IMPACT OF TRAINING AND DEVELOPMENT ON EMPLOYEE’S PERFORMANCE A STUDY OF GENERAL EMPLOYEES

1

CHAPTER 1 INTRODUCTION Concept of Training The concept of training predates history; it is as old as man himself. The earliest man learnt to hunt and grow crops for his survival. One of the earliest types of training was on the job training (OJT), which is still in wide use today China began training of her workers through conceptual case studies in the 5th century BC. Confucius presented

problems

to

his

students

and

asked

them

to

contemplate possible solutions to those problems. The case study is still widely in practice even today, mostly in professional schools. It is an effective tool to encourage learners

to

problematic

think

philosophically

situations

without

about

having

difficult to

go

and

through

personal experiences. As time went on, modern theories of psychology, training, and staff development were applied to training methods in order to keep staff skilled, knowledgeable, and motivated.

2 Definition: employees

“Training

the

basic

is

the

skills

process

they

of

need,

teaching

to

perform

new their

jobs” (Gary Dessler). Training is a learning experience which seeks a relatively improve

permanent

his

change

ability

to

in

the

perform

individual his

job

that

well.

will Every

organization needs to have well trained, experienced and adjusted

employees

Training

can

to

involve

perform the

their

changing

duties

of

efficiently.

skills,

knowledge,

attitudes, or behavior. It may mean changing what employees know, how they work, their attitudes toward their work, or their

interaction

Training

is

more

with

their

present

day

coworkers

or

oriented

and

supervisor. focuses

on

individual’s existing jobs and enhancement of abilities to perform well. Training should not focus on new employees only,

but

periodical

old

employees

training

in

should

order

to

also

be

put

keep

their

through knowledge

updated. Employees Development: “Future-oriented training, focusing on the personal growth of employees” (David Stephen), for example if an employee is promoted supervisor, his new job would require him to

3 ensure his subordinates do their duties well. This would require his grooming in advance. This is known as employees’ development, and every organization must plan/carry out employee’s development in order to keep it functioning efficiently.

Purpose of Training and Development Reasons for emphasizing training and development of employees: •

Creating

a

pool

of

readily

available

and

adequate

replacements for personnel who may leave or move up in the organization. •

Enhancing advances

the in

company's technology

ability because

to

adopt

of

a

and

use

sufficiently

knowledgeable staff. •

Building motivated

a

more team,

efficient, which

effective

enhances

the

and

highly

company's

competitive position and improves employees morale. •

Ensuring adequate human resources for expansion into new programs.

It has been experienced that companies can benefit a lot from training and developing of their workers. Some of the

4 advantages

which

an

organization

may

enjoy

from

a

well

trained staff are as under: •

Increased productivity.

•

Reduced employee turnover.

•

Increased efficiency resulting in financial gains.

•

Decreased need for supervision.

Training Methods There are two broad types of training programs in vogue—on job and off job training. On the job Training (OJT): On job training means having a person learn the job by actually doing it. Every employee from the boss to the lowest level staff gets on the job training, on joining a firm. In this way, they do not lose time while they are learning. On the job training includes orientations,

job

instruction

training,

apprenticeships,

internships, assistantships, and coaching. Off the job Training: In off the job training the workers after recruitment are properly trained and then allowed to perform

their

duties.

This

type

of

training

includes

lectures, special study programs, films, discussions, case studies, role playing, simulation, programmed instructions

5 and laboratory training. Most of these techniques can be used

by

organizations, although for some it may be

too

costly. Orientations are for new employees. The first several days on the job are crucial in the success of new employees. This point is illustrated by the fact that 60 percent of all

employees

who

quit

do

so

in

the

first

ten

days.

Orientation training should emphasize the following topics: •

The company's history and mission.

•

The key members in the organization.

•

The

key

members

in

the

department,

and

how

the

department helps fulfill the mission of the company. •

Rules and regulations for employees. No matter what method is used, it is important that

the

newcomers

fully

come

to

know

about

their

place

of

employment. Cordial surroundings and cooperative coworkers encourage the new comers to feel at home and take interest in their job Lectures present training material verbally and are aimed to

deliver

a

great

deal

of

material

to

many

people

simultaneously. It is more cost effective to lecture to a group than to train people individually.

6 Role Playing and Simulation is a training technique that attempts to bring realistic decision making situations to the trainees. Likely problems and possible solutions are presented better

for

discussion.

trainer

than

The

experience

saying is

that

there

exemplified

is

with

no

this

type of training. With the help of plays and simulations trainees

learn

much

quickly,

which

is

very

good

from

training point of view. This method is cost effective and is used in marketing and management training. Job Rotation involves moving an employee through a series of jobs so that he or she can get a good idea for the tasks that are associated with different jobs. It is usually used in

training

for

supervisory

positions.

