Amsalu Huluka MBA 2010
Amsalu Huluka MBA 2010
Amsalu Huluka MBA 2010
By
AMSALU HULUKA
AUGUST 2018
ARBAMINCH, ETHIOPIA
THE EFFECT OF TRAINING ON EMPLOYEE PERFORMANCE: THE CASE OF
PARADISE LODGE ARBAMINCH
By
AMSALU HULUKA
AUGUST 2018
ARBAMINCH, ETHIOPIA
i
DECLARATION
Signature__________________________________
Date_____________________________________
ii
CERTIFICATION
This is to certify that Mr. Amsalu Huluka has completed his thesis entitled “THE EFFECT OF
TRAINING ON EMPLOYEE PERFORMANCE: THE CASE OF PARADISE
LODGE ARBAMINCH”. In my opinion, all the materials used for the paper has been duly
acknowledged and this paper is appropriate to be submitted as a partial fulfillment of the
requirement for the award of Degree in Masters of Business Administration.
iii
APPROVAL OF BOARD OF EXAMINERS
iv
Acknowledgements
I would like to express my sincere gratitude to my advisor, Dr. Gemechu Nemera for his
continuous support, guidelines and though corrections in doing this study. I would like to
acknowledge the Paradise Lodge employees for their cooperation in filling the questionnaires.
My appreciations and special thanks also go to all whose moral support and suggestion were so
valuable to my study.
Amsalu Huluka
v
Table of Contents
DECLARATION ........................................................................................................................ ii
CERTIFICATION...................................................................................................................... iii
APPROVAL OF BOARD OF EXAMINERS ........................................................................... iv
Acknowledgements ..................................................................................................................... v
Table of Contents ....................................................................................................................... vi
List of Tables and Figures ........................................................................................................... x
Abbreviations ............................................................................................................................. xi
Abstract ..................................................................................................................................... xii
CHAPTER ONE: INTRODUCTION ............................................................................................. 1
1.1 Background of the Study ............................................................................................... 1
1.2 Statement of the Problem .............................................................................................. 2
1.3 Research Questions ........................................................................................................ 4
1.4 Objective of the Study .................................................................................................... 4
1.5 Significance of the Study................................................................................................ 5
1.6 Scope and Limitations of the Study .............................................................................. 5
1.7 Operational Definitions ...................................................................................................... 6
1.8 Organization of the Study ............................................................................................. 7
CHAPTER TWO: REVIEW OF RELATED LITERATURE........................................................ 8
2.1 Definition and Concepts of Training ............................................................................ 8
2.1.1 Training, Development and Education..................................................................... 9
2.1.2 Training in the Hotel Industry ................................................................................ 10
2.1.3 Induction Training in the Hotel .............................................................................. 11
2.1.4 Customer Service in Hotel ....................................................................................... 12
2.1.5 Technical Skill in Hotel ............................................................................................ 13
2.2 Systematic Training Process ....................................................................................... 14
2.2.1 Analyzing Training Needs........................................................................................ 15
2.2.2 Designing Training Program ................................................................................... 16
vi
2.2.3 Developing Training Program................................................................................. 16
2.2.4 Implementing Training Program ............................................................................ 16
2.2.5 Evaluating the Effectiveness of Training Program ............................................... 17
2.3 Methods of Training and Development Programs .................................................... 17
2.4 Employee performance ................................................................................................ 18
2.5 The Effect of Training on Employee Performance ................................................... 21
2.6 Empirical Literature .................................................................................................... 23
2.6.1 Empirical Literature in Ethiopia ............................................................................ 23
2.6.2 Empirical Literature in Africa ................................................................................ 24
2.6.3 Empirical Literature in Worldwide ........................................................................ 25
2.7 Developing the Research Conceptual Frame work ................................................... 25
CHAPTER THREE: RESEARCH DESIGN AND METHODOLOGY .................................. 27
3.1 Description of the study area ...................................................................................... 27
3.2 Research Design............................................................................................................ 27
3.3 Research Approach ...................................................................................................... 28
3.4 Population of the study ................................................................................................ 28
3.5 Source of Data............................................................................................................... 28
3.6 Variables in the study ..................................................................................................... 29
3.7 Research Instrument .................................................................................................... 31
3.8 Method of Data Analysis ............................................................................................. 31
3.9 Validity Test .................................................................................................................. 31
3.10 Reliability Test .............................................................................................................. 32
CHAPTER FOUR: DATA ANALYSIS AND INTERPRETATION .......................................... 33
4.1 Response Rate ............................................................................................................... 33
4.2 Descriptive Analysis ..................................................................................................... 34
4.2.1 Socio demographic Characteristics of Respondents.............................................. 34
4.2.1.1 Gender of Respondents......................................................................................... 34
4.2.1.2 Age of Respondents ............................................................................................... 34
4.2.1.3 Educational Level of respondents........................................................................ 35
4.2.1.4 Work experience of Respondent .......................................................................... 36
4.2.1.5 Job Departments of the Respondent ................................................................... 36
vii
4.3 Training Activities of the Respondents ...................................................................... 37
4.3.1 Training Attendance of the Respondents ............................................................... 37
4.3.2 Number of Training Program Attended ................................................................ 38
4.3.3 Method of training in the company......................................................................... 38
4.3.4 Relevance of Training to Current Job .................................................................... 39
4.4 Measuring types of training ........................................................................................ 39
4.4.1 Induction Training ................................................................................................... 40
4.4.2 Technical Skill Training........................................................................................... 41
4.4.3 Customer Service Training ...................................................................................... 42
4.4.4 Change Management Training................................................................................ 43
4.4.5 Employee Performance ............................................................................................ 44
4.5 Relationship between Training and Employees Performance ................................. 45
4.5.1 The relationship between Induction training to employee performance ............ 46
4.5.2 The relationship between Technical Training and employee performance ........ 46
4.5.3 The relationships between Customer service training and employee performance
46
4.5.4 The relationship between Change management training and employee
performance ............................................................................................................................. 47
4.6 Effect of Training on Employee performances.......................................................... 47
4.6.1 Diagnostic Tests for Linear Regression Assumption............................................. 47
4.6.2 Normality Test .......................................................................................................... 47
4.6.3 Linearity test ............................................................................................................. 47
4.6.4 Test for Constant Variance Errors (Homoscedasticity): ...................................... 48
4.6.5 Multicollinearity Test ............................................................................................... 48
4.6.6 Independence of Residuals Tests ............................................................................. 48
4.7 Coefficients of Regression Analysis ............................................................................ 50
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS ............. 53
5.1 Summary of the Finding .............................................................................................. 53
5.2 Conclusion ..................................................................................................................... 54
5.3 Recommendations ........................................................................................................ 55
5.4 Directions for Future Study ........................................................................................ 56
viii
References ..................................................................................................................................... 57
Appendix 1: Research Questionnaires and Interview ................................................................... 63
Appendix 2: Normality Test ......................................................................................................... 66
Appendix 3: Linearity Test ........................................................................................................... 67
Appendix 4: Model Summary....................................................................................................... 68
Appendix 5: ANOVA Result ........................................................................................................ 69
Appendix 6: correlation Result ..................................................................................................... 70
Appendix 7: Linear Regression Result ......................................................................................... 71
ix
List of Tables and Figures
x
Abbreviations
FO Front Office
GM General Manager
HK Housekeeping
HR Human Resources
xi
Abstract
This study mainly focuses on the effect of training on employee performance in case of Paradise
Lodge: Arbaminch. Accordingly, all the necessary data has been gathered from primary sources
using questionnaires and interviews. Census was used and the number of participants was 189.
The research design is descriptive with both quantitative and qualitative approach. Tables and
percentages are used to present the data. The finding reveled that training positively influence
employee performance in paradise lodge Arbaminch. There is positive relationship between
training and employee performance. the research concluded that induction training, technical
skill training, customer service training and change management training have a positive effect
on employee performance. furthermore, the study recommends that training should be conducted
very frequently to ensure that employees have the necessary engagement to the lodge working
culture and corporate rules, technical skill, customer care and change processes, innovation;
better performance and job enthusiasm for enhanced employee and organizational performance.
It also recommends that the management of the lodge needs to ensure training need analysis
before the training programs taken place.
Key words: Training, Hotel, Induction training, Technical skill training, Customer service
training, Change management training, Employee performance.
xii
CHAPTER ONE: INTRODUCTION
Training and development are processes that attempt to provide an employee with skill,
knowledge, information, and an understanding of the organization and its goals. It enables an
employee to continue to make positive contributions in the form of good performance. Training
may be defined as a planned program designed to improve performance and to bring about
measurable changes in knowledge, skills, attitude and social behavior of employees for doing a
particular job (Sharma and Tejinder, 2014).
The TD cost for an organization is hiking (Blanchard and Thacker, 2014). T&D is equally
important as recruitment and selection process. For the past three years’ paradise lodge has paid
800,000 Birr for the training programs (Paradise Lodge Arbaminch) (PLA, Annual Report ,
2017). Expenditures of such magnitude call for a periodic sharp look and there is a growing
demand for finding benefits commensurate with the escalating costs of training. To reap the
benefit, the training has to be comprehensive, systematic, and continuous and should be closely
linked to the organizational strategy. The need of the hour is that training needs to be considered
as a catalyst between people, between strategy and systems, between customers and the
organization. Alongside the TD, orientation is also important from the point of view of the new
employees who join the organization (Albrecht, 1988).
Hospitality organizations face the special challenge of training not only in the required job or
task skills; they must also teach the server how to solve inevitable problems creatively and how
to interact positively with guests. Guest service employees must be trained to do the required job
task consistently for each guest in real time with a sense of sincere caring, with many people
looking over their shoulder. This is a major training task. It goes far beyond the simple
requirements of training someone to mix a martini, check in a guest to the proper hotel room, or
receive money and make change (Robert , 2012).
In modern hotel business, managers are trying to appeal competence in people, and especially the
employees’ qualities. The level of service quality depends on the qualities of employees. The
qualities are about knowledge, skills and thoughts which lead to a hotel’s survival and
development. Therefore, staff training is essential in many ways; it increases productivity
1
while employees are armed with professional knowledge, experienced skills and valid
thoughts; staff training also motivates and inspires workers by providing employees all needed
information in work as well as help them to recognize how important their jobs are (xiao, 2010).
Paradise Lodge owned and operated by private limited business entity, which was opened in
Ethiopian Millennium, 2008. The lodge provides several forms of training for employees at the
organization ranging from levels to levels in a hierarchy that has been put in place and they
include: Induction Training (New Hire Training), Technical Skill Training, Customer Service
Training and Change Management Training.
The purpose of this study is to identify the effect of training on employee performance in the
paradise lodge Arbaminch.
The Hospitality sector in Ethiopia is constantly growing. Based on the information that provided
by (Yibeltal, 2014) the direct contribution of Travel & Tourism to GDP was ETB 51.3 billion
(USD 2.26 billion) - 4.1% of total GDP in 2015 - and is forecast to rise by 5% by 2026 to ETB
85 billion (USD 3.7 billion). This largely reflects the economic activity generated by industries
such as hotels, travel agents, airlines and other passenger transportation services, restaurant and
leisure industries. In 2015, the total contribution of Travel & Tourism to employment, including
jobs indirectly supported by the industry, was 8.4% of total employment creating 2,326,500 jobs.
Although this was expected to fall by 3.1% in 2016 to 2,254,500 jobs it is expected to increase to
6.6% generating 2,422,000 jobs in 2026.
In fact, there are various challenges facing the hospitality industry in Ethiopia; poor performance
in marketing, lack of trained man power in the field, low level of government attention (Ermias
Kifle and Azmach Tensay , 2016) but of importance to this study are those specific problems
relating to training and employee performance. A reported compiled by The United Nations
Economic Commission for Africa (UNECA, 2015) stated that an important component of
destination development and competitiveness is the availability of high quality human resource.
