STUDY ON EFFECTIVENESS ON TRAINING AND DEVELOPMENT

CHAPTER 1 INTRODUCTION OF THE STUDY

1.1 Introduction
William James of Harvard University estimated that employees could retain their jobs by working at a mere 20-30 percent of their potential. His study led him to believe that if these same employees were properly motivated, they could work at 80-90 percent of their capabilities. Behavioral science concepts like motivation and enhanced productivity could well be used in such improvements in employee output. Training could be one of the means used to achieve such improvements through the effective and efficient use of learning resources.

1.1.1. Training and Development

Human resources, are the most valuable assets of any organization, with the machines, materials and even the money, nothing gets done without man-power. The effective functioning of any organization requires that employees learn to perform their jobs at a satisfactory level of proficiency. Here is the role of training. Employee training tries to improve skills or add to the existing level of the knowledge so that the employee is better equipped to do his present job or to prepare him for higher position with increased responsibilities. However individual growth is not an end itself. Organization growth needs to be meshed with the individuals growth. The concern is for the organization viability, that it should adapt itself to a changing environment. Employee growth and development has to be seen in the context of this change. So training can be defined as: Training is a systematic development of the knowledge, skills and attitudes required by employees to perform adequately on a given task or job

The need for improved productivity in organization has become universally accepted and that it depends on efficient and effective training. However, the need for organizations to embark on staff development programme for employees has become obvious. Absence of these programme often manifest tripartite problems of incompetence, inefficiency and ineffectiveness. So training and development aim at developing competences such as technical, human, conceptual and managerial for the furtherance of individual and organization growth which makes it a continuous process

1.2. Statement of Research Problem

Training and development play vital role in any given organizations in the modern day. It is aimed at preparing employees for future or current jobs. The efficiency and productivity of the firm can be increased considerably with right training methods. This is the reason why HR department gives Training such a huge importance. So it is essential that we conduct studies and experiment s to improvise our training methods. The motive behind this study is to understand the effectiveness of training and development programs on the employees. The training cannot be measured directly but the change in attitude and behavior that occurs as a result of training. By studying and analyzing the response of employees regarding training, we can make scientific conclusions, which is the core idea of this study. Problem Statement The intention of this research is to analyze and evaluate the effectiveness of training and development process.

1.3. Need for the study

Training is the act of increasing the knowledge and skills of an employee for doing a particular job. It utilizes a systematic and organized procedure by which employee learns

technical knowledge and skills. Training refers to the teaching and learning activities carried on for the primary purpose of helping members of an organization. Training is closely related with education and development but needs to be differentiated from these terms. It is aimed at improving the behavior and performance of a person. Training is a continuous and life long process. Training provides an atmosphere of sharing synthesizing with the help of the trainers, the information already available on the subject.

1.4. Significance of the study

The development of any organization depends on its employees. For organizational productivity training and development assumes great significance. Training aims at increasing the knowledge and skills of the employee whereas organizational development on the other hand refers to overall improvement of the organization such as its structure, objectives, policies and procedures including managers and employees. Organizational development can be achieved by hiring the services of the professionals consultants. Training and development programs are often viewed as part of organizational development. A better knowledge about these things can facilitate the trainer as well as the trainee in conducting and benefiting from the training. But training being a very complex process makes it a bit difficult. So the best way to achieve it is by studying and analyzing the feedback of employees as well as managers.

1.5. Objectives of Study

Primary Objective To study the effectiveness of training and development programs Secondary Objectives

To study the methods used in training the employees To analyze whether the quality of training and satisfaction of respondents related. To analyze whether the employees are satisfied with their current training methods. To collect and analyze the views of the participants and superior on the training. To study the training program on the basis of relevance, implementation and outcomes.

1.6. Methodology
Research methodology is a way to systematically solve the research problem. It may be understood as a science of studying how research is done scientifically. In it we study the various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them. Methodology gives us the blueprint of activities to be carried out systematically in order to complete the study successfully. The methodology of our study has several steps[listed below] each of them are explained in chapter IV. Formulating the Research Problem Extensive Literature Review Developing the objectives Preparing the Research Design including Sample Design Collecting the Data Analysis of Data Generalization and Interpretation Preparation of the Report or Presentation of Results-Formal write ups of conclusions reached.

