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Chapter - I

INTRODUCTION

Human Resources in Banks

Human factor has moved into the center of business in the recent days.

Never before has the contribution of human resource to the success of business been

subjected to so much of debate and discussion. This situation has developed as a

result of some fundamental changes that have taken place, the most important of

which is the pervasive and intensive competition that banks are facing today.

Human being is an intelligent, creative, artistic and a reactive resource. He/she has

got a wonderful potential to do incredible things. In the present competitive world,

training, developing and management of human resources have been a matter of

crucial determination of success for the banking industry. Dynamic employees are

essential for any organization that would like to be dynamic and growth oriented

(Rao 1997).1 Therefore, better management of human resource has been more

earnestly felt as a vital, in recent decade as before. Also socio economic

environment has been changing world over, and a favourable attitude is being built

up towards globalization of the economy.

Presently the competition is sky high in banking industry. Only tough

competitors can survive under these rapid changes. Every bank has a dream to face

this situation and emerge as victorious, but it is not as easy as one could imagine.

But a collective struggle, a desire to work altogether for transformation is essential.

Bit by bit approach never helps in this cause, this, too, is an occasion to think, plan

and set strategies to reach the goal. Banks can achieve their goals through an

appropriate policy and practice regarding training and development of their human

1 Rao. T.V., Verma, K.K., Khandelwal, A.K., E. Abraham, S.J. (1997): Alternative Approaches and

Strategies of Human Resource Development. Rawat Publications, Jaipur. ppvii.

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resources. Every manager especially HRD executive has an immediate task to

instruct, guide and develop the work force, to bring changes in them by resorting to

a viable tool of employee or staff training and development therefore is deep rooted

in every human activity and it is as old as human society itself. Whenever man

thought to create, doing, and mastering the technique of production or

manufacturing, looked more towards training and development. Success of any

bank, organization and activities largely depends upon its trained and developed

human resource.

Transformation in the Indian banking industry, ever increasing competition,

fast moving and complex world of latest technology have compelled banks to think

of and to adapt themselves to the changing banking environment. There is a need to

develop competencies i.e. skill, knowledge and attitude among the bank staff to

make them more suitable to the changing conditions, through proper training and

development programmes. Trained and developed people or knowledge workers

have become basic or fundamental job of any bank. Competent people can face any

threats, risks, and changes in the banking industry and lead the bank. People play a

remarkable role, to achieve bank goals. Since every human being has potential to do

remarkable things, and to enable him to understand, develop and utilize his/her

potential, bank should provide them learning and developing climate as well as

opportunities. Hence, training and development programmes have occupied a major

role in the human resource development. Human resource development is possible

only through training and development and also creating learning climate or

environment as well as opportunities.

HRD- A New Revolution of Employees Development

HRD relates to develop people to grow with organizational commitment.

Michael (1997)2 states in a logical sense that HRD matches organizational need for

2 Michael, VP (1997). Human Resource Management and. Human Relation, Himalaya, Publishing

House, Mumbai, Human pp 153-156

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human resource and the individual desire for a career development. It enables

employees to achieve best of his potential, to attain a total all-round development. It

also tries to ensure decorum of employment, and opportunity for teamwork. Nair

(1990)3 appropriately felt that human being is an important. Part of organizational

resource, it helps to achieve higher level of production and profit to the

organization. In view of the greater convenience and contribution, which people can

render to the organization, awareness to the development of human resource at work

is vital. Rao 4(1996) reflects that people are most valuable and outstanding resource

of every organization. The essential function which industry is compelled to do is to

adopt to new strategies to praise and recognize and appreciate human being

especially the employees at bottom level of hierarchy, this would boost up their

morale to work enthusiastically, to achieve the organization’s vision and mission.

Krishnamurthy 5(1999) while acknowledging the above view states that a few

business organizations were set up in the eighties of the last century both in India

and in the U.S.A. were spectacularly flourishing, due to the reason like long term

one man rule, and also due to the absence of attention to human element and

employees attitude by themselves to accept orders and tolerating abusive and unfair

treatment of their employers. But after eighties, the employers’ mind-set has

changed towards their workers. Because nowadays workers are better educated,

technically trained have mechanical, and operational skills and conscious about

their rights and privileges. He/she is a knowledge worker, and an attritional asset.

Teamwork, conflict management, commitment of all workers or staff

towards the success of organization has become inevitable now a day. Because an

organization can succeed only with a vital remedy for them. Rao6 (1997) has

endorsed this view and states that those organizations, which have skilled, happy,

3 Nair, MRD.R.and Rao, T V(Ed) (1990); Excellence Through Human Resource Development, Tata

Mc Graw Hill Publishing Company Ltd New Delhi pp iii 4 Rao, T.V. (1996): Some Thoughts on HRD in Education, IJTD, XVI (3) 5 Krishnamurthy, M (1999): On Collective Decision Making, Deccan Herald, Hubli-Dharwar pp 22. 6 Rao, T.V. Verma, K.K, Khandelwal, A.K.E. Abraham, S.J.T (1997): Alternative Approaches and

Strategies of Human Resource Development, Rawat Publications, Jaipur, pp Vii

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devoted and self-motivated people, are likely to do better than an organization that

scores low on these. Workers attainment of competency, skills and capability, does

not happen on their own, without all the way through initiation of their respective

organization.

Organizations vision and mission can be achieved possibly by the people

who need to change themselves, to feel optimistic, arrange themselves mentally,

work hard and do it by innovative skills and techniques. This can be done through

training and development programmes. Therefore, it is an important sub system of

HRD and vital instrument of employee development. Now a days most of the

people who enter the work force of an organization are educated, qualified, having

better skills. In addition to this, sophisticated machinery and equipment are

available at his work place, and various laws better protect his interests. All these

favourable reasons necessitate organization to place employee training and

development on high agenda of its expansion plan. Latif 7(1997) views that men in

industry are acknowledged to be the most complex material to be handled, more

ticklish and more subtle than the most highly complex machine. This has converted

labourers or workers into human resource and improvement of its quality is

essential in the changing business environment. The issues of development of

human potential, reduction of cost, improvement of productivity and organizational

development has occupied premier place in the corporate world. HRD is most

widely spoken and discussed term, as the traditional personnel management has

found to be little inadequate to meet the new challenges.

Training and Development as a vital sub system of HRD

Training and development is deep rooted in every human activity, and it is as

old as human society itself. Whenever human being has thought to create, doing,

7 Latif, T.A.A. (1997): Training for Management, Sterling Publishers Private Limited, Safder jung

Enclave, New Delhi pp 20-30

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and mastering the technique, he/she has looked more towards training and

development. They have been associated with learning and mastering technique.

Success of any organization, institution, firm and their activities entirely depend on

training and development. All jobs, professions, roles, tasks require some type of

training and development for their efficient and effective performance. The need for

systematic training and development has increased by rapid changes in the jobs.

