International Journal of Management (IJM), ISSN 0976 – 6502(Print), ISSN 0976 – INTERNATIONAL JOURNAL OF MANAGEMENT (IJM) 6510(Online), Volume 4, Issue 2, March- April (2013) ISSN 0976-6502 (Print) ISSN 0976-6510 (Online) Volume 4, Issue 2, March- April (2013), pp. 118-124 © IAEME: www.iaeme.com/ijm.asp Journal Impact Factor (2013): 6.9071 (Calculated by GISI) www.jifactor.com

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EFFECTIVENESS OF TRAINING AND DEVELOPMENT AMONG EMPLOYEES IN PRIVATE BANKS (WITH REFERENCE TO CHENNAI CITY) Ms.S.Sujatha Asst.Professor, SRM School Of Management, SRM University. Kattankulathur -603203 Kancheepuram District Ms.K.Santhana lakshmi Asst.Professor, SRM School Of Management, SRM University. Kattankulathur -603203 Kancheepuram District Mr.Martin selvakumar.M Faculty, Department Of Management Studies,Anna University, Taramani Campus, Chennai 600113 Kancheepuram District Dr.N.Santhosh Kumar Asst.Professor, SRM School Of Management, SRM University. Kattankulathur -603203 Kancheepuram District ABSTRACT Training and development is vital part of the human resource development. It is assuming ever important role in wake of the advancement of technology which has resulted in ever increasing competition, rise in customer’s expectation of quality and service and a subsequent need to lower costs. It is also become more important globally in order to prepare workers for new jobs. In the current write up, it focus more on the emerging need of training and development, its implications upon individuals and the employers. According to author Peter Drucker said that the fastest growing industry would be training and development as a result of replacement of industrial workers with knowledge workers. In United States, for example, according to one estimate technology is de-skilling 75 % of the population. This is true for the developing nations and for those who are on the threshold of development. In Japan for example, with increasing number of women joining traditionally male jobs, training is required not only to impart necessary job skills but also for preparing them for the physically demanding jobs. They are trained in everything from sexual harassment policies to the necessary job skills.

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International Journal of Management (IJM), ISSN 0976 – 6502(Print), ISSN 0976 – 6510(Online), Volume 4, Issue 2, March- April (2013) INTRODUCTION Gregory (2001) concluded that training has a great impact on employee s subsequent job performance and the lack of training and development results in managers not familiar with the task requirements as well as the core competencies such as knowledge, skills and abilities which managers must possess to perform well the organization s tasks, as a result their performance as well as motivation level decrease. He suggested that the managers in service organizations must be knowledgeable in all newer functions that apply to their departments so that overall organizational objectives can be achieved effectively and efficiently in accordance with the new demands posses by the corporate environment. A descriptive study conducted by a group of researchers. Roscoe (2002) said: No professional completes their initial training equipped to practice competently for the rest of their life . He argued that corporate environment is changing day by day and in order to cope with the level of changes, organizations implement various dynamic processes including the training programs which subsequently increase the motivation levels of employees as after the training process most of the employees seek promotions to higher level jobs which is the main cause of motivation. Garavan et al. (2003) found that training process is a more job oriented that can change employee attitudes and behaviors that motivate them to increase their knowledge and understanding of the job according to the dynamic corporate environment. Khattaket al.(2010) suggests that training and development is directly related with successful performance of managers, organizations and nations. The countries which spend more on training and development of human resources are relatively more developed as human resources contribute to productivity more than physical and other resources but there is a problem, population growth is inversely related with human capital investment, particularly in developing countries like Pakistan, so it should be controlled in order to spend more on training and development of human resources that make the more employees to get involved in their jobs and increase their subsequent performance. A Questionnaire survey conducted on 1000 top companies of Malaysia where (Jamil & Som, 2007) concluded that changing nature of today s corporate environment and the intense global competition where consumers demand more quality services require the organizations to continuously train their human resources in order to maintain market competitiveness and business survival. The researchers argued that ad-hoc training approaches and the training programs without proper analysis leads to poor training investments, so three levels of analysis(individual, organizational and operational) as well as the multiple data collection methods and techniques should be used to analyze the training needs in order to effectively design and implement the training programs for motivating the employees and achieving the organizational goals more efficiently Objectives • •

To identify training needs and opportunities assessed and provided for employees in private banks. To analyze various method to find out effectiveness of training and development.

