New Manager Training Program at a Financial Services Company - A Case Study

Backgroundwith the 5 new managers. This was a great benefit to
XYZ Financial Services Company provides a varietythe 5 new managers as the 10 individuals who already
of financial and life insurance services to their clients,had been in the job were able to share how they
who range from individuals to Fortune 1000 companieshandled certain circumstances and provide their
throughout the northeast United States. They haveguidance to the new managers.
been in business for 15 years and during that timeXYZ Financial Services New Manager Training
have grown to 75 employees. They are starting toProgram
expand the services they offer to include stockThe new manager training program was a total of
brokerage services and also hope to expand theirthree weeks (15 days) in duration. Prior to the program
business to cover the central and mid-west Unitedstarting, the new managers took the Myers-Briggs
States within the next 5 - 8 years. This plan ofType Indicator assessment to understand themselves
expanded services and coverage of territory isand how they interact with others. The results were
expected to increase their need for employees todiscussed during the kick-off of the program.
support the business from their current level of 75 toThe first course the individuals took was called "New
150 - 200 employees. Additionally, they will need toManagers 101." The course was a 3-day course and
develop a new division to handle the stock brokeragefocused on the following topics:
services.- Transitioning into a new manager role
Current Training at XYZ Financial Services Company- Getting to know your staff
Training at XYZ Financial Services Company has- Interviewing and selection skills
been mostly ad hoc, with individual employees signing- HR basics including employment law
up for a variety of open enrollment type courses- Time management
offered through local training providers or through night- Budget management
classes at the local high school or college. In many- Effective delegating
cases the employee may have paid for training onAdditional courses were one to two days in length and
their own if it was a personal interest; however, infocused on:
some cases the company has paid for training if the- Performance Management and Coaching (2 days)
manager of the employee has specifically requested- Project Management Basics (1 day)
the training. For example, if an employee is responsible- Team Leadership (2 days)
for writing letters to clients, the company would offer- Managing Conflict (2 days)
to pay for training to improve writing skills for that- Presentation Skills (2 days)
individual. However, if an employee is interested in- Communication (2 days)
improving his/her presentation skills, but makes no- Problem Solving (1 day)
formal presentations on behalf of the company, theThe curriculum included role playing, case studies
company would not pay for that training.scenarios, discussion, and team and individual
The company realizes that in order to grow andexercises. Reading assignments were assigned for
prosper, and retain employees that are valuable to thehomework. Action planning was done after each
company, they need to have more formal trainingcourse to map out how the individual was going to
programs, mapped to career paths, in place for theirapply their new skills once they were in their new role.
employees.The program included a formal mentoring program.
The Human Resources department was tasked withThe 5 new managers were assigned mentors. Their
developing more formal training programs for thementors were individuals who were promoted into
employees. The first program they focused on was amanagement roles (from an individual contributor role)
New Manager Training Program as the goal is toand had been managing for at least 3 - 5 years. The
promote some of the current employees intomentors helped the mentees with their action plans
management roles and hire new employees for theinitially and answered questions about how they would
more junior, staff level roles.apply their skills on the job.
Research on Developing a New Manager TrainingAfter the Program
ProgramOnce the program ended, the mentoring program
Over the past few years when employees were"officially" kicked off and mentors met with the new
promoted to a manager role from an individualmanagers formally at least once a week for 2 hours
contributor role, they were not provided any formalto answer questions, solve problems, brainstorm, etc.
training and were rather "thrown into the role." In theAdditionally, after two months on the job, the group of
words of one of the fairly new managers - "Learning5 new managers came together to review their action
was done on the fly and it was particularly difficult ifplan progress and to take an additional course:
you were now managing individuals who were your- Management 101 - Part 2, (2 days) which focused on:
peers previously."- How to understand and influence the behaviors of
A survey was conducted of all individuals who wereothers
promoted to a management role within the last 3- Addressing behavior problems
years to determine what training would have been of- Speaking assertively
value to them to ensure their success. The following- Motivating others
questions were asked:A survey was done of the new managers, their
- Did you take any training courses on your own oncemanagers, and their direct reports after 4 months on
you were made a manager? If so, please list thethe job to gauge effectiveness and progress. Here
classes you took.are the key points from the survey results:
- Which of the following skills do you believe would5 new managers (who took the training program)
have been helpful to have formal training on prior to- Were confident in their ability to manage individuals
starting your role as a new manager:who were once their peers
- Interviewing skills- Were comfortable with the ability to build a cohesive
- Basic management skills - such as leading others,team and address issues that arise, sometimes making
delegating, communication, etc.a decision independently to ensure the group is moving
- Conflict managementin the right direction
- Negotiation- Were able to work with their direct reports to
- Transitioning from peer to managerdevelop individual and team goals and objectives and
- Performance management and coachingprofessional development plans
- Coaching others- Access to mentors provided them with someone
- Other (please list)they could talk with and a sounding board for tough
What challenges did you face as a new manager?decisions they had to make
What challenges do you continue to face today?Their managers (VP level within the company)
Would you be interested in mentoring new managers if- New managers required less "hand holding" then
a formal mentoring program was put in place?previous new managers based on skills and
What other information do you believe would beknowledge brought into the role through the training
helpful for us to know as we plan a new managerprogram
training program?- Saw progress in action plans developed by new
Some interesting findings from the survey included:managers
- Uncertainty on how to function as a "buffer"- Were tracking well toward targets set for new
between their direct reports and their managermanagers based on increased sales, building client
- When decisions should be made quickly and whenbase, improve processes/efficiencies, release of new
they should be made in conjunction with their team ofproducts/services
direct reportsDirect reports (individuals who reported to the new
- How to not take on everything themselves and learnmanagers)
to effectively delegate and trust others to get work- Believed the manager made good decisions overall
donefor the group and felt comfortable going to the
- Uncertainty on dealing with individuals who aremanager with concerns/issues
negative and intimidating- Felt manager cared about them and worked with
All 10 individuals who received the survey responded.them to develop their skills
The answers were quite helpful to the HR department- Overall increased satisfaction with job and direction
in developing a training program for new managers.their department/group was heading
These were all issues and concerns that HR felt couldSummary
be addressed in training and also through incorporatingBased on the results of the surveys and based on
a formal mentoring program.follow up conversations with the mentors of the new
It was determined that the new program would bemanagers, the HR department spoke with the
rolled out with the 5 individuals who were promoted toexecutive team about the success of the program.
a management role prior to them actually starting inThe program was included as part of the standard
the new position. The 10 individuals who responded totraining programs in place at XYZ Financial Services
the survey were invited to participate in any or all ofCompany and all new managers (whether hired from
the classes, as they desired. All 10 took advantage ofexternal or internal to the company) would be put
the training program in its entirety and attended classesthrough the program prior to starting their new role.