Effects of Training and Development on Employees’ Performance

Introduction

The workforce is an asset of an organization. The management has to train employees to do their work according to expectations. Every organization may have different work standards, and employees have to integrate with these standards. Employee training and the development process can improve both organizational and employee performance, which has a good impact on the business in the long run. The management of the company intends to train and develop its employees to improve the skill level to meet work requirements. However, in this contemporary work era, many things are associated with training and development programs.

The study focuses on employee training and development and its impact on the employee’s performance. It has an effect on employee performance in many ways. It seems like a comprehensive analysis, which streamlines the impact on performance. The study will also depict some critical examples of training and development programs in different organizations to understand the implications.

Training & Development

Training and development are a part of the human resource management process in an organization. It is an effective action, which improves the performance of employees or groups in the organization setting (Ingham, 2013).

Employee’s Performance

The employee’s performance can be perceived as good or bad.  When an employee works according to expectations, it can be understood as sound. Organizations have adopted many performance assessment methods. However, training and development is a real performance booster (Ingham, 2013).

Effects of Training and Development on Employee’s Performance

·         Operational Economy

The employee training and development process creates a positive impact on the employee’s performance. In an organizational setting, the first benefit that the company gains are the economy at the work scale. The management trains employees how to use resources effectively and efficiently. For Instance, many companies assess employee performance regarding the work efficiency.  Trained employees can enable the economical use of materials and reduce the visibility of waste in the workplace.  It seems like a process of guiding employees to learn different techniques to reduce waste.  A well-trained employee saves the company’s costs, and of course, he will emerge as a top performer. Work efficiency has been developed as a critical factor to improve organizational performance in this modern work era. Thus, training shapes behaviors of employees to integrate with efficiency measures. It looks a significant improvement, which can help to meet both short and long-term organizational and employee goals and objectives.

·         Skill Development

The impact of training and development on employee performance is noticeable. Employee’s performance can be improved through skill development. T&D looks purposeful, as it aims to enhance employee learning and skill development. Every job position needs several skills to execute work effectively. When an organization hires a new employee for a particular job position, it requires some skills to depict the job fit.  Thus, the participation of the employee in the training session is essential to improve the skill level, and it also increases performance.

On the other hand, with a different perspective, current employees have to integrate with new work trends. Due to changes in technology, these employees have to evolve regarding their performance. Training and development help employees to adopt new work skills. Skill improvement is the best way to perform job duties effectively, and it rationalizes the importance of training and development. When it comes to talent management, the administration usually assesses employee performance regarding skill development and execution. Experts from different fields of work train the workforce. They create the urgency in the workplace to learn new skills. Streamlining the scope of particular expertise is the best approach, which increases the assertiveness of employees. Thus, employees with different abilities will perform job duties according to requirements.

·         Work Productivity

Higher productivity is an output of the training and development process. As mentioned, training increases the skill level of an employee at the workplace. Quality and quantity are two significant measures to assess the performance at the workplace. Training and development increase the employee’s capacity to meet work requirements and targets. The emphasis is on how an employee does a particular job in a limited time. It seems a significant challenge to do the job on time without proper training or guidance.  In short, training teaches the workforce to integrate with the work standard of the company. It has been observed that well-trained employees have a fast work process as compared to new employees. The training increases productivity, and it is one of the prominent performance measures in the contemporary workplace.

·         Motivation

Impact on performance is positive due to motivation.  For Instance, trainers motivate employees by describing the scope and need for training. It streamlines the benefits of this process. The management depicts different opportunities for employees regarding the career development in the company. It motivates them to learn different things, improve their capacity, and emerge as top performance to get rewards and appreciation.  In modem organizations, firms select a pool of employees, which are capable of particulate in the training sessions. For Instance, the firm can choose employees, which contain the potential to learn different things. Motivating an employee to change behavior and learn more about the work process is a performance booster, and it creates long-term impacts.

