Effect of Learning and Development to an organization

 

Effect of Learning and Development to an organization

When an Organization willing to perform its best in the dynamic competition market, human capital laid on strong emphasis of the process, in order to achieve optimum return for the investment, it is essential to provide training and development programmes which increases productivity of the workforce (Fard, 2013). Since the skill of an employee becomes obsolete over a period, Training and development is essential for all the employee levels of an organization to replenish the knowledge and skill (Langer & Mehra, 2010). Ahmad, 2013 comes to the analytical result of his research, there is a positive relationship between employee retention and training and training may cause to long-term staying of employees in the same company.

According to the outcome of research “the impact of training and development on employee performance”, it was found that training and development increases the performance of the employees, so organization need to spend for training not as cost but as investment for sustainable long run competitive edge as shown in figure :1 below and the outcome shows in table 1 below (Younas et al, 2018).

Figure 1 relationship between employee performance Vs T & D



Source: Younas et al, 2018, p.21


 

Table 1: correlation



Source: Younas et al, 2018, p.23

Younas et al (2018) concluded the result as, there are 3 hypotheses effected to employee performance increment,

H1- Training leads to better employee performance

H2- Development leads to better employee performance

H3- Training & Development leads to better employee performance

Onyango & Wanyoike (2014), concluded that training and learning effects to the organization as 3 ways,

  1. Less supervision- self-motivation to the work with less errors due to properly learnt
  2.  Moral changes of employee – job satisfaction, less turnover and job security due to well trained
  3.   Chances to Promotion – less errors, hard work, well performance makes promotions to the employees

As per the analysis done by Mozael (2015), it is concluded that benefits of proper trainings are as follows.

  • Improve skills, attitudes, knowledge
  • High productivity with better performance
  • Enhance quality and ability to work
  • Change management -better understanding among each other
  • Possibility of allowances due to security and safety of the workplace
  • Reduce employee turnover

·    

Learning and development is a major part of a HRM of the organization, the amount of quality and quantity are the direct factors of effectiveness of the trainings offered to the employees (Laing & Ferguson, 2009). Some organization increases their annual budget portion for the training and development of the employees due to weakness of their vocational training systems (Vo & Hannif, 2012).   Training need analysis must be done by the HRM and it should be a continues process to identify types of trainings which can be govern the organization to get its benefit and the training need analysis must dome as follows (Brown, 2012).

Step 1- focus to weaknesses and pain point s of the organization and select appropriate training to overcome the issues

Step 2- provide comprehensive details about the requirement. Trainers also must conduct prior need evaluation of the training

Step 3 – ascertain the cost Vs benefit of providing training 

It is identified that, Organization can increase employee performance though 4 ways specifically, designing training, job training, delivery style and employee development as shown in figure 2 below(Khan et al, 2011).

Figure 2 Theoretical framework of T & D



Source: Khan et al, 2011, p. 64

The HRM of the organization I have work for has annual training need analysis program for the employees by recommending their immediate supervisors and it consists with employee lagging and paining areas as well as outbound training to moral changing of the employees. Then they forwarded requirement to the training planning section to prepare annual training calendar with suitable training methodologies. While delivering training, it is analysis the effectiveness of the training through the initial assessment, final assessment and feedback forms and supervisor feedback form indicates the effectiveness and performance of the participant, after the training. The organization normally shows early adaptation to new technology, innovation, less retention of employees and high employee satisfaction rate while gearing up the business to the high revenue. The management identified that one of the major factors of this performance is the regular facilitation of training and development to the employees.

List of References

1. Ahamed, U. (2013) Impact on Training on Employee retention [Online]. Available at: < https://www.researchgate.net/publication/263808540_Impact_of_Training_on_Employee_Retention>. [Accessed on 18th  August  2021]

2. Brown, J. (2002). Training needs assessment: A must for developing an effective training program. Public Personnel Management, 31(4), pp. 569-578.

3. Fard, R. Y. & Nda, M. M. (2013) The impact of employee training and development on employee productivity, Global journal of commerce & management perspective, 2(6), pp. 91-93.

4. Khan, R. A. G, Khan, F. A. & Khan, M. A. (2011) Impact of Training and Development on Organizational Performance, Global Journal of Management and Business Research, 11(7), pp. 63-67.

5. Laing & Ferguson, I. (2009) The impact of training and development on worker performance and productivity in public sector organizations: a case study of Ghana Ports and Harbours Authority,  MBA. Thesis, Kwame Nkrumah University of Science and Technology.

