Thursday, June 1, 2006

Why (Most) Training is Useless

This article began as a series of posts on my blog. My comments elicited quite a lot of encouraging interaction, so I am integrating and updating them here in a form accessible to a broader audience.

For much of my professional life, I have been paid to do training. It has been very well received in the sense that I have (usually) obtained high ratings, and clients not only paid their bills, but invited me back to do it again and again.

However, I now believe that the majority of business training, by me and by everyone else, is a waste of money and time, because only a microscopic fraction of training is ever put into practice and the hoped-for benefits obtained.

Unfortunately, training and other kinds of meetings and conferences are too often organised as stand-alone events, with a life of their own, disconnected from the firm's progress.

What companies don't seem to understand is that, as I shall discuss later in this article, training is a wonderful last step in bringing about changed organisational and personal behaviour, but a pathetically useless first step.

Companies train people in new areas but then send them back to their operating groups, subject to the same measures and management approaches as before.

People can detect immediately a lack of alignment between what they are being trained in and how they are being managed. When they do detect it, little, if any, of what has been discussed or "trained" ever gets implemented.

A good example of ill-conceived (and premature) training approaches is seen in the many calls I get to put on training programs to help people become better managers. I put my callers through a standard set of questions:

  • Did you choose people for managerial roles because they were the type of people who could get their fulfillment and satisfaction out of helping other people shine rather than having the ego-need to shine themselves? (No!)
  • Did you select them because they had a prior history of being able to give a critique to someone in such a way that the other person says: "Wow, that was really helpful, I'm glad you helped me see all that." (No!)
  • Do you reward these people for how well their group has done, or do you reward them for their own personal accomplishments in generating business and serving clients? (Both, with an emphasis on their personal numbers!)

So, let's summarise, I say. You've chosen people who don't want to do the job, who haven't demonstrated any prior aptitude for the job, and you are rewarding them for things other than doing the job?

Thanks, but I'll pass on the wonderful privilege of training them!

A good test for the timing of training would be as follows. If the training was entirely optional and elective, and only available in a remote village accessible only by a mule, but people still came to the training because they were saying to themselves, "I have got to learn this -- it's going to be critical for my future," then, and ONLY then, you will know you have timed your training well. Anything less than that, and you are doing the training too soon.


The Keynote Speech

Most of the calls I receive about speaking at in-house company events are from companies that want a speech that is entertaining, informative, stimulating, or motivating. What they don't seem to want is anything that specifically addresses the way they run their firms or the real-world changes they are really trying to make.

For example, I recently received an enquiry asking me to convey to the audience the importance of living up to the organisation's "sacred values" (including the need for collaboration). They wanted me to be inspiring.

However, when I asked if I could take votes at the meeting as to how well everyone thought the organisation was currently performing on collaboration and what the current barriers to collaboration were, the organisers were terrified at the potential for disruption. I was not hired for that speech.

Very frequently, the person who calls me to discuss a speech or a training course is a conference planner or someone in administration -- someone who is often the least empowered to engage in a discussion about how to bring about the changes that management desires.

Their role is frequently unenviable. Such people are often (perhaps even usually) given an impossible task: put on a development program that will change things around here, but leave management out of it!

The connection between management and potential speaker can be even more remote. For a few months I experimented with working through a speakers' bureau. I met with their agents to explain the type of work I was willing to take on. I was astonished to discover that this was a relatively unusual request for them -- most speakers and most clients operated on the principle that if the date was available and the date was free, then a booking was made.

There was no norm, it appeared, on either the client or the speaker side, whether an extensive discussion should take place to see if the speaker could be used to further the organisation's goals and fit in with other changes that management wanted to bring about.


Business versus Management

Another problem contributes to the minimal impact of much business training: the fact that it's about "business!"

"Business," as a subject, is about things of the logical, rational, analytical mind: concepts such as "the value chain" or the numerous P's of marketing. Even when it's analysing and discussing people, business is often treated as an intellectual process of analysis and discussion: Maslow's hierarchy of needs, the characteristics of great leaders, etc., etc. Business, at least as it is taught in our business schools and most training programs, is about understanding and knowledge.

These are, of course, both very important. However, managing is a skill, and (as it transpires) has nothing to do with rationality, logic, IQ, or intelligence. Whether you can manage is a simple question of whether or not you can influence individuals or organisations to accomplish something. It's about influencing people, singly, in groups, or in hordes.

No amount of understanding, knowledge or intelligence will help if you are not able to interact with people and get the response you desire. I know a lot about management from my education. That doesn't necessarily mean I'm any good at doing it.

The same tension between knowledge versus skill, and rational versus emotional development, exists in many other developmental areas.

Consider the topics of marketing, cross selling, building client relationships, earning trust, and providing client service. It has not been unusual for one of my clients to use all of these terms in outlining their needs for a seminar.

