Impact Of Training And Development On Employee Retention: A Case Study Of Telegate

Background and significance

The purpose of the report is to analyse the impact provisions for training and development opportunities can have on the retention of employees. As stated by Bellet al. (2017) training and development of employees can have a positive outcome on the results of the loyalty of the employees. It is necessary that every employee that is joining new in the company be provided with proper training methods so that they can develop themselves for the success of the company. The purpose is to analyse the impact that these training and development opportunities that are provided help in the retention of the employees and gain the loyalty of them. In this regard, relation can be made with the fact that employee training and an opportunity to develop usually acts as a motivational factor (Pollock, Jefferson and Wick 2015). The reason behind this is that training the employees provides them with an opportunity to progress in the company and ensure that a long spell can be maintained that can help in the occurrence and development of skills. The focus of the research is on the impact that Telegate had on its employees by providing opportunities for training and development.

According to Ford (2014), one of the biggest problems that the managers of an organisation face is that of the retention of the employees. At the same time, the manner in which training and development programmes are implied also may provide some type of problem in the organisation. The issues or factors that lead to the occurrence of such problems are the financial capability of an organisation as well as its ability to motivate the employees. For an organisation like Telegate, without proper finances, it can be difficult to train employees and at the same time motivate them. The direct impact of the training of employees along with the retention can help the progress of Telegate. Hence, as stated by Larsen (2017) this particular issue is crucial for the success of a company. It is for this particular reason that the issue at hand is worthy of being investigated.

The expected benefits from the application of the training and development method is that employees of Telegate can gain the skills required to perform the work that they are hired to undertake. At the same time, skilful and trained employees have an opportunity to develop in the organisation and continue with the legacy and cultural trend that are the significant factor for an organisation. Høyeret al. (2017) is of the opinion that the consequence of not addressing this factor is that the employees may not be retained and the loyalty may not exist if proper training is not provided.

Research question and objectives

• To identify the importance of training and development of employees
• To identify methods of retaining employees in an organisation
• To analyse the impact of training and development opportunities in employee retention in Telegate
• To recommend ways to improve training and development opportunities for employee retention in Telegate

The research questions include:

• What is the importance and the impact of training and development opportunities in employee retention in Telegate?
• How can training and development change the productivity level of Telegate?
• What can be the ways or the methods of the traing and development of the employees in Telegate?
• Does different kinds of research in training help to increase the skill levels of the persons employed with telgate?

The boundary of the topic is that the research does not focus on any particular industry or organisation. The generalised matter of the research may be vast for the researcher to continue with the investigation. The application of both primary as well as secondary sources of data collection may help to gain proper knowledge and information about the topic, but it does not provide an insight into the mindset of the employees about training and development. At the same time, gaining confidential information about employee retention method can be difficult as reputed companies abstain from publishing such information in their websites.Gaining relevant journals and books for analysing the works of the scholars can be another boundary that the research need to overcome. The lack of primary sources have played been a major hindrance as firsthand experience of the employees or the managers regarding the topic is not obtained.

The first part of the research covers the introduction section in which the purpose of the research is identified and defined. At the same time, the importance of the research is stated so that every question regarding conducting the research can be addressed. The research objectives and questions are developed that help in aligning the research with its topic. At the same time the boundaries related to the research is also stated in the introduction part.

The next part of the research highlights the relevant theories, topic and models that are related to employee retention along with training and development. At the same time the research gap is identified that can help in providing recommendation so that the research can be conducted further with proper analysis.

The third part of the research covers the research methodologies. This part describes defines the tools and techniques to be used for the successful completion of the research and the manner in which the research is to be conducted. A timeline is provided that highlight the progress of the research.

Literature Review/Theoretical Framework

Nkosi (2015) defines training as the process of development of the skills of employees in an organization. Training empowers the employees to perform their job responsibilities better which ultimately translates into the performance of the entire organization. Othman, and Lembang (2017) adds to this opinion by mentioning the training develops the efficiency of the employees which ultimately allows organisations to align their employees with the future business strategies. It can be pointed out from the analysis of these articles that strategic human resource management of employees to align them with the needs of the organisation like Telegate has become important for an organisation to perform highly in the market. Armstrong and Taylor (2014) point out that retention of employees can be defined as the capability of an organisation to retain its employees for longer span of time and align them with its business strategies. Training and development enable an organisation to improve the skills and competencies of its employees to its future business strategies. This enables business organisation to take advantage of the knowledge and skills of the employees in the long run. Tereraand Ngirande (2014) points out that when employees get opportunities to contribute towards the growth of their employer organisation, the experience job satisfaction which encourage them to continue their tenure with the organisation. The organisation as a result is able to form long term strategies based on its present employees and also recognise the trainings which have to be imparted to the employees to operate according to the new plans. That is why employees view training and development as positive signs of profession growth and continue to serve their current employer. Thus, training and development of employees of Telegate lead to longer retention of employees.

