This is the accessible text file for GAO report number GAO-03-390 entitled 'Information Technology Training: Practices of Leading Private-Sector Companies' which was released on March 04, 2003. This text file was formatted by the U.S. General Accounting Office (GAO) to be accessible to users with visual impairments, as part of a longer term project to improve GAO products’ accessibility. Every attempt has been made to maintain the structural and data integrity of the original printed product. Accessibility features, such as text descriptions of tables, consecutively numbered footnotes placed at the end of the file, and the text of agency comment letters, are provided but may not exactly duplicate the presentation or format of the printed version. The portable document format (PDF) file is an exact electronic replica of the printed version. We welcome your feedback. Please E-mail your comments regarding the contents or accessibility features of this document to Webmaster@gao.gov. Report to Congressional Requesters: January 2003: Information Technology Training: Practices of Leading Private-Sector Companies: GAO-03-390: GAO Highlights: Highlights of GAO-03-390, a report to the Chairman, Tom Davis, Committee on Government Reform and Representative Jim Turner, House of Representatives: January 2003: Information Technology Training: Practices of Leading Private-Sector Companies: Why GAO Did This Study: The rapid pace of technological change, with its potential to transform the way the government delivers services, makes information technology (IT) human capital a critical issue for federal agencies. GAO has identified strategic human capital management as a high risk area for the federal government, and the demand for skilled IT workers is expected to increase over the long term. Given that competition for workers affects the federal government as it does any other employer, effective training of staff is essential to developing and retaining a qualified workforce. Some private-sector companies are recognized for their effective and innovative training programs for the IT workforce, which could provide models and examples for federal agencies. To help federal agencies better design and implement such training programs, GAO was asked to examine private-sector practices for training both IT and non-IT professionals (e.g., business managers and other staff needing training in IT) that could be used as a basis for addressing federal efforts. What GAO Found: GAO identified 22 existing and emerging training practices used by leading companies to implement effective IT training. We organized these practices and accompanying case studies under five training management processes that we defined based on input from industry experts, published research, and previous GAO work (see table below). Although none of the companies was performing all the practices, the majority performed 10 or more. Organizations and experts agree that these practices could result in more effective training management, but in applying the identified practices, we noted several critical issues (e.g., funding constraints and demonstrating return on investment) that should be considered. The practices may also suggest approaches to IT training for government agencies to consider. GAO’s discussions with leading private sector companies indicate that training is not simply a support function, but a strategic element in achieving corporate objectives. Further, although companies are adopting new ideas about training, many initiatives are in their early stages, and private sector officials expressed interest in learning about innovative practices emerging from the public sector. Table: IT Training Management Processes and Sample Practices: [See PDF for image] Source: GAO: Note: Analysis of company-provided information. [End of table] www.gao.gov/cgi-bin/getrpt?GAO-03-390. To view the full report, including the scope and methodology, click on the link above. For more information, contact Joel Willemssen at (202) 512- 6253 or willemssenj@gao.gov. Contents: Letter: Appendix: Appendix I: Information Technology Training: This is a work of the U.S. Government and is not subject to copyright protection in the United States. It may be reproduced and distributed in its entierety without further permission from GAO. It may contain copyrighted graphics, images or other materials. Permission from the copyright holder may be necessary should you wish to reproduce copyrighted materials separately from GAO’s products. Letter: January 31, 2003: The Honorable Tom Davis Chairman Committee on Government Reform House of Representatives: The Honorable Jim Turner House of Representatives: The rapid pace of technological change, with its potential to transform the way the government delivers services, makes information technology (IT) human capital a critical issue for federal agencies. We have identified strategic human capital management as a high risk area. In the long term, demand for highly skilled IT workers is expected to increase. According to a 2002 study of private-sector employers by the Information Technology Association of America (ITAA), the demand for these highly skilled IT workers exceeds supply.[Footnote 1] Given that this reported shortage affects the federal government as it does any other employer, effective training of staff is essential to developing and retaining a qualified workforce. Our objective was to examine private-sector workforce training practices for both IT and non-IT professionals (e.g., business managers and other staff needing training in IT). To achieve this objective, we reviewed existing research, held discussions with academic and professional authorities, and interviewed executives and managers at leading companies about their IT training management practices and activities. We also collaborated with the National Academy of Science to host a panel discussion with academic authorities. The experts on this panel discussed overall training issues, provided input on training management processes, and identified other effective training practices. We used this information, as well as the extensive research and trade literature available on IT training practices, to develop a view of what leading private-sector organizations are doing in the IT training area. On October 18, 2002, we provided briefing slides on the results of our study to you in your capacities as Chairman and Ranking Minority Member of the Subcommittee on Technology and Procurement Policy. These results, along with additional information and new and expanded case studies, are included as an appendix to this letter. The purpose of this letter is to officially transmit the information in published form to you as Chairman and Member of the Committee on Government Reform. In brief, we found 22 existing and emerging practices that are used by leading companies to implement effective IT training. The majority of the companies performed 10 or more of the identified practices, but none was performing all. The practices and case studies provided in the appendix suggest approaches to IT training that government agencies could consider. In addition, we noted several critical issues (e.g., funding constraints and demonstrating return on investment) that should be considered in implementing these practices. GAO’s review of private- sector practices indicates that training is not simply a support function, but a strategic element in achieving corporate objectives. Further, although companies are adopting new ideas about training, many initiatives are in their early stages, and private-sector officials expressed interest in learning about innovative practices emerging from the public sector. Many organizations contributed to our study. American Telephone & Telegraph (AT&T), Cable & Wireless, Cisco, Delta Technology, Fannie Mae, FleetBoston, International Business Machines (IBM), International Truck and Engine, Raytheon, Science Applications International Corporation (SAIC), and United Services Automobile Association (USAA) all met with us to discuss their training programs. The federal Chief Information Officers (CIO) Council, the Information Technology Association of America (ITAA), the Private Sector Council, and the American Society for Training & Development (ASTD), as well as IT consulting firms Gartner and Giga, also provided assistance and information. Unless you publicly announce the contents of this report earlier, we plan no further distribution until 30 days from the report date. At that time, we will send copies of this report to interested congressional committees. In addition, copies will be made available to others upon request. Copies of this report are also available at no charge on GAO’s Web site at www.gao.gov. If you or your offices should have any questions concerning this report, please contact me at (202) 512-6253 or Megen Davis, Assistant Director, at (202) 512-6398. We can also be reached by E-mail at willemssenj@gao.gov and davism@gao.gov, respectively. Key contributors to this report were Barbara Collier, Vijay D’Souza, John Ortiz, Tomás Ramirez, Jr., and Glenn Spiegel. Joel Willemssen Managing Director, Information Technology: Signed by Joel Willemssen: [End of section] Appendixes: Appendix I: Information Technology Training: [See PDF for image] [End of figure] [End of section] FOOTNOTES [1] Information Technology Association of America, Bouncing Back: Jobs, Skills, and the Continuing Demand for IT Workers (May 2002). 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