Indeed, the most competitive destinations of the world, such as Switzerland, France, Spain, USA,
China, Italy, United Kingdom, Malaysia and Singapore, have correspondingly high quality
human resources. This is, however, a major challenge facing the country in its endeavor to
2
become a globally competitive tourism destination. The country has, for instance, a limited
number of institutions offering tourism training program both at the graduate and post graduate
levels and at the certificate and diploma levels.
The hotel industry, it is a sector with a serious deficiency when it comes to human resources.
according to the 226 hotels surveyed research on skilled human power in hotels in Ethiopia
major cities conducted by Catering and tourism training institute (CTTI, 2015) indicated that the
skilled human power in the sector still it is very few, a total of 22150 persons working in the
hotel industry 8841 (39.9%) were untrained in hotel field, whereas 6089 (27.5%) were trained on
job. The survey revealed that it was only 5055 (22.8%) employees graduated in hotel fields. On
the other hand of 5055 of graduated employees 797 (15.8%) were graduated from CTTI and
unevenly distributed throughout the country (i.e. 45% in Addis Ababa, 28% in SNNPR, and
Oromia 12.5%, whereas distribution in the rest regions accounts below 5%).
Most studies (Aguinis, 2009), (Alison, 1990), (Blanchard and Thacker, 2014), (Ermias Kifle and
Azmach Tensay , 2016) are conducted on the subject of training and how it impacts on employee
and organizational performance are majorly confined to the developed world within the context
of individual countries and organizations raising the question on whether their findings can be
generalized to other sectors, countries and the developing world.
More explicitly, according to (Angela, 2014) on his work on “Effects of training on employee
performance: a case study of United Nations support office for the African union mission in
Somalia” revealed that training positively influences employee performance by having a positive
influence on employee engagement at UNSOA. The study has shown that training enhances
employee engagement in change processes which in turn influences positively the employee and
organizational performance. Secondly the study also showed that training enhances employee
engagement in innovation. Thirdly, the study showed that training enhances better performance
among employee. Lastly the study showed that training enhances employee enthusiasm.
According to (Adesola, 2017) on his study on “the impact of training and development on
employee performance in Radisson Blu anchorage hotel” The findings of this research indicates
that the various training undergone in Radisson Blu Anchorage Hotel has impact in employee
performance. Additionally, various training like; New Hire Orientation training, Yes I Can be
3
training, Standard Operating Procedure training and Responsible Business training have helped
improved employee performance on the job.
In fact, several researches are conducted on the training and employee performance (Birhane,
2016), (Adesola, 2017), (Gidey, 2016) and those researches are revealed that training is
positively affect the employee performance. However deep investigation of those research lacks
analysis of different kinds of training. Therefore, this research deeply investigates the effect of
induction training, technical skill training, customer service training, change management
training on employee performance.
This study tries to answer the following research questions based on the problem of the study.
The general objective of this study is to investigate the effect of training on the employee
performance in the paradise Lodge Arbaminch.
Based on the main objective of this study and the problem statement, the study will have the
following specific objectives.
4
1.5 Significance of the Study
The Human Resources Management of the Paradise Lodge Arbaminch common system would
be interested in finding out if training programs affect the performance of the employees. In
addition, the Human Resources Management would find out how these training programs
generally affect employee’s motivation and satisfaction. The findings of this study would be
useful, not only to the Paradise Lodge Human Resources Management in meeting the long term
needs of the entire Company, but also to other organizations that carry out similar training
programs and their relevance in the dynamic job market.
The employee in the hospitality industry would want to know what training programs are
available for them on the onset of joining the company given that the paradise Lodge has a
unique operating system. Also, the employees would also have the chance to express their views
and prove their relevance to their job situation.
There could be a number of academicians and researchers who would like to know what training
programs are available in the unique operating system of the Hospitality Industry and their
relevance and sustainability in the ever changing job market. Moreover, it helps the researcher to
acquire knowledge in the area and understand practical experience; and also for the partial
fulfillment of the requirements for the degree in masters of business administration.
Furthermore, the study will help as a source document and stepping stone for those researchers
who want to make further study in the hospitality discipline.
The scope of this study was limited to a manageable size to employee’ of paradise lodge
Arbaminch only. The study population included the 189 staff members which are based in
Arbaminch town. The research design is qualitative and quantitative method. The data collection
was within a period of two weeks between July 19, 2018 and July 31, 2018. The outcome of the
study is mainly dependent on the individual responses of the respondents who participate in the
study. So the result may not be generalizable beyond the specific population.
5
1.6.2 Limitation of the Study
There are several potential limitations that were faced. The study conducted only in single
company that is used to generalize the results to hospitality industry. The other problem faced
was absence of literature related to the effect of training on employee performance in Ethiopian
Hospitality Sector.
Employee Performance- This is the measure of output. It shows effectiveness and efficiency
that make a payment to organizational goals and may depend upon many factors like
performance appraisals, employee motivation, employee satisfaction, compensation, job
security, organizational structure and others (USOPM, 2007).
Induction Training (New Hire training)- Training provided to new employees by the employer in
order to assist in adjustment to their new job tasks and to help them become familiar with their
new work environment and the people working around them (Pareek and Udai, 2000).
Technical Skill Training-Skills Training is essentially provided employees to provide them the
knowledge and train them with the relevant skill sets required to perform the job (MBA skool).
Customer Service Training- a training given to employees to enhance the act of taking care of the
customer's needs by providing and delivering professional, helpful, high quality service and
assistance before, during, and after the customer's requirements are met (Mckinney).
Change management Training- it is the training that focus on the structured approach to
transitioning individuals, teams, and organizations from a current state to a desired future state,
to fulfill or implement a vision and strategy. It is an organizational process aimed at empowering
employees to accept and embrace changes in their current environment (Ryerson, 2011).
The Front Office Department performs more customer oriented services like selling guestrooms,
handling reservation, register guests and assign guestrooms (Jones, 2005).
6
The Food and Beverage Department; comprises of the Kitchen where the food production takes
place and of various types of outlets where what is produced in the kitchen is served and sold to
the guest (Jones, 2005).
Housekeeping and Laundry Department; is responsible for the cleanliness, maintenance and the
aesthetic standard of the hotel (Bardi, 2007).
Chapter I: Introduction: was explain the research background, statement of the problem,
objective of the study, research questions, significance of the study, scope of the study, limitation
of the study and organization of the study.
Chapter II: Review of Literature: This chapter was deal with the review of literature. The
literature survey includes theoretical and empirical studies as well as the conceptual framework.
All theories tending to support this study are incorporated in the review of literature.
Chapter III: Research Methodology: It was deal with research design and methodology,
specifically, it incorporates; data types, sources of data, the study population, methods of data
collection, data collection procedures, methods of data analysis, validity and reliability of the
survey instrument & ethical consideration.
Chapter IV: Data Analysis and Interpretations: This chapter was show empirically analyzed the
collected data in order to arrive at the findings which are inferred or generalized to the entire
population.
Chapter V: Summary, Conclusions and Recommendations: This chapter presents the summary of
the study, major findings and suggestions.
7
CHAPTER TWO: REVIEW OF RELATED LITERATURE
According to Society for Human Resource Management (SHRM, 2009) training is defined as a
planned process to modify attitude, knowledge, or skill behavior through learning experience to
achieve effective performance in an activity or range of activities. Its purpose, in the work
situation, is to develop the abilities of the individual and to satisfy the current and future needs of
the organization.
Training defines as an activity or program of activities designed to teach the skills and
knowledge required for particular kinds of work (Drummond, 2008). Training usually takes
place at working places, whereas education takes place at educational establishments.
Both the above definitions explain the application of training to the requirements of the
organization and this training tends to occur in the workplace. They also indicate a relatively
narrow limitation to specific skills and operations. Moreover, training has an immediate
application and is generally completed in a shorter timescale than education.
Development occurs when a gain in experience is effectively combined with the conceptual
understanding that can illuminate it, giving increased confidence both to act and to perceive how
such action relates to its context.
It can be seen from the definitions that development indicates movement to an improved
situation that for the individual means advancing towards the physical and mental potential one
can possess. In many respects, development indicates growth and movement by the learner rather
than learning itself (Aguinis, 2009).
8
There is documented evidence that training activities have a positive impact on the performance
of individuals and teams. Training activities can also be beneficial regarding other outcomes at
both the individual and team level.
Training and development help to ensure that organizational members have the knowledge and
skills needed to perform jobs effectively, take on new responsibilities, and adapt to changing
conditions. On the same manner some researchers find out training focuses primarily on teaching
employees how to perform their current jobs and helping them acquire the knowledge and skills
they need to be effective performers, whereas development focuses on building the knowledge
and skills of organizational members so they are prepared to take on new responsibilities and
challenges (Vemić, 2007). Training tends to be practiced more frequently at lower levels of an
organization; development tends to be used more frequently with professionals and managers.
Both training and development can play a critical role in attracting and retaining workforce
(Yrou, 2011). Training can be an essential tool for maintaining and improving the productivity of
employees there by upgrading their skills that are relevant to meet specific business, customer
needs and ever-changing industry standards while development opportunities motivate
employees by providing them with skill and knowledge enrichment.
In most cases the terms training and development are used together, they are often confused. For
the clarification Dale Yoder has observed the distinctive of the terms. (Yoder, 2013)Training
means learning the basic skills and knowledge necessary for a particular job or a group of jobs.
In other words, training is the act of increasing the knowledge for doing a particular job. But
development refers to the growth of an individual in all respects. An organization works for the
development of its executives or potential executives in order to enable them to be more
effective in performing the various functions of management. An executive development
program aims at increasing the capacities of the individuals to achieve the desired objectives.
Executive capacities imply his personal abilities and potentials. Desired objectives imply
consideration for tile goals of the organization and individuals. Increasing the capacities implies
that change must, occur in the executive and through him in his subordinates.
Training it is concerned with increasing knowledge and skills in doing a particular job. The
major burden of training falls upon the employer. But education is broader in scope. Its purpose
9
is not confined to developing the individuals, but it is concerned with increasing general
knowledge and understanding of total environment. Education generally refers to the formal
learning in a school or a college, whereas training is vocation oriented and is generally imparted
at the work place. Training usually has mere immediate utilitarian purpose than education. At
times, both training and education occur at the same time (Pareek, 2007).
Developments program can be approached via Job –site Method and off job Site method. The job
site method includes coaching, committee assignments, job rotation and Assistant to Positions.
The off-site method is class room course and degrees, human relation training, case study, role
play, simulation (business game), Outdoor training (Armstrong, 2009).
Hospitality organizations face the special challenge of training not only in the required job or
task skills; they must also teach the server how to solve inevitable problems creatively and how
to interact positively with guests. Guest service employees must be trained to do the required job
task consistently for each guest in real time with a sense of sincere caring, with many people
looking over their shoulder. This is a major training task. It goes far beyond the simple
requirements of training someone to mix a martini, check in a guest to the proper hotel room, or
receive money and make change (Robert , 2012).
10
In modern hotel business, it is all about competence in people, and especially the employees’
qualities. The level of service quality depends on the qualities of employees. The qualities are
about knowledge, skills and thoughts which lead to a hotel’s survival and development.
Therefore, staff training is essential in many ways; it increases productivity while employees are
armed with professional knowledge, experienced skills and valid thoughts; staff training also
motivates and inspires workers by providing employees all needed information in work as well
as help them to recognize how important their jobs are. Training and development can be seen as
a key instrument in the implementation of HRM practices and policies. Successful hotels always
include staff training as their important development strategy (Decenzo and Robbins, 2007).