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International Journal of Management (IJM), ISSN 0976 – 6502(Print), ISSN 0976 – 6510(Online), Volume 4, Issue 2, March- April (2013) RESEARCH METHODOLOGY DESIGN OF THE STUDY The Design of the Study is the conceptual within which research is conducted. It constitutes the blue print for the collection, measurement and analysis of data. RESEARCH DESIGN Research design has characteristics, problem definition, specific methods of data collection and analysis, time required for research project. RESEARCH METHOD • Explorative private banks in Chennai. DATA SOURCES • Primary data: Is generated in an investigation with the help of questionnaires. • Secondary data: Is collected from books, internet, articles, journals and other sources. SAMPLE SIZE: 108 employees as sample. SAMPLE AREA: the research is conducted in the private banks. SAMPLE METHOD: The method we are using here is survey method; descriptive research design is used to collect the information. DATA ANALYSIS: Data were analyzed using SPSS 18 package TOOLS FOR DATA COLLECTION: Questionnaire is used for data collection. A pilot study is done by administering a questionnaire to sample of respondents found out the validation of the study. The questionnaire contains the objective of the study. Private DATA ANALYSIS AND INTERPRETATION To identify the variables influencing effectiveness of training and development among employees in private banks, multiple regression analysis was done. 1.

MULTIPLE REGRESSION ANALYSIS Model

R

1

.263a

Model summaryb Rsquare Adjusted R square .069

.024

Std. error of the estimate .86326

a. Predictors: (Constant), income, gender, qualification, marital, age b. Dependent Variable: job improvement

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Durbinwatson 1.819

International Journal of Management (IJM), ISSN 0976 – 6502(Print), ISSN 0976 – 6510(Online), Volume 4, Issue 2, March- April (2013) Job improvement was calculated and used as the dependent variable. The independent variables included were monthly income, gender, qualification, marital status and age. With spss package the regression was run and it was found out that the r2 value was around 0.6 9 implying that the selected independent variables together explained 60% of variation in the job improvement index. The F value (1.517) was found to be statistically significant at 5% level. As regards the independent variables out of 5 variables included in the function. They are age, qualification, gender, marital status and monthly income. A percentage increase in age caused a decline of the job improvement index by 84%, followed by 83% decline in job improvement index, when qualification improved. Marital status also significantly contributed to a change in job improvement index by 1.16 for every change in marital status. Every one unit increase in income brought about nearly 0.91 unit change in job Improvement index. 2. CHI SQUARE ANALYSIS CROSS TAB AND JOB MAINTAINING To examine whether training given to the trainees helps to improve their effectiveness of job, chi square analysis was conducted and it was found that these two variables are significantly associated (x2=84.065*). This implies that knowledge or skills and information gathered during this training will help me play a bigger role than my current job and after training I think that I can be of great help in maintaining a cordial and orderly atmosphere in the bank. From the literature it is noted that the knowledge or skills can be maintained with appropriate after training it is maintained. To identify whether such training has improved the job effectiveness among the employees in private banks, chi square analysis was done which revealed a highly significant association between knowledge and after training .(x2=80.02*) Chi-Square Tests

Pearson Chi-Square Likelihood Ratio Linear-by-Linear Association N of Valid Cases

Value 84.065a 65.788 4.372 108

df 16 16 1

Asymp. Sig. (2-sided) .000 .000 .037

3. FACTOR ANALYSIS KMO and Bartlett's Test Kaiser-Meyer-Olkin Measure of Sampling Adequacy. Bartlett's Test of Approx. ChiSphericity Square df Sig. 121

