+ All Categories
Home > Documents > Thesis Chp 1-5

Thesis Chp 1-5

Date post: 07-Apr-2018
Category:
Upload: jasmeen-ansari
View: 223 times
Download: 0 times
Share this document with a friend

of 55

Transcript
  • 8/3/2019 Thesis Chp 1-5

    1/55

    The Contemporary Training Practices in SMES of Karachi 7

    CHAPTER ONE

    INTRODUCTION

    1.1 Background

    As early era the work of grown-up people is trained to children to get ready them for

    maturity but gradually as time had passed the social orders have changed and become

    very complicated because the entire environment of work had changed like types of

    work, skills to handle work and tools to operate this types of work also changed thus job

    training developed to deal with these changes (Sleight, 1993). When people invented new

    object or technologies, the requirement- of preparing other people how to operate this

    became essential and the most important objective of training is to develop skills into

    peoples to do a certain job (Sleight, 1993).

    Since people invented apparatus, arms, wearing, protection, and speech, the

    requirement for training turn out to be necessary element in the walk of progress

    (Steinmetz, 1976, p. 1-3). Special kinds of effective Training were developed because

    technologies became very complicated also guiding practices were developed that is very

    important for that time (Brethower and Smalley, 1992, p. 26). These diverse applications

    were formed at diverse era, and a few of them altered gradually by the years, however the

    entire of them are applicable nowadays is up to the training requirement as well as

    condition (Sleight, 1993).

    1

  • 8/3/2019 Thesis Chp 1-5

    2/55

    Impact of Training on the Performance of Employees 2

    1In 1950s:

    Initial training lessons were performed like: shorthand, typing, sales training and

    many different scientific and corporate skills.

    Corporate training games include business games, in basket exercises, decision-

    making simulations and role playing.

    Evaluation played a minor task during 1950s.

    In 1960s:

    Training labs were originated sensitivity training and behavioral changes were

    applying extensively.

    Assessment centers turn out to be very famous near the closing stages of the

    1960.

    Planned coaching was broadly used training method in 1960s.

    Administrative Training, motivation, association growth and structure approaches

    were all applicable.

    Needs assessment, evaluation technique including performance appraisal and the

    training director grow to be essential during 1960s.

    In 1970s:

    Women and minorities were trained and promoted to managerial position in

    reaction to new government hiring regulations and quotas.

    Trainers became more specialized in reaction to new offered awareness in shaping

    training need, evaluation, management development, motivation, and training

    function and methods.

    Management methods, interpersonal relations and group dynamics further gain

    acceptance in both human resource development (where the training and

    personnel departments were concerned with people) and in organizational

    1 The History of Training by Miller

  • 8/3/2019 Thesis Chp 1-5

    3/55

    Impact of Training on the Performance of Employees 3

    development (manager, selection, personnel development and organization

    structure).

    By capability based learning workforces build up abilities which are the need of

    their work also known accessible abilities which obtained stuffs to the task

    prepared in needs assessment, task analysis and evaluation.

    2In 1980s:

    Desktop processor invented a lot of associated peoples required to be trained in

    word processing.

    Behavior modeling in management skills training became more famous, and

    career development was highlighted.

    The Baldrige national quality award was recognized by legislation. This improved

    companys awareness of total quality management and gained attention to quality

    training and management.

    With the closing stages of the 80s a lot of companies were enforced to reflect on

    the international market place to stay alive and then Training directors had to

    familiarize yourself to the new necessities of companies with international

    businesses.

    In 1990s and beyond:

    Up-and-coming technologies are altering the system the information is formed,

    applied and shared. This will powerfully convince the design and delivery of

    2 The History of Training by Millers

  • 8/3/2019 Thesis Chp 1-5

    4/55

    Impact of Training on the Performance of Employees 4

    3training. Computer based instructions are rising to complement and in a few cases

    change classroom training courses.

    There will be requirement for frequent knowledge to recognize task by process

    reengineering and total quality management. Most of the new learning models

    may have to extended, particularly those inside the framework of task.

    The claims of the worldwide economy, by values put by a more varied market

    continue to convince the system businesses are planned and controlled.

    The main latest function of trainers will be maintaining the firm in functioning

    and adjusting to these ever-changing surroundings.

    3 The History of Training by Millers

  • 8/3/2019 Thesis Chp 1-5

    5/55

    Impact of Training on the Performance of Employees 5

    1.1.1 Contextual Frame

    This research is belongs to a country that is Pakistan in the city of Karachi in

    which researcher have concerned only SMES or pvt.ltd companies of Karachi where

    training practices are applicable which includes Liberty Books Pvt.Ltd, Paramount

    Publishing Enterprise to analyze the importance of standard training practices in SMES

    that currently running in Karachi. In order to support her thesis the researcher also have

    shared the experience of training consultants includes Trainer Naeem Sadiq from Quality

    Control Consultancy firm and Trainer Moti-ur-Rahman from U.G Food Company

    Pvt.Ltd.

    Liberty Books is well thought-out one of the top book business in Pakistan,

    recognized in 1980, Liberty has prolonged in range of action by not just lengthening its

    bookseller base but also in advance solitary distributorship for few of the best known

    magazines in the world, which includes Newsweek, National Geographic, Readers

    Digest and The Economist with time listed and strong relations with distributors

    worldwide, liberty has a different and huge variety of books and magazines basically on

    any subject in the world given that books and magazines to suit all ages and inclinations.

    Liberty Books has books that cater to all needs.

    Paramount Publishing Enterprise is one of the largest wholesale and retail

    distributors cum publishers in Pakistan and distributing books from key publishers in

    India and abroad. Their website provides readers access to more than a million variety

    books in 35 different sections. Paramount Publishing Enterprise believes that customers

  • 8/3/2019 Thesis Chp 1-5

    6/55

    Impact of Training on the Performance of Employees 6

    are the only cause for their success and each customer should be treated in a friendly,

    considerate, courteous and fair manner.

    1.1.2 Problem Identification

    In recent times, some efforts encompass to enlighten the fruitless use of Training

    programs in domestic organizations of Karachi. Pakistan. These efforts to provide special

    outlooks for our understanding, but dispute for developing a universal rather than slow

    approach to the study of training practices. Taking a lead from such earlier attempts, the

    present study explores the Todays training practices in SMES of Karachi (Pakistan)

    using a framework that relates such practices to workforces and Firm Performance and

    profitability.

    Firms require skilled and trained labor all the time to meet the need of this present

    corporate culture of industries in order to stand with the global market. This problem is

    becoming a challenge for todays employees and organization both, it also creating the

    working environment more competitive and challenging, with the increasing realization

    of good and skilled human resource in Organizations and it has become an important

    activity to research. Therefore the standard training practices at continuous basis is

    required for the firms to make their workforces as well as company profitable.

    1.2 Purpose of the Research

    The purpose of this research is to explore the Contributions of training practices

    in Small and Medium Enterprises (SMES) of Karachi regarding the performance

    of employees as well as profitability of organizations.

  • 8/3/2019 Thesis Chp 1-5

    7/55

    Impact of Training on the Performance of Employees 7

    This research recognizes that whether these enterprises aware of the benefits of

    Standard training practices or not.

    This study highlighted the technique by which organizations can makes their

    workforces competitive and capable to compete in the business market of this era

    and the positive results also being highlighted by the application this technique.

    By this research the researcher will find out the reasons of no application of

    Standard training Practices in domestic companies and the motivating factors to

    increase the efficiency of employees to accomplishing their task more smartly.

    After reading this research the management will know the reasons behind

    employees low efficiency towards work and found the way to solve that kind of

    problem.

    1.3 Research Questions

    (Primary)

    1. How Training practices contributes overall human capital of SMES of Karachi?

    And how this training practices makes difference in the organizations

    profitability?

    (Secondary)

    1. Are the Small and Medium Enterprises of Karachi aware about the importance of

    standard training practices?

    2. What changes the Companies observe in participants after getting trainings from

    them?

    3. Why small and medium enterprises of Karachi not practicing standard Trainings

    in their sector?

  • 8/3/2019 Thesis Chp 1-5

    8/55

    Impact of Training on the Performance of Employees 8

    4. What are the attempts the Small and Medium Enterprises is assembling for the

    application of standard training practices nowadays in their sector?

