Full Project - EFFECT OF TRAINING AND DEVELOPMENT ON ORGANIZATIONAL PERFORMANCE

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Full Project – EFFECT OF TRAINING AND DEVELOPMENT ON ORGANIZATIONAL PERFORMANCE

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CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

Training and development have become the most important factor in the business world today, because training increases the efficiency and the effectiveness of employees and the organization (Raja, Furqan and Khan, 2011). Training is a systematic restructuring of behaviour, attitude and skills through learning-education, instruction and planned experience. Training is designed to change or improve the behaviour of employees in the work place so as to stimulate efficiency.

The cardinal purpose of training is to assist the organization achieves its short and long term objectives by adding value to its human capital. Training and development are not undertaken for the sake of training, but rather are designed to achieve some needs. Therefore, training and development are need based in the sense that they are undertaken to fill some knowledge gap within an organization.

Many organizations have over the years introduced good manpower training and development strategies in order to enhance better employee performance at work and increase their productivity. However, the efforts of such strategies in most cases have always been jeopardized in most organizations, as a result of some factors that impede against the achievement of their objectives. Some of the impeding factors include recruitment/selection problems, training procedure and inadequate facilities, government policy, the economy and labour legislation (Nguyen, 2009).

According to Raja et al (2011) Training and development is a very important tool for an organization to compete in this challenging and changing world. Facing fierce competition and ever rapidly changing market environments, large corporations must find ways to improve productivity, efficiency, customer service, staff retention and other key drivers of corporate profitability (Training and development) should they want to be more profitable and be competitive in the industry (Vitcet and Nguyen, 2009).

New teaching-learning and training methods are arising due to the modern-day revolutionization in the economic, labour and technological world of workforce. These changes demand to put the theory and practice behind, while prioritizing the more global, integrated, flexible and vocational training (Abeeha and Bariha, 2012). For example the introduction of e-banking system has rapidly changed work process in the banking industry, thus the need for constant up date of knowledge by the employees to meet the continuous challenges. As a result most institutions in Nigeria in recent years keep retrenching and recruiting new employees.

Training and development has been acknowledged to be a very important component of organizational performance. However, it is not an end goal rather training is characterized as a means to an end – the end being productive, efficient work organizations, populated by informed workers who see themselves as significant stakeholders in their organizations’ success (Byrne, 2009).

Training & development increase the employee performance like the researcher said in his research that training & development is an important activity to increase the performance of health sector organization (Iftikhar and Siraj-ud-din, 2009).

Employee performance is the important factor and the building block which increases the performance of overall organization. Employee performance depends on many factors like job satisfaction, knowledge and management but there is relationship between training and performance (Chris Amisano, 2010).

1.2 Statement of the Problems

Despite the importance of training and manpower development in employee productivity and organizational performance, training programs are not sufficiently supported by organizations in Nigeria. These organizations consider the money they will spend on their training programs as waste rather than investment. They fail to foresee the desirability of continuous training and development of their employees in order to promote the efficiency and effectiveness of their organizations. Those that attempt to conduct trainings for their employees do so in an ad- hoc and haphazard manner, and as such, training in those organizations is more or less unplanned and unsystematic. This view is corroborated by Nwachukwu (2002) who argued that many employees have failed in organizations because of lack of basic training.

Competition has affected employees effective and efficient performance hence they are not having required needed skills, knowledge, attitude and the technical know-how to enhance their professional performance at their job level. The level of performance of most staff has been very low and discouraging thereby having negative effect on the overall performance of corporate objective of the bank.

1.3 Aims and Objectives of the study

This research work seeks to study effect of training and development on organizational performance and the objectives of this study include:

Examine the relationship between staff training and employees performance.
Review how human resource management styles affects staff training and organization performance.
Examine the challenges encountered by human resource management in employees’ recruitment and placement.
Examine whether employees’ training and development enhances work efficiency.

1.4 Relevant Research Questions

The following research questions are stated for the study:

Does any relationship exist between staff training and organization performance?
How does a human resource management style affect staff training and organization performance?
What are the challenges encountered by human resource management in employees recruitment and placement?
What are the relationship between personnel training and development and staff performance?

1.5 Relevant Research Hypotheses

The following hypotheses were developed for the study:

H_O: There is no relationship between staff training and organizational performance.

H₁: There is a relationship between staff training and organizational performance

1.6 Scope and Limitation of the Study

The work examines effect of training and development on organizational performance with a view to explore Caleb University, Imota, Lagos State. In addition, the study covers what human resources management is, its components, functions, objectives as well as it method of recruitment and placement in an organization.

Some perceived constraints may be encounter by the researcher in the course of carrying out the research work. The limitations are as follows:

Inadequate material: Inadequate material constituted one of the limitations of the research work. The non-availability of materials like journals, textbooks etc the research study.
Finance: The researcher also may encounter some financial constraints which will contribute in limiting the work in the sense that fund available was not enough to carry out the research to a logical conclusion.

iii. Time: Time is also another factor or limitation that may affect the research work. The limited time may not give the researcher enough opportunity to do more rigorous work.

1.7 Significance of the Study

When performance standards are clearly articulated by management, employees know what is expected, what is considered unacceptable performance, and how organizational standards should be achieve. This research work is useful and relevant to the entire society, as it helps organizations and other sectors of the economy in knowing and appreciating the roles performed by human resources in effect of training and development on organizational performance.

To this end it therefore serves as a benchmark for financial researchers to further evaluate the effect of employer-employee relationship, and how it ultimately impacts the performances and growth of the manufacturing industry in Nigeria.

Consequentially, it aids the Government, policy makers and stakeholders to properly articulate critical areas in HR that needs to be improved on so as to forge a stronger workforce especially in the recruitment and placement.

1.8 Definition of terms

Manpower Development: Manpower development is the process to maximize the usage of human resources. This entails working hand in hand with the employees.

Training: Training is the action of teaching a person or animal a particular skill or type of behaviour.

Human Resources: Human Resources is the personnel of a business or organization, regarded as a significant asset in terms of skills and abilities.

Recruitment: Recruitment refers to the process of attracting, screening, selecting, and on boarding a qualified person for a job. At the strategic level it may involve the development of an employer brand which includes an “employee offering”.

Placement: the action of placing someone or something somewhere or in a suitable.

Organization: An organization (or organization) is a social entity that has a collective goal and is linked to an external environment.

Salary and Wages: Regular amounts of income paid to someone by his or her employer under the contract of service, often weekly, 4weekly or calendar monthly.

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Full Project – EFFECT OF TRAINING AND DEVELOPMENT ON ORGANIZATIONAL PERFORMANCE

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