Human Resource Development in Microfinance Institution

This article discusses the significant elements of human resource development in MFIs. Key components include a paradigm shift from training to learning, treatment of employee on induction, ongoing development and training on promotion. Emphasizing the role of line managers and senior managers in grooming subordinates, the article argues that human resources development (HRD) alone is not responsible for recruitment, development and performance management. However, it plays a pivotal role in this context.While MFIs work with limited funds, not all knowledge, skill and attitude gaps need urgent attention. The HRD team must routinely assess needs at the individual, departmental and organizational levels, and in conjunction with senior management, prioritize those that are critical.MFIs ready to scale up operations will need well designed HRD interventions linked to business requirements. This includes carefully crafted and ongoing training that interfaces with recruitment and performance management.