Training and development of a human being is a process, which is very

much associated with thinking, feeling and willing unless these three aspects do go

together it is really difficult to relish the true taste of them. Training and

development words differ in their meaning but still they can be used synonymously.

Because training results in development of human beings. The dictionary meaning

of the word training implies: instruction and discipline in a particular art, profession

or in occupation. It means training relates to make a trainee closely controlled in

pursuit doing his work, updating knowledge to avoid obsolescence, enhancing

professional creativity. Training in the Oxford American disk dictionary, implies to

teach (a man, animal, oneself etc) a specified skill and mastering it through practice.

Thus training results in learning than teaching. Subba Rao 8(1996) considers this as

a process to teaching. It helps an individual to learn and apply skill, knowledge,

improve ability and attitude for the performance of job. Success of training depends

upon active listening and learning skill and knowledge, put forward by a careful

application in their work. Consequently, training is at all times a means to an end

but not an end in itself.

Success of an organization never comes without infrastructure and the good

quality of human resource at work. Both are very essential when someone feels that

people are essential at work, but without giving them the necessary equipment, raw

8 Subba Rao, P and Rao, V.S.P. (1996): Personnel /Human Resource Management, Konark Publishers

Private Limited, Main Vikas Marg, Delhi. PP 14-20.and pp 256-335

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materials, tools and proper guidance, and if any one of these is missing, it can cause

obstacle and contribute to organization failure. Jangam9 (1983) rightly feels,

training is training of hand, head and heart, training imparts skills to use hand, to

work competently , import knowledge so that head can think, and build positive

attitude so that heart feels and with this individual capacity to produce more surely

goes up.

Thus, training and development is an organized activity and includes several

steps. Conduct of such programmes requires passing through different stages like, it

begins from need identification, preparation of calendar, budget estimation,

deputation of trainees, evaluation and follow-up. Training and development is an

organized procedure for increasing skill and knowledge of people for a definite

purpose. Employees in most organization consist of many employees who differ in

age, qualification, experience, designation, attitude and interest. Therefore, training

is required to all categories of employees.

Training serves many advantages both to the organization and to the

employees. To make a mention few of those premier benefits namely, it helps to

achieve skill development of employee, it enables him to perform his job

satisfactorily, it helps to sustain production of quality goods with durability and also

helps in the better handling of tools and equipments promote safety and minimize

accidents. It also influences to bring change in the interest, attitude, motivation and

morale of employee.

Training calendar of many organizations includes wide range of programmes

suiting to the requirement of various categories of employees in the organization.

Programmes are organized for senior executives, middle level executives,

9 Jangam, R.T. (1983) : Introduction to the Study of Public Administration, Akalwadi Book Depot and

Publishers, Vijay Road, Dharwad pp 115-119

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managers, supervisors and also to the workmen. Training topics relate to skill and

knowledge development, topics of management practices, marketing, technical

information, technology and quality and general topics, as well. All organizations

look forward to see that their employees would develop and improve their personal

and technical qualification. Organizations help them by sponsoring them to premier

institutions to undergo training. This would help them to improve their academic

and technical qualification, and also their skill and knowledge. This facility is

largely offered to the supervisory and managerial personnel than to the workman.

Evolution of Training and Development

As man invented language, machines, tools, shelter, weapons etc the need

for training and development became an essential ingredient in the march of

civilization. Man had the ability to pass on to others knowledge and skill he had

gained in mastering his circumstances. This he did by examples, by words, and by

signs. Through these devices the development process called training and

development was administered; and when the message was received by another

successfully we say that learning took place and knowledge or skills were

successfully transferred. Man began amassing knowledge at the beginning of the

stone age. The Industrial Revolution, the date1750 has been selected by many

thoughtful men as the close of the period of man’s knowledge accumulation and the

beginning of a new phase. In the 1920s industry was being served by a unique and

valuable training and development services. After 1950s training and development

is accepted as a synonym for all of the forms of knowledge, skills and altitudinal

development which people need to keep pace with accelerating life involvement and

the enlarging concept of man’s capabilities. There is a great need for accelerating

efforts to replace obsolete skills with the new technological demands being made by

the industry. The future will see more and more efforts in this direction which, with

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proper application and control can add the jet age concept of overwhelming power

to individual development

Training and Development Beginnings

Apprenticeship

Guilds

Craft Training

Factory Skills

Industrial Training Associations

Management Training

Human Resource Department (HRD) is the heart of any organization. It

plays a key role in making business strategy in the organization. The core area of

this department has to be identified and implemented properly in the public sector

banks. Human resource development in Indian banks has drastically changed the

scenario during the last decade. HRD is as much as complex as a science and

requires interpretation and implementation of management policies in a most

delicate manner to avoid any conflict of interests or to lead an environment, where

one may feel himself cheated.

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The development of human capital has to be a constant undertaking in an

environment of constant change. In the last decade we have seen the changes in the

economic and financial environment. There has therefore required a corresponding

change in the knowledge, skills, competencies and capabilities that are now

required, in particular by the banking industry, which is a highly knowledge-

intensive and skill based industry.

Transformation in Indian Banking

Indian banking industry has shown rapid changes after 1991. The financial

sector reforms in India have resulted in a structural transformation of Indian

banking industry. Foreign and private banks have become stronger and are

competing with the nationalized banks. Technology has made a road map and most

of the banks have been fully computerized. Customers of financial services have

become more aware through the competition and their expectation levels are higher.

Public sector banks have responded well to the boom of technology. The changes

may be observed in business strategy, as banks which hitherto capturing market

through walk in business, now have to start aggressive marketing campaigns.

Technology has been changing totally the ways of doing banking business. It

has brought several advancements like anywhere, anytime banking. The other

developments includes offering of internet banking, mobile banking, tele-banking

etc. The main focus has been on the ability to access and share information in

improving efficiency and value addition to customer services. Now banks are

adopting customer centric approach to increase their customer base. The cost of e

banking is lower than that of traditional banking through branch. Technology is

increasingly finding its use in banking by way of convenience in product delivery

and access managing productivity and performance, product design adapting to

market and customer needs.

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Transformation in Human Resources

The average age of the employees of public sector banks is on the higher

side. Banks need to recruit and retain talented workforce in the areas of marketing,

technology, forex, risk management etc. Now, building human capital has become

much emphasized in today’s world. Successful banking in future will depend on

people or human resources. As the competition intensifies the need for banking

institutions to attract and retain the best skills and talents will became more urgent.

Successful banking institutions will be the ones, which accord high priority to the

continuous enhancement of human capital. Human resource has thus become of

strategic importance and is integral to the success of organizations. Banking

industry level compensations, agreements, makes difficult for banks to retain

talented professionals and banks will have to evolve clear career path and

opportunities for growth of its professionals. Although, Indian banks have

resources, they are yet to make full use of such freedom.

