On-the-job training (widely known as OJT) is an important topic of

human resource management Human resource management (HRM) is the strategic and coherent approach to the effective and efficient management of people in a company or organization such that they help their business gain a competitive advantage. It is designed to maximize e ...

. It helps develop the

career A career is an individual's metaphorical "journey" through learning, work (human activity), work and other aspects of personal life, life. There are a number of ways to define career and the term is used in a variety of ways. Definitions The ...

of the individual and the prosperous growth of the

organization An organization or organisation (English in the Commonwealth of Nations, Commonwealth English; American and British English spelling differences#-ise, -ize (-isation, -ization), see spelling differences) is an legal entity, entity—such as ...

. On-the-job training is a form of

training Training is teaching, or developing in oneself or others, any skills and knowledge or fitness that relate to specific useful competencies. Training has specific goals of improving one's capability, capacity, productivity and performance. I ...

provided at the workplace. During the training, employees are familiarized with the working environment they will become part of. Employees also get a hands-on experience using machinery, equipment, tools, materials, etc. Part of on-the-job training is to face the challenges that occur during the

performance A performance is an act or process of staging or presenting a play, concert, or other form of entertainment. It is also defined as the action or process of carrying out or accomplishing an action, task, or function. Performance has evolved glo ...

of the job. An experienced employee or a

manager Management (or managing) is the administration of organizations, whether businesses, nonprofit organizations, or a government bodies through business administration, nonprofit management, or the political science sub-field of public administra ...

are executing the role of the

mentor Mentorship is the patronage, influence, guidance, or direction given by a mentor. A mentor is someone who teaches or gives help and advice to a less experienced and often younger person. In an organizational setting, a mentor influences the perso ...

who through written, or verbal instructions and demonstrations are passing on his/her knowledge and company-specific skills to the new employee. Executing the training on at the job location, rather than the classroom, creates a stress-free environment for the employees. On-the-job training is the most popular method of training not only in the United States but in most of the developed countries, such as the

United Kingdom The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom (UK) or Britain, is a country in Northwestern Europe, off the coast of European mainland, the continental mainland. It comprises England, Scotlan ...

Canada Canada is a country in North America. Its Provinces and territories of Canada, ten provinces and three territories extend from the Atlantic Ocean to the Pacific Ocean and northward into the Arctic Ocean, making it the world's List of coun ...

Australia Australia, officially the Commonwealth of Australia, is a country comprising mainland Australia, the mainland of the Australia (continent), Australian continent, the island of Tasmania and list of islands of Australia, numerous smaller isl ...

, etc. Its effectiveness is based on the use of existing workplace tools, machines, documents and equipment, and the knowledge of specialists who are working in this field. On-the-job training is easy to arrange and manage and it simplifies the process of adapting to the new

workplace A workplace is a location where someone works, for their employer or themselves, a place of employment. Such a place can range from a home office to a large office building or factory. For industrialized societies, the workplace is one of the ...

. On-the-job training is highly used for practical tasks. It is inexpensive, and it doesn't require special equipment that is normally used for a specific job. Upon satisfaction of completion of the training, the employer is expected to retain participants as regular employees.

History

On-the-job training is one of the earliest forms of training in the world, with masters taking on young apprentices and introducing them to their work, educating them on the techniques necessary for them to become masters themselves. The on-the-job training method dates from times as early as 2400 B.C when masons would instruct their apprentices on construction methods since not everyone was literate and it was the most convenient way to understand the requirements needed for the new

job Work, labor (labour in Commonwealth English), occupation or job is the intentional activity people perform to support the needs and desires of themselves, other people, or organizations. In the context of economics, work can be seen as the huma ...

, on a one-to-one basis. In antiquity, the work performed by most people did not rely on

abstract thinking Abstraction is a process where general rules and concepts are derived from the use and classifying of specific examples, literal ( real or concrete) signifiers, first principles, or other methods. "An abstraction" is the outcome of this process ...

or academic

education Education is the transmission of knowledge and skills and the development of character traits. Formal education occurs within a structured institutional framework, such as public schools, following a curriculum. Non-formal education als ...