    1.4 Justification/Significance

    This study is important for the firms as well as employees. From this research

    firms will better understand the importance of training for organizational success. It will

    guide firms about the role of training programs in motivation and retention of

    employees, and may help employees to enhance their skills for the betterment of their

    future prospects and they also would be able to increase the chances of growth and

    career advancement.

    1.5 Delimitation of Studies

    The time is one of the major constraints in working on this research as having such

    broad study requires more time. This study requires to be finish within the limited time

    period. This study is basically centers on the Training and its role on the efficiency of

    employees and also focuses its benefits towards workforces as well as the Company.

    This study only focuses on SMES (Small and Medium Enterprises) of Karachi

    conducting training practices for their workforces nowadays. And this research is

    concerned only the trainers who are responsible for training and development in

    different firms including SMES (Small and Medium Enterprise).

  • 8/3/2019 Thesis Chp 1-5

    9/55

    Impact of Training on the Performance of Employees 9

    CHAPTER TWO

    LITERATUREREVIEW

    4THEORETICAL FRAMEWORK

    TRAINING CYCLE

    4Book ASTD (American Society of Training and Development0, By Tricia

    Emerson and Mary Stewart

  • 8/3/2019 Thesis Chp 1-5

    10/55

    Impact of Training on the Performance of Employees 10

    EMPERICAL STUDIES

    2.1 Definition of Training

    Training is typically defined as a considered and organized attempt to adjust or

    develop skills and attitude by learning experiences, to attain successful performance in an

    action within current job focus (Garavan, 1997). Training is a practical education in any

    profession, talent or expertise (The Oxford English Dictionary, n.d). Training defines as

    having narrow objectives, specifying the accurate way to do something (Rodger, 1986).

    Training is a variety of entire methods by which one increase the competencies that needs

    for job related works (Organization For Economic Development, 1997). The researcher

    further explained training is an effort; the degree to which capabilities are truly expand in

    any case depends on the intensity and extent of effort to discover the natural talent and

    inspiration of the trainees (Organization For Economic Development, 1997).

    2.2 Categories of Training

    Current job focus as an action emerges to cover a lot of limitations including on-

    the -job and off-the-job training, training for younger workers and adult training, formal

    and informal training through work experience (Human Resource

    Management/Development, n.d).

    On-the-job training is further classified into general and specific training (Becker,

    1964). According to researcher general training increases the marginal product of

    workforce in many other firms and firm gets return on investment in competitive market

    and specific training are only beneficial for the training firm also return on investment is

  • 8/3/2019 Thesis Chp 1-5

    11/55

    Impact of Training on the Performance of Employees 11

    low as compare to the training (Becker, 1964). On-the-job training increases the

    productivity growth of the workforce in a firm and the foundation of productivity growth

    depicts the idea of learning by doing (Arrow, 1962, Sheshinsky, 1967 and Young, 1991).

    Economies are continuously changing and firms require to retrain their workforces to

    capable them meet the need of the competitive environment therefore this need forcing

    the firm towards (OFT) off-the-job training (Lechner, 1999). The researcher further

    suggested that the result of (OFT) off-the-job training is the change in labor market,

    current or expected earning and career growth of labor force (Lechner, 1999). After

    analyzing further the researcher found that before (OFT) off-the-job training

    unemployment level moved up at level of 20% and after OFT it undoubtedly decrease

    also OFT effects the earnings which is low before OFT and after evaluation of OFT it

    goes up (Lechner, 1999).

    Formal training are usually define as training which is organized and conducted within

    the specific fix time not like that training which is conducting during the normal routine

    work (Decision Research Ltd, 1997). While Informal training is defines as training in

    which employees learn during work usually through their colleagues by request queries

    and understand by their own understandings (Long et al, 2000).

    A Training which is conveyed to the trainees by a person who is also a member of staff of

    that organization is termed as Internal raining though a training which is conveyed by a

    person who is not the member of that organization is termed as External training while

    In-house training is a training that delivered to the trainees in order to meet the particular

    requirement of organizations own worker which can suppose as both external or internal

    training (Organization For Economic Development, 1997).

  • 8/3/2019 Thesis Chp 1-5

    12/55

    Impact of Training on the Performance of Employees 12

    2.3 Sources of Training

    Sources of training information is categorized into two basic and famous sources

    at this time for adapting behavior changed in which one is Future Payoff that can be

    attained through the suggestion of specific person who are experienced on the desired

    area of learning and can able to predict the future value of that area that will reduce the

    chances of error throughout the learning process (Samuel, 1963, Lee & Mahajan, 1988).

    The second source of training information is usually called Book Move that would be

    attained by individuals through observing the act of specialist of specific area or

    individual also can ask to specialist of what is the appropriate way of doing in specific

    condition and then follow according to the suggestion of specialist that would be very

    informative way of learning (Samuel, 1967).

    2.4 Training Model

    Previously there have been two thoughts of management training the first is

    Normative model, and second is Contingency approach, Normative model refers to

    managers whose complete attention toward the production and the human asset of

    organization thus work and people together makes a team and are excellent for all

    circumstances (Blake & Mouton, 1964). Contingency approach refers that there is no

    excellent way of management to deliver the things it depends on expertise of

    subordinates on work that make the delivering style of management arranged (Hersey &

    Blanchard, 1982). Conventional Management training also called Human relations

    management training in which management training program should be considered and

    applied and to make training effective and beneficial for the resolution of problems and

    minimizes the differences among managers and employees is necessary hence any model

  • 8/3/2019 Thesis Chp 1-5

    13/55

    Impact of Training on the Performance of Employees 13

    of management training whether it is normative model or contingency approach is used

    the essential thing is that the training should be realistic, more valuable ad dynamic

    (Gabris, 1989).

    2.5 Training measures

    Several researcher measure training by input, some measure training

    effectiveness, and some measure many sorts of abilities and other features (Rendall,

    2001). In input the two important measures that are cost and volume, that can be easily

    assemble the whole organization including all members of staff or a single individual

    (Organization For Economic Development, 1997). Volume measures the working period,

    occurrence or contribution percentage and strength within the workers while cost is

    describe as all the cost that organization invest in conducting training these cost can be

    the cost of training requirement etc (Organization For Economic Development, 1997).

    2.6 Effectiveness of training

    According to Kirkpatrick (1994) there are four levels of effectiveness of training

    within firm listed below:

    Level 1: Reaction- in which trainer note down what are the perceptions of trainees

    concerning all training session also called measure of customer satisfaction.

    Level 2: Learning- this is the notification of knowledge gain, talent enhanced, and

    performance modify by attending this training.

    Level 3: Behavior- measuring that through the training program how much change occur

    in the behavior of participants.

  • 8/3/2019 Thesis Chp 1-5

    14/55

    Impact of Training on the Performance of Employees 14

    Level 4: Results- it is the observation of outcome for the organization that carried out by

    this training which are increments in sale, productivity boost are and low quit rate of

    work force (Kirkpatrick, 1996).

    Training provides many benefits to employees such that to upgrade their education, to

    minimize unemployment rate, satisfy them with their wok, increase their wages and

    professional growth (Organization For Economic Development, 1997). Training is also

    beneficial for the organization like it boost the productivity, enhances the quality of

    output, higher the employee morale, decrease the production cost, increase in sales and

    profit, minimizes the rate of absenteeism and also minimize the quit rate (Organization

    For Economic Development, 1997). Training also provides positive impact on economies

    such as it decrease the inflation rate, maximize international competitiveness and

    economic prospect (Organization For Economic Development, 1997).

    2.7 Training process

    According to Miller, SPHR, Osinski, & SPHR (1996), generally there are five stages

    in training process which is Need assessment, Instructional objectives, Design,

    Implementation and Evaluation. As need recognition is the first step of training program

    in which organization first identify the gap between the existing skills and required skills

    of employees and that gap is between:

    What is currently going on and what the organization want.

    Existing and required performance related to job.

    Current and required ability and talent.

    Once the training need recognized then the trainers will able to place the objective/goal of

    training in which they find out that who requires training and which type of training

  • 8/3/2019 Thesis Chp 1-5

    15/55

    Impact of Training on the Performance of Employees 15

    required after completion of both steps the third step which is designing a training

    program started which include:

    Choose a person who is either member of organization or outside the organization

    for planning and developing the training program.

