CHAPTER-1

INTRODUCTION

1.1 Abstract:

The purpose of this research is to determine factors that impact training in IT Company
and how they affect employee performance. The study observe that how training needs
establish, how effective the training methods of IT Company and their influence of
employee performance. Literature review revealed that training is one of the key element
that help employees to gain knowledge and confer motivation and satisfaction. Training
enhances skills and abilities of employees. Through training employee learn teamwork
and integrity. On the other hand, it also contributes positively towards development of
employee‟s performance along with other factors. The research conclusively finds that
training and motivation affect the performance of employees in IT Company. This is
indicating by the training framework which is designed to achieve organizational
strategic goals. Data was collected from IT Company employees in Bangalore. Random
sampling techniques are used by researcher to gather responses from 105 employees
through questionnaire. Analysis is done by regression and correlation technique. The
findings of research have shown that the factors of training have positive impact on
employee performance of ITCompany

Key words: training, motivation and performance

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1.2 Introduction:

Employee performance management is a process that companies use to ensure their

employees are contributing to producing a high quality product or services. Employee
performance management encourages the employee to get involved in the planning for
the company, and therefore anticipates by having a role in the process the employee will
be motivated to perform at a high level. Performance is the ratio of output to input.
Performance is a process of continuous improvement in the production and supply of
quality output and service through efficient and effective use of inputs, with emphasis on
teamwork for the betterment of all. Training is needed to increases the performance of
employees, if employees are trained they will be well aware of their job specifications,
skill needed to perform job well and would be able to use new technology. Then their
motivation level will be increased, which will also be beneficial in enhancement of
performance, working environment and management behavior will also result in the
maximized performance which will be help to achieve the organization goals effectively.
Competitiveness is based upon the concept of performance, which is very closely linked
to that of training. As every organization throughout the world wants to compete against
their competitors, they must increase their performance to do so. When employees are
given training they feel some betterment in their own performance and hence work more
hard to achieve personal and organizational goals. Training can be defined as: training is
a learning process that involves the acquisition of knowledge, sharpening of skills,
concepts, rules, or changing of attitudes and behaviors to enhance the performance of
employees. This research will be helpful to understanding the importance of training and
the effect of training on performance which is positive. Research will also throw light on
other factors of performance such as motivation, working conditions, management
behavior and technology. Research will suggest the better way of training to management
and also suggest that organization must give importance to training of employees and
training must be for sufficient duration.

2
Definition:

EMPLOYEE PERFORMANCE:

Abilities and skills are effectively understood to complete and up to date job description
for the position. Performance review process typically takes place on the annually basis
but it can schedule more frequent manner. It is highly depended whether it is classified as
professional staff. its also include labor contract, contract establishment process
.Supervisor play tremendous role in the employee performance its give feedback. Personal
relationships in the origination has large impact on the promotion and more firing
decisions where personal relationship are more still important today. Some originations try
to systematically judge worker performance to increase the productivity. There are four
major classes measure the productivity likes.

••• Production Counts

â• Personnel Data
â• Judgmental Methods
••• Production Counts

There are some constraints on performance which are as follows:

â• Lack of proper equipment and skills

••• high work load
â• insufficient working environment
â• insufficient more clerical hold
â• non-attendance of key human resources
••• insufficient routine of managers
â• undecided objectives or performance standards
â• insufficient statement within the organization
â• Pressure from co-workers to limited presentation
â• Lack of ability to get things done more

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Successful Employees Achieve Goals

One of the most important factors in employee performance is to achieve goals.

Successful employees meet deadlines, make sales and build the brand via positive
customer interactions. When employees do not perform effectively, consumers feel that
the company is apathetic to their needs, and will seek help elsewhere. Employees who
perform effectively get things done properly the first time. Imagine if the person who
created customer reports was always late in completing them. The client services
department would always be waiting, looking unprofessional, and perhapsincompetent.

Create a Positive Work Environment

When people are doing their jobs effectively, morale in the office gets a boost.
Employees, who aren't motivated to get the job done as indicated, can bring down an
entire department. It is important to foster a positive, energetic work environment.
Cultivate a positive work environment by rewarding high-performing employees with
incentives and group recognition during meetings. High-performing offices also attract
quality talent in recruiting, because the office feels alive and that it's working toward
goals.

Measure Employee Growth

Using employee evaluations on a consistent basis helps employees see their growth, so
that they can feel good about making progress over time. It also helps them set new goals,
keeping the energy in the office high. Rewarding high-performing employees often
motivates these employees to exceed their efforts from what it was during the previous
period. It's one thing to have effective employees doing a great job; it's better to cultivate
that strength so that it grows into something bigger and that benefits the entire department
or company. Watching employees grow shows the potential they have for advancement
andleadership.

Establish Team Trends

When your employees are not performing well, it negatively affects productivity and

4
ultimately, the bottom line. Don't make the mistake of thinking that poor performance
indicates a poor employee. Look for common trends in which groups of employees are
succeeding and where there are deficiencies. Smart managers evaluate the deficiencies to
see if it is a talent issue or a management and development issue. This can affect team
training strategies, as well as future recruiting strategies. Ultimately, good employees are
productive, which creates great working environments and increases overall productivity.
Evaluations help you establish where you can help employees grow so that they can do
even better.

Training

As one of the major functions within HRM, training has for long been recognized and
thus attracted great research attention by academic writers (sees e.g. Gordon 1992, Beard
well, Holden & Claydon 2004). This has yielded into a variety of definitions of training.
For example, Gordon (1992, 235) defines training as the planned and systematic
modification of behavior through learning events, activities and programs which result in
the participants achieving the levels of knowledge, skills, competencies and abilities to
carry out their work effectively. It is worth nothing that, as researchers continue with
their quest into the training research area, they also continue their arguments into its
importance. Some of these researchers argue that the recognition of the importance of
training in recent years has been heavily influenced by the intensification of competition
and the relative success of organizations where investment in employee development is
considerably emphasized (Beard well et al. 2004). Related to the above, Beard well et al.
(2004) add that technological developments and organizational change have gradually led
some employers to the realization that success relies on the skills and abilities of their
employees, thus a need for considerable and continuous investment in training and
development

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 Benefits of training: The main purpose of training is to acquire and improve
knowledge, skills and attitudes towards work related tasks. It is one of the most
important potential motivators which can lead to both short-term and long-term
benefits for individuals and organizations.There are so many benefits associated
with training.Cole (2001) summarizes these benefits asbelow:

High morale — employees who receive training have increased confidence and
motivations;

Lower cost of production training eliminates risks because trained personnel are
able to make better and economic use of material and equipment thereby reducing
and avoiding waste;

Lower turnover training brings a sense of security at the workplace which in turn
reduces labor turnover and absenteeism is avoided;

Changemanagement—traininghelpstomanagechangebyincreasingtheunderstanding and
involvement of employees in the change process and also provides the skills and abilities needed to
adjust to newsituations;

Provide recognition, enhanced responsibility and the possibility of increased pay and
promotion;

Help to improve the availability and quality of staff. Most of the benefits derived from
training are easily attained when training is planned. This means that the organization,
trainers and trainees are prepared for the training well in advance.