Research boundaries

The Human Resource Management Theory, Employee retention theory and Customer satisfaction theory have been widely used to construct this particular assignment. Training is an important component of the human resource management theory. Albrecht et al.(2015) point out that training plays a very important role in human resource management in business organisations like Telegate. They point out that business organisation require maintaining their human resources to be able to operate in the global market successfully. Leonidou, et al. (2015) shed light on a fact which further strengthens the opinion of Albrecht et al.(2015). They mention that business organisation require to continuous form strategies to be able to advantage of the dynamic market conditions. This decision making plays a very significant role in their maintaining their global positions. Lovelock and Patterson(2015) further mentions in the same direction that employees are the reserves of knowledge and skills which the business organisation use to operate in the market. This it can be inferred from their discussion that loss of employees would also result in loss of talent. It can further emphasised that employee.Kim(2014) in this respect that employee poaching from competitor organizations is the strategy which several firms use to acquire new talent. Thus, lower retention of employees means losing them to the competitors. Training on the other enables organisations to develop their human resources development and retain them for longer periods. This also enables them to align their employees with the market strategies and take advantage of the market opportunities. This is evident from the high employee retention rates in Telegate and its repetitive high market performance. Thus, it can be inferred from the discussion that training and development of human resources at multinational organisations like Telegateare very important for business organisations to perform highly in the market.

Babakus, Yavasand Karatepe (2017) take the baton from Lovelock and Patterson(2015) to point out a strong significance of employee retention, achievement of customer satisfaction. The employees are the reserves of the knowledge which are required to serve customers and ensure theirsatisfaction. Dhar(2015) funnels the discussion down and points out that customer satisfaction plays more important role in revenue generation in the service. This is because the employees working in service companies like Telegateinteract directly with the customers to ensure high quality services to them. Leonidou et al.(2015) contradicts this statement and point out that customer satisfaction plays significant role in manufacturing companies as well. This is because the marketing staffs in the product manufacturing companies have to interact with clients to secure orders. Thus, in this light it can be inferred that employee retention plays significant role in customer satisfaction.

Report outline

Albrecht et al. (2015) point out that employee retention and trainingthem enable organisations to perform better in the market.Leonidou et al.(2015) mention that retaining employees enable organisation to save money on recruitment new human resources. Thus, the organisations can channelize their human resources towards other significant areas like manufacturing and marketing. This means employee retention encourage organisational performances.This is evident from the fact the Telegate has remained successful in providing telephone directory services in Germany, Spain and Italy. The company has succeeded in retaining employees and aligning them with its business targets. Thus, employee it can be inferred from the discussion that employee retention boosts performances in organisation.

The research throws light on training and employee retention but fails to cover concepts like motivation and leadership, both of which are important in achieving employee retention. The theoretical framework studied over here in training and development, which is a important aspect of HRM. The research obtain should cover leadership and motivation to enable delving into the two concepts of employee training and retention.

Figure 1: Conceptual framework

(Source: Kim2014)

The following framework analyses the employee training, upgrading skills and links the particular actions to the motivation of the employees. Motivation thus forms an important part in the overall productivity process of the organization.

Research methodology generally comprises of the different types of the methodological tools that are used by the researchers while the conduction of the particular research. The following provides a systematic approach to describing the exploring of the particular research topic using the different types of precise methods. The methodology part of the research helps to predict the particular research phenomenon by using the various kinds of tools like philosophical stances, approaches to the research, justification for using the particular kinds of researches in accordance to the topics of the research. The methodology chapter is thus one of the most important part in the lead up to the total research.

The following research will use the likes of the deductive research approach for this particular research. The justification for using the following research approach has been provided in the following chapter accordingly. The mentioning of the following research elements is necessary for the success of the research as it helps it to be successful in nature.  

The following research will use the deductive research approach to complete the research. There is a clear and strong justification for the selection and the use of the particular research approach. Deductive Approach helps the researcher to test the formulated hypothesis on whether training and development opportunities provide competitive advantage to the managements of the organization to retain the employees. Apart from this the particular research will help the researcher to relate the research to the different models and theories of the particular research topic. The use of deductive approach will be helpful for the researcher in this regards as use of any other kind of approaches will not be suitable in such a case. The objectives of the following research to find out the importance of the training and development method and the ways to achieve the method is only possible by virtue of use of the particular approach. The use of secondary data in this research is also relevant to the Deductive Approach.

Literature Review/Theoretical Framework

Apart from this the particular research will be using the descriptive research design as it will help to clarify the formulated hypothesis much easily and will also help to clarify the research design. The use of this particular design will help to get a clear and transparent understanding of the training and development process and its impact on the employees of Telegate and will also help to determine the future occurrences of the particular research rationale.

