THE INFLUENCE OF TRAINING ON WORKERS PERFORMANCE (A CASE STUDY OF GUINNESS NIGERIA PLC)

CHAPTER ONE

INTRODUCTION

1.1. BACKGROUND OF THE STUDY

Training enhances skills, knowledge, attributes and competencies and ultimately worker performance and productivity in organizations (Cole, 2011). Many organizations in Nigeria engage in training and development of its staff and also have departments, units and sectors that cover training and development. Guinness Nigeria PLC is one such organization that practices training. Human resource has become strategic resource to gain sustainable competitive advantages in this age of globalization. Human capital is the differentiator between a good company and a great company. Human resource is the very important and the backbone of every organization and it is also the main Resource of the organization. One outstanding function of Human Resource Management in an organization to the effective use of human resources is training and development. Effective training and development is an investment in the human resources of an organization, with both immediate and long-range returns. Training is a key element for improved performance; it can increase the level of individual and organizational competency. Training helps unlock the potential growth and development opportunities to achieve a competitive edge. Training programs helps in making acquaintance of workers with more advance technology and attaining robust competencies and skills in order to handle the functions and basics of newly introduced technical equipment. Training has the distinct role in the achievement of an organizational goal by incorporating the interests of organization and the workforce (Stone, 2011). There is no doubt that training is important in all aspect for an organization. Training has been defined as the process by which individuals change their skills, knowledge, attitudes, and/or behaviour (Robbins and DeCenzo, 2012). The primary role of training is to improve the workers’ skill for current and future duties and responsibilities. Training helps them to change with aspects like technology and competition (Dessler 2007). Now a day’s training is the most important factor in the business world because training increases the efficiency and the effectiveness of both workers and the organization. Training is important to enhance the capabilities of workers. Recent researches reveal that training enables most organizations meet their goals and objectives. In doing so workers are able to learn new work concepts, refresh their skills, improve their work attitude and boost productivity. On the one hand, most of the workers need training to perform their job duties or at least to increase the quality of their work; on the other hand, skilled and efficient manpower is the most important success factor in achieving the goal of organizations. Training facilitates the updating of skills and leads to increase commitment, well – being, and sense of belonging, thus directly strengthening the organization’s competitiveness (Karia and Ahmad, 2007). Training has been an important variable in increasing organizational productivity. Training is a tool to fill the gap and the firms should use it wisely to improve worker productivity. Armstrong (2007) contends that trained workers often work better as teams because everyone is aware of the expectations and can achieve them together smoothly. In addition, workers who receive regular training are more likely to accept change and come up with new ideas. Training plays a vital role, improving performance as well as increasing productivity, and eventually putting companies in the best position to face competition and stay at the top. Past researches provides the evidence regarding the positive affect of training programs on both workers and organizational performance. Training has direct relationship with the workers’ performance. A significant relationship was found between the workers training and their resultant performance in accomplishing different tasks. By the help of training workers become proficient in their jobs and they become able to give better results.

1.2 STATEMENT OF PROBLEM

This study begins from the realization of the need to effectively administer the effect of training on employee performance. Training is a systematic process to enhance employee’s skill, knowledge and competency, necessary to perform effectively on job. Overall, training impacts organizational competitiveness, revenue and performance. Unfortunately, the majority of governmental, private organization and international organizations are not recognizing the importance of training to increase their employee's productivity and when the economy slows or when profits decline, many organizations first seek cuts in their training budgets. This will leads to high job turnover then increase the cost to hire new employees which low down the organizational profitability. Past researches proved a positive link between training and employee performance, as training brings benefits for the employee along with for the firm by positively impacting employee performance through the enhancement of employee’s competencies and behaviour. Firm that focuses on shareholders and customer satisfaction realized the importance of investing in training, and thus recognizes the worth of employee development (Evans and Lindsay, 2013).

1.3 AIMS OF THE STUDY

The major purpose of this study is to examine the influence of training on employee performance. Other general objectives of the study are:

1. To examine how the organization identifies the training needs of the employees.
2. To examine the various techniques of motivating workers to performance in Guinness Nigeria Plc.
3. To examine how training influences workers performance in Guinness Nigeria Plc.
4. To examine factors affecting training in an organization.
5. To examine the relationship between training and employee performance.
6. To recommend strategies that can be used to improve the training of employees in Guinness Nigeria Plc.

1.4 RESEARCH QUESTIONS

1. How does the organization identify the training needs of the employees?
2. What are the various techniques of motivating workers to performance in Guinness Nigeria Plc?
3. How does training influences workers performance in Guinness Nigeria Plc?
4. What are the factors affecting training in an organization?
5. What is the relationship between training and employee performance?
6. What are the recommended strategies that can be used to improve the training of employees in Guinness Nigeria Plc?

1.5 RESEARCH HYPOTHESES

Hypothesis 1

1.  There is no significant influence of training on workers performance in Guinness Nigeria Plc.
2. There is a significant influence of training on workers performance in Guinness Nigeria Plc.

Hypothesis 2

H0: There is no significant relationship between training and employee performance.

H1: There is a significant relationship between training and employee performance.

1.6 SIGNIFICANCE OF THE STUDY

The findings would enable effective management of employees towards achieving organizational goals. Training becomes inevitable the moment an organization realizes the need for improvement and expansion in the job. But often times, organizations embark on job enlargement and enrichment to promote employees' morale, motivation and satisfaction when in the fact the real problem with work performance lies in capacity development. The study becomes necessary because many organizations in this contemporary world are striving to gain competitive edge and there is no way this can be achieved without increasing employees' competencies, capabilities, skills etc through adequate training designs. However, the study results will help the management to identify the influence of training on workers performance, hence determine the areas where improvements through training can be done. It will also help the management in planning for the development and implementation of effective and efficient training needs that will lead to increased performance. It will also be of benefit for policy makers in various forms of business organization. It will be of immense guide to future researchers who intends to exploit and understand further concepts of training as a managerial tool to enhance Performance in an organization like Guinness Nigeria Plc.

1.7    SCOPE OF THE STUDY 

The study is based on the influence of training on employee performance, a case study of Guinness Nigeria Plc, Lagos state.

1.8 LIMITATION OF STUDY

Financial constraint- Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).

Time constraint- The researcher will simultaneously engage in this study with other academic work. This consequently will cut down on the time devoted for the research work.

1.9 DEFINITION OF TERMS

Human Resource Management:  Is the way organizations manage their staff and help them to develop (McCourt & Eldridge 2015) in order to be able to execute organizations’ missions and goals successfully.

Human Resource Development: Is the integration of individual, career and organization development roles in order to achieve maximum productivity, quality, opportunity and fulfilment of organizations members as they work to accomplish the goals of the organization (Pace, Smith & Mills 2009).

Training: Is a type of activity which is planned, systematic and it results in enhanced level of skill, knowledge and competency that are necessary to perform work effectively (Gordon 2015).

Development: Is a broad ongoing multi-faceted set of activities (training activities among them) aimed at bringing someone or an organization up to another threshold of performance, often to perform some job or a new role in the future (McNamara 2008).

Employee Performance: Is defined as the outcome or contribution of employees to make them attain goals (Herbert, John & Lee 2007) while performance may be used to define what an organization has accomplished with respect to the process, results, relevance and success Uganda National Development Program (2014). Afshan et al. (2012) define performance as the achievement of specific tasks measured against predetermined or identified standards of accuracy, completeness, cost and speed. Employee performance can be manifested in improvement in production, easiness in using the new technology, highly motivated workers.