6. Langer,N. and Mehra, A. (2010) “How Training Jump-Starts Employee Performance”, Indian Management, Vol 49 (6), pp. 14-18.

7. Mozael, B. M. (2015) Impact of Training and Development Programs on

8. Employee Performance, International Journal of Scientific and Research Publications, 5(1), pp. 38-41.

9. Onyango, J. and Wanyoike, D. (2014) The effects of training on employee performance A survey of health workers in Siaya County, Kenya. European Journal of Material Sciences, 1(1), pp.11-15.

10. Vo, A. & Hannif, Z. (2012) The transfer of training and development practices in Japanese subsidiaries in Vietnam, Asia Pacific journal of human resources 50(1) pp. 75-91 [Online]. Available at < https://onlinelibrary.wiley.com/doi/abs/10.1111/j.1744-7941.2011.00007.x >. [Accessed on 18th August 2021]. 

11. Younas, W., Farooq, M., Khalil-Ur-Rehman, F. & Zreen, A. (2018) The Impact of Training and Development on Employee Performance. OSR Journal of Business and Management, 20(7), pp. 20-23.



Comments

  1. Agree with Thushari's argument above;
    The most vital requirement is retaining their key employees to long run an organisation. More knowledgeable and skilled peoples gain more for the company. Encouraging employees to develop their knowledge and skills within the R&D programmes will help enhance employee role flexibility and talent. Achieving an entire booming career within the organisation helps to improve organisation goals (Armstrong and Taylor, 2014). The post well explained the how the importance of R&D to organisations improvement.

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    Replies
    1. According to the case study of Jordanian Private sector transportation company in Jordan, done by Salah(2016), the outcome he came up with is, well trained employees can be considered as corner stone of the organizational success. But some workers show negative sentiment of towards learning, for example 32 percent of British workers shows negative feedback for learning and development. (Brown, 2018).

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  2. Agreed with your discussion point and add more ,Paradise, (2007) in his report stated that U.S. organizations alone spend more than $126 billion annually on employee training and development. In an environment where there is high uncertainty tends to present organizations with high risk, the knowledge of business and market intelligence present organizations with a reliable competitive advantage over those that do not have such (Jelena, 2007). Therefore knowledge is turning to basic capital that triggers development. The success of organizations is however dependent on its knowledgeable, skilled as well as experienced workforce. Therefore in order to maintain sustainability, organizations must see continuous employee training and development as invaluable. Training and development is very essential at all employee levels, due to the reason that skills erode and become obsolete over a period of time and has to be replenished (Nishtha and Amit (2010).

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    1. Yes, according to the survey report on Learning and development Activity, budgeting and current trends-2017, the budget allocation of organization for the training and development is getting increased hence industry already identified that it is an essential need of an organization to compete the market. Also, with pandemic situation even, organizations are conducting training programs for their employees with the use of new digital technologies like e-learning, virtual classrooms, video learning and the concept called micro learning is a new modality which surprise the L& D Market (Brudno, 2020).

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  3. Agree with your comments. Training will impact to enhance the behavior and skills of the employee (Satterfield & Hughes, 2007) which in turn would benefit the Company. It is the key to achieve competitive advantage (Rama and Shaik, 2012).

    Further as per (Noe, 2006), for employee learning of work related skills, companies spent large sum of money and time hence it is crucial obtain full results from training (Dowling & Welch, 2005).


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    1. Yes, there are considerable long-term benefits to the organizations including raise employee motivation, reduce turnover and improve productivity and efficiency of working as well as employee themselves build safety environment to work (Armstrong, 2010).
      While offering suitable training in effective manner is not a spent of money but investing for short term as well as long term benefit of the company, while continuous training and development programs is an instrument to increase productivity of the workplace (Maimuna & Nda, 2013)

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  4. Your reply consists many inputs to the blog I have published. Yes, in the digital era, to survive in the competitor market businesses have to change for traditional environment to modern because, the business environments are more complicated with rapid development and prominent of information and technology, growth of globalization, acceleration of technology change. So it is identified with the survey out come that align with knowledge management is essential to survive I the digital era(Stanlslaus, 2019). Further, Chugh(2012) company strategies aimed of organizational knowledge management process and also encourage to transfer knowledge of current employees to new members to meet unique goal and employee retention.

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  5. Totally agreed with your point that learning and development can benefit an organization in numerous ways. However, According to Vinesh (2014). There is still a significant gap between the knowledge and skills acquired in organizations and its applications. Therefore organizations need to ensure when designing employee development programs, they are made more purpose oriented.