. Parents or community members, who knew the

skills A skill is the learned or innate ability Abilities are powers an agent has to perform various Action (philosophy), actions. They include common abilities, like walking, and rare abilities, like performing a double backflip. Abilities are in ...

necessary for survival, passed their knowledge on to the children through direct instruction. This method is still widely used today. It is a frequently used because it requires only a person who knows how to do the task and use the tools to complete the task. Over the years, as society grew, on-the-job training has become less popular. Many companies have switched to doing simulation training and using training guides. Businesses now prefer to hire employees who are already experienced and have a required skill set. However, there are still many companies who feel that on-the-job training is best for their employees. While some companies do not see on-the-job training as an essential aspect of the workforce, Gary Becker, an economic scientist during 1962, referred to on-the-job training as an investment similar to conventional schooling (Becker, 1962). On-the-job training was deemed an investment like school because while they differ in effects on earnings, both improve people's physical and mental abilities and raise real income prospects. Whether that is the ability to gain a job or improve one's skills to become a more vital part of the workforce. Additionally, one of the earlier forms of on-the-job training can be traced back to the middle ages dating as early as the 5th to 15th century. During this time, apprenticeship was a system by which "men and women in pre-industrialized societies acquired skills necessary to become a specialized artisan" (Goddard, 2002). Apprenticeship contracts usually lasted six years. Young girls at the age of 12 and young boys at the age of 14 would work, alongside getting the needed training and hands-on experience to become an artisan themselves (Goddard, 2002).

Psychology

The concept of

observational learning Observational learning is learning that occurs through observing the behavior of others. It is a form of Social learning theory, social learning which takes various forms, based on various processes. In humans, this form of learning seems to not n ...

was introduced by

Albert Bandura Albert Bandura (4 December 1925 – 26 July 2021) was a Canadian-American psychologist and professor of social science in psychology at Stanford University, who contributed to the fields of education and to the fields of psychology, e.g. social ...

, whose

social cognitive theory Social cognitive theory (SCT), used in psychology, education, and communication, holds that portions of an individual's knowledge acquisition can be directly related to observing others within the context of social interactions, experiences, an ...

Bandura believes that people learn best by observing others. According to his theory, people must pay attention to those around them first, retain what they have observed, and try to reproduce it. Bandura's theory is implemented in the aspect of on-the-job training, where the new employees observe first their trainer completing the tasks, before trying to perform the task themselves. After observing for some time, typically, they will imitate the action they had observed. This is exactly how on-the-job training is expected to occur, if necessary until the new employee is can perform the task on their own. Albert Bandura’s Social Cognitive Theory “is a psychological perspective on human functioning that emphasizes the critical role played by the social environment on motivation, learning, and self-regulation” (Schunk & Dibenetto, 2020). Bandura’s earlier Social Learning Theory placed great emphasis on the importance of observational or vicarious learning. Bandura proposed that for observational learning to occur, individuals must follow a model, retain what the model did, recreate the modelled behaviour, and have the motivation to do so. Motivation is an essential aspect of this theory; Bandura suggested that “motivation comprises internal processes that manifest themselves overtly in goal-directed action” (Schunk & Dibenetto, 2020). This suggests that for a modelled action to be retained by an individual, there must be some motivation, such as the motivation to complete goals in the workplace.

On-the-Job vs. Off-the-Job Training

There are two methods used for training new employees: on-the-job training and off-the-job training (

training simulation In business, training simulation (also known as Simulation-based training) is a virtual medium through which various types of skills can be acquired. Training simulations can be used in a variety of genres; however they are most commonly used in c ...

). Both methods are effective; however, they are very different and require specific measures. On-the-job training refers to the training provided at the job location by an experienced supervisor or manager who is passionate about their job and will relay the information to the newly hired, whereas the off-the-job method involves giving training to the employees at a place other than the real job location, where simulations, videos, and tests are replacing the

human interaction In social psychology, an interpersonal relation (or interpersonal relationship) describes a social association, connection, or affiliation between two or more people. It overlaps significantly with the concept of social relations, which are ...

