The Impact of Training and Development on Organisational Growth

The Impact of Training and Development on Organisational Growth

Abstract of The Impact of Training and Development on Organisational Growth

The training and development of employees and management team has continued to evolve time and time again. Training and development has come to be seen as pivotal in implementing organizational-wide cultural change efforts, such as developing a commitment to customer service, adopting total quality management, or making a transition to work directed work teams. A successful training begins with a thorough needs assessment to determine which employees need to be trained and what they need to be trained to do. Any training undertaken without a careful analysis of whether or not it is needed is likely to be ineffective and a waste of money. However, this research is concerned with the effects of training and development on the employees of Power Holding Company of Nigeria and this has proved to be vital to future economic, socio-cultural and the sustenance of civilization of the larger Nigerian society. Training and development in PHCN is still haphazard, disjointed and uncoordinated. To move forward improvement and thorough needs assessment and proper analysis is important in order not to continue wastage of human and capital resources due to lack of proper training.

Chapter One of The Impact of Training and Development on Organisational Growth

INTRODUCTION

BACKROUND TO THE STUDY

For any organization to succeed, the human element has to be developed, and motivated. It has been proved overtime that training and development is closely linked to the short, medium, and longtime business plans and has been seen as a vital element in the organization’s ability to prove itself with its customers. These provides those responsible for implementing training and development with the best possible raison d’etre – a direct contribution to corporate goals. Thus in a fast­ moving consumer goods Company, training will be geared towards sales achievements against the competition. In a high- technology company, training will be geared to product quality and innovation. In a district general hospital, training will be geared towards the provision of a high and reliable standard of patient care.

The training function, now popularly called the Human Resource Development [HRD], coordinates the provision of training and development experiences in organizations. Training function begins with the diagnosing of training needs and the establishments of a clear cut objective for training programs. The next step is to design and deliver training programs that uses appropriate methods and procedures to maximize the learning and subsequent job performances of trainees (Bamtefa, 2000).

Recent changes in the environment of business have made the HRD functions even more important in helping organizations maintain competitiveness and prepare for the future. Technological innovations require training for affected employees. Competitive pressures are also changing the way organizations operate and the skills that their employees need. For instance organizations need to provide quality management and customer service trainings so as to keep up with the rising challenge of consumer expectations. Restructuring and downsizing also means that many employees need to be trained to take on expanded responsibilities.

The training and development of employees is an issue that has to be faced by every organization. The amount, and quality of training carried out varies enormously from one organization to another. Factors influencing the quantity and quality of training and development activities according to Wayne (2007) include:

1.                 Degree of change in external environment [e.g. technological change, new legislation etc]

2.                  Decree of internal change [new processes, new markets, etc]

3.                  Availability of suitable skills within the work force

4.                  Adaptability of the existing work force

5.                  The extent to which the organization supports the idea of internal career development

6.                  The commitment of senior management to training as an essential part of economic development

7.                  The extent to which management sees training as a motivating factor in work

8.                  Knowledge and skills of those responsible for carrying out the training

Trainings and development are provided for many reasons: to orient new recruits to the organization, or to teach them on how to perform in their initial tasks to improve the current performance of employees who may not be working as effectively as desired, preparing employees for future promotions or for upcoming changes in designs, processes or technology in their present job (Stradder, 2003).

Finally, art organizations philosophy and strategy are inextricably linked with its approach to improving the current or future performance of its employees. Organizations that are not committed to the training and development of their own workforce will instead seek to hire skilled employees from outside. It is important to note that training and developments of employee can also help reduces cost, by reducing wastages in production. Training and development provides a framework for improving business performance and competitiveness through a systematic approach setting and communicating business objectives and developing people to meet these objectives.

STATEMENT OF THE PROBLEM

It is not just enough to set up an organization, employ people to work and procure machines to be utilized. The main objective of human resource department of any organization is to help contribute to the organizations overall goals. Training programs should be developed systematically and with the organizations true needs in mind. The basic problem facing organization is the problem of human resources. Every organization at some point in time will have a need, which is linking the individuals to the strategic places, functions, and positions in the organization.

A survey of management training practice revealed that only 27% of organizations systematically assessed the training needs of their managers. Often there is no systematic effort to predict future training needs or to determine if perceived needs and problem actually exist and can be properly addressed. It has also been discovered that training are done without careful analysis of whether or not it is needed or that it is likely to be ineffective and a waste of money. As inappropriate training can also sour the attitudes of trainees towards all organizationally sponsored trainings and may reduce their motivation to attend future and perhaps more useful programs.