TOPIC: THE ROLE OF TRAINING AS A MOTIVATIONAL TOOL ON EMPLOYEES PERFORMANCE AND PRODUCTIVITY A case study of NATIONAL INVESTMENT BANK GHANA Limited
CHAPTER ONE
1.1 Introduction Motivation and training are prerequisites for success and create competitive advantage for every company. It is established that since the greatest asset of any organization is its human capacities, it is important that the subject of motivation and training as a tool in measuring organizational success cannot be underestimated. As a result, its benefits to all organizations are numerous whether big, small, local or international. This chapter seeks to introduce the initial components that are to be looked at under the study of the role of training as a motivation to employees on their performance. The chapter will also consider the study area, statement of the problem, objectives of the research, scope and significance of the study as well as the chapter disposition. 1.2 Background of the Study Every organization irrespective of the size or type aims at influencing employees to ensure higher levels of performance and challenge competitors in order to stay in business and satisfy customers efficiently and profitably. Much attention is currently being given to the quality and quantity of employees performance. Since we all accept the fact that a highly motivated and trained team of employees perform better than the opposite, it is very important to make available the basic tools and equipment that would facilitate the accomplishment of the expected task of these employees. It is based on these that the researcher has taken the pain to research on the topic the role of training as a motivational tool on employees performance and productivity At a point in time in the lives of men, certain specific human needs or deficiencies of which an individual feels is eliminated and the cognition processes that take place in the mind of an individual influences his or her behaviour. Linda L. Davidoff, a renowned American Psychologist emphasizes the above mentioned situation under her topic respondents. She defined respondents as acts that are triggered by events immediately preceding them. Linda further explained that respondents may also include immediate emotional reactions. Well trained and motivated employee is a valuable asset to the organization. Employers expect their employees to do their possible best in the organization to increase productivity, increase profit and reduce cost and wastage in the organization. Employees also expect their employers to treat them well and give them all the benefits they deserve. Even though this psychological contracts are not business contracts and are therefore not written out, employees become satisfied when employers keep their side of the bargain. Motivation is termed as the magic ingredient which an employer has to add to the situation to generate desired results. Human motivation studies aim in discovering what triggers and sustains human behaviour. Training is an act of increasing the knowledge and skills of employees for doing a particular job. It tends to increase productivity, improve quality of job done, helps organizations to fulfill their future needs and even build the personal growth of employees. Readers must however know that training without motivation is empty. These two words should work hand in hand to ensure successful attainment of the organizations success. 1.3Profile of the Organization
1.4 Statement of Research Problem Many prominent issues have called for the need to conduct this study entitled The Role of Training as a Motivation to Employees of National Investment Bank on their Job Performance. The perceived problems that have necessitated the need for this research could be attributed to low standards of employee training that could account for poor performance. Customers complains about employees human relations as well as professionalism of their work. And lastly, the knowledge and attitude of some employees towards training is very poor. There is therefore no doubt that employee turnover is increasing as a result of lack of training. There is not any doubt about the general understanding, that training and motivation contribute immensely to the efficient, effective and vibrant growth of banks. The study therefore, set out to investigate how management of the National Investment Bank will ensure efficient and effective banking services. 1.5 Objectives of the Study This study seeks to achieve the following objectives: To identify the major purposes of training in an organization as well as the key internal and external influences on training; To find out the effect of training on employees performance and productivity; To examine the effect of training on employee turnover; and To find out why training programmes sometimes fail to achieve results.
1.6 Research Questions The following questions will be asked to help analyze the role of training as motivation to employees on their performance which will help in reaching the set objectives. For what reasons does the organization train its employees? In what ways has training imparted on your performance? What effect does training have on labour turnover? What causes training programmes to fail? 1.7 Significant of the Study The study will help bridge and enhance bank customer relationships, and help promote efficient and effective service delivery through its recommendations to the bank under study. It will also help improve the knowledge base of employees with regards to training and, as well, motivate them to bring out their best in the organization. The study will provide a data base that will inform the banking institutions on the importance of training as a motivation to employees and its effect on their performance as well as the non- banking sectors of the economy of Ghana and also other academics. 1.8 Limitation of the Study Financial constraints to this project, since the project involves photocopying, typewriting, traveling and other expenses. This work was done alongside academic work. Hence, it put more limitation on the researcher as regards to the gathering of necessary information. Not all information necessary for the completion of this project work was given readily. The researcher also encountered little difficulty getting questionnaires feedback from the respondents due to their tight schedules, but persisted until she received as many as possible of the answered questionnaires from the respondents. Attitude of Respondents: there was poor response by respondents to questionnaires and interviews which brought difficulty in compiling and analyzing available data. In the face of all these constraints, the researcher got the needed data and successfully worked within the limited time frame to come out with adequate material, which shall be useful to the banks, academia, society and to the world at large. 1.9 Organization of the study This research paper is organized into chapters, with the chapters being organized as below: Chapter one gives the general overview of the study. It is concerned with the background of the study, problem statement, objectives of the study, and research question of the study. Chapter Two is concerned with the review of related literature to the study. Chapter Three deals with methodology of the research Chapter Four deals with the analysis and interpretation of field data Chapter Five is concerned with the Findings, Conclusion and Recommendation
CHAPTER TWO LITERATURE REVIEW 2.1 INTRODUCTION Training and motivation have been the talk of many organizations today. Books, Articles, Consultants and Seminars are increasingly focusing their attention on this topic. This chapter focuses on the review of existing literature relevant to the role of training as a motivational tool on employees performance and productivity as there is still a fair amount of ignorance as to what exactly employee training and motivation are, how it might be implemented and exactly what can be gained through its implementation. Few different definitions of motivation, various theories of motivation and their implementation strategies were quoted to bring about employee efficiency. This Chapter will also develop a good understanding of the research topic to avoid repeating existing work and to facilitate the submission of a comprehensive and reliable research work. 2.2 Overview of Training One major area of the human resource management function of particular relevance to the effective use of human resources is training and development. Few people these days would argue against the importance of training as a major influence on the success of an organization. Employees are a crucial, but expensive resource. In order to sustain economic growth and effective performance, it is important to optimize the contribution of employees to the aims and goals of the organizations. The importance of training as a central role of management has long been recognized by leading writers. For instance according to Drucker (2002), the one contribution a manager is uniquely expected to make is to give others vision and ability to perform. The general movement towards downsizing, flexible structures of organizations and the nature of management moving towards the devolution of power to the workforce give increasingly emphasis to an environment of coaching and support. Training is necessary to ensure an adequate supply of staff that is technically and socially competent and capable of career development into specialized departments or management positions. There is therefore a continual need for the process of staff development, and training fulfils an important part of this process. Training should be viewed therefore as an integral part of the process of total quality management. According to Cole (2002), in his book Personnel and Human Resource Management, training is a learning activity directed towards the acquisition of specific knowledge and skills for the purpose of an occupation or task. The focus of training is the job or task for example, the need to have efficiency and safety is the operation of particular machines or equipment, or the need for an effective sales force to mention but a few. Reynolds (2005) defines training as the systematic and planned instruction activities to promote learning. The approach can be summarized in the phrase learner- based training. It involves the use of formal processes to impact knowledge and help people acquire the skills necessary for them to perform their job satisfactorily. It is described as one of the several responses an organization can undertake to promote learning. It was indicated that training involves an expert working with learners to transfer to them certain areas of knowledge or skills to improve in their current jobs. According to him knowing what employees are expected to know and do it influenced by what the dynamic nature of the environment and demand of customers. Employees should be trained to deliver their best on the job field (Carter, 2006) This was also affirmed by Sherman et al (2000). They expressly indicated that the success of a training programme depends more on the organizations ability to identify training needs and the care with which it prepares the programme so that if the trainees do not learn, it is probably only because some important learning principle had been overlooked. What they are saying is that the success or failure of a training programme is frequently related to the recognition and application of basic psychological principles of learning. This assertion is not necessarily right. If the trainees do not learn anything then of what benefit will they be for the organization. If trainees return empty, with nothing to contribute, it can also mean that even though the organization might have done all that is necessary to ensure training program, the wrong candidate might have been selected for the training program. This is not to say that there has been no learning if there is no overt behavioural change. Since training generally is intended to provide learning experiences that will help people perform more effectively in their jobs, organizational training should follow the learning principle. Training therefore can be explained as a planned and systematic effort by management aimed at altering behaviour of employees, in a direction that will achieve organizational goals. A formal training program is an effort by the employer to provide opportunities for the employee to acquire job-related skills, attitudes and knowledge, McGhee et al (2004) 2.3 Benefits of Training The purpose of training is mainly to improve knowledge and skills, and to change attitudes or behaviour. It is one of the most potential motivators which can lead to many possible benefits both individuals and the organization. Changing technology requires that employees possess the knowledge, skills and abilities needed