INTRODUCTION

Training is a short term process utilizing a systematic and organized

procedure by which people acquire technical knowledge and skills for a
definite purpose. It refers to instructions in technical and mechanical
operations. It is designed for short duration and it is for a specific job related
purpose.

Training refers to the imparting of specific skills, abilities and

knowledge to an employee. Training may be understood as any attempt to
improve current or future employee performance by increasing an
employee’s ability to perform through learning, usually by changing the
employee’s attitude or increasing his or her skills and knowledge. The need
for training is determined by the employee’s performance deficiency,
computed as follows:-

Training need = Standard performance –Actual performance

FedEx Corporation is a company which takes training seriously. It

spends $155 million on training each year. The company allocates nearly
1523 man-hours every year on training. Each employee spends 4 to 6 weeks
a year in compulsory training. In addition, the company has a tie up with
Skillsoff, an e-mail learning portal which offers nearly 800 short-term online
courses to the employees.

Price is a big advantage as well. Given the ability of Indian trainers to

manage scale as well as the cost arbitrage, an Indian trainer may charge only
500 pounds a day compared to 30,000 pounds charged by U.K. trainers.
With huge talent pool availability in the Indian training industry, foreign
clients are now getting attracted towards hiring the trainers to replicate the
Indian model.

LG Electronics has made it mandatory for its staff to do two modules

a month and each module has test that has to be cleared. Every three months
a summary of all the rests is made and prizes are doles out to encourage
people to learn.

Cisco uses web based training as an integral tool to make employees

more productive because it is available anytime, anywhere.
 GE believes in on-the-job-training approach for training its
employees. It trains customer service operators on the job so that the benefits
of listening, thinking and responding occur on the job.

Inputs in Training

Any training must contain inputs which enable the participants to gain
skills theoretical concepts and help acquire vision to look into the distant
future.

Skills

Training means imparting skills to employees. A worker needs skills

to operate machines, and use other equipment with least damage and scrap.
This is a basic skill without which the operator will not be able to function.
Employees need interpersonal skills popularly known as the people skills.
Interpersonal skills are needed to understand oneself and others better and
act accordingly.

Education

The purpose of education is to teach theoretical concepts and develop

a sense of reasoning and judgment. That any training programme must
contain an element of education is well understood by HR specialists. CEOs
are known to attend refresher course conducted by business schools.
Education is more important for managers and executives than for lower-
cadre workers.

Development

Another component of training programme is development which is

less skill-oriented but stresses on knowledge. Knowledge about fsiness
environment, management principles and techniques, human relations,
specific industry analysis and the like is useful for better management of a
company.
Ethics

There is a need for imparting greater ethical orientation to a training

and development programme. There is no denial of the fact that ethics are
largely ignored in business.

Attitudinal changes

Attitudes represent feelings and beliefs of individuals towards others.

Attitudes affect motivation, satisfaction and job commitment. Negative
attitudes need to be converted into positive attitudes. Changing negative
attitudes is difficult because – a) employees refuse to change, b) they have
prior commitment and c) information needed to change attitudes may not be
sufficient.

Decision making and problem solving

Decision making and problem solving skills focus on methods and

techniques for making organizational decision and solving work related
problems. Learning related to decision making and problem solving skills
seeks to improve trainees’ abilities to define and structure problems, collect
and analyses information, generate alternative solutions and make an
optimal decision among alternatives. Training of this type is typically
provided to potential managers, supervisors and professionals.

Thus training offer competitive advantage to a firm by removing

performance deficiencies; making employees stay long; minimizing
accidents scrap and damage and meeting future employee needs.
 The Benefits of Employee Training

1 Leads to improved profitability.

2 Improves the job knowledge and skills at all levels of the organization
3 Improves the morale of the workforce.
4 Helps create a better corporate image.
5 Aids in organizational development.
6 Learn from the trainee.
7 Helps prepare guidelines for work.
8 Reduction in cost of production.
9 Maximum utilization of materials and machines
10 Stability in organization
11 Minimum need of supervision
12 Helpful to manager’s increase in understanding

Steps in Training programme

Who are the trainees?