    Choose and plan the material of training program.

    Choose the element to assist the training like role play, any activity, business

    games, lectures, and videos related to the topic of training.

    Choose suitable location for training.

    Choose trainer who will be responsible to deliver training.

    Once the designing stage finished the implementation stage starts which includes:

    Make a time table for lectures, participation and other arrangements.

    Make a time table for trainer who delivers the training.

    Arrange contents and send it to the location.

    Carry out training.

    The last stage in training process is evaluation of the training program in which trainers

    identify either training goals were accomplish or not. In evaluation process trainer

    observe the response of trainees regarding training program that at which extent the

    trainees acquire skills and how much they become capable to apply this skills on their

    work.

    According to Miller, SPHR, Osinski, & SPHR (1996), out of all stages in training process

    training need assessment is the most essential part it consist of three levels organizational

    analysis, task analysis, and individual analysis.

    Organizational Analysis recognizes:

  • 8/3/2019 Thesis Chp 1-5

    16/55

    Impact of Training on the Performance of Employees 16

    Effects of environment.

    Condition of economy and effect on operating expenses.

    Varying labor demographics and requirement to tackle the difficulties towards

    language and society.

    Varying mechanization and technology.

    Growing market place of world.

    Objective of organization and capital offered.

    Environment and encouragement for training.

    Task analysis includes:

    Actions related to the performance of job.

    Analysis of knowledge, talent, behavior and capabilities.

    Judgment of performance differences.

    Examine the work.

    Do the work.

    Assess the work regarding its effectiveness.

    Gather information about work.

    Individual analysis includes: Identify the performance of individual in a organization and

    also identify who needs training and what type of training require.

    2.8 Purpose of training

    The purpose of Training is to develop skills that are immediately useful in

    particular situations although general principles are introduced in training and generally

    accomplished in a less time than teaching and has more fruitful results (Wart, 1993).

  • 8/3/2019 Thesis Chp 1-5

    17/55

    Impact of Training on the Performance of Employees 17

    2.9 Important steps for training program

    Gabris (1999) stated that some components are listed below which is very

    important to make a training program successful:

    1. First recognize the need of trainees then design a training program which affects the

    lacking area of trainees.

    2. Training must be an in-house attempt and all work forces should be involved including

    all administrators from all administrative levels.

    3. Analytical results should be announced instantly and take attention towards action

    planning and team building exercises.

    4. Attain agreement early on a general board beliefs announcement. What are the

    standards that should force the entire organization training?

    5. Training program should be for long period of time because short-range training is not

    credible.

    6. Design training program according to current activity of organization and application

    of learning is must.

    2.10 Steps to avoid in training program

    According to Kouzes & Posner (1987) some training practices that are occurring during

    training session are responsible to damages all training program therefore training

    associations should avoid those practices listed below:

    1. Training programs are executed from the top down, or senior administration recognizes

    better.

    2. Start Training session without identifying the need of training and not even aware what

    type of training program require.

  • 8/3/2019 Thesis Chp 1-5

    18/55

    Impact of Training on the Performance of Employees 18

    3. No new improvement in training packages that responsible to damage the health of

    organizations culture.

    4. Generate training programs for very limited time that not covers all area because it is

    on short-range and temporary basis.

    5. Providing out of house training to the managers which is quite different from their own

    organization therefore application become impossible for the trainees.

    6. Training conducted only for particular employees of management not for all work

    forces of organization.

    7. Most managerial training programs are not understandable of what should be contents

    of training programs to train managers.

    2.11 Training and productivity

    Productivity of company boost up by conducting training programs for employees

    that is by increasing training 1% productivity increase by 3% (Zwick, 2002). Employees

    Knowledge, and skills are increasingly essential competitive assets within firms and the

    employee training sponsored by the firm is therefore supposed as most essential measures

    to increase and maintain productivity especially on that firms which are based on a

    comparatively high share of well qualified employees who regularly work in flexible,

    difficult and broad environment to obtain competitive advantages (Appelbaum and Batt,

    1994, Roth, 1997). External and internal training programs effects more on the

    productivity of employees that leads a beneficial impact on the company another

    effective outcomes company gain by electronic training device and quality circles means

    that firms conducting training programs in order to minimize the productivity gap and

    also firms are motivated to train in order to get competitiveness means and gain a high

  • 8/3/2019 Thesis Chp 1-5

    19/55

    Impact of Training on the Performance of Employees 19

    productivity as compare to their competitors (Zwick, 2002). After analysis of continuous

    training in Germany for the years 1986 to 1989 the researcher observed that to gain a

    larger productivity experience and professional education is not enough the on- the- job

    training and learning by doing is required to enhance the skills of the workers in their

    current job pischke (2001). Productivity are actually depicts the performance of

    employees within the firm yet productivity is a multidimensional term and it is a ratio

    between output and input also firms want to improve their input to lower their cost and

    achieve more output and for this they train their employees to enhance their performance

    and make them beneficial thus performance includes competition and manufacturing

    excellence whether it is connected to cost, flexibility, speed, dependability or quality and

    regard as the success of a company and its operations (Thomas and Baron, 1994).

    Productivity and performance both are characterize same with different aspects like

    improvements in quality means product with no fault showing the productivity of

    manufacturing firm and reason behind this is the improvement in the capability of the

    work force (Tangen, 2004). Performance outcome and productivity improvement is a

    result of investment in training of workforce to enhance their knowledge, skills and

    attitudes because adoption of technology and the improvement in all working activity is

    depends on the knowledge, skills and attitude of trained workforce (Siddique and Asghar,

    2008). Human resource management of organization is responsible to link between

    skills, technology and the organizational changes and the lower level employees can

    brings the technological and organizational change back. (Reenen, 2005).The Researcher

    further suggested that training and effort of labor is the main reason of productivity

    differences among organizations and countries (Reenen, 2005).Training is very important

  • 8/3/2019 Thesis Chp 1-5

    20/55

    Impact of Training on the Performance of Employees 20

    for firms who wish to improve their productivity and enhance the skills of their

    workforce within the organizations and also essential for performance improvement

    (Savery and Luks, 2004).

    2.12 Training in different aspects

    A latest book on leadership recommended that leaders are not born but come out

    by the acquirement of leadership skills (Kouzes & Posner, 1987). Managers acquiring

    leadership if organization provides them training in that manner that develop leadership

    skills in their behavior that leads leadership achievement all over the organization and

    also leads a job satisfaction among work force (Hackman & Oldham, 1980).

    Employees adapting new skills getting by training that direct to valuable business

    outcomes like increased sales, reduced costs, or increased retention of key staff also

    training enhances the trainees ability to perform and the value from this training comes

    when ability is transformed into improved job performance that leads increasing the

    return on training investments and some of the factors such as direction, feedback,

    incentives, rewards, job aids and tools, all work together to make performance when

    these factors are effective, complete, and aligned, employees capability will be converted

    into superior performance and if they are not performance will consistently goes down to

    levels far below employee capability (Brinkerhoff, 2006). The researcher further

    suggested that the training program should be efficiently and effectively help participants

    to gain new and improved skills and knowledge that are important for adopting new job

    behaviors or improving effectiveness of current job behaviors (Brinkerhoff, 2006).

    A nonstop program of training for production in a manufacturing process whether

    it is continuous flow, consignment, one-off production is important for achieving higher

  • 8/3/2019 Thesis Chp 1-5

    21/55

    Impact of Training on the Performance of Employees 21

    productivity, better on the job performance and improved quality (Tennant, Boomerang,

    Roberts, 2002). Training is positively and extensively linked with job satisfaction and

    that job satisfaction is also positively linked with the workplace performance (K.Jones,

    J.Jones, Latreille, and Sloane, 2008).The researcher measure the performance by

    productivity, product quality, financial performance, pay rates, turnover, efficiency scrap

    rates, labor turnover, job creation, absenteeism, perceived organizational performance

    and perceived market performance and found that organization can improve performance

    of employees by increasing the volume of training and taking action to raise the job

    satisfaction of the employees and to make this successful they also need to pay attention

    to the amount and type of training offered (Jones, Jones, Latreille, & Sloane, 2008).