The paradise Lodge pays due attention to training and development. Since the establishment of
the property; the entity has been transforming the internal and external systems. According to the
human resource department the lodge has been provide18 trainings sessions on average per
annual. Both on the job and off the job training is given. On- the – Job Training is heavily
practiced. This is why many tasks are best learned by doing, while supervisors or coworker with
more experience is standing by to assist. Second training is given when new way of doing is
launched and when new entrée employees are given induction in the office. Most supervisors
have been come through development practice. There are few types of development programs
rolled in the lodge, which is assignment to the position, delegation and rotations. Front Desk and
Restaurant Departments have involved in training very frequently (PLA, Operational Report,
2017).
Induction Training is absolutely vital for new starters. Good induction training ensures new
starters are retained, and then settled in quickly and happily to a productive role. Induction
training is more than skills training. It's about the basics that seasoned employees all take for
granted: what the shifts are; where the notice-board is; what's the routine for holidays, sickness;
where's the canteen; what's the dress code; where the toilets are. New employees also need to
understand the organization’s mission, goals, values and philosophy; personnel practices, health
and safety rules, and of course the job they're required to do, with clear methods, timescales and
expectations (Ahammad, 2013).
11
Good induction training plans should feature a large element of contact with other staff for the
new person. Relationships and contacts are the means by which organizations function, get
things done, solve problems, provide excellent service, handle change and continually develop.
The induction training shall be considering the following contents in the training session. here is
a simple checklist in three sections, to help you design an induction plan to suit your particular
situation(s). Essential 'visitor level' safety and emergency procedures, Washrooms, Food and
drink, Smoking areas and policy, Timings and induction training overview, Organizational
history and background overview, Ethics and philosophy, Mission statement(s), Organization
overview and structure and the others (Jones, 2005).
Professionals who constantly deal with customers (inside and outside the company) need to
strive for certain qualities to help them answer customer needs. The professional qualities of
customer service to be emphasized always relate to what the customer wants. After years of
polling and market research, it turns out customers are constantly internalizing their customer
service experience. What this means is they are grading your customer service during each
transaction but you rarely know it. While there are a multitude of customer needs, six basics
needs stand out: Friendliness; the most basic and associated with courtesy and politeness.
Empathy; the customer needs to know that the service provider appreciates their wants and
circumstances. Fairness; the customer wants to feel they receive adequate attention and
reasonable answers. Control; the customer wants to feel his/her wants and input has influence on
the outcome. Alternatives; most customers want choice and flexibility from service. They want
to know there are many avenues to satisfy them. Information; customers want to know about
products and services but in a pertinent and time-sensitive manner. Too much information and
“selling” can put off customers (Aguinis, 2009).
It is also very important for customer service employees to have information about their product
or service. Service providers who answer, “I don’t know” or “It is not my department” are
automatically demeaned and demoted in the mind of the customer. These employees can end up
feeling hostile as well as unequipped. Customers want information, and they disrespect and
distrust the person who is supposed to have information but does not (Ashok, 2013).
12
2.1.5 Technical Skill in Hotel
Hotels employ front-desk staff, housekeeping staff, restaurant staff, managers, and sometimes
porters, event planners, and a concierge, depending on the type of hotel. Most of these positions
require excellent customer service skills, attention to detail, team work, and good personal
grooming. Creative problem-solving (because travelers sometimes have unexpected problems)
and a thorough knowledge of local resources and attractions are important as well (Bell, 2016).
In hotel industry there are some departments that are highly attached with direct customer
contact. These departments need to know more customer service skill and others department are
required more operational skill. Accordingly, some of the most known’s department in the hotel
are presented in the following section with their perspective required skill.
The front desk position at a hotel requires many different skills, and the details can vary
depending on how the hotel is organized and what market the hotel serves. Nevertheless, there
are some skills that all front desk employees are in need with communication, composure,
computer literacy, friendliness and organization skills are the most common. Although customer
service skills are most obviously necessary for the front of the house, a strong service ethic is
critical for everyone on the team, including those who never see patrons. The host or hostess and
the wait staff must make diners feel welcome and cared for. Managers sometimes need to calm
angry customers by explaining policies or addressing problems. Line cooks and dishwashers
have invisible but critical roles in customer happiness and health and must take that
responsibility seriously (Ynn, 1994).
Food and beverage preparation may include customer service (for example, for bar tenders or
coffee baristas), or these jobs may be entirely behind the scenes (for example, line cooks). In
addition to specific skill using the tools of the trade, such as espresso machines and kitchen
equipment, more general abilities are absolutely required. These include, again, attention to
detail, plus a commitment to safety, the ability to work well as part of a team, and the ability to
work quickly and calmly in a high-pressure environment. Physical Speed and Strength skill is
needed for Servers to carry awkward and sometimes heavy loads without spilling. Dishwashers
need to load and unload machines quickly without chipping plates or cutting themselves with
knives. Side tasks, such as refilling salt shakers, must be done quickly and efficiently. The ability
to move at a fast, steady pace, without distraction, is critical (Albrecht, 1988).
13
Hospitality management requires skills some that are specific to the industry and others that are
important in any management context. When the manager applying for such a position he/she
will has to demonstrate teamwork, leadership, budgeting, strategic thinking, customer service,
and a thorough understanding of your specific business—whether that means being able to
speak intelligently about food and wine for a restaurant manager, to understanding when
the busy season is for your hotel and why (Yrou, 2011).
So far, the literature reviewed has traced as of that Training and development activities allow
organizations to adapt, compete, excel, innovate, produce, be safe, improve service, and reach
goals. However, it well known that not all training and development practices are effective in
achieving organizational objectives. Through the facts are pointed out; In order to be effective in
the training and development practice, there must be something that organizations need to aware
in the training and development process. To this end, the below discussed literatures will the
main systems of training and development. Hence the popular ADDIE model (Analyze, Design,
Develop, Implement, and Evaluate) is central to organizations TD practices which involve
phases of TD process.
Analyzee
Evaluation Design
Implimentation Developmet
14
2.2.1 Analyzing Training Needs
Assessing organizational training needs is the diagnostic phase of a training plan. This
assessment considers issues of employee and organizational performance to determine if training
can help. Needs assessment measures the competencies of a company, a group, or an individual
as they relate to what is required (Curtis, 2003). Analyzing the training and Development need
shall give the right solutions for what needs to be trained, for whom, and within what type of
organizational system (Goldstein , 2002). It is based on accurate and relevant information on
organization’s present performance, problems and future plans.
A training need analysis is a thorough review of the training which can affect improvement in
the knowledge, skill or attitude of individual or teams in the work place. On the other way the
training need assessment identifies the difference between the standard of performance being
achieved, and the standard of performance require – the training gab- with the aim of raising the
quality and productivity of output (Drummond, 2008).
To analyze the training and development needs, organizations could possess different way
assessment. Among those methods the followings are the most common:
The second way of analyzing training needs is to review the jobs involved and the tasks
performed in those jobs. By comparing the requirements of jobs with the knowledge, Skill and
Abilities of employees, training needs can be identified. For example, at a manufacturing firm,
analysis identified the tasks performed by engineers who served as technical instructors for other
employees. By listing the tasks required of a technical instructor, management established a
program to teach specific instructional skills; thus, the engineers were able to become more
successful instructors (Goldstein , 2002).
The third means of diagnosing training needs focuses on individuals and how they perform their
jobs. The following sources are examples that are useful for individual analysis: Performance
15
appraisal, Skill tests, Individual assessment tests, Records of critical incidents, Assessment
center exercises, Questionnaires and surveys, Job knowledge tools (xiao, 2010).
It is an enabling factor which covers the planning and creation of Training and development
programs by taking in to account learning objectives, trainee characteristics, current knowledge
about learning processes, and practical considerations such as constraints and costs in relation to
benefits. Trainees are more likely to transfer the training content to the work context when they
perceive that the training program was designed and delivered in such a way that maximizes
the trainees ability to transfer the training to the job (Drummond, 2008).
During the Development stage, the trainer will organize the knowledge and performance
objectives, instructional materials, course design, and model from the design stage are put
together for employees to achieve learning objectives. During this stage, existing materials will
be reviewed lesson plans will be selected and new ones will be produced. In the review process,
critical input is essential to ensure that the training materials are clear, concise, and effective in
addressing objectives. The objective will describe how the trainer and employees will perform
during training to achieve the learning objectives (Raymond and Noe, 2010).
The Implementation stage is the process that cannot be taken for granted. This is when
conditions are determined (who, what, when, where) under which the training will be offered and
the solution implemented. This is done by reviewing the data collected during the life of the
project, reviewing the lessons learned about field conditions from the validation, and discussing
with employees who are knowledgeable about conditions at the job. The outcome of this step
defines the guidance and support needed to ensure successful training plan. Next, the availability
of trainers, facilities, and resources is confirmed and used to create the training program
schedule. Training will be delivered as planned, and trainees and trainers performance is
evaluated (Armstrong, 2009).
16
2.2.5 Evaluating the Effectiveness of Training Program
Evaluation of training in organizations is the analysis of the total value of a training system or
action in both social and financial terms, in order to obtain information on the achievement of its
objectives and the overall cost-benefit ratio of training, which in turn guides decision-making.
The Training Evaluation can be done at the completion of every session, every day and module.
A relative evaluation would enable the HR department to know the effectiveness of the program
content, ability of the trainer in transferring the knowledge and skill and learning ability of the
trainees. After the completion when the employees are back to their workplace, it would be
better to conduct an evaluation after a gap of three months, and six months.
(Pineda, 2010) Has stated the most commonly used is the Kirkpatrick model which has four
hierarchical levels:
Reaction measure what did the participant think about the program? It helps to measure the
reaction of the trainee regarding the learning experience, he instructor, the methodology used,
and the like.
Learning evaluates the participant learn what was expected? It deals with the measurement of
what new skills, knowledge, and/or change in attitude acquired by way of testing or self-
assessment.
Behavior It is concerned with measuring the extent to which the participant has applied the
learning to his job. Results has measure the training contributed towards the overall performance
or well-being of the organization?
The Evaluations necessary and The temporal phases of evaluation process may take place before,
during, and after training (Chen, 2003).
On the above sections crucial aspects of training is described. Then it is important to deal with
the methods training and development, which makes the concept clearer. The determination of
training method based on several factors. The common variables considered are; Nature of
training, Subject matter, Number of trainees, Individual versus team, Self-paced versus guided,
Training resources/costs, E-learning versus traditional learning, Geographic locations, Time
17
allotted, Completion timeline (Hook, 2017). For the purpose of this study the following broad
types of training will be discussed on details.
On-the-Job Training is the most common type of training at all levels in an organization is on-
the-job training (OJT) because it is flexible and relevant to what employees do. Well-planned
and well-executed OJT can be very effective. Based on a guided form of training known as job
instruction training (JIT), OJT is most effective if a logical progression of stages is used, in
contrast with informal training, which often occurs spontaneously, OJT should be planned. The
supervisor or manager conducting the training must be able to both teach and show the
employees what to do.
However, OJT has some problems. Often, those doing the training may have no experience in
training, no time to do it, or no desire to participate in it. Under such conditions, learners
essentially are on their own, and training likely will not be effective. Another problem is that
OJT can disrupt regular work. Unfortunately, OJT can amount to no training at all in some
circumstances, especially if the trainers simply abandon the trainees to learn the job alone. Also,
bad habits or incorrect information from the supervisor or manager can be transferred to the
trainees (Bitner, 2009).
2.3.2 Off-the-Job-Training
As we have covered on the above section On-the-job training has the biggest advantage as the
method is not require the worker to be absent from his work place. There is no disruption in the
normal activities. However, when the training is specialized, or needs the use of sophisticated
equipment, or needs a specialist trainer, it might not be feasible to provide the training while on
Job. For such situation, off-the-job- training methods are used by the organizations.
