It is necessary for the professional stage to have skilled people with the required talent. It can be made possible to obtain such skill by buying them from outside the organization. that is, recruitment. However, it is also possible to achieve this by training and developing the present employees.
Human Resource Development (HRD) is a planned approach that is used in order to invest in human capital. The reason that HRD is important is that one of the most essential factors for the development of a successful industry in the UK happens to the investment is skills. It draws on other human resource processes, for example, resourcing and performance evaluation, so that the real and probable talent can be recognized. HRD presents a structure for self-development, training courses, and career progression so that an organization’s future skill requirements can be met.
In order to respond to a restriction against the job market, there should be human capital development in the form of education and skills training. It is possible that some skills are scarce even when there is high employment. Newswire Today reports that in 2007 a report was issued by the British Chambers of Commerce (BCC) entitled “UK Skills: Making the Grade”. This report was based on a survey of over 300 employers. According to this report, 55% of the employers who were evaluated are finding it more difficult to employ skilled workers now as compared to five years ago. In order to deal with this problem, in the same year, the UK Government announced a major expansion in skills investment for England of over £11 billion for each of the next three years. Total spending on learning and skills is likely to increase to £12.3 billion a year by 2010/11. This compares with the £6.5 billion spent in 2001/02 (Department for Innovation, Universities & Skills, n.d.).