    The researcher further suggested that training that covers all area according to the

    training need and for a longer period of time is most beneficial and effective and there is

    uncertain evidence that having a higher percentage of over-skilled workers is associated

    with improved performance but also with a lower quit rate and lower quit rate is essential

    because firms want to retain their trained employee (Jones, Jones, Latreille, & Sloane,

    2008).

    Training impact on earnings is positive as wage rate of trained worker is high as

    compare to the untrained worker because the effect of training on earnings differs for

    different workers like high-skilled workers profit more from training than low-skilled

    workers as training includes courses and seminars, participation in trade fairs, lectures,

    on-the-job training, quality circles, special tasks, and reading of specialist literature all

    these enhance the capability of employees that leads a significant positive impact on their

    wages (Kuckulenz and Zwick , 2003). Workers having high capabilities receiving more

  • 8/3/2019 Thesis Chp 1-5

    22/55

    Impact of Training on the Performance of Employees 22

    training and have higher wage growth from other sources as well (Jovanovic, 1979).

    Importance of Training in large companies is greater than compare to the small or

    medium size companies as researcher conducted a survey of different large and small

    companies and got that as large companies having full of resources and employees

    around 1000 is more focusing on the training programs and the way they are delivering

    the training to the trainees is the proper understanding of its Need Assessment, Methods,

    Design and Delivery, evaluation and the feedback. The researcher also discussed that

    Manufacturing, Agriculture and Fishing companies treat training as a vital function and

    they have training departments or component in their company's structure and they

    conducting training are more visible in than in other like Retail, wholesale, utilities, and

    communications companies give little interest to the training programs (Abdelgadir &

    Elbadr, 2001). Researchers also observed that out of all training process the most

    important area is the Need recognition of trainees in order to overcome the lacking and

    make the employees expert in that particular area and the another essential part is

    evaluation by this the company could easily understand whether training is effective or

    not and if anything uncover during training program they easily able to analyze and

    improve (Abdelgadir & Elbadr , 2001).

    As businesses become global that creates a need of best value in their goods and

    services because new technologies are continuously invented that change the way of

    working therefore organizations should always arrange trainings for their employees in a

    specific area that enhance their knowledge, skills and abilities (SKAs) to meet the

    requirement of competitive market and the prospect of industry also training assist the

    firms growth and expand the business as well as generate profit (Cosh, 1998).

  • 8/3/2019 Thesis Chp 1-5

    23/55

    Impact of Training on the Performance of Employees 23

    Competitive advantage of firm require qualified and trained work force (Chun, 2001).

    Training should be arranged according to the steps that is start from training need

    recognition, then design properly to support need, then implementation and in the end

    evaluation of training if these steps are arranged properly then firms can take the pleasure

    of return on investment and make the training effective (Blanchard & Thacker, 2003,

    Golstein & Ford, 2002 and Noe, 2005). Training need analysis (TNA) play important role

    in return on investment as well as reduce the mistakes of training program (Elbadri,

    2001). The researcher emphasize that if training need is not accurately analyzed then

    training will not achieved the strategic goal of organization (Wilson, Driscoll & Taylor,

    1992). The researcher after their survey found that the organizations supposed that their

    training program were strategic because they follow some essential steps such as identify

    the need, assume some method to analyze that training need and design their training

    program obvious, related and exact (Jamil & Som, 2007).

    Training becomes very essential when the personnel is not sufficiently qualified

    then firms require to retrain workers internally in order to decrease the turnover rate and

    diminish the turnover cost and want to overcome the lacking of skilled workers on the

    labor market (Zwick and Schroder, 2001). The employees tenure in a particular

    organization increases when employee remain loyal with organization and loyalty

    depends on the cooperation of organization with employees by conducting training

    programs to enhance the capabilities of workforce and when organizations not cooperate

    with employees than turnover increases and employees easily move towards other firm

    (Glance, Hogg & Huberman, 1997).

  • 8/3/2019 Thesis Chp 1-5

    24/55

    Impact of Training on the Performance of Employees 24

    Coordination between Businessmen often fail due to lacking of their

    communications skills because there is problem in exchanging their perceptions so to

    enhance communication skills by conducting training in communication is the better

    solution to keep the business discussion clear and open (Graham & Tung, 1984). Firms

    most likely need administrative professionals not professional administrators (Rhody,

    1984).Trained communicators are able to communicate well and clarifying questions

    regarding organization and people involved and training in communication helps

    manager to overcome all issues concerning discussion (Poon & Fatt, 1996). The

    researcher also suggested that communication skills are no doubt very valuable and turn

    to outstanding success in career so communication professionals should attempt not just

    to communicate but to communicate to manage (Poon & Fatt, 1996).

    Training can increase employment rates because it helps unemployed people to

    improve their job skills that helps participants to find job within their area of interest and

    also training must be useful because it assist employees maintain usual jobs by improving

    their task practice (Ham & lalonde, 1996).

    Trainees reactions had a fundamental impact on learning and learning had a

    significant influence on behavior change and also optimistic response of participants

    learning, behavior change, and improvements in job-related out-comes are the result of

    well-designed and managed training programs in fact the attitudes, interests, values, and

    expectations of trainees enhance the effectiveness of training (clement, 1978). The

    researcher further suggested that training can be more effective if organization

    understand about the behavior of trainees and design training programs according to their

    learning style that will change the trainees behavior immediately and improve their

  • 8/3/2019 Thesis Chp 1-5

    25/55

    Impact of Training on the Performance of Employees 25

    performance (Clement, 1978). Employees willingness towards training is necessary to

    fulfill the objectives of training and to increase the willingness of trainees trainers can

    inform them about the training element, training environment, difficulty of training

    contents and all necessary things associated with training program in order to achieve

    effective training and in this way the firm will get maximum change in the behavior of

    employees and their performance will also improved (Tai, 2004).

    In training motivation is the power that influences enthusiasm in training program

    its a way that guide the participants to learn and try to become expert in the content of

    the program and training becomes more effective when the trainees are highly motivated

    to obtain knowledge and skills instead of facing problems during training session (Steers

    & Porter, 1975).Motivation of trainees plays a vital role to make the training successful

    and attainable and if motivation is low than trainees fail to get benefit from the training

    session (Colquitt, 2000).

    Firms are usually adopting benefits by training especially off-the-job training is

    more effective to increase the productivity of labor because during off-the-job training

    trainees are only focusing at their training programs without any responsibility regarding

    their ongoing job and hence fully achieve all contents of training that leads drastic change

    in their behavior and skills and after attending training when employees are capable to

    accomplish work better as before then firms get return of their investment because return

    is important for the firm who invest that much amount during all training session

    (Schonewille, 2001).

    According to analysis training programs will be quite helpful within a controlled

    work group environment which helps to boost the change within in a team member or a

  • 8/3/2019 Thesis Chp 1-5

    26/55

    Impact of Training on the Performance of Employees 26

    particular area and the controlled structure and development of such environment will

    ultimately lead to specific awards and reward for both management and operational staff

    who with pinpoint accuracy as they provide feedback and encouragement for either their

    subordinates or newly appointed trainees having new skill sets. Though its necessary for

    the trainees to ensure materials, tools, job related information and budgetary support

    which are necessary to support such crucial operations in the long run and these kind of

    plannings are decided before such dedicated events and also Employees' perceptions of

    the accessibility of situational assets earlier to agenda participation probable pressure and

    motivation to learn with respect to the needs and demand of the environment (Noe,

    1986).

    Training for the growth of managers leads the rapid development of all activities

    of business that brings change in organization especially improvement in quality

    assurance (Smith, 2006). The researcher said the training of both managers and

    workforce result the career development of individual that link the overall development

    of firm (Smith, 2006). The researcher further suggested that the training of managers not

    only helps in career development of individual but also organizational development and

    connect it with business strategy of enterprise for the overall growth of organization

    trainers offer more training for operational level employees and human resource

    management system like performance management and selection/recruitment for further

    progress of the learning and development system (Smith, 2006).

    Government sectors in most of the countries are supporting the growth of training

    systems in business organization and encourage them to train their workforce to enhance

  • 8/3/2019 Thesis Chp 1-5

    27/55

    Impact of Training on the Performance of Employees 27

    the knowledge, skills and attitude of existing employees that results improvement of all

    businesses of country (Robinson, 2001).