Off-the-job training methods require the worker to undergo training for a specific period away
from the work-place. These methods are concerned with both knowledge and skills in doing
certain jobs. The workers are free of tension of work while they are learning.
18
established with certain objectives to achieve. The objectives that have been established can be
achieved by utilizing the resources like men, machines, materials and money. Manpower plays
an important role in performing tasks for accomplishing the goals. Organization needs highly
skilled and dedicated manpower to perform well. The business environment is constantly
changing due to some internal and external factors. Organizations get the advantage over other
competitors through their talented and dedicated manpower that can take the lead in the market.
The contribution of employees on job is the most important factor for development and
excellence in business. Factors such as acquired skills, training, motivation, dedication, welfare,
management policies, fringe benefits, salary and packages, promotion, communication are
responsible to encourage the employee to work sincerely and give their best output. Management
must put in sincere efforts to improving employee performance in the organization as this will
have great impact on the total production, sales, profit, progress and market position of the comp
any in the market.
The main objective of human resources management is to utilize the human resources in a most
optimal manner so that targets can be achieved very effectively and efficiently. It is a way of
establishing a shared workforce understanding about what is to be achieved at an organizational
level. It is also a system for identifying, differentiating, and rewarding performance of an
employee. Organizational objectives are aligned with the employees agreed measures, skills,
competency requirements, development plans and the delivery of results. Organizations use
performance management to drive behaviors from the employees to get specific outcomes.
(Raymond and Noe, 2010) performance management is used to ensure that employees' activities
and outcomes are coinciding exactly with the organization’s objectives and entails specifying
those activities and outcomes that will result in the firm successfully implementing the strategy.
Performance management is the continuous process of setting objectives, assessing progress and
providing on-going coaching and feedback to ensure that employees are meeting their objectives
19
and career goals. Performance management is the process of creating a work environment or
setting in which people are enabled to perform to the best of their abilities.
(Armstrong, 2009) Performance management is enabling people to perform their work to the best
of their ability, meeting and perhaps exceeding targets and standards. For successful performance
management, a culture of collective and individual responsibility for the continuing improvement
of business processes needs to be established, and individual skills and contributions need to be
encouraged and nurtured. Where organizations are concerned, performance management is
usually known as company performance and is monitored through business appraisal.
Performance management is the development of individuals with competence and commitment,
working towards the achievement of shared meaningful objectives within an organization which
supports and encourages their achievement.
Evaluating employee performance is carried out on an on-going basis and encompasses all areas
of work ethic and individual achievements. Every company has a process to monitor and
evaluate their employees, in Paradise Lodge employees’ performance on the job is measured
with the hotels strategic objectives. The employee performance measurement has been Done
every 6 months. Here are some ways in which employees’ performance are measured:
Punctuality: Employees who regularly arrive late for work or are frequently absent from the
office are unlikely to be meeting their performance objectives. Issues with punctuality mean an
employee is not doing their job to their full potential and a negative attitude may also be
affecting their colleagues. The Human Resource Manager will address the underlying issue with
the following question; Have they received adequate training and Do they get along with their
co-workers and manager.
Quality of work: The timely completion of projects to the desired standard is a key indicator in
measuring employee performance. The answers to the following questions will help Managers to
understand why the employee does not perform as well expected. Is the work being carried out
average or outstanding, are they committing maximum effort to projects, is their attitude
affecting their ability to meet your expectations, do they understand their personal performance
objectives.
20
Attitude Check: A bad attitude will often manifest itself in insubordinate behavior. Again, this is
indicative of an individual who is unlikely to be meeting their performance objectives.
Typically, these employees will not comply with company policies and are likely to display
disrespect for the company and co-workers.
Observing personal habits: Perpetual bad habits can detract from employee performance. This
may include indulging in office gossip, taking unauthorized breaks, disruptive behavior and the
use of computers for personal reasons (such as social media).
Carry out a client survey: The consequences of poor employee performance will ultimately
manifest themselves in customer service. A client survey can quickly identify issues with
individuals. A positive response means your employee performance is meeting or exceeding
expectations. The Trip Advisor and Booking.com report is used in this context; it is an online
client survey that enables cons express themselves on the services they received in the Lodge
whether good or bad.
For instant According to the Trip Advisor the lodge has scored 521 as of July 27, 2018 reviews
out of that 32% excellent, 47% very good, 12% average, 4% poor and 5% is Terrible (Trip
advisor, n.d.). Based on the others review site called Booking.com the lodge customer’s reviews
are scored 6.4 out of 10 as of January 2018 (Booking.com, 1996).
Organizations that are committed to productivity and quality performance invest in training and
development of its employees. The organization benefits from the employees when they are well
trained and developed. Training is being evaluated on how it addresses business needs related to
learning, behavior change, and performance improvement. Training is now more performance
oriented, it can be aligned to improving employee performance, to lead to improved results. As
human performance increases, business performance also improves (USOPM, 2007).
Previous study provides information that there is a strong positive relationship between training
and employee performance. Training and development programs as one of the vital human
resource management practice positively affect the quality of the worker’s knowledge, skills and
capability and thus results in higher employee performance on the job.
21
According to (Adesola, 2017) Companies that have an investment perspective of human resource
management view training as an opportunity to increase long-term productivity. Training may
also be viewed as a solution to a number of problems, such as substandard quality resulting from
skills deficiencies and the voluntary turnover of employees seeking more rewarding jobs. It may
also reduce the involuntary turnover of employees who are terminated because of skills
deficiencies and may provide a means of preventing skills obsolescence. The quality of
employees training and development determines the long- term profitability and performance of
organization. Training and development practices are aimed at enhancing employees’ personal
qualities that lead to greater organizational performance.
According to (Ghafoor and Furqan , 2011) bridging the performance gap refers to implementing
a relevant training intervention for the sake of developing particular skills and abilities of the
employees and enhancing the performance. Training facilitates organization to recognize that it
works are not performing well and thus their knowledge, skills and attitudes needs to be molded
according to the firms need. There might be various reasons for poor performance of the
employees such as workers may not feel motivated any more to use competencies, or may not be
confident enough on their capabilities, or they may be facing work life conflict. All of the above
aspects must be considered by the firm while selecting most appropriate training intervention
that help the organization to solve all problems and enhance employee motivational level to
participate and meet firm expectation by showing desired performance.
According to (Wright, 2001) Employee competency will be changed through effective training
programs. It’s not only to improve the overall performance of the employees to effectively
22
perform the current job, but also to enhance the knowledge, skills and attitude of the workers
necessary for the future job and those contributing to superior organizational performance.
However, employee performance is also affected by some environmental factors such as
corporate culture, organizational structure, job design, performance appraisal system, power and
politics prevailing in the firm and the group dynamics. If the above mentioned problems exist in
the firms, employee performance decreases not due to lack of relevant knowledge, skills and
attitude, but because of hurdles which is mentioned above.
Training-related activities result in improved job performance and other positive changes
acquisition of new skills that serve as antecedents of job performance (Aguinis, 2009). (Angela,
2014) In his research founds that training affects change in worker skills through a change in
trainees’ knowledge structures or mental models. Training may not only affect declarative or
procedural knowledge but also may enhance strategic knowledge which is defined as knowing
when to apply a specific knowledge or skill.
Based on the research conducted by (Birhane, 2016) Titled “Determinant Factors Affecting
Employees’ job performance in Wegagen Bank S.C” results that training has significant positive
relation and positive significant effect on employees’ job performance in Wegagen bank S.C.
The values generated in the Pearson correlation for training (r=.559, P<0.01) are significantly
and positively correlated with employees’ job performance. Additionally, the regression result
which shows the relative contribution of training i.e.(Beta=0.137) with (Sig. = .041) makes the
moderate contribution to explaining the dependent variable employees’ job performance.
A study called The Effect of Training and Development on Employees Performance: the case of
Commercial Bank of Ethiopia (Gidey, 2016) the findings on the Effect of Training on Employee
Performance are generally significant. Respondents’ response shows that the job instructions
prepared by the organization are clear and easy to apply, and they believe also that they receive
enough guidance from their peer and supervisors. In addition, respondents affirmed that job
rotation has the power of enhancing the overall performance of employees in their organization.
Still, majority of the respondents acknowledged that their efficiency has improved after they took
23
training. For that reason, 77.7 percent (219 out of 282) of the respondents affirmed that the
training they got have been helping them perform their Bank related activities quickly and
efficiently.
The findings showed the majority of the respondents (79.4%) mentioned that training benefited
both the organization and the employees. They have also mentioned that organizations improved
in performance due to the skills acquired by employees. 80% of the respondents indicated that
the company was satisfied with their performance after training because, performance gaps in the
identified areas had been met. The study also conducted person correlation in order to know the
relationship between the variables and the result is 0.433. In general training and performance
have positive relationship.
24
A study made on Effect of Training on Employees’ Performance: A case of Institutions of
Higher Learning in Arusha City, Tanzania concluded that, (Juliana and Baraka , 2015) with the
Pearson Correlation of .531, and the Sig of .000, which is lesser than the critical value, there
is a significant positive correlation between On the Job Training and employees Performance.
Therefore, it implies that on the job training is a key determinant of employee performance. In
addition to this, the research showed with the Pearson Correlation of .409, and the Sig of .000,
which is lesser than the critical value, there is a significant positive correlation between
orientation and Job Performance. Therefore, orientation is a key determinant of effective
performance.
Based on the research paper conducted in Private Insurance Sector, Coimbatore District of India,
the result indicated that the training improves the performance / productivity of employees.
There is a significant increase in the employee 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%. The highest level of employee’s productivity increase is 78.6%
from 50%-75% to 75%-90%. The next highest percentage is 65.2% from below 50% to 50%-
75%.50% of the employees have not shown any improvement in their productivity. They remain
in the same percentage of productivity 90% - 100% (Anitha and Kumar, 2016).
(Abdul Hameed and Aamer Waheed, 2011) made a survey research in Hotel Industry of Pakistan
titled “Impact of Training on Employee’s Development and Performance in Hotel Industry of
Lahore, Pakistan” the Outcome of the research shows that 70% hotel employee feel that the
training program actually helps them to develop more and they can work more efficiently and
has an interest in the work. Hotel organization which is selected for the study 75% respondents
said that training programs improve the actual performance and the basic need of the training
program is actually been notice by the performance appraisal. Training actually is a very helpful
and survey shows 78% are agreed.
The objective of the research is to study about the effect of training towards employee
performance. After consider the research question, objectives and review of literature, the
25
variables of the study are identified. The framework was formed to shows the variables and this
theoretical framework helps us to see clearly about the relationship between independent
variables and dependent variable.
There are basically four independent variables and one dependent variable in the research. The
independent variables are Induction Training, Technical Skill Training, Customer Service
Training and Change Management Training, whereas the dependent variable is employee
performance. These variables might be the key factors in affecting employee performance and
hence the framework also shows the directions of the study.
Source: Adapted from (Adesola, 2017) and developed from the research literature review
26
CHAPTER THREE: RESEARCH DESIGN AND METHODOLOGY
The name Arbaminch derived from "Forty springs" the town is 505 km South West of Addis
Ababa and 275 km from the SNNPRS capital Hawassa. Arbaminch is the perfect setting to see
the region’s wildlife. In the town numbers of Hotels are providing Hospitality service. Namely
Paradise Lodge, Mora Heights Lodge, Bekele Molla Hotels, Zebib Pension, Ezan Hotel, Emerald
resort, Haile Resort, Adika Lodge, Rames Hotel, Tourist Hotel and others.