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Who are trainers?
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What methods and techniques?
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What should be the level of training?
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What principles of learning?
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Where to conduct the programme?
 Methods of
Training

On –the –job Off –the-job

Method Method
Job instruction training Lectures
Simulation Conference
Demonstration and examples Seminar
Apprenticeship Case study
On the job training Role playing
Vestibule training T-group training
Internship In-Basket Method
Job rotation Incident Method
Syndicate Method

Lecture

Lecture is a verbal presentation of information by an instructor

to a large audience. The lecture is presumed to possess a considerable depth
of knowledge of the subject at hand. This method is mainly used in colleges
and universities, though its application is restricted in training factory
employees.

Limitations of the lecture method accounts for its low

popularity. The method violates the principles of learning by practice. It
constitutes a one-way communication. There is no feedback from the
audience.
On –the-job Training

Majority of industrial training is of the on-the job training type.

It is conduct at work site and in the context of the job. Often, it is informal,
as when an experienced worker shows a trainee how to perform the job
tasks.

It is the most effective method as the trainee learns by

experience, making him or her highly competent. Further, the method is
least expensive since no formal training is organized. The trainee is highly
motivated to learn since he or she is aware of the fact that his or her success
on the job depends on the training received. Finally, the training is free from
artificial situation of a classroom. This contributes to the effectiveness of the
programmer.

It suffers from certain demerits as well. The experienced

employee may lack expertise or inclination to train the juniors. The training
programme itself is not systematically organized. In addition, a poorly
conducted OJT program is likely to create safety hazards, result in damaged
products or materials and bring unnecessary stress to the trainees.

Simulation

A simulator is any kind of equipment or technique that

duplicates as nearly as possible the actual conditions encountered on the job.
Simulation then, is an attempt to create a realistic decision making
environment for the trainee. Simulations present likely problem situations
and decision alternatives to the trainee. For example, activities of an
organization may be simulated and th trainee may be asked to make a
decision in support to those activities. Feedback given to the trainees and
they learn from this feedback and improves their subsequent simulation and
workplace decisions.
Case study

It is written description of an actual situation in business which

provokes, in the reader, the need to decide that is going on, what the
situation really is or what the problems are, and what can and should be
done. Taken from the actual experiences of organizations, thse cases
represent attempts to describe, as accurately as possible, real problems that
Managers have faced. Trainees study the cases to determine problems,
analyze causes, develop alternative solutions, select the best one, and
implement it.

Role playing

Generally focuses on emotional issues rather than actual ones.

The essence of role playing is to create a realistic situation, as in case study,
and then have the trainees assume the parts of specific personalities in the
situation. The consequent is a better understanding among individuals. Role
playing helps promote interpersonal relations. Attitude change is another
result of role playing.

Vestibule training

It utilizes equipment which closely resemble the actual ones

used on the job. However, training takes place away from the work
environment.

A special area or a room is set aside from the main production

area and is equipped with furnishings similar to those found in the actual
production area. The trainee is then permitted to learn under simulated
conditions, without disrupting ongoing operations.
Sensitivity training

It uses small numbers of trainees, usually fewer than 12 in a

group. They meet with a passive trainer and gain insight into their own and
others’ behavior. Meetings have no agenda, are held away from workplaces,
and questions deal with the ‘here and now’ of the group process.

The objectives of sensitivity training are to provide the

participants with increased awareness of their own behavior and how others
perceive them-greater sensitivity to the behaviors of others, and increased
understanding of group processes. Sensitivity training can go by a variety of
names- laboratory training, encounter groups, or T-groups (training groups).

T-group Training

This usually comprises association, audio-visual aids, and

planned reading program.

Members of a professional association receive training by it in

new techniques and ideas pertaining to their own vocations. Through a
regular supply of professional journals and informal social contacts or
gatherings, members are kept informed of the latest development in their
particular field.

In-Basket Method

It involves simulation of a series of decisions a trainee might

have to make in real life. The trainee is presented with a pack of papers and
files in a basket containing administrative problems and is asked to take
decisions within specified time limit. The decision taken by several trainees
are recorded and compared with one another. Learning occurs as trainees
reflect and evaluate the decisions taken on priorities, customer’s complaint,
and superiors demand, irrelevant information and the like.
 Techniques of Training

Techniques Description

Ice Breakers games to get team members

Know each other.