According to Kenney & Reid (1986) planned training is the deliberate intervention
aimed at achieving the learning necessary for improved job performance. Planned
training according to Kenney and Reid consists of the following steps:

• Identify and define training needs

• Define the learning required in terms of what skills and knowledge have to be
learnt and what attitudes need to be changed.
• Define the objectives of the training
• Plan training programs to meet the needs and objectives by using right

6
 combination for training techniques and locations.
• Decide who provides the training
• Evaluate training.

Training is teaching, or developing in oneself or others, any skills and knowledge or

fitness that relate to specific useful competencies. Training has specific goals of
improving one's capability, capacity, productivity and performance. It forms the core of
apprenticeships and provides the backbone of content at institutes of technology (also
known as technical colleges or polytechnics). In addition to the basic training required for
a trade, occupation or profession, training may continue beyond initial competence to
maintain, upgrade and update skills throughout working life. People within some
professions and occupations may refer to this sort of training as professional
development. Training also refers to the development of physical fitness related to a
specific competence, such as sport, martial arts, military applications and some other
occupations.

On the job:

On-the-job training is an important topic of human resource management. It helps develop

the career of the individual and the prosperous growth of the organization.On

the job training is a form of training provided at the workplace. During the training,
employees are familiarized with the working environment they will become part of.
Employees also get a hands-on experience using machinery, equipment, tools, materials,
etc. Part of on-the-job training is to face the challenges that occur during the performance
of the job. Executing the training on at the job location, rather than the classroom, creates
a stress-free environment for the employees.

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 !n - the-j• b

The on-the-job training method takes place in a normal working situation, using the
actual tools, equipment, documents or materials that trainees will use when fully trained.
On-the-job training has a general reputation as most effective for vocational work. It
involves employees training at the placeof work while they are doing the actual job.

Special lectures: This is also called as classroom training wherein the employees are
given lectures about the job requirements and the necessary skills required for
implementing the job. There is generally a classroom or a workshop wherein the
complete job knowledge is given to the workers by the experts or specialists from the
professional institutes. The main purpose of this training is to make the employees well
informed about their job roles and discussing their queries arising out of thelectures.

Off the job training:

Off-the-job training method takes place away from normal work situations implying that
the employee does not count as a directly productive worker while such training takes
place. Off-the-job training method also involves employee training at a site away from
the actual work environment. It often utilizes lectures, seminars, case studies, role
playing, and simulation, having the advantage of allowing people to get away from work
and concentrate more thoroughly on the training itself. This type of training has proven
more effective in inculcating concepts and ideas [citation needed]. Many personnel
selection companies offer a service which would help to improve employee competencies
and change the attitude towards the job. [citation needed] The internal personnel training
topics can vary from effective problem-solving skills to leadership training.

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Special lectures:

This is also called as classroom training wherein the employees are given lectures about
the job requirements and the necessary skills required for implementing the job. There is
generally a classroom or a workshop wherein the complete job knowledge is given to the
workers by the experts or specialists from the professional institutes. The main purpose of
this training is to make the employees well informed about their job roles and discussing
their queries arising out of the lectures.

Vestibule Training: This type of training is specifically given to the technical staff,
office staff and the employees who learn the operations of tools and equipment
assembled at a place away from the actual work floor.

This type of training is conducted to give the real feel to the trainees, which they would
be experiencing at the actual plant.

Case Studies:

Under this method, the trainees are given the situation or a problem in the form of a case
study, and are required to solve it as per their learning from the training program.

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 Role playing:

This type of training is essential in case of customer services. Under this, the trainees
assume roles and enact as per the given situations. It is also called as socio -drama or
psycho-drama, wherein the employees act as if, they are facing the situation and have to
solve it spontaneously without any guidance. Trainees are provided with some
information related to the description of the roles, concerns, objectives, responsibilities,
emotions, and many more. Following is provision of a general description of the situation
and the problem they face. The trainees are there after required to act out their roles. This
method is more effective when carried out under stress-free or alternatively minimal-
stress environments so as to facilitate easier learning. It is a very effective training
method for a wide range of employees for example those in sales or customer service
area, management and supportemployees

Management Games:

Under this method, the trainees are divided into groups and then they are presented with
the simulated marketplace or the situations, wherein they are required to apply their
learning and solve the problems accordingly.

Motivation:

Motivation is the basic psychological process. None would deny that it is the most
important process in the more micro approach to organizational behavior. Many people
equate the causes of behavior with motivation. Causes of behavior are much broader and
more complex than can be explained by motivation alone. Hence motivation should never
be under-rated. Along with Perception, Personality and Learning, Motivation is a very
important process in understanding a behavior. It must be remembered that, motivation
should not be taken for granted as the only explanation of behavior. It acts and interacts
in conjunction with other mediating process and the environment. It must also be
remembered that like any other mediating processes or environment, motivation cannot
be seen. Motivation is invisible. What all can be seen is the behavior. Motivation is the
hypothetical construct that is used to help explain behavior. Hence it should never be
equated with the behavior. The meaning of motivation: - Today virtually, all including
laymen and scholars have their own definition of motivation, containing one or more of
10
 the following terms: Desires Wants, Wishes, Aims, Goals, Needs, Drives, Motives and
Incentives. Technically motivation can be traced to the Latin word “Movers” that means
„to move‟. Definition: - A motive is an inner state that energizes, actuates, activates or
moves (Hence motivation), that directs or channels the behavior towards thegoal

There are two primary types of motivation:

4 Intrinsicmotivation
4 ExtrinsicMotivation

Extrinsic motivation:

Extrinsic Motivation is geared toward external rewards and reinforces. Some

examples of external rewards are money, praise, awards, etc. Some examples of
external reinforces are policy and procedures, disciplinary action, speeding tickets,
boundary-setting,etc.
Extrinsic Motivation is said to be less effective because it comes from outside the
person. External rein forcer‟s, for instance, are usually in the form of control. Laws
are there for social control Policies and procedures are there for internal controls and
regulations.
Household rules are in place to provide limits and consequence for stepping over the line.
According to Herzberg‟s Two-Factor Theory, many external rewards (E.g, salary, job

security, benefits) don‟t really motivate but if they‟re not there the person can become
de- motivated. Herzberg calls these “hygiene factors”.

