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Training Effectiveness Study
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2.2 Ownership: Subcontractor vs In-House and that workers with given characteristics receive equal amount
Training Evaluation Practices of training irrespective of size of firm at which they work.
Ownership is an important characteristic of an organization Some researchers also advocate that size is an important
that shapes its culture by influencing management practices characteristic of a firm having an influence on its efficiency,
[18]. In a case study reported difference in HR practices in legitimacy and business strategy [28, 29]. These researchers
public and private Vietnami firms [19]. „Ownership‟ either as share opinion that human resource practices become more
in-house or subcontractor serves as a segmentation strategy to extensive as the firm size increases. For instance, it is
distinguishes between call center works as well as call center argued that as a firm grows it becomes more formalized
management practices [20, 21, 22]. Previous research has [30]. These researchers observed significant effect of size on
highlighted various differences among in-house and job quality when controlling for effect of other theoretical
subcontractor call centers. For instance, in a study found that variables. Similarly, in a study on small and medium size
apart from national settings and collective bargaining, firms in London, scholars found that the larger the firm, the
ownership partially explains differences in job quality among greater the likelihood that offsite working was permitted.
inhouse and subcontractor call centers [22]. Moreover, Some evidences are also available in context of training
collective bargaining agreements are less likely, wages and [31]. First evidence was provided by scholars who predicted
job discretion and job quality is low in subcontractors but cost that large employers face larger monitoring costs but they
cutting pressure is high when compared with in-house call would try to economize it through the size of workforce
centers [5, 11, 22]. [29]. This study found that large size firms invest more on
employees to screen out job applicants and to provide
Global Call Center Survey Report (2007) also highlights
training to their employees. In separate studies on American
various differences among in-house and subcontractor call
and Canadian firms, that training programs are more
centers in context of training [23]. First difference is that
prevalent among large firms than small firms [29, 32]. Small
tendency to invest in training new call center agents almost
Chinese firms operating in Hong Kong lacking excess
50% less inside subcontractors as compared to in-house call
resources to spend on formal training programs are less
centers. Subcontractors provide 14 days initial training as
likely to have extensive in-house training programs
compared to 20 days of initial training inside in-house call
compared to Anglo-American firms [33]. A significant
centers. Second, a call center agent requires 14 weeks to gain
effect is found of firm size on recruiting and selection
job proficiency in subcontractors as compared to 20 weeks
methods, training methods, training analysis, appraisal use,
inside an in-house call center. Third, monitoring occurs on
incentive programs, and welfare programs [33]. They also
weekly basis and is more intense in subcontractor call centers
found significant correlation of percent of payroll allocated
while it occurs on monthly basis and is less intense inside in-
for training, HRM size and training department size. But it
house call centers [24, 22]. Scholars explained that it is
is explained that as firm size increases, financial resources
because Client Company enforces subcontractors to follow
available for development of extensive HR practices are
strict performance standards and it keeps a consistent check
also likely to increase [33].
by monitoring itself in order to ensure if these standards are
Unfortunately, a concrete evidence supporting influence of
being followed [25, 26].
firm size on training evaluation practices is limited in
Unfortunately, existing literature does not provide any
literature. Based on „TKM‟, Gomez, (2003) examined
empirical difference in training evaluation practices among
evaluation of formal training and reported differences in
subcontractors and in-house call centers. Thus authors relied
means of financial service firms of different size against
on research findings discussed previously in order to build
each level of „TKM‟ including „ROI‟ [14]. Based on
hypothesis that stated that:
previous discussion about training and findings provided by
Hypothesis1: Entry level professional training of call
Gomez (2003), we hypothesised that training evaluation
center agents is evaluated more intensively inside
also differs in call centers with respect to their size.
subcontractor call centres as compared to in-house call
Particularly, we hypothesized that training evaluation
centres.
becomes more intensive as size of call center grows.[14]
2.3 Size and Training Evaluation Practices Hypothesis 2: Size of call center explains significant
Second variable of interest in this study was „size‟ of call difference in evaluation of entry level professional
center in terms number of employees. Researchers have training of call center agents in a way that as the size of
different opinions regarding impact of 'size' on organizational call center increases evaluation becomes more intensive.
practices. On one hand, some researchers argue that firm size Previously, we have hypothesized that ownership and size
has no effect on human resource management practices. For of call center, separately, explain differences in evaluation
instance, studied that relationship of training, growth and firm practices. Thus together, ownership and size are more likely
size [27]. The results of their empirical study have shown that to explain such differences.
individuals acquire as much training working in small firms Hypothesis 3: There is a significant interaction effect of
as they do in large ones. They have also explained that large size and ownership on evaluation practices for entry
firms do more specific training while small firms do more level professional training of call center agents.
general training. On balance the total amount of training is
same in both groups of firms. Based on this study, it appears
Sci.Int.(Lahore),26(2),1289-1295,2014 ISSN 1013-5316; CODEN: SINTE8 1291
Partial
Partial Eta Partial Eta
Source df F Sig. Eta F Sig. F Sig.
