Topic: BusinessManagement

Last updated: April 25, 2019

Running head: HUMAN CAPITAL DEVELOPMMENT
Running a Training and Development DepartmentQuentin R. Gebhardt
Management 4317-Human Capital Development
University of Houston-VictoriaProfessor: Colin Wooldridge
April 27, 2018

In this paper, I will be discussing how I would run a training and development department in a large organization. For purposes of this paper, I will assume I am employed as a training and development manager at Goodwill Industries International in Rockville, Maryland.

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The Goodwill mission statement is the following: “Goodwill works to enhance the dignity and quality of life of individuals and families by strengthening communities, eliminating barriers to opportunity, and helping people in need reach their full potential through learning and the power of work.”
Goodwill Industries was founded in 1902 by Reverend Edgar J. Helms in Boston, Massachusetts. Reverend Helms was a Methodist pastor and “social innovator.” (http://www.goodwill.org/about-us/, n.d.). Originally Goodwill served as a storehouse for donated goods (typically household items and clothing from affluent neighborhoods in and around Boston). The donated items were either resold at a nominal cost or given to disadvantaged individuals and families. The Goodwill model worked well and the organization’s motto of “No Charity, but a Chance” began.

Today there are numerous products and services offered. Despite this, the original Goodwill model remains. Donated items are resold, and the public may benefit from goods and services sold in neighborhood stores. The profits from the stores then provide funding for programs for the disabled and disadvantaged. Although programming differs at each Goodwill location, programs generally include job placement and training for disadvantaged, disabled, seniors, veterans, and those with criminal backgrounds.
Goodwill’s mission statement is the following: “Goodwill works to enhance the dignity and quality of life of individuals and families by strengthening communities, eliminating barriers to opportunity, and helping people in need reach their full potential through learning and the power of work.”. (http://www.goodwill.org/about-us/, n.d.). This mission statement is the same in the 162 branches in the U.S. and Canada. Goodwill’s strategic goals are:
1: Implement a holistic and integrated service delivery model driven by the needs of people served. We will… Create universal access to our services addressing various employment barriers, while expanding services to employers.
2: Implement innovative green initiatives that address community needs. We will… Continue to expand our recycling efforts and position Goodwill as a “Green Innovator” by creating new stores and facilities that are energy efficient and environmentally friendly.
3: Implement innovative human service programs. We will… Expand services to populations of emerging and unmet need and become a resource to other Workforce Development organizations.
4: Enhance organizational capacity to support innovation and create a culture of continuous improvement. We will… Take actions to improve awareness of our programs, educate policy makers regarding workforce development needs, enhance loyalty programs and measurement systems, and improve the quality of employment at Goodwill.
5: Continue to enhance financial sustainability by managing our risk profile. We will… Grow our retail operations, expand our fundraising efforts, enhance our risk management and safety program, create new revenue generating social enterprises, and explore partnership opportunities.

At present Goodwill Industries is facing the dilemma of multiple vacant positions (15%-20%). The amount of vacant positions is due to multiple factors: 1.) high turnover and the inability to retain qualified employees. This is due to excessive work demands, long hours and below market salaries, 2.) difficulty in recruiting qualified candidates, and 3.) budgetary constraints which impede full staffing.
As the training and development director, I identified gaps in the competencies of the workforce by utilizing a SWOT analysis (strengths, weakness, opportunities, threats.). According to Noe (2013): “A SWOT analysis consists of an internal analysis of strengths and weaknesses and an external analysis of opportunities and threats to the company that currently exist or are anticipated. External analysis involves examining the operating environment to identify opportunities and threats. The business challenges identified in Chapter One can represent opportunities (or threats) to the company.”
The current HR strategy is to develop existing, internal talent. Doing this will not only benefit the organization, it will benefit the internal employee by providing a career path at Goodwill.
To ensure top organizational training, it is essential that the training is in alignment with corporate strategy. Goodwill of Dallas has the following strategic focus: “Using a holistic, client-centered approach, Goodwill Dallas begins each client’s journey by identifying key barriers to employment. Once barriers have been identified the client is placed on a customized track consisting of a combination of GED preparation, computer literacy, financial literacy, resume building, mock interviews, job searches, job training, job coaching and case management. Client are then placed in applicable positions utilizing our employer network of over 200 external agencies.” (“Goodwill Industries of Dallas”, n.d.).
It makes sense to develop talent internally. If targeted staff are provided job specific training and development, the organization will benefit from highly skilled employees. In addition, providing a career path will most likely lead to greater retention of valued employees.
I feel strategically developing internal talent can align with employee goals. Highly trained, skilled employees will most likely perform their jobs more effectively. Additionally, when staff believe the organization is invested in their professional growth, staff are more likely to remain with the employer long-term. Nonprofits have a very high turnover rate. This issue could be reduced or mitigated by providing quality ongoing training.
Research validates the need for alignment of training with employee end goals. The Brookings Institute (2002) discovered the following: 1.) Nonprofit employees were much more likely than federal or private-sector employees to say that the people they work with are open to new ideas, willing to help other employees learn new skills, and concerned about achieving their organization’s mission; and 2.) Nonprofit employees were much more likely to say that they took their job in the sector for the chance to help the public, to make a difference, to do something worthwhile, and pride in the organization than the job security, the salary and benefits, or the paycheck. The focus on Goodwill’s mission (“…to enhance the dignity and quality of life of individuals and families by strengthening communities, eliminating barriers to opportunity, and helping people in need reach their full potential through learning and the power of work”) has both strengths and weaknesses. The strengths surround Goodwill’s mission which provides staff with motivation and dedication to perform their jobs well regardless of low salaries. Additionally, with alignment of work with the mission statement new employees can be hired despite long hours and low pay.

