizes; however, unsurprisingly, was more prevalent in small- and medium-sized enterprises.

Mawer and Jackson’s (2005) findings demonstrated that, while generally aware of the national training system, and moves towards competency-based standards and qualifications, organisations were not aware of specific components, such as the relevant training package or range of qualifications for existing employees. Employers found the training world confusing, and sourcing appropriate training information and provision difficult, and relied heavily on employer and professional associations for assistance in navigating through the different qualifications, programs and subsidies. Most organisations did not know about provisions such as recognition of prior learning (Mawer & Jackson 2005).

Not only is it difficult for organisations to obtain the appropriate information on what kinds of training will be suitable for their employees, but it is difficult for them to keep up-to-date with the ever-evolving training market. The types of information organisations value in the decision-making process regarding training include information on different training providers, as well as the potential return on investment of the training (Stanwick 2009). On a more positive note, the Allen Consulting Group (2006) found that the complexity of the training system was not seen as so much of an issue by employers as it had been in an earlier survey conducted in 1998.

Perceived lack of appropriate training content

E Smith et al. (2005) found that a relatively small proportion of employers not engaged with nationally recognised training were dissatisfied with the content of the training or the training providers. This issue was further reiterated by the Allen Consulting Group (2006). Simons and Harris (2014), however, reported some complaints in this area, including that national recognised training was too general, too specific and that there was not enough emphasis on practical skills.

Major enablers

Training infrastructure

A significant enabler for organisations providing training to employees is access to training infrastructure. There are several strategies that successful organisations implement to support and enable employee training. These actions include the development of policies for structured training, along with processes that enable space to be made in the work schedule for training and training supervision to be carried out (Smith, P 2000). Mawer and Jackson (2005) found that organisations with a designated manager or supervisor who had training qualifications and responsibilities had a greater understanding of the VET system and available training options. Hodge, Smith and Barratt-Pugh (2013) found a range of roles associated with people with responsibility for training, often known as learning and development managers. In the UK, it has been noted that these professionals are experiencing a continued shift towards integration with business strategy and taking a great role in monitoring and evaluation. (CIPD 2015). An important component of training infrastructure and culture in an organisation is the presence of systematic training needs analysis processes, although Clarke (2003) maintains that training needs analyses may be political processes within the firm. Training needs analysis takes place at one or all of the following levels: organisational, individual and job or task level (Lawler & Tovey 2011). The E Smith et al. (2005) study found that companies using nationally-recognised training were more likely than other companies to have established training infrastructure and some evidence of a training culture.