Sunday, 3 November 2019

Impact of Training and development


In case of learning organizations, training has been linked to both corporate strategy and organizational performance: training must be aligned to organizational strategy in order to result in high performance (Delery & Doty 1996). The strategic formalization of training facilitates organizations to analyze and carry out effective internal and external scanning of their work environments (Lyles et.al., 1993).

Figure 1: Effectiveness of training and development


 (Source: Niazi, 2011)

 

According to Stone (2002) training has the distinct role in the achievement of an organizational goal by incorporating the interests of organization and the workforce. Now a days training is one of the most important factor in the business world because training increases the efficiency and the effectiveness of both employees and the organization, as illustrated in figure 2.0. The employee performance depends on various factors. But the most important factor of employee performance is training. Training is important to enhance the capabilities of employees(Khan, Khan & Khan 2011).

 

Benefits from Training and Development  (Ganesh & Indradevi, 2015; Taylor et. al., 2004).

  • Increased job satisfaction and morale among employees
  • Increased employee motivation
  • Increased efficiencies in processes, resulting in financial gain
  • Increased capacity to adopt new technologies and methods
  • Increased innovation in strategies and products
  • Reduced employee turnover
  • Enhanced company image
  • Risk management

 Reference

Delery, J.E., and Doty, H.D. (1996) Modes of Theorizing in Strategic Human Resource Management: Types of Universalistic, Contingency, and Configurational Performance Predictions. Academy of Management Journal,  39 (4), pp. 802–835.

 

Ganesh,M and Indradevi R.(2015), Importance and Effectiveness of Training and Development, Mediterranean Journal of Social Sciences, [online]< http://www.mcser.org/journal/index.php/mjss/article/view/5470> [Accessed on 15th October 2018].

 

Lyles, M., Baird, I., Orris, B., and Kuratko, D. (1993) Formalized Planning in Small Business Increasing Strategic Choices. Journal of Small Business Management, 31 (2), pp.38–48. [online]

<https://digitalcommons.butler.edu/cgi/viewcontent.cgi?article=1020&context=cob_papers> [Accessed on 15th October 2018].

Niazi, A, S. (2011) Training and Development Strategy and Its Role in Organizational Performance, Journal of Public Administration and Governance, 1 (2) [online] < http://www.macrothink.org/journal/index.php/jpag/article/view/862/656> [Accessed on 15th October 2018].

 

Stone, R J (2002) Human Resource Management, John Wiley & Sons, New Delhi

Khanα, R A G, Khan, F A, Khan, M A. (2011) Impact of Training and Development on Organizational Performance. Global Journal of Management and Business Research, XI (VII ), p. 63 [online]< https://globaljournals.org/GJMBR_Volume11/8-Impact-of-Training-and-Development-on-Organizational-Performance.pdf> [Accessed on 15th October 2018].

3 comments:

  1. As you rightly mentioned Amali, Training and Development allow to enhance the performance of the employees.

    It is important that Training should be designed to improve the knowledge, skills and abilities of employees which allow employees to achieve the organization’s strategic plan (Gusdorf,2009). Training is beneficial to both employers and employees of an organization wherein it allows to revamp the performance of the workforce in ensuring the organizational growth and success. Comprehensive training and development programs not only allow to motivate and inspire workers by letting them know how important their jobs are but also to enhance the efficiency and productivity of the employees by giving them all the information they need to perform those jobs. This eventually allow to increase their job satisfaction and morale, capacity to adopt new technologies and methods, innovation in strategies and products, employee motivation and to reduce employee turnover (Elnaga and Imran, 2013). Further, enterprises to be productive would not be sufficient to survive in the world of competitive economies. The survival and growth depend on the level of development of their human resource while adapting to new technologies (Kriemadis and Kourtesopoulou, 2008).

    ReplyDelete
  2. Dear Amali,

    There are so many benefits associated with training. Kraiger (2002).
    summarizes these benefits as below:

    High morale – employees who receive training have increased confidence and motivations;

    Lower cost of production – training eliminates risks because trained personnel are able to make better and economic use of material and equipment thereby reducing and avoiding waste;

    Lower turnover – training brings a sense of security at the workplace which in turn reduces labor turnover and absenteeism is avoided;

    Change management – training helps to manage change by increasing the understanding and involvement of employees in the change process and also provides the skills and abilities needed to adjust to new situations;

    Provide recognition, enhanced responsibility and the possibility of increased pay and promotion;

    ReplyDelete
  3. Amali, Training effects on behavior of employees and their working skills which results in enhanced employee performance which will eventually benefit the organization (Satterfield and Hughes 2007). Furthermore organizations which are providing, training and development programs for their employees are achieving high level of employee satisfaction and low level of employee turnover (Wagner 2000).

    ReplyDelete