Paradise Lodge owned and operated by private limited business entity, which was opened in
Ethiopian Millennium, 2008. The lodge located in the perched on a hilltop overlooking Abaya
and Chamo Lake in Arbaminch Town. Currently, the lodge named after the most known lodging
industry in the region as well as in the country. In 2015 the lodge has got award for the best eco-
friendly lodge in Ethiopia. In the consecutive year 2016 the paradise lodge Arbaminch has won
the Ethiopian Quality Award (EQA). The Lodge stuff 189 employees (Omotic General Trading)
(OGT, 2016).
The property has 123 Guest rooms, 2 Restaurant, and provides a full range Service; like Guest
Rooms, Food and Beverage service, Room Service, Mini bar service, 24 Hrs. Front Desk Service
with concierge service to provide guest information and guidance, Laundry service, Recreation
service, shuttle service, car and Boat rent service, Meeting and conference facilities. Since the
operation has started the lodge leading the local market with lion share, with annual occupancy
of 85%, ADR 75 Dollar. In the coming five years the lodge plan to open two more Branches in
Turmi- Omo valley and Goffa-sawla town.
The study is a cross sectional research in which data was collected from total population. The
questionnaires were administered personally by the researcher to the respondents. The Human
Resource Manager provided some of the information needed. Documents on training practice
from paradise Lodge were also reviewed. The reason for choosing this design is that the study
uses snap shot data for analysis, the adapted instruments which used for data collection were
valid which is used in other areas for similar study and this method was also timelier in
providing information.
27
3.3 Research Approach
These survey studies were employee both quantitative and qualitative (mixed) data. Survey
design was more appropriate to this research, which incorporate pretested and structured
questionnaire for all participants, and semi structured open-ended questionnaire for in-depth
interview for human resource manager and employees of the lodge.
All employees of Paradise Lodge are considered in the study, comprising Front office
department, Food and Beverage department, Housekeeping and Laundry department and finance
and Administration department.
The study did not use any sampling technique which uses census since the total population is
small number and it is manageable to collect the data from whole targets by the researcher.
According to the Paradise Lodge Organizational Structure 189 employees are enrolled with
permanent contract. These employees are grouped in to 4 main departments: The Front Office
Department, Food and Beverage Department, Administration and Finance Department,
Housekeeping and laundry Departments. Every department has its own manager which is
responsible for the smooth operation in the unit. Accordingly, departmental managers are
reported to the Deputy Manager of the Lodge.
The data for this research work was obtained essentially from primary source. The researcher
traces the history of paradise Lodge and its role of training and development over the years. The
purpose of the questionnaires was to investigate the awareness of the various training programs
and the role the various training plays in improving employee performance.
28
Primary data was also sourced from semi-structured personal interviews conducted. There was
also a brief interview with the human resource manager. These interviews were also intended to
provide general perception on how paradise lodge has traditionally dealt with issues of training
and development.
Induction training: Induction Training is absolutely vital for new starters. Good induction training
ensures new starters are retained, and then settled in quickly and happily to a productive role.
Induction training is more than skills training. It's about the basics that seasoned employees all take
for granted: what the shifts are; where the notice-board is; what's the routine for holidays, sickness;
where's the canteen; what's the dress code; where the toilets are. New employees also need to
understand the organization’s mission, goals, values and philosophy; personnel practices, health and
safety rules, and of course the job they're required to do, with clear methods, timescales and
expectations.
Technical Training; Technical Skill Training is training is dully a departmental training and this
training is done to properly familiarize employee with the routine works in the department. This
training is done in different department daily or weekly, depending on the department. Hotels
employ front-desk staff, housekeeping staff, restaurant staff, managers, and sometimes porters,
event planners, and a concierge, depending on the type of hotel. Most of these positions require
29
excellent customer service skills, attention to detail, team work, and good personal grooming.
Creative problem-solving (because travelers sometimes have unexpected problems) and a
thorough knowledge of local resources and attractions are important as well.
Customer service training; Customer Service Training- This training enables staff to give guests
satisfaction. Guest satisfaction is a key factor to success in the hotel business. This training is
more legible to those who are working in the area of front of the office. The training may cover;
communication skill, customer handling (complaint handling), product knowledge, sales and
marketing, greetings, identifying the guest need and wants and others.
Change Management training; Change management Training is training is more given to the top
and middle management employees. The training is handed by the outsiders training
professionals and it is more formal session will be used. The component of this training Program
is to deliver Knowledge about business environment, management principles and techniques,
human relations, specific industry analysis and the like for better management of a company.
Dependent Variable
1 Employees performance Y
Independent Variables
30
3.7 Research Instrument
A questionnaire for this research was administered to 189 employees; this questionnaire was
adapted from (Adesola 2017 and Angela 2014) after discussions with the human resource
manager of the lodge. The items were subsequently edited and vigilantly selected bearing in
mind the research questions.
The questionnaire was in 4 parts. Items 1-5 was expected to provide answer to basic
demographic data such as gender, age, educational qualification, years of employment, and
department. Section two Items 6-10 was expected to provide answer, if the employee has
undergone any training, the form of training, if the training helps the performance, how the
training is relevant to the current work and how often the training is undergone. Section Three
was to sought positive/negative information on how the various training types have affected the
employees’ performance. Finally, section four is the interview made with the human resource
manager. The items were basically to throw detailed information on the training practice of the
lodge. The questionnaire greatly helped the researcher in his data analysis. Other minor tools
used were personal interviews, occasional conversations and direct observation.
In order to ensure logical completeness and consistency of responses, Data was analyzed
quantitatively. Quantitative data analysis was done by the use of SPSS version 20 software. The
technique for quantitative data analysis was the frequency distribution, percentages, correlation
and regression which were used to determine the proportion of respondents choosing the various
responses.
This questionnaire was adapted from (Adesola 2017 and Angela 2014). The items were
subsequently edited and vigilantly selected bearing in mind the research questions. In order to
measure the attributes of interest, the researcher examine that the underling theory of the study
has a strong conceptual basis and be based on well-validated constructs, consulting subject
matter experts in the area like research advisor and human resource manager at paradise lodge
and the instruments were used by other researchers.
31
3.10 Reliability Test
To maximize the reliability of the questionnaire the researcher conducted an initial survey of
30the lodge staffs. To measure the reliability of the constructs the researcher conducts internal
consistency reliability using Cronbach alpha. The Cronbach alpha coefficient of the factors is
displayed in the above table. The result shows that there is high internal consistency among the
variables, so the dimensions are sufficient to measure the constructs.
The Lodge management and Employee are clearly communicated the purpose and aim of the
study. The participants are participating in the research on their own willing. Moreover, the
respondents are notified not to disclose their names; and also assured anonymity of data. This is
order to secure the consent to the study.
32
CHAPTER FOUR: DATA ANALYSIS AND INTERPRETATION
This chapter is concerned with the analysis of the data obtained from the field. The first part of
the analysis is limited to the socio-demographic variables of the respondents. The second section
is devoted to the discussion of the actual views expressed by the respondent concerning the study
objectives.
Data gathered through questionnaire are presented, analyzed and interpreted using mean,
standard deviation, percentages and frequencies with the help of Statistical Package for Social
Science (SPSS) version 20. To collect relevant data, 189 questionnaires were distributed to
employees of the Paradise Lodge. Among the questionnaires distributed to employees, the
researcher collected 185 properly filled questionnaires. Four (4) questionnaires missed because
in one hand some of them were incomplete on the other hand respondents failed to return back
their filled questionnaire to the researcher. According to the organized questionnaires, the
researcher produced the following analyses.
This study was considered all employees for data collection, thus employees are 189. Therefore,
the questionnaires were distributed to the total population and 185 were returned back. The rest 4
of them were not returned. As can be noted from table 4.1, 18 employees were from Front
Office department, 55 employees were from Food and Beverage department, 51 employees were
from Housekeeping and laundry department, and 61 employees were from Administration and
Finance department participated in the study.
33
4.2 Descriptive Analysis
4.2.1 Socio demographic Characteristics of Respondents
The social demographic information examined from the target respondents by apply the
frequency analysis which consist of types of age, gender, educational status, departments of the
employee and number of years worked in the lodge. The section one of the survey questionnaires
included the demographic profile for obtain the data from the target respondents. The results
from the frequency analysis are shown as below.
Gender plays an important role in some occupations like in the Hotel Industry among others.
this type of occupation is predominantly female and that male is very few. (Garbiel and Asibey ,
2012) In this wise, the study found it appropriate to find out the sex distribution of the employees
in paradise Lodge. This study indicated that both sexes were represented. However, moderately
the male respondents were high, which formed (50.8%) of the total respondents with females
representing (49.2%). Table4.2 below shows the sex distribution of the respondents who were
reached by the questionnaire.
34
Regarding age (Table 4.3), the majority of the respondents (30.8%) were within the age category
of less than 26-35 years old and the second (28.6%) were within the age category of 18-25. The
remaining 21.1%, 11.4%, and8.1% were found in category of 36 -45, 46 –55, and greater than 55
respectively.
The information in the below is a positive one to the Lodge since hotel and restaurant business
stands in a competitive and fast changing environment, young employees from 20 – 26 are to a
large extent recruited to work in the industry (Garbiel and Asibey , 2012). The young employees
are able to adjust to new environment quickly and easily especially in this technological era of
business.
The majority (25.9%) of the respondents are TVET Graduates followed by 20.5% of the
respondents are 10th grade completed.20% of respondents are 12th grade completed, 18.9%
College diploma and 14.6% of respondents are with first degree (Table 4.4). the training process
should pass the most crucial steps due to make the deal effective. Among the training process
training Need design is more associated with the learners’ ability to learn (Torrington, 2002).
Learners must possess basic skills, such as fundamental reading and math proficiency, and
sufficient cognitive abilities.
In this wise, the study found it the academic status of the lodge is not well planned. The property
is discovering that some workers lack the requisite skills to comprehend their training. Some
35
have found that a significant number of current employees lack the reading, writing, and
Arithmetic skills needed to learn the jobs.
With regard to work experience (Table 4.5), the largest group of the respondents (34.6%) has
been served the company for 4-6 years. The second group (33.5%) has a working experience of
1-3 years; and the remaining 31.9% of the respondents worked for 7-10 years.
According to the human resource department report the lodge has counted 8% employee
turnover in the 2017 budget year. The major reason to the employee’s turnover is due to better
payment offer to the other hotels and most employees are fail to follow the hospitality code of
ethics that must be ruled in the lodge (PLA, Annual Report , 2017).This study did not examine
the relationship between training and employee turnover, however researches revealed that lack
of proper or poor training brings out high employee turnover and the delivery of substandard
product and service (Alison, 1990).
36
Table 4.6 depicts that the highest number of respondents were from Administration and Finance
represented (32.27%), the food and beverage department is 30.68% and 27.51% is from
Housekeeping and laundry. The remaining 9.52% were Front office employees.
The paradise lodge’s human resource profile organized based on the work load in the
departments. The Administration and finance departments staffed all the Back office employees.
The Back of the House imparted with Finance, Gardens, Security, Derivers, and others who are
not directly give service to the customers. The second large number of employee in the lodge
belongs is the Food and Beverage department. The department includes the food and beverage
service crew and the kitchen crew.
The following variables about the respondent’s Training Activities were summarized and
depicted in the succeeding tables. The variables include the attendance of training, how much the
employees are attended on the training, what form of training taken by the respondent, how
training is important to the current job and the relevance of training to the career development.
The training practice in the paradise lodge has been working to address majority of employees.
Most of the employee either attend the formal or in formal training. At minimum cost all
employees have got induction training during hiring phase (Table 4.7). According to the human
resource manager interview both fresh graduates but also experienced employees elsewhere are
called for training because the management believed these employees could not have a complete
knowledge about the hospitality work products and services. And the manager told that the
lodges allocate a regular budget to the training program hence all employees shall call to training
at regular basis.
37
4.3.2 Number of Training Program Attended
As can be noted from the (table 4.8), Employees have attended more training (2-3 times and 4-6
times) 29.7%, other employees attend training 20.5 % for 1 time, and remaining employees are
attending training for several times 20%.
