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Literature Review on Training and Employee

Performance
A PROJECT SUBMITTED
TO
L.S. RAHEJA COLLEGE
FOR
INDUSTRIAL-ORGANIZATIONAL PSYCHOLOGY
FOR
T.Y.B.A. (CBCS) SEMESTER V

SUBMITTED BY
Pashangh Irani

DEPARTMENT OF PSYCHOLOGY
L.S. RAHEJA COLLEGE

OCTOBER 2018
ii
Literature Review on Training and Employee Performance

Declaration

I, Pashangh Irani, hereby declare that the work presented in this project has been

conducted by me and the observations, analysis, and interpretations made in the study as well as

the conclusions arrived at and included in the project are entirely my own.

The work reported in this is original and to the best of my knowledge, has not been

submitted in part/full for any other diploma or degree of the University of Mumbai, or any other

College, University, or Institute.

Signature of Head of Department, Signature of Candidate

Dr. Chitra Munshi Pashangh Irani

Date:
iii
Literature Review on Training and Employee Performance

Table of Contents

1. List of Tables……………………………………………...…….……iv
2. Chapter 1 : Introduction………………….…………………….…...1
3. Chapter 2 : Review of Literature……………….…………….…….2
Bhat (2013)………………………………………..…….……2
Elnaga and Imran (2013)…………………….………….…..5
Angela (2016) ……………………………….……...……..….7
Al-Mzary, Al-Rifai and Al-Momany (2015)……...…........12
Ramya (2016) ………………………………………...…...…17
Anitha and Kumar (2016)…………………………….…... 18
4. Chapter 3 : Procedure……………………………………….….…..19
5. Chapter 4 : Discussion and Conclusion………………….…….…..20
6. Chapter 5 : Learning Outcomes………………………….…….…..21
7. References………………………………………………….………...23
iv
Literature Review on Training and Employee Performance

List of Tables

Table 1 Descriptive statistics 3


Table 2 Correlations 3
Table 3 Regression analysis coefficents 4
Table 4 Sample Size Distribution 8
Table 5 Training and Employee Engagement for Better Performance 10
Table 6 ANOVA for Training and Employee Engagement for Better Performance 11
Table 7 Characteristics of the sample 13
Table 8 Means and standard deviations concerning the impact of training on the 14
performance of employees from the perspective of administrative leaders at
Yarmouk University

Table 9 Means and standard deviations of the impact of training on the performance 15
of employees from the perspective of administrative employees
Table 10 Qualification of the respondents in the Mangalore Pipe Industry 16
Literature review on Training and Employee Performance
1

Chapter 1: Introduction

Human capital has become a competitive resource in the age of globalization. Effective
training and development is an investment in the human resources of an organization, with both
immediate and long-range returns. A large number of companies invest in the training of its
employees. Even Indian organizations have realized the importance of training as a tool to
achieve their strategic goals. It is viewed by the organization as an investment on one of its most
dynamic assets, namely, employees.
Employees are the most valuable asset of every company as they have the potential to
make or break a company’s reputation and can also have an effect on profitability. Employees
often are responsible for the great bulk of necessary work to be done as well as customer
satisfaction and the quality of products and events. Without proper training, employees both new
and current do not receive the information and develop the skill sets necessary for accomplishing
their tasks at their maximum potential.
Business environments change from time to time which calls for continuous upgrading of
employee skills and capabilities to improve on their job performance, growth and the ability to
adapt to the rapidly changing economic environments for the organization to remain competitive
(Amin et al., 2013). Elnaga and Imra (2013) state that to develop the desired knowledge, skills
and abilities of the employees, to perform well on the job, requires effective training programs
that may also effect employee motivation and commitment.
There are various definitions for the concept of training. It may be defined as a systematic
development of the knowledge, skills and behaviour required by employees to do adequately on
confirmed task or job (Shaheen, Naqvi& Khan, 2013) or simply learning that is provided in order
to improve performance on the present job (Amin et al., 2013). On the other hand Elnaga and
Imra (2013) define employee training as programs that provide workers with information, new
skills, or professional development opportunities. Training can take place in numerous ways, on
the job or off the job; in the organization or outside organization. Regardless of the view, the
term training can be summarized as acquiring new knowledge to help manage both current and
future situations.