Leadership games Exercise to teach different.

Styles of leadership.

Skill Games Tests to develop analytical skill

Communication game Exercise to build bias free

Listening and talking.

Team building games Exercise requiring collaborative

Efforts.

Monodrama Insight into a given interaction.

9+1+23 Self assessment by a leader of

Leadership skills.

Cross culture training Programs to teach specifics of

Varied cultures.
 Learning principles

Training programmes are more likely to be effective when they

incorporate the following principles of learning:-

1 Employee motivation.
2 Recognition of individual differences
3 Practice opportunities
4 Reinforcement
5 Knowledge of results (feedback)
6 Goals

Implementation of Training Programme

Once the training programme has been designed, it needs to be

implemented. Training Programme implementation involves action on the
following lines:-

1 deciding the location and organizing training and other

facilities.

2 Scheduling the training programme

3 Conducting the programme

4 Monitoring the progress of trainees

 Training for Different Employees

The employees who are to be trained can be of different types and each type
would require a different type of training.

1) Unskilled Workers are giving training in improved methods of

handling machines and materials. The objective here is to secure
reduction in cot of production and waste. Training is gigiven on the
job itself, by immediate superior officers.

2) Semi-Skilled Workers require training to cope with requirements

arising out of adoption of mechanization, rationalization and technical
processes. It may be given either in the section or department of the
workers or in segregated training shops.

3) Salesmen are trained in the art of salesmanship, in handling

customers, planning their work, and facing challenges of market
place.

4) Skilled Workers are given training through apprenticeship in training

centers or in the industry itself.

5) Supervisory staff constitutes a very important link in the chain of

administration. They have to cope with the increasing demands of the
enterprise in which they are employed and to develop team spirit
among people under their charge. A training programme for them
should aim at helping the supervisors to improve their performance,
and to prepare them for assuming greater responsibilities at higher
levels of management.
 Evaluation of the Training Programme

The last stage in training process is the evaluation of results.

Since huge sums of money are spent on training, how far the programme has
been useful must be judged or determined. Evaluation helps determine the
results of the training programme. In practice, however, firms either
overlook or lack facilities for evaluation.

Criteria for evaluation

Training validity: - did the trainees learn during training?

Transfer validity: - what has been learnt in training, has it been transferred
on the job? Has it enhanced performance in the work place?

Intra-organizational validity: - is performance of the new group of

trainees, for which the training programme was developed, consistent with
the performance of the original training group?

Inter- organizational validity: - can a training programme validated in one

firm be used successfully in another company?

Need for evaluation

The main objective of evaluating the training programme is to

determine if they are accomplishing a specific training objective that is
correcting performance deficiencies. Second reason for evaluation is to
ensure that any changes in trainee capabilities are due to the training
programme and not due to any other conditions. Training should be
evaluated to determine their cost effectiveness.
 Principles of evaluation

1 evaluation specialist must be clear about the goals and purpose of

evaluation.

2 Evaluation must be continuous.

3 it must be specific.

4 Evaluation must provide the means and focus for trainers to be able to
appraise themselves, their practice and their products.

5 Evaluation must be based on objective methods and standards.

6 Realistic target dates must be set for each phase of the evaluation process.

Levels of evaluation

Five levels at which evaluation of training can take place,

which are:-

1 Reaction
2 Learning
3 Job Behavior
4 Organization
5 Ultimate Value
Bases of evaluation

1 Production Factor
2 General Observations
3 Human Resource Factors
4 Performance Tests
5 Cost-Value Relationship

No doubt these considerations may be further expanded

and elaborated to a considerable degree, but they are basic to any
research programme undertaken to evaluate the effectiveness of the
training methods, programs or materials.
Objective of the Research Study

To know the Effect of Training on Employees’ performance (in

Banking Sector)

Hypothesis

The performance of employees’ effected positively by training,

in the form of: -
Improved productivity
Improved quality
Improved organizational climate
Personal growth

Research Methodology

Data collection: - Primary Data via “Questionnaire”

“Primary data may be described as those data that have been

observed and recorded by the researchers for the first time to their
knowledge.”

