The effect of training and development on employee Performance

Human Resource Management employs training and development as its feature that enables an organization to train its employees according to the requirement of the organization and polish the skills. “Training activities are designed to improve human performance on the job the employee is presently doing or is being hired to do” (Nadler, 1970). Development is concerned with the overall growth of the employee. The employees in an organization need to understand the job and its importance. Many a times learning occurs simultaneously with the job, but it is the obligation of the employer to provide on the job training to improve the skills of the employee as well as improve overall performance. Training and developmental activities in an organization affect the work performance of the employee and ultimately the firm. Infosys is a company that efficiently manages its employees and provides training for its employees different areas like the technical training, induction training, leadership training, cross cultural training etc.

Leonard Nadler, (1970), “Developing human resources”, Gulf Pub. Co, pp.76-79

Research background

The study proposes to understand the impact of training and development on employee performance with special reference to Infosys Technologies Limited. Training helps an employee acquire more skills and capabilities that help improves their performance in the job; training also makes them proficient in the job (Dahama, 1979). While developmental activities focus on learning new things which provide them new options to grow in the organization. Training and development models are explained with the help of learning theories viz. behaviorist theory, cognitive theory and humanist theory (Mowrer & Klein, (2001). All these theories are concerned with the teaching and learning process of the employees. There are three main approaches to training which are adopted by organizations while deciding on the type of training delivered to the employees namely, traditional, experiential and performance based approach (Rama et.al, 1993).

The continuous learning activities, professional and personal development in Infosys makes the company become successful in the IT industry and marks its presence in the world. The company gives due consideration to its employees and provides training in areas that make the employees well versed in their field. Infosys makes a framework for the continuous improvement of the employee and provides opportunities for their growth. They have incorporated many programs that mostly focus on the learning and development of the employees.

Dahama, O. P, (1979), “Extension and rural welfare”, New Delhi: Ram Parsad and Sons, pp.45-48

Rama, B. R, Etling, A. W, Bowen, B. E, (1993), “Training of farmers and extension personnel”, New Delhi: Mittal Publications, pp. 47-48

Mowrer R Robert, Klein B Stephen., (2001), Handbook of contemporary learning theories, Routledge, pp.16-19

Infosys Technologies Company description

Infosys Technologies is a company that was established in the year 1981 by seven people. Infosys is one of the largest IT companies in India with more than US $5.4 billion revenue. Kris Gopalakrishnan is currently the CEO and MD of Infosys that delivers technology enables solutions to clients in different parts of the world. The company has 114,822 employees who work in the different parts of world and the company has its office in 33 countries. Even though the employee turnover in the IT industry is high the company is able to sustain its employees because of the efforts taken to provide growth and motivation through training and developmental activities.

The company is considered to be one that provides the best kinds of training to its employees. They are well known for the training and developmental initiatives taken up to improve the performance of its employees. Infosys conducts training and development programs for the new recruits and also for the existing employees. Infosys has the following departments that provide different trainings to the employees:

Education and research department – this department provide technical training for the new recruits and the training lasts for about 14 weeks. This department also provides training for the middle level employees.

Quality process training- the company is keen on making its employees understand their role in the organization; this department provides training clarifying the roles.

Managerial programs and personal effectiveness- This department provides training to the managers in improving their skills and capabilities as managers, improves their leadership skills and induce team spirit in the organization.

Infosys leadership system (ILI) – The company has an institute called the ‘Infosys leadership institute’ which is catered to bring growth to the employees and enhance their leadership abilities thus giving them the opportunity to improve themselves.

http://www.infosys.com/about/what-we-do/pages/index.aspx (accessed on 3/12/2010)

http://www.icmrindia.org/casestudies/catalogue/HROB%20Mini/CLHR016.htm(accessed on 3/12/2010)

https://careers.infosys.com/infyrms/infycareers/careers/training.asp(accessed on 3/12/2010)

Rationale for the research topic

The research work will throw light on the importance of training and development activities on improving employee performance.

The study aims to evaluate the various training methods and models adopted by Infosys that motivate its employee to work towards the goals of the organization.

Research will highlight the contributions of the developmental initiatives of Infosys on the growth and development of the employee.

The study will focus on the effect of training and development on employee performance in Infosys.

Literature review

Training and development

Training and development is essential part of the Human Resource Department in any organization. According to Van (1962) “training is the process of teaching, informing, or educating people so that they may become as well qualified as possible to do their job, and become qualified to perform in positions of greater difficulty and responsibility”. The staff in an organization is trained in different areas so that they become efficient in performing their activities. Inservice training is provided to employees so that their performance in the job increases as well as equips them to hold the responsibilities well. This training provides a development and growth for the individual. On the job training helps develop new core competencies and capabilities of the worker (Malone, 1984).