Employee performance refers to the ability of employees to perform a job in an effective


and efficient way to produce the best results. When the employees are provided with the proper
Literature review on Training and Employee Performance
2

training, they will be more committed towards their job and improve their performance in the
organization. There are different types of training being given to the employees like
orientation/induction, refresher training, product training, cross functional training etc.

Influence of human resource management and training practices on organizational


performance has been an important topic of research recently (Manning, 2015; Jayakumar &
Sulthan, 2014; Treven et al, 2015). Several advantages can be achieved through training,
including the enhancement of job satisfaction among employees, in addition to commitment and
collective empowerment (Voegtlin et al, 2015; Ajibade & Ayinla 2014; Sung & Choi, 2014). An
important factor related to training is the use of modern methods and new learning theories.
Successful training depends on the use of successful training methods which are capable of
attracting the attention of employees and enhancing the learning process (Teck-Hua & Catherine,
2015; Mishra & Smyth, 2015; Alwekaisi, 2015). Previous work in the field proved that effective
training programs leads to superior return on investment while the other researches mentioned
the positive role of training in attaining the supreme levels of employee retention (Colarelli &
Montei, 1996; Becker, 1993).

Chapter 2: Review of literature

Bhat (2013) conducted a study to measure the impact of training on the job performance
of the employees. The author had the assumption that training has a positive impact on the
employees’ job performance.
The sample consisted of 108 bank employees. The perception of understudy respondents
were gauged by asking them to show their response on 5-point Likert scale ranging from
1=strongly disagree to 5=strongly agree. The study included one independent variable and one
dependent variable. The independent variable was training whereas the dependent variable was
the job performance of the employee. Descriptive statistics were used to measure the level the
perception across all the understudy variables. Further, correlation and regression analysis were
carried to assess the relationship and relative influence of independent variables (training) on the
dependent variable i.e., employee performance.
Literature review on Training and Employee Performance
3

Table 1.
Descriptive statistics. (Bhat, 2013)
Mean Standard Deviation N
Training 3.6398 0.93298 108
Performance 3.2901 0.60732 108

From the descriptive analysis of the data, it shows that standard deviation for both the variables
is less than 1. According to Cohen (2003), for the normal distribution of data standard deviation
must have a range of 0 to 1. As is evident that the standard deviations of both the variables fall
within the range, the data may be considered normally distributed.

Table 2
Correlations. (Bhat, 2013)
Training Performance
Training Pearson Correlation 1
Sig. (2-tailed)
N 108 1
Performance Pearson Correlation 0.747**
Sig. (2-tailed) 0.000
N 108 108
**. Correlation is significant at the 0.01 level (2-tailed).
\
The above table exhibits the direction and strength among the dependent and independent
variables. It was found that there exists a positive high correlation between training and
employee performance (.747**). The relationship is significant at 1% level of significance for
two tailed test.
For hypothesis testing and studying the variable relationship regression analysis has also
been carried on. The author used SPSS for calculation of regression analysis whose results are
given in the table below.
Literature review on Training and Employee Performance
4

Table 3
Regression Analysis Coefficients (Bhat, 2013)
Model B Unstandardized Standardized T Sig R2
Coefficients Coefficients
Std. Beta
Error
1. (Constant) 1.520 0.158 9.634 0.000 0.559
Training 0.487 0.042 0.747 11.583 0.000
a. Dependent
Variable:
performance

The regression table provides the result of constant, coefficient of determination, t-value.
Coefficient is the slope of regression line and it explains that 1 unit change in independent
variable will bring how much change in dependent variable. The coefficient of determination
(R2) explains how much variation in the dependent variable is explained by the independent
variable.
The regression results interpret the value of coefficient .747 that indicates 1% change in
independent variable (training) can result in 74.7% change in dependent variable (performance).
Thus, if training is increased by 1%, this will result in 74.7% increase in performance. This
relationship is positive and significant as shown by small p value. The value of coefficient of
determination (R2) is .559 that reveals training accounts to 55.9% variation in performance and
this can be viewed that there might be other factors that bring variation of 44.1% in the outcome
variable. The t value for the hypothesis is 9.634 that training is a major predictor of performance.
Thus the null hypothesis was rejected and the alternate hypothesis was retained.
The author concluded that training does have a significant impact on the performance of
the employee. The author also feels that modern times demand efficiency, accuracy and
effectiveness which can only be achieved through design, development and deployment of
excellent training programs for the employees. It was also stated that since training has a
significant impact on employees work commitment and job performance, it is important to
reinforce and apply training as a part of organizational agendas in achieving organizational goals.
Literature review on Training and Employee Performance
5

The author recognizes that training to a large extent leads to an increase in the job
performance of the employee, but still it is not the sole factor that leads to good performance
rather it is a combination of factors. The role of managerial and leadership factors in employees’
training and performance is also of unique importance and thus required to be investigated
because a good manager or leader either increase or decrease the efficacy of training which in
end affect employees’ performance. The employee’s compensation also has significant effect on
the performance because the employees which are not paid well often show poor performance.