to cope with new processes and production techniques. According to Cole (2002) training can achieve: High morale- employees who receive training have increased confidence and motivation; 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 reduces labour 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; Give a feeling of personal satisfaction and achievement, and broaden opportunities for career progression; and help to improve the availability and the quality of staff. Derrick et al (2000) looked at the training environment and the structure of organizations and emphasized on the effects of internal political and cultural factors on training and development. Sherman et al (1996) argues that many new employees can be equipped with most of the knowledge, skills and attitudes needed to start work, but others may require extensive training to ensure their effective contribution to the organization. A majority however, will require some type of training at one time or another to maintain an effective level of job performance. According to Krietner (2000) in his book, The Managers Guide, no matter how carefully job applicants are screened, typically a gap remains between what the employee does know and what they should know. An organization which desires to gain the competitive edge in its respective industry, needs among other things, extensive and effective training of its human resources. Training is therefore a key element for improved organizational performance; it increases the level of individual and organizational competences. It helps to reconcile the gap between what should happen and what is happening between desired targets or standards and actual levels of work performance. Although many employers continue to have reservations about the cost and extent of tangible business returns from training, the development of skills has been identified as a key factor in sharpening competitiveness. Casio (2002) puts it this way: The economic and technological trends, the pace of innovation, change and development are growing faster year- by-year and as a result, provide clear signals that training and development are so relevant that both organizations and individual stakeholders must give a serious attention to. 2.4 Principles of Training Since the subject of training is to assist a learner acquire the behaviour necessary for effective work performance, it is essential that a clear grasp of the ways in which learning theories are applied when designing training programs are laid bare. According to Bryn Leslie (1990), there are four main requirements for learning to take place. The first is motivation. The old saying that a horse can be led to the river but cannot be made to drink cannot be over emphasized as it contains an important lesson for the trainer. People learn if they accept the need for training and commit to it. If their motivation is weak, for instance if they doubt their ability to learn, no matter how well their training is designed and implemented, its effectiveness will be limited. Edwin Flippo (1976) also came with the fact that the more highly motivated the trainee, the more quickly and thoroughly a new skill or knowledge is learned. This means training must be related to something which the trainee desires. This could be money, job promotion, recognition and so on. The second requirement is cue. Through training the learner recognizes relevant cues and associates themselves with desired responses. The third is response. Training should be immediately followed with positive reinforcement to enable the learner feel the response. The reinforcement should be positive, timely and consistent. Bryn Leslie (1990) Finally, feedback the information the learner receives indicating the quality of his response is the feedback. It should be made available as quickly as possible to ensure possible effective learning. Even though these learning principles are good, they fail to talk about practice where the learner actively participates in using the skills and knowledge acquired. Furthermore, it also fails to mention that the level of aptitude and intelligence of individuals are and that could affect the methods of training. 2.5 Determination of Training Needs The first step in managing is to determine training needs and set objectives for these needs. According to G.A Cole (2002) if an organization has to justify its training expenditure, it must surely do so on the basis of organizational need. Organizations adopting a systematic approach to training and development will usually set about defining their need for training in accordance with a well organized procedure. Such a procedure will entail looking at the training needs of from a number of different perspectives. These perspectives are; organizational, departmental, job and employee. Organizational need- the organizational analysis of happens in the situation where effectiveness of the organization and its success in meeting its goals are analyzed to determine where deviation or differences exist. This makes it easy to know what program to be implemented. According to Kaufman (1974), organization analysis looks at the variances between their success and failure to ascertain which training could help remedy. Functional need at this level, training managers analyze the specific ability needs determined by job descriptions and job specifications of the jobs in the work unit work area. The need can also be determined by the job performance of work groups and survey job holders, supervisors, and training committees. Any lapses in their efficiency and effectiveness help determine the training need. Individual need- Kaufman continues that employees training needs could be measured by the individual performances of the employees. He stated that the effectiveness and efficiency is measured against the required standards through interviews, observations, attitudes, or objective records of their performance. The researcher thinks that these three levels organizational, functional and individual gaps between expected results and actual results can suggest training needs, for the researcher, active solicitation of suggestions from employees, supervisors, managers and training committees can also provide training needs ideas. The particular perspective chosen will depend on the circumstances. For example, if changes in the external environment of the organization are exerting pressures for change internally, then a corporate or organizational perspective needs to be taken. If, however, the issue is one of improving skills in a particular category of employees, then occupational or job group will provide the focus of efforts. Training need is any shortfall in employee performance, or potential performance which can be remedied by appropriate training. There are many ways of overcoming deficiencies in human performance at work, and training is only one of them. It is important to recognize this fact since sometimes training staff are asked to meet needs which ought to be dealt with in some other way, such as improving pay, replacing machinery or simplifying procedures. Armstrong (1996) however, argues that training needs analysis should cover problems to be solved, as well as future demands based on whether the organization must acquire new skills or knowledge or must improve existing competencies. 2.5.1 Determining Training Objective and Training Plan After these analyses have been done, it is easier for the training objectives to be established and also to know what the learners must be able to do after the training program. According to McKenna and Beech (2002) in their book Human Resource Management-A concise Analysis, it is stated that it is important that a sound basis is established for other associated elements of Human Resource Management practice such as performance management (appraisal), reward management (motivation) combined with training and development. What this means is that training and development itself cannot help in total employee development without the complement of employee appraisal and motivation. One of the things to consider in designing a training program is what the program is to accomplish, that is the objectives. In other words a training program cannot be designed until what that program is to accomplish is known. It is imperative for organizations to realize that in designing a training program, it is equally important to consider what the trainees should know or be able to do after the training is complete. Training objectives should however be attainable and measurable. A training program is successful if the objectives are achieved. Zaccarelli (1997) outlines the process of planning as; 1) Develop a training plan Once attainable and measurable training objectives have been considered, a training plan can be developed. This planning tool provides a step-by-step written document for others to follow. A training plan can either be a complete training program or just one task. The training plan details the course content, resources required, and methods of training, who should do the training and who should be trained. ii) Design a training lesson Once a training plan is outlining general program requirements has been developed, the organization will need to concentrate on specific segments of that plan. This is done with the use of a training lesson. Generally, there is one training lesson for each training sessions. This means if ten sessions are planned, ten training lessons must be developed. A training lesson serves the following purpose; a) It provides a content outline for the lesson. b) It suggests activities/specific instructions which will help to make training easier c) It defines suggested time to be spent on each segment within the segment iii) Select the trainer(s) Who is going to train? Who is good communicator and has the necessary knowledge/skill to train? What should the trainer do to get the trainees ready for the training? These are the questions to be addressed when selecting a trainer. iv) Prepare the trainer(s) Training is one of the most important things any organization does. As a result, the personnel responsible for the training must be given adequate training themselves, as well as equip them with the necessary logistics. Remotely linked to this, trainees must also be concerned and prepared for the learning experience. 2.5.2 Presenting the Training a) Kinds of Training There are various types of training that an organization may adopt depending on the main objectives of training and these are outlined below; i. Refresher Training Here the employees are made to attend refresher courses at specific training institutions such as Ghana Institute of Management AND Public Administration (GIMPA), Institute of Management Studies, Polytechnics and the like, sponsored by the employer. This exposes the employee to modern trends in the field of business. That is, it involves updating skills to meet the job requirement of employees. ii. Orientation training This is mainly concerned with acquainting new employees with the organization. This training is aimed at getting all new entrants familiarize with the organizations goals, structure, culture, work standard and other conditions of employment. iii. Career or development training This type of training aims at preparing for the future. This enables employees to take up higher responsibilities. iv. Job training This involves teaching the employee now to perform the job for which he or she was hired or employed for. This is to help employees to acquire the necessary skills and experience for specific jobs. 2.6TRAINING METHODS / TECHNIQUES Training methods are means by which we intend to communicate information, ideas, skills, attitudes and feelings to learn. Methods could be grouped as either on the job or off the job situation. (Armstrong, 2006) 2.6.1 OFF THE JOB METHOD Off the job training means that the training session is not part of the normal job activities. It could be in the classroom or place which are owned by the company or an associations and universities which have no connection with the company. The following are examples of the off the job method A. Conference method A conference is a small group meeting conducted according to an organized plan. While similar to the lecture, the conference allows participation from the trainees. Not only is learning facilitated through building on the ideas contributed by the participants, but the trainees learn from another. Conferences follow a number of forms. One form is the directed conference, in which the instructor has information to convey to the participants and guides or directs the meeting in both transmitting and discussing these ideas. Another form is the problem-solving conference, which focuses on identifying and resolving organization problems by thinking of the participants and generating solutions for dealing with these situations.
