CHAPTER ONE - INTRODUCTION

Background to study

In contemporary business, human resource training and development has become substantial

to the success of every organization. It is, however, imperative that every organization

recognizes training and development with paramount importance as it craves for excellence. The

developments in human resource (HR) and practices around the world are gradually moving

towards employee retention and controlled turnover through training and development in order to

enhance employee efficiency within the organization. According to Heathfield (2012), the right

employee training, development and education at the right time, provides big payoffs for the

organization.

Training and development of employees provide them with the requisite skills and

knowledge about their jobs and ultimately add value to the organization. Noe (2010) described

training as an intended effort with proper planning to smooth the progress of employee’s learning

of competencies that are related to his/her job. Despite the similarities between training and

development, the two are appreciably distinct from each other. Armstrong (2012) defined

development as the growth or realization of a person’s ability and potential through the provision

of learning and educational experiences. Employee training is the responsibility of the

organization whilst employee development is a shared responsibility of management and the

individual employee.

From the human resource perspective, training and development is seen as any attempt to

improve current or future employee performance by increasing an employee’s ability to perform

through learning, usually by changing the employee’s attitude or increasing his or her skills

(Noe, 2012). While not all training is geared towards performance, these training and
development modules are either done internally by the training and development section of the

Human Resource Department or outsourced to competent training companies and are aimed at

enhancing the capabilities and skills of staff both new and current ones. To enable employee

development to become a success, the individual employee should look for learning

opportunities in everyday activities, identify goals and activities for development and prepare an

individual development plan. Sims (2006) posited that employee training and development

should suit the organization’s context, job descriptions, the individual skills and competencies of

each employee.

While not all training is geared towards performance, these training and development

modules are either done internally by the training and development section of the Human

Resource Department or outsourced to competent training companies and are aimed at enhancing

the capabilities and skills of staff both new and current ones.

It is, therefore, evident that employee training and development affect the long running

operation of organizations and the significant impact they make on the organization as a whole.

This research project explains the impact of training and development on employee performance

of Akatakyiman Rural Bank.

Statement of the problem

Varying studies such as Karthik (2012), Guna and Ismail (2008) posited that closing the

skills gap has become a critical area of human resource development, as this basically threatens

the productivity of the organization. Akatakyeman Rural Bank, ever since it was setup has been

making budgetary allocations for training and development of employees at all levels of the

institution. The reason being that for employees to effectively carry out their duties, it is
imperative that they have the relevant skills, knowledge, values, attitudes and competencies as

well as have a clear appreciation of their organization’s culture. This notwithstanding, recent

developments within the organization points to the fact that there are some deficiencies in the

skills and competencies of some employees as most trained staff still underperform, although not

all training programmes are geared toward performance, when annual appraisals are conducted

and are unable to meet their set targets. Lack of improvement in employee skills and

competencies at Akatakyeman Rural Bank are due to certain challenges which include but not

limited to: inappropriate assessment of the training needs of employees, employee attitude

towards training, format and nature of training modules etc. With the help of training and

development, employees can measure their performances, identify and improve upon their

weaknesses and turn out to be experts in their jobs through training and development. Though,

most studies, (Armstrong M. (2006) A Handbook of Human Resource Management Practice,

London UK and Heathfield S. (2012) Training: Your Investment on People Development and

Retention Guide, New York Sage) have failed to measure the degree to which training and

development has positively affected employees and the organization. This study therefore

measures the degree of effectiveness of training and development and its resulting impact on

employees using Akatakyeman Rural Bank as the study organization.

Purpose of study

The broad purpose of this study is to identify the effect of training and development on

staff performance in the Akatakyeman Rural Bank.

Research objectives

. The study therefore seeks to achieve the following three specific objectives:
1. To find out the specific training and development policy adopted by the Akatakyeman Rural

Bank.

2. To identify the extent to which training and development affect employee performance at

Akatakyeman Rural Bank

3. To find out the challenges employees go through during training and development

programmes

Research questions

1. What are the specific training and development policy adopted by the Akatakyeman Rural

Bank?

2. To What extent does training and development affect employee performance at Akatakyeman

Rural Bank?

Rural Bank?

3. What are the challenges employees go through during training and development programmes

Akatakyeman Rural Bank

Research Hypotheses

Ho: The existence of employee training and development at Akatakyeman Rural Bank does not

impact significantly on the organization’s staff performance.

H1: The existence of employee training and development at Akatakyeman Rural Bank does

impact significantly on the organization’s staff performance.

Significance of the study

The significance of this study is to deepen awareness of the strategic role training and

development play in employee effectiveness culminating in the overall success of an

organization.

First of all, the study will seek to offer a better understanding of the issues involved in

HR training and development, as well as provide practical recommendations to strategic Human

Resource practitioners. Contingent on the findings of this study, Akatakyeman Rural Bank,

through its human resource department, will be offered guidelines and recommendations to

increase the quality of its workforce through a well-structured training and development plans.

Additionally, it is hoped that the findings of the study will support the understanding of

management to better appreciate the significance and effect training and development have on

staff efficiency.

Furthermore, it is envisaged that the relevant recommendations will help to properly

design, implement and maintain strategies to manage employees for optimum organizational

performance.

Finally, the study will not just augment to the already existing work done in this area but

will also enhance additional research into training and development of all staff at the various

levels within the institution.

Delimitation of the study

The study shall seek to examine the effect of training and development on staff

performance in the Akatakyeman Rural Bank. This study therefore presents the time scope and

the geographic scope. While the time scope shall cover a period of two (2) months, the

geographic scope shall cover the Cape Coast North District, in the Central Region of Ghana.

Organization of the Study

This study shall be classified into five chapters. The first chapter will seek to discuss the

background, the problem statement, research objectives and questions, the significance and

limitations of the study.

The second chapter shall discuss the relevance of the study in existing literature and shall

provide literature referencing and review done on the topic. After the presentation of the existing

literature, the researchers shall match the entire chapter relative to the study.

The third chapter shall discuss the methodology and procedure used in collating data for

the study. It shall entail a presentation on the techniques used for data collection and research

methodology. In addition, the chapter shall contain a discussion on the techniques used in data

analysis as well as the tools used to acquire such data.

The fourth chapter shall discuss the data analysis and a discussion on the results of the

analysis ran on the study. The last chapter shall comprise of two sections: the conclusions to the

study and the recommendations.

 CHAPTER TWO

LITERATURE REVIEW

Introduction

In this chapter, the researchers review literature that are relevant to training and

development on employee performance from diverse sources. The review is done to cover

certain salient issues. The study begins by extensively examining the concept of training and

development on employee performance, types of training and development programmes, and the

purpose of training and development. Other issues the chapter looks at include the impact of

training and development on employee performance, conducting training and development needs

assessment and other relevant issues pertinent to the issues under study.

Theoretical Review

This study analyzes training and development as motivators of performance (both

employee and organizational), and hence some motivational theories are sought.

The study adopts the Expectancy theory (Victor Vroom). The theory was developed to

demonstrate the relationship between performance and reward. Vroom argues that one will be

motivated to choose a behavior alternative that is most likely to have favorable consequences.

Reinforcement theory (Skinner, B.F.A.) accepts that the frequency of behavior is influenced by

its consequences. It mentioned three major types of consequences: – Positive reinforcement:

reward desirable behavior. – Negative reinforcement: withhold punishments to force the

adoption of desirable behavior. – Punishment: punish undesirable behavior. Goal-setting theory

(Locke, E. A) indicates that A. One’s conscious goals or intentions regulate his/her behavior. B.

Three important implications for motivating trainees: – The learning objective should be
conveyed clearly to the trainees. – Training goals should be difficult enough to challenge the

trainees and satisfy their needs. – The final goal should be supplemented with periodic sub-goals

during training (Manu Melwin joy, 2015).