Both on-the-job and off-the-job methods of training and development have been applied in the
lodge training management system. (Table 4.9) Most of the respondents (75.7%) have taken on-
the-job training which is conducted in the work places, (14.1%) have taken off-the-job training.
According to the human resource manager confirmation, off the job training is conducted outside
the workplaces and were given by the tourism and hotel bureau of the SNNPR. The management
team has been trained in different training associations like leadership school. (10.3%) replied
that they have taken both methods. The data implies that the company predominantly used on-
the-job training method over the other.
In the lodge training and management culture induction training is very common and mandatory
for all new entry. The line staffs like Front office, Housekeeping and Laundry, Security and
38
Waiters are getting technical skill training and customer service training through on the job
training. On top of this the human resource manager told that most customer focused and skilled
based trainings were provided by senior managers on which the former was lecture type while
the latter was practical. Governmental training institutions and other private hospitality
consulting firms were used for management training and development programs. In addition,
conferences were used to acquaint employees with improved working guidelines, government
rules and regulations. More over the management members of the lodge used to position to job
rotation method to build the supervisor capacity.
All employees shall gate orientation before the daily shift began the routine operation; the
employee may have briefed the number of customer expected to arrive, the meal menu, the
rooming arrangement, the special occasions and every details must be told to the employee.
Based on the respondents (Table 4.10) the interview made with the human resource manager
training is very important for such hospitality industry. In paradise, Training and development
programs were initiated when new Employees hired, existing employee need improved
knowledge and skill, and problems in employees’ job performance were realized.
On the above section (4.1, 4.2 and 4.3) descriptive data analysis were used. Here in below
section of the study mean and standard deviation were used to calculate the interval scale of
independent variables (Induction/ New Hire training, Technical skill training, customer service
training and change management training) and dependent variable (employee performance).
39
The questions related with both the dependent and independent variables were prepared using a
Likert scale. Total number of 20 items in questionnaire are being measured by apply Likert scale
which also known as five-point interval scale. Likert scale rating from Strongly Disagree to
Strongly Agree, where: 1 indicates Strongly Disagree (SD), 2=Disagree (D), 3=Neutral (N),
4=Agree (A) and 5=Strongly Agree (SA).
To examine the Relationship between training and employee performance dimensions every
variable according to the response of the study, means and standard deviations for the
independent variables (induction training, technical skill training, customer service training,
change management training) were calculated. According to (saeed, 2006). Likert scale is
interpreted as follows;
40
score 4.43 with standard deviation of 0.459 it is within the range of 3.4 to 4.20. This implies that
most of the respondents were agreed on the induction training has enhance job performance.
Although Respondents were asked the New Hire Orientation training received is relevant to the
area of operation. The result of the study shows mean score 4.56 with the standard deviation 0.51
it is within the range of 3.4 to 4.20. This implies that most of the respondents were agreed
induction training is relevant to the work area.
Respondents were asked New Hire Orientation training is necessary to understand the work
environment. The result of the respondents shows mean score 4.43 with standard deviation 0.49
it is within the range of 3.4 to 4.20. This implies that most of the respondents were agreed on
subject matter.
Furthermore, respondents were asked the New Hire Orientation training is necessary in Paradise
Lodge. The result of the response shows mean score 4.48 with standard deviation 0.53; it is
within the range of 4.2 to 5.00. This implies that most of the respondents were strongly agreed on
new Hire Orientation training is necessary in Paradise Lodge.
Std.
Mean
Technical Skill Training Items N Deviation
I am more willing to take new tasks due to staff
185
trainings. 4.32 0.61
My training within the organization now gives me the
185 4.4
necessary skills to work in tasks from start to the end. 0.73
Employee trainings at Paradise Lodge impart skills on
185
long term thinking. 4.47 0.55
Technical Skill Training has really achieved its
185
objective. 4.48 0.52
Average Mean 4.41
Source: own survey, 2018
According to Table (4.13) above depicts the level of agreements of the respondents towards
about Technical Skill Training to the performance. The values of standard deviations in the
above table indicate the variation of the response of employees regarding technical skill training.
41
According to the Table on the above it has shown the respondents opinions regarding the
technical skill training towards to employee performance. on the statement of “I am more willing
to take new tasks due to staff trainings” the mean scored 4.32 and the standard deviation is 0.61.
Whereas on the statement of “My training within the organization now gives me the necessary
skills to work in tasks from start to the end” the results indicate mean 4.4 and the standard
deviation 0.73.
On the statement of “Employee trainings at Paradise Lodge impart skills on long term thinking”,
the mean counts 4.47 and the standard deviation is 0.55. According to the result most employees
are strongly agreeing to the subject.
Respondents were asked Technical Skill Training has really achieved its objective. The result of
the respondents shows mean score 4.48 with standard deviation 0.52 it is within the range of 4.2
to 5.00. This implies that most of the respondents were strongly agreed on Technical Skill
Training has really achieved its objective.
Std.
Mean
Customer Service Training Items N Deviation
Staff trainings at Paradise Lodge enhance my commitment to
taking the initiative in helping other employees when the need 185 0.52
arises. 4.47
I now enjoy good relationships with my coworkers courtesy
185
of staff training. 4.58 0.5
After my training at work, I now enjoy good relationships
185 4.41
with the organization customers. 0.49
Customer Service training programmer is relevant in my area
185 0.51
of Operation. 4.49
Average Mean 4.4875
Source: own survey, 2018
According to (Table 4.14) above depicts the level of agreements of the respondents towards
about customer service training to the performance. The values of standard deviations in the
above table indicate the variation of the response of employees regarding customer service
training.
42
According to (Table 4.14) it has shown the respondents opinions regarding the customer service
training towards to employee performance. On the statement of “Staff trainings at Paradise
Lodge enhance my commitment to taking the initiative in helping other employees when the
need arises” the mean scored 4.47 and the standard deviation is 0.52.
Whereas on the statement of “I now enjoy good relationships with my coworker’s courtesy of
staff training” the results indicate mean 4.58 and the standard deviation 0.50.
On the statement of “After my training at work, I now enjoy good relationships with the
organization customers”, the mean counts 4.41 and the standard deviation is 0.49. According to
the result most employees are strongly agreeing to the subject.
According to (Table 4.15), it has shown the statement of “Staff training at Paradise Lodge has
improved my willingness to accept change” has the value of mean 4.25 and the value of standard
deviation, 0.66. As the result indicated that the respondents are strongly agreed on the staff
training in the paradise lodge has improved willingness to accept change.
43
On the statement of “I am more willingness to take new task due to staff training”, the mean counts
4.43 and the standard deviation is 0.76. According to the result most employees are strongly
agreeing to the subject matter.
Respondents were asked “After undergoing staff training, I now can work on important task.” The
result of the respondents shows mean score 4.51 with standard deviation 0.53 it is within the
range of 4.2 to 5.00. This implies that most of the respondents were strongly agreed on changes
been shown after training.
Whereas on the statement of “I am now more inspired to meet my goal at work due to staff training.”
The result of the respondents is mean 4.5 and the standard deviation 0.52. The majority of
employees are rated on “strongly agree” to the subject matter.
Std.
Mean
Employee Performance Items N Deviation
With trainings, I am completely focused on my work. 185 4.54 0.5
All the various trainings I have received enhanced my competence
at the job 185 4.57 0.5
Staff training at Paradise Lodge has made feel completely
185
involved in my work. 4.44 0.49
Employee training has contributed to higher productivity In
Paradise Lodge 185 4.5 0.52
Average Mean 4.5125
Source: own survey, 2018
Employee performance is done regularly in the lodge. The human resource said that the
employee performance is measured by different techniques; like personal grooming, interaction
with employee and customers, customer’s reference. And the lodge used the measurement format
which is filled out by the right supervisors. Based on the score employees are awarded every
year on the title of “Hospitality Champion”.
The above (Table 4.16) shows that, mean of “with trainings, I am completely focused on my
work” is 4.54 and the standard deviation is 0.5, where mean of “all the various trainings I have
received enhanced my competence at the job” is 4.57 and the standard deviation is 0.5. Again, mean
of “Staff training at Paradise Lodge has made feel completely involved in my work” is 4.44 and
44
the standard deviation is 0.49, where mean of “Employee training has contributed to higher
productivity in Paradise Lodge” is 4.5 and the standard deviation is 0.52.
From the above descriptive analysis, it represents that the mean of each variable is more than 4.2
Again, from the descriptive analysis of the data, it shows that standard deviation for each
variable is less than 1. This implies that most of the respondents were strongly agreed on
employee performance.
Table 4 17 the rule of Thumb for Interpreting the Size of a Correlation Coefficient
Pearson’s Product Moment Correlation Coefficient was used to determine the following
relationships:
So as to determine whether there are significant relationships between the trainings and
employee performance, Pearson’s Product Moment Correlation was computed. Hence, Table
45
4.18 below presents the results of Pearson correlation on the relationship between different
trainings and employee performance.
Independent
PERFORMANCE
Variables
INDUCTION Pearson Correlation 0.644
TECHNICAL Pearson Correlation 0.448
CUSTOMER Pearson Correlation 0.526
CHANGE Pearson Correlation 0.501
PERFORMANCE Pearson Correlation 1
According to the (Table 4.18), there is a significant positive relationship between induction
training and employee performance (r=.644, p< 0.01). According to Hinkle, Wiersma and Jurs
(2003) magnitude of correlation/relationship between the two variables was moderate. This
implies induction training have moderate and positive level of correlation with employee
performance.
According to the (Table 4.18), there is a significant positive relationship between technical
training and employee performance (r= 0.448, p< 0.01). According to (Hinkle, Wiersma, & Jurs,
2003) magnitude of correlation the relationship between the two variables was low. This implies
technical training have low and positive level of correlation with employee performance.
According to the (Table 4.18), there is a significant positive relationship between customer
service training and employee performance (r= 0.526, p< 0.01). According to Hinkle, Wiersma
and Jurs (2003) magnitude of correlation the relationship between the two variables was
46
moderate. This implies customer service training have moderate and positive level of correlation
with employee performance.
According to the (Table 4.18), there is a significant positive relationship between change
management training and employee performance (r= 0.501, p< 0.01). According to Hinkle,
Wiersma and Jurs (2003) magnitude of correlation the relationship between the two variables
was moderate. This implies change management training have moderate and positive level of
correlation with employee performance.
More overly, there exist positive and significant relationship between Induction training,
Technical Training, Customer service training and Change management training and employee
performance.
Several diagnostic tests of multiple linear regression assumptions were conducted to ensure the
goodness of fit of the model. These assumption tests include sample size, normality, multi-
collinearity, homoscedasticity, linearity, and independence of residuals. Checking these test
results is mandatory before conducting multiple linear regression analysis.
The most straightforward thing to do is to plot the standardized residuals against each of the
predictor variables in the regression model (appendex 3). If there is a clear nonlinear pattern,
there is a problem of nonlinearity. Thus, The residual versus predictor variable plot at
appendex3 do not indicate strongly a clear departure from linearity. The smoothed line is close to
47
the ordinary regression line. Overall, they don't look too bad and we shouldn't be too concerned
about nonlinearities in the data.
One of the main assumptions for the ordinary least squares regression is the homogeneity of
variance of the residuals. If the model is well-fitted, there should be no pattern to the residuals
plotted against the fitted values. If the variance of the residuals is non-constant then the residual
variance is said to be "heteroscedastic." The presence of heteroscedasticity mostly problem of
cross-sectional data, were checked by the residuals plot against fitted values (Appendix 3) test
indicates that the regression of the residuals on the predicted values reveals insignificant
heteroskedasticity.