This

is

a

good

strategy because an employee would not feel disturbed when asked to do any other job. Apprenticeships develop employees who can do many different tasks. related

This

type

groups

of

of

training

skills

that

usually allow

involves the

several

apprentice

to

practice in any particular trade within the organizational setup and they take place over a long period of time in which

the

apprentice

works

for,

and

with,

the

senior

skilled workers. Apprenticeships are especially appropriate for jobs requiring production skills.

7 Internships and Assistantships are usually a combination of classroom and on the job training. They are often used to train prospective managers or marketing personnel. Programmed

learning

computer-aided

instruction

and

interactive video all have one thing in common; they allow the trainee to learn at his or her own pace. They allow material already learnt to be bypassed in favor of material with

which

a

trainee

is

having

difficulty.

After

the

introductory period, the instructor need not be present, and the trainee can learn as his or her time allows. Laboratory

Training

is

conducted

for

groups

by

skilled

trainers. It is usually conducted at a neutral site and is used by upper and middle management trainees to develop a spirit of teamwork and an increased ability to deal with management and peers.

8

Is There A Difference Between Training & Development? If we want to maximize training and development results by linking them to performance management we need to understand the difference between training activites and development activities. That's because it's important that we choose the right mechanism for addressing any needs we have. Training usually refers to some kind of organized (and finite it time) event -- a seminar, workshop that has a specific beginning data and end date. It's often a group activity, but the word training is also used to refer to specific instruction done one on one. Employee development, however, is a much bigger, inclusive "thing". For example, if a manager pairs up a relatively new employee with a more experienced employee to help the new employee learns about the job, that's really employee development. If a manager coaches and employee in an ongoing way, that's employee development. Or, employees may rotate job responsibilities to learn about the jobs of their colleagues and gain experience so they might

9 eventually have more promotion opportunities. That's employee development. In other words employee development is a broader term that includes training as one, and only one of its methods for encouraging employee learning. The important point here is that different activities are better for the achievement of different results. For example, if the desire is provide an employee with a better understanding of how the department works, job rotation might work very well. If the goal is to improve the employee's ability to use a computer based accounting package direct training would be more appropriate than, let's say, job rotation.

Operational Definition The study variables can be operationally defined as follows. Employees’ performance It is strategic investment, by an organization, in the training of its members. Employee motivation is a joint, ongoing effort on the part of an employee and the organization for which he or she works to upgrade the

10 employee’s knowledge, skills and abilities. Employees Motivation requires a balance between an individual’s career needs and goals and the organization’s need to get work done. Coaching employees to help them determine what they need for to motivate them to perform well like training and development programs.

Training and development programs

Training refers to the methods used to give new or present employees the skills they need to perform their jobs. Training is used to focus mostly on teaching technical skills. Whereas managerial employees’ development is any attempt to improve employees’ performance by imparting knowledge, changing attitudes, or increasing skills. The ultimate aim is of course, to enhance the future performance of the organization itself. Employees are the assets of an organization and every organization makes progress and achieves its goals effectively due to the motivation and dedication of its employees. How we can achieve the motivation and dedication of employees, is possible through providing them a specific training so that they can be refreshed from time to time and they set to work with motivational manner.

11

Purpose of Research Although the bottom line for most training and development

programs

organizational little

is

an

performance,

attention

improvement

organizations

in

overall

often

devote

to evaluate training effectiveness.

The

aim of this research paper is to measure the impact of training general

and

development

employees

of

program

different

on

the

performance

organizations

located

of in

Islamabad. It is also designed to evaluate effectiveness of training from

of

managerial

qualitative

questionnaire

and

staff

data

of

different

gathered

observations.

organizations

through

Based

on

interviews,

these

findings

this study will also provide suggestions for improvement in training programs and will be a help for professionals to improve their performance to a great extent. It is very essential for enterprises like Five Star Hotels, Banks, Telecom companies and schools that the training opportunities provided to the employees should be focused

on

providing

such

training

which

enables

the

professionals to put in their best efforts. For instance, if we make a cobbler learn the computer he will have to

12 work harder, but the desired outcome will not be as if that training

was

provided

to

a

professional

who

is

already

dealing or having any kind of interaction with computers. We know that at enterprises like Five Star Hotels training programs are well organized but still the short comings in training should be eliminated. This will for sure help the employees enhance their professional and academic skills

Rest of the study is organized as follows: Chapter 2 consists of literature review in which a detailed analysis

of

previous

literature

is

conducted.

Chapter

3

consist of data and methodology, it shows from where and how data is collected and the type of methodology used for processing that data. Chapter 4 consists of results and analysis. Chapter 5 consists of conclusion on the basis of the

analysis

done

in

chapter

overcome the background problems.