There are various types of training that an employer needs to provide to the employee so that they are capable and competent enough at different stages of their work in the company. Following are the types of training:

Orientation training or induction training: this is a training that most companies provide to a new employee. A new recruit will be unaware of the rules and work culture of the company, thus familiarizing them with the company is the responsibility of the HR department so that the employee is at ease and able to work effectively in the new environment (Rogers & Olmsted, 1957).

Foundation Training- This training is given to the employees to improve their overall skills like communication skills, coordination skills, leadership skills and also to understand their profession well and to gain knowledge regarding the administration.

Technical training – in companies in Infosys they provide their employees with the technical training that suits their work. This is provided to enhance their technical knowledge and make them professional in their area work. This is provided both to the new recruits as well as to the existing employees.

Refresher training – this is another type of training were the skills and abilities are updated. The employees need to be up-to-date with the changing scenario especially in the technology sector. The employees cannot work with obsolete skills, thus they are giver refresher training to improve their productivity (Van Dersal, 1962).

On the job training- This kind of training is mostly provided to the employees by their superiors. The superiors do give formal instructions, presentations and involve the subordinated in discussions. By this way the employee gets an opportunity to gain more knowledge regarding their work and develop new skills.

Developmental training- Training that helps an employee develop and grow in the organization. This type of training will help him take up more responsibilities and hold higher positions Malone (1984). This training will give the employee the professional skills, technical skills and more knowledge that will cater to their development and support them in climbing up the ladder of hierarchy in the organization and promote career development.

Benefits of training and development

There exist a relationship between training and development and employee performance. Training is the method of learning new things through education, practice and experience (Armstrong, 2000). An effective training can make the employees more competent and efficient and contribute to the growth of the organization (Ginsberg, 1997). A well trained employee will always be aware of his abilities, duties and responsibilities. The skills acquired can be efficiently utilized which will enable him to work towards the goals of the organization.

Training is beneficiary to both the employees and the company in a lot of ways.

Training makes an efficient and thus increases productivity

More production leads to increased sales

Wastage is reduced

Employees will be more satisfied thus turnover and absenteeism will be reduced

Efficient employees will produce more quality products

Training is also a means of motivating the employees, the performance level of the employees also increases which acts as a pillar for the growth of the organization.

Training and development in Infosys

Infosys ensures that the employees are given the right kind of training thus contributing to the growth of the employees. Infosys has a well structured training process which is divided into many steps.

Step1. Analyzing the training needs of the organization

Step2. Objective of the training are formulated

Step3. The already existing training methods are reviewed

Step4. Develop a new method or select the already present method

Step5. Training evaluation method has to be understood

Step6. Implement the training program developed

Step7. Measure the results obtained after training implementation

This shows that the company has plan regarding the different training provided to the employees and they ensure that the results are obtained (Kumar, 2009). Infosys has a Training and development department that has many teams which take up the responsibility of managing the training activities in the organization. The teams include corporate training teams, teams for organizational development etc. Infosys follows certain methods like presentation, conferences, seminars, role playing, on the job training, case study, simulation, mentoring, in order to impart training to its employees.

Some of the important types of developmental and training initiatives of Infosys include:

Induction for new recruits, buddy programs to make the new employees familiarize with the organization, leadership, appraisal and quality training. They have adopted certain employee development methods that include, career pathing, options for higher education, plans for performance improvement, giving more projects to work on (Koontz, 1990). Infosys is keen on providing leadership training to its employees and they have set up the leadership institute that provides leadership development program (Durai, 2004).

Armstrong Michael, (2000), “Understanding training”, Human Resource Management Practice, 8th Edition, Kogan page limited, London pp:543

Durai, (2004), Human Resource Management, Pearson Education India, pp.200-203

Koontz, (1990), Essentials of management, Tata McGraw-Hill, pp.218-220

Malone, V. M, (1984), “Inservice training and staff development”, Agricultural extension: A reference manual, Rome: FAO, pp.12

Kumar Nirmalya, Mohapatra K Pradipta, Chandrasekhar Suj, (2009), India’s global powerhouses: how they are taking on the world, Harvard Business Press pp.70-72

Rogers, F. E., & Olmsted, A. G, (1957), “Supervision in the cooperative extension service”, WI: National Agricultural Extension Center for Advanced Study, pp.23

Van Dorsal, W. R, (1962), “The successful supervisor”, New York: Harper and Row, pp. 23-26

Ginsberg, L, (1997), “Training for the long haul”, Computer Shopper, Vol: 17, pp: 4

Research Questions

What are the effects of training and development on employee performance in Infosys Technologies Limited would be the foremost and the most relevant question related to the topic.

