EXAMINING THE ROLE OF TRAINING ON ORGANIZATION PERFORMANCE
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ABSTRACT
A survey research design was used for this study.The survey design was appropriate for this study because it allowed investigation of possible relationshipsbetween variables as well as data collection from broader category and comparisons between variables.The study population was 25employeesat First Bank PLC, Ogun state.
All the employees were sampled for data collection making the sample size 25. The data was collected by use of a questionnaire.The data analysis involved frequencies, means, percentages, analysis of variance and bivariate analysis in form of cross tabulations. The findings were presented using Tables and figures.
On the role of training on employee performance the study showed that in general training enhances employee performance in change processes.
Training most likely motivates the top level to be committed to taking initiatives in helping other employees. This case may not apply for the middle level management and the non-management employee. Secondly the study also showed that training enhances employee engagement in innovation. Thirdly, the study showed that training enhances better performance among employee and lastly the study showed thattraining enhances employee enthusiasm to work.
On the role of training on employee motivation the study showed that training enhances employee motivation as it allows for employee recognition within the organization. Likewise training aligns employees to the organizational goals at First Bank PLC. On the other hand training enhances positive leadership traits in the organization’s leaders. Lastly training facilitates motivation for work performance.
CHAPTER ONE
INTRODUCTION
1.1 Background to the Study
Training of employee has become a major pre-occupation in modern organizational objective of growth. To achieve this basic objective of growth and profitability, it means that management as well as employees must improve their input into the organization. This is because the performance of an organization is a function of the collective performance of employees. Garavan, Costine and Herathy (1995:47) opine that there are many critical factors which organizations must consider as they face the future. This alone implies that the success of an organization depends on who works to achieve the organization’s objective, that is, the presence of qualified manpower.
Training is effort initiated by an organization to foster learning among its employees, and development is effort that is oriented more towards broadening an individual’s skills for the future responsibility. (George & Scott, 2012). Training and development are a continuous effort designed to improve employees’ competence and organize performance as a goal to improve on the employees’ capacity and performance. Human Resource Management has played a significant role in the economic development of most developed countries like Britain America and Japan. In a developing country like Cameroon, with its rich natural resources and financial support, one can also experience such economic success if the appropriate attention is given to the development and training of her human resources. Every aspects and activities in an organization involves people. For instance, a manager will not be successful if he has subordinates who are not well equipped with skills, knowledge, ability, and competence (SKAC).
To run an organization, be it big or small, requires staffing the organization with efficient personnel. Specific job skills, ability, knowledge and competence needed in the workplace are not efficiently taught `in the formal education. As such, most employees need extensive training to ensure the necessary SKAC to bring out substantive contribution towards the company’s growth. For employees to be flexible and effective in their job, they need to acquire and develop knowledge and skill, and for them to believe that they are valued by the organization they work for, then they need to see valuable signs of management commitments to their training needs. Each new employee must be properly trained not only to develop technical skills, but to make them an integral part of the organization. Training and development is an aspect that must be faced by every organization, and its major aim is to improve the employees’ competencies such that the organization can maximize effectiveness and efficiency of their human resources. It can be an advantage for an organization if they win the “hearts and minds” of their employees, getting them to identify with the organization (Armstrong, 2009). For employees to be equipped to perform well, there must be an investment in the training processes. These processes are part of the entire human resource management approach which results in employees being motivated to perform. However, training vary from organization to organization in relation to the quality and quantity of training factors, which may include: the degree of external environment change, the degree of change in the internal environment, current suitable skills in the existing work force and the level to which the management see training as a motivating factor in the workplace, (Cole, 2002).
One would add that training is a set of activities, whereby, practitioners, managers or would be managers are assisted in improving their individual competence and performance as well as the organization’s environment with the ultimate goal of raising the standard of organizational performance. It therefore follows, that employee training and development are at the heart of employee utilization, productivity, commitment, motivation and growth. An organization may have employees that are determined with appropriate equipment a managerial support, yet employee performance falls below expected standards. The missing factor in many cases is lack of adequate skills and knowledge, which are acquired through training, Ubeku (1995:10) sees human resource management as a control function exercised by all managers in an organization and/or by a particular department often designated as personnel or human resources. It is therefore, important that the need for training be identified and provided for. It is an indispensable part of management function in terms of operational efficiency and effectiveness. This is because an organization which puts great emphasis on employee training is directly planning for its survival and steady growth.
Employees’ performance depends on many factors like job satisfaction, knowledge and management but there is relationship between training and performance (Khan, Khan, & Khan, (2011). This shows that employees’ performance is important for the performance of the organization and that training and development is beneficial for the employees to improve their performances. This can only be possible if the employees are effective on their job therefore, training and development of employees is inevitable.