When there is a perfect linear relationship among the predictors, the estimates for aregression
model cannot be uniquely computed. The term collinearity implies that twovariables are near
perfect linear combinations of one another. When more than twovariables are involved it is often
called multicollinearity, although the two terms areoften used interchangeably.
The primary concern is that as the degree of multicollinearity increases, the regressionmodel
estimates of the coefficients become unstable and the standard errors for thecoefficients can get
wildly inflated. inorde to detect multicollinearity, We can use the vif command after the
regression to check for multicollinearity. Vif stands for variance inflation factor. As a rule of
thumb, a variable whose VIF valuesare greater than 10 may merit further investigation.As a
result, all quantitative explanatory variables are included in the model (Appendix 7 ) free from
Multicollinearity problem, because the tolerance is more than 0.1 and the value of VIF is less
than 10.
The Durbin-Watson statistic value ranges from 0 to 4. As a general rule according to the
acceptable range of Durbin-Watson 1.5 to 2.5. Appendix 4 shows the SPSS output value of
Durbin-Watson is 1.532; this indicates that there is no correlation between the residuals. As it is
clearly stated in the above, the five step-by-step pre-model fitting assumption tests were found to
be satisfactory.
48
To test the hypothesis, it was deemed appropriate to use multiple linear regression estimations
for testing the proposed hypothesis since multiple linear regression refers to an analysis
concerned with the study of the dependence of one variable, the dependent variable on more
other variables, the independent variables, with a view to estimating and/or predicting the
(population) mean or average value of the former in terms of the values of the latter (Bryman and
Bell , 2003)
Due to the existence of positive and significant relationship between Induction training,
Technical Training, Customer service training and Change management training and employee
performance, it was necessary to establish the strength of the predictive relationships between the
variables. In line with the existence of significant associations amongst the constructs, regression
analysis was conducted in order to examine the correlation more closely and to examine the
effects of the independent variables on the dependent variable. In order to determine the extent to
which the explanatory variables explain the variance in the explained variable, multiple
regression analysis was performed.
From the model summary in (Table 4.19), The value (R=0.790) is the multiple correlation
coefficient between independent variables Induction training, Technical Training, Customer
service training and Change management training and a dependent variable namely employee
performance.
The Value of R square is a measure of how much variability in the outcome is accounted for by
the independent variables. The result shows that a value of R square is 0.790 which implies that
79 percent variation was caused by the considered independent variables. 0.625 R square value
means that 62.5 percent of the total variation in the dependent variable is explained by the
independent variables: Induction training, Technical Training, Customer service training and
49
Change management training. In other words, 37.5 percent of the variation in employee
performance cannot be explained by these four independent variables.
The value of adjusted R square i.e. .0.616 gives some idea of how well the model generalizes and
ideally one would like its value to be the same, or very close to, the value of R square. In the
present study, the difference between the values of R square and the adjusted R square is .625-
.616 = .0.009 (about 0.9 percent). This shrinkage means that if the model was derived from the
population rather than from the sample, it would account for approximately 0.9 percent less
variance.
The standard error of the estimate is a measure of the variability of the multiple correlations.
Therefore, as shown in the model summary for the regression analysis table above, the standard
error of the estimate of this model is .14958. This implies that the variability of the multiple
correlations is as much as this numeral.
Positive and significance of all values shows that model summary is also significant and
therefore gives logical support to the present model. The model is statistically significant or the
p-value for the model is less than (0.01). This means the fitness of the model in explaining
employee performance is influenced by the independent variables considered.
Sources: Calculated from own Suvey, 2018 (Significant at 5%, emplyee perormance as
dependent variable)
50
training and a dependent variable employee performance. The beta values tell what degree each
independent variable affects the outcome if the effects of all other predictors are held constant.
Each of the beta values has an associated standard error indicating to what extent these values
would vary across different samples, and these standard errors are used to determine whether or
not beta value differ significantly from zero. The t-test associated with b-value is significant (if
the value in the column labeled Sig. is less .05) then the predictor is making significant
contribution to the model. The smaller the value of the sign, (The larger the value of t), the
greater the contribution of that predictor. For this model, Induction training (β= .448, p<.01),
Technical Training (β = .207, p<.01), Customer service training (β = .288, p<.01), and Change
management training (β =.183, p<.01).
We can use the standard deviation of this distribution (known as the standard error) as a
measure of the similarity of beta-values across the sampled channel members. If the standard
error is very small, then it means that most samples are likely to have a beta-value similar to the
one in our sample (because there is little variation across sampled (Sekaran, 2004). Results
showed that there was a statistically significant effect for four independent variables Induction
training (β= .448, p= 0.00), Technical Training (β = .207, p=.003), Customer service training (β
= .288, p=0.00), and Change management training (β =.183, p=0.009) on the dependent variable
(employee performance).
Beta values were calculated to examine the individual contributions of the independent variable
towards dependent variable. It was calculated by relating independent variable towards
dependent Variable. It was calculated by relating variable jointly with independent variable, and
also t-value was calculated to know the significance of the level of the independent variables to
be explained individually. T-value in this model was calculated by taking each independent
variable separately with dependent variable. As the model clearly shows, t-values in all cases
support the hypothesis of the study according to statistical rule which says, if t-value is greater
than two (2), then hypothesis can be accepted (Bryman and Bell , 2003).
To compare the different variables, it is important that you look at the standardized coefficients,
not the unstandardized ones. Standardized‟ means that these values for each of the different
variables have been converted to the same scale so that you can compare them. If you were
51
interested in constructing a regression equation, you would use the unstandardized coefficient
values listed as B (Pallant, 2016).
The standardized coefficients are the coefficients which explain the relative importance weight
(RIW) of explanatory variables. These coefficients are obtained from regression after the
explanatory variables are all standardized. The idea is that the coefficients of explanatory
variables can be more easily compared with each other as they are then on the same scale. The
larger the standardized coefficient, the higher is the relative importance and contribution of the
factor to the employee performance.
Induction training (β= .448, p<.01), Technical Training (β = .207, p<.01), Customer service
training (β = .288, p<.01), and Change management training (β =.183, p<.01).
4.7.3 Interpretation
52
CHAPTER FIVE: SUMMARY, CONCLUSION AND
RECOMMENDATIONS
This research looked at the study of “The Effect of Training on Employee Performance; the case
of Paradise Lodge Arbaminch”. The methodology used is cross-section research design.
Furthermore, the data collection was made based on the questionnaires from all employees and
interview made with the human resource manager. The population size was 189 employees.
Based on the data presented and analyzed in chapter four of this study, the following conclusion
and recommendations are drawn.
Based on the general characteristics of the respondents 50.8% are males. Majority of respondents
are in the age of 26-35. The educational status of the employees is 25.9 % TVET are graduates,
10th grade graduate 20.5%, 12th grade graduates are 20%, diploma graduates 18.9% and only
14.6 of respondents are first degree graduate. The work experience in the company, 33.5% of the
respondents is worked for 1-3 years and the 34.1 % of the respondents served the company for
the 4-6 years. The majority of employees are stuffed in the Administration and Finance
department.
All employees are eligible to the company’s training program. The result on the numbers of
training shows that, the 20.5% employees were attended the training for 1-3 times, 29.7% for 2-3
and 4-6 times and 20% employees were attended the training for several times. Regarding the
methods of training caring out in the company, on the job training is more dominant. The 75.7 %
employees were given on-the-job training. 14.1% employees are attending off the job training
and remaining 10.3% of employees are attended both methods of training.
Regarding the relevance of training employees are considered training is relevant to the current
job. Based on the responses from the descriptive statistics on variables of the study, the
independent and dependent average mean values are induction training is 4.48, technical skill
training is 4.41, customer service training is 4.48, and change management training is 4.405 and
4.51 for employee performance. Most of the respond employees are agreed on the positive
questions of the questioners. Therefore, this has implication to the lodge that different kinds of
training have good relationship with employee performance.
53
The finding reveled that training positively influence employee performance in paradise lodge
Arbaminch. There is positive relationship between induction training and employee performance
r=0.644, technical skill training and employee performance r=0.448, customer service training
and employee performance r=0.526 and change management training and employee performance
r=0.501.
Moreover, training is considered as one of the core strategies of the organization for its
effectiveness. As
Hospitality industry is a well-trained organization, the basic aim of the study was to explore
“effects of training on employee performance” for this purpose, a case study paradise Lodge
Arbaminch was taken to examine its effectiveness. It was a superb learning period during in
writing this research paper “effects of Training on the performance of employee”.
Applying Statistical techniques and interpreting the collected data it was identified the significant
strong relation between Training program and employee performance. The study has revealed
that maximum numbers of respondents were regularly participating in training programs
conducted in lodge. Overall the study observed that lodge is very much focused for training and
development of its employees; which is healthy activity for both employees and for the
organization. Most of the employees were engaged, motivated and satisfied to work in the lodge.
Therefore, the employee has gained exceptional changes on their job performance after being
trained.
5.2 Conclusion
The induction training which is provided to new employees by the Paradise lodge in order to
assist in adjustment to their new employees has a crucial role for improving the performance of
the employees with making employees familiar with new work environment and the people
working around them.
The technical Skills Training improves the employees’ performance at paradise lodge by
providing knowledge and relevant skill required to perform the job. And also support the
organization when organization undergoes a major restructuring in terms of the systems and
processes used.
54
Customer service training advances the knowledge, skills, and competencies required to
increase customer satisfaction at paradise lodge which leads to increase in employee’s
performance through taking care of the customer's needs by providing and delivering
professional, helpful, high quality service and assistance before, during, and after the customer's
requirements are met.
Change management training play a significant positive role in advancing the employees
performance for the purpose of structured approach to transitioning individuals, teams, and
organizations from a current state to a desired future state, to fulfill or implement a vision and
strategy. This training has a significant contribution for top and middle level managers in the
lodge.
5.3 Recommendations
Based on the findings, the following recommendations have been forwarded to alleviate the
problems and keep up with the strengths.
The lodges must maintain the induction training practice to the new entrée employees. And the
training should be supported with training aids like pictures, Audio visual materials, and
customer’s experiences. On top of this the lodge should give English language training for
employees at new hire stage. Finally, it is better if the lodge share the induction training practice
experience for other service providing sectors in the town.
The lodge could also provide an advanced technical training for its employees since it improves
their efforts for further duties and responsibilities outside the lodge. And also the lodge should
provide equipped training demonstration center for training practice.
The lodge should also update the customer service training regularly before complaints and
suggestion are raised from customers since the hotel/hospitality industry is dynamic and highly
exposed for new customer service techniques.
The lodge must conduct training need assessment before providing change management training
which support for advancing employee’s performance and for easily understanding the skill and
knowledge gap of the employees. In addition to this the lodge needs to formulate the training and
development unit under the Human resource department. The unit can roll all the responsibilities
that are related to the training and development subjects.
55
5.4 Directions for Future Study
The study only focused on the Paradise Lodge Arbaminch employee’s. Other studies on different
populations and with many Hotels would be welcome to ensure strong empirical conclusions on
how training effect on employee training.
Considering the limitations of this study in only one Lodge in the hospitality industry further
research should be carried out in other similar hotels and Future research can be carried out in-
depth using different mathematical models to further primary data collection method to collect
raw data. Other researchers may have better ways of addressing the same questions or other
issues related to performance management system.
Based on the study, the researcher suggests the following directions for future study.
56
References
Abdul Hameed and Aamer Waheed. (2011). Employee Development and Its Affect on Employee
Performance A Conceptual Framework. International Journal of Business and Social
Science , 224-225.
Aguinis, H. (2009). Benefits of Training. TheAnnual Review of Psychologyis online at, 451-600.
Albrecht. (1988, march 2). At America service:how your company can join customer service
revolution. New york: Warners Books. Retrieved from http://
Alison, B. (1990). The Business of Training, 2nd edition. New Jersey: Me, Graw Hill Book
Company.