Intrinsic motivation:

Motivation is geared toward internal rewards and reinforces. We can celebrate our
success when we do well and we can beat ourselves up when we don‟t. Some
examples of internal rewards are enjoyment, achievement, a sense of competence.
Some examples of internal reinforce are “Should”, “Musts”, and “Ought‟s”, a guilty
conscience, and Toxic Shame. Internal rewards are associated with high academic and
occupational achievement. It seems motivation is strongest when we do it for the fun
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of it...or for the feeling of accomplishment. Maybe it‟s a hobby, or a career path, or our
purpose inlife.

Motivation factor:

Motivation factors are needed in order to motivate an employee to higher

performance, Herzberg also further classified our actions and how and why we do
them. For example, if you perform a work related action because you have to then that
is classed as movement, but if you perform a work related action because you want to
then that is classed as motivation. The motivation factors are Achievement,
Recognition, Work itself, Responsibility, promotion andGrowth.

Comparison of monetary and non-monetary incentives

The purpose of monetary incentives is to reward associates for excellent job performance
through money. Monetary incentives include profit sharing, project bonuses, stock
options and warrants, scheduled bonuses (e.g., Christmas and performance-linked), and
additional paid vacation time. Traditionally, these have helped maintain a positive
motivational environment forassociates.

Monetary incentives can be diverse while having a similar effect on associates.

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 CHAPTER- 2
Research methodology
2.1 Methodology:

This study aims to identify the impact of training and motivation on employee‟s
performance and determines the other factors that affect the performance. The prime
focus of this study is to carry out to identify the effect of training on performance of
employee. The contribution of other factors is enhancing the performance of employee s.
to measure the relationship and identify the impact of training on employee‟s
performance, some statistical tools or techniques are applied on data like correlation and
regression analysis through SPSS software. The research methodology is the process
followed to achieve the aims and objectives of the research. The aim of this chapter is
give an outline view of the process that will be used in this research. The chapter
illustrates the research methodology. The chapter elaborates the research methodology
using the researchprocess.

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14
Research design:

researchtechniques
Research design or research methodology of any research consists of identifying the
following three key factors

1. First, identify research philosophy on which the research will bepremised.

2. Then, select anappropriate research approach for theory and or building.
3. Finally, select research techniques for data collection and dataanalysis.

The final outcome of the research depends highly on there search design.Thereforeitis of
paramount importance to develop the most appropriate research design for the particular
researchstudy.

3.1 Need for thestudy:

The study shows that training and motivation has positive impact on performance of
employees. All the organization that wants to enhance their employee performance

should focus on training as it also motivate employees to achieve higher performance

levels.

2.2. Statement of theproblem:

How training influences the performance of employees in the organization

2.3 Objectives of the study andhypothesis:

The main objectives of this research are as follows.

2.3.1 To know the impact of training and motivation on performance of

15
 employees in the organizations
2.3.2 To examine the role of
training and motivation in enhancement of employees
performance
2.3.3 To gauge the correlation between training and performance of employees

2.3.4 To get the results in meaningful way that can help the organizations in future

Hypothesis:

The hypotheses are developed in this research as follows.

Hl: Training increases the performance of employees.

H2: Motivation increases performance of employees.

2.4 Limitations of thestudy:

The study did not establish the relationship between the methods of delivering training
and training effectiveness. For establishing relationship longitudinal data must be
collected and studied over the long term to determine whether there is a linkage between
training and improved businessperformance.

Data was collected on the basis of one-time. This limits our understanding on transfer of
training, which occurs in varying period of times.

From the present study, benefits of an effective training program cannot justify the costs
oftraining.Therefore,thereisneedforutilityanalysis.

This study only measures employees‟ perception towards training effectiveness. Data
collected from a single source might be affected by factors associated with social
desirability.

The respondents of this study were the employees in IT sector and they were chosen by
using a convenient sampling technique. So the nature of this sample may decrease the
ability of generalizing the results of this research to other IT sectors.

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 3.1 Data collection and sampledesign:

The study limited to those IT Company employees in the Bangalore. In data collecting, only
primary data was collected during this study. Primary data is data collected directly from first-
hand experience. The only primary source of data employed in the study is the questionnaire. A
structured questionnaire comprising of 20 questions is designed and administered to all
employees in the IT Company. This questionnaire included some of the factors identified
from the previous research studies and literature for their references. And factors
affecting the impact of training and motivation on performance of employees this
questionnaire included some of the factors identified from the previous research studies
and literature for their references. Managers have been asked to indicate the relative
effect of those factors using a simple 5 levelscale.

Research validity and reliability:

Validity refers to the extent of accuracy of the results of the study. Validity of the results
can either be internal or external. Internal validity refers to the analysis of the accuracy of
the results obtained. External validity refers to the analysis of the findings with regards to
whether they can be generalized. Where measurements are used,

There exist different types of validity;

Face validity: which describes the extent to which the measure used is reasonably
capable of what is due tomeasure.

Convergent validity: which described the extent to which the measurement used can
bring similar results if used elsewhere usedelsewhere.

Divergent validity: This describes the extent to which one construct is distinguished
fromanother.

Reliability refers to the stability of the measure used to study the relationship between
variables (Ghauri & Grönhaug 2005, 81). The questions in the questionnaire were
designed taking into consideration the issues related to the problem and goals of the study
and theories on the subject it is therefore believed that the responses are results from the
study are reliable. Respondents for the questionnaire were chosen from the IT Company
17
employees in the Bangalore. Sampling can be defined as the method of selecting a
representative sample from apopulation.

