Your reflection notes should be organized to present:

1. Key learning points from the three readings of your choice (a summary)
2. Your reflections
3. References

Reflections is underlined as this is considered one of the most important parts of the learning process. Based on the readings, you must consider your unique experiences and perspectives. And also Cite

Aguinis, H., & Kraiger, K. (2009). Benefits of training and development for individuals and teams, organizations, and society.Annual Review of Psychology,60, 451-474.

As organizations strive to compete in the global economy, differentiation on the basis of the skills, knowledge, and motivation of their workforce takes on increasing impor- tance. According to a recent industry report by the American Society for Training and De- velopment (ASTD), U.S. organizations alone spend more than $126 billion annually on employee training and development (Paradise 2007). "Training" refers to a systematic ap- proach to learning and development to improve individual, team, and organizational effective- ness (Goldstein & Ford 2002). Alternatively, development refers to activities leading to the acquisition of new knowledge or skills for pur-

Aguinis Kraiger

poses of personal growth. However, it is often difficult to ascertain whether a specific research study addresses training, development, or both. In the remainder of this review, we use the term "training" to refer to both training and devel- opment efforts.

The importance of and scholarly interest in training in work organizations is reflected by the regular publication of training reviews in the Annual Review of Psychology since 1971 (Campbell 1971, Goldstein 1980, Wexley 1984, Latham 1988, Tannenbaum & Yukl 1992, Salas & Cannon-Bowers 2001). The present review covers the training literature since January 2000. We provide a review that is comprehen- sive though not exhaustive. Also, in contrast to previously published Annual Review of Psychol- ogy articles, we readily acknowledge at the out- set that we take a point of view that training in work organizations produces clear benefits for individuals and teams, organizations, and society. We believe that training in work or- ganizations is an area of applied psychological research that is particularly well suited for mak- ing a clear contribution to the enhancement of human well-being and performance in organi- zational and work settings as well as in society in general. Thus, in this review we first describe the benefits of training for various stakeholders and then discuss how training can be designed, delivered, and evaluated so that these benefits are maximized.

We acknowledge three unique characteris- tics of the present review that also differentiate it from previous Annual Review of Psychology arti- cles on the same topic. First, because the train- ing field has grown exponentially in the past decade, we cannot rely on the psychological lit- erature to be the only or even main source of knowledge that has been generated. In prepar- ing to write this article, we reviewed about 600 articles, books, and chapters published in psychology as well as in related fields in- cluding human resource management, instruc- tional design, human resource development, human factors, and knowledge management. We believe this multidisciplinary approach is needed given the increasing fragmentation of

452

knowledge generated by researchers in various training subfields. Second, although psychol- ogy research on training has been a topic tradi- tionally studied at the individual level of analysis and more recently at the team level of analysis, this review also includes organization and soci- ety levels of analysis. The present article goes beyond the traditional levels of analysis because, as noted by Kaufman & Guerra (2001), "we have entered a new era in which both achiev- ing useful results and proving that they add value to the organization and our shared soci- ety are required" (p. 319). Third, thanks in part to the availability of cheaper and faster ways to send and receive information using the In- ternet, human resource management interven- tions and training efforts in particular are taking place at a global level (Cascio & Aguinis 2008). Thus, a review of the training literature cannot limit itself to research conducted only in the United States. Accordingly, this review includes numerous studies conducted outside of North America. In short, we approached our literature review from a fundamentally necessary multi- disciplinary, multilevel, and global perspective.

Organization and Overview

The present review is organized as follows. In the first section, we describe benefits of train- ing activities. First, we focus on benefits for in- dividuals and teams, separating these benefits into job performance and factors related to job performance (e.g., tacit skills, innovation, com- munication), and other benefits (e.g., empow- erment, self-efficacy). Second, we describe ben- efits for organizations. We also separate these benefits into organizational performance, fac- tors related to organizational performance (e.g., effectiveness, profitability, sales), and other benefits (e.g., employee and customer satis- faction, improved organizational reputation). Third, we describe benefits for society. Overall, a review of this body of literature leads to the conclusion that training activities provide ben- efits for individuals, teams, and organizations that improve a nation's human capital, which in turn contributes to a nation's economic growth.