4

and

recommendations

to

13

CHAPTER 2 LITERATURE REVIEW The origin of HRD can be traced back to apprenticeship training programs in the eighteenth century. During that time small shops operated by skilled artisans produced virtually all household goods, such and furniture, clothing and shoes etc. To meet growing demand for their products the owners had to employ additional non skilled workers, whom the shopkeepers themselves had to train. For little or no wages these trainees or apprentices learned the craft working for years in the shops until they became proficient in their trade. The apprenticeship training was not limited to the skilled workers only but it also covered the training of physicians, educators and attorneys. Even as late as 1920s a person apprenticing in a law office could practice law after passing a state supervised exam (Mintzberg, 1971).

Employees training allow organizations to achieve management objectives, resolve issues and align cultures to their mission and values. Employee training and development initiatives can transform organizations. Specialized skill training to the employees not only increases safety and

14 productivity but it also leads to higher job satisfaction which highly improves performance of the organization. Training and development leads to: •

Increased job satisfaction and morale among employees.

•

Increased employee motivation.

•

Increased efficiencies in processes, resulting in financial gain.

•

Increased innovation in strategies and products.

•

Increased capacity to adopt new technologies and methods.

•

Reduced employee turnover.

•

Enhanced company image which increase demand for its products.

This is only a partial listing of the many benefits that result from training. Training that is appropriate to the needs of an organization can add great value.

So, why would an organization not welcome and seek out the value-added benefits resulting from training? Training is not always the answer to performance problems. Brandt Sakakeeny, training industry analyst for Solomon Smith

15 Barney believes that training can be a great investment and training can be a waste of money (Rosner, 1999). Training is indeed a waste of money when the desired behavior does not occur. Gupta acknowledges that not all performance problems can be addressed by training. In many cases, non-training interventions are necessary (Gupta 1999).

Many organizations are including employee education (training and development) as an important and effective part of their organizational strategy. It has been estimated that education and training programs accounted for as much as 26 percent of the increase in US production capacity between 1929 and 1982. In 1995 Alan greens, Chairman of the US federal reserve board, stated that, “many firms have concluded that it makes more sense to invest in worker training than to build up wage scales in a zero sum competition for the existing limited pool of well qualified workers. A 2000 survey of human resource managers in large organizations ranked training and development as the most important functional area these managers had to deal with. This was followed in descending order by recruitment and selection, productivity and quality,

16 succession planning, employees’ job satisfaction, globalization and diversity (Allan Greenspan, 1955).

Careful selection of workers willing/eager to learn new things is a prerequisite of all T&D efforts. Training and education opens the door, but one must enter by oneself. You can’t instill a desire in another person to learn or to strive to do better. What you can do is provide the opportunities. If employees are willing they will themselves come up and learn. Why don’t you have a chitchat with each one and see what they really want to do in their lives (Maxey, 2002). Flatter older employees a bit regarding the amount of knowledge and know-how they’ve acquired throughout the years in the company and ask for their help in training the newer, younger employees. Focus on the positive points, acknowledge employees qualities and qualifications and give them the understanding that you need their help and knowhow to run the operation effectively (Trevor, Gerhart & Boudreau 1997).

In hotel industry, because of tight time schedule and tough duties, employees’ turnover is high. Developers say a strong training program, incentives and opportunities for

17 internal growth are powerful tools that foster an environment that will attract and retain talented employees. Introduce such training programs which encourage new hires to perform well and succeed. Despite the highly competitive nature of timeshare, a company can be successful in maintaining a solid work force with proper training and motivation. The author says that his philosophy in terms of attracting employees is having positive results and people from outside are coming in flocks. Organizations that give special training to their employees and there are ample opportunities for promotions and good monetary benefits which encourage the employees to exert themselves and take initiatives to rise to the challenges which gives guaranteed returns to the company. A wide selection of leadership, seminars, management training and technical courses are available to employees. It is a crucial investment and it is essential to the company (Banson, 2003).

It’s essential to devote resources for ongoing training, development of leadership skills and creating opportunities for advancement for candidates within an organization. We are developing future managers from within our labor force. It is our goal to be the employer of choice. (Milanese,

18 2003)They approach salespeople with an attitude that lets them know training will take an hour of their time to compensate them with skills and information. Salespeople want to know exactly what they can learn in a short time. The employees want transfer of knowledge in shortest possible time to derive benefits from it. (Dragon and Chuang, 2001)In Microsoft; the approach that I took wasn’t to create a training group to ensure that we train these people to be successful. I purposely don’t use the word training, preferring to use the word readiness to quantify is better, because driving readiness is about being ready to sell in the enterprise…… It’s about; giving salespeople clarity within their roles, giving them the tools to be successful, and ensuring that they can do the jobs set out of them (Schuler, 2001).

Buchananm (2008) in this paper reviews studies published between 1964 and May 1968 on laboratory training in human relations and its use in attempts to enhance the effectiveness of organizations. After some of the difficulties in conducting such research in this area are considered, findings are examined as they relate to five issues in the design and the application of laboratory training. These findings are also compared with findings

19 from a similar review reported by the author four years ago. Studies of the influence of trainees’ characteristics on the training effectiveness have focused on the level of ability necessary to learn program content. Motivational and environmental influences of training effectiveness have received little attention. This analysis integrates important motivational and situational factors from organizational behavior theory and research into a model which describes how trainees’ attributes and attitudes may influence the effectiveness of training (Noe, 1986).