2.5 ConceptualFramework:

The following variables have been identified and labeled as independent variables and
Dependent variables. There are some other variables or factors that affect the
performance of employees are as givenbelow.

Training

Independent variable
L
Performance

Dependent variable
Motivation

Independent variable

Performance

Employee performance is defined as the outcome or contribution of employees to make

them attain goals(Herbert , john and lee 2000) while performance may be used to define
what an organization has accomplished with respect to the process, results and success of
business. Performance as the achievement of specific tasks measured against
predetermined or identified standards of accuracy, completeness, cost and speed.
Employee performance can be improvement inproduction.

Motivation

The motivation is very important in influencing the employees to accomplish individual

as well as the organizational goals. This inner drive motivates the employees to form and
exhibit the purposive behavior to achieve specific, unmet needs. This little
encouragement on the part of organization enable them to accomplish their goals
efficiently by acknowledging employees on their work and effort, providing them good
18
work environment, considering their needs and forming pleasant job design. The
motivation increasesperformance.

Training

Training is the independent variable in this research. Literature review suggests that
training of employees has a deep effort on the performance of employees. There is direct
relationship between training and performance i.e. training increases the performance.

Training is a type of activity which is planned, systematic and it results in enhanced level
of skill, knowledge and competency that are necessary to perform work effectively
(Gordon 1992)

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CHAPTER – 3
REVIEW OF LITERATURE
LiteratureReview:

Becker(l975)defined general training as the type of training that raises performance by

equal amounts in the firm where it was provided and in other firms. In contract, specific
training only raises performance in the firm providing it.

Puffers and cohen 1984 when the firm specific skills are needed to conduct work
effectively, the firm must make training investment so worker can develop specific skills.
Once workers obtain the firm specific skills needed for effectiveness on the job. The
employer must pay wages reflecting worker higher performance level. Often this is
accomplished by promoting the employees on a career ladder as each new set of specific
skill is attained.

Employee performance, according to Mathis and Jackson(2009,p.324), is the quality,

quality and timeliness of the output given by the employees as well as the efficiency and
effectiveness of the work done (as cited in tinofirei,p.12; Thao and Hwang, (20l5,p.2).

In contract, however, Aguinis(2009)argued that performance is related to the behaviors

themselves, not to the outcomes of employees behaviors‟ and performance is about what
employees do, not about what they produce or their work outcomes(as cited in Onchokaet
al.,2015,p. 138). employee performance is one of the key factors that affect the overall
The major premise of performance education and training is that troubled program such
as those have cited, have relied primarily on formal management and education and
experiential learning (on the job) to address the questionabove.

Identifies if deficiencies in performance occur it does not necessarily follow that the
manager should take corrective action. It is important to put training in to perspective. It
Training is costly, rather judge training by its contribution to performance, and where
training performance is function of skills. (Annalisa Cristini, 2004)

Researchers identifies that employee training is a learning experience that seeks relatively
permanent change in employees that there improve job performance. Thus training

20
involves changing skills, knowledge, attitude, or behavior. Determination of the
organization need, the work to be done and skill necessary to complete this work, training
program should naturally. Once identify deficiencies lies, have a grasp of the extent and
nature of the training needs (James G. Maxham, 2008)

Muhammad Ehsan Malik (2011) tells that the performance of male and female are
equally contributed towards the achievement of a goal. Both male and female are equally
responsible and the responsibility of both have equal importance in the organization. The
employee‟s performance directly influences the organizational effectiveness. Man and
woman should motivate equally. Eliminate the inequality and give equal importance to
both. The employee‟s performance increased when they involved in decision making of
theorganization

(Syed Umer farroque et‟a1 2010).According to the author point of view this study is to
show that rewards are the major role to increasing the performance of the organization.
They gather data through different scenarios like through questionnaire. The aim of the
study is explaining the variance of variable like payments promotion and benefits. The
author interested to gather the data through question are and direct interaction. Above all
the promotional factor directly effects the motivation in the organization and works of the
employees.

(Qurat-ul-aan manzor et‟al 20l2)The main purpose of the paper is to check and identify
of the factors which effects more on the employee motivation and check the relationship
between the organizational effectiveness and hypothesis is build on the basis of the this
relationship. This study is mainly two factors one is the motivation and other is the
performance. The origination is making design on the basis of the model. Motivation
level are increasing with all this organization were more effective as well. it‟s also able to
enhance the empowerment of the rules and policies as well. Is help to fulfillment of the
growth in the employee‟ssatisfaction?

(Saif ullah malik et‟al 2012).the author says employee‟s plays more important factors in
the success and failure in the organization. In the education sectors its effect more on the
performance. The level is increasing with it. its creates more in the students as well. if the
motivation level was increasing if organization stands on every steps. The performance
was increasing. Motivation level is the directly and positive relationship with the
21
employee performance and the organization commitments. Organizations spent more on
the training and enhancing capabilities of the employee‟semployee performance.

(Dauda Abdulsalam et‟al 2012) .According to the author study search about relationship
between motivation and performance are in the on hand. Research performance and
motivation factor on the other end. They gather a data on different scenario and different
relationship and motivational factor on the both sides Positive and negative. Effective
employee performance affects the academic staff and it‟s able to lead the realization of
the broad objectives. All over the universities have main prime objective is to impact
knowledge through research and teaching and other community service. Performance not
just base on function of academics it‟s also based on the importance of the ability as well
andmotivation.

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 CHAPTER -4
COMPANY AND INDUTRY PROFILE
Information Technology (IT) services companies, as the name suggests, provide IT
services such as software development, software maintenance and support, product
development, and other related services to domestic and overseas clients. 70'7o of all the
IT companies in India are in the Small and Medium Enterprises (SME) sector. For the
purpose of this study an IT services company in small scale sector would be typically 40
to 200 people strong with turnover ranging from Rupees l crore to Rupees 20 crore. The
IT Industry eco-system in India comprises of large scale tier 1 and tier 2 companies, a
number of medium size companies and a plethora of small scale companies and startups.
The industry has played a key role in transforming India‟s image from a government
controlled economy to a global player in providing world class technology solutions and
business services. People are the most important asset of any service based organization.
People Management, therefore, attains special importance in services companies. The IT
industry typically suffers from high attrition rates across the segments. The attrition rates
are more pronounced in small scale IT service companies. High attrition adversely
impacts the continuity of project staffing and project deliveries, consistency of quality
and productivity. Uncertain and unpredictable schedules and quality of delivery makes
customers wary of doing business with these companies. Large organizations have
adopted Human Resource Management (HRM) to improve their competitive position
both nationally and internationally. Over the past two decades, Strategic HRM (SHRM)
has gained importance as a mechanism to provide sustainable competitive advantage to
organizations.

