Research Proposal

Employee Training And

Organizational
Performance
(Social Research Methods)

Submitted By: Muhammad Azeem Ahmad(153)

Shehroz Aslam(179)
Submitted To: Dr Amani Moazzam
 Impact of Employee Training on
Organizational Performance
Introduction:

In today’s world of modern technology, the competition between the firms is getting rough and
tough because each company is in pursuit of outperforming theircompetitors by adopting the
policies best suited to its environment, getting new technology in order to reduce production
cost; to improve the quality of its products; to save time and last but not the least, training its
employees in order to get maximum output from them.
Training is actually an organized expansion of knowledge,ability and behavior necessary
forworkers to do sufficiently on confirmed assignment or job. It can be done inseveral ways on
the job or off the job; inside an organization or outside it. The success of training generally
depends upon the frequency or quantity of the training and the quality of the training. Equal
opportunities of training must be given to all the employees

Employees are trained by the organizations in order to make them able to deal with certain
situations in a more specific and systematic way and to understand a certain new technique,
new technology to which the company is planning to implement in order to improve the overall
performance of that firm. This research is mainly focused on finding out the effect of modern
technology on the efficiency of the performance of an organization as companies are acquiring
new technologies their performances in term of production and efficiency have been improved
lately.

Organizations invest in employee training with high return on investment (ROI) expectations.
These include expectation that learning will occur, that skills will be enhanced, and that
behaviors will change – resulting in improved personal and organizational performance.
Hence, reputable trainers are in high demand across disciplines, countries and regions. Some
studies of trainer attributes focus on qualifications (e.g. Gauld and Miller, 2004). While
qualifications such as higher degree and professional certifications are an important possession
for a competent management trainer, experience proves that facilitators who were selected
based on qualification and experience alone did not live up to expectation. Mamaqi et al.
(2011)categorizes trainers’ competences into basic (pedagogical) and specific (skills, abilities,
aptitude/attitude.(Gosim Martin, 2016)

The comparatively low level of commitment of small firms in Training and Development seems
to be problematic from many perspectives. A few critics argued that the disregard towards
formal, supportive Human Resource practices aligned with the firm’sstrategicdirection
mayhamperdevelopment towards the competitive gain in micro level businesses.

The main objective of our study is how the

training increase the employee performance. A
researcher said that training increase or develop the
managerial skills (Robert T.Rosti Jr, Frank shipper,
1998)
.despite focusing on efficiency and cost control
the spending on training should increase because
organization get more efficiency , effectiveness out of
the training and development (workforce special report,
2006) .This shows that training increase the efficiency
and the effectiveness of the organization.
“I think people are talking more about
performance and results and consequences. They are
not necessarily doing more about it”, (Roger Kaufman
Florida State University).From this it is clear that training
and employees development and the employee development
encourage self-fulfiling skills and abilities of employee,decreased operational
costs,limits organizational liabilities and changing goals & objectives (Donald
Nickels,M.A,2009).III.Theoretical frameworkTo implement the study following
dependent and independent variables are shown in the theoratical
development is the important factor.
Literature Review:

Training and Its Importance:

Training is well thought-out as the process of enhanching the skills of oneself, awareness,
disclosure, and aptitude in a person. Training is a systematic increase from the basic knowledge
and skills needed for employees to carry out tasksproficiently in the process on the board, as
well as, to work inminionstate of affairs. It also improves the skills of employees in the best way
possiblebyencouraging them that consequently affects theperformance of an organization.
Laing defines training as “An indicator to enhancesuperior skills, knowledge, capabilities and
outlookof the employees that results in effective performance of the workers. However, he adds
one thing more that it (training)extends the production of the organization.”Trainingis are the
effective source to enable individuals & employees to make use of theirtalent&
theirlatentcapabilities.Employees seek training when they want an increase or promotion in the
organizational rank. Some of them only seek those skills via trainings which would help them in
performing their every day on the job duties. Olaniyanand Ojo said “The training is important
because it increase productiveness, improves the good quality of work; increases skills,
knowledge, develop the attitude; enhance using tools, reduces waste, mishaps, turnover,
lateness, absenteeism and also other overhead costs, eradicates obsolesce in knowledge,
technologies, methods,items, capital management and so forth.” It carryexisting to that level of
efficiency and effectiveness which requires the performance with job. It enhance your execution
of freshstrategies& regulates them.It prepares individualsfor success, improves the employees’
career growth and make suresthe endurance and expansion of the organization.(Azara Shaheen,
2013)