The concept of training and development

Training is considered as the process of improving the existing skills, knowledge,

exposure, and abilities in an individual. According to Saleem and Mehwish (2011), training is an

organized increase from the know-how skills and sensations needed for staff members to execute

efficiently in the offered process, as well as, to operate in underling situation. From the

perspective of Easterby-Smith (2009), training and development basically deals with the

acquisition of understanding, knowhow, techniques and practices. Laing (2009) defines training

as an indicator to enhance superior skills, knowledge, capabilities and outlook of the employees

that results in effective performance of the workers. However, he adds one thing more that it

(training) extends the production of the organization. Massod (2010) and Khanfar (2011) argued

that training is an active means of enabling the individual to make use of his potential.

According to the Armstrong (2001), training is a systematic development of knowledge,

skills and attitudes required by an individual to perform adequately a given task or job. Further,

Rao (2009) postulated that “training is the act of increasing knowledge and skills of an employee

for doing a particular job. The term ‘training’ indicates the process involved in improving the

aptitudes, skills and abilities of employees to perform specific job (Aswathappa, 2000).

Additionally, Aswathappa explained that training helps in updating old talents and developing

new ones. Successful candidates placed on the jobs need training to perform their duties

effectively (Guna & Ismail, 2008). The principal objective of training is to make sure there is the
availability of skilled and willing workforce for the organization. Additionally, Guna and Ismail

(2008) held that, there are four other objectives to be identified as far as training and

development is concerned: These are individual, organizational, functional, and social.

Individual Objectives: include objectives that are helpful to employees in achieving their

personal goals, which in turn, enhances the individual contribution to the organization.

Organizational Objectives: Organizational objectives assist the organization with its primary

objective by bringing individual effectiveness.

Functional Objectives: Functional objectives are maintaining the department’s contribution at

a level suitable to the organization’s needs.

Social Objectives– are objectives that ensure the organization is ethically and socially

responsible to the needs and challenges of the society. In addition to the above, Chao et al.

(2010) identified some other objectives designed for training; among which are the following:

1. To prepare employees, both new and old to meet the present, future, as well as the

changing requirements of a job and the organization.

2. To prevent obsolescence.

3. To impart the basic knowledge and skills in new entrants that need for an intelligent

performance of a definite job.

4. To prepare employees for higher level tasks.

5. To assist employees to function more effectively in their present positions by

exposing them to the latest concepts, information and techniques and developing the

skills they need in their fields.

 6. To build up a second line of competent officers and prepare them to occupy more

responsible positions.

7. To ensure smooth and efficient working departments.

8. To ensure economic output of required quality.

In contrast to training, Saklani (2004) postulated that employee development programmes are

designed to meet specific objectives, which contribute to both employee and organizational

effectiveness. Saklani (2004) also held that there are several steps in the process of management

development. These includes reviewing organizational objectives, evaluating the organization’s

current management resources, determining individual needs, designing and implementing

development programmes and evaluating the effectiveness of these programmes and measuring

the impact of training on participants quality of work life. Training presents a prime opportunity

to expand the knowledge base of all employees, but many employers in the in some

organisational settings find development opportunities expensive. Employees attending training

sessions also miss out on work time which may delay the completion of projects. However

despite these potential drawbacks, training and development provides both the individual and

organisations as a whole with benefits that make the cost and time a worthwhile investment. The

return on investment from training and development of employees is really a no brainer.

The purposes of training and development

According to Quinn et al. (2006), the goal of training is for employees to master the

knowledge, skill, and behavior emphasized in training programmes and to apply them to their

day-to-day activities. They also contended that training and development has been acknowledged

to gain competitive advantage, as training has to involve more than just basic skills development.
According to Quinn et al. (2006), the reasons for emphasizing the growth and development of

personnel include; creating a pool of readily available and adequate replacements for personnel

who may leave or move up in the organization, enhancing the company's ability to adopt and use

advances in technology because of a sufficiently knowledgeable staff; building a more efficient,

effective and highly motivated team, which enhances the company's competitive position and

improves employee morale; as well as ensuring adequate human resources for expansion into

new programs.

Research according to Sims (2006) showed specific benefits that a small business

receives from training and developing its workers, including; increased productivity, reduced

employee turnover, increased efficiency resulting in financial gains, as well as decreased need

for supervision. Contributing to the debate on the general benefits from employee training and

development, McNamara (2008) stated numerous benefits including increased job satisfaction

and morale among employees, increased employee motivation, increased efficiencies in

processes, resulting in financial gain, increased capacity to adopt new technologies and methods,

increased innovation in strategies and products, reduced employee turnover, enhanced company

image, e.g., conducting ethics training, as well as risk management, e.g., training about sexual

harassment, diversity training (McNamara, 2008).

Additionally, Goldstein and Gilliam (2009) also outlined six reasons why organizations

believe that investments in training can help them gain a competitive advantage. These include:

increase in employee knowledge, help ensure that employees have the basic skills to work with

new technology, help employees understand how to work effectively in teams to contribute to

service quality ensure that the company’s culture emphasizes innovations, creativity and

learning, ensure employment security by providing new ways for employees to contribute to the
company when their jobs change, their interests change, or their skills become obsolete, as well

as prepare employees to accept and work more effectively with each other and prepare

employees to accept and work more effectively with each other. Goldstein and Gilliam (2009)

also contended that employees frequently develop a greater sense of self-worth, dignity and well-

being as they become more valuable to the firm and to society. Generally they will receive a

greater share of the material gains that result from their increased productivity. These factors

give them a sense of satisfaction through the achievement of personal and company goals

(Goldstein & Gilliam, 2009).

Agar (2008) posited that an employee who receives the necessary training is more able to

perform in their job, since training offers the employee a greater understanding of their

responsibilities within their role, and in turn build their confidence. This confidence will enhance

their overall performance and this can only benefit the company. Employees who are competent

and on top of changing industry standards help the organisation hold a position as a leader and

strong competitor within the industry. Having a strong and successful training strategy helps to

develop an employer’s brand and make the company a prime consideration for graduates and

mid-career changes. Training also enables a company to become attractive to potential new

recruits who seek to improve their skills and the opportunities associated with those new skills

(Agwu, 2012). Training can be of any kind relevant to the work or responsibilities of the

individual, and can be delivered by any appropriate method.

Types of training and development programmes

Internationally, different companies provide training and development programmes to

their employees for the improvement of their skills and abilities (Callahan, 2010). Further,
Callahan held that in the start of 90s Sears Credit of the United States of America initiated a key

rearrangement and retorted with career-development programmes. These programmes were

developed for employees in order to line up their skills with changing jobs and also ensure that

programmes added value for the growth of their organization (Callahan, 2010). Companies were

of the view that they were not allocating career opportunities to their employees with

acquaintances and abilities to get benefit from these opportunities (O’Herron & Simonsen,

2015). Additionally, J.C Penny of the United States of America, countrywide wholesale

departmental store, developed a virtual university to support the employees to get abilities and

skills as required by their jobs (Garger, 2009). Similarly, Tires Plus, a tire retailer, based in

Minnesota, established Tires Plus University to its employees to increase recruitment, retain

employees of the store, and fill up the key positions and augments whole improvement of the

employees. U.S. Tsubaki, Illinois, established UST University to provide and calculate training

and organizational development programmes that fulfill the organizational and individual needs

of the organizations (Callahan, 2010). All over the world different companies are providing

different programmes for the betterment and skill improvement of their employees which are

based on same logic (Callahan, 2010).

Kleiman (2010) described that the essential parts of a worthy employee training

programme are constructed on orientation, management skills, and operational skills of

employees. According to Kleiman, these theories are the groundwork of any employee

development programme. Kottke (2009) described that employee development programme

comprises of core proficiencies, appropriate structure through which organizations develop their

businesses at corporate level. The basic function of the theory is to gain knowledge, cooperation,

inventive thinking and resolving problem (Kottke, 2009). The fundamental goals of several
employee development programmes are to deliver the mission of the organization and support

workers to learn the culture of the organization (Gerbman, 2010). These objectives provide help

to the strategic goals of businesses by facilitating learning chances and support organizational

culture (Kottke, 2009). The requirements for technical training programme for employees raised

their job satisfaction and help to understand the culture of organization, which lead to the success

of the organization. Gerbman (2010) held that organizations must take care of these elements,

such that employees would be updated with the present knowledge of the job. Thus employee

will be more productive, if companies provide them with training as per the requirement of the

job (Gerbman, 2010).