Company profile:

Companies in this industry provide services such as software support, computer systems
design, and data processing facilities management. Major companies include Cognizant,
DXC Technology, and the technology consulting arm of IBM (all based in the US), along

23
 with Accenture (Ireland), Cap Gemini (France), HCL Technologies (India), Infosys
Technologies (India), Tata Consultancy (India), and Wipro (India).

Worldwide spending on IT services is about $993 billion annually, according to Gartner.

Top exporters of computer services include the EU, India, the US, Singapore, and Israel,
according to the World Trade Organization. A digital divide regarding access to and use
of information and communication technologies hinders Africa's participation in exports
of IT services. The US information technology (IT) services industry includes about
142,000 establishments (single-location companies and units of multi-location
companies) with combined annual revenue of more than $410 billion.

SWOT Analysis

Strength

• Costadvantage
• Breadth of serviceoffering
• Ease ofscalability
• Quality and maturity ofprocess

Weakness
• High rateattrition
• Excessive dependence on USA forrevenues
• Decreasing competitiveadvantage

Opportunity

• Great scope for productinnovation

Threat

• Increasecompetition
Global economicslowdown

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 Chapter – 5
Data Analysis And Interpretation

Data analysis:

Table1

Age distribution of respondents

VAR00002

Frequency Percent Valid Cumulative

Percent Percent
Valid L 71 67.0 67.0 67.0
2 25 23.6 23.6 90.6
2. Age I .9 .9 91.5
3 6 5.7 5.7 97.2
4 3 2.8 2.8 100.0
Total 100 100.0 100.0
Interpretation:

The data obtained from the questionnaire, shown in table 2, reveals that 7 I respondents
between 21 to 30 years of age representing 679a, formed the majority and 25
respondents between 31 to 40 years of age representing 239c respectively. 6
respondents each between 41to 50 years representing 5.7%and 3 respondents each
between Above 51 years representing 2.89r respectively. The research reveals that the
IT Company employs mainly young and middle age people.

21-3oyears
@ 31-40years
6 41-50 years
@ Aoove 51 years

25
Table2
Education back ground of respondents

VAR00003

Frequenc Percent Valid Cumulative

y Percent Percent
Valid 1 38 35.8 35.8 35.8
2 30 28.3 28.3 64. 2
3 30 28.3 28.3 92.5
3. Education 1 .9 .9 93.4
4 7 6.6 6.6 100.0
Total 100 100.0 100.0
Interpretation:

It is evidence that the respondents from the IT Company hold a range of educational
qualifications falling between under graduate and post graduate level. Of the
respondents from the IT Company. 23.89r had on education from the undergraduate,
409a had on education from the post graduate, 29.59c had on education from the
diploma level and only 6.7% had education from the other level. The majority of the
respondents (40%) were post graduate and (29.5'fr)diploma

UNDER GRADUATE
POSTGRADUATE
4 DIPLOMA

26
Table 3 Training scheule

Training schedule Frequency Valid percent

Quarterly 24 24'fo
Every six months 36 35.29o
Once a year 23 21.99•
Every two years 7 6.79c
No specific schedule 10 l l.4%
Total 100 100
Interpretation:

The schedule of employee training at the IT Company as reported in the results above
indicates that the majority of the respondents represented by 35.2% were under every
six months training schedule. This means that they were scheduled for training on
quarterly basis. The other 21.99c of the respondents were seen to participate in training
once a year, 24.8% participated quarterly, and I I.49r were under no specific training
schedule. This means that they had no particular training schedule whereby they would
be required to participate I training anytime as planned by the HRM team of the
Company.

Ouarterty
Every six months
g once ayear
Every two years
No specific schedule

27
Table4:

Have you had any form of training since you joined the organization?

Valid Cumulative
Frequency Percent
Percen Percent
t
Vali l 96 90.6 90.6 90.6
d 1.Have you had any formof
training since you joined the I .9 .9 91.5
organization ?
2 9 8.5 8.5 100.0
Total 106 100.0 100.0

Interpretation:

The summary of descriptive statistic of the variables is given in table 7. The variable
measured with the yes or no questions. The majority of respondents are there under go
with thetraining.

Yes: 93 employees

No:Only12employees

93 t88 6X)

12 (11 4%)

No

20 40 60 80

28
Table 5:
From the following training methods under which training method you have trained?

Cumulative
Frequency Percent Valid Percent Percent
Valid l 53 50.0 50.0 50.0
2 16 15.1 15.1 65.1
2.From the following
training 1 .9 .9 66.0
methods under which
training method you have
trained ?
3 36 34.0 34.0 100.0
Total 106 100.0 100.0
Interpretation:

The summary of descriptive statistic of the variables is given in table 8. All variables
were measured in multiple opinion of statement with I being on the job and off the job,
both. And the Table 8 above presents the responses given by the respondents on the
training methods under which training method you have trained they participated. The
findings indicate that the majority of the respondents on the job(46.7%)were contented
with the quality of the training programmers for which they participated. This result
indicates clear most of the employees trained in on the job trainingmethod.

On thejob 49 (46 7%J

Both
0 10 20 30 40

29
Table 6:
Which of the following factors motivates you most?

Cumulative
Frequency Percent Valid Percent Percent

Valid 1 26 24.5 24.5 24.5

2 29 27.4 27.4 51.9
2. Which of the following
.9 .9 52.8
factors motivates you
most ?
3 18 17.0 17.0 69.8
4 9 8.5 8.5 78.3
5 23 21.7 21.7 100.0
Total 100 100.0 100.0
Interpretation: Table 8 above presents the responses given by the respondents
on the factors motivates to the employees for which they participated. The findings
indicate that the majority of the respondent are I34.3to) promotion were motivates the
employees for the during perform the job will in thecompany.