B. Case study (Learning by doing) In order to help students to learn for themselves by independent, thinking and by discovering in the ever tangled skein of human affairs, principles and ideas which have lasting validity and general applicability, Christopher Langdel of the Harvard law school developed this method in the 1800s. Case study is based on the assumption that managerial competence can best be attained through the study, contemplation and discussion of concrete case. The case could be a set of data either real or fictional written or oral. Employees are expected to identify a problem and recommend tentative solutions when they are given cases to analyze. Case study is basically useful as a training method for supervisors and is especially valuable as a technique of developing decision making skills and for broadening the perspective of the trainee. C. Lectures ( class room instruction) One of the simplest ways of impacting knowledge to trainees especially when facts, concepts, principles attributes, theories and problem solving abilities are to be taught is through the lecture method. The lecture method can be used for very large groups which are to be trained within a short time. D. ROLE PLAYING This method was developed by Moreno, a venation Psychiatrist. He emphasized on learning human relation skills through practice and insight into ones own behaviour in the imaginary situations. The idea of role playing involves action, doing and practice. Trainees act out a given role as they would in stage play when role playing. Two or more trainees are assigned parts to play before the rest of the class. These parts do not involve any memorization of lines or any rehearsal. The role players are simply informed of a situation and of the respective roles they have to play. Role playing primarily involves employee employer relationships. Hiring, firing, discussing a grievance procedure, conducting a post appraisal interview or disciplining a subordinate.
E. SEMINAR OR TEAM DISCUSSION Seminar or team discussion is considered to be an established method for training. It could be conducted in the following ways. It may be based on the statement made by the person in charge of the seminar or on a document prepared by an expert who is invited to participate in the discussion. Another way for conducting seminar is for the person in charge to distribute in advance the material to be analyzed in the form of required readings. The seminar may compare the reactions of trainees, encourages discussion or even defines the general trends and guide the participants to a specific construction. Seminar may be based on a paper prepared by one or more trainees on a subject selected in consultation with the person in charge. It may be a part of a study or related to theoretical studies or practical problems. The trainees are allowed to read their papers followed by discussion. A chairman is chosen and he/she summarizes the contents of the papers and the discussions are carried out.
F. Vestibule training In order not to disrupt the normal operations of a firm, some organizations use vestibule training separate areas are set up with the same kind of equipment that will be used on the job. This method enhances meaningful organization of materials and feedback.
G. Virtual reality This consists of a number of technologies to replicate the entire real life working environment. It is a computer based technology that gives learners a realistic three dimensional, interactive experience. This method also makes it possible for trainees to work in realistic settings with real equipment. It is most beneficial when hazards such as radiation or toxic chemicals are involved and trainees cannot access new products or expensive equipments or when trainees find it very difficult to travel to a training site.
2.6.2 ON THE JOB TRAINING This method is mainly used for training non managerial employees. According to Mamoria and Gankar (2005), every employee and manager from the clerk to the president gets some on the- job training when he or she joins an organization. To William Tracy, it is the most common and most widely used and accepted and the skills acceptable for job performance. It has the advantage of providing herds on experience under normal working conditions and an opportunity for the trainer, senior employee or even the supervisor to build good relationship with new employees. It is learning by doing and it is most useful for jobs that are either difficult to stimulate or can be learned quickly by watching and doing. Although on the job training is used by all types of organizations, it is often one of the most Poorly implemented training methods. This could be attributed to the absence of well defined job performance criteria, lack of well structured training environment and poor training skills of supervisors among others. In order to curb the above mentioned shortfall training experts suggest that trainers must plan a specific training schedule goal, create conducive atmosphere for learning and conduct periodic evaluation after the training session. Simulation It is a method that duplicates as nearly as possible the actual conditions encountered on a job. Trainee interest and employee motivation are both high in this erase because whatever employees do is closely linked to the real job. job rotation This method involves moving employees from one job to another following a given training instruction. Job rotation helps the organization during vacations, absence or when resignation occurs. It also enhances learner participation and high job transferability. Apprenticeship and coaching This method of training is the oldest and most commonly used especially when efficiency and proficiency in a job requires a relatively long training period of 2 3years or 4 5 years for others. Apprenticeship involves learning from a more experienced employee. It is common in trades such as plumbers and carpenters. Coaching is similar to apprenticeship since the coach provides a model for the trainee to imitate.
Shadowing and job rotation: this usually aims to give trainee managers a feel for the organization by giving them the experience of working in different departments. Trainees must be encourage to feel it is not time wasting and people in the various departments in which they are temporarily working must feel a commitment and involvement in the training if it is to work. Unfortunately, trainees are not usually welcomed and are by supervisors in the department as obstacles to the daily routines. If well structured and planned with the cooperation of all departmental supervisors, this method can be a worthwhile learning experience. (Aswathappa,k.2008) 2.6.3Methods of Evaluation There are several methods of evaluating training. Bardwell and Holden (1993) have cited some of these methods as following; 1. Questionnaires (feedback forms): this is a common way of eliciting trainee responses to courses and programs. 2. Tests or examinations: these are common on the formal courses, especially those that result in certification for instance a diploma in word processing skills. End-of-course tests can also be employed after non-certificate short courses to check the progress of trainees. 3. Projects are initially seen as learning methods but they can also provide valuable information to instructor about the participants understanding of subject matter. 4. Structured exercises and case studies also provide opportunities to apply learned skills and techniques under the observation of tutors and evaluators. 5. Interviews of trainees after the course or instruction period are another technique for gathering information directly from the learners. These can be formal or informal, individual or group, face-to-face or by telephone. 2.7 Human Resource Development One of a managers most important jobs is to manage the employee development of an employee which includes his/her personal growth and career development Linda Maund (2001). In previous business environments, career planning was handled in the main by the organization which employed an individual, who was likely to be in that organizations employment for life. However, nowadays the work environment is rapidly changing with increasing work mobility bringing about alternatives and potential for almost any worker (Linda Maund, 2001). Sandra Kerka (1998) defines Career Development as an organized approach used to achieve employee goals with the needs of the agency workforce development initiatives. According to the author, the purpose of career development is to; a) Enhance each employees current job performance b) Enable individuals to take advantage of future job opportunities c) Full fill agencies goals for a dynamic and effective workforce Stretching on the importance of career development, Evans and Lindsay (1999) reported that the massive career development program embark upon at the Coors Brewing Company in Golden, Colorado, resulted in improved employee passion for the job and pride in their jobs, which translated into measurable improvement in productivity, a remarkably low turnover rate, and the delivery of quality product and service. In the past there was a failure to provide avenues for career change which produced great losses in social productivity and in human satisfaction. Employers now realize that they do not benefit by looking their employees into careers that long ago ceased to be rewarding and challenging to them. 2.8 Training and Organisational Commitment Training has been identified as contributing greatly to organisational competitiveness (Schuler and MacMillan, 1984). Research suggests that investment in training can be justified by the contribution it makes to improved individual and organisational performance (Bartel, 2000). However, previous studies have indicated difficulty in identifying causality between training and organisational performance ( Blundell et al., 1999). Bartlett (2001) suggests that one problem exacerbated this difficulty is developing an effective measure for organisational performance. Blundell et al. (1999) support this, arguing that a lack of suitable data and methodological difficulties haveprevented adequate assessment of the impact of human capital appreciation on firm performance and that estimates of the impact of training on productivity are subject to wide margins of uncertainty. There is a growing consensus that HRM practices influence employee attitudes and work-related behaviour (Allen et al., 2003; Gould-Williams, 2007). In order to judge better the effectiveness of training it has been suggested that its relationship to organisational commitment be examined directly. This has been demonstrated as positively related to organisational effectiveness (Bartlett, 2001). The literature suggests that positive work-related behaviour and attitudes largely depend on employee perceptions as to the extent to which their employer values their contribution and cares about their well-being (Allen et al., 2003). This view is consistent with social exchange theory (Blau,1964) which proposes that the psychological contract between employer and the employee is an important determinant of organisational behaviour. This is the theoretical basis for our study. Social exchange is initiated by organizations when they signal their willingness to care for employee interests (Gould-Williams, 2007). Employees reciprocate with positive attitudinal and behavioural responses helpful to their organisation (Settoon, 2002). Training, like other HRM practices, can be utilised to elicit desired responses which may include improved organisational commitment (Bartlett, 2001). Existing research suggests that training and development provision is taken as a sign by employees that their organisation desires to enter into a social exchange with them. This creates a strong psychological bond between them and their employer (Garrow, 2004). However, the impact of training on organisational commitment has not been so widely researched. A limited number of studies have been conducted in America (Bartlett, 2001), Malaysia (Ahmad and Bakar, 2003) and the Middle-East (Al-Emadi and Marquardt, 2007). These studies all find a strong positive relationship between training perceptions and affective organisational commitment and a weaker relationship with continuance commitment. Bartletts (2001) study in the US health care context, finds a strong relationship between four training variables and affective commitment. However, his research suggests a limited impact of them on continuance commitment. Ahmad and Bakar's (2003) study, conducted in Malaysia, finds a significant relationship between five training variables and affective commitment. For continuance commitment their research only demonstrated a significant correlation with two, the training environment and perceived training benefits. Al-Emadi and Marquardt (2007) examine the perceptions of senior staff in the Qatari petrochemical industry on the perceived benefits of training participation and its impact on organisational commitment. They found a positive relationship between perceived training benefits and both affective and continuance commitment. 