In Chart’s (2000) Exploratory Benchmark Survey, 70% of respondents said training had a positive impact on their company’s ability to improve occupancy and overall profitability. Comparing the performance of their companies with that of 1999, 75% confirmed that training increased profits and occupancy rates. In a survey, majority of respondents asserted that training also enhances guest and customers satisfaction. 56% of companies increased their training budgets last year or planned to increase it this year a finding that is not surprising given the connection between training and retention. Employees are of the opinion that training in career development is important for their professional success. They realize that well-

20 trained employees are happier with their jobs and more likely to stay (Berta, 2001).

Manu (2004) conducted a study on training and development of firms in Ghana. The purpose of the study was to describe selected successful models of training and development as they may apply to firms. Second, to describe selected methods of needs assessment for training and development programs for employers and employees. Third, to identify selected managerial techniques that contributes to lost productivity and morale. Fourth, to selectively assess what business skills are most essential for career success. Fifth, the results of this study suggest recommendations for developing a comprehensive plan (model) for the creation of effective employee training and development program in Ghana. This study was conducted by engaging in comprehensive review and critique of the existing literature on training and development models (Manu, 2004).

Most banks see education and training as a key part of their employment equity initiatives, their performance enhancement and performance recovery initiatives, and their strategic human resources provision.

21 There are following five key priority areas: Using the workplace skills plans •

Information technology-related skills development.

•

Management and leadership skills development

•

Customer interface-related skills development

•

Specialist financial skill development

•

Back-office processes and support skills development.

The process of the transfer of training has a great impact on job productivity, effectiveness and satisfaction. Studies focusing specifically on the role of managers in the process have, however, been limited in number. The general aim of this study is to determine the impact of managers' reinforcement on participants' job attitude, productivity, effectiveness and satisfaction in the process of the transfer of knowledge, skill and attitude to be acquired through a training programmed into the workplace. The study involves a group of sales representatives participating in the Basic Sales Training Program for Sales Representatives and their supervisors in the Coca-Cola Bottlers of Turkey. Using experimental and control groups, the study are based on Kirkpatrick's four–stage evaluation model. The findings obtained are discussed and evaluated

22 with respect to the roles of managers in the transfer of training (Gumuseli & Ergin, 2002). The global competition and swiftness of changes emphasize the importance of human capital within organizations, as well as the swiftness and ways of knowledge gaining of that capital. In the economy where uncertainty is the only certainty, knowledge is becoming a reliable source of sustained competitive advantage. Knowledge is becoming basic capital and the trigger of development. Previously built on foundations of possessing specific resources and low costs, present day competition is based on knowledge possessing and efficient knowledge management. Modern organizations therefore use their resources (money, time, energy, information, etc.) for permanent training and advancement of their employees. Organizations which are constantly creating new knowledge, extending it through the entire organization and implementing it quickly inside the new technologies, develop good products and excellent services. These activities determine the company as a learning organization with constant innovation being its sole business. These are organizations which realize that learning and new knowledge are becoming the key of success, and that education is crucial for abundance. (Vemic, 2007)

23

Ojo and Olaniyan (2008) examined the impact of training and development programs on the performance of home economics teachers in Nigeria. The findings of the study revealed that training and development has a positive impact on the performance of home economic teachers. We have followed the methodology of Ojo et al and made it as our base thesis. We will apply this methodology to different organizations like banks, five star hotels and telecom companies operating in Pakistani market.

On the basis of literature review done above we intend to test the following hypotheses

•

There is a positive impact of Training and development programs on the performance of senior employees.

•

There is a positive impact of Training and development programs on the performance of junior employees.

•

There is a positive impact of Training and development programs on the performance of married employees.

24 •

There is a positive impact of Training and development programs on the performance of unmarried employees.

•

There is a positive impact of Training and development programs on the performance of female employees.

•

There is a positive impact of Training and development programs on the performance of male employees.

25

CHAPTER 3 DATA AND RESEARCH METHODOLOGY The major objective of this research is to know the impact of training and development programs in different age

groups,

designations

and

gender.

First

of

all

we

identified the objective behind this research. The study is based upon the primary data. Then we collected data with the help of questionnaire to identify issues relevant to the

research.

After

that

it

would

be

recommended

how

training and development programs affect the performance of employees at work place. The main objective is to answer this

important

question

employees’

increases

development

programs

will

distribute

organizations employees

of

towards

whether

or in

the

decreases an

70

performance after

organization.

questionnaires

of

the

training

and

The in

Islamabad

to

know

the

different

T&D

programs.

researcher different

response

of

Questionnaire

will be consisted of 14 questions (Appendix A).