@ Salary
increase @
Promo0on
G Leave
fi Motivaaonal
talks @
Recogn*ion

30
Table 7

Gender composition of respondents

Descriptives
95% Confidence
Interval for
Std. Std Mean
N Mean Deviati . Low Upp
on Err er er
or Boun Boun
d d
VAROOOO 1 96 1.51 .503 .051 1.41 1.61
1 2 9 1.11 .SSS .111 .85 1.37
Total 105 1.48 .502 .049 1.38 1.57

The descriptive table providing mean (1.48) and standard deviation (0.502) and 959a
confidence interval (1.38 and 1.57)

ANOVA

Sum of df Mean square F Sig

squares

Gender Between Group 1.312 1 1.312 5.432 .022

Within Group 24.878 103 .242
Total 26.190 104

Interpretation:
The table shows that output of ANOVA analysis and whether there is a statistically
significance difference between group of means. We can see that the significance
value
0.022 (i.e., p=0.022), which is below 0.05 and therefore, there is a statistically
significance difference thegroups.

31
Table 8:
One sample T-test:

INCOME
One-Sample Statistics
N Mean Std. Std. Error
Deviation Mean
4. Income 1 05 1.8 .764 .075
level 9

The one sample statistics shows that the results of T-Test the null hypothesis is
that the mean sample is equal to 1.89 and standard deviation is 0.764 and P-value
is 0.000 is less than tJ.05. this suggested that null hypothesis is rejected and
income level of sample is significantly different from1.89.

One-Sample Test
Test Value = 9.5
95% Confidence
Interval of the
Difference
t df Sig. (2- Mean
tailed) Differenc Lower Upp
e er
4. Income - 1 04 .000 -7.614 -7.76 -7.47
level 102.188

Table 9 AGE
One-Sample Statistics
N Mean Std. Deviation Std. Error Mean

2.Age 105 1.44 .733 .072

32
The one sample statistics shows that the result of T-Test null hypothesis is that
the mean sample is equal to 1.44 the standard deviation value 0.733 and p-value
is (0.000) is less than tJ.05. This suggested that null hypothesis is rejected and age
of sample is significantly different from1.44

One-Sample Test

Test Value
= 9.5
95% Confidence Interval
of the Difference
t Sig. (2-tailed) Mean Lower Upp
dt er
Difference
2.Age 112.732 104 .000 -8.062 -8.20 -7.92

4.1: Table 10:Correlations

Descriptive Statistics
Std.
Mean Deviation N
Performance 3.56 1.082 l tJ0

Motivation 2.75 1.479 100

Interpretation:
Table 10 provides the information about descriptive statistics of the variables. N denotes
the total number of sample which is taken for analysis. The standard deviation and
average is also shown in above table. Performance has the mean of 3.56 with standard
deviation of 1.082 .the mean of motivation 2.75 with standard

33
 Deviation 1.479
Correlations

Performance motivation
Performan PearsonCorrelation 1 .tJ34
ce sit.(2-tailed) .733
Sum of Squares and
121.848 5.610
Cross-products
Covariance 1.172 .054
N 100 I tJ0
Motivatio Pearson Correlation .034 I
n sit. (2-tailed) .733

227.562
Sum of Squares and
Cross-products 5.610
Covariance .054 2.188
100 i0O

Table11:
Regression
Descriptive Statistics
Std.
Mean Deviation N
Performance 3.44 1.091 100
Motivation 3.84 1.057 l tJ0
Training 3.5 I 1.233 100

Interpretation:
Table I l provides the information about descriptive statistics of the variables. N
denotes the total number of sample which is taken for analysis. The standard deviation
and average is also shown in above table. Performance has the mean of 3.44 with
standard deviation of 1.091. The mean of motivation 3.84 with standard deviation

34
 I.057.the mean of training 3.5 l and standard deviation is1.233.

Correlations
performance Motivation Training
Pearson Correlation Performance 1.000 .362 .267
Motivation .362 1.000 .101
Training .267 .101 1.000
Sig. (I-tailed) Performance .000 .003
Motivation .000 .152
Training .003 .152
N Performance 100 100 100
Motivation 100 100 100
Training 100 100 100

Interpretation:
Table shows the correlation between the independent and dependent variables.
According to the calculated values, performance of employees has positive correlated
with training and motivation, as tJ.362 and 0.267 respectively. On the hand, positive
correlation is found between training and motivation. It is concluded that if employees
are adequately provided training, they perform better and their performance is
increases as provenby

primer data. Training, motivation (if provided effectively) has a positive effect on
performance.

Person correlation coefficient: hypothesis testing

There are two hypotheses that are being tested:

HI: Training increases the performance of employees H2: Motivation increases

the performance of employees

35
 The table below is a summary of hypothesis testing which indicates the relation of
employees performance and the two independent variables.

Variables Person correlation Relationship

HI Training 0.362 Positive

H2 Motivation 0.267 Positive

Interpretation:

As per the relationship between the independent variables, based on person

correlation, the values of relation between independent variables in this study are less
than 0.70 indicating that correlations between each of independent variables are not too
high. But the relationship is found positive and training and motivation increases more
the performance of employees. There is direct relationship between employees
performance and both training and motivation. The hypothesis Hl and H2 areaccepted.

Model Summary

Std. Change Statistics

R Adjusted Error of R F
Mod Sig. F
Squar R the Square Chang
e1 R Change
e Square Estimate Change e dfl df2

1 .430 l 1.54
.185 .169 .995 .185 2 10 .000
6
a. Predictors: (Constant), Motivation,Training

b. Dependent Variable:Performance

Interpretation:
Table provides a summary output about regression statistics and number of
observations to be taken. According to above calculations, regression statistics consist
of 100 observations, in which multiple R has a value of 0.430 and R square has 0.185
36
 accordingly. The value of adjusted r square is 0.169. This calculation shows standard
error of 0.995, which is acceptable. The value of R indicates that there is positive weak
to moderate relationship among the employees performance and independent variables.
The value of R square shows that 18.5% of total variation in employee‟s performance
is explained by training and motivation. Model 1 explains 18.5' o variation is explained
by the given variables and the rest of variance is explained by the other factors or
variables which are not included in the model. so the remaining variance is
unexplained.

