Expert Opinion: Managing Talent
Logistics and Supply Chain
By Bill Michels   
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We all know that our companies depend on knowledgeable, skilled workers. We know that training is critical to keep those skills sharp. But, too often, employees who take training courses cannot apply those new skills to the job because the training may not have filled an actual gap in skills. The course may not have been designed well, or there could be little support within his or her department for new ideas. Finally, there may be no accountability placed on the individual and little measurement between the old skill and a newly acquired skill set.

A better way to approach skill development in an organization is to recognize that success in a constantly changing business environment requires continuous professional improvement. Taking a cue from manufacturing process improve­­­ment programs, continuous professional development programs involve repeating a cycle of five steps. They are:

  1. Assessing skills and identifying knowledge gaps at an individual and team level;
  2. Generating individual and group learning plans for closing the gaps;
  3. Choosing and implementing a training program;
  4. Incorporating the learning into the organization; and 
  5. Reassessing at regular intervals to evaluate the impact and identify new gaps.

This process can work in any area of a business, but in the area of supply management, the process is particularly effective, because the specific training often can be linked to direct cost improvements in purchases or other forms of measurable supply chain savings. By carefully defining the business needs and objectives of a professional development program, then creating metrics and carefully selecting a training provider, it is possible to get a measurably high return on training investments.

Here is the summary of the best route to continuous professional development in supply management. The principles can be applied to other areas of your company, as well.
 
Existing Content and Needs
Your organization should start with a needs assessment to understand the company culture, sourcing process and business strategies, and to analyze the overall competency of the procurement organization. 

A well-prepared survey of members of the supply management team can be an effective assessment tool. If it’s clear the results will not be used in a performance evaluation, employees will generally provide accurate information about their own skills and the process of the team around them.

Because the design of a reliable survey instrument can be an expensive proposition, it’s generally best to outsource the assessment step to a consultant that has a tested questionnaire – especially if it can incorporate some key questions that may be unique to your organization or your industry. A Web-based survey instrument can be cost-effective, because it can be deployed economically to teams that are at sites around the world and it can automatically aggregate and analyze the survey data.

Whatever skills assessment tool you use, it should identify the existing skill set of your supply management team individually and as a group.

Individual and Group Learning
Looking at your assessment data will give you a good idea of the skills gaps of the overall business unit, as well as those for each individual. Once these gaps are identified, prioritize what you want to address so you are essentially creating a “just-in-time” training program to deliver the most-needed training to meet current business needs.

Training expert Donald Kirk­patrick describes four levels of training that can help you prioritize. They correspond to the kinds of outcomes you may be looking for. These four levels are:

  • Level 1 – Reaction – did you enjoy the training?
  • Level 2 - Learning – did you remember what you learned?
  • Level 3 - Behavior – can you use the training in your day-to-day work?
  • Level 4 - Results – will your organization see greater results when it uses the training?

Design and Implementation
The instructional design of the training program should recognize that effective professional learning has several stages:

  1. Abstract conceptualization – The student understands the theory or basic idea of a new skill.
  2. Active experimentation – The student tries out the new ideas.
  3. Concrete example – The student links the new ideas to what he or she already knows by applying them to real-world situations. 
  4. Reflective observation – The student reflects on his or her experience and, if possible, shares those thoughts with a mentor, coach or peers.

Options for delivering training are:

  1. Classroom sessions – especially if they are interspersed with regular work days – are good for incorporating all four stages of good instructional design. They do require excellent instructors, solid content, good presentation and relevant exercises to lock in new skills or knowledge.
  2. Small group learning can be tightly targeted to a set of individuals and complex skills – especially those that require collaborations. 
  3. Self-paced e-learning can effectively teach fundamental concepts or skills. E-learning modules often are used as a prerequisite for courses with other forms of delivery or to augment coursework moderated by an instructor. 
  4. Distance learning such as live Webinars, can be great to keep a global team focused, reach key stakeholders who are dispersed geographically or to communicate quickly developing tactics.

In real-world conditions, deciding what format to deliver instruction also will depend on the target population, the time-sensitivity of the training and time zones. Budget and specific learning objectives identified in the initial assessment are, of course, critical factors.

As you prepare to purchase or design a training program to close skills gaps, don’t overlook existing content from past training projects. You may save costs by adapting materials rather than starting from a blank slate.

Reassessing at Regular Intervals
Markets are constantly changing, people come and go, and the need to stay on top of best practices never ends. Annual assessments of knowledge or skills gaps can drive continuous learning.

The competitive marketplace demands that we have extreme competence managing the supply chain. Any risk, cost, distribution or planning error can impact a company’s success. One way to keep your company competitive is by investing in continuous professional development.


Bill MichelsBill Michels is CEO for ADR North America, based in Ann Arbor, Mich. To contact the author or sources mentioned in this article, e-mail This e-mail address is being protected from spam bots, you need JavaScript enabled to view it .