If Goodwill follows their mission without ever veering off, however the organization may see “exploitation and under-resourcing. Even their most ardent supporters know that nonprofit organizations will skip pay checks, cut supply and training budgets, defer needed maintenance, and hiring, and even sell assets to keep the mission alive. They also know that the sector will almost never raise a well-organized word in protest, lest they somehow lose sight or their mission or get in trouble with the watchdogs.” (Light, 2002).
If I oversaw training and development for Goodwill, I would generally feel that training and development could be improved. According to Light (2002), “A healthy nonprofit workforce does more than recruit talented people and give them the chance to accomplish something worthwhile. It also gives its employees the tools, training, and technology to succeed, and creates the organizational settings in which high performance can flourish.”
Goodwill’s mission statement is the following: “Goodwill works to enhance the dignity and quality of life of individuals and families by strengthening communities, eliminating barriers to opportunity, and helping people in need reach their full potential through learning and the power of work.”. (http://www.goodwill.org/about-us/, n.d.). This mission statement remains constant in the 162 branches in the U.S. and Canada. The strategic goals of Goodwill are:
1: Implement a holistic and integrated service delivery model driven by the needs of people served. We will… Create universal access to our services addressing various employment barriers, while expanding services to employers.
2: Implement innovative green initiatives that address community needs. We will… Continue to expand our recycling efforts and position Goodwill as a “Green Innovator” by creating new stores and facilities that are energy efficient and environmentally friendly.
3: Implement innovative human service programs. We will… Expand services to populations of emerging and unmet need and become a resource to other Workforce Development organizations.
4: Enhance organizational capacity to support innovation and create a culture of continuous improvement. We will… Take actions to improve awareness of our programs, educate policy makers regarding workforce development needs, enhance loyalty programs and measurement systems, and improve the quality of employment at Goodwill.
5: Continue to enhance financial sustainability by managing our risk profile. We will… Grow our retail operations, expand our fundraising efforts, enhance our risk management and safety program, create new revenue generating social enterprises, and explore partnership opportunities.

Goodwill Industries has 6800 employees working in 165 stores nationwide. Should this organization grow, they will need to hire and employee additional staff. This growth will be in alignment with strategic goal #3: “Implement innovative human service programs. We will… Expand services to populations of emerging and unmet need and become a resource to other Workforce Development organizations.”
A recommendation I would have as the training and development director for Goodwill is to devote more resources to address staff retention and turnover. This issue may be solved with career development (e.g. training, etc.). Reportedly, this problem is not specific to Goodwill McCambridge (2017) states “The 2016 Nonprofit Employment Practices Survey published last year by Guide Star and Nonprofit HR revealed that turnover rates have generally increased among nonprofits, with the average rate growing from 16 to 19 percent between 2013 and 2015. The most difficult positions for staff retention continue to be in direct service, which includes some of the lowest-paid positions in an organization.”
Human resources training and development opportunities which may contribute to Goodwill’s mission and vision include:
Ensuring a work setting which enables professional growth through career development.
Attracting and retaining highly qualified, dedicated individuals who believe in Goodwill’s mission.

Challenges which human resources faces in advancing Goodwill’s mission and vision through training and development include:
Budgetary issues which consistently are dependent on moving contributions and grants. These issues impact HR’s ability to have the financial resources to train and develop highly qualified employees.
Outdated technology in the nonprofit sector and at Goodwill often prohibit HR staff in their ability to train and develop employees. Ultimately this negatively impacts programming.
References
Conger, J. (2003, December). Developing Your Leadership Pipeline. Retrieved from https://hbr.org/2003/12/developing-your-leadership-pipeline
Goodwill Industries International, Inc.. Goodwill Industries International, Inc.. Retrieved April 18, 2017, from http://www.goodwill.org/
Goodwill Industries of Dallas, Inc. – GuideStar Profile. (n.d.). Retrieved from https://www.guidestar.org/profile/75-0800649
Light, P. (2002, September 21). The Content of their Character: The State of the Nonprofit Workforce – Non Profit News For Nonprofit Organizations | Nonprofit Quarterly. Retrieved from https://nonprofitquarterly.org/2002/09/21/the-content-of-their-character-the-state-of-the-nonprofit-workforce/
Light, P. (2004, May 28). Pathways to Nonprofit Excellence | Brookings Institution. Retrieved from https://www.brookings.edu/book/pathways-to-nonprofit-excellence/McCambridge, R. (2017, January 3). High Nonprofit Frontline Turnover Rates Require Focus and Collective Chutzpah – Non-Profit News for Nonprofit Organizations | Nonprofit Quarterly. Retrieved from https://nonprofitquarterly.org/2017/01/03/high-nonprofit-frontline-turnover-rates-require-focus-collective-chutzpah/Noe, R. (2013). Employee training and development (6th ed.). New York, NY: McGraw-Hill
Saratoga™ benchmarking, hr Saratoga: PwC. (n.d.). Retrieved from http://www.pwc.com/us/en/hr-management/people-analytics/benchmarking.htmlShonour, L. (n.d.). Managing the Talent Pipeline | Goodwill Industries International, Inc. Retrieved from http://www.goodwill.org/blog/news-updates/managing-the-talent-pipeline/Smith, M. (n.d.). Goodwill SWPA – Home. Goodwill’s 2013-2016 Strategic Plan. Retrieved April 19, 2017, from http://www.goodwillswpa.org/UserFiles/File/Misc%20Files/Strategic%20Plan%20Summary%202013-2016.pdfWorkforce Succession Planning. (2012, January 1). Retrieved from http://www.wfm.noaa.gov/pdfs/NOAA_WorkforceSuccessionPlanningToolkit.pdf

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