ANOVAa

Sum of
Model Df Mean F Sig.
Squares
Square
I Regression 22.862 2 11.431 11.546 .000'
Residual 100.986 102 .990
Total 123.848 104

a. Dependent Variable:performance

b. Predictors: (Constant), training andmotivation

Coefficients°
Unstandardi Standardi 95.0% Confidence
zed zed Interval for
Coefticients Coetficie B
Model t Sig.
nts
B Std. Beta Lower Upper
Error Bound Bound
1 1.374 .441 3.119 .002 .500 2.248
.349 .093 .339 3.767 .000 .165 .533
(Const
.206 .080 .232 2.586 .011 .048 .363
ant)

Motivat

ion

Training

37
 a. Dependent Variable: Training

INTERPETATION:
Table shows the beta values for variables and constant in the model. The value of beta
is 0.232for training and 0.339 for motivation which are independent variables. The
value of beta basically shows the expected change or increase in dependent variable for
change or increase of 1 unit increase in independent variable. It means that both the
variables training and motivation contributes towards the employee‟s performance
positively, because negative beta value is not found. The impact or influence of
training and motivation is positive on performance of employees in the ITCompany

38
 CHAPTER-6
Finding Suggestions And Conclusion

6.1 Findings

The findings reported in this study suggest that training and motivation have impact
on the performance of employees with regards to their jobs. This result is broadly
consistent with prior management literature on training and motivation. In order to
gain more specific knowledge of training and motivation from the sample companies,
different questions are presented to the respondents.
Gender composition of respondents: As shown in the table a total of 100 people
responded to the questionnaire in the study. The majority of the respondents (51.4%) to
the study were male, indicating that more male are involved in the training and
motivation on performance employees in the IT Company as compared to females
(48.69•).

Age composition of respondents: The data obtained from the questionnaire, shown in
table 2, reveals that 72.4' o respondents between 21 to 30 years of age representing
72.4%, formed the majority 21 respondents, each between 31 to 40 years of age
representing 21% respectively. 8 respondents each between 4lto 50 years representing
5.1 M and 3 respondents each between Above 51 years representing 1.99c respectively.
The research reveals that the IT Company employs mainly young and middle age
people.

Education of respondents: It is evidence that the respondents from the IT Company

hold a range of educational qualifications falling between under graduate and post
graduate level of the respondents from the IT Company. 23.89c had on education from
the undergraduate, 409a had on education from the post graduate, 29.5% had on
education from the diploma level and only 6.79c had education from the other level.
The majority of the respondents (409c) were post graduate and (29.5' o) diploma

Training schedule of employees: The schedule of employee training at the IT

Company as reported in the results above indicates that the majority of the respondents
39
represented by 35.2' o were under every six months training schedule. This means that
they were scheduled for training on quanerly basis. The other 21.99r of the respondents
were seen to participate in training once a year, 24.89c participated quarterly, and
11.49c were under no specific training schedule. This means that they had no particular
training schedule whereby they would be required to participate I training anytime as
planned by the HRM team of the Company.
The quality of training program: Table 5 above presents the responses given by the
respondents on the quality of the training programmers for which they participated.
The findings indicate that the majority of the respondents (fair is 32 and good is 38)
were contented with the quality of the training programmers for which they
participated. This result indicates clear deliverance of training content and substance to
the trainees during the training programmed. On the other hand, the 10 respondents
representing a 9.5' o indicated otherwise.
Factor motivates most of employees. Table 6 above presents the responses given by
the respondents on the factors motivates to the employees for which they participated.
The findings indicate that the majority of the respondent are (34.39r) promotion were
motivates the employees for the during perform the job will in the company.
The training methods: The summary of descriptive statistic of the variables is given in
table 8. All variables were measured in multiple opinion of statement with I being on
the job, off the job and both. And the Table 8 above presents the responses given by
the respondents on the training methods under which training method you have trained
they participated. The findings indicate that the majority of the respondents on the
job (46.7%) were contented with the quality of the training programmers for which
they participated. This result indicates clear most of the employees trained in on the
job training method.

Correlation for performance and motivation: Table 10 provides the information about
descriptive statistics of the variables. N denotes the total number of sample which is
taken for analysis. The standard deviation and average is also shown in above table.
Performance has the mean of 3.56 with standard deviation of 1.082 .the mean of
motivation 2.75 with standard deviation 1.479. As per the relationship between the
independent variables, based on person correlation, the values of relation between
40
 independent variables in this study are less than 0.70 indicating that correlations
between each of independent variables are not too high.

But the relationship is found positive and training and motivation increases more the
performance of employees. There is direct relationship between employees
performance and both training and motivation. The hypothesis H I and H2 are accepted

6.2Suggestions
Employee motivation helps keep workers satisfied and not looking for other jobs.
Employers should not ignore the importance of motivation. Unmotivated employees
who are unhappy can lead to general work complaints from employees. This in turn
can create company problems. Employer solutions for employee motivation include
both monetary and nonmonetary solutions, such as giving time off.
For example
Rewards and incentives:
Not all work offers an immediate reward for employees, but providing incentives helps
them define goals: nothing works better than rewards to encourage employees to reach
their objectives.
Promote transparency:
Being honest with your employees is the best way to promote loyalty. Let them know
about organizational plans and always keep them informed about the direction the
company is headed in. allow them to feel included in the bigdecision.
With regards to holidays and leave facility, the researcher is of the view that the
existing ones are fair enough and there is need for increase in the facility.
There is a need for motivation a high level of competence and involvement, so
manager should provide training to employees by focusing on quality objectives,
employee‟s commitment level and sustaining the momentum. It helps the employees in
understanding the challenges of future
If organizations heavily consider these suggestions, this may result in an increase in
supervisors‟ motivation to support organizational strategy and goals.

