Abstract

The aim of this study is to explore the effect of training on organizational performance. Training techniques were categorized into two types: behavioural training techniques (on-the-job training) and cognitive training techniques (off-the-job training). Three behavioural techniques were selected – monitoring, coaching, and job rotation – and three cognitive techniques – role playing, lectures, and computer-based training. Training as an independent construct was measured based on these behavioural and cognitive techniques. On the other hand, organizational performance was measured based on subjective items related to the operational dimensions of organizations’ performance. A questionnaire-based survey was used to collect data from a sample consisting of 600 employees working at service organizations in Saudi Arabia. Of the questionnaires distributed to the sample, 478 were returned complete and valid for the analysis process. The Statistical Package of Social Sciences (SPSS) version 20 was used to analyse the collected data. The findings of the study confirmed that both behavioural techniques of training were significantly and positively related to organizational performance. In fact, the results identified job rotation as a main practice of on-the-job training techniques that lead to improved organizational performance. There is a statistically significant influence of other dimensions, such as coaching, monitoring, role playing, lectures, and computer-based training, on organizational performance. Despite the positive and direct impact of on-the-job training and off-the-job training on the dependent variable, organizational performance, on-the-job training has a larger impact on this construct. The results are presented and discussed, and recommendations, limitations, and future research directions are provided.

Highlights

  • Organizations face many challenges, including increased competition under globalization

  • The aim of the current study was to investigate the impact of training techniques on the organizational performance of organizations working in the service sector

  • The results confirmed that both techniques of training investigated in the current study are significantly and positively related to the organizational performance of service organizations

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Summary

Introduction

Organizations face many challenges, including increased competition under globalization. Organizations are required to consider human resource management practices in general and training in particular. Training has been defined as providing employees with knowledge, skills, and abilities that enable them to carry out organizational activities efficiently and effectively (Hanaysha, 2016). As a result, training improves organizational performance (Khan et al, 2011). In terms of the importance of training, some studies have shown that this concept plays an important role in improving the efficiency and effectiveness of staff in particular and the organization as a whole. The reason for the role of training in improving staff performance is that training increases the knowledge, skills, and abilities of the employees. Improved staff performance improves the performance of the organization (Khan et al, 2011)

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