The particular research will use the qualitative data to complete the findings of the research. The qualitative study of the research will be based on the theoretical study of the different articles and the analysis of the different frameworks and theories related to the following research. Apart from this the most important part of the following research is the use of both the primary along with the secondary data. The primary sources of data will be collected through an online questionnaire survey where a set of selected questions will be provided to the employees and the officers of the organization in their personal mails. These set of questions will be answered by them and the responses will again be submitted to the mail address of the researcher. On the other hand the secondary sources will be based on the different types of the earlier sources like earlier researches on the same topic, books, journals and literary sources on the following kinds of articles and many more such similar sources. The use of the following data will help the research to be valid as because it will be based on sources that are tried and tested accordingly.

The above discussion clearly analysed the relationship between employee training and retention. The proposed results will also cover motivation and leadership in organisations with respect to these two concepts. The research will be analysing the different causes of the organizational training procedures and their impact on the employees. The mentioned process of using both the primary and secondary data for the particular analysis is one of the most important basis for the following analysis and will play a crucial role in the research.

References

Albrecht, S.L., Bakker, A.B., Gruman, J.A., Macey, W.H. and Saks, A.M., 2015. Employee engagement, human resource management practices and competitive advantage: An integrated approach. Journal of Organizational Effectiveness: People and Performance, 2(1), pp.7-35.

Anitha, J., 2014. Determinants of employee engagement and their impact on employee performance. International journal of productivity and performance management, 63(3), p.308.

Armstrong, M. and Taylor, S., 2014. Armstrong’s handbook of human resource management practice. Kogan Page Publishers.

Babakus, E., Yavas, U. and Karatepe, O.M., 2017. Work engagement and turnover intentions: Correlates and customer orientation as a moderator. International journal of contemporary hospitality management, 29(6), pp.1580-1598.

Bell, B.S., Tannenbaum, S.I., Ford, J.K., Noe, R.A. and Kraiger, K., 2017. 100 years of training and development research: What we know and where we should go. Journal of Applied Psychology, 102(3), p.305.

Cummings, T.G. and Worley, C.G., 2014. Organization development and change. Cengage learning.

Dhar, R.L., 2015. Service quality and the training of employees: The mediating role of organizational commitment. Tourism Management, 46, pp.419-430.

Dineen, B.R. and Allen, D.G., 2016. Third party employment branding: Human capital inflows and outflows following “Best Places to Work” certifications. Academy of Management Journal, 59(1), pp.90-112.

Ford, J.K. ed., 2014. Improving training effectiveness in work organizations. Psychology Press.

Høyer, A.S., Vignoli, G., Hansen, T.M., Keefer, D.A. and Jørgensen, F., 2017. Multiple-point statistical simulation for hydrogeological models: 3-D training image development and conditioning strategies. Hydrology and Earth System Sciences, 21(12), p.6069.

Kim, J.H., 2014. Employee poaching: Why it can be predatory. Managerial and Decision Economics, 35(5), pp.309-317.

Larsen, H.H., 2017. Key issues in training and development. In Policy and practice in European human resource management (pp. 107-121). Routledge.

Leonidou, L.C., Fotiadis, T.A., Christodoulides, P., Spyropoulou, S. and Katsikeas, C.S., 2015. Environmentally friendly export business strategy: Its determinants and effects on competitive advantage and performance. International Business Review, 24(5), pp.798-811.

Lovelock, C. and Patterson, P., 2015. Services marketing. Pearson Australia.

Nkosi, S.M., 2015. Effects of Training on Employee Commitment, Retention and Performance: A Case Study of a Local Municipality in SouthAfrica. European Journal of Business and Management, 7(15), pp.104-108.

Noe, R.A., Wilk, S.L., Mullen, E.J. and Wanek, J.E., 2014. Employee Development: Issues in Construct Definition and Investigation ofAntecedents. Improving Training Effectiveness in WorkOrganizations, ed. JK Ford, SWJ Kozlowski, K. Kraiger, E. Salas, and MS Teachout (Mahwah, NJ: Lawrence Erlbaum, 1997), pp.153-189.

Othman, S.Z. and Lembang, S.A., 2017. What Attract Gen Y to Stay in Organization? HR Practices, Organizational Support or Leadership Style. International Review of Management and Marketing, 7(2), pp.1-9.

Pollock, R.V., Jefferson, A. and Wick, C.W., 2015. The six disciplines of breakthrough learning: How to turn training and development into business results. John Wiley & Sons.

Terera, S.R. and Ngirande, H., 2014. The impact of rewards on job satisfaction and employee retention. Mediterranean Journal of Social Sciences, 5(1), p.481.

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