.524 2201.8 09 351 .000

International Journal of Management (IJM), ISSN 0976 – 6502(Print), ISSN 0976 – 6510(Online), Volume 4, Issue 2, March- April (2013) Factor analysis was performed to determine the important factors which influence effectiveness of job. The KMO value (0.524) indicated that a factor analysis could be carried out. Bartlett’s test indicated that there is significant association between job effectiveness and the factors included. Among the factors included only 8 factors with Eigen value >1 were found to be relevant in influencing job effectiveness. These 8 factors together explained 75 percent of variance in job effectiveness. Component Initial Eigen valuesa

Raw

Extraction Sums of Squared Loadings

Rotation Sums of Squared Loadings

Total

% of Variance

Cumulative %

Total

% of Variance

Cumulative %

Total

% of Variance

Cumulative %

1

6.171

29.270

29.270

6.171

29.270

29.270

2.383

11.303

11.303

2

2.291

10.867

40.137

2.291

10.867

40.137

2.356

11.174

22.477

3

1.795

8.515

48.652

1.795

8.515

48.652

2.369

11.237

33.714

4

1.592

7.554

56.206

1.592

7.554

56.206

2.441

11.579

45.293

5

1.287

6.103

62.309

1.287

6.103

62.309

1.968

9.336

54.629

6

1.103

5.231

67.540

1.103

5.231

67.540

1.740

8.255

62.884

7

1.031

4.891

72.430

1.031

4.891

72.430

1.527

7.244

70.128

8

.940

4.461

76.891

.940

4.461

76.891

1.426

6.763

76.891

9

.695

3.298

80.190

10

.599

2.839

83.029

11

.552

2.621

85.650

12

.523

2.480

88.130

13

.423

2.008

90.138

dimension1 14

.392

1.859

91.997

15

.290

1.374

93.371

16

.254

1.205

94.576

17

.227

1.076

95.652

18

.216

1.025

96.676

19

.158

.752

97.428

20

.122

.581

98.009

21

.110

.523

98.532

22

.094

.447

98.979

23

.079

.375

99.354

24

.051

.242

99.596

25

.037

.177

99.774

26

.033

.155

99.929

27

.015

.071

100.000

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International Journal of Management (IJM), ISSN 0976 – 6502(Print), ISSN 0976 – 6510(Online), Volume 4, Issue 2, March- April (2013) From the varimax rotated component matrix (assuming a cut off limit of 0.5), Component Matrixa

learningneed learningobjective programnewideas participation sufficienttime relevant greatinterest materialassistance managed satisfactory encouraged livesituations jobimprovement jobinnovation knowledge growthrelevant helpful latesttechnology overallperformance incentives behaviourbridging maintaining confidence attitudeusefulness misstraining seriousness ongoingprocess

1 .615 .611 .339 .402 .281 .518 .524 .624 .514 .611 .583 .239 .349 .613 .558 .671 .573 .669 .568 .696 .556 .586 .527 .263 .729 .466 .440

2 .406 .355 .742 .634 .271 .281 .337 .363 .246 .312 -.086 -.100 -.199 -.040 -.341 -.387 -.322 -.400 -.143 .120 -.297 -.265 -.073 -.031 -.292 -.464 -.118

Component 4 5 -.053 .292 .100 .342 .120 .168 -.326 -.023 -.496 .516 -.147 -.277 .143 -.038 .302 -.214 -.386 -.224 .187 -.275 .077 -.621 .718 .174 .292 .163 .111 .187 -.043 .096 -.335 -.165 -.258 .103 -.168 .029 -.065 -.025 -.110 -.240 .023 .113 -.017 -.040 .358 -.003 .224 .371 .347 -.017 -.292 .176 -.075 .235

3 -.085 -.183 -.009 .220 .126 .218 -.352 -.024 .313 -.191 .199 .264 .727 .385 .373 .128 .063 -.110 -.500 .059 -.419 -.388 -.303 .066 .105 -.070 -.088

6 .205 -.207 .199 .020 -.206 .358 .021 -.253 -.137 -.145 .053 -.288 .256 -.118 .105 -.043 -.236 -.027 .263 -.002 .236 .252 -.298 .602 .034 -.088 -.375

7 -.296 -.081 .170 .087 .024 .225 .383 .138 -.251 -.258 -.132 -.048 .080 -.426 .342 .253 .376 -.210 .240 -.142 -.100 -.344 .194 -.006 .064 -.152 .104

8 -.131 -.290 .080 .225 .150 .351 -.283 -.330 -.010 .192 .116 .108 -.071 -.058 .009 -.096 -.206 -.227 -.076 -.195 .223 .088 .374 .035 .022 .043 .492

Extraction Method: Principal Component Analysis. a. 8 components extracted.