Research instrument Data

was

internet

also and

collected

some

books.

using

secondary

Whereas

mainly,

sources

like

primary

data

source i-e, questionnaire was used to collect data from existing employees of selected organizations. Questionnaire

26 consisting of 7+7 questions is distributed (questionnaire is given in appendices). 7 questions are related to the training and development programs that are carried out in different organizations; the remaining 7 questions are to investigate the effect of that training and development on the

performance

of

the

employees.

Some

data

has

been

collected through interviews with the existing employees. Interview of a relationship manager will be taken to verify the results.

Population The population of the study consists of existing employees, senior managers of different banks, 5 star hotels,telecom companies and schools in Islamabad. Thus the respondents of the study have been drawn from the population of banks, companies

and

schools

in

Islamabad.

Total

number

of

70

questionnaires was distributed in these organizations.

Sample design Respondents of the Study were the existing bank employees of different banks of Islamabad e.g. Bank Alfalah Limited, City

Bank,

National

bank

of

Pakistan,

Zong telecom, Bahria college, IMCG F-10/2.

Marriot

hotel,P.C

27

Sample size As population size is 70, It is estimated that there would be

approximately

70

respondents

in

the

selected

organizations.

Measuring level of Employee’s Performance Instrument/

Questionnaire

used

to

determine

employee

performance after undergoing a T&D program consist of five responses on Linkert scale. 1= strongly agree 2= agree 3= neither agreed nor disagree/ Neutral 4= disagree 5= strongly disagree Negative questions were translated into positive questions so that the concept flows in the same direction.

Type of study The study is of descriptive nature and it is carried out to find the reasons how and in which way T&D programs affect the performance of an organization employee.

Test used in the study In this research t-test for equality of means is used as a statistical

hypothesis

test.A

t-test

is

any

statistical

hypothesis test in which the test statistic has a student’s

28 T

distribution

applied

when

if

the

the

null-hypothesis

population

is

is

assumed

true.

to

be

It

is

normally

distributed but the sample sizes are small enough that the statistic

on

which

inference

is

based

is

not

normally

distributed because it relies on an uncertain estimate of standard deviation rather than on a precisely known value.

Regression Analysis It is a statistical technique used to find relationships between values.

variables for the purpose of predicting future In

dependent

other

variable

words by

it

predicts

analyzing

one

in

study

the or

behavior

more

of

a

independent

variables. Independent

variables

this

are

training

and

development programs and dependent variable is performance of employees.

Correlation Analysis It is a statistical analysis used to determine the extent to which changes in value of an attribute are associated with

changes

coefficient

r

in is

other a

attributes.

measure

of

the

The

correlation

linear

relationship

between two attributes or columns of data. The correlation

29 coefficient

is

also

known

as

the

Pearson

product-moment

correlation coefficient. The value of r can range from -1 to +1 and is independent of the units of measurement. A value

of

r

near

0

indicates

little

correlation

between

attributes; a value near +1 or -1 indicates a high level of correlation. When

two

attributes

coefficient,

an

indicates

likely

a

attribute. indicates

A a

have

increase

in

a the

positive value

of

correlation one

attribute

increase in the value of the second

correlation negative

coefficient

correlation.

of

That

less is,

than when

0 one

attribute shows an increase in value, the other attribute tends to show a decrease.

Data analytical techniques used We

applied

the

test

of

mean

equality

on

the

basis

of

grouping under age, marital status and gender.

Hypotheses Hoa:

There is no impact of Training and development

programs on the performance of senior employees. Ha:

There is a positive impact of Training and development

programs on the performance of senior employees.

30 Hob:

There is no impact of Training and development

programs on the performance of junior employees. Hb:

There is a positive impact of Training and development

programs on the performance of junior employees. Hoc:

There is no impact of Training and development

programs on the performance of married employees. Hc:

There is a positive impact of Training and development

programs on the performance of married employees. Hod:

There is no impact of Training and development

programs on the performance of unmarried employees. Hd: There is a positive impact of Training and development programs on the performance of unmarried employees. Hoe:

There is no impact of Training and development

programs on the performance of female employees. He:

There is a positive impact of Training and development

programs on the performance of female employees. Hof:

There is no impact of Training and development

programs on the performance of male employees. Hf:

There is a positive impact of Training and development

programs on the performance of male employees.

31

CHAPTER 4 RESULTS AND ANALYSIS

The test of mean equality was applied on the basis of grouping under the headings of gender, age and marital status to test the hypotheses.

Age based results Age group was divided into two categories; in senior group, employees who are above 30 years of age whereas in junior group, age below 30 years was taken.

Above 30 results In this group we will test the following hypotheses: H0a: There is no impact of Training and development programs on the performance of senior employees. Ha: There is a positive impact of Training and development programs on the performance of senior employees.

32

Table 4.1.1

Regression Coefficients(a) Model 1

(Constant)

Unstandardized Coefficients Std. B Error 1.383 .505

TD

a

.679 Dependent Variable: Performance

Standardized Coefficients

t

Sig.