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    1. Reply
      YES Shanil, totally agreed with the proposed purpose-oriented employee development programs. Dowling & Welch(2005) also mentioned that it is important to provide result oriented training effort in an organization and result has to be align to purpose of the organization. Noe(2006) mentioned organization related performance, knowledge and skills have to consider while providing training to the employees. Once training is purpose oriented, employee turnover also reduce gradually (Dechop,et al, 2006)

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  6. Agreed with the argument. Training and development is able to deliver needs of employees so employees be not only productive but satisfied with the gain of knowledge(Rama & Shaik, 2012). The other main effect you can identified is training is the unlock key of an organization’s competitive edge lock(Noe(2006).

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    1. Yes Iresha, Training and Development plays major role of employee motivation and development which are directly effected not only to the organizational performance but career development of individuals(Armstrong, 2010). According to Maimuna and Nda(2013) training and development can be considered as instrument that aid employees to explore their dexterity which may vital the organizational proclivity. U.S organizations spend more than $126 billion annually for the training & development of the employees(Paradise, 2007).

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  7. Agreed with your argument. There is significant positive relationship exists between employee training and development and the employee performance (Naveed, 2014). Some of the positive effects are increase efficiency, time saving, productivity and quality of the service. With the reasons mentioned it will create highly motivated employees to the organization which benefitted to achieve its goals as stated.

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    1. yes, there are many more positive effect not only for the employees but for the organization as well. With the proper Training and Development practice within the organization, employees are boosting their knowledge, competencies and potential and motivate to do their work easily and confidently also ultimately develop the career path for self-enthusiasm(Armstrong, 2010). Further McShane & Von Glinow(2013) mentioned that employees feel more satisfaction and engagement toward their jobs due to proper training. McShane & Von Glinow(2013) comes up with survey outcome of intellectual capital comprises the knowledge, skills and abilities are in employees’ heads.

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  8. yes. it was found that training and development increases the performance of the employees. This study contributes to validating the current dimensionality of the theoretical framework of a learning organization proposed by Watkins and Marsick (1993, 1996) and offers a valid conceptual framework of the relationship among the learning culture and organizational performance dimensions

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    1. yes Chandana. Learning organization concept is one of the best concept defined by Pedlet et al (1997) and it is able to facilitate learning to all members as a continues transformation(Armstrong, 2010) and there is a separate blog I have discussed this topic. On the other hand LMS(Learning Management System) and e-learning concepts come to the market with the new normal trends(Abushamsieh, 2014) and with the experience of organization I have worked for, the sudden pandemic situation practicing and using those online facilitating modes are important.

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  9. Agreed Thushari. Studies resulted into low correlation between dissatisfaction with remuneration; on the contrary, organisations were suggested to focus on increasing of qualification and competencies of employees and obviousness meaning of their work. Therefore it is necessary to change the way of cooperation between employees and managers. Managers should focus on new competencies and behaviour according to use of employee as a person, not just work unit (Königová and Fejfar, 2011)

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    1. Perfectly said Diyananda. There is a huge different between job role of managers and employees, managers have to train for well attitude for their employees to achieve company goals, leadership development, cultural change(Gudic, 2001). While employee need training for knowledge and skill development, managers have to train for make well operating environment for the employees (Sommerville, 2007). Also to change behaviors of employees (Mccleland, 2002).

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  10. Agree with you Thushari. It is of importance that the organization identify the ideal method to incorporate learning in the system. It is critical that management recognizes this and invests appropriately. It has been discovered that learning is better absorbed when it is delivered in bits rather than all at once (Frost,2017).

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    1. Yes, there are two types of trainings identified Overland et al(1992), as low power output training and high power output training but both need continues training in the same speed. As you mentioned all at ones training is identified as ineffective training and it is advised by researches wit their research outcomes that continuous training is effective and all at once make stressful leraniers(Mupa & Chinooneka, 2015).

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  11. Increasing endorsements on the strategic value of developing human capital in organizations encouraged scholars to investigate the relationship between training practices and various performance measures (Tharenou et al., 2007). Previous studies have often presumed that learning processes are the underlying mechanisms that account for the effects of training on innovative performance (Chen & Huang 2009; Laursen & Foss, 2003). For instance, scholars have argued that training practices enhance innovation through promoting a learning climate (Gómez et al., 2004; Shipton et al., 2005) and exploratory learning (Beugelsdijk, 2008; Shipton et al., 2006).