The first component contained only 2 factors namely, I felt the need for the training before attending the training program, I achieved the objectives of the training program. These two factors are together considered as learning objective component. These factors together caused about 11.3 percent variance in the job effectiveness. A second component indicated only 4 factors namely during the program, I came across a lot of new ideas, which are useful to me in training program, there was high degree of participation and involvement during the program, the program was well structured and sufficient time was allocated for each subject and session, to a large extent , the training program was relevant to my present job, overall the program was of great interest to all trainees when trying to persuade others which accounted for about 11.1percent variance in job effectiveness. This component is renamed as program component.

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International Journal of Management (IJM), ISSN 0976 – 6502(Print), ISSN 0976 – 6510(Online), Volume 4, Issue 2, March- April (2013) The third component revealed the following 5 factors namely required training material and assistance was given during the program, the program was well managed and venue was comfortable, the trainer presented the materials satisfactorily and it was easy to understand, the trainer encouraged participants to ask questions, several cases or examples or live situations were discussed, which together resulted in 11.2% variance in job effectiveness. This is Materials and facilities component. Similarly fourth component indicated 3 factors namely, as a result of going through this program I will be able to improve the way I do my current job, I can make innovations at work place using the information learned in this training, the knowledge or skills and information gathered during this training will help me play a bigger role than my current job, which explained about 11.5 percent of variance in emotional intelligence. This component is named job effectiveness component. The other 4 components together caused about 32 percent variance in job effectiveness. CONCLUSION The result clearly indicated that the job effectiveness can be maintained with appropriate behavior or relationship among employees working in private banks. Research also examined the most effective means of developing job effectiveness within the trainees. The research investigated whether growth or result is developed. Another vital finding indicated the attitude towards training. By identifying learning objective trainees felt more achievement. During the programs trainees came to know across a lot of new ideas, which are useful for them. The method of conducting the training is used by materials and facilities given for trainees by the trainer. Finally it is investigated that there is no problem identified during the training session conducted by their bank. REFERENCES 1. Anglin, G. M. (2001). Company officer training and development - Maintaining consistency in dynamic environment, National Fire Academy, pp. 1-39. 2. Roscoe, J. (2002), Continuing professional development in higher education, Human ResourceDevelopment International, 5(1), pp. 3-9. 3. Garavan, T.N., Hogan, C. and Cahir-O Donnell, A. (2003), Making Training and DevelopmentWork: A Best Practice Guide, Dublin, Oak Tree Press. 4. Khattak, M. A., Bashir, F., &Qureshi, T. M. (2010). "Training and Development paradigm, and its contribution in economic uplift of the country, A case from Pakistan", 12th International Business Research Conference, pp.1-16. 5. Jamil, R., &Md.Som, H. (2007). Training Needs Analysis: Practices of Top Companies in Malaysia. International Review of Business Research Papers, 3 (3), 162-175. 6. N. Mohan, N. Prabha and P.Mohanraj, “Work Life Balance Through Flexi Work Arrangements: Empirical Study on Bank Employees” International Journal of Management (IJM), Volume 1, Issue 2, 2010, pp. 53 - 61, ISSN Print: 0976-6502, ISSN Online: 09766510. 7. Dr. N. Shani and V. AnandKumar, “A Study on Job Characteristics and Internal Work Motivation among ICICI Bank Employees” International Journal of Management (IJM), Volume 2, Issue 2, 2011, pp. 56 - 65, ISSN Print: 0976-6502, ISSN Online: 0976-6510. 8. N.Mallika and Dr.M.Ramesh, “Job Satisfaction in Banking: A Study of Private and Public Sector Banks” International Journal of Management (IJM), Volume 1, Issue 1, 2010, pp. 111 - 129, ISSN Print: 0976-6502, ISSN Online: 0976-6510. 124