The objective of primary data should be precise, attainable and

economic so that the findings may be accurate, reliable, valid and useful.
Data objectives are relevant and immediate objectives of the research
process.

Questionnaire is a list of questions to be asked from the

respondents. It also contains a suitable space where the answers can be
recorded. It refers to a self-administered process where by the respondent
himself reads the question and records his answers without the assistance of
an interviewer.
 It is a method of obtaining specific information about a defined
problem so that the data, after analysis and interpretation, results in a better
appreciation of the problem.

Sample Size: - Number of respondents is Fifty

Research Design: - Descriptive Research Design

“Research Design is simply the framework or plan for a study

that is used as a guide in collection and analyzing the data. It is blueprint that
is followed in completing a study.”

Descriptive research design are designed to describe something

– for example the characteristics of users of a given product; the degree to
which product use varies with income, age, sex, or other characteristics.

In this study the Descriptive research design is used to describe

the effect of training on employees’ performance, income, efficiency and
productivity.

Sampling method: - Random sampling

 Data Analysis

After considering the survey, we can say that most of the banks
are aiming for Employee Training to increase their productivity. The main
factor of analysis is the Method by which training is provided to them.

There are two method of providing training: -

A) On-the-job training method
B) Off-the-job training method

The result of survey at 50 respondents is as follows : -

A B
40% 60%

60%

50%

40%

30%

20%

10%

0%
A B
Explanation: - 40% of the respondents favor that they got their training
by “On-the-job training” method, whereas 60% says that they got their
training by “Off-the-job training” method.

Process of Training

The next factor of analysis is the process by which training is given to the
employees. Two type of processes are used: -

1) Practical
2) Theoretical

Practical Theoretical
43.33% 56.67%

60.00%

50.00%

40.00%

30.00%

20.00%

10.00%

0.00%
Practical Theoretical
 Explanation: -

Out of 50 sample size 43.33% of respondent got their training

by practical process whereas 56.67% employees got their training
through theoretical process.

Job skills taught through formal training

The next factor for analysis is the job skills which are most commonly
taught through formal training. Survey based of four options: -

A) Customer Relation
B) Management Skills
C) Computer Skills
D) Other

A B C D ABD ABC ACD

23% 13% 10% 2% 20% 10% 22%

25%

20%

15%

10%

5%

0%
A B C D ABD ABC ACD
Explanation: -

There are three type of job skills which are taught through formal
training. According to survey out of 50 samples 23% employees deal with
customer relation skill, 13% taught management skill, 10% deal with
computer skill, 2% employees are taught other than these type of skills, 20%
taught the combination of CR, Management skills with some other job skills.
10% of employee are taught the combination of CR, Management skills and
Computer skills and 22% employees are taught the combination of CR,
Computer skills and some other job skills taught by their bank.

Effect on Efficiency or Productivity

The last factor for analysis to know the effect of training on

employees’ efficiency of productivity is obviously positive. Response of all
the employees’ is favorable towards their efficiency and productivity. There
is 100% increase in efficiency and productivity due to employee Training
Programme.
 Conclusion

Banks are the backbone of the global economy, providing

capital for innovation, infrastructure, job creation and overall prosperity.
Banks also play an integral role in society, affecting not only spending by
individual consumers, but also the growth of entire industries.

Banking being a service industry, a lot depends on efficient and

prompt customer service. Therefore banks should provide employee training
for better efficiency and to deliver higher level of customer service.

With the help of the study, it is concluded that “the

performance of employees’ effected positively by training, in the form of –
Improved productivity
Improved efficiency

Every employee in banking sector got the training for his job.
There is an increase in productivity/efficiency as well as income of
employees, but the increase in income is less than the increase in efficiency
or productivity.
 Bibliography
1 Ashwathapa K. Tata McGraw Hill Publishing Company Ltd.
New Delhi.
Human Resource Management

2 Mamoria C.B. Himalaya Publishing House

Human Resource Management

3 Kothari C.R. New Age Publication

Research Methodology