Today, most of the organizations have built up different programmes for the training and

development of their employees. Usually, companies offer tuition reimbursement package to

their employees so that they can improve upon their knowledge and education (Rosenwald,

2000). It has been found by the Corporate University that almost 10 percent of employees are

entitled for this benefit (Rosenwald, 2000). Furthermore, only senior management and those

employees who are at top level are entitled for tuition reimbursement (Rosenwald, 2000). As a

result of this, many organizations conduct in-house training programmes for their employees that

are more beneficial and cheap. Whereas training section of the organizations attempts to

concentrate on particular job proficiency, the corporate department is proactive with an

additional strategic approach (Gerbamn, 2010). Training and development programme is a

planned education component and with exceptional method for sharing the culture of the

organization, which moves from one job skills to understand the workplace skill, developing

leadership, innovative thinking and problem resolving (Meister, 2008). Employee development
programmes include a variety of teaching technique, schedule, and helping learning environment

that ensure employees improve their skills and later apply them on their jobs (Gerbamn, 2010).

According to McNamara (2008), there are two broad types of training available to

businesses: on-the-job and off-the-job techniques. Individual circumstances and the "who,"

"what" and "why" of your training program determine which method to use. On-the-job training

is delivered to employees while they perform their regular jobs. In this way, they do not lose

time while they are learning. After a plan is developed for what should be taught, employees

should be informed of the details. A timetable should be established with periodic evaluations to

inform employees about their progress. On-the-job techniques include orientations, job

instruction training, apprenticeships, internships and assistantships, job rotation and coaching.

Off-the-job techniques include lectures, special study, films, television conferences or

discussions, case studies, role playing, simulation, programmed instruction and laboratory

training. Most of these techniques can be used by small businesses although, some may be too

costly.

Towler (2003) posited thatwhereas some organisations use verbal presentations while

others have written presentations. Many small businesses convey these topics in one-on-one

orientations. No matter what method is used, it is important that the newcomer understand his or

her new place of employment. Lectures present training material verbally and are used when the

goal is to present a great deal of material to many people. It is more cost effective to lecture to a

group than to train people individually. Lecturing is one-way communication and as such may

not be the most effective way to train. Also, it is hard to ensure that the entire audience

understands a topic on the same level; by targeting the average attendee you may under train

some and lose others. Despite these drawbacks, lecturing is the most cost-effective way of
reaching large audiences (Meister, 2008). Role playing and simulation are training techniques

that attempt to bring realistic decision making situations to the trainee. Likely problems and

alternative solutions are presented for discussion. The adage there is no better trainer than

experience is exemplified with this type of training. Experienced employees can describe real

world experiences, and can help in and learn from developing the solutions to these simulations.

This method is cost effective and is used in marketing and management training.

Audiovisual methods such as television, videotapes and films are the most effective

means of providing real world conditions and situations in a short time. One advantage is that the

presentation is the same no matter how many times it is played. This is not true with lectures,

which can change as the speaker is changed or can be influenced by outside constraints (Saleem,

Shahid & Naseem, 2011). The major flaw with the audiovisual method is that it does not allow

for questions and interactions with the speaker, nor does it allow for changes in the presentation

for different audiences. Job rotation involves moving an employee through a series of jobs so he

or she can get a good feel for the tasks that are associated with different jobs. It is usually used in

training for supervisory positions. The employee learns a little about everything. This is a good

strategy for small businesses because of the many jobs an employee may be asked to do.

Apprenticeships develop employees who can do many different tasks. They usually involve

several related groups of skills that allow the apprentice to practice a particular trade, and they

take place over a long period of time in which the apprentice works for, and with, the senior

skilled worker. Apprenticeships are especially appropriate for jobs requiring production skills.

Internships and assistantships are usually a combination of classroom and on-the-job training.

They are often used to train prospective managers or marketing personnel.

 Programmed learning, computer-aided instruction and interactive video all have one

thing in common: they allow the trainee to learn at his or her own pace. Also, they allow material

already learned to be bypassed in favor of material with which a trainee is having difficulty

(Taylor, Russ & Chan, 2005). After the introductory period, the instructor need not be present,

and the trainee can learn as his or her time allows. These methods sound good, but may be

beyond the resources of some small businesses. Laboratory training is conducted for groups by

skilled trainers. It usually is conducted at a neutral site and is used by upper- and middle

management trainees to develop a spirit of teamwork and an increased ability to deal with

management and peers. It can be costly and usually is offered by larger small businesses.

Individual Benefits from Training and Development

Career Competencies:

It has been established by Feldman (2000) that employees get a lot of benefits from the

employee training and development programme; since they learn the soft and technical skills as

required by their jobs. Within the last 30 years, unemployment has been at its lowest rates; this

does not allow workers to start new job, if opportunities for growth are fewer (Dobbs, 2000).

Fresh university graduates mostly consider firms that provide intensive training programmes for

their employees, but this idea is risky for organizations to lose fresh trained employees with a

couple of years remaining on their employment contract (Feldman, 2000). Most of employees

recognize the importance of training programmes and would like to increase their salary (Dillich,

2000). It is also expected from fresh graduates not appropriately equipped for the continually

changing business environment (Gerbman, 2000).Young professionals with entrepreneurial

ambitions know that they have shortage of experience and money; hence they attempt to join

companies which provide training programmes to prepare their employees for the betterment of

the future (Feldman, 2000). Employee development programme also help employees to survive

in the future and develop their abilities to cope with new technologies. For many years, the

requirements for blue-collar jobs are constant, and numerous companies have prepared a

modification for demanding learning software and programmed systems (Cunniff, 2000). This

requirement is compelling workers to appraise their professional capabilities to sustain their

employment. Due to this situation, numerous employees have changed their attitudes to acquire,

and be promoted within their organizations (Feldman, 2000). Therefore workers used to prepare

10 year plan for their future and constantly change their plans after two years as per the change

of technology and information (Wilson, 2000).

Employee Satisfaction:

Garger (2009) posited that employees have no feeling about their organizations, if they

think that their organizations are not caring about them. Companies which are willing to spend

money on their employees, give value to work by those companies, even though that investment

eventually benefits the organization (Wilson, 2000). Companies which provide training and

development programmes for their employees are achieving high level of employee satisfaction

and low employee turnover (Wagner, 2000). Training increases organization’s reliability for the

reason that employees recognize their organization is spending in their future career (Rosenwald,

2000). Loyalty within the organization cannot be calculated but it is substantial to intrinsic

reward that employee feel (Logan, 2000). Employees feel comfortable and want to stay with

their organization, when they feel they are putting their efforts and skills at the disposal of their

organizations (Logan, 2000). Also, employees who are satisfied with their jobs, believe that their
work has a purpose and important for their organization (Moses, 2000). Usually the best

performers do not leave a job for the purpose of financial benefits. Though salary and benefits

play an important part in selecting and retaining of employees, employees are always observing

the opportunities to acquire novel skills, to get the encounter of different duties, and looking for

personal and professional development (Wagner, 2000). Therefore, nourishing these

requirements facilitates in figuring up confidence, self-esteem and job gratification in employees

(Nunn, 2000).

Employee Performance:

According to Kraiger, (2002), the effects of training on behavior of employees and their

working skills results in enhanced employee performance and constructive changes that serves as

an increase in employee performance. Arthur et al. (2003) developed analysis of 1152 sample

size from 165 resources and revealed that in distinction with no-training or pre-training

conditions; training had commonly positive result on job-related performance. However,

dissimilarities in positions of effect sizes were not big, the efficiency of training vary regarding

the training transfer technique and the skill being trained. Benefits of training program are also

related to technical skills of the employees. For instance, Davis and Yi (2004) developed two

researches with approximately 300 contributors with the help of behavior-model training and

remained capable to increase significantly computer skills. Psychologically practicing tasks

permitted trainees to grow learned knowledge, abilities and task.