The second section reviews research ad- dressing how to maximize the benefits of train- ing activities at the individual and team, orga- nizational, and societal levels. First, we focus on the activities that take place before train- ing is implementedneeds assessment and pre- training states. Then, we focus on training de- sign and delivery, followed by a discussion of training evaluation. We review research regard- ing transfer of skills and knowledge acquired in training to work settings. In the third and fi- nal section, we address conclusions, including implications for practice, and suggestions for future research.

BENEFITS OF TRAINING FOR INDIVIDUALS AND TEAMS

There is documented evidence that training ac- tivities have a positive impact on the perfor- mance of individuals and teams. Training ac- tivities can also be beneficial regarding other outcomes at both the individual and team level (e.g., attitudes, motivation, and empowerment). We first review performance-related benefits.

Benefits Related to Job Performance

Training-related changes should result in im- proved job performance and other positive changes (e.g., acquisition of new skills; Hill & Lent 2006, Satterfield & Hughes 2007) that serve as antecedents of job performance (Kraiger 2002). Reassuringly, Arthur et al. (2003) conducted a meta-analysis of 1152 ef- fect sizes from 165 sources and ascertained that in comparison with no-training or pretraining states, training had an overall positive effect on job-related behaviors or performance (mean ef- fect size or d = 0.62). However, although dif- ferences in terms of effect sizes were not large, the effectiveness of training varied depending on the training delivery method and the skill or task being trained. For example, the most effective training programs were those includ- ing both cognitive and interpersonal skills, fol- lowed by those including psychomotor skills or tasks. Next, we describe studies to exemplify,

Human capital: the collective set of performance-relevant knowledge, skills, and attitudes within a workforce (at an organizational or societal level)

Training evaluation:

the systematic investigation of whether a training program resulted in knowledge, skills, or affective changes in learners

www.annualreviews.org Benefits of Training and Development

453

as well as go beyond, the general findings re- ported by Arthur et al. (2003). We emphasize that results from meta-analytic reviews should generally be given more weight than individ- ual (i.e., primary-level) studies because they are more reliable (Aguinis et al. 2008).

Training effects on performance may be subtle (though measurable). In a qualitative study involving mechanics in Northern India, Barber (2004) found that on-the-job training led to greater innovation and tacit skills. Tacit skills are behaviors acquired through informal learning that are useful for effective perfor- mance. Regarding innovation, trained mechan- ics learned to build two Jeep bodies using only a homemade hammer, chisel, and oxyacetylene welder. Regarding tacit skills, Barber noted that the job of a mechanic requires "feel" to be suc- cessful. Specifically, trained mechanics devel- oped an intuitive feel when removing dentsa complex process particularly when the fender is badly crumpled. As a result of informal training, one of the mechanics had a "good feeling of how to hit the metal at the exact spot so the work pro- gresses in a systematic fashion" (Barber 2004, p. 134). This type of tacit skill was particularly useful in the Indian context because, although most shops in developed nations would not even attempt to repair a fender that was damaged so badly, this type of repair is common practice in the developing world (Barber 2004).

Benefits of training are also documented for technical skills. For example, Davis & Yi (2004) conducted two experiments with nearly 300 participants using behavior-modeling training and were able to improve computer skills sub- stantially. Although behavior-modeling train- ing has a rich history of success (e.g., Decker & Nathan 1985, Robertson 1990), a unique aspect of this research was that training was found to affect changes in worker skills through a change in trainees' knowledge structures or mental models (see also Marks et al. 2002 for an ex- amination of mental models at the team level). Specifically, mentally rehearsing tasks allowed trainees to increase declarative knowledge and task performance, each measured 10 days af- ter the training was completed. More recently,

Taylor et al. (2005) conducted a meta-analysis including 117 behavior-modeling training studies. They ascertained that the largest ef- fects were for declarative and procedural knowl- edge (ds around 1.0 resulting from comparing training versus a no-training or pretest con- dition). Declarative knowledge is knowledge about "what" (e.g., facts, meaning of terms), whereas procedural knowledge is knowledge about "how" (i.e., how to perform skilled behav- ior) (see Aguinis 2009, Kraiger et al. 1993). The overall mean effect on changes in job behavior was d = 0.27. However, Taylor et al. (2005) re- ported substantial variance in the distribution of effect sizes, indicating the need to inves- tigate moderators of the relationship between behavior-modeling training and outcomes. We address the issue of moderators below in the Suggestions for Future Research section.