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    1. Yes training and development directly involves for the promotions and career development of employees, learning activities enhance skills development which empower and develop career development of employees for future jobs(Sims. 2006). With the art of acquiring knowledge ,skills, competencies, attitudes and ideas make changes of behavior of employees as well(Maycuinch, 2000).

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  12. Yes, According to (Tahir, Jhan & Israr, 2014), training and Development fundamentally handles with the acquisition of understanding, know-how, techniques and practices. In fact, training and improvement is one of the essential aspect of human resource management as it can develop the individual’s performance in order to develop the organization’s performance.

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    1. Yes, not only performance but motivate employees to work well with high productive and facilitate safe working environment themselves and ultimately achieve company goals as a team while developing their career as well(Armstrong, 2010). The most vital asset of organization is HR and training and development might effected to improve productivity of them to long run of the organization(Maimuna et al, 2013).

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  13. Agreed. Additionally, manpower is the pivot of every human institution. Even in the developed and industrial nations of the world where the use of machines and technology is at an advanced stage, manpower is still very essential (Comma, 2008). Training therefore holds the key to unlock the potential growth and development opportunities to achieve a competitive edge.

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    1. Agreed, many of the organization understand he continuous development of employees for betterment of the organizations future and betterment of employees’ career(Kadir et al, 2012). Brum(2007) highlighted that more trainings shows higher level of commitment and Anvari et al(2007) highlight that providing training increase retention of employees.

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  14. Agreed with your explanation. According to Vinikas( 2021), 93% of employees are required their career development through learning. Learning and development can improve the employee retention also.

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    1. Yes menaka, employee retention directly affected with employee satisfaction about the organization and working environment (Fheili, 2007). further training and development able to make them motivate, productive and develop safe working environment for them by increasing high retention ratio(Ahmad, 2013).

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  15. Clear description on how learning and development will benift the organizations. Individuals having the skill and knowledg will make the organizational mission a reality while creating a learing culture fulfilling strategic goals. (Rodrigues and Walters, 2017)

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    1. Yes Udaya, organizations are mainly looking for different improvement by facilitation trainings to the employees, specifically improvement of capital of the organization, moral improvement and ability to adopt and change of employees(Katcher & Snyder, 2003). Hence training and development is a critical process to match for the individuals, organization looking for better outcomes while aligning it to the organization as investment(Kum et al, 2014).

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  16. Agreed. Learning of new competencies creates sustainable development in carrying out employee task more efficiently ((Garvin, 1993).

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    1. Competency development is covered by training and development as one of the basic outcomes of that, new competency creation is can be under training as well as well-trained employees are self-motivated to do so under innovation and team work habit development(Kum et al,2014). Snyder(2003) also mentioned that it is essential to identify new competencies which will be needed to the organization and prior training employees to aware about that.

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  17. Agree with your views. Adding to your points further, Human beings undergo natural development and change physically which is a unique process occurs from cradle to the grave for everyone. At the same time, acquisition of knowledge and skills also being combined with the growth process of mankind (Taylor and Parsons, 2011).

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    1. Yes, there is a huge difference among individuals’ learning styles, and it is essential to identify learning methods with flexible approaches under reflected feelings acknowledgement, so there are different learning methods introduced by Gibbs in 1988, Kolb in 1984 and John in 2000 (Heyer, 2015). there are different learning styles that can be selected according to the knowledge level and acquisition method of knowledge in effective manner, so it is important to pre-identification of suitable learning methodology and then provide to get maximum outcome(Martin et al, 2013). Further they analyzed learning modality, environment , presence and proximity, interaction level and time demand are considerable factors of catering training to the individuals.

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  18. Furthermore, several authors have suggested that training is most extensive only in establishments which operate in complex market environments (Rowden & Conine, 2005; Sahinidis & Bouris, 2008)

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    1. Yes many scholars and researched came up with that suggestions. Daryoush et al (2013) for changing workplace, competency is an important factor which can covered by proper training facilitating. There are three types of learning in an organization as formal, informal, and incidental. That formal training in facilitated by organization and other two can be captures positively with well trained employees(Watkins & Matsick, 1992).

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  19. Agree and Learning and development strategy represents an approach an organization adopts to ensure that the activities related to learning and development support the achievement of goals and objectives (Zamer, et. al., 2014). In other words, when the individuals will be able to augment their knowledge and skills, they will be able to make use of them in the achievement of desired goals and objectives.

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