Pearson Edexcel · GCSE · Business
Course version: 1BS0 · Version from Sept 2017
How businesses train and develop employees: ● different ways of training…
Full specification wording
Effective training and development: How businesses train and develop employees: ● different ways of training and developing employees: formal and informal training, self-learning, ongoing training for all employees, use of target setting and performance reviews.
Effective training and development improves employee productivity and retention.
Checked against the Pearson Edexcel 1BS0 specification (opens in a new tab) on .
- Point 1 of 2
- 4 key terms
Study notes
From the checked teaching notes for this specification point.
The idea
Effective training and development improves employee productivity and retention. Formal training involves structured, planned sessions, such as an external first-aid course, while informal training occurs naturally on the job, like shadowing an experienced colleague. Self-learning requires employees to take initiative, perhaps by completing online modules independently. Businesses also provide ongoing training for all employees to keep skills current with changing technology. Development is supported by performance reviews (appraisals) where managers and employees discuss progress, and target setting, which provides clear, measurable goals to motivate staff and guide their future training needs.
What earns the marks
- Identify formal training as structured, often off-the-job learning with specific objectives and designated trainers.
- Identify informal training as unstructured, on-the-job learning, such as mentoring or observing experienced colleagues.
- Explain that self-learning allows employees to develop at their own pace, often using digital resources or independent research.
- Discuss the importance of ongoing training to ensure all employees remain competent and adaptable to market or technological changes.
- Explain how performance reviews and target setting help identify individual training needs and motivate employees to improve.
Common mistakes and how to put them right
Equating formal training exclusively with external training.
Put it right: Formal training can happen internally as long as it is structured and planned.
Assuming performance reviews are only used for disciplinary purposes.
Put it right: Performance reviews are primarily developmental tools used to set targets and identify training needs.
Thinking ongoing training is only for new employees.
Put it right: Ongoing training applies to all employees throughout their career to maintain and update skills.
Exam tips
- Link the method of training to the financial resources of the business; informal training is usually cheaper than formal training.
- When discussing performance reviews, emphasise their role in setting future targets rather than just looking at past performance.
- Use the concept of self-learning to demonstrate how businesses can encourage employee autonomy and reduce direct training costs.
Try the lesson
The start of the Effective training and development: How businesses train and develop employees: ● different ways of training and developing employees: formal and informal training, self-learning, ongoing training for all employees, use of target setting and performance reviews. lesson, made from checked teaching notes for this specification point.
Have a go first
Which of the following is an example of informal training in the workplace?
Listen
Effective training and development improves employee productivity and retention. Formal training involves structured, planned sessions, such as an external first-aid course, while informal training occurs naturally on the job, like shadowing an experienced colleague. Self-learning requires employees to take initiative, perhaps by completing online modules independently. Businesses also provide ongoing training for all employees to keep skills current with changing technology. Development is supported by performance reviews (appraisals) where managers and employees discuss progress, and target setting, which provides clear, measurable goals to motivate staff and guide their future training needs. A strong answer earns marks for these points. Identify formal training as structured, often off-the-job learning with specific objectives and designated trainers. Identify informal training as unstructured, on-the-job learning, such as mentoring or observing experienced colleagues. Explain that self-learning allows employees to develop at their own pace, often using digital resources or independent research. Discuss the importance of ongoing training to ensure all employees remain competent and adaptable to market or technological changes. A common slip: Equating formal training exclusively with external training. Instead, formal training can happen internally as long as it is structured and planned. Exam tip: Link the method of training to the financial resources of the business; informal training is usually cheaper than formal training.
Key words
Say what each word means before you turn the card.
Formal training
Try answering aloud or in your head before turning the card.
Informal training
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Self-learning
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Ongoing training
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See every definition
- Formal training
- Structured, often off-the-job learning with specific objectives and designated trainers.
- Informal training
- Unstructured, on-the-job learning, such as mentoring or observing experienced colleagues.
- Self-learning
- Employees take initiative to develop at their own pace, often using digital resources or independent research.
- Ongoing training
- Training for all employees to keep skills current with changing technology and remain adaptable to market or technological changes.
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