Elnaga and Imran (2013) published another paper on the effect of training on employee
performance. It was stated that training is an essential for an employee to perform effectively on
the job. It also was seen that the majority of governmental, private organization and international
organizations are not recognizing the importance of training to increase their employee's
productivity and when the economy slows or when profits decline, many organizations first seek
cuts in their training budgets. This will leads to high job turnover then increase the cost to hire
new employees which low down the organizational profitability.
The study seeks to answer the question of how training affects the employees’ job
performance. Moreover, to find the answer to the above mentioned research question, the study
highlights the critical review on the topic under consideration to better understand the
phenomenon as to how effective training leads to superior employee performance and higher
organizational returns and provide a checklist for improving employee performance through
designing effective training programs.
The research objectives were as follows;
• To investigate the meaning and importance of training.
• To identify the significance of employee performance.
• To explore the relationship between Training and employees performance.
• To develop guideline for assessing the employee performance

The following proposition was drawn by the researchers;


Those employees who receive periodical effective training sessions are more able to perform
well on the job by increasing the quality of work, hence achieving organizational goals and
gaining competitive advantage. (Wei-Tai, 2004).
Literature review on Training and Employee Performance
6

The research was based solely on insights drawn from the analysis of the existing
literature of different studies, reports, periodicals and books related to the topic of study in order
to investigate the relationships between training and employee performance. This research aimed
to serve as a means to help acquire useful information or knowledge about the subject area. The
research did not aim to generate or collect more data but to interpret and combine what is already
there.
After analysis of results previous studies, the researched found that managers do not
recognize about the importance of training and its effect on employee performance or they
believe that training increases the company cost.
Training can only be effective when poor performance is caused by a real lack of
knowledge or skill, otherwise training will have little to no effect on performance. The
researchers devised guidelines suitable for all companies to assess the employee performance.
These guidelines are designed to determine the true cause(s) of the performance problem, and, in
turn, how best to correct it.
The first characteristic of the employee is his or her ability to perform the required job. It
was suggested that the employee’s physical ability be evaluated, to determine the extent to which
he can perform the job. In addition, the employee’s present and past psychological state has to be
evaluated to decide if he or she has the mental ability to actually start or even continue the tasks.
For example: Kaiser Permanente has been ranked 3rd in 2012 in recruiting disabled employees’,
who constitute 5% or the workforce there, and assigned them tasks that could actually fit their
capabilities . (Diversity Inc. 2011).
It should also be evaluated if the employees’ background knowledge and adeptness are
compatible with tasks and duties. If they are not, check if there is any training to narrow the
knowledge and skill gaps. And if there are no trainings, decide whether it is absolutely necessary
for the employee to complete the tasks. For example, most IBM employees need to have an
electronic or computer skills background, but if some lack some of this knowledge; IBM will
provide extensive trainings to close the gap. (Training Industry, 2012).
The evaluation of the employees’ performance should also be solely based on the
performance on the tasks and should be free from biases. The employee should also receive
regular feedback on his or her work performance.
Literature review on Training and Employee Performance
7