2.9 EFFECT OF TRAINING ON EMPLOYEES PERFORMANCE Heather Lacey (2010), emphasized on some of the effects of training. She went further to explain employee training as the training that involves teaching employees skills that can make them more efficient and productive workers. A trained workforce has benefit for employees and employers as well. According to her employees who are trained often have higher motivation and moral because they feel that the company has invested in their ability and development and need to show their appreciation and gratitude by working hard to achieve organizational goal. This also results in lower turnover rates. Trained employees often work better as team because everyone is aware of the expectations and can achieve them together smoothly. Lacey emphasized that trained employees are also more confidence in their performance and decision making skills. In addition employees who receive regular training are more likely to accept change and come up with new ideas According to her, employees who learn new things through training make good candidates for promotions because they have shown their ability to learn, retain and use information. Reliable, skilled employees can also be empowered to train other employees which can reduce pressure for the management team. It can course financial strain for some companies. Outsourcing training or tuition reimbursement programs are generally most expensive. Taking time for training also takes an employee away from job tasks, which can course a short term drop in productivity. Highly trained employees may also be recruited by competitor company, who will benefit from your training efforts and costs should the employee choose to switch companies
2.10 MEANING OF MOTIVATION According to Nickels (2000), a country that dreams of surviving and competing in the international market must have an increase in new products, new ideas and an increased in productivity. To Nickels, all these factors depend on the human resource or labour of the country as they have direct impact on the economy. Labour force is undoubtedly the most sensitive and valuable assets of business in every country. This sensitivity has called for the need to sustain them. One way of sustaining employees is through motivation. The term motivation was coined from the Latin word Movere which simply means to move. Stephen P. Robbins (2002) defines motivation as the willingness to exert high levels of effort towards organizational goal conditioned by the efforts ability to satisfy some individual need. According to William et al, motivation is a goal directed behaviour that results from a felt need that a person wants to satisfy. To Robert Krietner and Angelo Kinicki (2000), motivation represents psychological processes that cause the arousal, direction and persistence of voluntary actions that are goal directed. A more comprehensive definition emphasis three distinct aspects of motivation very necessary: First, motivation represents an energetic force that drives people to behave in a particular way. Secondly, this drive is directed toward something thats motivation is goal oriented. Third, the idea of motivation is best understood within a system perspective. In other words, to understand human motivation, it is necessary to examine the forces within individuals and their environments that provide them with feedback and reinforce their intensity and direction. Motivating an employee gives that person some satisfaction on the job. Even though job satisfaction cannot be observed, it can be inferred from an employees behaviour or verbal statement especially when there are discrepancies between the Employees previous performance and current performance.
To Durbin (1997) motivation in a work setting is the process by which behaviour is mobilized and sustained in the interest of achieving organizational goals. many managers believe that a happy worker is a productive worker so much effort are made to make employee happy at work, but recent research has also proven that a happy worker or employee might not necessarily be productive. Managers are therefore edged to find the genuine needs and interest of their employees and try as much as possible to satisfy them efficiently and effectively. Managers must indeed make sure that high performance is actually rewarded.
2.11 MOTIVATIONAL THEORIES The theories of motivation can be categorized into two (2) broad areas. The content theories is the first category and it focus mainly on individual needs. Physiological or psychological deficiencies that feel are difficult to reduce (Carter McNamara, 2008). The managers job, they say is to create a work environment that responds positively to individual needs. Major content theories of motivation include; SCHEINS CLASSIFICATION OF MOTIVATIONAL ASSUMPTIONS In 2004, Lucey quotes professor Scheins review of assumptions about people that were very implicit in ideas about what factors and conditions motivate people at work and summarizes Scheins four way classification as follows; Social Man: Assumption man is a social animal and gains his basic sense of identity through relationships with others and so the help of training employees are able to relate. The effect of these assumptions is that, management is only effective to the extent it can mobilized and depend on these social relationships. Much attention is therefore needed to promote leadership and group behaviour. Self actualizing Man: The assumption made was that, man is primarily self motivated and self controlled hence man needs self fulfillment, challenge, responsibility and a sense of pride in this work. This concept is based on Abraham Maslows hierarchy needs and closely linked to McGregors theory. Rational Economic Man: The assumption mode was that, man is primarily motivated by economic needs. He therefore has to be manipulated, controlled and financially motivated by the organization. Complex Man: Man is variable. He has many motives which are arranged in a hierarchy which is subjected to charge from time to time depending on the prevailing situation. Managers are therefore encouraged to vary their behavior in accordance with the motivational needs of particular individuals and groups to Sechein, the relationship between the individual and the organization is interactive and interdependent.
THEORY X AND THEORY Y With reference to Maslows needs theory, Douglas McGregor grouped the physiological and safety needs as lower order needs and the social esteem and self actualization needs as upper needs. Douglas proposed two alternative sets of assumptions and labelled them X and Y. to McGregor, people should be treated differently depending on whether they are motivated by lower order or higher order needs. He believes that theory X assumptions are appropriate for employees motivated by lower order needs and theory Y assumptions are appropriate for employees who are motivated by higher order needs. He emphasized on the fact that people with lower order needs are motivated by higher order needs.
ABRAHAM MASLOWS HIERARCHY OF NEEDS According to Lucey (2004), Abraham Maslow was an American Psychologist who developed the theory that people are motivated by a desire to satisfy specific groups of needs and that they tend to satisfy their needs progressively starting with basic physiological needs and moving up the hierarchy. Maslows needs hierarchy was reformulated in an ERG theory of motivation. [Maslow emphasized on the fact that when one need is more or less satisfied, another higher level needs behind Maslows]. The main idea behind Maslows theory of human motivation is seen in a hierarchy of fire needs categories which he labelled as Physiological needs, safety and security needs, love (social) needs, esteem needs and the need for self actualization. Maslow emphasized on the fact that when one need is more or less satisfied, another higher level need becomes dominant. This means that when a need is satisfied, it ceases to be a motivator. He commends that a starving man is obviously dominated by the need for food and pays less attention to esteem and status. Although some researchers have challenged the assumption the theory stresses that only ungratified needs motivate behaviour and mostly it is the lowest level of ungratified needs in the hierarchy that motivates behaviour. As one level of need is met, a person progresses up the hierarchy as they successively gratify each level of need. A shortfall of this progression hypothesis is that, it makes no room to move down the hierarchy. HERZBERGS MOTIVATION HYGIENE THEORIES Frederick Herzberg provided an influential insight into motivation in which Herzberg confirmed that it contain factors lead to job satisfaction and termed it as hygiene factors. To Herzberg people had two set of needs, one related to the humanistic desire for psychological growth. Conditions in the work place he says, would affect one or the other of these needs. He termed work conditions that are related to satisfaction of the need for psychological growth as motivation factors and work condition related to dissatisfaction caused by discomfort or pains as hygiene factors. Hygiene factors and motivation are not opposites and that hygiene factors even if provided for them do not include job satisfaction but prevent dissatisfaction. To him, hygiene factors maintain production but motivation are needed to increase output (Cole 2000).
MCCLELLAND'S THEORY OF NEEDS Another theory of needs to be discussed is by David McClelland (1961). According to McClelland, individuals are thought to vary in their drive to gratify Six (6) basic human needs. These are the need for achievement, power, affiliation, esteem, independence and security. He stresses on the fact that people will accomplish the most when they have a high need for achievement. They will select goals that are medium in difficulty, challenging but not impossible goals. To him, people who have low in need for achievement will select goals that are either low in difficulty or easy to accomplish or very high in difficulty. Failure to achieve such extreme goals would therefore be expected. One interesting finding of McClelland work is that, need for achievement varies among nations (1961, page 100). On a practical level, McClelland has proposed that the populace of entire nations or portions of a nations populace could be trained to be higher on needs would manifest themselves as people chose more difficult goals and worked to achieve those goals. He concluded that the economy of a whole region could be positively influence.