Training and Organization Performance:

(Zulfqar Ahmad Bowra, 2012)has foundflourishingcompanieshave a propensity to be gradually

knowing that there are a lot of factors which influence the performance of an organization but
the Human Resource of a company is the most important one. The goal of training is to improve
the organization effectiveness in terms of perfomance. It also put stresson employee’s
performance, in addition to organizational performance which is arbitrated by means of
worker’s performance. Aguinis & Kraiger said that “Training improves the overall organization
profitability, effectiveness, productivity, and revenue and other outcomes that are directly
related to the training in improving the quality of services”.Thang & Drik argued that “The
success of organization is determined by human resources, definitely not physical resources and
is highly endorsed toincreasethe organization’ investments in training in order to offer superior
expertise, knowledge and features pertaining to employees rather than their competitors
relationshipbetween training and organization performance”.Organization’s performance is
precisely measuredwith the help of financial and non-financial scales like sale of prducts, profit
earnings and market share are measured financially and efficiency, quality of service,
productivity of organization, satisfaction of employees and their commitment level are
measured on non financial basis.Olaniyanand Lucasbelieves that the training improvesthe
worker’sability to put their efforts in the most desireable; finest performance of an organization.
Consequently, the studyplanned to asses that:

“If there is a significant relationship between employees training and organization

performance? "

Training and Employees’ Performance:

According to (Brum, 2007), Training is perhapsly the most difficulttactic to improve employee’s
concern for the performance of an organization.Khanfar agreed with
Brum’sstatementconcerningworker’s performancesafter training and its impact on the
performance of the organization. The training has an sanguineconnectionflanked bymotivations
along with job involement amid the personnel doing work in organizations. In order to improve
the employee’s performance, it is imoratant to motivate them by the means of reducing the
gaps between the skill level of the staff through delivering applicable training to those which
have less skills, to show them a better career path. Thepurpose of thetask oriented training is to
improve the quality of the work assigned; in order to improve the overall performance of the
employee. To test the above stated arguments the study has proposed that:

“If there is a positive relationship between employee training and employee performance?”.
Employee Performance & Organization Performance:

(ALDamoe, 2012) put light on the significance of skillful employees, without them, the
improvement in the performance of an organization is not possible. Employees buildtheir
confidence level and their commitment to the organization become strong when they find
themselves as an important and a valuable asset to that organization. Consequently their job
satisfaction increases as company put efforts in motivating them to achieve the goals set by the
company; which enables them to achieve the goals of the company as well as their personal
goals, an individual might have a goal to perform better, to get certain trainings and
certifications in order to get a higher role or post in the organization. If company provides him
those opportunitites then he ‘ll definitely avail it and then as stated above, both the company
and that individual will be the benificiary of that training as that individual will put his maximum
effort in flourishing his skills and to perform better.Employees’ performance is a necessary
foundation linked with an organization; the knowledge of an employee regarding the task
assigned to him can be analysed through the performance of an organization. An employee is
animportant element of the organization. The boom or downfall of every organization depends
on the performance of each employee. Employee performance eventuallyinfluences the
organizational performance. The organization performing well is a role model for other
organizations as they looked upon to the methods and techniques adopted by that organiztion
in order to get success, consequently they will also provide the opportunities to their employees
to get trainin & will also try to improve the job satisfaction of the employees. Good perfomance
by the employeesis essential for the organization’s goodperformance. To test the above
statement, following hypothesis has been prepared:

“There is a positive relationship between employee performance and organizational

performance”

Training, Employees Performance, and Organization Performance:

(Qasim Saleem, 2011) suggest that training is the most important activity of Human Resource
Development for the improvement of specific skills and knowledge of the employees, also
reffered as employee development. In this world of competition, employee training is a
fundamental strategy to attain the goals of the organization. Businesses and employees both get
benefit from training. Striking employee’sperformance is demanded by the organizations in
order to achieve greater goals.(Niazi, 2011) said in his study that “Training is beneficial for both
employee and organization. Trained employee can face the current and future challenges of
organization and achieve the competitiveadvantages”. ALDamoe said “Highly skillful and
knowledgeable staff is very necessary for the improvement of the organization. Training
increases the productivity of employee, improves the services of the employee and brings the
positive change in the organization. Training gives the outcome in the shape of tangible and
intangible.”According to (Azara Shaheen, 2013), The basic purpose of training is to increase the
organizational output in most efficient way, therfore in order to check the impact of training;
just look at the organizational output; increase in theorganization’s profitability, stability,
minimal risk, reduced expenses and cost indicates the positive impacts of training and vice
versa.If a firm wants to comete at national and international level then it must train its workers
inorder to make them able to produce those products and of that quality which is required at
national and international arena. Training must be related to that field in which organization aim
to improve its current standard or wanted to compete to get major market share. It must train
the employees in order to make them superior from the employees of the competing
organizations. Training is an important mean to enhance the employees’ productivity in general
and organizational output in particular. Training directly effects the Human Resource outcomes
and also influences the organizational performance indirectly.It effects the organizational
performance which is interceded with the employee’s performances.(Azara Shaheen, 2013)said
that the “Trained employee is an important asset for the organization. Trained employee
achieved the long term goals which arevaluable for the organization success. Training improves
the interpersonal skills of employee. Training maintains the capability of both employees and
organization. Training available to employees to meet the needs of both the organization and
the employee in order to build and retain a work force of skilled and efficient
employees”.Therefore this study purposes that:

“If employee performance mediate between employee training and the organizational
performance”
Human resource is very important and backbone of every organiztion and it is also the
main resourceof the organization.So organizations invest huge amount on the human
resource capital because the performance of human resource will ultimatiley increase
the performance of the organization. Performance is a major multidimensional
construct aimed to achieve results and has a strong link to strategic goals of an
organization (Mwita, 2000) .As the Mwita (2000) explanis that performance is the key
element to acheieve the goals of the organization so to performance increase the
effectiveness and effeciancy of the organization which is helpful for the acheivement of
the organizational goals.But the question arise that how an employee can work more
effectively and efficiently to increase the growth and the productivity of an
organization(Qaiser Abbas and Sara Yaqoob). There are many factors which improves the
work of the employee such as flexible scheduling, training etc.

Delivery style is a very important part of Training and Development (Carlos A. Primo Braga,
1995). Employees are very conscious about the delivery style Michael Armstrong, 2000).
If someone is not delivering the training in an impressive style and he is not
capturing the attention of the audience it is means he is wasting the time (Mark A. Griffin et
al., 2000). It is very necessary for a trainer to engage its audience during the training session
(Phillip seamen et al., 2005).Delivery style means so much in the Training and Development.

The traning & development is the independent variable and organizational

performance is the dependent variable.These two variables have been chosen to see the
relationship between these variables i.e to see the impact of Training &development on
the organizational Performance.
 Table 1 Reliability Analysis of Variables

