Abstract
Employee training and development plays an important role in maintaining and retaining talent in the organizations. Companies spend a huge amount of money on training and development programs. This paper discusses various benefits, offered by the training and development programs, especially in the era of globalization and excessive competition. Training and development helps organizations in acquiring new skills and knowledge that is essential to remain competitive in current competitive business environment. The paper discusses positive association between training and development programs and employee motivation, employee retention, employee development and job satisfaction.
Annotated Bibliography
Aguinis, H., & Kraiger, K. . (2009). Benefits of training and development for individuals and teams, organizations, and society. Annual review of psychology, 60 , 451-474.
The article from Annual Review of psychology discusses various benefits of the training and development programs. The primary research question of the study is to identify benefits of training and development for employees, organizations and for society. The authors analyzed research studies i.e. literature conducted on the subject since year 2000. Research identifies various benefits of training and development on all stakeholders.
Sahinidis, A. G., & Bouris, J. (2008). Employee perceived training effectiveness relationship to employee attitudes. Journal of European Industrial Training, 32(1) , 63-76.
This research study analyzes the relationship between perceived training effectiveness and motivation, commitment, and job-satisfaction. The study adopted mix research approach as all information presented in the article is supported by primary survey and literature analysis. The primary survey under the study was conducted on 134 employees from five organizations. Findings of the research suggest a strong correlation between perceived training effectiveness and employees’ motivation, commitment, and job-satisfaction. Training programs also has positive impact on employees’ attitude.
Salas, E., Tannenbaum, S. I., Kraiger, K., & Smith-Jentsch, K. A. (2012). The science of training and development in organizations: What matters in practice. Psychological science in the public interest, 13(2) , 74-101.
The primary objectives of this research study to examine importance of training and development, and the way training programs should be designed, delivered, and implemented in organizations. The authors used qualitative research methodology to analyze literature and past research studies. Through the article, authors explain importance and training programs, and how training program should be designed and implemented. The article provides detailed check-list mentions about steps need to be taken before, during and after training programs.
Samuel, M. O., & Chipunza, C. (2009). Employee retention and turnover: Using motivational variables as a panacea. African Journal of Business Management, 3(8) , 410-415.
This research study is aimed to analyze the relationship between intrinsic and extrinsic motivational variables and employee retention and satisfaction. The study analyzes training program as key variable that increase employee satisfaction and reduce turnover. The study utilizes both qualitative and quantitative methods. Under study a primary survey was conducted on 1800 respondents to gain information and data. The findings of the study confirm a positive relationship between training program and employee retention and satisfaction.
Summary Paper
All companies, irrespective of their size and industry, are operating in competitive global market. In competitive environment, companies try to differentiate their offerings from competitors by bringing innovative products or services in the market, as well as, by serving their customers efficiently. Human resource plays a major role in bringing innovation and delivering effective customer service. It allows companies to differentiate in terms of skills and knowledge of their workforce. It is imperative for the companies to motivate their workforce, facilitate acquisition of new skills & knowledge, deliver job satisfaction, and retention of talent. Training and development is an effective systematic approach that allows organizations to improve their workforce and organizational effectiveness. This paper presents a discussion on how training and development approach is positively associated with employee motivation, employee retention, employee development, in delivering job satisfaction, and employee retention.
Benefits of Training and Development
Training and development programs organized by the companies impact all stakeholders of the company. Aguinis and Kraiger (2009) in their study identified befits of training and development program on employees, organization and on society. The authors used literature available on the subject since year 2000. Training programs positively affect declarative knowledge, procedural knowledge, and strategic knowledge of the employees. Training programs not only inform employees about theories, skills and concepts, but train them on how theories and skills can be implemented in different real life situations. Cross-cultural training programs help employees in gaining knowledge of different cultures and in managing diversified teams. In the era of globalization, cross-cultural training programs are essential for the growth of organization (Aguinis and Kraiger, 2009, p. 451, 464).
Training and development programs facilitate professional development of employees. Acquisition of new skills and knowledge helps employees in their career development and in acquiring new higher rank. Therefore, training programs motivate employees and deliver job satisfaction. Sahinidis and Bouris (2007) in their research study find a positive relationship between training effectiveness and motivation, job satisfaction and commitment. Continuous changes in business environment, technologies, customer management approaches and communication methods require continuous improvement in skills of workforce. Training programs on new technologies such as MIS, CRM, e-commerce, ERP systems helps employees in improving their performance (Aguinis and Kraiger, 2009; Sahinidis and Bouris, 2007, p.63-64).
Sahinidis and Bouris, in their research study conducted on 134 employees from 5 large companies, identify that training positively impacts employees’ attitude towards their employers and increase retention. Samuel and Chipunza (2009) in study identify that intrinsic and extrinsic motivation directly impact employee retention and decrease turnover. The study conducted on 1800 employees reveals that training and development programs play a key role in employee motivation. The study found training and development program very effective in public organizations (Sahinidis and Bouris, 2007, Samuel and Chipunza, 2009, p. 410).
American companies spend around $126 billion on employee training and development in order to remain competitive. Salas et al. (2012) in their article mention that training programs are important for organizations to innovate, produce, adopt, compete, improve, excel and reach objectives. Training programs help employees in delivering their best and to be effecient & productive. It also helps organizations in sucesfully acheving their goals and performance by imporving skills & knowledge of their workforce. According to the authors, companies are facing new challenges and opportunities everyday such as aging workforce, diversified workforce, and new generation of workforce. The young employees have high level of expectations from employers; they are quick learners and wants new approaches of learning. Training and development programs help in effective management of all types of workforce, and equip them with new knowledge to grab opportunities available in continuously changing environment (Salas et al., 2012, p. 74-75).
Recommendations
Training and development programs are the need of competitive global market, and organizations should conduct it in an efficient manner. Organizations should first analyse the training needs of its employees. Training needs can be analysed by conducting job/ task analysis, organizational analysis and personal analysis. After identification, organization should develop a training schedule and inform all employees about the training programs and mandatory attendance policy. Supervisors and managers should extend their support to their subordinates in attending training programs.
It is important for trainers to use right training strategies and develop learning environment. During training program, trainer should motivate trainees to learn and practice. It is imperative that trainer use right technology and communication methods so that all trainees understand and implement ideas and knowledge. After completion of training program, organization should provide opportunity to implement learning into practice. Organization should use reinforcements in order to increase the effectiveness of trainings. It is also important to evaluate training programs in order to identify the gaps and best practices.
Conclusion
Training and development programs are essential for organizations to motivate, satisfy and retain their talented workforce. Training and development programs help individuals in gaining new knowledge and acquiring new skills that help in their career development. Training and development help organizations in achieving their goals by identifying new opportunities, differentiation, and efficient customer services. Overall, training and development programs help both employees and organization.
References
Aguinis, H., & Kraiger, K. . (2009). Benefits of training and development for individuals and teams, organizations, and society. Annual review of psychology, 60 , 451-474.
Sahinidis, A. G., & Bouris, J. (2008). Employee perceived training effectiveness relationship to employee attitudes. Journal of European Industrial Training, 32(1) , 63-76.
Salas, E., Tannenbaum, S. I., Kraiger, K., & Smith-Jentsch, K. A. (2012). The science of training and development in organizations: What matters in practice. Psychological science in the public interest, 13(2) , 74-101.
Samuel, M. O., & Chipunza, C. (2009). Employee retention and turnover: Using motivational variables as a panacea. African Journal of Business Management, 3(8) , 410-415.