·         Collaborations

The impact of training and development can be perceived with different perspectives. Teamwork or partnerships trigger the modern work era. In a diverse work culture, it is imperative to enhance the visibility of partnerships to meet organizational goals and objectives.  For Instance, in different work culture, the management trains employees to listen intelligently.  The employee must have the ability to consider other’s viewpoints. Dramatically, it improves collaboration. People with different skills, attitudes, behaviors, skills, and experiences have emerged in groups or teams.  Knowledge sharing and learning are possible through partnerships. In many training programs, the management makes the team of employees conduct different work activities. The purpose is to shape the collaborative work culture to improve the perforce of employees. The culture of togetherness is a crucial factor as far as the employee’s performance is concerned.

·         Leadership Pipeline

An employee’s capability to become a leader in an organization is also a key factor when assessing the performance. Leadership is a peak point in the company, and when a leader leaves, it seems tough to fill the gap. However, training improves the leadership capabilities of the employees, as the plan is to prepare them for future leadership. Several leadership traits are to be taught to workers to understand the possible future responsibility. It can be said the training and development process makes an employee responsible in the company, and it has a significant impact on the performance. The possible role of leadership is triggered by the learning, capabilities and essential leadership traits, which are to be derived from frequent training programs. It seems a long journey for the bottom-line of the company. However, it looks valuable due to the high performance of employees at all work levels (Big Think Edge, 2017).

·         Employee Satisfaction

Employee performance is associated with employee satisfaction. Employees think that the company provides excellent training opportunities for them to move forward and ensure future success. It boosts morale, and they want to stay in the company. Reduced employee turnover represents the high performance of employees, and it is due to several training opportunities to learn. Employees, on the other hand, must utilize these opportunities to improve work performance and enable both work and sustainable development in the competitive era (Qureshi, 2016).

·         Competition

Competition among employees can be created through training and development. Competition is a crucial factor to increase the capability and get an edge over other employees. Training may ensure some promising rewards, appreciation, and recognition, which streamline the pool of greedy employees regarding work achievements. The management usually assesses the performance in the training sessions and the workplace. The employee knows that he will be compared with other employees. Thus, training initiates competition, and it helps people to streamline their efforts and contributions to organizational success.

·         Needs & Expectations

Needs and expectations are vital considerations in the training and development process.   The workplace needs information and accurate communication to conduct work activities.   People need information and communication from the management to understand the work conditions and requirements effectively. Thus, training and development is a critical platform for people to derive information. The performance is integrated with communication. From retail to manufacturing, administration enhances the interaction with employees to share knowledge, trends, and possibilities. Employees, depending on their cognition, will utilize this information in the workplace. It is a source of performance improvement, as updated employees are always aware of different possibilities.

Overall, the effect on employee performance is positive or favorable. Now, to get deeper, the illustration of some essential training theories or concepts is necessary.

Training and Development Theories and & Employee Performance

Companies, especially modern organizations, apply different concepts or theories to increase the impact on employee performance. Few theories have been derived along with several insights

·         Positive/Negative Reinforcement

Positive/Negative reinforcement is a crucial tool for the firm to change the behavior of an employee or groups of employees. For Instance, if an organization finds an employee’s behavior, which is suitable for the workplace and production, it can reinforce this behavior to keep benefiting from it.

Conversely, training restrains people to change the tone and adopt new traits to improve the work process. Workgroup may depict the dissatisfaction and enable the work inefficient, which can increase the cost and time.  Negative reinforcement is a part of the training program, which motivates people to work in favor of the company. Organizations, in the global business environment, are using this theory to shape the pertinent employee’s behavior, especially when dealing with a diverse workforce (Lauby, 2005).

·         Social Learning

Social learning is in the limelight in the organizational setting.  The HR team or trainers observe the behavior of renowned people in the organization. Quoting these behaviors in the training session is the best approach to motivate people.  Streamlining these role models is the best way to increase adaptive skills. These role models are also to appear in training sessions. Social learning is an interesting concept that may emerge in different departments. Every department may have Heroes, and they can tell success stories, experiences, skills to adopt, and many other leadership traits. The training procedure of the firm links social learning, and it accelerates performance.