During a qualitative study concerning mechanics in India, Barber (2004) held that on-the-

job training leads to superior innovation and implicit skills. Technical and professional skills are

very important for employees to perform a job in an effective way. Providing training invention
increases the educated mechanics to figure out two Jeep bodies using only a homemade hammer,

chisel, and oxyacetylene welder. Concerning implicit skills, Barber described in his study that

the profession of a mechanic needs “feels” to remain successful. Barber (2004) also described in

the result of an effective training that a mechanic had worthy emotion of how to hit the metal at

the particular spot so that work must be performed in a systematic and proper way.

The impact of training and development on employee performance

According to Burk and Day (1986), all organizations must manage four resources:

money, equipment, information, and people. Investments in better equipment may speed up

production or reduce waste. Information is power; data about products, prices, and customers are

essential to every business. Investments in training and development of employees can make

them more productive or more effective in their jobs, directly contributing to the bottom line.

Burke and Day (1986) meta-analysis of managerial training effects (across six training content

areas, seven training methods, and four types of training outcomes) showed that managerial

training is moderately effective. Collins and Holton (2004), in their evaluation of 83 studies from

1982 to 2001, including education, government, medical, and military organizations, came to a

similar conclusion. Even a moderately effective of training programme can have a substantial

effect. A training programme for 65 bank supervisors was found to cost $50,500, but the utility

to the organization was over $34,600 in the first year, $108,600 by the third year, and more than

$148,000 by the fifth year (Mathieu & Leonard, 1987).

Additionally, Watad and Ospina (1999) held that the purpose of training and management

development programmes is to improve employee capabilities and organizational capabilities.

When the organization invests in improving the knowledge and skills of its employees, the
investment is returned in the form of more productive and effective employees. Training and

development programmes may be focused on individual performance or team performance

(Watad & Ospina, 1999). The creation and implementation of training and development

programmes should be based on training and management development needs identified by a

training needs analysis so that the time and money invested in training and development is linked

to the mission or core business of the organization (Watad & Ospina, 1999).

To be effective, training and development programmes need to take into account that

employees are adult learners (Forrest & Peterson, 2006). Knowles’s (1990) theory of adult

learning or “Andragogy” was based on five ideas: (a) adults need to know why they are learning

something, (b) adults need to be self-directed, (c) adults bring more work-related experiences

into the learning situation, (d) adults enter into a learning experience with a problem-centered

approach to learning, and (e) adults are motivated to learn by both extrinsic and intrinsic

motivators. Having a problem-centered approach means that workers will learn better when they

can see how learning will help them perform tasks or deal with problems that they confront in

their work (Aik & Tway, 2006).At the different stages of their careers, employees need different

kinds of training and different kinds of development experiences. Although a business degree

might prepare students for their first job, they will need to gain knowledge and skills through

education and experience as they progress through their career. Peters (2006) suggested that

there are four stages of management education with different learning outcomes:

1. Functional competence, an understanding of finance, accounting, marketing, strategy,

information technology, economics, operations, and human resources management;

 2. Understanding context and strategy and how organizational processes interrelate, to make

sense of societal changes, politics, social values, global issues, and technological change;

3. Ability to influence people, based on a broad understanding of people and motivations; and

4. Reflective skills, to set priorities for work efforts and life goals.

To maximize the effectiveness of training and development, organizations must constantly

assess their employees’ current training and development needs and identify training and

development needs to prepare employees for their next position (Peters, 2006). This requires that

organizations recognize that different employees would have different needs and that these needs

will change over time as these workers continue in their careers.

Similarly, Bowra et al. (2011) has found that successful organizations tend to be

progressive knowing that there are myriad of factors that contribute to the performance

organizations although human resource is definitely the most essential one. Also, Tharenou et al.

(2007) held that the goal of training is to enhance an organization’s effectiveness. It also

demands an influence on employee’s performance in relation to organizational performance

which is mediated by means of employee’s performance. Aguinis and Kraiger (2009) said that

training improves the overall organization profitability, effectiveness, productivity, and revenue

and other outcomes that are directly related to the training in improving the quality of services.

Moreover, Thang and Drik (2008) argued that the success of organizations is determined

by human resources, definitely not physical resources and is highly endorsed to increase

organizations’ investments in training in order to offer superior expertise and knowledge

pertaining to employees rather than their competitor’s relationship between training and

organizations’ performance. ALDamoe et al. (2012) claimed that an organization’s performance

is measured through financial and non-financial measures like sales, profit, and market share as

well as non-financial factors that measure efficiency, quality of service, productivity of

organization, satisfaction of employees and commitment. These factors can increase through

training. Olaniyan and Lucas (2008) held that training enhances employees’ capacity to

contribute to optimal performance of the organization.

As organizations strive to compete in the global economy, differentiation on the basis of

the skills, knowledge, and motivation of their workforce takes on increasing importance.

According to an industry report by the American Society for Training and Development (ASTD),

U.S. organizations alone spend more than $126 billion annually on employee training and

development (Paradise, 2007). Additionally, Cannon-Bowers (2001) held that training in work

organizations produces clear benefits for individuals and teams, organizations, and society.

From the stand point of Hill and Lent (2006); Satterfield and Hughes (2007), there is

documented evidence that training activities have a positive impact on the performance of

individuals and teams. Training activities can also be beneficial regarding other outcomes at both

the individual and team level (e.g., attitudes, motivation, and empowerment). Further, Kraiger

(2002) was of the view that training-related changes result in improved job performance and

other positive changes (e.g., acquisition of new skills) that serve as antecedents of job

performance. Reassuringly, Arthur et al. (2003) conducted a meta-analysis of 1152 effect sizes

from 165 sources and ascertained that in comparison with no-training or pre-training states,

training had an overall positive effect on job-related behaviors or performance (mean effect size

or d = 0.62). However, although differences in terms of effect sizes were not large, the

effectiveness of training varied depending on the training delivery method and the skill or task

being trained. For example, the most effective training programmes were those including both
cognitive and interpersonal skills, followed by those including psychomotor skills or tasks. To

move beyond the general findings reported by Arthur et al. (2003), Aguinis et al. (2008)

emphasized that results from meta-analytic reviews should generally be given more weight than

individual (i.e., primary-level) studies because they are more reliable.

Barber (2004) held that training effects on performance may be subtle (though

measurable). In a qualitative study involving mechanics in Northern India, Barber (2004) found

that on-the-job training led to greater innovation and tacit skills. He explained that tacit skills are

behaviors acquired through informal learning that are useful for effective performance.

Regarding innovation, trained mechanics learned to build two Jeep bodies using only a

homemade hammer, chisel, and oxyacetylene welder. Regarding tacit skills, Barber noted that

the job of a mechanic requires “feel” to be successful. Specifically, trained mechanics developed

an intuitive feel when removing dents; thus a complex process particularly when the fender is

badly crumpled. As a result of informal training, one of the mechanics had a “good feeling of

how to hit the metal at the exact spot so that the work progresses in a systematic fashion”

(Barber, 2004). This type of tacit skill was particularly useful within the Indian context because,

although most shops in developed nations would not even attempt to repair a fender that was

damaged so badly, this type of repair is a common practice in the developing world (Barb, 2004).