. Off-the-job training is usually executed by an outsourced

vendor In a supply chain, a vendor, supplier, provider or a seller, is an enterprise that contributes goods or services. Generally, a supply chain vendor manufactures inventory/stock items and sells them to the next link in the chain. Today, these term ...

outside of the company. On-the-job training is when employees observe the processes and procedures that their employer uses to create an efficient and effective workplace. Whether that is learning how to operate specialized machinery and equipment or observing methods that facilitate the employee to perform specific jobs. Usually, this is done by shadowing an experienced employee who can give hands-on instructions and training, which can help develop the skills and knowledge needed to carry out roles in the company effectively. On-the-job training is a cheaper option as companies usually do not need to pay for external professional development classes, instead employees gain knowledge from within their workplace. Unlike On-the-job training, Off-the-Job training requires employees to train away from their workplace. Usually, this is in the form of classes, lectures, and sometimes role play. Off-the-job training takes more time and is most often expensive as the company is required to hire external trainers or pay for conferences and classes. Most companies prefer on-the-job training rather than off-the-job training because it is cheaper, and the company can train their employees based on their requirements. Additionally, companies can train their employees on specific company policies while teaching them hands-on. Companies prefer hands-on learning because it helps individuals retain more information, which, as a result, would cause fewer errors.

On-the-job training plan

On-the-job is a form of investment in

human capital Human capital or human assets is a concept used by economists to designate personal attributes considered useful in the production process. It encompasses employee knowledge, skills, know-how, good health, and education. Human capital has a subs ...

. In order to be executed efficiently, it needs a good on-the-job training plan in place. The initial cost for the company is the time spent on training and the resources used, such as trainee time and equipment. When the training plan is well executed, the

return on investment Return on investment (ROI) or return on costs (ROC) is the ratio between net income (over a period) and investment (costs resulting from an investment of some resources at a point in time). A high ROI means the investment's gains compare favorab ...

for the company is imminent and the result is an increase in

productivity Productivity is the efficiency of production of goods or services expressed by some measure. Measurements of productivity are often expressed as a ratio of an aggregate output to a single input or an aggregate input used in a production proce ...

. On-the-job training is based on the requirements of the

job description A job description or JD is a written narrative that describes the general tasks, or other related duties, and responsibilities of a position. It may specify the functionary to whom the position reports, specifications such as the qualifications ...

and is specific for each company. Every company is unique and requires a unique approach when it comes to creating a training program. Key elements of the training plan are measures, such as working hours, due date and evaluation. Another key element is the choice of a trainer or coach assigned to the

project A project is a type of assignment, typically involving research or design, that is carefully planned to achieve a specific objective. An alternative view sees a project managerially as a sequence of events: a "set of interrelated tasks to be ...

. In order for the plan to be effective, a knowledgeable coach, a co-worker, a training vendor or a manager with excellent

leadership Leadership, is defined as the ability of an individual, group, or organization to "", influence, or guide other individuals, teams, or organizations. "Leadership" is a contested term. Specialist literature debates various viewpoints on the co ...

skills is needed to conduct the training. Research shows that companies who invest in teaching their managers how to train new employees are more successful. They can articulate their beliefs to reinforce their ideas with employees. Having the knowledge and the understanding of companies culture makes them a perfect example of what is required from the new employee. Using managers to train employees is an effective on-the-job training strategy because it allows them to connect the training to the actual operation that employees will conduct in their routine work. Training employees to train coworkers is another effective strategy since they are familiar with the company's culture, strengths, and weaknesses. As well as making it easier for the new hire to get to know the team. An experienced employee is the ultimate choice for a

trainer (business) A facilitator is a person who helps a group of people to work together better, understand their common objectives, and plan how to achieve these objectives, during meetings or discussions. In doing so, the facilitator remains "neutral", meaning ...

Some guidelines for developing and implementing an effective on-the-job training program include and are not limited to: - Understanding the company's needs. - Identifying the skills and knowledge required in an employee. - Inclusiveness when selecting an employee for training. -

Evaluation In common usage, evaluation is a systematic determination and assessment of a subject's merit, worth and significance, using criteria governed by a set of Standardization, standards. It can assist an organization, program, design, project or any o ...