The focus of training should be on developing the relevant skills in

employees and should be regularly reviewed in the light of the emerging business

environment.

Statement of the problem

The term ‘training’ and ‘development’ in the expression of Human Resource

Development (HRD) from the research point of view indicates the development of

individual employees, the development of groups of employees in the

organization’s various sections/departments/ divisions and finally development of

entire work force comprising different groups working together to achieve the goals

of the organization10. Because the success of any organization in the long run very

10 Desai, K.G. (1990) : “HRD Approach- Theory and Practice” , in ‘Indian Journal of Social Work’

LI(1) April, p-231

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much depends on the quality of its human resources. This is especially true in a

service-oriented industry like banking where improvements in service have to be

continuously made to meet the rising expectations of the customers11.

Specially, in socially interactive organizations like banks

applied/survey/exploratory research should focus attention on HRD through training

and development programmes. From a mere money lending institution, a bank is

being called upon to play an effective role in the task of socio-economic

development and the upliftment of especially those people, who were hitherto

neglected and deprived. There are also high expectations of the society from the

banking system thereby requiring the banks to have a hard look into their several

areas of management to measure up to the tasks assigned to them.12

Also changing banking industry and increasing competition makes it

imperative to conduct such researches. New generation private sector banks are

attracting skilled and experienced personnel from existing banking institutions by

offering good package and career growth and development. Therefore, the need of

the hour is to study the existing training and development policies and practices in

Indian banks and suggest measures for improvements.

Inspite of several mechanical aids and gadgets available as facilitators for

quick and efficient service, banking has remained an essentially peoples business

that is managed by the human resource or people. There is, therefore, a very great

need for paying much more attention to the training and development programmes

or learning programmes (named by State Bank of India) to achieve corporate goals,

objectives and also national priorities. Such researches would indeed offer certain

11 Khandelwal, Anil K. (Ed) (1988): “Human Resource Development in Banks”, New Delhi: Oxford

and IBH, Pretace, p-15. 12 Khandelwal, Anil. (Ed) (1988) : “Human Resource Development in banks”, New Delhi: Oxford and

IVH Preface, p-15

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clues for devising training programmes, so that the bank may function proactively

in the changing condition. Hence, the present work has been titled as “Training and

Development - Policies and Practices in Indian Banks with special reference to

State Bank of India”

Need For the Study

Banks are functioning as agents of social change along with their role as

harbinger of economic functions. From a mere money lending business, a bank is

being called upon to play a effective role in the task of socio-economic development

and the upliftment of especially those people, who were hitherto neglected and

deprived.

Also changing economic conditions such as open economy and increasing

competition from private sector and multinational banks for skilled and knowledge

workers makes it essential to conduct such researches. Therefore, the need of the

hour is to study the deficiencies and suggest measures for improvements of training

and development programmes to withstand such competition.

Though there is automation and computerization, banks is still labour

oriented, as they are service-providing institutions. In such organizations it is

necessary to have an excellent training and development or learning environment

for efficient functioning of the organization and achieve goals of both the

organization and individual. Periodic studies would give an insight into the state of

the matters and provides an opportunity to improve.

Also there is a very great need for paying much more attention to the

availability of trained, developed and motivated people to achieve corporate goals

and objectives. Such researches would indeed offer certain clues for devising a

comprehensive training and development programmes so that the organization may

function proactively in the changing environment.

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Along with the above mentioned factors it is vital for any organization to get

feedback about its training and development policies and practices so that necessary

changes can be made for the better of the organization, the individuals in the

organization and the society as a whole. Hence, the present study attempts to

provide such a feedback to the concerned organization and thereby looks to

contribute to the betterment of the concerned.

Significance of the Study

In a fast developing economy like India, banks have come to be known as an

instrument of social and economic change. Banks themselves have also realized the

importance of their role as agents of social change and their human resources.

Hence, banks are expected to act in bringing about the desired social change.

Training and development policies and practices of the banks are receiving

substantial attention both from the academic and in-house research. A review of the

literature, however, revealed that there is a lack of research on training and

development – policies and practices in State Bank of India. The present study has

attempted to fill this vacuum.

Review of Literature

Krishnaveni T (Dr) and Sripirabaa, B13 have conducted a study by selecting

165 middle level employees employed in the organizations manufacturing

automobile components in Coimbatore. The authors have used a questionnaire

survey method to seek responses from five companies. The study investigates the

impact of partnering and financial support on training development function and its

alignment with the strategic goals of the organization. The authors have formulated

five hypotheses. They have used Partial Least Squares, a structural equation

13 Krishnaveni. R (Dr) and Sripirabaa. B, ‘Does Partnering and Financial support have impact on

Alignment of Training and Development with strategic Goals?’ Indian Journal of Training and

Development, New Delhi, Vol.XXXVIII Ni 1 January-March 2008, pp 71-77.

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modelling technique to estimate the impact of the latent variable. The study reveals

that partnering and financial support have a significant positive impact on alignment

and on training and development function. Likewise, training and development

function has a positive significant impact on alignment. There is a scope for

research in training and development programmes formulation and their evaluation

in the changing scenario. Research studies emphasize the significance of alignment

of HR goals with strategic goals.

Sadri Jayashree14 in her paper examined the emerging scenario in a new

globalised world with special reference to education and training. The paper is

based on the author’s research experience with relation to the knowledge worker

and first hand exposure in ISTD with distance learning over the past decade. It is

argued that as a result of environment changes and economic reforms, individual

and the organization are changing to the scenario. This paper examined who the

knowledge worker is, what makes him tick, what is the kind of environment he

thrives in, and what changes need to be made in the system and process of

education and learning to meet his this new challenge. The paper concludes that the

knowledge worker needs to get hold of divergent competencies while remaining up

to date in his knowledge. There is little option therefore except, to pursue his

learning electronically. For this to happen, the entire philosophy of imparting

learning must undergo a sea change of the type and dimension that the socio-

political and economic-business environment in a globalised era. It is imperative

that this shifting paradigm of learning is taken serious account of and adopted.

14 Sadri Jayashree, ‘From Bricks to Clicks’, Indian Journal of Training and Development, New Delhi,

Vol XXXVIII No 1 January-March 2008, pp 35-44.

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Kundu Subhash C and Handa Ravi Kumar15 have conducted a study by

selecting 225 respondents from Indian and 225 from multinational enterprises. The

main objective of the study is to assess the identification of training and

development needs in companies operating in India. The study is based on primary

data gathered with the help of questionnaire comprising two sections. The first

section contained six background questions and second section contained 13

statements for identification of training and development needs. Results revealed

that employees in multinational companies seemed to have higher satisfaction

comparatively more than national companies in identification of training and

development needs. Productivity emerged as number one variable as need

identification objective. The study suggests that programmes should be based on

proper identification of training and development needs and suggestions from

trainees should be welcomed and rewarded. Evaluation of programmes will

certainly help to know the relevance and suitability to the changing scenario.