Davis and Yi (2004) conducted two experiments with nearly 300 participants using

behavior-modeling training and were able to improve computer skills substantially. Although

behavior-modeling training has a rich history of success (Decker &Nathan 2005; Robertson

2000); a unique aspect of this research was that training was found to effect changes in worker

skills through a change in trainees’ knowledge structures or mental models, for an examination

of mental models at the team level (Marks et al., 2002). Specifically, mentally rehearsing tasks
allowed trainees to increase declarative knowledge and task performance; each measured 10 days

after the training was completed. Additionally, Taylor et al. (2005) conducted a meta-analysis

including 117 behavior-modeling training studies. They ascertained that the largest effects were

for declarative and procedural knowledge (ds around 1.0 resulting from comparing training

versus a no-training or pretest condition). Declarative knowledge is knowledge about “what”

(e.g., facts, meaning of terms), whereas procedural knowledge is knowledge about “how” (i.e.,

how to perform skilled behavior) (Aguinis, 2009). The overall mean effect on the changes in job

behaviour was d = 0.27. However, Taylor, Russ and Chan (2005) reported a substantial variance

in the distribution of effect sizes, indicating the need to investigate moderators of the relationship

between behavior-modeling training and outcomes. Training not only may affect declarative

knowledge or procedural knowledge, but also may enhance strategic knowledge, defined as

knowing when to apply a specific knowledge or skill (Kozlowski et al. 2001). Ford and Schmidt

(2000), referred to this as training for adaptive expertise. In addition, training may enable

consistency in performance across conditions. For example, Distell et al. (2001) conducted a

study including 79 U.S. Navy technical school trainees who performed a computer-based task.

Trainees participated in a stress-exposure training session. This training exposes trainees to

information regarding stressors (e.g., noise, time urgency), to the stressors, and how these

stressors are likely to affect performance. The results showed that training was beneficial in that

trainees performed well under a novel stressor and when performing a novel task. Thus, stress

training helps maintain performance consistency. Performance consistency may also result from

enhancing trainees’ self-efficacy or self-management skills. Frayne and Geringer (2000)

conducted a field experiment in which they administered self-management training (lectures,

group discussions, and case studies) to30 salespeople in the life insurance industry. The results
showed that salespeople who participated in the training programme demonstrated higher self-

efficacy, outcome expectancy (e.g., “I will increase my sense of accomplishment”), and

objective outcomes (e.g., number of new policies sold) as well as subjective job performance

(i.e., sales managers’ ratings of each salesperson’s performance). Training-related performance

improvement was sustained over a 12-month period after training ended. Collins and Holton

(2004) conducted a meta-analysis of the benefits of managerial leadership development

programmes including 83 studies published between 1982 and 2001 (Cullen & Turnbull, 2005).

They found that mean ds (comparing training with no training) ranged from 0.96 to 1.37 for

knowledge outcomes and from 0.35 to 1.01 for expertise/behavioral outcomes. Knowledge was

defined as principles, facts, attitudes, and skills measured using both subjective (e.g., self-

reports) and objective (e.g., standardized tests) measures. Expertise/behavioral outcomes were

defined as changes in on-the job behavior and were also assessed using both subjective (e.g., peer

ratings) and objective (e.g., behavioral) measures.

A final illustration of the effect of training and development related to performance is

cross-cultural training, in which employees are trained to perform their jobs in a different culture

and/or adjust psychologically to living in that culture (Lievens et al., 2003). Morris and Robie

(2001) conducted a meta-analysis of the effects of cross-cultural training on expatriate

performance and adjustment. Their meta-analysis included 16 studies that investigated

adjustment and 25 studies that investigated job performance as the focal dependent variable. The

mean correlation for the relationship between training and adjustment was 12% and the

correlation for the relationship between training and performance was 23%. However, there was

substantial variability in the distribution of effect sizes, suggesting that potential moderators

existed. Towler (2003) provided 41 business students with (a) no training, (b) presentation skills
training, or (c) charismatic influence training. Charismatic influence training included

articulating a vision, appealing to followers’ values, and using autobiography, metaphors,

analogies, stories, and self-efficacy language. A sample of 102 undergraduates from a different

university watched videotaped presentations by the 41 business students. Similar to results of

Dvir et al. (2002), Towler (2003) found some evidence in support of the effectiveness of

charismatic influence training on the performance and attitudes of the participants who watched

the videotapes.

Conceptual framework

Training and development (T&D) is a process, and not an event. It is part of the overall

integration of new and existing employees thereby equipping employees of the needed skills. It

is therefore an opportunity to promote organizational effectiveness from the start of a person’s

employment career. As highlighted in figure 2.1, there are three aspect of training and

development programmes as far as Akatakyeman Rural Bank is concerned; these include but not

limited to technical training, quality training, skills training and safety training. Safety training

refers to training outcomes that are intended to help employees recognize hazards in order to

achieve an acceptable level of risk. Technical skills are the knowledge and abilities needed to

accomplish scientific or computer-related duties, as well as other specific tasks relating to

technology. Quality training has to do with that aspect of training that enhances the analytical

and problem-solving skills, creativity and reasoning etc., of a person. Skills’ training has to do

with that aspect of training intended to develop oneself or others, any skills and knowledge that

relate to specific useful competencies. Career development usually refers to managing one’s

career in an intra-organizational or inter-organizational scenario. All the five categories should

be explained to the employees by the person undertaking the training and development
programme. The Human Resources Department should be responsible for this, and must also

regularly assess the skills levels of employees to ensure that competencies of employees are

always up to the required standard. The interrelationship between the employee’s department and

other departments should be explained in regards to the flow of information and or work, as well

as key contacts in other departments. The direct and indirect reporting relationships between

departments should also be defined. Therefore, the conceptual model developed is shown below
Figure 2.1: The Conceptual Model

Types of Training

Technical Training
Quality Training
Skills Training
Safety Training
Career Akatakyeman
Development Rural Bank
Staff

Performance
Akatakyeman
Training challenges
Rural Bank
 Lack of
Proper
Guidance
 High Turnover
Rate
 High Training
Cost
 Stress and
Anxiety
Source: Author’s Construct, 2018
 CHAPTER THREE

METHOD

Introduction

In the previous chapter, literature was reviewed using varying articles and publications

etc. This part of the study however presents the processes and the procedures through which data

was collected as well as the choice of an appropriate research design. Essentially, the segment

examines the study design, population, sample and sampling procedure, research instruments,

data collection procedure and data analysis technique.

Study design

Polit, Abramson and Gavah (2010) described the research design to be the overall

strategy that one adopts to integrate the diverse components of his study in a coherent and logical

manner, thereby, ensuring that one effectively addresses the research problem. Parahoo (2007)

describes the study design as a plan that describes how, when and where data is collected and

analysed. The study design can therefore be explained as the researcher’s overall plan in

answering the research question(s) or testing the research hypothesis. Since the study seeks to

identify the effect of training and development on staff performance in the Akatakyeman Rural

Bank, the survey design was deemed appropriate. Hughes (2012) explained that surveys are

unbiased approach to decision-making when undertaking a research. It has also been found out

that polls about public opinion, public health surveys, market research surveys, government

surveys and census are all examples of quantitative research that use contemporary survey

methodology to answer questions about a population. Although censuses do not include a

“sample”, Altman (2008) postulated that they do include other aspects of survey methodology,

like questionnaires, interviewers, and non-response follow-up techniques. Surveys therefore

provide important information for all kinds of public information and research fields. The merits

of using surveys are that firstly, surveys are relatively inexpensive, are useful in describing the

characteristics of a large population, can be administered in many modes; and lastly, the

anonymity of surveys allows respondents to answer with much more candidness and to also

provide valid answers.

In spite of its numerous benefits, surveys also have a number of demerits, such as; the

possibility that respondents may not feel encouraged to provide accurate and honest answers,

respondents may not feel comfortable providing answers that present them in a unfavorable

manner, surveys with closed-ended questions may have a lower validity rate than other question

types, and also data errors arising from non-responded questions could offset the validity of the

study. These limitations, notwithstanding, the survey design was suitable for this study.

Study Area
Akatakyeman Rural Bank is located in the Cape Coast South District in the Central

Region. Before the coming into being of the bank, people in the catchment area were served by

the traditional banks, which often times did not adequately meet their banking needs. A good

number of indigenes had resorted to local money lenders to avoid the bureaucracy and general

frustration associated with banking system. This inadequacy was heavily exploited by some

traditional unlicensed money lenders whose interest rates were extremely exorbitant and

exploitative and rendered the loans non-commercial. The rural banking concept had by then

gained momentum and level of progress of a traditional area was indirectly being measured by

the ability of the people to raise the initial stated capital to meet the Bank of Ghana pre-licensing

conditions and establish a Rural Bank.

