This a presentation developed for following questions. 1. Compare and contrast formal leadership development and informal development at GE. 2. Analyse the cost and benefits of GE’s overall effort in leadership development. For the Case Study Training and Development: The GE way. Its not a presentation with lot of facts and all, just the relevant, important facts are mentioned. if you have any questions, or interested to download it, just drop me a message.

1. UNIVERSITY COLLEGE DUBLIN
BSc in Human Resource Management
SURNAME INITIALS
Abeyaratne W M M P B
Arambewela V C J
Chandrasena A M J B
Jayasinghe H W S R
Perera D L R J
Shathwikka S
Wijewardane U P
GROUP MEMBERS

3. GREAT PEOPLE BUILD GREAT COMPANIES
FOUND IN 1876
Operations in 160 countries including Sri Lanka.
11 various businesses
with more than 307,000 employees
First company that invest 1 Billion USD
for in house training

4. Management Development Centre
First company to build a cooperate university
Conduct three types of courses.
• Executive Development
• Business Management
• Management development
Which are highly useful to develop employee
skills knowledge and attitudes

5. FORMAL / INFORMAL LEADERSHIOP
DEVELOPMENT
Formal
delivered by experience
trainers in a systematic
intentional way within a
school, academy, college,
institute or university.
Formal learning consist of a
curriculum which is highly
structured with
topics/sessions.
Informal
Informal learning, which
typically takes place
naturally as part of some
other activity

6. GE APPROACH TO LEADERSHIOP
DEVELOPMENT
Formal Informal
Classroom based: Executive,
Business, and Management
Development programs
On-the-Job Training – “Work-
Out Program” taking out “Fat”
from system
Classroom/Lab: Financial
Management Program
(Finance)
Action-Learning - Taking
Consultant Role
E-Learning based programs Job-rotational Program
Coaching and Mentoring

7. EFFECTIVENESS OF FORMAL LERNING
Formal Effectiveness
Classroom based: Executive,
Business, and Management
Development programs
Since large groups are trained
(200) effectiveness is more of
a average
Classroom/Lab: Financial
Management Program
(Finance)
This is more effective since
participants can see the
immediate application of the
learned subject
E-Learning based programs More cost effective as well as
participants gets the freedom
to learn at their own phase.
But lacks the value addition
from a trainer.

8. EFFECTIVENESS OF INFORMAL LERNING
Informal Effectiveness
On-the-Job Training – “Work-
Out Program” taking out “Fat”
from system
Highly Effective, employee
learn on the job and see the
results
Action-Learning - Taking
Consultant Role
Conceptual thinking to more
execution level knowledge can
be gained thought this
approach.
Job-rotational Program Takes some time to ramp-up
but very practical learning
approach to expanding
employee abilities.

9. TANGIBLE & INTANGIBLE COSTS
TANGIBLE INTANGIBLE
Tangible costs are physical and
quantifiable costs of running a
business. This costs normally
include things a business can buy
directly for specific costs, such
as, labor, materials, buildings,
salary & wages, leases,
operational inputs, employee
medical benefits, transportation
and commercial
Intangible costs are nonphysical
one and harder to measure. But
however it could be real and
important to business success/
failure.

10. • GE spent $1 billion for in-house training program for every year.
• They spend $ 38 million annually for outside degree programs.
• $46 million for build a residential building.
• They train every manager for six sigma (quality management
program).invest $200 million.
• Black belts, green belt & master black belt courses. ( invest $250
million)
• $80 million spent to build an art training centre.
TANGIBLE COST AT GE

11. • Productivity loss of $47 an hour ( course conducted in 3 days)
• Online course (time)
INTANGIBLE COST AT GE

12. WHAT GE ACHIEVED THROUGH HRD
Earnings
Organizational
Benefits Individual Benefits

13. Organizational Benefits
Employer Brand
Higher Rate Of Productivity
Effective & Efficient Leadership
Decrease In Wastage &
Supervision
Employee motivation
Individuals Benefits
Career Advancement
Variation Of Skills & Knowledge
Learning Culture
Job Security
Confidence To Face Challenge

14. Organizational & Individual Benefits
COMPETITIVE ADVANTAGE

15. CONCLUSION
Formal Leadership vs Informal Leadership ?
Benefits of Leadership development.
Improve Business growth
Improved employee retention
Improved bottom line performance
Instant problem solving ability
Greater market value over time.
Improved business sustainability

16. THANK YOU