Tiwari.S.K, Chaudhary M.K. and Bhowmick.A.16 have conducted a study by

selecting 737 university and college teachers, who have

undergone/attended/participated in Orientation Programmes organized by Academic

Staff Colleges in India. The objectives of the study are to study, the teachers’

perceptions regarding voluntary/compulsory participation in orientation

programmes, suitability of orientation programmes and academic value of

orientation programmes. The data have been colleted through mailed questionnaire

from participants from North, South, East, West and Central regions. Participants

have been selected randomly from all regions. The data reveals that almost all the

15 Kundu Subhash C and Handa Ravi Kumar ‘Identification of Training and Development Needs’: A

study of Indian and Multinational companies, Indian Journal of Training and Development, New

Delhi, Vol. XXXVIII No 1 January – March 2008 pp 01-12 16 Tiwari.S.K, Chaudhary M.K. and Bhowmick. A., ‘An Evaluation of Orientation Programmes of the

Academic Staff College (ASC) BHU, with reference to other ASC’s in India’. University News,

New Delhi, 46 (44) November 03-09, 2008 pp 13-17-21.

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participants find all the 11 academic values are beneficial for them. But, there is a

need to evaluate such programmes regularly to know their suitability.

Pathak Neetu17 has conducted a study by selecting 300 respondents from

public sector and 300 respondents from private sector. The questionnaire was

equally distributed in supervisory/manager and general level of employees, in

Purvanchal region. The study is based on primary data only. The objective of the

study was to know effectiveness of the training programmes and analyze the same.

The study reveals that training programmes are effective in improving skills,

knowledge and helps in development of attitude. They provide an opportunity for

the worker to develop their personality, dedication towards work and capacity to

learn and group cohesiveness. However, the emphasis should be put on in

conducting technical and behavioural training. The process of training should be

evaluated after the lapse of some time. Increasing the duration of the programmes

and providing background material to employees will benefit more.

Shewani NUK and Gupta Ruchi18 have conducted a study by selecting 150

executives from software companies in Delhi. The objective of the study was to

evaluate executive development programmes in software companies and to gauge

their effectiveness. The study is based on both primary and secondary data. The

study reveals that the executive development programmes aimed at all round

development of the executives. Well planned executive development programmes

will go a long way in development of people and the organization. However, in

India still they are not satisfactory. Because a lot of space exists for the

17 Pathak Neetu, ‘Corporate Training Programme- An Effective Instrument for Organisational

Development [ A Comparative Study of Public and Private Sectors],’ The Indian Journal of

Commerce, Vol 61, No 3, July – September 2008, School of Management Studies, IGNOU, Maiden

Garhi, New Delhi – 110068, pp 113-119. 18 Sherwani NUK and Gupta Ruchi, ‘Evaluation of Executive Development Programmes – A study of

Software Companies,’ The Indian Journal of Commerce, Vol 60, No 2, January – March 2007,

School of Management Studies, IGNOU, Maidan Garhi, New Delhi – 110068 pp 53-59

17

improvement in the quality of executive development progammes. Executives

believe that India has the capacity to produce global executives but to achieve this

goal they point towards moulding of executive development programmes in such a

manner that it may fit the complex socio-economic environment of the country.

Pawar.I.Anand and Mouli.S. Chandra,19 have conducted an empirical study

by selecting 106 participants. The objectives of the study are: to improve the

quality of the training objectives, to assess the effectiveness of the overall training

methods and to justify the course benefits of training. Primary data is collected

through interview and questionnaire from all participants of orientation and

refresher courses organized by University Grants Commission – Academic Staff

College, Osmania University, Hyderabad. The study revealed that such

programmes enrich the teachers making teaching learning more effective and

efficient. They are more relevant to the job. However, evaluation process of

trainees’ performance should be uniform and results should be provided to the

trainees which help them to improve upon. Training hours should be limited to 4-5

hours per day.

Gopal20 has conducted a research to evaluate and assess the effectiveness of the

training programmes offered by the Electronics Corporation of India Limited

[ECIL]. The research is based on the primary data collected through questionnaire.

The researcher has used different statistical tools to analyze the data. The research

was conducted through a well constructed interview schedule. Kirkpatrick’s model

of evaluation was taken as a base for preparing the interview schedule. The

research revealed that the training programmes are generally effective. Of the five

19 Pawar I Anand and Mouli S.Chandra, ‘Impact of Training on University and College Teachers: An

Empirical Study’, University News, 46 [49] December 08- 14, 2008, pp14-20. 20 Gopal, ‘Effectiveness of Executive Training Programmes.’ The Indian Journal of Commerce, Vol 61,

No 3, July-September 2008, School of Management Studies, IGNOU, Maidan Garhi, New Delhi –

110068, pp 142-150.

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programmes together taken for evaluation four programmes are found effective.

Evaluation of training programmes is essential in training function. Because, it is a

starting point and not exactly the end point.

Jose K and Ramanaiah TBBSV [Dr]21 in their article have focused on

identifying and deploying core people competencies and functional competencies in

Automotive Axles Ltd and assessing in management staff to identify the

competency gap. The output thus arrived is used for identifying the training and

development requirement of individual employees. The researchers have taken the

competency based employee training and development approach as the new system

for training and development initiatives in Automotive Axles Ltd.

Mishra Priti Suman22 has made a study by selecting 30 employees from

Jindal Steel and Power Ltd. The objectives of the survey are: To Know what are the

gap between the perceived training needs and actually what the organization needs

to be based on, to study the training and development practices. Data was collected

using both quantitative and qualitative measures. A questionnaire involving 5 point

scales ranging from strongly agree to strongly disagree was used. The survey

revealed that such programmes will gain competitive edge. It also shows a culture

of learning and using training to move the organization to new levels of

performance However, continuous training needs analysis is necessary for all

organizations

Avinash Rage23 while discussing the importance of HRD on industrial

relations emphasizes the need to develop the human resources in terms of their

21 Jose K and Ramanainh TBBSV [Dr] ‘Employee Development a Holistic Approach through

Competency Based Training and Development’ Participative Development, Pune, vol 6 No 1

January June 2007 pp 43-49. 22 Mishra Priti Suman ‘Training and Development need analysis for ushering change- A study in Jindal

Steel and Power Ltd ’, Indian Journal of Training and Development, New Delhi Vol XXXVIII No 3

July September 2008 pp 63- 71 23 Avinash Rage, General Manager (HRD) Bombay Dyeing ‘Impact of HRD on Industrial Relations’

Times of India, February 16, 1994.