2.12 The Relationship between Training and Motivation Tharenou Phyllis (2001) explains training as the formal process by which a person acquires knowledge, skills and competencies. Motivation on the other hand is the direction and intensity of ones effort or the psychological features that arouses an organism t and action towards a desired goal. The basis of motivation or the yearning to attain a desired goal depends on awareness such as goals and the realization that the person has the means capabilities to attain such goals. He says training provides both the awareness and the competency that allows people to be motivated towards a certain goal or objectives. The theoretical framework of motivation and training lies in theories such as Alderfers ERG theory. The major reasons of lack of motivation at work include lack of faith in ones abilities, fear of failure, low self esteem, habit such as procrastination and laziness, poor time management, monotony at work, poor reward and other factors, training provides a solution to most of these factors. The most obvious result of any company sponsored training intervention is skill enhancement. Training equips the employees with skills to do the work faster and efficiently and apply themselves to perform job more intelligently. In his view, training also help employees develop soft skills such as better time management, better critical thinking ability, better communication skills and other skills, all of which remains essential trait to succeed in any job. Training thus has become the basis of affecting performance improvement. The ability of employees to work better increases confidence, removes the fear of failure and improves self esteem, all translating to better motivation. Skills and competence enhancement through training also allows for job enlargement and job enrichment, whereby employees get a broader range of roles and responsibilities and end monotony. All these usually come with better rewards and recognition for primary motivators. He went further to explain that normally people remain disinclined to work in a company they cannot associate themselves with, training allows the employee to fit within the organization better, or affect a match between their personal values and organizational values and adjust their latent skills and competencies with what the company requires. It also provides a path to reduce mismatches and acquire the skills and competencies that remains in the demand but which the person lacks. Such training intervention motivates employees to associate themselves with the company, further substantiating the relationship between training and motivation. Training motivates employees primarily by building their skills levels and developing their level of competencies. Most employees remain aware of the need to keep their skills updated to remain competitive in todays fast changing world. The routine nature of work however does not provide them with opportunity to learn new things very often and as such they remain in a state of anxiety and frustration providing regular periodic company sponsored training and developmental intervention is one way companies helps employees relieve the anxiety and frustration regarding their skill stagnating and becoming employable in the future. This makes them motivated enough to remain and perform in their present job. 2.13 Motivating Employees through Training Result in Retaining Jim brown (2007), people may come and go in a particular company. Others may stay long and loyal even up to the point of retirement while others leave early on or in a couple of years for certain reasons. Such reasons could either be being offered a better paying job some place else, deciding to pursue further studies, getting bored with the existing job or basically losing the motivation and drive to stay with the current employer. Employees are motivated to work by several factors. Of course, the financial factor involved is one that you cannot erase from the picture for many if not majority work for the money. But one key factor though that motivates and encourages employees to work and to stay with their current employer is the availability of opportunities for him or her to grow within the company and advance his or her career through training. According to him different employees may have different viewpoints about the type of training opportunities they wish to get. Training is not just all about attending external training seminars and classes. Within the company itself training and development can range from promoting hard- working employees to higher responsibility positions or even just rotating employees to different departments to give them the opportunity to learn other skills that could prove to be useful for their career development. He further explains that the type of responsibilities that an employee currently has on his or her current job can significantly impact his or her training in the company. Expanding his or her current duties with higher level responsibilities, reassigning routine tasks and assigning new ones can train and prepare that employee for higher job positions or job openings for other departments within the company. More room for decision making, planning and supervision responsibilities should be given. Afford as well the opportunity for employees to train in other duties and responsibilities. In view of this external seminars as well as the company's internal training sessions can help develop and further enhance both an employee's skills and knowledge. Enable your employees to take online classes whether they are work-related or for further knowledge. Provide flexible work schedules to enable them to attend university or college classes to further pursue advance studies or continuing education. Employees should be given the opportunity to pursue training not only work-related but also in what they choose to be interested in. Any company should support and rally for learning. Apart from motivating and retaining employees, training can create employees who will benefit the company and who will benefit themselves as well from the leanings that they have gained. 2.15 Motivation to learn Well-motivated employees are more likely to have a positive perception of the training environment in their organisations. This has been shown to lead to greater participation in training activities (Mathieu et al., 1992). Empirical research also indicates that those motivated to learn tend to apply learnt skills more effectively in their work (Cannon-Bowers et al., 1993; Facteau et al., 1995). The benefits resulting should generate positive feelings towards the organisation, and so enhance affective commitment. Empirical studies by Bartlett (2001) and Ahmad and Baker (2003) confirm a strongly significant relationship between an individuals motivation to learn and their affective commitment but no relationship with continuance commitment. These findings suggest that organisations may benefit from greater affective commitment through motivating their employees to participate in training activities. Previous research in Hong Kong also confirms a positive relationship between motivation to learn and affective commitment (Cheng, 2001). This study tests whether multinationals in China may engender greater commitment by improving employee motivation to learn. This leads to the following hypothesis: H2: There is a positive relationship between motivation to learn and affective commitment. CONCLUSION In conclusion, employees are the crucial assets whose needs should be of utmost importance to the organization. One way of fulfilling these needs can be achieve through training. Training equips the individual with the necessary skills, knowledge and competence to do his/her work effectively since it serves as a motivation leading explained in the above.
CHAPTER THREE RESEARCH METHODOLOGY 3.1 INTRODUCTION This chapter looks at the way the study would be done and the technique to elicit the relevant information for the study, four major areas to be covered are, Data Source, Sampling, Study instrument and Data Analysis. 3.2THE STUDY SITE The research was carried out in National Investment Bank, Koforidua Branch in the Eastern Region. Established on 22 nd March, 1963, the National Investment Bank Limited was the first development bank in Ghana to promote and strengthen rapid industrialization in all sectors of the Ghanaian economy. National Investment Bank (NIB) Limited now operates as a universal bank in focusing on development and commercial banking activities. The corporate mission is to serve as a trusted provider of customer focused banking services to retail and corporate customers, building on past successes and devoting our human, financial and technological resources to add value to the activities of stakeholders. The companys vision is to become the Fifth Largest Bank in Ghana with effective banking links with our overseas correspondent banks. NIB Ltd has undergone management, institutional and financial restructuring, which has strengthened the organization and now, has Twenty-Seven (27) branches nationwide. It has in the past participated in foreign lines of credit, which were administered by Bank of Ghana to meet term loan and working capital needs of the Bank's customers. The bank is also one of the designated financial institutions, which sources funds from Export Development and Investment Fund (EDIF) for on lending to exporters as Term and Working capital loans. It was awarded the prestigious Euro Market Award in 1994 and won the 2003 Best Bank of the Year for Long Term Loan Financing. The National Investment Bank plays leading role in developing a number of highly successful industrial projects in Ghana, through equity and debt financing. Some of these are Nestle Ghana Ltd, Nexans Kabelmetal (Ghana) Ltd, National Investment bank (Ghana) Ltd and Total Ghana Ltd. Products and Services Apart from its development banking activities, NIB Ltd also provides corporate and commercial banking facilities involving both domestic and foreign transactions at very competitive rates and on flexible terms. They include Current and Savings Account, Call Deposits, Fixed Deposits, Loans and Advances, Personal Loans, Overdrafts, Western Union Money Transfer, Mobile Management Services and Warehousing. National Investment Bank Limited is networked nationwide and renders efficient banking services to ensure that our customers receive consistent and efficient services, highly trained personnel of the Bank attend to standard banking needs promptly. They also deliver quality service, tailored to meet requirements of customers.
The banks core values 1. Provide Ultimate Customer Service. NIB's success is all about service - exceptional customer service. The bank connects with customers, understanding them to help them realize their potentials. They aim to exceed client's expectations. We value action and decisiveness and recognize that the best opportunities come to those that act quickly. 2. Respect for Employees. NIB's staff has great values. They deliver, are honest, open and respectful, willing to take on big challenges, self-critical and accountable. At NIB, everyone's contribution is valued. They place high value on teamwork because they know that the power of many is greater than the power of one. 3. Innovation and Responsibility. They operate in an environment of trust, openness and flexibility. NIB staff is not afraid to come out with creative ideas to solve problems. 5. Social Responsibility. They believe in support for the community in which they operate. They improve communities by being active, responsible and generous members of the communities they serve. To this end, they support causes such as Road Safety and Education. They believe in putting back into the community for a better tomorrow. 6. Contribution to Economic Growth. NIB supports the government in its bid to strengthen industrial base by giving financing to agro-based and industrial projects. To encourage growth in the agro-processing industry, NIB is instituting an award scheme for the Best Agro-Based Industry. 3.3 THE RESEARCH POPULATION The population of the study includes the entire staff the banks branch at Koforidua. In the entire branch have (20) staff members.