The idea of establishing a Rural Bank to serve the banking needs of the area and tap into the

indigenous enterprise of the people was taken up by some public spirited individuals and opinion

leaders, who were gingered by their sense of pride to take the initiative and started the process of

establishing the Akatakyeman Rural Bank. The initiators had several previous discussions among

themselves and made preliminary legal enquiries about the procedures of setting up a Rural

Bank. Akatakyeman Rural Bank Limited started operations with a staff of six (6). By the end of

the third year of existence, the performance of the Bank had deteriorated so badly mainly as a

result of inexperienced management; The Bank of Ghana had to step in by seconding one of its

officers to take over the management of the Bank. The turbulent period lasted for about 8 months

and with the support of the Bank of Ghana and some key opinion leaders, the downward slide

was arrested and a turnaround was made.

Population
Parahoo (2009) describes the population as the total number of units from which data can

be collected, such as individuals, artifacts, events or organisations etc. Bernard (2010) described

population as all the elements that meet the criteria for inclusion in a study. The eligibility

criteria refer to a list of characteristics that are required for the membership of the population. To

be included in this study therefore, one would have to be a permanent staff of the Akatakyeman

Rural Bank. In this study therefore, the population consisted of the entire staff of the

Akatakyeman Rural Bank in the Central Region of Ghana. The population of the Akatakyeman

Rural Bank in the Central Region of Ghana is estimated at one hundred and fifty (150).
Sample and sampling procedure

The sample, from the perspective of Guba and Lincoln (2013) is the selection of

respondents from a particular population. Burns and Grove (2013) referred to sampling as the

process of selecting a group of people, events or behaviour with which to conduct a study. Polit,

Abramson and Gavah (2011) also affirmed that sampling participants should represent the entire

population; since sampling is closely related to the generalisability of the findings. In sampling

respondents, this study adopted the purposive sampling technique also known as the judgmental

sampling technique. In this form of sampling technique, the researcher uses judgment to select

the subjects to be included in the study based on their knowledge of the phenomenon. The

purposive sampling is therefore a method of sampling where the researcher deliberately chooses

who to include in the study based on their ability to provide the necessary data. In this study,

therefore, only the employees of Akatakyeman Rural Bank were eligible and therefore were

purposively chosen to participate in this study. The rationale for the choice of this approach was

borne out of the fact that the researcher sought the knowledge about the opinions of respondents

regarding issues they are required to provide responses or answers.

Contingent on the fact that Akatakyeman Rural Bank has a Population of one hundred

and fifty staff, the sample chosen for this study was one hundred and eight (108). For this reason,

one hundred (108) questionnaires were distributed to the staff of the Bank; and out of this

number, one hundred (100) responded as they were those that returned the questionnaires. This

represented 93% response rate. Massey and Tourangeau (2013) posited that a high rate of

nonresponse increases the potential for biased estimates, but does not necessarily bias an

estimate. For this reason, adequate steps were taken to ensure that the non-response rate was low

so as to reduce research bias.

Data collection instrument

While Agar (2008), described the research instrument is a tool used to collect data, it as

the required tools adopted by researchers to collect the much needed data. In line with Bernard’s

definition, this study adopted the questionnaire instrument to gather the much needed data.

Hence, a standardized questionnaire was developed to provide consistency, reduce bias, and

improve validity and reliability in the collection of data. In this study, the Five Point Likert Scale

model was used. The Likert Scale model of the questionnaire design is a psychological

measurement ranging from “strongly agree to strongly disagree”. The items on the questionnaire

which were rated on a 5-point Likert-types scale; which range from five (5) (which correspond

exactly) to one (1) (which does not correspond at all). In terms of assigning variables or scoring,

the “Strongly Agree” = 5; “Agree” = 4; “Neutral” = 3; “Disagree” = 2 and “Strongly Disagree” =

1.

The standardized questionnaires were in four (4) dimensions; the first part (section A)

asked questions on the background of respondents (sex, age education etc.). The second part or

segment (Section B) asked questions on training and development. The third part (Section C)

asked questions that reflected on the “effect of training and development on work performance”;

while the fourth part of the questionnaire had questions that reflected on the challenges

employees go through during training and development programmes.

Finally, the reason why the questionnaire instrument was used is because according

Milne (2009), the questionnaire responses are gathered in a standardized way, and as such they

are much more objective as compared to other forms of instruments such as interviews. It is
relatively easy to collect data using questionnaire and lastly, data can be collected from a large

number of audience.

Data collection procedure

Huberman and Miles (2008) identified data collection as detailed, systematic, collection

of pertinent data to the research sub-problems, using instruments such as questionnaires,

interview guide, participants’ observation and case histories etc. Primarily, data collection begun

after the researcher had sought the permission of the Human Resource Manager of the

Akatakyeman Rural Bank to help identify potential respondents. The participants were selected

after the researcher pre-selected participants according to the eligibility criteria discussed under

population segment.

During the data collection, four departments were visited; they are the Human Resource,

Marketing, Customer Service and Operations Departments of the Bank. During this process,

research ethics were followed since the searcher ensured that the rights of the respondents were

respected and also maintained anonymity. Finally, data collection was done during the month of

March. The researchers therefore used one month to collect the data; thus, twenty (20) working

days.

Data analysis technique

Huberman and Miles (2008) identified data analysis as comprising of three synchronized

flow of activities; that is, the reduction of data, the presentation of data and the conclusions

segment. In this study, the data from the respondents were first sorted, organised and edited: This

was done in conformity with the research objectives of the study. There were also the allocations
of questions together with their respective components within the questionnaire so that responses

could be categorised properly for effective analysis. Finally, the descriptive data was then

analysed using the Statistical Package for Service Solution (SPSS) version 20.0.

CHPTER FOUR

RESULTS AND DISCUSSION

Introduction

In this segment, the collected data from the field is presented and analysed through their

respective research objectives. The analysis takes cognisance of the interpretation of findings in

reference to the literature or some empirical findings. The chapter is classified into two parts; the

first part discusses the biographic data of respondents; while the second aspect of the chapter

discusses the extent to which training and development affect employee performance at

Akatakyiman Rural Bank.

Biographic data of the respondents

The study took cognisance of the biographic data of respondents and therefore collected

data on gender, age, education, and the experiences of respondents.

Gender
 Per the data collected, it was found out that out of the 100 respondents, seventy-six,

representing (76%) of the respondents were males; while 24 respondents, representing 24% were

females. This implies that there were more males than females and this finding corroborates what

the Ghana Living Standard Survey V (GLSSV, 2005/2006) conducted by the Ghana Statistical

services (GSS) found. From those studies it was found that males recorded a higher economic

activity rate (54.9%) compared to females (45.1 %) (Ghana Statistical Service, 2010). The Ghana

Living Standard Survey V (GLSSV, 2005/2006) further found that among the working age

population (15 to 64) there were more males (25%) in wage employment compared to females

(8.2 %) (Ghana Statistical Service, 2010). The reason why there were more males than females

was due to males being traditionally the bread winners in most Ghanaian homes and this possibly

spurs them to work than their female counterparts. Another reason is that more males were more

interested in the study than their female colleagues.

Age distribution of the respondents

It was found from the data gathered that 45 respondents (45%) were between the ages of

20 and 30 years. Thirty-two respondents (32%), were between the ages of 31 and 40 years.