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knowledge, skills and attitudes. He further adds, knowledge and skill can be

developed by training but change of attitude is not a matter of one day seminar. It

has to be perceived, experienced and reciprocated. Like change in any other area

change in attitude is a continuous process and takes a long time and considerable

amount of patience if training is the soul of HRD, positive attitude is the soul of

industrial relations.

S. K. Bhatia24 foreseeing the importance of human resources in 21st century

maintains that skills and knowledge will become obsolete within a few years

because of rapid changes. Training and development activities will be, required to

prevent workers obsolescence. Training and development of human resources and

personnel research have become increasingly important. The emergence of training

aimed at development of knowledge, skill attitude including purely vocational

training have added another dimension to personnel management.

Steinmetz Lawrence I 25 observers that training is a short term process

utilizing a systematic and organized procedure by which non-managerial personnel

learn technical knowledge and skills for a definite purpose. Development is a long

term educational process utilizing a systematic and organized procedure by which

managerial personnel learn conceptual and theoretical knowledge for general

purpose.

Harris O Jeft 26 has a very comprehensive explanation on the ability of

training, “Training of any kind should have as its objective the redirection of

improvement of behaviour so that performance of the trainees become more useful

and productive for himself and for the organization of which he is a part. Training

24 S.K. Bhatia, Personnel Function in 21st century the Hindu February 22 1990. 25 Steinmetz Lawrence I ‘Age’ unrecognized Engime of Executive Development Management of

Personnel Quarterly Vol VIII November 1969 26 Harris O Jeft – Managing People at Work: Concepts and Cases in Inter Personnel Behaviour, John

Wiley and Sons Inc, New York 1976, p 422.

20

normally, concentrates on the improvement of either operational skills [the basic

skills related to the successful completion of a task] inter personal skills [how to

relate satisfactory causes of action] or a combination of these”.

Ghoshroy.D27 in his article prepared a balance sheet of the training system

performance and, secondly, examined what kind of role-change would be necessary

to perform their role as an effective Human Resource Development intervention to

overcome the challenges of change in the ever changing environment due to factors

like globalization, disintermediation, liberalization, deregulation, fierce competitive

scenario and market-driven economy. A broad average of capacity utilization of the

training system as a whole is not above 60%. The top management of banks would

need to frame their training policies which would make 100% utilization of the

system and make training centre as profit center while emphasis should be there to

impart training to all the specialized areas emerging out and becoming the need of

the hour. Besides the core programmes, certain other programmes with thrust on

increasing effectiveness, self-development, empowerment, creation of knowledge

workers and total quality management in customer care, should continue.

Shankar. K28 in his article recognizes the importance of training for the

development of human resources and organizational development. He suggests

bringing innovations in training. He further says that evaluation of training is the

most important because what is relevant today may not be relevant tomorrow.

There is a need to know the effectiveness of training programmes conducted by

banks in India, on the basis of different evaluation parameters.

Kennedy Vijila29 has observed in this, banks should implement HRD practices to

reap the full benefits.

27 Ghoshroy. D, ‘Training in Banks: Role change in the emerging scenario’, The Journal of the Indian

Institute of Bankers, Vol. 66, No1, October 1994 – March 1995, The Arcade, 2nd Floor, World

Trade’ Centre, Cuffe Parade, Mumbai 400005 pp 196-199. 28 Shankar.K., ‘Training in Banks: Need for Innovation.’ The Banker, July 1992 pp 31-33. 29 Kennedy. Vijila, ‘Do HRD Practices Differ Among the categories of Indian Commercial Banks?,’

The Icfaian Journal of Management Research, Vol VI, No.12, 2007, the ICFAI University Press,

Hyderabad pp 33-42.

21

H.S. Aneja 30 has mentioned in her article that training is essential for the

changes in the external environment. She warns that organizations which fail to

make training and learning central to their operations, will themselves fail

ultimately. She suggests improving ourselves to suit the needs of the day.

Dr. Prasad R. M.31 has observed that Appreciative Inquiry (AI) in training

and development helps to search for the best in individuals in an organization. It

finds wide application in organizational development, capacity building and

improves product.

Sudararajan S32 has conducted an empirical study and concluded that

employees have realized the importance of training in banking industry. Employees

are motivated to attend the training programmes by the management. Training and

development of human resources is the cornerstone of effective managerial practice

in Indian banks.

Dr Goel O.P.33 in his study found that training and development efforts in

reality helps managers to study the customer needs, buying process and the ever

increasing growth potential in the automobile industry. The study has found out

some gaps both at salesperson or as well as service technician level. Training can

help to bridge these skills gaps and improve customer relationship management.

30 H.S.Aneja, ‘Training for change’, Human Resource Management-in the new economic environment

edited by Anjila Saxena and Harsh Dwivedi, National Publishing House, Choura Rasta, Jaipur-

302003 1996 pp – 146-151 31 Dr. Prasad R.M , Appreciative Inquiry in Training and Development Indian Journal of Training and

Development Vol XXXVII No 3 July- Sept 2007 Indian Society for Training and Development B-41

Qutab Institutional Areg New Mehrauli Road New Delhi – 110016 is td @ nic in istdtrg @

aritebroad bank in www istdtrsore pp 21-17-17. 32 Sundararajan S ‘Employees Attitude towards Training and Development in Private sector Industries’

Vol XXXVII No 3 July- Sept 2007 Indian Society for Training and Development B-41 Qutab

Institutional Areg New Mehrauli Road New Delhi – 110016 is td @ nic in istdtrg @ aritebroad bank

in www istdtrsore pp 45-50 33 Dr. Goel O.P. Training as an Effective tool to create satisfied customers base in Indian Automobile

Industry IJTD Vol XXVII No 3 July Sept 2007 pp 67-73

22

Mohanty Madhuchhabda,34 has taken into account NALCO, IDBI and BHEL

to study their training activities and the type of training information system they are

using, She stressed the need for computerized training information system which

will help organizations to classify, reclassify and cross classify the training relating

information which enables the HRD department to be more efficient and effective

and to provide a positive service to the organization.

Rajesh Kumar R.L.35 in his paper highlighted that full fledged HR policies

are essential to improve the performance of Co-operative Banks in India. He

strongly suggested the need of human resource training and development which in

turn will result in Human Resource Development. He also felt the need of full-

fledged staff training centers well equipped with modern training aids in every

District Co-operative Bank.

B.M. Vinod36 in his article analyzed Co-operative Banks in India. He observed

that training and development programmes are not sufficient to face the challenges

in Indian Banking. In order to face these challenges HR functions in the Co-

operative Banks should be vitalized and strengthened for which training is essential.

There is also a need to give general and specialized training to the bank staff to

patch up the present tardiness in the co-operative banking sector as a whole.

