Avondale Industries established its first training and development program in 1989, two years after the organization hired its 10,000th employee. In 1987, the organization had expanded and diversified from solely working in the field of avionics (the electrical systems used in aircraft) to also providing aircraft wheel and brake production and repair. From 1987 to 1989, the organization found their turnover rate rose to more than 36 percent, due in large part to employees lacking the skills necessary to work in the new division. Company recruiters were finding it harder to attract the number of people needed to fill positions because Avondale had a reputation as a tough place to work. Training of employees, current and new, was implemented for the new division and proved highly valuable as employees gained the skills necessary to do their jobs better. Turnover rates were significantly reduced within a year to 23 percent. Which of the following reasons best explains why the new training program made such an impact on the turnover rate? The training program helped employees gain competencies; employees were more satisfied, turnover declined, and the company’s ability to retain and recruit improved. The training program allowed the company to identify which of its employees were the most highly motivated and hardworking and focus on training them exclusively. The training program allowed the company to develop new ways to perform existing jobs and changed job expectations. The training program helped line managers determine what skills were most important for their employees to utilize, and they then always hired people with those skills.

Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

Problem 1CE

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Avondale Industries established its first training and development program in 1989, two years after the organization hired its 10,000th employee. In 1987, the organization had expanded and diversified from solely working in the field of avionics (the electrical systems used in aircraft) to also providing aircraft wheel and brake production and repair. From 1987 to 1989, the organization found their turnover rate rose to more than 36 percent, due in large part to employees lacking the skills necessary to work in the new division. Company recruiters were finding it harder to attract the number of people needed to fill positions because Avondale had a reputation as a tough place to work. Training of employees, current and new, was implemented for the new division and proved highly valuable as employees gained the skills necessary to do their jobs better. Turnover rates were significantly reduced within a year to 23 percent. Which of the following reasons best explains why the new training program made such an impact on the turnover rate?

The training program helped employees gain competencies; employees were more satisfied, turnover declined, and the company’s ability to retain and recruit improved.
The training program allowed the company to identify which of its employees were the most highly motivated and hardworking and focus on training them exclusively.
The training program allowed the company to develop new ways to perform existing jobs and changed job expectations.
The training program helped line managers determine what skills were most important for their employees to utilize, and they then always hired people with those skills.

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