.3.4 SAMPLE SIZE According to Osuala, (2005) Sampling is taking any portion of a population or universe as representative of that population or universe. For the purpose of this study, all the Twenty-two (20) members were used due to their satisfactory number. 3.5 SAMPLING TECHNIQUE The researcher deemed it possible to use census study because the researcher found the number convenient enough to involve all of them in the study. 3.6 DATA COLLECTION METHOD With respect to this study, primary method is used in the gathering of information. The primary source includes the issuance of research questionnaires and face to face interview with respondents. This study rarely used secondary source of data gathering also included books, journals, internet and articles. 3.7 METHOD OF DATA ANALYSIS Statistical Package for Social Sciences (SPSS Software) is used to analyze the various data gathered for this research work. Thus, the SPSS is used to analyze responses reached me by the respondents of the study. Thus, according to Herzog (1996) SPSS is computer software that is used to analyze all the data gathered on a research work CHAPTER FOUR DATA ANALYSIS AND INTERPRETATION 4.1 Introduction In this chapter, we are concentrating on analysing and giving proper interpretation to data gathered from the field of survey. The analysis of data is grouped into two; the first part involves the analysis of data gathered through one on one interview conducted with the three selected senior managers of the organization. The managers selected were the human resource manager, production manager and the sales manager. This analysis is done quantitatively. The second part is also concerned with the analysis of data gathered through the issuance of questionnaires to selected employees of the organization. This analysis is done by the use of Statistical Package for Social Science (SPSS). This type of analysis is known as qualitative analysis. 4.2 Interview analysis 4.2.1 Purposes of training in the organization According to the view of the managers, the organization really organizes training programs for the employees to build up their competencies. According to the training manager training participants are selected based on various criteria but was not able to specify exactly how training needs are identified except to say that it depends on the circumstance. From the manager, issues on the ground determine the objectives of the training but training has to be a planned process that takes care of issues on the ground. According to him training is organizing to help improve the performance level of the employees so as to equip them to be able to deliver to ensure the achievement of the corporate goals.
4.2.2 Effect of training schemes on employees performance and productivity When the manager was asked concerning the effect of training on employees performance and productivity, he clearly stated that training to a very high extent affects employees performance and productivity in the sense that it leads to improved skills, knowledge, abilities and competencies of the employee and by so doing according to him productivity and profitability will also increase. 4.2.3: employees training and turnover rate By the managers response, turnover within the organization is reduced when employees are trained. This is because, according to the manager, training brings out the best and also adds up to the skills and abilities of the employee so he works with joy and also shows commitment to work. Also, when employees are not well trained they cannot perform to meet target and this if continues for long puts the job security of the employee at a risk and so training has a very great impact on labour turnover he said. 4.2.4: Causes for the Failure of Training Programs On the issue of training failure, the manager asserted that training programs sometimes fail to generate results as expected but on the whole according to him has been good. He further explained that, the factors that lead to the failure sometimes may be attributed to the method and may be the timing of the program organization but failed to hit on other factors that research has already shown. 4.3 Presentation and Analysis of Tables 4.3.1 To identify the major purposes of training in the organization Before an organization will put up or organize a training program, there must be an objective to be achieved. It might be either to improve performance or to help employees to be acquainted with introduction of new ways of doing things in the organization. So the researcher, therefore, deemed it important to find out the purposes for organizing training programs by the organization. Table 4:1 employees participation in training programs The view of the managers indicated that the company really take steps to improve the performance of the employees, but to find out the real truth in what he said, the researcher decided to find out from the respondents also if the assertion is true or not. The responses are as shown in the table below. Have you participated in any form of training before?
Frequency Percent Valid Percent Cumulative Percent Valid Yes 13 65.0 65.0 65.0 No 7 35.0 35.0 100.0 Total 20 100.0 100.0 Source: field survey march 2014 From the above table, responses indicate that 65% of the respondents have engaged in training programs while 35% have not also participated in any form of training program in the organization before. The former figure sounds good, because it means the organization is really taken steps to equip its employees for good works. Nonetheless, the later figure also is an indication that some of the respondents are not being given the opportunity to improve their skills and should be provided the right to do so.
Table 4.2: Employee Selection for Training Process Literature tells us that training is planned and systematic flow of activities involving determining training purpose and policy, and following through by determining training and development needs, planning the training, and evaluating training. Selecting the participants through a careful process of training needs identification is therefore the proper process of initiating training. Subsequently, respondents were asked a series of questions to determine the flow, planned and systematic nature of training and development process at the organization of study. The starting point was to know how respondents were selected for inclusion in the training programs they have participated in. The table below indicates responses as provided by the respective respondents to the above state
How were you selected
Frequency Percent Valid Percent Cumulative Percent Valid 0 7 35.0 35.0 35.0 supervisor recommendation 2 10.0 10.0 45.0 employee request 2 10.0 10.0 55.0 through performance appraisal 2 10.0 10.0 65.0 new technology 1 5.0 5.0 70.0 dont know 6 30.0 30.0 100.0 Total 20 100.0 100.0 Source: field survey March 2014 The above table 4.3 indicates that many of the respondents constituting 30% out of the total respondents who have participated in training programs before do not know how they were selected for the training programs they participated in. when the training manager was asked about the criteria for selecting employees for training, his response indicates that participants are selected based on various criteria and he was not able to specify exactly how training needs are identified except to say that it depends on the circumstance.
Table 4.3: Respondents Awareness of Training Purposes In training practice, it is also good to have trainees know the objectives for each training program they participate in. the respondents were asked if they were always clear about the objectives of each training program they participated in. The table below captures the responses from the 13 respondents who have participated in training before. Are you always clear about the purposes of the training program you participated?
Frequency Percent Valid Percent Cumulative Percent Valid 0 7 35.0 35.0 35.0 Yes 9 45.0 45.0 80.0 No 4 20.0 20.0 100.0 Total 20 100.0 100.0 Source: field survey March 2014 Table 4.4 demonstrates clearly that the minority of respondents that is 20% out of the total population are always not clear about the objectives of the training programs they participated in. o 45% of the respondents indicated that sometimes they do get the objectives of training programs they attend. When the training manager was asked in the interview to indicate how training objectives were determined, he did say issues on the ground determine the objectives of the training but training has to be a planned process that takes care of issues on the ground. Table 4.4 Purposes of the Training Programs They Participated In There is a purpose for carrying out every plan and so is the organization of training programs and so the researcher decided to find out from the respondents the purposes for the program they participated in.
What were the purposes of the program you participated?
Frequency Percent Valid Percent Cumulative Percent Valid 0 7 35.0 35.0 35.0 to help improve performance 3 15.0 15.0 50.0 to gain more knowledge and skill 2 10.0 10.0 60.0 to build-up your abilities and competencies 1 5.0 5.0 65.0 All of the above 7 35.0 35.0 100.0 Total 20 100.0 100.0 Source: field survey March 2014 When respondents were asked to indicate the among number of factors the ones which serve as purposes for the training programs they have participated in, 15% indicated to improve performance to gain more knowledge and skills was indicated by 10% of the respondents while only 5% indicated to build-up their abilities and competencies for work. However, the majority of the respondents indicated all of the above. Table 4.5: Methods used for the program facilitation When the training manager was asked to identify the training types and methods used, he indicated that the organization engages in orientation training for new employee, refresher training for existing employees, job training, and career development training. Regarding training methods, he mentioned on the job training, mentoring, seminar etc. as the methods of training, it was necessary to assess these methods from the point of view of the respondents. So they were asked a question regarding what training methods they had experienced. Table 4.5: What methods were used for the facilitation?
Frequency Percent Valid Percent Cumulative Percent Valid 0 7 35.0 35.0 35.0 Seminar 7 35.0 35.0 70.0 On-the-job training 4 20.0 20.0 90.0 Understudy training 2 10.0 10.0 100.0 Table 4.5: What methods were used for the facilitation?
Frequency Percent Valid Percent Cumulative Percent Valid 0 7 35.0 35.0 35.0 Seminar 7 35.0 35.0 70.0 On-the-job training 4 20.0 20.0 90.0 Understudy training 2 10.0 10.0 100.0 Total 20 100.0 100.0 source: field survey march 2014 By responses from the respondents, 35% indicated that the method use is seminar, while 20% indicated on-the-job training and the 10% also indicated understudying method.
4.3.2 To find out the effect of training schemes on employees performance and productivity
Training is meant to enhance the performance of the employees involved and consequently increase productivity. In view of this, it excited the researcher to find out from the respective respondents if training actually has an impact on their performances and increased productivity or not. Table 4.6: respondents view on how training boosts their performances:
Responses provided by the respondents in respect to the above statement are as indicated in the table 4.6 below.
In your view, do you think training has helped improve your performance?