Beta

.129

.705

2.739

.011

5.259

.000

Table 4.1.1 shows that H0a is rejected. It means that the training and development programs have a positive impact on the performance of the employees who are above the age of 30 years. So our results justify the theoretical background. The value of beta i.e. 0.705 shows a high level of significance. In simple words it means that there is a considerable positive impact of training and development programs on the performance of senior employees.

Table 4.1.2

Correlations Performance

Pearson Correlation Sig. (2-tailed) N

TD

Pearson Correlation Sig. (2-tailed)

**

Performance 1

TD .705(**)

.

.000

30

30

.705(**)

1

.000

.

N 30 30 Correlation is significant at the 0.01 level (2-tailed).

Table 4.1.2 shows that both the variables are positively correlated, which means that an increase in training and

33 development programs will result in a proportionate increase in the performance of senior employees. Following hypotheses are formulated for employees who are below the age of 30 years.

Below 30 results In this group we will test the following hypotheses: Hob: There is no impact of Training and development programs on the performance of junior employees. Hb: There is a positive impact of Training and development programs on the performance of junior employees. Table 4.1.3

Regression Coefficients(a) Model 1

(Constant) TD

a

Unstandardized Coefficients Std. B Error 3.241 .362

.236 Dependent Variable: Performance

.092

Standardized Coefficients

t

Sig.

Beta .384

8.940

.000

2.566

.014

Table 4.1.3 shows that H0b is rejected. It means that the training and development programs have a positive impact on the performance of employees who are below the age of 30 years. The value of beta i.e. 0.384 shows a high level of significance but surprisingly it is lower than that of senior employees.

34

Table 4.1.4

Correlations Performance

Pearson Correlation

Performance 1

TD .384(*)

Sig. (2-tailed)

.

.014

40

40

.384(*)

1

.014

.

N TD

Pearson Correlation Sig. (2-tailed) N

40 Correlation is significant at the 0.05 level (2-tailed).

40

Table 4.1.4 shows that both the variables are positively correlated, which means that an increase in the training and

development

programs

will

result

in

a

proportionate

increase in the performance of senior employees.

Marital status based results This group was divided into two categories which are married and unmarried employees. The test of mean equality was applied to test the following hypotheses.

Married results The following hypotheses are formulated in this group of employees:

35 Hoc: There is no impact of Training and development programs on the performance of married employees. Hc: There is a positive impact of Training and development programs on the performance of married employees. Table 4.2.1

Regression Coefficients (a) Unstandardized Coefficients Std. B Error 1 (Constant) 2.848 .398 TD .320 .102 a Dependent Variable: Performance

Standardized Coefficients

Model

t

Sig.

Beta .463

7.150 3.138

.000 .003

Table 4.2.1 shows that H0c is rejected. It means that the training and development programs have a positive impact on the performance of the employees who are married. The value of beta i.e. 0.463 shows a moderate level of significance. In simple words it means that there is a relatively smaller impact of training and development programs on the performance of married employees. Table 4.2.2

Correlations Performance

Pearson Correlation Sig. (2-tailed) N

TD

Pearson Correlation Sig. (2-tailed) N

**

Performance 1

TD .463(**)

.

.003

38

38

.463(**)

1

.003

.

38 38 Correlation is significant at the 0.01 level (2-tailed).

36

Table 4.2.2 shows that both the variables are positively correlated, which means that a change in one variable will be accounted by an appropriate change in other variable, which means that an increase in T&D programs will enhance the performance of married employees.

Single results The following hypotheses are tested by applying the test of mean equality for group of unmarried employees:

Hod: There is no impact of Training and development programs on the performance of unmarried employees. Hd: There is a positive impact of Training and development programs on the performance of unmarried employees. Table 4.2.3

Regression Coefficients(a) Unstandardized Coefficients Std. B Error 1 (Constant) 1.838 .514 TD .582 .130 a Dependent Variable: Performance Model

Standardized Coefficients

t

Sig.

Beta .632

3.576 4.467

.001 .000

37 Table 4.2.3 shows that H0 is rejected. It means that the training and development programs have a positive impact on the performance of the unmarried employees. The value of beta i.e. 0.632 shows a very high level of significance. In simple words it means that there is a greater impact of training and development programs on the performance of unmarried employees.

Table 4.2.4

Correlations Performance

Pearson Correlation

Performance 1

TD .632(**)

Sig. (2-tailed)

.

.000

32

32

.632(**)

1

.000

.

N TD

Pearson Correlation Sig. (2-tailed) N

**

32 32 Correlation is significant at the 0.01 level (2-tailed).

Table 4.2.4 shows that both the variables are positively correlated, which means that an increase in the training and development programs will result in an increase in the performance of unmarried employees.

38

Gender based results Gender base group was divided into two groups which are male and female employees.