CHAPTER 2 CONCEPT

Introduction
Training is the process of assisting a person for enchanting his efficiency and effectiveness at work by improving and updating his professional knowledge by developing skills relevant to his work and cultivating appropriate behavior and attitude towards work and people. Training could be designed either for improving present at work or for preparing a person for assuming higher responsibilities in further which would call for additional knowledge and superior skills. Training is different education particularly formal education. While education is concerned mainly with enhancement of knowledge, training aims essentially at increasing knowledge , stimulating attitude and imparting skills related to a specific job. It is a continuous and life long process. Training provides an atmosphere of sharing and synthesizing, with the help of the trainers, the information already available on the subject. Training is a time bound activity program. Thus there is a separate specialized discipline of trainers socializing in the field of human activity.

2.1. Meaning
A business' most important asset is often its people. Training and developing them can be one of the most important investments a business can make. The right training can ensure that your business has the right skills to tackle the future. It can also help attract and retain good

quality staff, as well as increasing the job satisfaction of those presently with you - increasing the chances that they will satisfy your customers. Thus Training is the act of increasing the knowledge and skills of employee. It is a universal truth that the human resources available in an organization have to be managed more efficiently than the material resources comprising of machines and money. Eloquently putting Training is a systematic development of the knowledge, skills and attitudes required by employees to perform adequately on a given task or job.

2.2. Definition
Training is the continuous, systematic development among all levels of employees of that knowledge and those skills and attitudes which contribute to their welfare and that of the company. - M.C Lord and Efferson

Training may be defined as a process of developing an understanding of some organized body of facts, rules and methods. This information concerns largely the operative phases of an applied knowledge. - R.C Davis

2.3. Theories of training and development

2.3.1. Kirkpatrick evaluation model The Kirkpatrick evaluation model or theory was developed in 1959 by University of Wisconsin professor emeritus Donald Kirkpatrick. It consists of four levels of evaluation: reaction of participants; learning, or the knowledge and skills gained; behavior, or the ability to

apply the new skills; and results, or the organizational impact. Each level of evaluation builds upon and adds precision to the previous level.

The reaction: The reaction level measures how training participants react, including their level of participation; ease and comfort of experience; and the level of effort required to make the most of the learning. A reaction evaluation is inexpensive and simple to administer using interaction with the participants, post-training surveys and online questionnaires. The evaluation can be done immediately after the training ends. It is important that participants have a positive reaction to the training sessions because a negative reaction leads to poor learning. The learning: Learning evaluations are usually conducted before and after a training program to assess the impact the program has had on the learning process. Evaluations assess whether participants have advanced in knowledge, skills and intellectual capacity as a result of the training. Learning evaluation tools include self-assessment using online questionnaires and tests, and formal assessment through interviews and observations. Learning evaluation is especially relevant for technical training because technical skill level changes are usually more quantifiable. Behavior: Behavior evaluation assesses the extent to which training participants apply the learning in their jobs. The evaluation is usually done over a period of time to determine if the participants use the new skills and knowledge on the job, improve their performance and transfer the knowledge to their peers. Tools include observations, questionnaires, tests and interviews. Behavior evaluations take more time and effort than reaction and learning evaluations. It is important to involve the line managers and immediate supervisors in the process because they are in the best position to observe and assess participant behavior changes. Results:

Results evaluation determines the success of a training program in operational and strategic terms, such as increased sales, reduced expenses, improved quality and reduced cases of workplace injuries. However, it may not always be possible to correlate improved operational performance with training. For example, improvements in product quality may be due to better design tools and more qualified staff, not just a new quality training program. External factors, such as changes in the economy and the competitive environment, may also influence operational results.

2.3.2. Theory X and Theory Y Theory X and Theory Y are theories of human motivation created and developed by Douglas McGregor at the MIT Sloan School of Management in the 1960s that have been used in human resource management, organizational behavior, organizational communication and organizational development. They describe two contrasting models of workforce motivation.