    Training is an easy and low cost then recruiting because organizations acquire

    high cost and facing many problems in recruiting skilled labor as training is conducted to

    change the behavior of workforce to upgrade their skills therefore training is considered

    as a substitute for the cost of recruitment (Stevens, 1994). The Researcher found that

    when training is not conducted during 1980 because of high interest rate that results skill

    shortage occurs among work force by 1986-8 when interest rate on average and again

    training supply started that results clearly the enhancement in the skills of labor force

    (Stevens, 1994).

    Capability to resolve current problem by past obtained information termed as

    Fluid Intelligence (Gf) so Gf is regarded as one of very essential element in acquiring

    knowledge and also associated with the professional and educational achievements

    (Jaeggi, Buschkuehl, Jonides & Perrig, 2008). The researcher further stated that training

    is necessary for the development of Gf among workforce within the firm hence more

    training more development of Gf (Jaeggi, Buschkuehl, Jonides & Perrig, 2008).

    Adoption of human resource innovation techniques among workforce leads

    improvement in their performance therefore the conduction of training for innovative

    human resource practice is necessary for the firm (Erickson & Jacoby, 2003). The

    researcher further suggested that social interaction of employer with the other outside

    professional network is playing vital role in innovation diffusion and acquiring

    knowledge related to organization also interacting with these network helps employer to

    adopt new skills and get opportunities and more information about the application and

  • 8/3/2019 Thesis Chp 1-5

    28/55

    Impact of Training on the Performance of Employees 28

    outcomes of innovations (Erickson & Jacoby, 2003). Employer network are a foundation

    of reasonably helpful information that assist the adoption of high-performance task

    practices and training (DiMaggio & Powell 1983). Administrators who are networked are

    more vulnerable to conformism and they try to become smart in front of their colleagues

    staff and to make a professional image they acquire human resource innovation

    (DiMaggio & Powell 1983).

    Internet technology reflects a great impact on many industries (Evans & Wurster,

    1997). In present era many colleges and universities promote web based learning as

    compare to the past established education sector (McCormick, 2000). Virtual learning

    environment (VLEs) is the computer based environment that facilitate the

    contributors/participants to interrelated with each other and giving way to large varieties

    of assets and also it faster the electronic interaction and discussion among contributors

    (Wilson, 1996). The researcher found that computer based training is more important in

    present competitive world that makes people more expert in technology and changed

    their behavior according to the demand of continuously emerging market and it also

    provides learner more satisfaction because technology makes the task easier to handle

    and produce successful outcome (Piccoli, Ahmad & Ives, 2001).

    According to analysis top level executives are seriously practicing ethical values

    in their daily working environment as compare to the lower level non-experience work

    force of organization and also top level executives dont give attentions towards their

    personal assessment because they want to be more popular in organization (Harris, 1990,

    Posner & Schmidt, 1984). The researcher found that lower level work force of

  • 8/3/2019 Thesis Chp 1-5

    29/55

    Impact of Training on the Performance of Employees 29

    organization require training in the area of ethical values that develop the sense of ethics

    in them that leads positive changed in all environment of organization (Callan, 1992).

  • 8/3/2019 Thesis Chp 1-5

    30/55

    Impact of Training on the Performance of Employees 30

    CHAPTER THREE

    METHODOLOGY

    3.1 Research Purpose

    Research is organized, official, accurate and specific process for workers to find

    out resolution to issues and/or to determine and interpret latest details and interactions.

    (Waltz & Bausell, 1981). It is the procedure of looking for an exact respond to a

    particular query in a controlled goal and in a reliable manner (Payton, 1979) . Research is

    organized, restricted, experiential and significant exploration of theoretical suggestions

    about the assumed affairs among natural phenomena (Kerlinger, 1973).

    There are different way of conducting research i.e. Exploratory,

    Descriptive & Explanatory.

    The purpose of this research is exploratory basically interview will be undertaken

    by training experts in order to gather data in which researcher identifies the impact of

    training on performance of employees and also identifies in Karachi whether training

    brings positive effect on both organization and employees or not.

    Exploratory Research

    In various public discipline, exploratory research look for how people get together

    in the surroundings in subject, what sense they present to their dealings, and what

    problems concern them (Schutt, n.d). The objective is to find out 'what is going on here?'

    and to explore societal phenomena without explicit prospects (Schutt, n.d). Exploratory

    researchis adopted when the area or problem is new and when information is hard to

    gather (Barbie, 1989).Exploratory research is flexible and can deal with research

    questions of all types: what, why, how (Barbie, 1989).

  • 8/3/2019 Thesis Chp 1-5

    31/55

    Impact of Training on the Performance of Employees 31

    3.2 Research Approach

    There are two main research methods to choose when scripting research

    qualitative method or quantitative method (Yin, 1993; Holme & Solvang, 1991). The

    objective for both the qualitative and quantitative methods is to create a

    improved perceptive of the culture and to comprehend how people,

    groupings and associations act and have an influence on each other (Holme and

    Solvang, 1997).

    The Researcher in this research uses Qualitative approach where the researcher

    centers on the concrete practices in training being done in different organizations of

    Karachi. The key approach that will need to implement a qualitative analysis through

    exploratory research by means of focus interviews will be carry out with the training

    proficient.

    Qualitative Research

    This type of study usually clear any kind of investigations that generate findings

    not arrived at by means of statistical procedures or other means of quantification,

    character of qualitative studies are that they are stand mainly on the researcher's

    own explanation, feelings and response (Yin, 1994). The qualitative approach also

    comprises an immense convenience to the respondents or to the source that the data is

    being collected from (Holme & Solvang, 1991). The qualitative approach is differentiated

    by assemble rich information and to explore a number of variables froma few numbers

    of things, to take use of the prospects to gather high quality data the most familiar way

    to do this is with the application of case studies and interviews where no set answering

    alternatives are being available (Holme and Solvang, 1991).

  • 8/3/2019 Thesis Chp 1-5

    32/55

    Impact of Training on the Performance of Employees 32

    3.3 Research Design

    The design of qualitative research is possibly the stretchiest of the many tentative

    techniques, encircling a range of acknowledged process and composition. From an

    individual case study to a wide interview, this nature of study still requires to be

    cautiously assembled and designed, but there is no consistent composition (Martyn

    Shuttle worth, 2008).

    The researcher adopts phenomenology as a method of her research.

    3.3.1 Phenomenology

    Phenomenology opens the hidden practices and implication of individuals

    understandings. This methodology is the exploration of that information which cannot be

    discovered by common examination. It is the discipline of awareness of important

    constitution. Phenomenology focuses on the difference where the awareness and real

    actions meet instead of focusing on subject matter and entity of the experience (Edie,

    1962, p.19). Fundamental nature obtains the awareness of experience of the individual on

    purpose deliberately to match the difference of their experience and the actual process of

    accomplishing the scheme. Hence, phenomenology considers on known happening and

    investigation of this happening in the sense of previous awareness then highlighted the

    current actions of era (Sanders, 1982). The progress of this technique is to get the

    awareness of theme of research logically by the experience and the objective of

    phenomenological technique is to encourage the investigator of the study to adopt this

    method to provide as a briefing for people who desire to get expert in the fields speech

    and process. Diagram below to demonstrate the model (Sanders, 1982).

  • 8/3/2019 Thesis Chp 1-5

    33/55

    Impact of Training on the Performance of Employees 33

    Noesis---------------------------noema

    (experiencer) experiencing- experienced

    3.3.2 Phenomenological Process

    1. Epoche

    Setting to the side prejudgments unlocking the research interview with an fair,

    friendly existence (Moustakas, 1994)

    2. Eidetic Reduction

    Eidetic reduction is the process which extracts the main theme that is hidden in a

    material of experience. It is get done by the application of perception and suggestion due

    to its confidence on inspection basically it is that thing which is known by an individual

    only and one cannot observe and understand it by simple observation therefore to find out

    main theme out of huge material is the task that has been done under the head of eidetic

    reduction in phenomenology (Sanders, 1982)

    For this research, phenomenology is adopted because here the experience of

    professionals is needed to be shared in order to determine the real practices of training

    which has been conducted in organization of Karachi and its impact of on performance of

    employees. And with the help of phenomenology, actual enhancement in employees due

    to training in organization would be found.