Frequency Percent Valid Percent Cumulative Percent Valid 0 6 30.0 30.0 30.0 Yes 14 70.0 70.0 100.0 Total 20 100.0 100.0 source: field survey march 2014 From the above table, the responses provided by the respondents indicate with 100% response that training of cause has helped their performance level. This figure is very relevant because it is an indication that the training is actually having effect on the employees. Table 4.7: Training Effect on Productivity Literature has it that training has effect on productivity just as the manager indicated. More so, the researcher wanted to find out from the respondents if they also have the same view or not. The responses provided are as shown in the table below. Would you say training have effect on productivity?
Frequency Percent Valid Percent Cumulative Percent Valid Yes 17 85.0 85.0 85.0 No 3 15.0 15.0 100.0 Total 20 100.0 100.0 Source: field survey March 2014 From the above table, the responses provided by the total respondents indicate clearly that training has effect on productivity. This is shown with 100% response from the total respondents.
Table 4.8: Kind Of Effect Training Has On Productivity: Though the above response has indicated that training has effect on productivity but the type of effect it has on productivity is not yet known. It could be positive and it could be negative. The researcher therefore decided to find out from the respondents the type of effect it has on productivity.
What effect has it on productivity if the answer is yes?
Frequency Percent Valid Percent Cumulative Percent Valid 0 3 15.0 15.0 15.0 positive 17 85.0 85.0 100.0 Total 20 100.0 100.0 source: field survey march 2014 By way of response to the above question, the majority of the respondents indicated that truly training has positive effect on productivity. This is indicated by 85% response from the total respondents. Table 4.9: Opportunity Offered By Training to Attendees for Future Studies The researcher also sought to find out if training has in any way offered the employees the opportunity to identify any potential for further studies or not. The responses provided are as indicated in the table below. Has training offered you the opportunity to identify any potential you have for further studies?
Frequency Percent Valid Percent Cumulative Percent Valid 0 7 35.0 35.0 35.0 Yes 13 65.0 65.0 100.0 Total 20 100.0 100.0 Source field survey March 2014 In response to the above question, as many as 70 out of the total number of 80 respondents representing 87.5% responded No to the above stated question. Since our discussions prior to this one has proven that training and development as well as career development are not planned and are not orderly organized, the above responses will by no means be an astonishing one.
Table 4.10: Respondents View on How Training Enhances Their Knowledge Skills, Abilities and Competencies to Increase Performance and Profitability
Table 4.10 below indicates responses to the above stated point as indicated by the respondents to the study. Training enhances your knowledge, skills, abilities and competencies to increase productivity through better performance?
Frequency Percent Valid Percent Cumulative Percent Valid True 18 90.0 90.0 90.0 False 2 10.0 10.0 100.0 Total 20 100.0 100.0 source field survey march 2014 The responses provided by the respondents as indicated in the above table shows clearly that the majority of the respondents which consist of 90% are of the view that training enhances their knowledge, skills, abilities, and competencies to put up better performances to increase productivity. Objective 3: To find out the effect of training on employee turnover Training programs increase an employee's job knowledge. An increase in job knowledge means that the employee will feel more comfortable doing his job and will perform at a high level, and as a result would like to stay on the other hand if the employee is unable to perform because he has not the knowledge and skill require would also find it difficult to stay. In view of this it became necessary for the researcher to also find out the impact of training on employees turnover as stated above. Discussions below will help us address the above objectives Table 4.11 Respondents view training effect on labor turnover Ahmad and Bakar (2003) find evidence of a significantly positive relationship between the perceived benefits of training and affective and continuance commitment. This is to prove that there is a relationship also between employee training and commitment for work. This also propelled the researcher to draw attention to the effect of training on labor turnover. The table below provides responses to the above statement. Are you of the assertion that training has effect on labour turnover?
Frequency Percent Valid Percent Cumulative Percent Valid Yes 20 100.0 100.0 100.0 source: field survey march 2014 From the above table, it is well indicated that 100% of the total population are of the assertion that training has effect on labour turnover. Table 4.12 Employee Training and Expectations Attainment Employees are trained to help them acquire the needed skills and knowledge to perform at high level and probably live up to expectations. As a result, the researcher also decided to find out form the respondents their view concerning this fact. Table 4. Below provides responses to the above statement.
When employees are well trained, they are equipped to live-up to expectations?
Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 11 55.0 55.0 55.0 Agree 9 45.0 45.0 100.0 Total 20 100.0 100.0 source: field survey march 2014 From the above table it is clearly seen that 55% are in strong agreement to above assortment while 45% are also in agreement to the statement. These figures are very significant because they attest to the importance of training as a motivational tool to improve employee performance and productivity.
Table 4.13 Factors created by employee training: respondents view Training programs are organized for employees to make them competent for work. That is to create in them certain factors that will enable them to perform better. The respondents were therefore asked to indicate the factors that training programs create in the attendees and the responses are as indicated below. Which of the following factors does employee training create?
Frequency Percent Valid Percent Cumulative Percent Valid Flexibility 4 20.0 20.0 20.0 Adaptability 3 15.0 15.0 35.0 Employability 2 10.0 10.0 45.0 competencies enhancement 1 5.0 5.0 50.0 all of the above 10 50.0 50.0 100.0 Total 20 100.0 100.0 source: field survey march 2014 From the table above, responses have indicated lucidly that training creates in the employee such factors as flexibility, adaptability, employability, and competency enhancement as indicated by 50% response of all of the above as shown in the above table. This also buttresses on the fact that employee training plays a major role in competency building and organizations must not over look at it. Objective four: To find out why training programs sometimes fail to achieve expected results Even in companies that tend to support the training of employees, and make training and development opportunities available to employees, much of the resources allocated to training are wasted. That is, there are no measurable or obvious positive results in terms of better employee contributions or productivity. The researcher therefore deemed it necessary to find out the reasons why training programs sometimes fail to hit results. Table 4.14 Results achievement of training programs It is a known fact that companies engage in training programs in order to equip its employees to perform and live-up to expectations yet much of it results in failure. It therefore interested the researcher to find out it companies are able to achieve results or not. The table below provides responses to the above statement. Do you always achieve results for training?
Frequency Percent Valid Percent Cumulative Percent Valid Yes 6 30.0 30.0 30.0 No 14 70.0 70.0 100.0 Total 20 100.0 100.0 source: field survey march 2014
From the above table, it is clearly indicated by the majority of the respondents comprising of 70% that the organization do not always achieve results with which training programs are organized while 30% are also of the assertion that the organization does achieve results always. The former figure is very significant because training is meant to equip employees and so if the organization is not achieving results then it is incurring cost instead of yielding better returns of improving productivity. Table 4.15: Causes of training programs failure: respondents view There is a cause for everything that happens under the sun and so there are causes that may also account for the failure of training programs and so the researcher tried to find out from the respondents what they think causes the failure of training programs organize by the organization. The responses are as shown in the table below.
If the answer is no, what causes the failure?
Frequency Percent Valid Percent Cumulative Percent Valid lack of systematic plan 3 15.0 15.0 15.0 Training methods not linked to actual needs 3 15.0 15.0 30.0 lack of proper monitoring 2 10.0 10.0 40.0 inadequate support for training 2 10.0 10.0 50.0 all of the above 10 50.0 50.0 100.0 Total 20 100.0 100.0 source: field survey march 2014
As it is clearly seen in the above table, lack of systematic planning, training methods and contents not linked to actual needs for the training; lack of proper training monitoring; and inadequate support for training all accounts for the failure of training programs. This figure is also signified with 50% response of all of the above by the total respondents. Thus for the organization to achieve training results, critical view must be given to the above factors.
Table 4.16: Aiming of training programs and failure: respondents view It is a good thing to invest bountifully in training your employees but if the training do not address the needs and wants of both the company and the attendees, very little impact is achieved and the companys time and money is wasted. In view of this the researcher tried to find out from the respondents if the above assertion is actually true or not. The responses provided by the respective respondents to the study in relation to the above view are as indicated in the table below. When employee training and employee development is not aimed at addressing needs and wants of both attendees, they are not likely to hit results?
Frequency Percent Valid Percent Cumulative Percent Valid True 20 100.0 100.0 100.0 source: field survey march 2014
The responses indicated in the above table affirms the fact that when employee training development is not aimed at addressing needs and wants of both attendees, they are highly unlikely to hit target results. This is shown by 100% response of all of the above.
CHAPTER FIVE RESEARCH FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS 5.1 Introduction This chapter deals basically with the summarization of research findings conclusions and recommendations to help curtail issues pertaining to training in the organization. 5.2 Summarization of Research Findings With this section we are looking at summarizing the findings gathered after the research analysis in the preceding chapter. After the analysis, the following findings were made; 1. It was found that 65% of the respondents have engaged in training programs while 35% have not also participated in any form of training program in the organization before, but many of the respondents constituting 30% out of the total respondents who have participated in training programs before do not know how they were selected for the training programs. 2. It was uncovered that the minority of respondents out of the total population are always not clear about the objectives of the training programs they participated in while 45% of the respondents indicated that sometimes they do get the objectives of training programs they attend. 3. It was brought to light that improve performance, to gain more knowledge and skills were the purposes for the training programs they attended 4. It was also discovered that seminar, on-the-job training, and understudying are the methods use in the training facilitating. 5. It was found that training of improve performance level. While it also has effect of productivity in that it has positive effect on productivity. 6. It was revealed that training enhances employees knowledge, skills, abilities, and competencies to put up better performances to increase productivity and it also have an effect on labour turnover.