Thiagarajan T.S.37 in his paper focused on the training needs for the banking

personnel in the changing scenario. Periodic training for staff is essential for the

34 Ms. Mohanty Madhuchhanda, T raining Information system in perspective, IJTD Vol XXVII No 3

July Sept 2007 pp 75-86 35 Rajesh Kumar R.L. HR Policies and training Needs in Co-operative Banks, Bank Quest, the Journal

of Indian Institute of Banking and Finance Vol 78, No 3 July – September 2007 The Arcade World

Trade Centre II, 2nd Floor, East Wire Coffee Parade Mumbai 400005 libgen @ boms vsnlnet in

www. Iibf org in pp – 59-66. 36 B.M.Vinod, HRD Policies and Training needs in Co-operative Banks, Bank Quest, the Journal of

Indian Institute of Banking and Finance Vol 78, No 3 July – September 2007 The Arcade World

Trade Controls II, 2nd Floor, East Wire Coffee Parade Mumbai 400005 libgen @ boms vsnlnet in

www. Iibf org in pp 67-72

37 Thaiagarajan. T.S., Training needs of the banking personnel, Banking Finance, Kolkata, 4 April

2008, pp13-15.

23

self development of the employee and for better services to the customers. Post

training review will assess whether there is improvement in terms of quality,

quantity and speed in the particular area where the staff has been trained. Training

needs have to be assessed periodically and programmes to be designed accordingly,

which will ultimately benefit employees, bank and customer at large.

Prasad. A and Reddy Ch Panduranga38 in their article have opined that HR

practices and training needs of the banking personnel would assume greater

importance in the changing world. Training and retraining, development of

employees of the bank and promoting a culture of continuous learning would be a

major challenge for the banks in India. An equally important issue relevant to HRM

is to create a conducive working environment in which the bankers can take

commercial decisions judiciously and at the same time, without fear.

Vinayagamoorthy A39 in his paper has made a careful study of development

in Indian banking. Banks have to deal with the sophisticated clientele with the help

of latest technology. It is high time to train and retrain the banking personnel on the

acquisition, installation and use of the information technology. So that the benefits

of information technology will reach the customers.

Prakash B, Ali Mohmed and Gayathri C40 have conducted a study by selecting

160 respondents from operational staff [conductors and drivers] at gross root level

in Warangal division of APSRTC. The objective of the study was to know the

effectiveness of training programmes organized for the employees of APSRTC.

The study revealed that the training programmes organized by APSRTC are proved

38 Prasad A and Reddy Ch Panduranga Challenges in India’s Banking sector Southern Economist May

1 2008 Volume 47, No 9, I Main, Jamai Masjid Complex I Floor 10&11 Palace Guttahalli

Bangalore- 3 pp 53- 54

39 Vinayasamoorthy A, Globalisation and recent trends in banking, Banking Finance February 2008,

Vol XXI No 2 25 Baranashi Ghosh street Kolkata – 700, 007 pp 9-14

40 Prakash. B., Ali Mohamed and Gayathri .S, ‘Training in APSRTC – An Empirical Study,’ The

Journal of Indian Management and Strategy, Volume 13, No 1, January – March 2008, Strategic

Consulting Group OCF PKT – 9 Sector-B, Vasant Kunj, New Delhi – 110070 pp 11-14.

24

to be effective and knowledge gaining to the trainees. Majority of the trainees have

expressed that the training programmes are worth full and very useful for updating

the skills to meet the challenges of the changing environment in the present

competitive transportation industry.

Krishnamurthy B41 has conducted a research by selecting 60 manufacturing,

15 business / trading and 45 service/job work industrial units. The objective of the

research was to evaluate the effectiveness of training institutions in imparting

training and to evaluate the type of training undergone by the sample entrepreneurs.

The study shows that the entrepreneurs were fully benefited in respect of some

qualities like improvement in knowledge and efficiency, systematic approach to the

problem and their solution and better communication. They were partly benefited in

respect of qualities like marketing, financial management, economical operation and

better control techniques. The study shows that there are three kinds of training

programmes were organized by the training institutions. They were: conceptual

oriented training, management oriented training and skill oriented training.

Mellacheruvu Sujatha and Krishnamacharyulu C.S.G42 have conducted a

study on the challenges faced by public sector banks in India. The objective of the

study was to focus on the suggestions made by the experts in the banking industry.

The study revealed that while pointing out the problems relating to human resources

in public sector banks, the experts and high level HR committee which has

representations from Indian Bankers Association, Government of India, State Bank

of India and other public sector banks have suggested measures to overcome the

deficiency in training. Training and development programmes will provide a means

41 Krishnamurthy B, Training and Entrepreneurship Development in small scale sector: A case study of

Hubli-Dharwad an unpublished thesis (M.Phil) submitted to Karnatak University Dharwad, February

2001, t – 6376

42 Mellacheruvu Sujatha and Krishnamacharyulu. C.S.G, ‘Challenges of Human Resource Management

in Public Sector Banks’, The Journal of Indian Management and Strategy, Volume 13, No 1,

January-March 2008, Strategic Consulting Group OCF Pkt – 9, Sector –B, Vasant Kunj, New Delhi

– 110070. pp 42 – 45.

25

for pinpointing the most critical competencies for the banks success. Training

programmes should be in conformity with the changed scenario and demands from

customers.

Chidambaram R.M. (Dr) and Alamelu K (Ms)43 in their paper justify the need

for effective HRD practices in banks comprising of a scientific system of

recruitment, proper methods of training and development, effective appraisal and

reward mechanism. Retraining of staff is necessary to overcome some issues in

behavioural training.

Kumar Sharad44 in his paper focuses on human related factors directly

contributing to the efficiency, productivity and overall effectiveness of Indian

banks. He says, “Training is an inseparable part of organizational effectiveness.

Employees must be exposed to knowledge and training is an ongoing basis to keep

pace with the fast changing technology.”

Mishra. P. C.45 in his paper examines the existing personnel situation and

evaluation of the related policies and practices towards their relevance for the

future. In this respect, the paper highlights the need and the importance of personnel

research for the better management of human resources. Banks are spending

colossal amount on training of staff, but the results are not happy. Hence, there is a

necessity that research in this area to be conducted.

Chawla. O. P.46 in his article analyses the challenges in banking education and

training. He concludes that the future of training system in the banking industry is

43 Chidambaram R.M. (Dr) and Alamelu K (Ms), ‘HRD in Banks’ State Bank of India Monthly

Review, November 1997, pp 576-581. 44 Kumar Sharad, ‘Human Factors Contributing to Organizational Effectiveness with Special Reference

to Indian Banks’ SBI Monthly Review, December 1996, pp 621 629 45 Mishra P.C, ‘Manpower Management in the Banking System- The need for Personnel Research’,

The Banker, December 1994, pp 53-55 46 Chawla O.P (Dr) ’Banking Education and Training – Emerging Challenges’, The Banker, January

1994, pp 20-22.