    3.3.3 Sample

    A sample is a small percentage of the population that is chosen for study and

    analysis. By examining the characteristics of the sample, one can make definite

    suggestions about the characteristics of the population from which it was drawn (Best &

    kahn, 2006)

  • 8/3/2019 Thesis Chp 1-5

    34/55

    Impact of Training on the Performance of Employees 34

    3.3.4 Population of Interest

    This research study is conducted with the assist of information assembled from thecompanies which are concerned in conducting training in their organization. The

    researcher chosen the companies from the region of Karachi (Pakistan). The researcher is

    conducted Qualitative Research which will have the detailed information about the

    training programs and what will be their importance and outcomes.

    3.3.5Sampling TechniqueThe researcher use non-random sampling technique in which

    judgmental/purposive sampling is adopt because research is qualitative.

    Judgmental/purposive Sampling

    In Judgmental/purposive Sampling the participants are often selected because

    they are typical or particularly interesting (Best & kahn, 2006). Purposeful sampling

    permit the researcher to pick those participants who will provide the richest information,

    those who are the most fascinating, and those who obvious the characteristics of most

    concern to the researcher (Best & kahn, 2006). The researcher in this research adopts

    purposive sampling because data has been collected from the respondent of specific area

    that is the individuals who are experts in the field of Training.

    3.3.6 Sample Size

    Sample size consists of four experts belongs to training department for in depth

    interview in order to get real data about the practices of training.

    3.4 Designing and Development of Instrument

  • 8/3/2019 Thesis Chp 1-5

    35/55

    Impact of Training on the Performance of Employees 35

    To develop a instrument, the researcher will perform un-structured interviews tothe four respondents who are expert in the field of training and development in order to

    share their experience regarding todays training practices in SMEs of Karachi.

    3.5 Data Collection

    Qualitative method consists of three kinds of data collection: (1) in-depth, open-

    ended interviews; (2) direct observation; (3) written documents (Patton, 1990, p. 247).

    The researcher in this research adopted in-depth open-ended/Un-structured

    interviews in which the researcher and the subject are fully interactive. The researcher is

    conducted open-ended interviews to the four experts of training and development in

    Karachi (Pakistan) region that are Liberty Books pvt.ltd, Paramount Publisher Pvt.ltd, a

    Trainer from Quality Concern and another Trainer from U.G. Food Pvt.ltd.

    Un-structured Interview

    Unstructured interviewing engage straight communication between the researcher

    and a respondent or group (Trochim, 2006). It vary from traditional structured

    interviewing in quite a lot of important ways, first, while the researcher may have a few

    early leading questions/checklist or main theory to investigate, not using structured

    interview as a tool of research study and the most important is the researcher has right to

    stir the conversation to any route of attention that arise during interview. Unstructured

    interview is particularly valuable to discover a subject generally because every interview

    is different from each other in same topic (Trochim, 2006). The material which the

    researcher has taken from the interviews of her respondents is totally based on the

    experiences, opinions, feelings, and knowledge of respondents (Patton, 1990, p. 247).

    3.6 Data Analysis

  • 8/3/2019 Thesis Chp 1-5

    36/55

    Impact of Training on the Performance of Employees 36

    The audio-recorded expert opinions were listened and transcribe, which itself is a

    process of data analysis and interpretation (Gillham 2005). The data was transcribed

    widely/comprehensively and the comments were written down in the relevant section

    (Glaser and Strauss, 1967). The raw data that comes emerged from subjects experience

    about Training and its impact is reduced into units of analysis on the basis of common

    themes.

    3.7 Strength and Limitation

    Strength of this research is that to determine the real practices of training in

    Pakistan and what is its benefit for both employees and organization. And limitation is

    that this research is applicable only that organization where human resource department

    is exists and they are conducting training programs for the enhancement of employees

    that provides development in both organization and employees career.

    3.8 Trustworthiness

    The Trustworthiness in a qualitative analysis is to sustain the matter that the

    inquirys reaction is value paying consideration to (Lincoln & Guba, 1985, p.290). The

    main theme of trustworthiness is to declare whether the belongings that will be explicated

    by the respondents are transcribed according to what they indicate to speak and meaning

    is not change by the researcher. There are four issues of trustworthiness need to notice are

    credibility, transferability, dependability, and conformability.

    Credibility:

    Credibility is an evaluation of whether or not the research responds be a credible

    conceptual understanding of the information strained from the participants real

    information (Lincoln & Guba, 1985, p.296). The researcher were selected those

  • 8/3/2019 Thesis Chp 1-5

    37/55

    Impact of Training on the Performance of Employees 37

    respondents for interview who were the experts in the field of training in order to

    improve credibility.

    Transferability

    Transferability is the level to which the outcome of this investigation can apply or

    transfer ahead of the limits of the task (Lincoln & Guba, 1985). The entire set of data

    analysis credentials are on field and information are purely authentic. This will assist and

    give instructions to other researchers in other research.

    Dependability & Conformability

    Dependability is an evaluation of the excellence of the incorporated procedures of

    data collection, data analysis, and theory generation and Conformability is a

    determination of how well the inquirys results are carried by the data collected (Lincoln

    & Guba, 1985). After completion of this research, the supervisors will

    comprehensively check all of the original transcripts and data analysis documents based

    on recognized precedent in Qualitative Research, they assessed both the dependability

    and conformability of the project.

    3.9 Ethical Issues

    The ethical concern which the researcher have taken while accomplishing this

    research are that information given by the respondents must keep in privacy, to collect

    the information according to the permission of the respondents, the researcher have to

    reassure that the information will not be used in any illegal sense.

  • 8/3/2019 Thesis Chp 1-5

    38/55

    Impact of Training on the Performance of Employees 38

    CHAPTER FOUR

    DATA ANALYSIS

    Primary Research Question:

    1. How Training practices contributes overall human capital of SMES (Small

    and Medium Enterprises) of Karachi? And how this training practices

    makes difference in the organizations profitability?

    RESPONDENT-A

    Q. Your opinion about the training given for employees/workforce is beneficial with

    regarding their performance?

    RESPONDENT:5Well basically it depends. Its varying company to company ok? For

    example: currently I am working with print media training needs are different when it

    compare to automotive sector where I was before both are different for example. In

    Yamaha it usually focuses on technical side of training when it comes to Liberty Books

    we focuses on soft skills training more but there is no substitute of technical training and

    soft skills can be given by anyone basically the way of deliver the things is different and

    when it comes to technical side if we want to run a machine on PLC or CNC ok? Then

    5Expert opinion of Manager Human Resource and Organizational Development LIBERTY BOOKS Pvt.ltd

    Dated 5th March, 2011

  • 8/3/2019 Thesis Chp 1-5

    39/55

    Impact of Training on the Performance of Employees 39

    the specialist will run that machine ok? But training is very much important in life of

    employees most probably in order to groom his skills for example he is working for past

    position for a last 5 years he doesnt get the chance to groom himself and to be on the top

    on a managerial side definitely training will help him in this regard. We find out the

    hidden skills of an employees and conditioning him motivating him ok? And we

    encourage him that you can do this if you do so then you will come to this level so

    basically training I think personally its a most important thing.

    Q. I am talking about SMEs of Karachi my targeted company is SME thats why I am

    more focus on SME and you are from Liberty Books that is SME so tell me about

    something related to SME or related to only your organization.

    RESPONDENT: When it comes to my company ok? Basically it is existing in Karachi

    is last 3 records ok? Before 1990s we dont have any concept of HR here ok? Because

    after 1995 HR used to enter in Pakistan ok? Before that there is no concept here and

    MNCs brings this concept and when it brings to training need in Liberty Books we are

    doing it here at daily basis fortunately and why we are doing it here on daily basis

    because we are involved here in publication sector ok? Every time a new graphic

    designer or publication expert or professional leader used to come we have to give them

    training on daily basis by the specialist of that field. Ok? This is a symbiosis process that

    continuously following. If a person came to me and if I tell him about our mission,

    vision, orientation policy, how to follow code of conduct so these all are included in part

    of training which is necessary to bring a new employee in a track.

    Q. What are the challenges faced by your company to conduct standard training

    practices? I am more focuses on standard training practices?