Theory X In this theory, which has been proven counter-effective in most modern practice, management assumes employees are inherently lazy and will avoid work if they can and that they inherently dislike work. As a result of this, management believes that workers need to be closely supervised and comprehensive systems of controls developed. A hierarchical structure is needed with narrow span of control at each and every level. According to this theory, employees will show little ambition without an enticing incentive program and will avoid responsibility whenever they can. According to Michael J. Papa, if the organizational goals are to be met, theory X managers rely heavily on threat and coercion to gain their employees' compliance. Beliefs of this theory lead to mistrust, highly restrictive supervision, and a punitive atmosphere. The Theory X manager tends to believe that everything must end in blaming someone. He or she thinks all prospective employees are only out for themselves. Usually these managers feel the sole purpose of the employee's interest in the job is money. They will blame

the person first in most situations, without questioning whether it may be the system, policy, or lack of training that deserves the blame. A Theory X manager believes that his or her employees do not really want to work, that they would rather avoid responsibility and that it is the manager's job to structure the work and energize the employee. One major flaw of this management style is it is much more likely to cause diseconomies of scale in large businesses. Theory Y In this theory, management assumes employees may be ambitious and self-motivated and exercise self-control. It is believed that employees enjoy their mental and physical work duties. According to Papa, to them work is as natural as play. They possess the ability for creative problem solving, but their talents are underused in most organizations. Given the proper conditions, theory Y managers believe that employees will learn to seek out and accept responsibility and to exercise self-control and self-direction in accomplishing objectives to which they are committed. A Theory Y manager believes that, given the right conditions, most people will want to do well at work. They believe that the satisfaction of doing a good job is a strong motivation. Many people interpret Theory Y as a positive set of beliefs about workers. A close reading of The Human Side of Enterprise reveals that McGregor simply argues for managers to be open to a more positive view of workers and the possibilities that this creates. He thinks that Theory Y managers are more likely than Theory X managers to develop the climate of trust with employees that is required for human resource development. It's human resource development that is a crucial aspect of any organization. This would include managers communicating openly with subordinates, minimizing the difference between superior-subordinate relationships, creating a comfortable environment in which subordinates can develop and use their abilities. This climate would include the sharing of decision making so that subordinates have say in decisions that influence them. Theory X and Theory Y combined For McGregor, Theory X and Y are not different ends of the same continuum. Rather they are two different continua in themselves.

2.3.3. Abraham Maslow's Hierarchy of Needs motivational model Abraham Maslow developed the Hierarchy of Needs model in 1940-50s USA, and the Hierarchy of Needs theory remains valid today for understanding human motivation, management training, and personal development The Maslow's Hierarchy of Needs five-stage model below (structure and terminology not the precise pyramid diagram itself) is clearly and directly attributable to Maslow; later versions of the theory with added motivational stages are not so clearly attributable to Maslow. These extended models have instead been inferred by others from Maslow's work. Specifically Maslow refers to the needs Cognitive, Aesthetic and Transcendence (subsequently shown as distinct needs levels in some interpretations of his theory) as additional aspects of motivation, but not as distinct levels in the Hierarchy of Needs. Where Maslow's Hierarchy of Needs is shown with more than five levels these models have been extended through interpretation of Maslow's work by other people. These augmented models and diagrams are shown as the adapted seven and eight-stage Hierarchy of Needs pyramid diagrams and models below. There have been very many interpretations of Maslow's Hierarchy of Needs in the form of pyramid diagrams. The diagrams on this page are my own interpretations and are not offered as Maslow's original work. Interestingly in Maslow's book Motivation and Personality, which first introduced the Hierarchy of Needs, there is not a pyramid to be seen.