Yet what a mixture of varying attitudes, understanding, knowledge, and skill needs are hidden behind that collection of words!

Becoming good at dealing with people (inside or outside the organisation) is not accomplished by taking a college course in psychology, sociology, anthropology, or any other "-ology" where people sit around and intellectualise about "human resources" or "market segmentation" but never have to actually deal with a real, live human being.

The same, alas, is true of schools dedicated to the study of business. Business school faculties around the world tend to be made up of men and women whose backgrounds (and inclinations and temperament) are based in things of the logical, rational mind. They are well equipped to teach business, but are not structured to develop skills.

If, however, we really want to help people develop skills, we must view "training" the way an exercise instructor would use that word -- designing a planned set of activities that engage the right "muscles" and slowly build them up through the experience of doing.

To help people develop as managers doesn't mean discussing management (or, even worse, leadership) but rather requires putting people through a set of processes where they have to experience it, try it out, and develop their emotional self-control and interactive styles.

As Bill Peper, a facilitator within General Motors' Standards for Excellence process, reports on my blog: "Businesses often use training as a surrogate for the hard work of true skill development."


The Hard Business of Making Change

The truth is that most firms go about training entirely the wrong way. They decide what they wished their people were good at, allocate a budget to a training director and ask that training director to come up with a good program.

As Ted Harro commented on my blog: "Training is too often used as a (personally) inexpensive way to look like you're doing something if you're a manager. As typically done, it requires little time and little personal change."

Bringing about change is immensely difficult. It requires that managers address questions in four key areas:

  • Systems: Does the company actually monitor, encourage, and reward this (new) behavior?
  • Attitude: Do people want to do this? Do they buy in to its importance?
  • Knowledge: Do they know how to do it?
  • Skills: Are they any good at implementing and executing what they know?

Issues that exist at each of these levels require a different intervention. But note that skills development, as important as it is, is the last step, not the first.

There is no point putting on skills training if there is no incentive for the behaviour; the people don't believe in it and they don't yet know exactly what it is they are supposed to be good at!

The importance of the attitude questions is often underestimated. It is management's job to make people want to learn things by managing the "why" -- helping them understand why this is important, why it is exciting and fulfilling, why people should sacrifice their time and attention to get involved.

If you can be convincing on the why, the training itself can often be trivially easy. When people understand and "own" the importance of a topic, recognising its purpose, meaning and value, and its role in their own careers, they often seek out (and find) the books, the videos, the on-line materials, and the college courses, without the company needing to make any provisions for these things.

In fact, when I do training-like sessions, that's what I focus on -- primarily trying to get people excited about the topic, so they will leave the session actively seeking out the new learning for themselves. However, this only works if they believe that their company's management also believes this is important, not just that I do!


The Right Approach

The correct process in thinking about training would be to sit top management down and ask: "What are people not doing that we want them to be doing? And do we really know why they aren't doing them?"

Then it will be necessary to figure out a complete sequence of actions to address each of these questions:

  • What behaviours by top management need to change to convince people that the new behaviours are really required, not just encouraged? If the behaviour is going to be optional, then so should the training be.
  • What measurements need to change?
  • What has to happen before the training sessions occur in order to bring about the change?
  • What has to be in place the very day they finish?

A full change program would include, at least, an examination of the following:

  1. Scorecards (new, permanent measures of performance being trained)
  2. Coaching (continuous monitoring and follow-up on the new metrics)
  3. Tools (to help implement the training, in place before the training)
  4. Training
  5. Rewards and/or recognition for achievement

On my blog, David G. said: "No manager should ever be given a training budget until they show which business metric that training will impact -- they should set a goal for that impact and review performance against that goal before allocating more training budget to that manager."

For maximum effectiveness, it is usually better to train people in their regular operating groups, so that the training can be action- and decision-oriented, with collective, "monitor-able" commitments. Training classes that are drawn from different parts of the firm force the program to be "educational" only.

Large training sessions may be more efficient, in the sense that they expose a large number of people to the same set of thoughts simultaneously, but they are markedly less effective in bringing about change, and hence, are much less economic.

Training should only be scheduled on topics that can be applied straightaway. Too often, companies give people tools and techniques days, weeks, months, or even years before they'll need them and then hope they will somehow recall them (and perform them!) flawlessly when needed. This is wishful thinking at best.

The best training is usually done by the firm's own practitioners. Although often seen as an expensive use of high-priced practitioners' time, the greater credibility obtained when the firm's own people do the training results in much higher acceptance and subsequent application of the training. Outsiders should be used only to help develop programs and "train-the-trainers."

Too often junior people are sent off to be trained and they continue to speculate whether their seniors or leaders are really committed and serious about the topics being discussed. As previously noted, they often are not.