Whereas respondents, between the ages of 41and 50 were 20 respondents (20%); while three

(3%) were between the ages of 51and 60 years. From the statistics provided, it is apparent that a

sizeable number of the respondents employed by Akatakyiman Rural Bank were youth and

therefore more inclined towards productivity as highlighted by Barnett (2008) and Karjaluoto,

(2012). He also explained that young people are used to learning; and if they have just come into

the organisation, they still retain a mindset that allows them to absorb training more readily. As

they don’t have a huge amount of previous experience young people are essentially a ‘blank

slate’. This affords their employer an opportunity to develop a workforce of young people
specifically trained to meet their organisational needs. Also millennials have grown up around

technology. Their natural affinity for technology and their ability to apply and understand

different technologies quickly sets them apart from other generations within the workforce. Thus,

recruiting young people has a positive and important impact in driving business forward in the

adoption and use of new software and technology (ibid). The statistics presented is summarized

in Figure 4.1.

45

40

35

30

25 45
20
15 32

10
20
5
0

20 - 30 Years 3
31 - 40 Years
41 - 50 Years
51 - 60 Years

Figure 4.1: Age distribution of the respondents

Source: Field Data (2019)

Educational background of the respondents

The study revealed that out of the 100 respondents, ten (10) representing (10%) had HND; fifty-

seven (57%) respondents had degree; twenty-eight (28) respondents, representing 28% had

varying postgraduate qualifications; while five (5%) respondents had other qualifications other

than those mentioned. From the statistics, it is evident that the financial sector of Ghana employ

people with strong educational background. From the statistics provided, it is clear that the

Akatakyiman Rural Bank employs people with good educational background. From the

perspective of Barnett (2008), having employees with higher education can allow employees to

keep up to date with business and professional developments; as continuous professional

development (CPD) is required in specific professions improve employees’ chances of

progressing within an organisation and make a higher value contribution to the success of the

organisation. Also, education improves employees’ earnings potential within the organisation

and the industry they work in; and lastly, education develops staff “employability” skills;

transferable skills such as numeracy, communication and information technology. The statistics

provided is summarized in figure 4.2.

 Postgraduate
28%

Other Degree
5% 57%
HND Degree
10% HND
Other
Postgraduate

Figure 4.2 Educational background of the respondents

Source: Field Data (2019)

Experience acquired by respondents

It was found from the study that 37 respondents (37%) had between 0 and 5 years of

experience. Forty-six (46) respondents, representing 46% had between 6 and 10 years of

experience. Whereas those who had between 11 and 15 years of experience were 11 respondents

(11%); five (5) respondents, representing 5% of the entire respondents had more than 16 years of

experience. From the study, it is apparent that Akatakyiman Rural Bank had staff with significant

amount of experience: This according to Agwu (2012) owes to the fact that the banking industry

is a highly technical sector and therefore requires well educated and experienced personnel to

effectively manage depositors’ funds and shareholders’ equity and investments. The statistics

provided is summarized in table 4.1.

Table 4.1: Experiences acquired by respondents

Experience Frequency Percentage

0 – 5 years 37 37

6 – 10 years 46 46

11 – 15 years 11 11

Above 16 years 6 6

Total 100 100

Source: Field Data (2019)

Respondents and their Departments

It was also found as illustrated in Table 4.2 that respondents from customer Service

Department were 20 respondents (20%). The respondents from the Human Resource

Department were 32 respondents, representing 27% of the total respondents. Whereas 20 (13%)

respondents were from the Marketing Department; Sixteen 16 respondents (13%) were from the

Operations Department. The respondents from the Relationship Managers were 12, amounting to

10% of the total respondents. The finding implies that the researcher contacted personnel of the

Akatakyiman Rural Bank who were well-informed and had accurate information on how training

had impacted on their performance. What this therefore meant was that the right personnel with

the requisite knowledge in the right positions at Akatakyiman Rural Bank were contacted for the

study and this enabled the researcher to collect accurate and factual data which was needed to

draw valid and reliable conclusions. The statistics provided is summariesed in table 4.2.

Figure 4.2: Positions held by respondents

Positions Frequency (%)

Customer Service 20 20

Human Resource 32 32

Marketing 20 20

Operations Department 16 16

Relationship managers 12 12

Total 100 100

Source: Field Data (2019)

Specific training and development programmes at Akatakyiman Rural Bank

The study also sought to find out the specific training and development programmes that

are given to staff to enable them enhance their performance in line with the objective one of this

study. In responding to this objective therefore, the first question respondents were asked was

whether Akatakyiman Rural Bank has a training and development strategy. Choosing from a

‘yes’ and ‘no’ options, the responses revealed in affirmative; signifying that the company, as a

financial entity has training and development strategy. Secondly, the respondents also confirmed

the fact that they have been going through training and development after being asked whether

they have been involved in training and development programmes. On the whole, forty-four

(44%) respondents identified the fact that they have been involved in training and development

programmes three times (3X) since joining Akatakyiman Rural Bank. Twenty-three (23%) also

confirmed that they had gone through training and development four times (4X) since joining the

institution; while thirty-three (33%) respondents had gone through training and development for

at least once.
 Also, in a related question, the respondents were asked the kind of training and

development programmes they have been participating since joining the company. The responses

revealed that the staff of Akatakyiman Rural Bank have been going through both “informal” and

“formal” training and development programmes. This corroborates the findings of the study

conducted by Callahan (2010). According to Callahan, employees need to go through both

formal and informal training programmes to enable them become holistic in their problem-

solving skills. Thus, for employees to be efficient, productive and adaptable, new skills, such as

critical thinking and problem solving skills, communication, collaboration, creativity and

innovation are required.

The extent to which training and development affect employee performance

The study also sought to find out the extent to which training and development affect

employee performance Akatakyiman Rural Bank in Line with the objective three of this study. In

line with this objective, the responses from the respondents are summarized in table 4.4 through

the Likert Scale Ratings. Also since this part reflects the impact that training and development

has on work performance, the linear regression model was adopted to establish the extent of

impact as seen below Table 4.3.

Table 4.3: Descriptive analysis of impact of training and development on work

performance

Scale Ratings Min Max Mean Std.

Deviation

The training and development programmes have

enabled me acquire new skills 1.00 5.00 4.3736 .83021

As an employee, I honestly believe that the training and

development I receive have impacted on my

performance as well as work life 2.00 5.00 4.5787 .70671

As a staff, my speed of delivery has been enhanced as a

result of training and development programmes 2.00 5.00 4.3507 .83543

Through training and development programmes, a

number of employees have been able to work 1.00 5.00 4.363 .87063

effectively

Training and development programmes have enhanced

my quality of work output 1.00 5.00 4.3289 .85461

Training and development programmes have taught me

new skills 1.00 5.00 4.1602 .86362

As an employee who has undergone training and

development, I see a relationship existing among job

performance, training and development. 1.00 5.00 1.7540 .92721

Dependent 12.00 84.00 39.1314 9.40119

Model Summary

Model R R Square Adjusted R Std. Error of the

Square Estimate
1 6.32456
.580a .365 .264
a. Predictors: (Constant)

Table 4.4: Regression

ANOVAa

Model Sum of Df Mean F Sig.

Squares Square

Regression 3165.679 14 22.874 4.870 .000b

Residual 3473.007 105 55.147

1 Total 6,638.686 119

a. Dependent Variable: Dep

b. Predictors: (Constant)

From the ANOVA statics shown in table 4.4, the processed data, which is the population

parameters, had a significance level of 0% which shows that the data is ideal for making a

conclusion on the population’s parameter as the value of significance (p-value) is less than 5%.

The F critical at 5% level of significance was 4.870; and since the F calculated is greater than the

F critical (value = 2.021), this shows that the overall model was significant and that training and

development was significantly influencing work performance at the Akatakyiman Rural Bank.
Discussion - Level of Significance

Test of Hypotheses

Ho: The existence of employee training and development at Akatakyiman Rural Bank

does not impact significantly on the organisation’s training and development.

H1: The existence of employee training and development at Akatakyiman Rural Bank

does impact significantly on the organisation’s training and development.

The tables (4.3 and 4.4) presented the results produced by linear regression on the data

collected from 100 respondents through questionnaire to test the hypotheses stated in Chapter

One. Thus, having applied the linear regression on the collected data to ascertain the cause and

effect relationship between the independent variable; which is, “Training and Development”, and

the dependent variable; which in this case is “Performance”, the above stated results has been

drawn.