Some other questions that can be put forward in relation to the topic are:

How will training bring about a change in the productivity of the employees?

What are the important developmental initiatives taken up by Infosys to provide its employees the opportunity to grow?

In what way is effectiveness and performance of the employees linked to the training and developmental activities in the company?

Research objectives

Primary objective

To study the effect of training and development on employee performance in Infosys

Specific objectives

To evaluate the effectiveness of training and development on employee productivity

To understand the training and development models of the company that contributes to the growth of the employees

To study of there is a relationship between employee performance and training and development in Infosys

Methodology

Research design and design adopted

A research is the process of findings answers to certain problems that are carried out within a framework of philosophies, procedures, approaches, and techniques which are tested for reliability (Kothari, 1985). A research methodology is the process of systematic way of collecting and analyzing information related to a topic. This study follows a method of problem identification in the company related to the topic and then finding solutions to the problems and issues (Kumar, 2005). For the purpose of problem diagnosis and testing relevant data are collected and analyzed.

Kothari, C.R., (1985), “Research Methodology- Methods and Techniques”, New Delhi,

Wiley Eastern Limited, pp.2-5

Kumar, Ranjit, (2005), “Research Methodology-A Beginners”, (2nd.ed.), Singapore, Pearson Education, pp. 38-40

8.2 data collection methods

1. Sampling Methods

The sampling method chosen in this study is convenient sampling were the author distributes questionnaires to the employees. The population chosen for the study is the employees of the company, under the category of trainers and trainees Infosys. Samples are chosen according to the convenience of the author from both populations.

2. Sample size

Sample size is the number of employees chosen for the study from the total population of employees in the company. The number of employees chosen among whom questionnaire will be distributed in Infosys is 100 which include 25% trainers and 75% the trainees.

3. Sampling technique

Sampling techniques is the method by which the researcher chooses samples from the total population. The categorization of the sampling is also important. In this particular study the researcher will choose samples from both the trainer population and employee population who undergo training in Infosys. This is done in order to analyze the effectiveness of training and development from two angles namely from the point of view of the trainers and the trainees. The questionnaires are distributed among these groups thus retaining valuable information regarding the training and development activities of the organization.

Questionnaires

Questionnaires are a means to collect relevant data from the group under study. This study carried out with the help of structured questionnaires that contain questions related to the topic. It will include questions regarding training and development and employee performance in the company. Questionnaire help the researcher get direct responses of the employees who are associated with the training and development activities of the company. While using questionnaires there are chances that the responses obtained may be biased and not the real response of the respondent. In this research the researcher needs to prepare 2 types of questionnaires one for the trainers and another one for the trainees. Thus he can obtain the response from both these groups regarding the topic.

Interview

The various drawbacks of questionnaires can be overcome using the interview method as it provides an opportunity for researcher to have a face to face interaction with the employees. Interview method is relevant as the interviewer can include more interactive and open ended questions. This will help obtain more specific information related to the topic. Interview method can be used in cases where the sample size is low. In this study the researcher can interview the trainers and other employees and get their personal opinions and suggestions on training and development followed in the company and how it has brought about a change in them.

Data Analysis

Data analysis is the process of converting the collected raw data into a polished form which can be easily interpreted and understood to give relevant conclusions. There are various data analysis techniques that can be used in different types of researches according to the requirements (Nolan Bryan, 1994). Empirical data are analyzed using statistical tools which provide reliable and accurate results. In this particular study the data analysis method that can be used are the percentage analysis and Chi-square test. These tests will help obtain accurate results for the study and prove or disprove the objectives formulated.

 Nolan Bryan, (1994), Data analysis: an introduction, Wiley-Blackwell, pp.134-136

Resource Requirements

The author needs different types of data and resources to carry out the study effectively. The data are collected by primary and secondary means. In this study the author obtained primary data by way of questionnaires which when distributed among the respondents give relevant responses which can be used in the study. Secondary data are collected from books and journals, articles, magazines, websites and other media. The author can make use of libraries to collect information from books; World Wide Web is also means for obtaining information related to the topic.

Time scale

EXERCISE

WEEKS

One

Two

Three

Four

Five

Six

Seven

Eight

 Selection of research proposal

Decision on topic title

Working on research background

Rationale

Execution on research objectives

Formulation of research questions

Working  on literature review

Knowing research methodology

Elucidating data collection method

Working on data analysis

Clarification with the lecturer

Time spectrum

Bibliography