Female results Hypotheses formulated in this group are stated as under: Hoe: There is no impact of Training and development programs on the performance of female employees. He: There is a positive impact of Training and development programs on the performance of female employees. Table 4.3.1

Regression Coefficients(a)

Model 1

(Constant) TD

a

Unstandardized Coefficients Std. B Error 2.588 .464

.391 Dependent Variable: Performance

.113

Standardize d Coefficient s

t

Sig.

Beta .515

5.580

.000

3.449

.002

Table 4.3.1 shows that H0e is not rejected. It means that the training and development programs have a positive impact on the performance of the female employees. The value of beta i.e. 0.515 shows a high level of significance. In simple words it means that the training

39 and development programs will enhance the performance of female employees considerably.

Table 4.3.2

Correlations Performance

Pearson Correlation

Performance 1

TD .515(**)

.

.002

Sig. (2-tailed) N TD

Pearson Correlation

35

35

.515(**)

1

.002

.

Sig. (2-tailed) N

**

35 35 Correlation is significant at the 0.01 level (2-tailed).

Table 4.3.2 shows that both the variables are positively correlated, which means that an increase in the training and development programs will result in an increase in the performance of female employees.

Males results Following are the hypotheses formed to figure out the impact of T&D programs on the performance of male employees in different organizations. Hof:

There

is

no

impact

of

Training

and

development

programs on the performance of male employees. Hf:

There is a positive impact of Training and development

programs on the performance of male employees.

40

Table 4.3.3

Regression Coefficients (a) Model 1 a

(Constant)

Unstandardized Coefficients Std. B Error 2.386 .472

TD .440 Dependent Variable: Performance

Standardized Coefficients

t

Sig.

Beta

.126

.520

5.051

.000

3.498

.001

Table 4.3.3 shows that H0f is not rejected. It means that the training and development programs do have a positive impact on the performance of the male employees. The value of beta i.e. 0.520 shows a high level of significance. In simple words it means that the training and development programs considerably increase the performance of male employees.

Table 4.3.4

Correlations Performance

Pearson Correlation Sig. (2-tailed) N

TD

Pearson Correlation Sig. (2-tailed) N

**

Performance 1

TD .520(**)

.

.001

35

35

.520(**)

1

.001

.

35 35 Correlation is significant at the 0.01 level (2-tailed).

41 Table 4.3.4 shows that both the variables are positively correlated, which means that the greater the training and development

programs provided to male employees, greater

will be their performance.

42

CHAPTER 5 CONCLUSION AND RECOMMENDATIONS Conclusion 1. According to our gender based results training and development programs have a positive impact on the performance of both the male and female employees. But the value of beta shows that it has a greater impact on the performance of male employee’s group. This can be due to the reason that mostly female employees bear additional responsibilities from their families. 2. According

to

our

age

based

results

training

and

development programs affect the performance of senior as well as junior employees positively. But the value of beta shows a huge difference in the results of senior

and

junior

employees.

It

shows

that

the

productivity of senior employees is almost twice as compared to juniors after the same opportunities of training and development offered. The possible reason for this can be that the senior employees have more experience

and

knowledge

about

internal and external environment.

their

job

and

the

43 3. Results based on marital status again show that the training and development has a positive impact on the performance of both married and unmarried employees. By looking at the values of beta for both the groups it

is

evident

that

the

impact

of

training

and

development on the performance of unmarried employees is relatively greater. The reason for greater impact in case of unmarried employees can be that they are more ambitious and energetic and after getting married some

additional

responsibilities

rest

on

one’s

shoulders which directly or indirectly affect their attitude, behavior and performance.

The

finding

of

the

study

shows

that

training

and

development boost the moral of employees upgrade skills, improve their performance and gives them the opportunity to get

lucrative

finding

shows

trainee

the

contributes skills.

jobs

and

that

the

opportunity to

their

excel

in

training of

their

also.

The

at

providing

the

their

behaviors

and

aimed

changing

effectiveness

and

jobs

upgrading

their

44 Training and development might not necessarily lead to job satisfaction productivity,

of

employees

improves

but

the

it

quality

leads of

to

increase

work,

improves

skills, knowledge, understanding and attitude; enhance the use of tools and machine, reduce waste accident, turnover, lateness, absenteeism and other overhead costs etc. thus, training

and

development

has

a

positive

impact

on

the

performance of employees of different organizations.

RECOMMENDATIONS 1.

Employees should be encouraged to go for in-service training. This will brighten up their ideas and will enable

them

to

know

more

about

the

recent

developments in their subject areas. 2.

Different organizations should always determine the training need that would be most suitable for the achievement of organizational goals.

3.

There should be frequent job rotation so that banks and

other organizations get aware of the skills and interests of the employees and cater the training and development programs accordingly. 4.

There should not be a communication gap between junior

and inexperienced employees and their immediate bosses, so that

45 they

can

communicate

with

each

other

and

managers

can

get

proper feedback from all employees to carry out the training and development activities. 5.