1. Biological and Physiological needs - air, food, drink, shelter, warmth, sex, sleep, etc. 2. Safety needs - protection from elements, security, order, law, limits, stability, etc. 3. Belongingness and Love needs - work group, family, affection, relationships, etc. 4. Esteem needs - self-esteem, achievement, mastery, independence, status, dominance, prestige, managerial responsibility, etc. 5. Cognitive needs - knowledge, meaning, etc. 6. Aesthetic needs - appreciation and search for beauty, balance, form, etc. 7. Self-Actualization needs - realizing personal potential, self-fulfillment, seeking personal growth and peak experiences. 8. Transcendence needs - helping others to achieve self actualization.

2.4. Institutional Training

Every organization needs the services of trained persons for performing the activities in a systematic way. It is in this regard to some extent, training for the students of business courses in various functional areas become mandatory before entering in to the corporate Jobs. No doubt, the employee training is required in every stage, very frequently. Since, the fast changing technological development makes the knowledge of employees obsolete. They require constant training to cope with the needs of corporate sector. They require constant training to cope with the needs of jobs. After selecting the employees the next task of management is to give them proper training. Some employees may have some previous knowledge of jobs while others may entirely be new. Both types of workers will need some kind of training to acquaint themselves with the hobs though it is more necessary for the later category of employees. Large organizations may employ a large number of persons every year. It may not be possible to recruit already trained persons. Such enterprises require separate training

departments to prepare training for preparing workers for jobs and also keeping them acquainted with latest technological advancement. Training of employees is essential because work force is an invaluable asset to an organization. Training is necessary for the following reasons.

Increased Productivity Training improves the performance of employees. Increase skill and efficiency results in

better quantity and quality of production. A trained worker will handle machines carefully and will use the materials in an economical way.

Higher Employee Morale

A trained worker derives happiness and job satisfaction from his work. He feels happily when his performance is up to the mark. This also gives him job security and ego satisfaction. The employees will properly look after a worker who performs well. All these factors will improve employees morale.

Less Wastages Untrained worker my waste more materials, damage machines and equipments and may

cause accidents. A trained worker will know the art of operating the machine properly. He will also use the materials and other equipment in a systematic way causing less wastage. The control of various wastes will substantially reduce the manufacturing cost. The amount spend on training the workers will prove an asset to the organizations.

Reduce Turnover And Absenteeism Labor turnover and absenteeism are mainly due to job dissatisfaction. When a worker is

properly trained he will take keen interest in his job and can derive satisfaction from it. A satisfied person may not like to leave his job and try at a new place.

Employee Development Training also helps in the development of employees. It first helps in locating talent in

them and then developing it to the maximum. The adaptability of a worker will help him in working on new and improved jobs. If a worker learns fast then be able to develop his talent and improve his performance.

2.5. Needs of Training

To enable the new recruits to understand work:

A person who is taking up his job for the first time must become familiar with it. For example, if a fresh graduate is appointed as a clerk in a bank, he must first of all gain knowledge of work assigned to him. To enable existing employees to update skill and knowledge. Training is not something needed for the newly recruited staff alone. Even the existing employees of a concern may require training. Such training enables them to update their skill and knowledge. To enable an employee who has been promoted to understand his responsibilities. Training is essential for an employee who has just been promoted to a higher level job. With an evaluation in his position in the organization, his responsibilities are also going to multiply. To enable an employee to become versatile. Sometimes an employee may have to gain knowledge of several related jobs. It will not be enough if he is only good in the work he does presently.

2.6. Purpose of training

One of the main purpose of training is to prevent industrial accidents. This is done by creating safety consciousness among workers. When the employees are trained it enables them to achieve the required level of performance which in turns increases the productivity.

Training helps in increasing the knowledge and skills of employee

When the employees are trained it becomes easy for them to adapt themselves according to the changes made in business.

Training reduces the cost of supervision. Trained employees needs less guidance which in turns reduces the needs for supervision.

2.7. Importance of Training

Improvement in skill and knowledge: Such training helps the employees to perform his job much better. This benefits the enterprise as well. Higher production and productivity: If an enterprise has a team of well trained employees there will be rise in production as well as increase in productivity. Productivity is the input- output ratio Job satisfaction: Trained employees will be able to make better use of the making of their skill. This increases their level of self confidence and commitment to work. Such employees are bound to have higher job satisfaction. Better use of resources: Trained employees will be able to make better use of materials and machines. This reduces the rate of wastage and spoilage of materials and also breakage of tools and machines Reduction in accidents: Trained employees are aware of safety precautions and so they are alert and cautious. This is bound to bring down the number of accident in the works place. Reduced supervision: Well trained employees do not need much supervision. They can do their work without having to approach their superior often for guidance.