Squared Squared
Squared
2. DISCUSSION AND CONCLUSION studies support that ownership of call center explains
Previous researches have been advocated differences among differences in human resource practices among in-house and
in-house and subcontractors in many areas like collective subcontractor call center groups. But, our study is first in its
bargaining, job quality as well as monitoring [5, 22, 24]. nature that has investigated impact of ownership
Similarly, Global Call Center Report has also shown characteristic of call centers on training evaluation practices.
differences in many areas including initial training duration, This study has provided an empirical evidence that
job discretion, monitoring and time to gain proficiency. We ownership characteristic of call centers does not represent
were also expecting that ownership characteristic would be significant differences in training evaluation practices
an important characteristic of call centers that would explain among in-house and subcontractor call center groups.
differences among different call center groups, particularly, On the other hand, we were expecting that „size‟ would be
in terms of training evaluation practices. Scholars have been more dominant variable in explaining differences in
claiming that „ownership‟ of call center may serve as a basic evaluation practices of call centers. Statistical results of our
segmentation strategy as it distinguishes between call center study have confirmed our expectations. Throughout our
industry segments. So we were expecting that there analysis, we have also been observing that effect size of
ownership would explain differences in training evaluation independent variable „Size‟ has remained significantly
practices among different call center groups [5]. larger. So our study has confirmed the findings of previous
But findings of our study have shown quite different results. studies which advocated theories that „size‟ has a significant
For instance we were expecting that there would be no effect on management practices. So we also believe that this
difference among call center groups at first level of „TKM‟ is another theoretical contribution of our study. [30, 31]
as it has been reported, in previous surveys, as the most 3. Future Research and Managerial Implications
frequently applied level inside industries [15, 33, 14]. But This study suggests training and evaluation professionals to
results of our study are quite different from our emphasize on „culture-free‟ characteristics of call centers.
expectations. In our study, we observed a significant It‟s a caution for practitioners that consideration of a single
difference in training evaluation practices of in-house and „culture-free‟ characteristic of call center could cause a
subcontractor call center groups at two different levels misfit when evaluation practices are borrowed from other
(Reaction and Learning) of „TKM‟ only. But it is also call centers. For instance, professionals of medium size in-
important to report that effect size for these differences were house call center need to be conscious if they are borrowing
significantly smaller enough to be negligible. In table of evaluation practices from a large size subcontractor call
means (Table 2), we can observe that differences mean center. Particularly, entrepreneurs who are taking risk of
values for „Reaction‟ and „learning‟ are larger as compared investing in call center business cannot ignore an interaction
with than mean differences of other „Behavior‟, „Results‟ effect of these characteristics on evaluation practices.
and „ROI.‟ Moreover, we were also expecting significant Finally, the firms which are shifting towards off-shoring
difference at third level „Behavior‟ and fifth level „ROI‟ but need to pay especial attention to this phenomenon.
statistical results did not support any evidence of differences Based on statistical results, we have concluded that
among in-house and subcontractor call center groups at any ownership of call center does not explain differences in
of levels of evaluation except for „Reaction.‟ Previous training evaluation practices of call centers. Though we
1294 ISSN 1013-5316; CODEN: SINTE8 Sci.Int.(Lahore),26(2),1289-1295,2014
observed differences at two different levels „Reaction‟ and contract perspective”. Personnel Review, 38(1): 45-
„Learning‟ of „TKM‟ framework but these differences also 60(2008).
disappeared when overall training evaluation practices were [5] Holman, D., Batt, R., & Holtgrewe, U. “The Global
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ownership: in-house and subcontractor but another category management and Employment. Cornel University, ILR
of call centers have emerged that is offshore call centers. School. Ithaca, NY: Authors.
We have not included this variable in our study as trend of [6] Sieben, I., & de Grip, A. “Training and Expectations
offshoring has just started inside Pakistan. So it would have on Job Mobility in the Call Centres Sector”Journal of
restricted process of data collection for us. Similarly, we European Industrial Training, 28(2/3/4): 225-
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independent variable. Therefore further research must also [7] Budhwar, P. S., & Sparrow, P. R.“An integrative
introduce such variables in their study. We also believe that Framework for understanding cross-national human
introducing such variables may show different results. resource management practices”Human Resource
Similarly, we have also concluded that „size‟ of call center Management Review, 12: 377-403(2002).
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training evaluation practices of in-house and subcontractor Schwitter, J. P. “The culture-free context of
call centers. Moreover, pattern of difference among call organization structure: a tri-national
center groups of different size is not clear in the sense that comparison”Sociology, 8: 59-80(1974).
whether this pattern is linear or curvilinear. Therefore [9] Tayeb, M.“Contingency Theory and Culture: a study
further research must be conducted to analyze this pattern. of matched English and the Indian manufacturing
Except for R1, a significant difference in items of first level firms”Organization Studies, 8: 241-261(1987).
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collide with statistics of Yadapadithaya (2001) who 41(2007).
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observed that there was a significant difference in some Indian Call Centers”Human Resource Studies.,9:3-
items of all latent variables based on ownership 9:35(2005).
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informal measures to evaluate training programs. In the end evaluation based on cases of Taiwanese benchmarked
we shall also suggest that future research must be conducted high-tech companies”International Journal of
to explore such informal measures and reasons behind the Training and Development, 11(1): 35-48(2007).
use of such measures. What distinguishes this study from [14] Gomez, A. K.“An Analysis Of The Evaluation
previous literature on training evaluation practices is its Practices Of Employer-Sponsored Training In The
micro level emphasis on entry level professional training. Financial Services Industry”PhD Dissertation, Texas
But previous researchers have been focusing on overall A&M University,(2003).
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Sci.Int.(Lahore),26(2),1289-1295,2014 ISSN 1013-5316; CODEN: SINTE8 1295