While the probability of f-statistic shows the significance of the study, the principle is

that if the p value is < 0.05; than it is significant. In this study, therefore, the above given table

demonstrates that the p value is 0.000 which is < 0.05; thus the figure is statistically significant.

Hence, the independent variable of the study, Training and Development, has significant

relationship with the dependent variable of the study, staff Performance. From the analysis

therefore it is evident that the existence of employee training and development at Akatakyiman

Rural Bank does impact significantly on the organisation’s training and development. Therefore,

the hypothesis “H1” is preferred (H1: The existence of employee training and development at

Akatakyiman Rural Bank does impact significantly on the organisation’s training and

development) in favor of “Ho”.

 To conclude, the existence of employee training and development at Akatakyiman Rural

Bank does impact significantly on the organisation’s training and development. These findings

corroborated the study findings reported by Callahan (2010). In their study, Callahan identified

the fact that once employees are made to undergo training and development, it impacts

significantly on their skills; such employees consequently work effectively thereby enhancing

the quality of their work.

Lastly, the respondents were asked about the extent to which training and development

contributed to corporate achievement at Akatakyiman Rural Bank. The respondents were to

choose among varying options: “to a very large extent, to a large extent, to some extent, and

undecided. From the responses, it was revealed that whereas 40% identified with the fact that

training and development had contributed to corporate achievement at Akatakyiman Rural Bank

to a very large extent. Thirty-five percent (35%) identified with the fact that training and

development contributed to corporate achievement at Akatakyiman Rural Bank to a large extent;

with 15% of the respondents identified with the fact that training and development had

contributed to corporate achievement at Akatakyiman Rural Bank to some extent; those

undecided respondents were 10% as summarized in figure 4.3.

 Undecided
10%

To some extent To a very large

15% extent
40%

To a large extent
35%

Figure 4.3: The extent to which training and development contributed to corporate
achievement of Akatakyiman Rural Bank
Source: Field Data (2019)

The challenges of staff in undergoing training and development programmes

The study also sought to ascertain if there were some challenges encountered by

employees whilst undergoing training and development. In finding answers to this, data collected

revealed that, out of the total number of 100 respondents, sixty-two 62 (62%) of the respondents

stated that in the course of training, they experienced fatigue since, according to them; most of

the training programmes dragged on for far too long. Also, five (5) respondents (5%) also stated

that they develop a self-centered attitude during training programmes; while 33 (33%) of the

respondents stated that intrusion into personal time was also identified as one of the challenges.

These findings also affirmed the findings highlighted by challenges Karthik (2012). According to
him these challenges make employees not want to willingly participate in training programmes

as summarized in figure 4.4.

Intrusion into
personal time
33%

Fatigue and
The development
Tiredness
of self-centred
62%
attitudes
5%

Figure 4.4: The challenges faced by employees during training and development

Source: Field Data (2019)

 CHAPTER FIVE

SUMMARY, CONCLUSIONS AND RECOMMENDATIONS

Introduction

Whereas the previous chapter presented and offered a discussion on data collected from

the field, this chapter, essentially, provides the summary, conclusions and some useful

recommendations in line with the findings identified in the preceding chapter.

Findings

This study sought to examine the effect of training and development on staff performance

in the Akatakyiman Rural Bank. The study sought to find out the specific training and

development policy adopted by the Akatakyiman Rural Bank, identify the extent to which

training and development affect employee performance at Akatakyiman Rural Bank, as well as

find out the challenges employees go through during training and development programmes. The

study adopted the survey design. In this study, the population consisted of the entire staff of the

Akatakyiman Rural Bank in the Eastern Region of Ghana. The population of the company is

estimated at one hundred and fifty (150). A sample of size of 108 was chosen for the study, while

100 responded, and this represented 93% response rate. Data was analysed using the Statistical

Package for Service Solution (SPSS) version 25.0. The method adopted helped in identifying the

following four key findings:

Firstly, the study revealed Akatakyiman Rural Bank provides training and development

programmes for its staff and that; the company provides both formal and informal training and

development programmes for its numerous staff.

 Secondly, the study found out that training and development programmes enables staff

acquire new skills, impact on their performance and work life, enhanced the speed of delivery of

staff, able to work effectively, enhanced quality of work output, as well as taught the employees

new skills.

Thirdly, the study found out that training and development programmes impact on the

performance of staff to a very large extent since the company’s employees have benefited a great

deal from training and development programmes offered to staff.

Lastly, the study also identified intrusion into personal time, fatigue and tiredness, as well

as the development of self-centered attitude as some of the key challenges confronting

employees whilst undergoing training and development at Akatakyiman Rural Bank.

Conclusions

Training and development play an important role in the effectiveness of organizations

and to the experiences of people at work. Training and development have implications for

productivity, health and safety at work and personal development. All organizations employing

people need to train and develop their employees. Most organizations are cognizance of this

requirement and invest their effort and other resources in training and developing of their staff. A

well-trained and developed employee therefore becomes a valuable asset for the organization and

as a consequence, increase the chances of their efficiency and effectiveness in discharging their

duties. Training is a learning experience which has a capacity to make positive changes and

reach up to the desired objectives of the organization. It improves the ability of the employee to

perform his job efficiently and with excellence. Training and development programmes are the

basic structural and functional foundations for the development of the employees. These

foundations are important for guiding the employees through different situations. Training and
Development programmes are the framework for helping employees to develop their personal

and professional skills, knowledge, and abilities (Subba, 2009). There are significant changes

today in terms of the value of employees, along with these changing values, there are trends at

the workplace that have significant impact on employees’ knowledge and skills. Training is

therefore necessary to enhance the knowledge, skills and attitude of employees. It also makes it

easier for employees to acquire further knowledge based on the foundation gained from the

training and further effect the changes in other coworkers. This study therefore revealed that

Akatakyiman Rural Bank provide training and development programmes for its staff and that;

the company provides both formal and informal training and development programmes for its

numerous staff. This study therefore affirmed the study findings established by Callahan (2010).

According to Callahan, employees need to go through both formal and informal training

programmes to enable them become holistic in their problem-solving skills. The study also

identified intrusion into personal time, fatigue and tiredness, as well as the development of self-

centered attitude as some of the key challenges confronting employees whilst undergoing

training and development at Akatakyiman Rural Bank. These findings affirmed the study

findings highlighted by challenges Karthik (2012). According to him these challenges make

employees feel reluctant to participate in training programmes when the need arises.

Recommendations

In line with the identified findings highlighted in the preceding segment, the following

recommendations are made:

Firstly, it is recommended that excessive training and development periods should be

curtailed. This will help avoid, tiredness, fatigue and intrusion into personal time that do not
encourage assimilation of instructional outcomes. Line managers and Human Resource managers

should ensure that training programmes do not drug on for longer periods and should be made

interesting for the targeted group.

Secondly, training is too often seen as a box ticking exercise for new employees, only to

be forgotten about. Therefore, for training to be effective there is the need for organizations to

design a tailored, strategic approach and a culture that ensures continual improvement of staff.

Thirdly, the study recommends that training programmes should be structured to give

equal opportunity to staff in all departments.

Additionally, the study also recommends that training and workshops should incorporate

a broader spectrum of issues to help develop staff holistically.

Further, it is recommended that speakers should be encouraged to speak within certain

time limits to reduce the stress, tiredness and fatigues levels that trainees go through.

It is also recommended that organisations should allocate more budget towards training

and development programmes to help develop the organisation’s training needs.

Finally, it recommended the organisation should identify specific training needs to help

solve specific training need.

Suggested for future study

This study measures the degree of effectiveness of training and development and its

resulting impact on employees using Akatakyiman Rural Bank as the study organisation.

Focusing on one particular organisation, with a population of 150, a sample of 108 respondents

was chosen. Therefore, in the future more sample size can be chosen with multiple organisations

to make this study much more holistic.