Reduction in complaints: Only bad workers blame their tools. An employee who has acquired the necessary skill and job knowledge would certainly love his job. Adaptability: Trained workers have the capacity to adapt themselves to any kind of situation. They are odd in crisis management too. This indeed is beneficial for the organization. Scope for management by exception: With trained workers working under them, it becomes easy for the managers to get things done by delegating authority. This enables the managers to concentrate more on important issues confronting the organization. Stability: The employees of today are going to be the managers of tomorrow. The retiremen t of key managers may not affect the stability of an organization if it has a team of trained, efficient and committed employees who are ever ready to take over management.

2.8. Features of training

The features of good training programs are as follows:Clear purpose: The objective of the programme should be clearly specified. The training should be result oriented. Training needs: The training needs of employees should be clearly defined. The methods selected for imparting training should be appropriate and effective. Relevance:

The training programme and its contents must be relevant to the requirements of the job for which it is intended. Balance between theory and practice: A good training programme should provide a balanced mix of theory and practice the theoretical framework should be backed by practical application to provide all round training

Management support: Top management must actively support the training programme so that the training programme may help the employees to yield better results. Once the employees get the support form management support the perform there job more effectively.

2.9. Steps involved in training:

Step1: Define the chart part of the organization in which the work has to be done. It is to have a focused approach of the study. It could either be a particular department, a section, a unit, a specific group or a staff category. Step2: Use various data collection measures to collect both qualitative as well as quantitative data. Step3: Analyze the entire data collected in order to find out causes of problem areas and priorities areas, which need immediate attention. Step4: Priorities the different training programmes according to the responses collected.

Step5: Record and file the entire data so that it can be used for future reference while designing training programmes/ training calendar.

2.10. Methods and Types of Training and their Advantages and Disadvantages.
Following chart illustrates advantages and disadvantages for the different training methods. Training Method Type of Training Advantages Disadvantages

Instructor-Led Training

Classroom

Revised easily

Scheduling is difficult

Developed quickly

Travel costs

Face-to-face contact

Differences from class to class

On-line Training

Group

No travel costs

Requires equipment

computer

Developed quickly

No contact

face-to-face

Videoconferencing and Video/On-line

Supports

large High equipment costs

groups and multiple sites

No travel costs

Logistically challenging

On-the Job Coaching

Effective knowledge transfer

Differences

from

instructor to instructor, session to session.

Related to trainee's job

Costly in terms of instructor-to-trainee ratio

Face-to-face contact

On-line

Self-

Directed Training

All On-line Training

Consistent content

training

High costs

development

Convenient access to training

Lengthy development time

Trainee pace

sets

own

Requires equipment

computer

Reuse require

does

not trainer

participation

Limited Web-Based Training Easy to modify

bandwidth

causes slow download times.

CD-ROM/DVD

Supports multimedia

complex

Difficult to modify

Off-line

Self-

Directed Training

Printed Material

Portable

Less Interesting

Trainee pace

sets

own

Difficult to modify

Developed quickly

Video DVD or Audio CD

Consistent content

training

Requires equipment

playback

Can share copies

Can

be

costly

to

develop

Trainee pace

sets

own

Difficult to modify

Just-In-Time Training

Electronic Performance Support System (EPSS)

Available

when Costly to develop

needed at trainee's convenience

Related to trainee's

Requires

computer

job

equipment

Requires Continuous Improvement Promotes employee involvement resources

training that are

readily available on a continuous basis

Promotes solutions

creative

Differences

from

instructor to instructor

Computer-Mediated Asynchronous Collaboration

Accessible trainee's convenience

at

the

Requires equipment

computer

Promotes solutions

creative

Can require computer software

Promotes employee involvement

2.11. Training Design