·         Information Processing

Information processing is a critical theory, which is also associated with training and development. It has been revealed that employees perceive the information in their style. However, the company wants to put the data in its way. Systematically sharing knowledge or information enables employees to put things in an orderly, systematic way of perceiving knowledge and conducting job activities is a depiction of good performance.  Thus, in the training program, it is necessary to develop some phases to guide employees accordingly (Clark, 2008).

Essentials of Training and Development to Increase Performance

Hiring the right trainers, assessing learning results, aligning with organizational strategy, putting quality, acting globally, and gaining management support are some key essentials to make the whole process meaningful. Executing all these elements can create a positive impact on job performance (Ocen, Francis, & Angundaru, 2017).

·         Hiring Trainers

Hiring the right trainers is mandatory. In a particular department, the firm needs a specific individual, who can be employed in the internal or external business environment.  For Instance, in the manufacturing department, the company can hire or select an experienced engineer as a trainer to guide employee regarding machine learning. Also,  to change the behavior of employees at the workplace as a whole, HR experts (Internal or External) can be selected or hired. The purpose is to enhance employee learning and improve performance levels.

·         Assessing Learning Results

Training and development should be purposeful, as results must be evaluated in the company to assess the effectiveness of both training and employees. Based on results, performance can be, and some appropriate improvements can be streamlined. Training results are usually assessed at the end to make further decisions.

·         Aligning with Organizational Strategy

The employee knows and understands the mission, vision, and strategy of the firm. If the firm does not integrate the training program with the organization strategy, it can create confusion.  The training team must be relevant to avoid contradictions. On the other hand, employees’ assertiveness to participate in session increases. Aligning with the organizational strategy is a way to be relevant when training employees or shaping employee behavior.

·         Putting Quality

Quality of training is directly associated with the job or employee performance. Training quality can be measured through relevant content, facilitation, environment, need assessment, and necessary equipment. Making the environment attractive for employees can enhance the attraction and better positioning. It seems internal marketing to convince employees to improve work skills, behavior, and overall performance (Ibrahim, Boerhannoeddin, & Bakare, 2017).

·         Acting Globally

Firms are going global, and instead of working on local work traits or trends, the HR team must act globally. Universal work traits are to be taught, especially in the bottom-line.  Interestingly, it can help to build a robust internal force, which can play a role in getting an edge over rivals and ensures sustainable development (Ji, Huang, Liu, Zhu, & Cai, 2012).

·         Gaining the Management Support

Management support is also an essential part of the training and development activities. At the bottom-line, trainers must communicate or report the progress to the top management, as it increases the positive perception regarding the purpose, authenticity, and workability. Employees appreciate these initiatives, as it is an excellent opportunity for them to move forward and enable career enhancements.

Training Types to Increase Performance

·         On Job Training

On the job training is one of the most prominent training types, which has increased the performance in different departmental levels. Proactive in the workplace with supervisor or managers and other experienced people can save time and cost of the training process. The employee may get real work experience, and it can ensure rapid learning.

·         Programmed Learning

Programmed learning is also the best technique, which depicts further involvement or commitments. For Instance, a trainer can process information, take the test and share the information. It is an excellent method to drive performance improvement in a short period.

·         Literacy Training Techniques

The Literacy Training Technique is an advanced type of training. The management uses it when it has to train the number of employees. Using technological tools such as video conferencing, audio and video visuals, and simulations are effective ways to understand the procedures and adopt required traits, behavior, and skills (Catholic Relief Services, 2007).

The following are some examples of organizations which used the training and development process to increase employee performance. In this organization, the effect of training and developmental on performance is perceived positive.