41
Provide employees motivation program and other training program for the development
towards profit making

The companies under the research should have a strong policy and programs for the
following:
â• Participative culture and participative decision making
••• Employee empowerment
â• Employee satisfaction
â• Positive attitude
â• Career advancement
Employee satisfaction survey should be conducted. Employee motivation and morale
survey should be conducted.
Training program is essential tool for developing employee‟s skills and abilities and
knowledge. Provide adequate training program to each and every person arranged
accordingly. The result of the training program also should be analyzed and training
should be arranged periodically.
Company has to introduce effective training in every department of the firm so as it
help to learn more knowledge in the work. Give computer based training to the
employees once in every three months. On the job training and off the job training is
equally important. Provide both the training continuously to the employees. Ensure
that there is a proper linkage among organizational. Operational and individual training
needs.
Skill based training (product / process training) should be provided.
Post training has to be continuous and should be taken from line manager / superior
and from peers to find out the effectiveness and valuation of training.
The trainee fill the feedback form and from time to time test are conducted to know the
gauge the effectiveness of training to employee to check their memory if they retain
anything or not
For the effectiveness of training in the IT Company, organization need to enhance
coworkers‟ awareness and should introduce supportive skills for creating supportive
and Continuous learning environment in the Company. They should develop clear and

42
reliable linkage between training effectiveness and attainment of strategic
organizational objectives.
The department of IT Company can start procedure of Parallel Processing. It means
Instead of sending all the employees to the training centre, the department can start a
training cell in all divisions in order to sharpen some soft skills ofemployees.
Organization should develop customize training contents and methods according to
Organizational expectations and needs and the content of training programs should
impart advanced human skills that may help the trainers to understand individuals‟
cognitive and emotional abilities.
It should be moved from traditional training, to training of the latest technological up
gradation. Corporation should use extensive e-learning methods, which saves lot of
time. To improve the performance of employees:
Effective man power and planning and selection: it is important to have man power
planning based on the future requirements of the company.
Organization should encourage supervisors to take part in higher level training
committees so that they may be able to voice the needs and expectations of employees
at the grass root level. Participatory training design motivates the workforce to learn
objectively leading to incremental performance development and accelerated
professional commitment
There is a need for a continuous learning program for every employee to work as a
member of an effective team. So organization should encourage active participation
and chance to speak to every trainee in training session. It will activate the potential of
employees to achieve the corporation‟s goal. Environment of branch should be stress
free so that trainee learns enthusiastically.

43
6.3Conclusion

This study is conducted to identify the effort of certain factors on the employee‟s
performance. The study found that there are two factors influencing employee‟s
performance that are training and motivation in the organizations. The relationship of
independent variables and dependent variables is also examined. All factors, two
factors found to be positively related with performance of employees. This study
provides some information regarding that two factors are positively correlated with
performance of employees in the given IT Company. All these factors have direct
relationship with performance. An increase in any of independent variable will cause
increase in performance. There are two factors training and motivation, each factor
play a key role in increase in overall performance, and all these factors influence the
performance of employees. A sample of 100 employees from the above mentioned IT
Company is taken. The principal data collection instrument is structured questionnaire,
chosen to determine the performance of employees. Training contributes greatly to
performance, after finding the answers of questionnaires some statistical techniques are
applied on data through excel and get the results. All the correlation results are
positives so that on the basis of these results training increases the performance and
performance has a positive relationship with training and motivation the research
concludes that if the IT company having a good training plans for employees can
enhance the performance of employees that is helpful in increase in performance of
employee as well as the company , all the IT Company that wants to enhance their
employee performance Should focus on training, motivation of employees to achieve
higher performance levels. This study concludes that training contributes greatly to
employees performance in comparison with other factors like motivation, technology ,
management behavior ,working environment .there is positive relationship between
employees performance and training and motivation .this study shows that training and
motivation have expected positive on performance of employees in the ITcompanies.

44
 CHAPTER - 7
BIBLIOGRAPHY
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Armstrong, M. (2009). Armstrong‟s Handbook Of human resource Management

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Chaudhry, A., & Ahmad, I. (201 I). Examining the relationship of work-life conflict
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Elding, D. I. (2005). Modelling einplo yee motivation and performance (Doctoral

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Malik, M. E., Ghafoor, M. M., & Naseer, S. (2011). Organizational effectiveness: A
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46
APPENDIX: Questionnaire:
Part 1: Demographic
1. Gender
• Male
• Female
2. Age
• 21-30 years
• 31-40years
• 41-50years
• Above years
3. Education
• Undergraduate
• Postgraduate
• Diploma
• Other
4. Income level
• Less than20000
• 21000-30000
• 31000-40000
• Above41000
5. Married status
• Married
• Unmarried
• Divorced

Part2: training in the organization

1. Have you had any training since you joining the organization?
• Yes
• No
2. From the following training methods under which training method you have
trained?
• On the job
• Off the job
• Both
3. How often do you undergo training?
• Quarterly
• Every six months
• Once year
• Every two years
• No specific schedule
4. In your opinion training is must for enhancing productivity and performance?
• Strongly disagree
• Disagree
• Neutra
47
 • Agree
• Stronglyagree
5. Your organization considers training as a part of organizational strategy. Do
you agree with thestatement?
• Stronglydisagree
• Disagree
• Neutral
• Agree
• Stronglyagree

6. How will you rate the quality of training program for which you have
participated?
• Verypoor
• Poor
• Good
• Verygood
• Excellent
7. Would you require further training for motivation towards performance
improvement to enable you contribute to increasedproductivity?
• Stronglydisagree
• Disagree
• Neutral
• Agree
• Stronglyagree

Part 3: employee‟s motivation towards work

1. Which of the following factors motivates themost?
• Salaryincreases
• Promotions
• Leaves
• Motivationaltalks
• Recognition
2. Management is really interested in motivating theemployees?
• Stronglydisagree
• Disagree
• Neutral
• Agree
• Stronglyagree
3. Are you encouraged come up with new and better ways of doingthings?
• Stronglydisagree
• Disagree
• Neutral

48
 • Agree
• Stronglyagree
4. Doyouthinkthatincentivesandotherbenefitswillinfluencetheperformance?
• Stronglydisagree
• Disagree
• Neutral
• Agree
• Stronglyagree
Part4: employee performance
1. This employees work well with interm
• Stronglydisagree
• Disagree
• Neutral
• Agree
• Stronglyagree
2. This employee is able to quickly comprehend new tasks andworkflow?
• Stronglydisagree
• Disagree
• Neutral
• Agree
• Stronglyagree
3. Are desired targets of the organization achieved throughperformance?
• Stronglydisagree
• Disagree
• Neutral
• Agree
• Stronglyagree
4. This employee gets work done within a reasonable timeframe?
• Stronglydisagree
• Disagree
• Neutral
• Agree
• Stronglyagree

49