(Cronbach’s Alpha) (α) Values

Employees Training (14-items) 0.723

Employee Performance (9-items) 0.721

Organization Performance (7-items) 0.700

Source: Created by authors

Table 2: Descriptive Analysis of variables

Variables Mean Standard Deviation N

Training 3.8822 .67561 197

Employees Performance 3.7701 .53869 197

Organization Performance 3.8268 .69997 197

Source: Created by authors

Table 3 Ages of the Respondents

Age Frequency Percent

20 to 30 31 15.7

31 to 40 44 22.3

41 to 50 82 41.6

51 to 60 40 20.3

Total 197 100

Source: Created by authors

Table 4 Gender proportion

Gender Frequency Percentage Cumulative Percent

Male 121 61.4 61.4

Female 76 38.6 100.0

Total 197 100

 Education Frequency Percent Cumulative Percent

Matriculate 8 4.1 4.1

Intermediate 14 7.1 11.2

Bachelor 68 34.5 45.7

Master 106 53.8 99.5

M.Phil 1 .5 100.0

Total 197 100.0

Source: Created by authors

Table 6 Position of Teachers

Position Frequency Percentage

Primary 80 40.6

Senior 117 59.4

Total 197 100

Source: Created by authors

Table 7: Training of Respondents

Training Frequency Percent Cumulative Percent

PTC 30 15.2 15.2

BED 125 63.5 78.7

MED 42 21.3 100

Total 197 100

Source: Created by authors

Table 8: Correlation between the Variables

Variables ET EP OP

Training 1

Employees Performance .427** 1

Organization Performance .384** .519** 1

*Correlation is significant at the 0.05 level (2-tailed).

**Correlation is significant at the 0.01 level (2-taliled).
 Table 9: Regression Analysis of Training and organization performance

Model 1 R R square F-value Beta t Sig.

.384 .148 33.795 .384 5.813 .000

*p<.05, **p<.001
Source: Created by authors

Table 10: Regression Analysis of Training and Employee Performance

Model 2 R R square F-value Beta t Sig.

.427 .182 43.378 .427 6.586 .000

*p<.05, **p<.001
Source: Created by authors

Table 11: Regression Analysis of Employee Performance and Organization Performance

Model 2 R R square F-value Beta t Sig.

.519 .269 71.934. .519 8.481 .000

*p<.05, **p<.001
Source: Created by authors

Table 12: Mediating Role of Employee Performance between Training and Organization Performance

Model 4 R R square F-value Beta t Sig.

T & OP .384 .148 33.795 .384 5.813 .000

Mediating variable .199 .032 9.013 .199 3.002 .003

control

*p<.05, **p<.01, ***p<.001

Source: Created by authors
Hypothesis development:

Hypothesis development is very important because acceptance and the rejection of

hypothesis show the significance of the study. On the basis of litrature review and above
thoratical frame work we came to develop following hypothesis.In the training &
development organizational performance isalso effected by the traning
design.Therefore our first hypothesis is:

H1:Training design has significant effect on the organizationalperformance.To increase

the knowledge and skills in the job traning is given to the employees therefore our second
hypothesis is:

H2:On the job training has significant effect on the organizationalperformance.During

training & development the delivery style of the person who is giving the traning also
effects the organizational performance so our third hypothesis is

H3:Delivery style has significant effect on the organizationalperformance.By

combinng the above mentioned hypothesis our fourth hypothesis is:

H4:Training & development has significant effect on the organizationalperformance.

References:
 ALDamoe, A. M. F., Yazam, M. Ahmed, B. K. (2012). The mediating effect of hrm outcomes
(employee retention) on the relationship between hrm practices and organizational
performance. International Journal of Human Resource Studies, 2(1), 2162-3058.
 Azara Shaheen, S. M. H. N. (2013). Employees Training and Organizational Performance:
Mediation by Employees Performance. INTERDISCIPLINARY JOURNAL OF CONTEMPORARY
RESEARCH IN BUSINESS, 5(4).
 Brum, S. (2007). WHAT IMPACT DOES TRAINING HAVE ON EMPLOYEE COMMITMENT AND
EMPLOYEE TURNOVER?
 Gosim Martin, C. (2016). Trainer attributes as drivers of training effectiveness. Industrial and
Commercial Training, 48(7), 367-373. doi: 10.1108/ICT-02-2016-0013
 Niazi, A. S. (2011). Training and Development Strategy and Its Role in Organizational
Performance. Journal of Public Administration and Governance, 1(2).
 Qasim Saleem, M. S., Akram Naseem. (2011). DEGREE OF INFLUENCE OF TRAINING AND
DEVELOPMENT ON EMPLOYEES BEHAVIOR. International Journal of Computing and Business
Research, 2(3).
 Zulfqar Ahmad Bowra, B. S., Affan Saeed and Muhammad Kabir Niazi. (2012). Impact of human
resource practices on employee perceived performance in banking sector of Pakistan. African
Journal of Business Management, 6(1), 323-332. doi: 10.5897/AJBM11.2312