Training is important for the employees’ development and the employees’ development encourage self-fulfilling skills and abilities of the employees, decreased operational costs, limits organizational liabilities and changing goals and objectives (Donald, 2009). It is very difficult for an employee to perform well at the workplace without any pre-training (Garavan, 1997). Trained employees perform better than the untrained ones (Adenuga, 2011). As a result, it is very necessary for every organization to train its employees in order to meet overall goals of the organization. Training and development, and on the job training have significant effect on organizational performance (Khan, Khan, & Khan, 2011). However to improve employees’ knowledge and skills, employees must also develop a greater self-efficacy and confidence in performing their job.
1.2 Statement Of The Problem
The issues of employee training were not taken seriously by many organizations this is because of the failure to acknowledge the fact that the business environment has become very dynamic and only those organizations with the right manpower to meet the modern technological and informational need in the business times can succeed in the globalized business world.
Training is paramount to the success of any modern organization, for organization to compete effectively it must train its manpower to meet with the requirements for sustainability. However, organization that do not train or embark on inadequate training encounter certain problems, these include low performance, poor coordination, increase labor turnover, inadequate manpower low capital base, loss of market share, and the inability to cope favorably with the technological and informational demands of the business environment.
To sustain capable, experienced and qualified employees in an organization, provision of adequate training and development cannot be compromised. The prevailing dynamic nature of banking sector demands adequate strategy in improving quality, customer services, productivity and innovations through skills acquisition techniques. Of recent, banking sector faces barrages of problems ranging from electronic fraud, ineffective performance leading to their merger and acquisition, which in-turn led to some employees’ retrenchment. These challenges portray the sector’s dire need of highly skilled bank employees that are up to the present challenges, hence, the employees need training and re-training for effective functioning.
The major problem of the bank is how to retain and remain in the leadership position in the years of its existence, hence the need for training policy that will bring improve quality services. The problem also stems from the fact that the bank is yet to evolve the philosophy of training and development which implies that there must be management, employee commitment and team work for quality training, also Inadequate funding of training, failure to engage credible professional trainers and adequately brief trainers on the specific trends in the bank. The management of the bank should be able to spend huge amount of money on training and development of staff as well as acquiring seasoned personnel with a view to realizing the set objectives of the bank.
1.3Research Questions
1. Does effective training improve employee’s performance?
2. Does employee training contribute to the attainment of corporate objective?
3. Is there any significant difference between the trained and untrained employee in the performance in first bank?
1.4 Objective Of The Study
- To identify existing training programs at First Bank PLC, Ogun state.
2. To evaluate the effectiveness in improving employee’s performance.
3.To find out if the training programs have impacted on employee morale and the firm’s overall performance.
1.5 Research Hypothesis
The hypotheses for the study are:
H0: There is no significant impact of job training on employees performance.
Hi: There is significant impact of effective job training on employees performance.
H0: There is no significant impact of effective orientation training on employees performance.
Hi: There is significant impact of effective orientation training on employees performance.
1.6 Significance Of The Study
The study is specified on Training as a tool measuring employees morale, which explains the inefficiency that characterized our public sector and corporations which also result into lack of commitment to work and waste of resources which are strongly needed to enhance social and economic development.
It is hoped therefore that this study would provide information on the remote and immediate course and possible solutions to the Training problems as they affect First Bank PLC . This is also hoped that the finding of this study will contribute to existing knowledge and information on the area of research. It is also expected that the findings and recommendations of this study will guide First Bank PLC to establish a formidable Training development planning.
The study would also be useful to the people who always cry that the organization does not have effective Training development programmes, so that they know its limitations and area of help to the employees for their support and recognition of their efforts to the organization.
Finally, this study will be useful to the students that may wish to write or make research on similar topics and using this as a point of reference to re – orient them towards their profession or future research or practical endeavour.
- SCOPE OF THE STUDY
The study is limited to the role and impact that training have on the performance of employees of First Bank PLC, using their office in Ifo,Ogun State as the focus point.
- LIMITATION OF THE STUDY
The expenses on transportation to First Bank PLC are so enormous because of many occasions the researcher was not attended to the same day and they postponed the date for the researcher which cost them huge amount of money.
The research was faced with some restrictions in the area of the case study; this is due to bureaucratic reasons in the administrative procedures in the Organization. It was not possible to get all the necessary information that would have helped in producing a comprehensive research work.
- DEFINITION OF TERMS
Training: Training could be seen as an Organizational effort aimed at helping an employee to acquire basic skills required for the efficient and effective execution of the function for which he/she is hired for.
Development: This is a programme designed to provide new ideas and concepts that may be useful for present and future specification/response which take care of professionals and managers.
Planning: Is a strategy by which Organization ensures that right number of employees with the right talent/skill occupy the right position of the Organization. It is a deliberate effort put in place to attain a target goal.
Efficiency: This refers to an input-output relationship that is maximum work achieved for a minimum time or result. It is a notion of ‘Optimization’ whereby maximum satisfaction is obtained for a given out lay of resources.
Effectiveness: This is referred to how frequently and perfectly human or machine are able to carry out a task leading to a required output that always resulted to an Organizational efficiency. Effectiveness is therefore a means to an end”.
Organization: This is referred to as two (2) or more people working together in a co-ordinated manner to attain group results.
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