Ameeq and Hanif. (2013). Impact of Training on Employee’s Development and Performance in
Hotel Industry of Lahore, Pakistan. Journal of Business Studies Quarterly, 77-78.
Angela, G. (2014). Effect of Training on Employee Performance; A case study of United Nations
Support Office for the African Union Mission in Somalia .
Anitha and Kumar. (2016). A Study on the Impact of Training on Employee Performancein
privateInsurance Sector, Coimbatore District. International Journal of Management
Research & Review, 1084.
Ashok, M. (2013, January ). Assessment of Training Needs For the Hospitality Industry : A Case
Study of Hotels In Rajasthan. South Asian Journal of Tourism and Heritage, 128-129.
Bardi, J. (2007). Hotel Front Office Management. New Jersey: Wiley & Sons, Inc.
Barrows, c. w. (2012). Introduction to Managment in the Hospitality Industry. New Jersey.: John
Wiley & Sons, Inc.
57
Begashaw, G. (2013). Human Resource Practice in Ethiopia: Bridging our CrossCultural
Understanding.
Bell, M. (2016, march 3). Elearning industry In french. Retrieved from 2011 -2018 elearning
industry: www.elearningindustryinfrench
Birhane, G. (2016, May). Addis Ababa University . Retrieved July 27, 2018, from
www.aau.edu.et./library/
Bitner. (2009). Building Service Relationship: its all about promises. New york: warner books.
Retrieved june 4, 2017
Blanchard and Thacker. (2014). Effective Training Systems, Strategies and Practices. New
Jersey: Prentice Hall.
Bryman and Bell . (2003). Business Research Methods. Oxford University Press.
Burleston and Grint. (1996). The deracination of politics: outdoor management development.
Management Learning, 187-202.
Chen, S. (2003). Research Methods for Business: A Skill Building Approach. usa: John Wiley &
Sons, Inc.
Chhabra. (2004). Human Resource Management: Concepts and Issues. New Delhi: Dhanpat Rai
& Co.
CTTI. (2015). Skilled Human Power in Hotel in Ethiopia Major Cities . Addis Ababa.
Dasgupta. (2010). Business and Management in India. New Delhi: Vikas Puplishing House.
Davis math., k. (1995). Training within the Organization. Cox & Wyman Ltd.
Decenzo and Robbins. (2007). Fundamentals of Human Resource managment 9th edition. usa:
Wiley.
Decker and Naten . (1985). Behaviour Modeling Training: Principles and Applications. NY:
Prager.
Dessler, G. (2007). Human Resource Management. (10th Ed). Prentice Hall Inc.
Drammond, k. (2008 ). how to conduct a training and needs analysis. Australia : Gull publishing
pty ltd.
58
Drummond, K. (2008). How to conduct a training Needs Analysis . Australia: Gull Publisher .
Engar Schein and Warren Bennis. (2013). Personal and Organizational Development through
group Methods. New York: John Wiley & Sons.
Ermias Kifle and Azmach Tensay . (2016). Tourism as Factor for the Presence and Continuation
of harm full traditional practices in hamer community, Ethiopia. European Journal Of
Hospitality And Tourism Research, 62-63.
Garbiel and Asibey . (2012). Training and its impact on performance of firms in the hotel
industry: in the case cesero Hotel. New York.
Gidey, A. (2016, June). Addis Ababa University . Retrieved July 27, 2018, from
www.aau.edu.et/library
Girum Legesse and Ayalsew Taye. (2009). Tourism Development Policy . Addis Ababa.
Hinkle, Wiersma, & Jurs. (2003). Applied Statistics for the Behavioral Sciences (5th ed.). Rule of
Thumb for Interpreting the Size of a Correlation Coefficient. Boston.
Jerris. (1999). Human Resources Management for Hospitality. New Jersey: Prentice Hall.
Jerris, L. A. (1990). Human Resource Managment for Hospitality . New Jersey : Prentice Hall.
King, D. (1968). Training within the Organization. Cox & Wyman Ltd.
Kothari, C. (2004). Reasearch Methodlogy Methods and techniques 2nd edition. New Delhi:
New age International Publisher .
59
LaBrecque and Clayton. (1996). Leadership styles . John Wiley and Sons, Inc.
maheshwari, a. s. (2013). Assessment of Training Needs For the Hospitality industry. SAJTH.
MBA skool. (n.d.). Retrieved July 26, 2018, from MBAskool: www.mbaskool.com
Nickson, D. (2007). Human Resource managment for the hospitality and tourism industries.
USA: Butterworth-Heinemann.
OGT. (2017, may 8). Annual Report. Retrieved may 5, 2017, from
www.paradiselodgeethiopia.com: http://www.paradiselodgeethiopia.com/index.
Pallant. (2016). Spss Surviva Manual Step by Step Guide to data Analysis Using Spss program
6th Edition. UK: MC graw - Hill Education .
Pareek and Udai. (2000). Training for organizational transformation. New Delhi: Sage
Publications.
Pareek, U. (2007). Training Instruments for HRD. New Delhi: Tata McGraw Hill.
Phillips, J. (1997). Handbook of Training Evaluation & Measurement Method. Texas: Houston
Gulf.
Raja Abdul Ghafoor, Furqan Ahmad and Muhammad Aslam . (2011). Impact of Training and
Development on Organizational Performance. Global Journal of Management and
Business Research, 1-7.
Raymond and Noe. (2010). Employee Training and development. new york: McGraw-Hill/Irwin.
60
Robbins, D. A. (2005). Fundamentals of Human Resource Management. United State of
America: John Wiley and Sons, Inc.
Robert . (2012). Managing Quality Service in Hospitality. Canada: Delmar, Cengage Learning.
Santos. (2013). Employee perceptions and their influence on training effectiveness. Human
Resource Management Journa, 27-45.
Sekaran. (2004). Research Methods for Business: A Skill Building Approach. 4th edition. New
York:: John Wiley and Sons, 2004.
Seymour, D. &. (2002). University Hospitality Education for International Managment: A case
of wasted opportunities. Journal of Hospitality, Leisure, sport & Tourism education, 48-
52.
Sharma and Tejinder. (2014). Managment Training and Development. Kurukshetra: ku.
Stephen and Gabriel Osei . (2012). Training and its Impact on Performance of Firms in the Hotel
Industry.
Susan, M. (2005). planing training program for hospitality. New Delhi: new age puplisher.
Trip advisor. (n.d.). Retrieved July 27, 2018, from Trip Advisor:
http://www.tripadvisor/paradiselodgeethiopia/guestreview
Vemić, J. (2007). Employer Training and Development and the Learning Organazation.
Economics and Organization, 4, 209-216.
61
Venkatraman and Ramanujam. (2014). Measurement of Business Performance in Strategy
Research: A Comparison of Approaches. The Academy of Management Review, 801-814.
Yibeltal, K. (2014, November 21). JAKENN Publishing P.L.C. . Retrieved July 12, 2018, from
http://www.addisstandard.com
Yoder, D. (2013). personel management and industrial relations. Prentice-Hall, inc; 6th edition
(1942).
Zapalska, A. (2002). Teaching Business Issue in Hospitality and Tourism Education. Journal of
Hopitality and Tourism, 29 -33.
62
Appendix 1: Research Questionnaires and Interview
Arbaminch University
The purpose of this questionnaire is to collect data in order to study the effect of training on
employee performance in Paradise Lodge. Kindly cooperate in filling the questionnaire as
genuine, complete, and timely. Besides, I would like to assure that the data collected using this
questionnaire is purely for academic requirement of MBA program and your responses will be
held anonymously.
N.B.
- No need of writing your name
- Please fill the answer by putting “√” mark and short answer on the space provided
- Kindly give more attention and return the completed questionnaire as much as possible
Thank you in advance for your cooperation!
Male Female
Gender ◻ ◻
Above
What is Your age? 18 -25 26 -35 36 -45 46 -55 55
◻ ◻ ◻ ◻ ◻
12th
What is your highest ◻ ◻ ◻
10th Grade Grade TVT Graduate
level of formal
First Master’s
education? ◻ ◻ ◻
Diploma Degree Degree
Name of department FO FB HK ADMN
◻ ◻ ◻ ◻
63
Have you ever Yes No
undergone any training ◻ ◻
in Paradise Lodge?
How many times has 4 -6 Several
1 time 2 -3 times
had training since you times Times
joined Paradise Lodge? ◻ ◻ ◻ ◻
Both
On the
What form does Job and
training at paradise Off -
lodge normally take? on -the-job Off -the- the-job
training job training training
◻ ◻ ◻
Training has helped in Yes No
improving your ◻ ◻
performance?
Strongly Neutral Agree Strongly
The training received is Disagree(2)
Disagree(1) (3) (4) Agree(5)
relevant to your work? ◻ ◻ ◻ ◻ ◻
SECTION THREE :- TRAINING AND PERFORMANCE
Strongly Strongly
Agree Neutral Disagree
Agree Disagree
(4) (3) (2)
(5) (1)
Induction Training
New Hire Orientation training has enhanced my job
1 ◻ ◻ ◻ ◻ ◻
performance
The New Hire Orientation training received is relevant to my
2 ◻ ◻ ◻ ◻ ◻
area of Operation
New Hire Orientation training is necessary to understand the
3 ◻ ◻ ◻ ◻ ◻
work environment
New Hire Orientation training is necessary in Paradise
4 Lodge. ◻ ◻ ◻ ◻ ◻
Technical Skill Training
I am more willing to take new tasks due to staff
1 ◻ ◻ ◻ ◻ ◻
trainings.
My training within the organization now gives me the
2 ◻ ◻ ◻ ◻ ◻
necessary skills to work in tasks from start to the end.
Employee trainings at Paradise Lodge impart skills on long
3 ◻ ◻ ◻ ◻ ◻
term thinking.
4 Technical Skill Training has really achieved its objective. ◻ ◻ ◻ ◻ ◻
64
After my training at work, I now enjoy good relationships
3 ◻ ◻ ◻ ◻ ◻
with the organization customers.
Customer Service training programmer is relevant in my area ◻ ◻ ◻ ◻ ◻
4
of operation.
Change management Training
Staff training at Paradise Lodge has improved my willingness
1 ◻ ◻ ◻ ◻ ◻
to accept change.
2 I am more willingness to take new task due to staff training. ◻ ◻ ◻ ◻ ◻
After undergoing staff training, I now can work on important
3 ◻ ◻ ◻ ◻ ◻
task.
I am now more inspired to meet my goal at work due to staff
4 ◻ ◻ ◻ ◻ ◻
training.
Employee Performance
1 With trainings, I am completely focused on my work. ◻ ◻ ◻ ◻ ◻
All the various trainings I have received enhanced my
2 ◻ ◻ ◻ ◻ ◻
competence at the job
Staffs trainings at Paradise Lodge have made feel completely
3 ◻ ◻ ◻ ◻ ◻
involved in my work.
Employee training has contributed to higher productivity In
4 ◻ ◻ ◻ ◻ ◻
Paradise Lodge
65
Appendix 2: Normality Test
66
Appendix 3: Linearity Test
67
Appendix 4: Model Summary
68
Appendix 5: ANOVA Result
ANOVAa
Model Sum of Squares df Mean Square F Sig.
69
Appendix 6: correlation Result
Correlations
70
Appendix 7: Linear Regression Result
INDUCTIO
.429 .048 .448 8.843 .000 .644 .550 .404 .811 1.232
N
TECHNICA
.147 .048 .207 3.055 .003 .448 .222 .140 .454 2.204
L
CUSTOME
.291 .051 .288 5.705 .000 .526 .391 .261 .819 1.221
R
CHANGE .142 .054 .183 2.639 .009 .501 .193 .121 .435 2.298
71