This paper examines career development in organizations, exploring how formal organizational career development (OCD) programs benefit both employees and human resources departments. It traces OCD from its origins in the late 1970s through its evolution into a strategic HR function, outlining the four core stages of career development: assessment, exploration, goal setting, and action planning. The paper argues that a well-designed OCD program increases productivity, reduces employee turnover, improves morale, and enables HR staff to focus on higher-level functions. It also discusses the role of certified career development facilitators (CDFs) and the professional standards set by the National Career Development Association (NCDA).
The purpose of this paper is to introduce, discuss, and analyze the topic of career development in organizations. Specifically, it will discuss the importance of a career development plan in organizations and what benefits could be derived for various functions within HR and the organization as a whole. Career development is not only a growing trend in 21st-century organizations — it is a necessity for organizations that hope to retain and expand a competent and contented workforce. The successful organization will create a harmonious balance between the individual's needs and the organizational needs, and career development can help create this balance.
What is career development? Many college students have experience with counseling departments and the career development questionnaires that assess their strengths, weaknesses, and interests, then identify the best careers for their personalities and talents. Career development in the workplace uses similar tools to assess employee strengths and talents, but it also encourages employees to strive for more, work to their best advantage, and continually grow and change with the company. Career development is a growing force in the competency of America's workforce and is a useful and beneficial tool for nearly any Human Resources department. It does not encourage staff to look elsewhere for job satisfaction; rather, it encourages staff to develop their own potential while channeling their talents where they are most beneficial to the company. The company wins, the employees win, and the HR department can concentrate on other issues rather than employee retention and turnover.
Career development in organizations is not a new idea. In fact, the American Management Association sponsored a major survey on organizational career development (OCD) in 1978 (Gutteridge, Leibowitz, & Shore, 1993). However, OCD has evolved over the past several decades from an internal department focused on creating career paths within the organization to one geared toward fully supporting the growth and development of one of the organization's most important resources — its workforce. Recent developments in career development tools, such as software and career assessment models, have also made the task of career development easier for both developers and employees. Today, many more global and national organizations recognize the importance of career development to their employees and their bottom lines.
OCD is a cornerstone in building a strong internal culture. When a company provides internal career exploration, everyone benefits. Employees and management develop a better sense of direction in their current roles, submit stronger targeted résumés for internal postings, present themselves more effectively at interviews, and are better able to navigate internal career paths. Additionally, employees with a career plan tend to invest more in the company and demonstrate greater pride in their current assignments.
Career exploration and development also embraces the changing professional needs of the organization. Department leaders are interested in recruiting people who can demonstrate their skills and knowledge. Working hand-in-hand with Human Resources and Training, a career development office provides employees at all levels a secure and confidential environment in which to explore appropriate career paths through self-assessment, effective résumé preparation, interviewing skills, and career management. Careers are no longer steady and fixed. Those employees who have learned to guide their own careers will be better prepared to acquire and master the roles that emerge throughout the organization.
Creating a career development plan for an organization may seem daunting at first, but studies show greater satisfaction throughout the organization once the plan is in place and fully operational. Experts note, "Once the system is in place, however, it tends to engender positive attitudes and garner managerial support" (Gutteridge, Leibowitz, & Shore, 1993). For any career development department to succeed, a fully developed plan must be the first step. The plan should articulate what outcomes the organization hopes to realize from its OCD and how to achieve those outcomes effectively. Most experts agree that "the overriding element of the career development strategy is the statement of the organization's corporate career development philosophy — or generic policy" (Morrison & Adams, 1991, p. 34). Once the policy is in place, expected outcomes can be identified — for example, "Outcomes may include job enrichment, job change, and self-development" (Gutteridge, Leibowitz, & Shore, 1993).
A well-conceived career development plan can lead to increased organizational efficiency and employee satisfaction, as well as greater effectiveness within the Human Resources department. There are typically four stages of career development for the employee:
Stage 1 — Assessment: What are the employee's skills, values, interests, and work style?
Stage 2 — Exploration & Research: What are the available career options? This stage involves reviewing career trends, gathering information, and conducting informational interviews and job shadowing.
Stage 3 — Goal Setting, Planning, & Decision Making: What is the best goal for the employee? This stage involves identifying personal objectives and mapping a path forward.
Stage 4 — Action Planning: How will the employee reach their goal? What behaviors are required, when will each step occur, and who else needs to be involved?
As a department develops a career development plan, each of these stages must be analyzed, along with the question of staffing: will Human Resources take over these functions, or will dedicated OCD professionals be brought in? What are the organization's goals regarding employee support, development, and promotion, and how can OCD help support them? These are all questions that must be answered when creating a successful OCD program, or the program may ultimately fail to serve the people it was created to support. Long-term goals must also be established, as many career development programs take time to mature and show measurable results. Overall, a good OCD program can enhance nearly every area of the company — and even transform the corporate culture from one of employee dissatisfaction to one of contentment and increased job satisfaction, from hourly workers to corporate executives.
Typically, the career development function falls under the HR department and is often grouped with training and development. As two authorities note, "Development, whether individual or organizational, will not occur unless people participate in activities that introduce new knowledge and skills or improved behavior" (Gilley & Maycunich, 2000, p. 254). From the four stages outlined above, it is clear that the employee is responsible for much of the initial career development process. Employees can use self-guided tutorials and questionnaires to assess their own work styles, preferences, and career options within the company, freeing HR staff to concentrate on other functions. This self-assessment also allows HR to match the most qualified employees to the roles best suited to their abilities and the organization's needs.
"Productivity, retention, and morale gains"
"CDF credentials, NCDA standards, and HR support"
In conclusion, OCD is a growing trend in organizations, as more and more companies recognize the link between staff satisfaction, productivity, and a positive corporate culture. Many companies already support active OCD programs, from GE to General Motors and CIGNA. Each organization utilizes differing OCD techniques suited to its particular needs, but each has recognized the positive long-term effects of a successful OCD program. Career development can benefit an organization in numerous ways: a successful OCD program can raise company profits, improve staff satisfaction, and serve as an enduring foundation for organizational success both nationally and globally.
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