. Evaluating each trainee will determine the effectiveness of the training, resulting in increased

- Follow-up.

Feedback Feedback occurs when outputs of a system are routed back as inputs as part of a chain of cause and effect that forms a circuit or loop. The system can then be said to ''feed back'' into itself. The notion of cause-and-effect has to be handle ...

helps determine how much of the training employees are retaining and using.

Advantages and disadvantages

There are both advantages and disadvantages to on-the-job training. Before deciding which type of training is most beneficial, companies need to weigh out if there are more disadvantages than advantages of the training method. If that's the case, they need to opt out from the on-the-job training and look for better options.

Advantages

On-the-job training is beneficial for both employers and employees. For the employers, it is beneficial because it narrows down and prepares the skilled employees who are right for the company. By the end of the training process, the company's values,

strategy Strategy (from Greek στρατηγία ''stratēgia'', "troop leadership; office of general, command, generalship") is a general plan to achieve one or more long-term or overall goals under conditions of uncertainty. In the sense of the " a ...

, and

goal A goal or objective is an idea of the future or desired result that a person or a group of people envision, plan, and commit to achieve. People endeavour to reach goals within a finite time by setting deadlines. A goal is roughly similar to ...

s are introduced and resulting in an employee's loyalty to the business. Employees trained in the job are an important asset for the company because they can cover more areas than just the tasks in their

. On-the-job training creates a culture which extends past the bare minimum required by the job and allows

continuing education Continuing education is the education undertaken after initial education for either personal or professional reasons. The term is used mainly in the United States and Canada. Recognized forms of post-secondary learning activities within the d ...

as part of the working process. As a result, an uninterrupted

production process Industrial processes are procedures involving chemistry, chemical, physics, physical, electronics, electrical, or mechanization, mechanical steps to aid in the manufacturing of an item or items, usually carried out on a very large scale. Industr ...

increases the company's gains when opting out from the need of an initial

investment Investment is traditionally defined as the "commitment of resources into something expected to gain value over time". If an investment involves money, then it can be defined as a "commitment of money to receive more money later". From a broade ...

for an off-site training. On-the-job training is cost-effective. For employees, on-the-job training is beneficial because it allows them to learn a new skill or qualification within their field of work in a timely matter. During on-the-job training, they are engaged in the real

instead of the simulated

learning process Learning is the process of acquiring new understanding, knowledge, behaviors, skills, values, attitudes, and preferences. The ability to learn is possessed by humans, non-human animals, and some machines; there is also evidence for some ...

. The new teammate is being introduced to the team and the company's values during the first step of the on-the-job training. On-the-job training leads to more opportunities to grow within the

Disadvantages

On-the-job training can be a disadvantage for the company when the new employee doesn't have the required skills. This will result in more time needed for the training to be completed and will cost the company more since it takes the trainer and materials out of production for the duration of the training time. On-the-job training can often cause distraction of the regular working day which can affect productivity. If employees are not introduced to the safety features and safety precautions are not taught prior to entering the job field, there could be injuries since on-the-job training is most often used for practical tasks and working with machinery. Such an issue can cause a company a

lawsuit A lawsuit is a proceeding by one or more parties (the plaintiff or claimant) against one or more parties (the defendant) in a civil court of law. The archaic term "suit in law" is found in only a small number of laws still in effect today ...

and loss of

assets In financial accounting, an asset is any resource owned or controlled by a business or an economic entity. It is anything (tangible or intangible) that can be used to produce positive economic value. Assets represent value of ownership that can b ...

. Finally, oftentimes on-the-job training is rushed and that can cause a negative effect on

References

External links

* * * * {{Cite news, url=https://content.wisestep.com/advantages-disadvantages-job-training-methods/, title=Top 11 Advantages and Disadvantages of On-the-job Training - WiseStep, date=2016-05-20, work=WiseStep, access-date=2018-04-30, language=en-US Training