26

brighter as well as more challenging. There is a need to review the training system

in detail and depth in the current scenario.

Shivaji. K.,47 in his paper observed human resource development in co-

operative banks. He criticizes the existing training programmes when he says,

“There is a need to improve the quality of training in most of the training institutes

for the optimum development of human resources in the co-operative banks.”

Patil. K.A.48 in his article observes the role and impact of computers in banks.

He specifically mentions the need for computer training to different levels of bank

staff, in order to make them computer savvy and serve the customers.

Mankad.Ruchi .V.49 in his article talks about the training imparted by Infosys

Technologies Limited to its employees, especially for the fresh recruits. Every new

recruit has to undergo approximately three months of extensive training before he is

made billable to clients. Training programmes focuses mainly on technical skills;

freshers are also trained in soft skills. Training is imparted on global etiquette,

comportment, importance of body language, public speaking, improving

interpersonal communication and team building. Infosys being rated as the world’s

best in employee training and development by ‘The American Society for Training

and Development’ for consecutive three years 2002, 2003 and 2004 is the testimony

of Infosys’ commitment towards it’s employees.

Ramanna PSV (Col)50 in is article attempts to prove the general belief of an

army being a typical command – and-control structure and not a learning

organization to be merely a popular fallacy. He establishes that the army is indeed a

47 Shivaji K, ‘Human Resource Development in Co-operative Banks,’ The Banker, December 1993, pp

39-43. 48 Patil.K.A, ‘Computerization and Training Needs in Banking Industry,’ The Banker, February 1995. 49 Mankad Ruchi.V., ‘Training Fresh Recruits at Infosys,’ HRM Review, The ICFAI University Press,

Hyderabad August 2006, pp 27 – 32. 50 Ramanna PSV (Col) ‘Indian Army – A Learning Organization,’ HRM Review, The ICFAI

University Press, Hyderabad, January 2008, pp 66 – 69

27

learning organization by comparing and contrasting the features of a learning

organization as defined by various academics and consultants and the actual

practices of the army.

Chakraborty Manishankar51 in his article explains the actual need for training

and its relationship with the development of an organization, both monetarily and

non-monetarily. He concludes that training is an important tool for increasing the

overall productivity of an organization. He also focuses on why, when, how and

whom to train in the present scenario.

Mallikarjun52 has made a study of Executive Development Programmes

(EDPs) in Indian context and benefits of EDPs. Corporate accord high priority to

EDPs for bringing out highly trained and skilled executives. For a corporate to

glow with success, and the executives to advance with satisfaction and elation,

EDPs are indispensable.

Mallikarjunan. K.53 in his article argues that only a trained employee can

deliver goods and help his employer/organization thrive so that it makes its own

contribution to the economy and thereby to society as a whole. But he also says that

the true spirit behind the training and development programmes in knowledge

society should have every concern for providing good opportunities for training and

self development to employees with disabilities also. Proper training does motivate

an employee to achieve excellence in his performance.

51 Chakraborty Manishankar, ‘Training and Development An Essential Review,’ HRM Review, The

ICFAI University, Press, Hyderabad, January 2009 pp 63-65 52 Mallikarjunan, ‘Executive Development Programme – A Chisel for HR Architects,’ HRM Review,

February 2008, the ICFAI University Press, Hyderabad, pp 14-18 53 Mallikarjun.K., ‘Training and Development Knowledge Society,’ HRM Review, The ICFAI

University Press, Hyderabad, October 2005 pp 61 -67

28

Shrotriya Vikas,54 in his article discusses some aspects of the need, process,

methods and advantages of retraining i.e., training again. It is the training the

employees with newer skills of performing their jobs due to the changes in the

environment. Because the skills set of employees needs to be updated regularly or

they turn obsolete.

Jagan.K.55 in his paper highlighted the importance of human resource in public

sectors and major activities in human resource management. Human resource

development policies need to be changed according to the major changes which

have already taken place in many countries. They need to be redesigned and help in

the development of people working in an organization. Human resource

management policies and practices have been successful in public sector, reduced

indiscipline among the employees and enhanced the industrial peace in public sector

management.

Prasad. A. and Reddy.Ch. Panduranga56 in their paper has observed the

challenges in India’s banking sector in the LPG era. They have also made some

suggestions to face the challenges and competitions from within and outside the

country. One among them is training and development programmes organized for

the bank staff. Training, retraining the staff and promoting a culture of continuous

learning is necessary to remain competitive. Human resource development practices

would assume greater importance if they change and restructure and capitalize on

them to improve efficiency and to deliver higher levels of customer service. Thus,

banks are required to reorient themselves with the changing environment in order to

be successful and create a conducive working environment, for their staff.

54 Shrotriya, Vikas, ‘Retraining – a Perspective’, HRM Review, The ICFAI University Press,

Hyderabad, July 2008 pp 45 – 48. 55 Jagan.K., ‘HR Management and Practices in Public Sectors’, Southern Economist, Volume 47,

Number 1, May 1 2008, Bangalore pp 73-74. 56 Prasad. A. and Reddy Ch., Panduranga, ‘Challenges in India’s Banking Sector’, Southern Economist,

Volume 47, Number 1, May 1, 2008, Bangalore, pp 53 - 54

29

Mehla Sunita and Prasad Hanuman57 in their paper have made an attempt to

study the various reforms, their impact on the functioning of Indian banks and

challenges that they have to be face in future. After 1990s, in India more

importance has been given to manpower planning, career plan, training and

development and performance appraisal of bank staff. But before 1990s trade

unions with political patronage resisted any form of change in Indian banking

system. Today, banks have to recognize the changing environment and take

appropriate measures to face the challenges or competition from private and foreign

banks.

Vinayagamoorthy, A (Dr)58 in his paper observed the impact and influence of

information technology in the banking system of out country and also the entire

banking system of the world. It is high time to train, retrain and develop the

banking personnel on the acquisition, installation and use of the information

technology.

Osula Bramwell (PhD)59 and Banks Bonnie in their article have explored the

impact of globalization on executive leadership development. Economic reforms,

developments in science and technology have stressed to focus on training and

development of employees to prepare for tomorrow. And these programmes will

need to offer a value added component. These programmes will need to be

improved if managers, leaders and executives are not just to survive but become

agents of change in tomorrow’s brave new world.

57 Mehla Sunita and Prasad Hanuman, ‘Banking Reforms : Progress and Emerging Issues’, Southern

Economist, Bangalore, Volume 46, Number 20, February 15, 2008, pp 16-20 58 Vinayagamoorthy.A. (Dr), ‘Globalization and recent trends in banking,’ Banking Finance,

February 2008, pp-09-14 59 Osula. Bramwell (Dr.) and Banks, Bonnie, ‘Preparing for Tomorrow’s World’, HRM Review, The

ICFAI University Press, Hyderabad, February 2008 pp 10-13.