It should also be checked if the employee is surrounded by the necessary tools needed for
task completion and if enough time is given for task completion, or if the working environment
is comforting for task completion. For example McDonald’s provides all the necessary tools
required for trainings, and accommodations to its working environment.
It should also be checked if there is any sort or incentive for good performance or
punishment for bad performance. Additionally, for effective employees, check for any guard for
those employees if they are punished with extra tasks to do just because of their good
performance. For example JFC staffing company motivates its employees through the “employee
of the month” competitions.
The researchers conclude that designing, development and implementation of training
programs should be a continuous process. Some organizations plan and implement the training
program for their employees without identifying the purpose and objectives and without knowing
what the knowledge, skills and abilities employees would learn at the end of the training program
and whether they will be able to attain performance targets on job. Therefore, firm must design
the training program with clear goals and objectives while keeping in mind the particular needs
of both individual and the firm.
It was also stated that training plays vital role in the building of competencies of new as
well as current employees to perform their job in an effective way. It also prepares employees to
hold future position in an organization with full capabilities and helps to overcome the
deficiencies in any job related area. Training is considered as that sort of investment by the firms
that not only bring high return on investment but also supports to achieve competitive advantage.
Thus training helps improve performance, thereby increasing organizational productivity.
Training should be designed on the basis of firm specific needs and objectives. Effective training
is the thoughtful intervention designed at attaining the learning necessary for upgraded employee
performance.
The research affirmed the proposition that training has a positive impact on employee
performance.

Angela (2014) conducted a study to explore the effects of training on employee


performance among the international civil servants. The study was guided by the following
Literature review on Training and Employee Performance
8

research questions; what is the role of training on employee engagement? What is the role of
training on employee motivation? What is the role of training on employee job satisfaction?
A survey research design was used for this study. The study population was 144 staff of
the United Nations Support Office for the African Mission in Somalia. A sample of 45 was
drawn using random stratified sampling approach from a list of sample frame provided by the
employee register at UNSOA. 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 author believes that training has a positive impact on employee engagement,
motivation and performance. It also enhances positive leadership traits in the leaders of the
organization and also improves the staff/supervisor/customer relationships. The study also
recommends that training design should change with change in requirements and time. The study
also recognizes how a difference in population or time zone could also have an impact on
training or performance.
The survey method was used to collect data since the population was too large to observe
directly. The target population for this study was the 144 Kenyan based staff of UNSOA. The
choice of this population was based on ease of accessibility. A stratified random sampling was
used to obtain the sample size. The population was categorized into the management positions. A
sample size is sub set of the population drawn to represent the entire population or any
combination of sampling units that does not include the entire set of sampling units that has been
defined as the population (Garson, 2012).As a rule of thumb, for a population less than 1000, a
sample of 30% is sufficient in representing the entire population (Blanche, Durrheim& Painter,
2008). Therefore for this study a sample of 45 employees was selected to represent the entire
population of 144. This gave a 31.25% of the population. The actual distribution of the sample
respondents was based on the actual representation of the department in the actual population.
Table 4:
Sample Size Distribution. (Angela, 2016)
Management Total population Sample Size Sample Size % of
Position Total population
Top level 20 6 4.2%
management
Literature review on Training and Employee Performance
9

Middle level 40 12 8.3%


management
Non-management 84 27 18.8%
staff
Total 144 45 31.25%

The data was collected by administrating a questionnaire. This methodology was used as
it ensured that data collection was standardized such that each respondent got the same question
and in the same format. Questionnaires also enabled collection of original data from the sample
of the population within a short time and at low cost for purposes of describing the entire
population (Ogutu, 2012).
The questionnaire was in four parts. Part one explored the population demographics. Part
two the relationship between employee training and employee engagement. Part three the
relationship between employee training and employee motivation. Lastly part four the
relationship between employee training and employee job satisfaction.
For this study, the validity and reliability was tested by use of pilot test and expert
judgment of the research supervisor. The questionnaire was pre-tested before the final
distribution. The pilot was done on five respondents from the study population who were then
excluded from the final study to eliminate bias. The questionnaire was then be self -administered
in hard copy form to each of the respondents and picked up later after a day to increase the
response rate.
Forty five hard copies of the questionnaires were sent to the target respondents. Forty five
of the filled questionnaires were received back indicating 100% response rate.
The questionnaires were coded before entering the data into statistical package for social
sciences (SSPS) for analysis. The data analysis involved frequencies, means, analysis of
variances and bivariate analysis in form of cross tabulation to explore the relationships between
the various variables tested in the current study. The data was then presented in form of tables
and figures.
The study sought to find out the gender of the respondents with the presumption that variation in
gender could influence opinions. It was seen that 75% were males, 23% female and 2%
transgender. The study also took into consideration the departments in which the respondents
Literature review on Training and Employee Performance
10