  • 8/3/2019 Thesis Chp 1-5

    40/55

    Impact of Training on the Performance of Employees 40

    RESPONDENT: Let me tell you something that training is not something that

    revolutionizes the world ok? It takes time, it takes patients and people resist change. The

    main problem is that, that people resist change and you know change brings by training,

    by business process reengineering which is part of training so at start the problem arise

    which is people working for last five years ten years in a particular position and then

    when they resist change and start threatening to resign then the problem arise because

    there is no back up of them and they even dont let company to make backups then we

    have to make them understand at from the very drastic level that how this become

    beneficial for you for example I have an employee who has been cashier for last 15 years

    ok? But when today he gets computer or other software trainings because today we have

    a software like people soft, ERP etc then he is reluctant and saying I cant understand this

    I will resign how much you try on him he must be resigned.

    Q. And the last thing I want to know is that how much return your company receives by

    conducting trainings for their employees. And what is the difference between the

    investment of your company on training and return the company get from employees by

    doing this?

    RESPONDENT: Currently when our budget approved I will not tell you in figure that

    was a marginal budget in which there are so many discremencies and so many ifs and

    buts but currently the results start to come that is 80% - 85% success rate so management

    is very much willing to invest more money over it.

    RESPONDENT- B:

    Q. In your opinion what are the importance of training in SMEs in Karachi?

  • 8/3/2019 Thesis Chp 1-5

    41/55

    Impact of Training on the Performance of Employees 41

    RESPONDENT: 6Well as far as my perception concern training is important for every

    small, medium, local and multinational without training they cannot improve their

    performances and they cannot really meet with the competitions.

    Q. And what about SMES of Karachi think about training? Basically what is their

    perception about training program?

    RESPONDENT: Any organization proves establish itself for a long term and they have

    a long term program in term of their targets in term of their achievements they always

    like to hire people and develop them. They can deliver their objectives if the people will

    not be trained then they will never be able to achieve their targets as somebody said All

    action have certain mission, vision, and goals those vision, mission and goals can be

    achieve through the peoples if your people are not communicate if your people are not

    trained enough and not competent enough they never ever able to give result so good

    organization respective of small, Big, medium, local and multinational they always look

    after their people very well they train them so that they can achieve their objectives.

    Those organizations which have short term objectives they dont invest on people

    because their objectives are very short so instead of investing money on people they try

    to hire people with existing skills they use them for year and two and after that they hire

    new and they lose the business.

    Q. And the last thing I want to know from you is that how much return the company

    receives by conducting trainings for their workforces? And what is the difference

    between the investment of the company on continuous training and the return the

    company get from employees by doing this?

    6Expert opinion of Manager Human Resource and Trainer U.G Food Pvt.ltd Dated 25th March, 2011

  • 8/3/2019 Thesis Chp 1-5

    42/55

    Impact of Training on the Performance of Employees 42

    RESPONDENT: The return cannot be measured directly. It is the improvement in their

    performance even 5% improvement brings 80% increase in their profitability because 5%

    improvement makes a huge difference in profitability.

    RESPONDENT-C

    Q. Your opinion about the training given for employees/workforce is beneficial with

    regarding their performance?

    RESPONDENT:7Yes. Very beneficial.

    Q. In your opinion what are the importance of training?

    RESPONDENT: Well Training is very very important thing. We know the importance

    of training very well but we cannot apply here because in our company there is no trait of

    standard training at that level you know what the trait is following here nowadays people

    dont want to change themselves.

    Q. And the last thing I want to know from you is that how much return your company

    receive if you conducting trainings for your workforces. And what is the difference

    between the investment of your company on continuous training and the return the

    company get from employees by doing this?

    RESPONDENT: Ok this is very in depth information you want me to tell you. Well I

    must say if we follow then we receives a lot in term of profitability and also skilled

    7Expert opinion of General Manager Sales and Administration Paramount Books Pvt.ltd Dated 29th March,

    20

  • 8/3/2019 Thesis Chp 1-5

    43/55

    Impact of Training on the Performance of Employees 43

    people will change the overall culture, norms, rules and regulation and definitely

    company get a lot of positive results.

    RESPONDENT-D

    Q. Your opinion about the training given for employees/workforce is beneficial with

    regarding their performance?

    RESPONDENT:8Yes it is beneficial for company and their workforces both.

    Q. What are the desired outcomes of training?

    RESPONDENT: Every training has a purpose thats why we are doing that for example

    the purpose of a training could be a people could learn how to make an invoice how to

    run a machine, how to attend a telephone calls how to do investigation whatever will be

    the subject so the desired outcome is the fellowship do that perfectly after getting training

    he has competence to perform the task which is being done.

    Q. And the last thing I want to know from you is that how much return the company

    receive by conducting trainings for their workforce. And what is the difference between

    the investment of Company on continuous training and the return the company get from

    employees by doing this?

    RESPONDENT: Somebody might receives 90% competencies and somebody might

    20% competencies in the same group different people tend to receives differently off

    course the company would also be evaluate and find who exactly a good trainer among

    many who is useful and effective probably call that particular trainer again.

    CONCLUSION

    8Expert opinion of Trainer Quality Concerns Dated 18th April, 2011

  • 8/3/2019 Thesis Chp 1-5

    44/55

    Impact of Training on the Performance of Employees 44

    After analyzing the views of her four research respondent the researcher

    concludes that SMES (Small and Medium Enterprise) of Karachi which includes Liberty

    Books pvt.ltd and Paramount Books pvt.ltd, Trainer Motiur-Rahman from U.G Food

    pvt.ltd and Trainer Naeem Sadiq from Quality Control consultancy. SMES have many

    reasons hence they are unable to apply standard Training programs in their sectors like:

    The first and very basic reason is that the traits of our SMES (Small and Medium

    Enterprises) not permit them for the application of standard training practice in

    their sector because they dont want to upgrade their skills and they are not

    willing to groom themselves. They want to keep themselves stay at same methods

    that they are working since many years.

    Another reason is that people of SMES resist change therefore they are not

    showing their interests towards training and if management force them they start

    to threatening that we will resign you.

    Another reason of not practicing standard training practices in SMES at that

    extent is that they have short term objectives they dont invest on people because

    their objectives are very short so instead of investing money on people they try to

    hire people with existing skills they use them for year and two and after that they

    hire new and they lose the business.

    As far as profitability concern that how much profit the Company get by

    conducting standard training programs for their workforces including top management to

    subordinates. The researcher receives positive reply from her all respondent which is

    approximately 5% changed in performance which translate 80 - 85% benefit in terms of

    profitability towards company.

  • 8/3/2019 Thesis Chp 1-5

    45/55

    Impact of Training on the Performance of Employees 45

    Secondary Research Questions:

    1. Are the Small and Medium Enterprises of Karachi aware about the

    importance of standard training practices?

    RESPONDENT - A

    Q. What do you think about what is training and whats your perception about the

    purpose of training?

    RESPONDENT:9Yah basically training is something different from learning ok? When

    you used to learn definitely you have to corporate new technologies something new a

    knowledge base culture ok? For example if children go school to study then they came

    back to learnt something and when comes to training, training is a motivational thing

    conditioning thing that you know a things already you are doing it for last 5 years, 4

    years, 3 years, 2 years but you dont know that how you can utilize it perfectly ok? Thats

    not only the benefit of a company but also become a reason for growth for employees so

    thats the things that hidden inside the people which are their knowledge, skills and

    ability we have to extract that qualities basically this is the difference between learning ad

    training thats why if you see in the MNCs most probably they used to incorporate the

    word learning and development not only they train on the regular basis but they also

    incorporate learning programs to enhance the knowledge base of existing employees.

    Q. SMES of Karachi have realized now the benefit regarding Training?

    RESPONDENT: No actually still at very lower level may one or two companies which

    recognized others not.

    RESPONDENT B

    9Expert opinion of Manager Human Resource and Organizational Development LIBERTY BOOKS Pvt.ltd

    Dated 5th March, 2011

  • 8/3/2019 Thesis Chp 1-5

    46/55

    Impact of Training on the Performance of Employees 46

    Q. In your opinion are the SMES of Karachi nowadays realizing the benefits of Training

    practices?

    RESPONDENT: 10Yes now they are start to realize at some extent because they are

    hiring fresh graduates and MBAs in their sectors and their those newly qualified

    employees make them realize the advantages and positive outcomes of Training.