Companies should pay handsome salary to all employees so

that junior and newly appointed employees get motivated and more dedicated to their work. This will help in increasing the impact of training and development programs on the performance of junior employees. 6.

Different organizations should provide equal advancement

opportunities

to

male

and female

employees, experienced

and

inexperienced employees and junior and senior employees 7.

Organizations should help out female employees to have a

balance between their responsibilities on the job and off the job so as to bring their performance equal to male employees.

46

References

Banson George, 2003, Occupational stress: A case study of the New Zeland reserve bank”.

Berta Dina, 2001, “Dual perceptions of HRD, Issues for Policy: SME’s, Other Constituencies, and the Contested Definitions” of Human Resource Development, 5(75), pp.604624

Buchanan Paul C., 2008, “Laboratory Training and organization development” journal of administrative science quarterly, 14(3), pp.466-480.

Buchanan Paul C., 2008, “Laboratory Training and Organization Development” Journal of Administrative Science Quarterly, 14(3), pp.466-480

Dragon Hsien-Che, Chuang Tsai-Hua (2004): “The impact of leadership styles on job stress and turnover intention- Taiwan Insurance Industry as an example” Tatung University, ChungShan. N. Rd, Taiwan City, Taiwan ROC.

47 Greenspan Allan, 1955, “The relationship between training and organizational commitment”, (www.employeeretentionguide.com

Gumuseli A. I., Ergin Banu, 2002, “The manager’s role in enhancing the Transfer of training” A Turkish Case Study, Internationqal Journal of Training and Development, Vol.6, pp.80-97

Gupta Pankaj, 2007, “A comparative study of integrated HR development system” of public and private sector organization.

Manu J. S, 2004, “Training and Development techniques for improving Organization performance” for Ghanaian firms.

Milanese Alfonso, 2003, “A cross sectional country analysis of different case studies”

Mintzberg Henry, 1997, “Impact of stress on employee performance in different organization”

48 Neo R. A., 1986, “Trainees’ Attributes and Attitudes: Neglected Influences on Training Effectiveness” the academy of Management Review, 11(4), pp.736-749

Ojo L.B. and Olaniyan D.A., 2008, “training and development, impact on the performance of home economic teachers and school improvement” in District II of school division Lagos State, Nigeria. Journal of social sciences,5(5),pp 484-488.

Rosner J. L., 1999, “Managing the impact of employee development on performance, the role of process conformance” Haward Business School, Boston Massachusetts, Volume 19.

Schuler Alexander, 2001, “A structural model of workload, jod attitudes, stress and turnover intentions” Kansas State University.

Trevor C.O., Gerhart Barry, boudreau J.W., 1997, “Training programs and Job Performance: Curvilinearity and the moderating influences of Salary growth and promotions”.

49 Vemic Jelena, 2007, “Employee training and development and the learning organization” Economics and Organization, 4(2), pp.209-216.

50 APPENDIX A

Questionnaire for Impact of Training and Development on Employees Performance

Respondent profile:

1.

Gender [1] Male [2] Female

2.

Marital status [1] Married [2] Single

3.

Age:

Years

4.

Designation :

__________________

5.

Total number of years that you have been employed by

Current Place?

6.

Total working experience?

Years

Years

51 Objectives:

o

To ensure that the effective training is provided to

the employees. o

To know that needs of employees with respect to

enhancing the knowledge and skill. o

To asses the training standards which are provided to

the employees. o

To know about the support to training and

development. o

To improve the training standards as per the

employees requirements. o

To analyze that whether the organization is providing

incentives to trained employees or not.

“Your right clicks are appreciated and your little bit cooperation will help me to reach on the best solution”

Keys:

Strongly Disagree 1

Disagree 2

Indifference 3

Agree 4

Strongly Agree 5

52 1.

Employees are motivated towards training programs. 1

2.

2

3

4

5

Training programs are job oriented. 1

3.

2

3

4

5

Organizational culture facilitates the Training and

Development programs. 1 4.

2

3

4

5

Trained employees are more efficient and effective as

compare to untrained. 1 5.

2

3

4

5

Training is provided in accordance to the international

standards. 1 6.

2

3

4

5

Working condition support the Training programs. 1

7.

2

3

4

5

Trained employees get more incentives. 1

8.

2

3

4

5

Leadership and decision making training is provided to

the employees. 1

2

3

4

5

53 9.

Do you require further training for the motivation

towards the improvement of the performance to help you to increase overall productivity of the organization? 1

2

3

4

5

10. Training and Development program will give me better idea of the career path, which I want to Pursue. 1

11.

2

3

4

5

Training programs help you to stay up-to-date with new

process or procedures related to your job. 1

12.

2

3

4

5

Trained employees understand the problems and get the

solution quickly? 1

13.

2

3

4

5

T&D plans and policies respond quickly and effectively to

changing business needs. 1

2

3

4

5

54 14. Trained employees make less number of mistakes as compared to the untrained. 1

2

3

4

5