work. It was seen that the majority were of the human resources department at 26% followed by
transport and supply management at 19% followed by procurement and contract management at
16%; construction and general maintenance at 9%; communication and IT at 9% and finally
health care at 7%. The study also considered the management position of the respondents. It was
seen that that the majority of the respondents were of the middle level management at 44%. Top
level management and non-management positions were at 28% each. It was also seen that
majority of the respondents at 58% attend staff training once in a while, while 33% often attend
employee training and 9% rarely attend training. Also 91% had undergone training in the last 12
months.
Table 5 indicates the relationship between training, employee engagement and
performance on a summated scale. It shows that on a summated scale, 77.7% were in agreement
that training enhances employee better performance. Mean of 4.03 shows a high level of
agreement. Table 4 further indicates that the majority at 69.8% were in agreement that training
enhances job focus; 74.4% were agreement that Training allows one to give the best effort at
work each day; 88.8% training allows one to be more involved in their work and days goes by
very quickly.

Table 5
Training and Employee Engagement for Better Performance. (Angela, 2016)
Statement Percentage (%) N=45 Mean Std.
Deviation
Disagreement Neutral Agreement
Training enhances 9.3 20.9 69.8 3.60 0.66
job focus

Training allows one 4.7 20.9 74.4 3.98 0.831


to give the best effort
at work each day
Literature review on Training and Employee Performance
11

Training allows one 0 10.9 88.8 4.50 0.845


to be more involved
in their work and
days goes by very
quickly

Summated 4.67 17.57 77.67 4.03 0.78

Table 6:
ANOVA for Training and Employee Engagement for Better Performance. (Angela, 2016)
P- value (95% confidence)

Gender Management Department


position
Training enhances job focus .715 .175 .378

Training allows one to give the .459 .219 .431


best effort at work each day
Training allows one to be more 4.74 .121 .398
involved in their work and days
goes by very quickly

Further analysis of variance showed that all the p values are greater than 0.05 as indicated
by Table 5. Hence the opinion expressed in Table 4.6 is held by all categories of staff members
since the p values are too large to have any statistical significance in the difference.
The study revealed that training positively influences employee performance by having a
positive influence on employee engagement at UNSOA. The study has shown that training
influences employee engagement in a number of ways. It showed that training enhances
employee engagement which in turn influences positively the employee and organizational
performance. The study showed that as a measure of engaging in change process, the top level
management and non-management management staff are more likely to be induced in taking
Literature review on Training and Employee Performance
12

new tasks compared to those in the middle level management after undergoing training.
Similarly 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 staff members as the majority in both cases were neutral.
Thus this study concluded and agreed with the proposition that training enhances
performance. The possible reason given was that training improves employee engagement which
in turn improves employee performance.

Al-Mzary, Al-Rifai and Al-Momany (2015) conducted a study that examined the impact
of training on employee job performance at Yarmouk University in Jordan. One of the questions
the study sought to answer was; “Is there a relationship between in-service training at Yarmouk
University and the performance of administrative employees?”
The tool used for the study was a questionnaire, which consisted of 15 items. Likert five
points scale was used for responses to the items. Likert five points scale was used for responses
to the items
Reliability of the tools was determined through the use of Cronbach Alpha, and the
reliability coefficient value was 0.638, which is considered as an acceptable value for the study.
Concerning the validity of the tools, the scales of the study were reviewed by a group of
specialized referees at two Jordanian universities (Yarmouk university and Al-Albayt
University), and the items of the tool were modified based on their comments.
The sample of the study consisted of two groups taken from the population of the study
which incorporated the administrative leaders and employees at Yarmouk university in the
academic year 2014-2015: the first group included the administrative leaders at Yarmouk
University including the deans and heads of departments (n=40). The second group consisted of
the administrative employees (n=40).
The table below shows that the majority of the sample members are males, compared to
the females. This applies to both of the groups of the study but is more evident in the
administrative leaders group (of which 36 were males compared to 4 females.
Concerning age, the table shows that the majority of the sample members belong to the
group of (31-40 years), followed by those whose age is either below 30 years or more than 41
years.
Literature review on Training and Employee Performance
13

In terms of the number of the years of experience, the table shows that the employees
with less than five years of experience were few. However, the three other categories were
similar in number (23) with 6-10 years of experience, 21 with 11-15 years and 24 with 16 years
or more experience.