    RESPONDENT - C:

    Q. What do you think about what is training and whats your perception about the

    purpose of training?

    RESPONDENT:11

    Training is tool to develop people, to polish him/her. Definitely the

    purpose is to make them more perfect in their regular task in company.

    CONCLUSION

    After analyzing the views of her four research respondents the researcher

    concludes that some SMES (Small and Medium Enterprise) of Karachi aware about the

    advantages of standard training practices at some extent and they are realizing the

    requirement of training and also they know at what extent training contributes in their

    profitability. But not all the SMES that currently are running in Karachi realizing in fact

    some realizing most and some still not.

    2. What changes the Companies observe in participants after getting trainings

    from them?

    RESPONDENT- A

    Q. Upon completion of the training, what should a participant be able to know and do?

    10Expert opinion of Manager Human Resource and Trainer U.G Food Pvt.ltd Dated 25th March, 2011

    11Expert opinion of General Manager Sales and Administration Dated 29th March, 2011

  • 8/3/2019 Thesis Chp 1-5

    47/55

    Impact of Training on the Performance of Employees 47

    RESPONDENT: 12Yah definitely they become able to do things accurately. It gives

    positive result.

    RESEARCHER: Actually in most of the SMES the authorize person says that if we let

    any employee even typing on word that the broad contribution from themselves and we

    are continuously conducting trainings and I personally will say that this a wrong

    perception and training means you know standard level of training practices ok? They

    usually used to give their employee little bit knowledge about how to counsel and

    something like that but this is actually not standard training this is regular training they

    perceive it standard and I want to know by you about standard training practices

    nowadays running in our SMES?

    RESPONDENT: Yah exactly this is right because the concept of training is brought here

    by MNCS before that this has been followed here at lower level this definitely not brings

    100% result. And you know our saits says that nowadays companies going hand to mouth

    and we cant cut our cost for trainings in the long run.

    RESPONDENT- B

    Q. Upon completion of the training, what should a participant be able to know and do?

    RESPONDENT: 13It depends upon vision, Mission, Goal and target because you know

    where to go and then you prepare your team to take them there but those who only has a

    short term goal do not see the need of developing people they hire people to achieve short

    term goal but the trend is changing now and they have also started realizing the need of

    12Expert opinion of Manager Human Resource and Organizational development Liberty Books Pvt.ltd

    Dated 5th March, 2011

    13Expert opinion of Manager Human Resource and Trainer U.G Food Pvt.ltd Dated 25th March, 2011

  • 8/3/2019 Thesis Chp 1-5

    48/55

    Impact of Training on the Performance of Employees 48

    training human resource and make them competent and also realize the solution of failure

    of business which training and development activities will overcome this type of issues.

    RESPONDENT- D

    Q: Upon completion of the training, what should a participant be able to know and do?

    RESPONDENT:14They should be able to perform that particular task or be able to have

    particular knowledge or the particular skill for which training has been given. All these

    are components of training results.

    CONCLUSION

    After analyzing the views of her four research respondents the researcher

    concludes that when SMES (Small and Medium Enterprise) of Karachi arrange training

    programs for their employees then definitely their employee become competent and

    capable of doing things more perfectly and also be able to compete in a todays

    competitive market.

    3. Why small and medium enterprises of Karachi not practicing standard

    Trainings in their sector?

    RESPONDENT- A

    Q. Why most of the SMES not following standard training practices?

    14Expert opinion of Trainer QUALITY CONCERNS Dated 18th April, 2011

  • 8/3/2019 Thesis Chp 1-5

    49/55

    Impact of Training on the Performance of Employees 49

    RESPONDENT:15Actually in our SMES the concept of our saits is that they think if we

    train our employees they left and then we bear a big loss so they have small budget, small

    investments and short term goals.

    RESPONDENT- B

    Q. Why most of the SMES not following standard training practices?

    RESPONDENT: 16Those organizations which have short term objectives they dont

    invest on people because their objectives are very short so instead of investing money on

    people they try to hire people with existing skills they use them for year and two and after

    that they hire new and they lose the business.

    RESPONDENT- C

    Q. Why you are not following standard training practices in your sector?

    RESPONDENT: 17We know the importance of training very well but we cannot apply

    here because in our company there is no trait of standard training at that level you know

    what the trait is following here nowadays people dont want to change themselves.

    CONCLUSION

    After analyzing the views of her four respondents of research the researcher

    concludes that hence small and medium enterprises having short term goals and small

    budget so they are not able to apply the standard training practices in their sectors. And

    also they have a fear of facing loss and dont want to take risk.

    15Expert opinion of Manager Human Resource and Organizational Development LIBERTY BOOKS Pvt.ltd

    Dated 5th March, 2011

    16Expert opinion of Manager Human Resource and Trainer U.G Food Pvt.ltd Dated 25th March, 2011

    17Expert opinion of General Manager Sales and Administration Dated 29th March, 2011

  • 8/3/2019 Thesis Chp 1-5

    50/55

    Impact of Training on the Performance of Employees 50

    4. What are the attempts the Small and Medium Enterprises is assembling for

    the application of standard training practices nowadays in their sector?

    RESPONDENT- A

    Q. Whats your planning nowadays for the application of standard training in future?

    RESPONDENT: 18They start planning for this because result is better than before and

    they didnt practice this as before and even not follow regularly by all SMES so now they

    are realizing that we make our workforces more skill full by doing the training practices

    and if anyone resign then no need to worry at all because we have backups at the back so

    that our business process will not suffer.

    RESEARCHER: Means SMES have realized now?

    RESPONDENT: No actually still at very lower level may one or two companies which

    recognized others not.

    RESPONDENT- B

    Q. What SMES nowadays plan for the application of standard training?

    RESPONDENT: 19Because of hiring new qualified employees in their organization, the

    Company start to plan for the application of standard training practices in their sector and

    for this they are trying to hire a person having skills to train others staff.

    RESPONDENT- C

    18 Expert opinion of Manager Human Resource and Organizational Development LIBERTY BOOKS

    Pvt.ltd Dated 5th March, 2011

    19Expert opinion of Manager Human Resource and Trainer U.G Food Pvt.ltd Dated 25th March, 2011

    20 Expert opinion of General Manager Sales and Administration Dated 29th March, 2011

  • 8/3/2019 Thesis Chp 1-5

    51/55

    Impact of Training on the Performance of Employees 51

    Q. Whats your planning nowadays for the application of standard training in future?

    RESPONDENT: 20We definitely trying continuously to train our staff by ourselves and

    for this first of all we are plan to prepare ourselves mentally and our managerial staff also

    to start campaign of training and development programs for our workforces.

    CONCLUSION

    After analyzing the views of her four respondents of research the researcher

    concludes that as the SMES (Small and Medium Enterprises) of Karachi realizing the

    benefit of standard trainings therefore they are making so many attempts like hiring

    trainers as their permanent employee in their sector as well as they start to agree to invest

    big amount in training programs because they start to observe the fruit of this activity in

    overall performance as well as profitability.

    CHAPTER FIVE

    20

  • 8/3/2019 Thesis Chp 1-5

    52/55

    Impact of Training on the Performance of Employees 52

    CONCLUSION & RECOMMENDATION

    The work of a manager in the agency is to get things complete through

    employees. To do this the manager should be able to encourage employees. But that's

    easier said than done! Training is one of the most beneficial tool to encourage employees

    to do work in more and more perfect manner as they are doing before. Today Small and

    Medium Enterprises of Karachi facing so many challenges regarding their business and

    profitability and they know the solution to overcome these obstacles by the application of

    Standard training Practices at continuous basis but still they are unable to apply because

    their people are not willing to follow the trainings and the reason are their trait etc, also

    Company have short term goals and small budget so that they are not able to apply till

    now but by this research the researcher identify that nowadays they are start to realize the

    benefit of training in their sector and very much willing to apply because gradually they

    are seeing the fruit of this activity and they are start to plan to invest on standard training

    programs in order to minimize the turnover rate, to improve efficiency and productivity

    of their employees and also to enhance their skills of their upper level staff to lower level

    employees to make them competent and capable to compete in a competitive market and

    to increase the profitability of their firms.

    RECOMMENDATION

    There are some recommendations for the local companies that are currently

    running in Karachi:

    Companies should start application of standard training practices in their sectors

    and sh


Recommended