7. It was unearthed that training creates in the employee such factors as flexibility, adaptability, employability, and competency enhancement. 8. It was found by 70% of the respondents that the organization does not always achieve results with which training programs are organized while 30% are also of the assertion that the organization does achieve results always. 9. It was disclosed that lack of systematic planning, training methods and contents not linked to actual needs for the training; lack of proper training monitoring; and inadequate support for training all accounts for the failure of training programs. 10. It was lastly found that when employee training development is not aimed at addressing needs and wants of both attendees, they are highly unlikely to hit target results. This is shown by 100% response of all of the above.
5.3 Conclusion: On the bases of the findings made the following conclusions are also drawn. It is concluded that majority of the respondents have participated in training programs before while 35% have never gotten such an opportunity before. The majority that has engaged in training programs before, only few knew the selection criteria for the training. It is also concluded that majority of the respondents are always clear about the purposes for which the training programs are organized while the few are unaware of the objectives of the training programs. Among the purposes of organizing training sessions in the organization are to improve performance, enhance employees skills and knowledge, abilities and competencies.
5.4 Recommendations The following recommendations are given to help curb the challenges faced by NIB as it tries to deal with the issues of training. 1. It is important for the Ghanaian Corporate sector to understand that training does not have an impact on just employee performance but on a firms overall performance. There should be a willingness thereof, to invest in employee training with the understanding that it is an investment that will yield returns. 2. There must be adequate support for training while also ensuring that training is well planned and linked properly. Training must also be aimed at addressing the needs of both the company and the attendees as to ensure that results are achieve at the end of its organization 3. Training needs should be considered on the basis of overall company objectives. The goals of the company should determine what training programs are to be organized for staff. Staff should be motivated to add value to themselves and their lives. 4. Identification needs should be done more professionally in conjunction with the line manager as well as the individuals involved together with the HR personnel. Everyone involved should agree exactly to what the trainees are lacking, for instance what skill is indeed, and what attitudes need to be toward work performance. The needs identified should emanate from the organizations strategic plan, which also cover departmental/sectional/teams and individual plans. 5. Objectives must be SMART (specific, measurable, achievable, realistic, and timely) and clear-cut, and should develop the individual as well as meeting the needs of the organization. Objectives should also include performance targets, standards and should be seen as attainable by individuals. Also a basis for motivating through intrinsic and extrinsic rewards should be provided as will lead to commitment and improved performance.
GHANA TECHNOLOGY UNIVERSITY COLLEGE Topic: THE ROLE OF TRAINING AS A MOTIVATIONAL TOOL ON EMPLOYEES ON PERFORMANCE AND PRODUCTIVITY: A case study of NATIONAL INVESTMENT BANK GHANA Limited Please, this study is designed purely for academic purposes and so all information provided shall be treated with adequate confidentiality. Please tick in the brackets and provide short answers when required. Section A: Gender : Male [ ] Female [ ] Age : 20-30 [ ] 31-40 [ ] 41-50 [ ] 51-60+ [ ] Educational background : Basic [ ] Secondary [ ] Tertiary [ ]
Section B: To identify the major purposes of training in the organization 1. Have you participated in any form of training before? Yes [ ] No [ ] 2. How were you selected for the training? Supervisor recommendation [ ] Employee request [ ] Through performance appraisal [ ] New technology [ ] Dont know [ ]
3. Are you always clear about the purposes of the training program you participated? Yes [ ] no [ ]
4. What were the purposes of the program you participated? To help improve performance [ ] To gain more knowledge and skill [ ] To build-up your abilities and competencies [ ] All of the above [ ] 5. What methods were used for the facilitation? Seminal [ ] On-the-job training [ ] Understudy [ ] To find out the effect of training schemes on employees performance and productivity 6. In your view, do you think training has helped improve your performance? Yes [ ] No [ ] 7. Would you say training have effect on productivity? Yes [ ] No [ ] 8. What effect has it on productivity if the answer is yes? Positive [ ] Negative [ ] 9. Has training offered you the opportunity to identify any potential you have for further studies? Yes [ ] No [ ]
10. Training enhances your knowledge, skills, abilities and competencies to increase productivity through better performance? True [ ] False [ ]
Are you of the assertion that training has effect on labor turnover? Yes [ ] No [ ]
11. When employees are well trained, they are equipped to live-up to expectations? Strongly agree [ ] Agree [ ] Strongly disagree [ ] Disagree [ ] 12. Which of the following factors does employee training create? Flexibility [ ] Adaptability [ ] Employability [ ] Competencies enhancement [ ] All of the above [ ] Objective four: To find out why training programs sometimes fail to achieve expected results 13. Do you always achieve results for training? Yes [ ] No [ ]
15If the answer is no, what causes the failure? Lack of systematic plan [ ] Training methods not linked to actual needs [ ] Lack of proper monitoring [ ] Inadequate support for training [ ] All of the above [ ]
When employee training and employee development is not aimed at addressing needs and wants of both attendees, they are not likely to hit results? True [ ] False [ ]
Appendix 2 Interview Schedule with the Senior Managers Rank............................................... Department............................................... 1. Do you organize training seminars for your employees? ................................................................................................................................................ ................................................................................................................................... 2. What criteria do you use to select individuals for the training seminars? ................................................................................................................................................ .................................................................................................................................... 3. Are the employees always clear about the purposes of the training? ................................................................................................................................................ ................................................................................................................................... 4. What are the purposes for the programs you organize? ................................................................................................................................................ .................................................................................................................................... 5. What method do you always use for the training facilitation? ................................................................................................................................................ .................................................................................................................................... 6. Is training good for your employees and why? ................................................................................................................................................ .................................................................................................................................... 7. Does training has effect on labour turnover and how? ................................................................................................................................................ .................................................................................................................................... 8. Does employee training benefit the organization and in what ways? ................................................................................................................................................ .................................................................................................................................... 9. Do you always achieve results of training organization? .......................................................................................................................................... 10. If not what causes the failure? ................................................................................................................................................ ....................................................................................................................................
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Zaccarelli, H. E Improving Employee Performance Effective Training: Kogan. London, UK(1997) Angelo, k. Human resource and personnel management South Western College Publishing (2000) Ashwathappa, K Human Resource Management, New Delhi: McGraw Hill, fifth edition (2008) Amisssah Arthur, K. B "Double Efforts to Transform Economy. Governor Tells Banks." Ghana News Agency. (2009). Aryee, A. Services, Brands and Success." 8th Ghana Banking Awards Magazine. (2009) Bartlett Management and organization Behaviour; 7 th ed. Prentice Hall. (2001), Black, S. E. and Lynch L. M. Human-Capital Investment and Productivity; The American Economic Review. (1996) Carter, M. Managing Human Resource in Canada; 5 th edition(2006), Cascio, W.F, Managing Human Resources; 2nd edition McGraw Hill Book Company., New York, USA. (1989) Cole, G., Personnel and Human Resource Management; 5 th edition York Publishers., Continuum London, UK. (2002) De Cenzo, D. A.. Human Resource Management John Wiley and Sons., New York. USA. (1996) Gould-Williams, Managing Human Resource; 2 nd edition (2007). Gomez-Mejia, R., et al Managing Human Resources 2nd edition Pearson Education., New Jersey, USA (2007) Jim brown, an article on motivating employees through training result in retaining. (2007) Lindsay W. M. The Management and Control of Quality 4th edition South Westernllege College Publishing., Cincinnati Ohio. U.S.A(1999) Kenney Et Al, Management Made Easy 1st edition Omron Publishers., South Carolina, USA(1992) Krietner, S The Good Managers Guide; 1s edition Synene Publishers. (2000). McGhee Et Al. Nature of Learning; 1st edition McGraw-Hill Book Company., Boston, USA. (2004) Neo Et Al. Gaining Competitive Advantage; 3rd edition McGraw-Hill., Boston, USA. (2000) Stephen P. Robbins. Gaining a competitive advantage; New York: McGraw hill, international edition. (2002) Tharenou Phyllis, the relationship of training and motivation to participant journals of occupation. (2010) Tung, R Research in International Human Resource Management, in: Wong-Rieger, D. & Rieger, International Management.(1993)
Zaccarelli, H. E Improving Employee Performance Effective Training: Kogan. London, UK(1997)