Table 7:
Characteristics of the sample. (Al-Mzari et al., 2015)

Characteristics Administrative leaders Administrative employees

Gender Number Percentage Number Percentage


Male 36 45% 26 32.5%

Female 4 5% 14 17.5%
Total 40 50% 40 50%

Age

Less than 30 years 2 2.5% 20 25%

31-40 years 18 22.5% 18 22.5%

More than 41 years 20 25% 2 2.5%

Total 40 50% 40 50%

Years of Experience

Less than 5 years 0 0% 12 30%

6-10 years 8 10% 15 19%

11-15 years 1 1% 20 25%

16 years or more 31 39% 9 11%

Total 40 50% 40 50%

The means and standard deviations of the responses of the participants of the sample of the study
to the relevant items in the scale were calculated, with the consideration that means ranging from
Literature review on Training and Employee Performance
14

(1 to 2.33) were considered as low, and means ranging from (2.34 to 3.67) were considered
medium and means higher than 3.68 were considered high.
Table 8:
Means and standard deviations concerning the impact of training on the performance of
employees from the perspective of administrative leaders at Yarmouk University. (Al-
Mzari et al., 2015)
Item Item Mean Standard Level
Number Deviation
7 Training courses enhance the level of 3.98 1.02 High
trainees at the university
8 Training courses increase the efficiency of 3.87 1.04 High
Employees
10 Training courses at the university 3.86 1.03 High
improves
job satisfaction of the trainees
11 Training courses at the university improve 3.69 1.01 High
the self-confidence of trainees
9 Training courses decreases the routine of 3.39 1.22 Medium
daily work
12 The repetition of the content of the training 3.38 1.05 Medium
courses enhances the mastery of the skills
learned
2 The impact of training courses on the 3.28 1.23 Medium
performance of employees is assessed
4 Training courses achieve the aims of the 3.20 1.24 Medium
University
3 Training programs are evaluated based on 3.17 1.23 Medium
their impact on the performance of
employees
6 Trainees are assessed at work in order to 3.16 1.28 Medium
Literature review on Training and Employee Performance
15

evaluate their mastery of relevant skills


1 Performance of the employee prior and 3.06 1.36 Medium
after training are compared in order to
evaluate the impact of training
5 Effectiveness of training courses is 2.96 1.28 Medium
evaluated regularly

Table 9:
Means and standard deviations of the impact of training on the performance of
employees from the perspective of administrative employees. (Al-Mzari et al., 2015)

Item Item Mean Standard Level


Number Deviation

7 Training courses enhance the level of 4.07 1.00 High


trainees at the university

11 Training courses at the university improve 3.98 0.86 High


the self-confidence of trainees

8 Training courses increase the efficiency of 3.88 0.92 High


employees

10 Training courses at the university 3.69 0.94 High


improves job satisfaction of the trainees
12 The repetition of the content of the training 3.64 1.01 Medium
courses enhances the mastery of the skills
learned
2 The impact of training courses on the 3.51 1.25 Medium
performance of employees is assessed
9 Training courses decreases the routine of 3.50 1.19 Medium
daily work
Literature review on Training and Employee Performance
16

4 Training courses achieve the aims of the 3.29 1.11 Medium


University
1 Performance of the employee prior and 3.29 1.39 Medium
after training are compared in order to
evaluate the impact of training
6 Trainees are assessed at work in order to 3.28 1.26 Medium
evaluate their mastery of relevant skills

3 Training programs are evaluated based on 3.21 1.21 Medium


their impact on the performance of
employees
5 Effectiveness of training courses is 3.00 1.13 Medium
evaluated Regularly

Table 8 shows that item (7) which states that "Training courses enhance the level
of trainees at the university" had the highest mean (3.98), followed by item (8) which
states that "Training courses increase the efficiency of employees", with a mean at
(3.87) which is similar somehow to the results related to item (10). Item (5) which states
that "Effectiveness of training courses is evaluated regularly" had the lowest mean
(2.96) and a standard deviation at (0.80) which indicates the lack of regular evaluation
of training courses in terms of the performance of employees.
Similarly, Table 9 shows that item (7) which states that "Training courses
enhance the level of trainees at the university" had the highest mean (3.98) with a
standard deviation of (1.00), followed by item (11) which states that " Training courses
at the university improve the self-confidence of trainees ", with a mean at (3.87) and a
standard deviation at (0.86).
Item (5) which states that "Effectiveness of training courses is evaluated regularly" had
the lowest mean (3.00) and a standard deviation at (0.75) which indicates the lack of
regular evaluation of training courses in terms of the performance of employees.
In general, the attitudes of the administrative employees at Yarmouk University
towards the impact of training on performance at work are similar to the attitudes of the
Literature review on Training and Employee Performance
17

administrative leaders. Thus the results showed positive attitudes towards the impact of
training on the performance of employees at the universities.
Based on the results of the study, the researcher recommended introducing more
training programs for employees, which are more suitable to the skills needed at work,
as well as giving employees equal opportunities for attending the training courses.
Using modern methods for delivering the content of the training was also
recommended.