I was counselling one training firm, which was preparing to bid on a training job. As part of the request for information, its client company had asked the training firm: "What are you going to do to ensure that our managers apply the lessons you teach?" It may have seemed a reasonable question to the client company, but it only revealed the common abdication of responsibility that firms bring to training.

Even if the group leader is not conducting the training, it really helps if the operating group leader attends the training as a participant. In fact, it should be mandatory. This ensures an action-orientation to the discussion and credible public commitment built in to the closing of the program ("We're going to do this!").

Even if the group leader has been through the training many times before, it's good for him or her to be there, because only the leader's presence can lend the sessions the seriousness they need and make the action commitments both practical and monitorable.

To ensure discipline, training programs should have mandatory pre-reading and pre-testing (whereby attendees can't participate if they don't pass). Yes, this sounds like a tough rule, especially when training senior people, but I have seen numerous examples of firms that invested in highly customised programs, designed to bring about corporate consensus and change, where one-half of the participants prepared, and one-half did not. The ensuing discussion was a waste of everyone's time, annoying both sides.

As Cem Kaner pointed out: "Rather than distracting from people's ongoing work, training should be structured to help them improve the quality or efficiency of what they are doing today." As such, participation and preparation should not be optional.

The litany is simple: if it's worth doing training, it's worth doing in a way that's going to make a difference. That means using session time wisely, and that means preparation. If someone doesn't want to prepare, they should not be allowed in the room, no matter how senior. And if your training program doesn't warrant this degree of rigour, then you are almost certainly dabbling and wasting a significant percentage of your time and money.

In 2004, I wrote an article entitled Meeting Goals which tried to make clear that, to be effective, a meeting must not only have an agenda, but must have a limited set of clear goals. Many seminars, keynote speeches and training programs suffer from misunderstanding this issue. Too many companies know the agenda topics they wish to cover, but have thought through insufficiently well the goals they have, and how these goals are going to be met.

The summary is this: If the training has been in regular operating groups, in carefully chosen topics, right when the group can use the training, and with the group's leader in the room, they can immediately begin a discussion of how they plan to integrate the training's ideas into their practices. With the right preparation and follow-up, training can be immensely powerful.

Without all this, it can be (and usually is) an immensely wasted opportunity.

Are Business Schools Ready for Romance?

by Professor Milenko Gudic 2006

From the Central and East European Management Development Association (CEEMAN) in CEEMAN News, April 2006.

CEEMAN is proud to announce that Richard Wood, a leading authority on professional service firms, will be the keynote speaker in the 14th CEEMAN Annual Conference on Creating Synergy between Business Schools and Business. He will talk on "Communication and Relationship Development: How to Improve Mutual Understanding between Business Schools and Business".


In your recent article, you were talking about the differences between the relationship and transactional approaches in dealing with clients, and for the former you were using the "romance" metaphor. In this context, how would you describe the prevailing practices in business schools today, when it comes to their approach to businesses. Are business schools ready for their romance with business?

RW: I don't think many business schools really want a relationship with business. I cannot speak for all countries, but in most places I go to, I see that business schools are still predominantly academic institutions, with scholarly values, not places filled with people who really want to engage with business. Oh, yes, business schools want to STUDY business, but from a detached point of view. Business schools want to be professors, they do not want to be managers. They want to be observers, not participants. Most of them are like anthropologists, studying mysterious tribes, but making no effort to join the tribe.

Business schools pretend that they are preparing people for business careers, but the truth is that they provide a very one-sided preparation.

This is what I wrote in a recent blog post of mine, entitled Why Business Schools Cannot Develop Managers:

As I have often reported, I have every business degree the planet has to offer, and even taught at the Harvard Business School. Yet at the end of all that I knew quite a lot about business and nothing about managing.

"Business" as a subject (and a degree program) is all about things of the logical, rational, analytical mind: Mike Porter's five forces, the numerous P's of marketing, Maslow's hierarchy of needs, etc, etc. It's about knowledge.

Managing, on the other hand, is a skill, and has nothing to do with rationality, logic, IQ or intelligence. It's a simple issue of whether or not you can influence individuals or organisations to accomplish something. It's about influencing people, singly or in groups (or in hordes.) No amount of intelligence will help if you are not able to interact with people and get the response you desire. (Believe me, I have experienced the difference. I know a lot about management from my education. That doesn't mean I'm any good at doing it.)

And of course, this is not accomplished by taking a college course in psychology, sociology, anthropology or any other "ology" where we sit around and intellectualise about "human resources" but never have to actually deal with a real live human being. (It reminds me of the Linda Ronstadt / Dolly Parton / Emmylou Harris song which contains the line -- you don't know what a man is until you have to please one!)

