Performance Training

What is Performance Training?

Performance training, also known as “Performance Based Learning (PBL)” is a strategy that trains employees to achieve their targeted performance goals and/or objectives.

The personalized learning approach highlights the results to be achieved, enhancing and refining performance, and prioritizes practical, “hands-on” training over theory-based methods.

In this framework, employees demonstrate the ability to apply or use knowledge or skill, rather than simply knowing the theory.

Teaching employees how to create invoices and customer satisfaction forms and modify accounts is a classic example of performance training, rather than focusing on the features and functionalities of software that can be used to carry out the tasks and/or many other deliverables.

How Performance Training Works

Performance training focuses on particular objectives and then establishes expectations, offers feedback, presents tools, promotes skill advancement, teaches new skills and information – all intended to promote behavior that results in the intended outcome.

Identifying the required skills your team needs may appear to be a significant effort. Approaching this through a staged process makes it achievable.

• Identify the required employee skill sets to deliver the work product or service.
• Focus the training on the required learning results
• Create a practical and applied training program with steps that allow participants to immediately start using the skill, with the goal of perfecting an expert level

Key Benefits of Performance Training

Performance training provides key benefits including (but not limited to):

Reduction in training costs and time spent

Performance-driven training programs, designed to achieve set objectives generally prove more cost-effective. Employees avoid investing time in studying unrelated material, while businesses save money by focusing on specific skill areas requiring development, rather than training in unrelated aspects.

Increase in employee productivity and performance

When employees obtain important and timely training, the gap between training and actual application of the skills reduces. Employees not only become competent in a particular field much sooner, but they are also less prone to making errors, which mostly arise due to a lack of knowledge and skills fundamental for carrying-out their job.

Enhancement of customer satisfaction and increasing business profitability

Skilled and experienced employees provide exceptional services, increasing client satisfaction. As a result, business competitiveness and overall profitability improve.

Increase in employee engagement and improvement in employee experience

Performance-based training is centered around individuals by focusing their development on specific learning paths, therefore it empowers employees through training that is provided when needed. Through such an approach, employee morale and confidence are boosted.

Improvement in business KPIs

Performance-based training is linked to the key performance indicators (KPIs) of a business. Through PBL, companies can identify skill gaps that require growth by measuring current employees’ strengths and development areas.

Evaluating the Success of Performance Training

Evaluating the success of Performance Training is critical to ensuring that training programs are promoting business objectives.

The Kirkpatrick Model is a globally recognized method of evaluating the results of training and learning programs. It assesses both formal and informal training methods and rates them against four levels of criteria: reaction, learning, behavior, and results.

Level 1: Reaction

The degree to which participants find the training favorable, engaging, and relevant to their jobs.

Level 2: Learning

The degree to which participants acquire the intended knowledge, skills, attitude, confidence, and commitment based on their participation in the training.

Level 3: Behavior

The degree to which participants apply what they learned during training when they are back on the job.

Level 4: Results

The degree to which targeted outcomes occur as a result of the training and the support and accountability package.

More Resources

Thank you for reading CFI’s guide to Performance Training. To keep learning and developing your knowledge base, please explore the additional relevant resources below:

• Corporate Development
• Customer Satisfaction
• Employee Wellness Programs
• Team Training for Finance Professionals
• See all management & strategy resources