Ramya (2016) studied the effect of training on employee performance in the Mangalore
Pipe Industry which is located in Kambalapadavu, Bantwal Taluk – 574153. Both primary and
secondary data was used for the study.
Primary data was obtained by interviewing the concerned Workers and Manager of the
industry. Also questionnaires were prepared in a structural manner. Secondary data was collected
from websites and textbooks.
The researcher mentioned that due to limited availability of time, complete understanding
of the employees and the work environment was difficult. Also, the information obtained from
the employees and the answers to the questionnaire was assumed to be true.
A sample of 22 respondents was selected to evaluate employee performance in the
Mangalore Pipe Industry.

Table 10:
Qualification of the respondents in the Mangalore Pipe Industry. (Ramya, 2016)
Qualification No of respondents Percentage ( % )

Below class V 5 22.74

Class V - X 12 54.54

PUC - Degree 4 18.18

Post graduate 1 4.54

Total 22 100
Literature review on Training and Employee Performance
18

The above table shows that out of 22 respondents, 22.74% have studied below class V.
54.54% of the respondents studied between classes V-X. 18. 18% respondents are educated
between P.U.C-Degree. 4.54 percent are Post Graduate.
90.91% of the respondents are agreed that training will bridge the gap between job
requirements & present competence of an employee, and 9.09% of the respondents did not agree
with the statement.
!00% of the respondents agreed that training helps to reduce the number of accidents or
mistakes. All of the respondents also agreed that training helps to increase performance on the
job.
Thus the researchers suggested that training programs should be carried out regularly and
also use better technology to improve the performance of the employees. The researchers also
state that training should be designed on the basis of firm specific needs and objectives.

Anitha and Kumar (2016) conducted a research to study the impact of training on
employees’ performance and to know the determinant factors that determine the employee
productivity.
The population for this study was 10 companies from both life & non-life insurance
sectors. Employees of Private Insurance Sectors in Coimbatore District are taken for this study.
Sample Size of the study is 75 respondents from the 10 companies of Private Life & Non-life
insurance sectors. The sampling method used for this study was Random Sampling Method. The
data collected was analyzed using t-test, Chi Square.
Significant differences were found in the employee performance scores among different
age groups as well as staff category. The employees between the age 21-25 & 26 – 30 are better
performers than the other age groups at 5% significance level. Amongst the staff category of the
employees, the administrative staffs were performing better than the sales personnel at 1%
significance level.
The results also revealed that the employees who have completed their under graduation
have performed well in organization and it has the Chi – Square value of 13.859 significant at
1% level of significance. The other variables like gender, age, monthly income & experience
were non-significant.
Literature review on Training and Employee Performance
19

The data was collected pre and post training. It was seen that the training improves the
performance / productivity of employees. There was a significant increase in the employees’
performance level. Among the employees who are in the performance level of 75%-90% before
training, 45% of them have improved their performance to 90% - 100%.
Therefore it was seen that the age of the employees in the sales department plays a major
role in productivity. For the better performance and the consistence growth the Undergraduate
education is sufficient. The PG degree doesn’t play any special role in their business.
Therefore was revealed that the training plays a major role in the employees’
performance. There is consistent growth in their performance after the training.
The researchers suggested that employees in the organization should be offered with the
proper training periodically to improve their performance on the job. Training should not only be
provided to the newly joined staff, but the existing staff members should also be provided with
refresher training, cross-functional training etc. The researchers also suggest that the
effectiveness of the training should be monitored through the observation, collecting feedback
from the trainees and evaluating the performance level after the training programs of the
employees.
The researchers concluded that effective training improves the performance of
employees. The effectiveness of the training should be improved through the proper periodical
scheduling of the training, selection of quality trainers, implementing the best training methods
etc. The researchers also state that training should be given to both freshers and existing
employees. Their feedback should be obtained and evaluation of their performance after the
training programme should also be done to improve the training effectiveness. Employee
performance should also be analyzed after training.