Training & Development in Wal-Mart

Wal-Mart, a prominent retail chain in the global retail market, is in the limelight due to its effective training initiatives. Interestingly, the manager identifies the need for training in different departments to create the urgency. Work/Task Analysis has been adopted as a critical method to assess the required skills, traits, behaviors, and knowledge to fulfill a job requirement. For Instance, in Wal-Mart stores, the HR team conducts the Task analysis to derive the strengths and weakness of employees. Thus, to improve the job performance and create a positive impact on employees, result oriented training design is demonstrated.  On the job, training type has been used by the company to assess the results immediately and save the employee cost (Thompson, 2017).

Start buck’s Training and Development

Starbuck, being a top coffee seller, in the coffee market, has invested heavily in the training process. It has used the 70/20/10 approach to train its employees and take advantage. For Instance, this company aims to educate its 70% of employees by applying on the job training. Conversely, 20% of training activities are to be conducted through acquiring feedback. 10% of training is associated with different e-learning modules. Interestingly, the administration assesses the needs of training at stores and departments, and accordingly, determines the possible methodology to create a favorable performance impact (Panopto, 2018).

Toyota’s Training and Development

Toyota, a big automobile company, is uniquely dealing with its employees. Toyota correlates the training in the performance management process.  It divides the training procedure into three different phases. Instead of focusing on E-learning courses, it focuses on actionable reporting. It uses technology to prepare customized dashboards and reports to evaluate the current training needs and evaluate the performance. Remarkably, Toyota has streamlined the effect on the individual performance (Lambda Solutions, 2018).

Conclusion

In the end, it is to conclude that organizations must improve the structure to embrace the new methods of training and development. Employee performance is a need for the company to gain and sustain the competitive advantage in both domestic and global markets. In this study, the focus was on the effects of training and development of employee performance. The study articulated several theories, concepts and real examples of different organizations to rationalize the positive impact on employee performance.  In this comprehensive analysis, it has been derived that adequate training and development initiatives along with some key measures can motivate employees to participate in training programs and improve the performance to become top performers in the company. The well-structured report streamlined the understanding of employee performance and training and development. The most important thing for the company is to evolve with time. Trend integration in the human resource process is a significant part, which justifies the evolution. Pertinent examples of different organizations depicted HR evolvements. It is an excellent lesson for small and large organizations, as correlating training in an employee’s performance has become a backbone of the HR process.

References

Big Think Edge. (2017, November 7). 4 Benefits of Training and Development in the Workplace.

Catholic Relief Services. (2007). How-To Guide: Integrated Community Literacy for Development. Guatemala: Catholic Relief Services.

Clark, R. C. (2008). Building Expertise: Cognitive Methods for Training and Performance Improvement (3 ed.). John Wiley & Sons.

Ibrahim, R., Boerhannoeddin, A., & Bakare, K. K. (2017). The effect of soft skills and training methodology on employee performance. European Journal of Training and Development, 41(4), 388-406.

Ingham, J. (2013). Strategic Human Capital Management: Creating Value Through People. New York: Routledge.

Ji, L., Huang, J., Liu, Z., Zhu, H., & Cai, Z. (2012). The effects of employee training on the relationship between environmental attitude and firms’ performance in sustainable development. The International Journal of Human Resource Management, 23(14), 2995-3008.

Lambda Solutions. (2018, July 31). How Toyota Correlates Training to Employee Performance.

Lauby, S. J. (2005). Motivating Employees. American Society for Training and Development.

Ocen, E., Francis, K., & Angundaru, G. (2017). The role of training in building employee commitment: the mediating effect of job satisfaction. European Journal of Training and Development, 41(9), 742-757.

Panopto. (2018, April 20). How Starbucks Does Training To Create An Unforgettable Customer Experience.

Qureshi, H. (2016, March 5). Benefits of Training & Development in an Organization. R

Thompson, A. (2017, January 28). Walmart’s HRM: Training, Performance Management.

Zwick, T. (2015). Training older employees: what is effective? International Journal of Manpower, 36(2), 136-150.

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