To help people develop as managers doesn't mean discussing management (or even worse -- leadership), but rather requires putting people through a set of processes where they have to experience it, try it out, and develop their emotional self-control and interactive styles.

MBAs are not getting the right education for management, although in developing their analytical skills the business schools are perfect for developing consultants, investment bankers and other professionals, as evidenced by where their graduates actually go. Henry Mintzberg, a professor at McGill has recently published a book -- Managers not MBAs -- which makes many related points.


What does it take for business schools to develop romance with business? Do they have to be "romantic" also internally. If yes, how?

RW: My original article contrasted relationships with transactions, which can be viewed as long-term interdependence versus loose temporary affiliations.

Business schools, like all university departments, are not created from people who want inter-dependency. Faculty in universities are not really wedded to their colleagues -- each is encouraged to be an intellectual entrepreneur, each developing his or her own intellectual capital. There is rarely a department-wide or school-wide point of view, because the faculty would hate that. Faculty want independence, not relationships. We are choosing for business school faculty people who absolutely do not want to be tied into an organisation which imposes common obligations, common purpose and common mission. Yet we ask these people to study and teach about organisations that need exactly that!

Similarly, there is not relationship with students or executive education. There are only short-term transactions with undergraduate, MBA or executive audiences. There is no real pretense at long-term relationships at most places. Maybe one or two in the world, but the truth is that these are marriages of convenience. We'll pay you our fees and pretend to listen to you if you'll give us the rubber stamp of your qualification.


In the last CEEMAN Deans and Directors Meeting on the Challenges and Methods do Faculty Development, when we discussed what kind of faculty students appreciate we heard an expression that you also frequently quote: people do not care how much you know, until they know how much you care. The question is whether the concept of care is related only to individuals, or it could be also something that schools as institutions could and should embrace.

RW: Yes institutions can care, if there is clarity about who you are truly trying to serve, and a real commitment to do that. That's what REAL missions are about. However, scholars are not committed to serve anyone, except maybe their intellectual peers. It would be theoretically possible to imagine a business school that truly lived up to its mission, but I have never seen one. Like most organisations, business schools know what they say they SHOULD be committed to (excellence, teaching, serve the community, provide practical business advice) but they don't enforce these standards. Or they don't enforce them at a high level. Mostly, you can keep your job as long as you don't actually mess up.


Large businesses have been increasingly developing their own internal education and training, including corporate universities. On the other hand, in the context of the increasing competitiveness in the globalising business education industry, schools have been "corporatising" themselves. What kind of challenges and/or opportunities these trends offer for the development of a real romance that business schools and business should strive for?

RW: Many large professional firms, in an attempt to develop their own managers, are linking up with prominent business schools to train their partners in management. The partners may be learning about business, but when it comes to managing it's a case of the blind leading the blind. If you want to get experience (or even understanding) of how people actually respond and function, individually and in groups, it's not clear that a group of scholars who are super-intelligent but have never actually managed anyone are the best providers of that service. Firms would be better off hiring the Dale Carnegie trainers.

But such approaches remain the exception rather than the rule, and, I suspect, are still being designed and conducted by faculty who were specifically selected for their interest in things of the mind -- intellectuals who predisposition is to draw analytical lessons from the experience, rather than to help people hone practical skills. Business schools are becoming MORE scholarly places as the years go by, not less.

I'm not saying business schools don't do wonderful things for people (and perhaps to them.) I'm very grateful for what my education did for me, and proud of the institutions I was affiliated with. I just don't think any of it had anything to do with making me a better manager -- or much of one at all.

As Coert Visser pointed out on my blog, Jeffrey Pfeffer has provided some additional reasons which explain why many MBA graduates often don't turn out to be great managers. One of those is that economic theories and models have a too dominant position in MBA's in particular and in management science and education in general. Many authors, like Jeffrey Pfeffer, Daniel Kahneman and Robert Frank have shown that many of the economics theories and practices are based on faulty premises about human behaviour. Management education needs better theories!

Peter FRIEDES said on my blog that there are two fundamental skills that managers need to have to be effective. The skill to Relate to their employees and the skill to require of their employees. Relating includes the skills to Ask, Listen, Include, Coach and Encourage. The Requiring skills include the ability to focus on goals, Declare, Insist, Control and Confront. If a manager has both sets of skills, and a reasonable sense of when to use each set, they will be a good manager. Almost no schools teach the Relating skills.

(Peter Friedes, the ex-CEO of Hewitt Associates, wrote a FABULOUS and PRACTICAL book called 'The 2R Manager". I still think it is essential reading for anyone taking on a managerial role.)

There's a lot that business schools COULD be, but I don't think the current faculty in most places have what it takes to go there, because they don't WANT to go there. They are (terrific) scholars, not people who really want to engage with the world.