Training not only may affect declarative knowledge or procedural knowledge, but also may enhance strategic knowledge, defined as knowing when to apply a specific knowledge or skill (Kozlowski et al. 2001, Kraiger et al. 1993). Smith et al. (1997) refer to this as training for adaptive expertise (see also Ford & Schmidt 2000). In addition, training may enable consistency in performance across conditions. For example, Driskell et al. (2001) conducted a study including 79 U.S. Navy technical school trainees who performed a computer-based task. Trainees participated in a stress-exposure training session. This training exposes trainees to information regarding stressors (e.g., noise, time urgency), to the stressors, and how these stressors are likely to affect performance. Results showed that training was beneficial in that trainees per- formed well under a novel stressor and when performing a novel task. Thus, stress training helps maintain performance consistency.

Performance consistency may also result from enhancing trainees' self-efficacy or self- management skills. Frayne & Geringer (2000) conducted a field experiment in which they administered self-management training (lec- tures, group discussions, and case studies) to 30 salespeople in the life insurance industry.

454 Aguinis Kraiger

Results showed that salespeople who partici- pated in the training program demonstrated higher self-efficacy, outcome expectancy (e.g., "I will increase my sense of accomplishment"), and objective outcomes (e.g., number of new policies sold) as well as subjective job perfor- mance (i.e., sales managers' ratings of each salesperson's performance). Training-related performance improvement was sustained over a 12-month period after training ended.

There are also documented benefits of train- ing for managers and leaders. Collins & Holton (2004) conducted a meta-analysis of the bene- fits of managerial leadership development pro- grams including 83 studies published between 1982 and 2001 (see also Cullen & Turnbull 2005). They found that mean ds (comparing training with no training) ranged from 0.96 to 1.37 for knowledge outcomes and from 0.35 to 1.01 for expertise/behavioral outcomes. Knowledge was defined as principles, facts, at- titudes, and skills measured using both subjec- tive (e.g., self-reports) and objective (e.g., stan- dardized tests) measures. Expertise/behavioral outcomes were defined as changes in on-the- job behavior and were also assessed using both subjective (e.g., peer ratings) and objective (e.g., behavioral) measures.

A final illustration of training benefits re- lated to performance is cross-cultural training, in which employees are trained to perform their jobs in a different culture and/or adjust psy- chologically to living in that culture (Bhawuk & Brislin 2000, Lievens et al. 2003). Morris & Robie (2001) conducted a meta-analysis of the effects of cross-cultural training on expatriate performance and adjustment. Their meta- analysis included 16 studies that investigated adjustment and 25 studies that investigated job performance as the focal dependent variable. The mean correlation for the relationship between training and adjustment was 0.12 ( p < 0.05), and the correlation for the relationship between training and performance was 0.23 (p < 0.05). However, there was substantial variability in the distribution of effect sizes, suggesting that potential moderators existed (again, we discuss the issue of moderators in

the Suggestions for Future Research section). More recently, Littrell et al. (2006) conducted a qualitative review of 25 years (1980-2005) of research addressing the effectiveness of cross-cultural training in preparing managers for an international assignment. Littrell et al. (2006) examined 29 prior conceptual reviews and 16 empirical studies. Overall, they con- cluded that cross-cultural training is effective at enhancing the expatriate's success on overseas assignments. They also identified many vari- ables that moderate the effects of training on expatriate performance, including the timing of the training (e.g., predeparture, while on assignment, and postassignment), family issues (e.g., spouse's adjustment), attributes of the job (e.g., job discretion), and cultural differences between the home country and the assignment country.

Other Benefits

Other research demonstrates the impact of training on outcomes other than job perfor- mance or on variables that serve as antecedents to job performance. However, we emphasize that these additional benefits of training are not necessarily unrelated to job performance. In fact, in many cases they are indirectly re- lated to performance and, in others, they may be related to individual and team well-being, vari- ables arguably also indirectly related to job per- formance. For example, there is a renewed in- terest in leadership training (Collins & Holton 2004, Day 2000). Dvir et al. (2002) imple- mented a longitudinal randomized field ex- periment, using cadets in the Israel Defense Forces, in which experimental group leaders received transformational leadership training. Transformational leaders exhibit charismatic behaviors, are able to motivate and provide intellectual stimulation among followers, and treat followers with individual consideration. Results showed that transformational leader- ship training enhanced followers' motivation (i.e., self-actualization needs and willingness to exert extra effort), morality (i.e., international- ization of their organization's moral values), and

Cross-cultural training: training conducted for improving individual effectiveness and/or adjustment while on assignment in a new culture