Chapter 3: Procedure

The procedure was review of literature which was collected from sources cited.
Literature review on Training and Employee Performance
20

Chapter 4: Discussion and Conclusion

Most of the studies conducted come to the conclusion that training has a positive impact
on the performance of the employee. The researches reviewed also agree with this proposition.

Some researchers feel that training has a direct impact on employee performance. This
occurs because training may increase the knowledge of the employee and also provides
information about the various skills and procedures required for the job. On the other hand, some
researchers propose that training indirectly affects employee performance by improving
employee motivation, employee engagement and various other factors. This can happen because
engaged employees feel a strong emotional bond to the organization that employs them, which
results in higher productivity levels and lower absenteeism. Training may also increase
enthusiasm in the employees’ thereby increasing performance.

The researchers also agree with the fact that there are various other factors that also effect
employee performance. Age and experience are just some examples of variables that can have an
effect on the performance of the employee. Although these factors play an important role in
employee performance, training still has some positive impact on the performance of the
employee across all these variables.

Lastly, it was seen across all researchers that training needs to be suited to the needs of
the employee. Different types of job require different types of training. There is no one-size-fits-
all method of training. Even within a company different employees may have different needs and
therefore the training programme needs to be tailored to the specific needs of each employee.
Also training programmes should be dynamic and change with time to keep up with the changing
needs of the employee and the organization.

Thus training is an important part of human resource management. It can make or break
an organization. Therefore in modern times, most of the organizations place great emphasis on
employee training.
Literature review on Training and Employee Performance
21

Chapter 5: Learning Outcomes

Therefore it can be concluded that training is extremely necessary to improve the


performance of the employee. Training benefits both, the employee as well as the organization as
a whole. Most of the organizations conduct employee training sessions on a regular basis.

It was also seen that the effect of training on performance also depends on various other
characteristics of the employee. Age and previous experience of the employee also play an
important role in the interaction between training and performance. It was seen that the lesser the
age of the employee, the more training is able to improve performance. Also, previous
experience of the employee can also affect the effect of training on performance. Therefore while
designing a training program, these factors need to be taken into consideration.

It was also learnt that training programs need to be tailored to meet the specific needs of
the employee and the organization. Each organization needs to develop a training design suitable
only for that organization. There cannot be a training program that is suitable for all
organizations across all departments. Therefore in modern times, many organizations have
dedicated departments for employee training and development.

One of the other characteristics of an effective training programme is that it changes and
develops over time. As the needs of the employee and the organization change, the training
programme is either updated or a new training programme is developed in accordance to the
current needs. Therefore development of training programs is not a static, but rather a dynamic
process.

Although design and development is a time consuming and an expensive procedure, it is


extremely beneficial to both the organization and the employee. Therefore, companies invest
precious resources as training has proven to be very effective in improving employee
performance and thereby increasing the overall production and ultimately increasing profits of
the organization.

Secondary benefits of training employees are that it increases motivation and job
satisfaction. This helps to reduce turnover rates in the organization.
Literature review on Training and Employee Performance
22

Thus training has many benefits besides improving performance and developing and
deploying an effective training program is in the best interests of the organization and the
employee.
Literature review on Training and Employee Performance
23

References

1. Elnaga, A., & Imran, A. (2013). The effect of training on employee


performance. European Journal of Business and Management, 5(4), 137-147.
2. Ramya. (2016). The effect of training on employee performance. International Journal of
Scientific Research and Modern Education , 697-706.
3. Githinji, A. (2014). Effects of training on employee performance: a case study of United
Nations Support Office for the African Union Mission in Somalia (Doctoral dissertation,
United States International University-Africa).

4. Al-Mzary, M. M. M., Al-rifai, A. D., & Al-Momany, M. O. E. (2015). Training and Its
Impact on the Performance of Employees at Jordanian Universities from the Perspective
of Employees: The Case of Yarmouk University. Journal of Education and
Practice, 6(32), 128-140.

5. Bhat, Z. H. (2013). Impact of training on employee performance: A Study of retail


banking sector in India. Indian Journal of Applied Research, 3(6), 292-293.

6. Anitha, R., & Kumar, M. A. (2016). A study on the impact of training on employee
performance in private insurance sector, Coimbatore district. International Journal of
Management Research and Reviews, 6(8), 1079.

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