30

Singh. R.L.60 in his study observed that Indian Vocational Education and

Vocational Training (VET) system does not meet the expectations of employment

market today. Because, there is no co-ordination mechanism between Department

of Vocational Education and the Department of Vocational Training. Despite many

experiments failed it is time to integrate both Vocational Educational and Training

System into National Vocational Qualification Framework (NVQF) which will have

inbuilt system of demand assessment, skill standardization, quality assurance and

self correction. This shall be an effective platform to integrate vocational

education, vocational training, and sensitize employers and social partners. It will

produce the workforce of international standard and helps in solving the problem of

unemployment. Carefully designed and sincerely implemented system with

necessary social skills can be most useful tool in national integration.

Khattar Poonam61 in her paper has made detailed study state efforts in India

towards policy for training and human resource development in Rajasthan,

Chhattisgarh and Jharkhand. A brief review of the Five-Year Plans suggests that a

number of reforms related to training of health functionaries have been suggested

and formed the core of health system over a period of last few decades. Yet, several

drawbacks like duplication of trainings and personnel, lack of programmes

evaluation have been identified. The paper suggests formulation of Human

Resource Development policy to meet the goals related to health sector. The paper

also suggests that outlining policy guidelines would lay a strong foundation to

strengthen the system and also cater to aspects like cost containment in trainings,

quality of care concerns and creation of new categories of health personnel etc.

60 Singh. R.L., ‘Managing Vocational Training Effectively-Exploring National Qualification

Framework,’ Indian Journal of Training and Development, New Delhi, Vol XXXVII No 4 October-

December 2007, pp 55 – 63 61 Khattar. Poonam, ‘Do we need a Human Resource Development Policy in Health,’ Indian Journal of

Training and Development, New Delhi, Vol XXXVII No 4 October-December 2007, pp 43-53

31

Guruprasad D.V. (Dr)62 in his article highlights the working conditions and

behavior of constables in police department in India. He has conducted a survey by

selecting 2000 police constables (only civil constables). There is a need to give

more importance to training police constables to avoid the problem of human

resource in the department. Because police constables are not deputed to various

levels of training and development programmes. Police constables are only

attending training programmes once in their service life. The department is facing

new challenges in the present scenario. Training and development of police

personnel is the only solution to face the challenges. He suggests, every police

constable must undergo one training programme for every three years. He opines

such training will improve competencies, skills and knowledge of the police

personnel and helps to change their attitude. This will enable them to face new

challenges.

Talawar .V.G., (Dr)63 stressed the importance of training the staff in a

university. Training is essential not only for managers, superintendents but also for

attenders and peons to improve their performance. Trained staff will certainly

contribute to organization’s success.

G.Desikamani64 in his article highlighted the importance of training and

development of personnel in workplace. He argues that this area has been dealt

with in a far less scientific manner than it deserves. There is a need to invest more

effort in programme in design than in co-ordination of delivery. Multiple stimuli

Model will help to achieve higher skill of transfer. There is a need to connect

employee rewards not just to immediate task/business but also to potential/readiness

62 Guruprsad D.V. (Dr.) ‘Padee Endekee Heegaleyuveri Nanna’ Prajavani Kannada Newpaper, Hubli –

Dharwad Edition, 22 – 01 – 2009, p-06 63 Talawari.V.G. (Dr), ‘Every, dept should be transparent in its working’, Deccan Herald, Hubli-

Dharwad Edition, Monday, January 26, 2009, p 11. 64 G. Desikamani, ‘Importance of training and development in workplace’ Deccan Herald, DH

Avenues, Hubli-Dharwad Edition, January 28, 2009, Wednesday, pp I – II.

32

to perform. Unless it is incumbent upon the employee to prove his readiness the

importance of learning will never sink in. Necessary infrastructure should be

provided and programmes management is vital for the success of training and

development programmes.

Mohanty Itishree65 in her article showcases the importance of evaluation

phase of training and development programmes which organizations generally

ignore. Evaluation of training and development programmes can provide the top

management with abundant information on the extent to which learning has bridged

the gap between intended and actual output accrued through the application of

learning, the shortfalls of progammes etc. The article also cites a few evaluation

models like, Kirkpatrick’s Four Levels of Evaluation, The Productivity Model and

Kearns Baseline Evaluation Model that organizations have adopted to understand

the benefits reaped out of their training and development programmes. Training

evaluation checks whether the investment made in them has had the desired effect

or not.

Trivedi Vikas (Dr)66 in his research paper deals with comparative account of

human resource practices of public and private sector banks and provides an insight

into the different human resource strategies in both the sectors. He has conducted a

study by selecting 123 employees from public and private sector banks. For this, he

has used a structured questionnaire. He concludes that employees in private sector

banks are encouraged to work and try to be excellent in their work, and all

opportunities are provided to the employees. But in public sector banks employees’

promotions are given on the basis of seniority and their hierarchical positions are

based on other considerations. He suggests, public sector banks should undertake

65 Mohanty. Itishree, ‘Evaluating a Training Development Program, HRM Review, The ICFAI

University Press, Hyderabad, February 2009, pp 53-57 66 Trivedi Vikas (Dr), ‘HR Perspectives in Indian Banking System,’ The Indian Journal of Commerce,

Vol 61, No 1, January-March 2008, Delhi, pp 68-73.

33

long-term training and retraining programmes. And the training facilities in public

sector banks should be strengthened.

Gurulakshmi.K.G.and Vidhya.M.67 in their article have made critical study

on training and development programmes in State Bank of India.They stressed the

need for training and development programmes and also their evaluation regularly

in order to improve them. The training methodologies such as target groups,

suitable audio-visual, types of programmes and other related general aspects are

called as four pillars of training in the banks training system. They suggested that

training programmes should be on the mark so that they respond to employees,

organization and industry needs. Careful planning, implementation and evaluation

of training programmes increase the positive change in human behaviour and

therefore improve the bank`s efficiency.

Objectives of the Research Study

1) To analyze the expectations about training and development programmes

2) To assess the perception about training and development programmes

3) To assess the impact of training and development programmes

4) To assess and analyze employees attitude toward training and development

programmes

5) To assess and analyze existing training and development methods in SBI.

6) To analyze the relation between employee performance and training and

development programmes.

67 Gurulakshmi.K.G.and Vidhya.M,`HR Challenges of Bank Employees with special reference to

training and development programmes in State Bank of India' The Economic Challenger, No 13,

Issue 50, January-March 2011,Ajmer.

34

7) To ascertain satisfaction amongst the employees about training and

development programmes.

8) To analyze the perceptions of the employee towards training and

development programmes of SBI.

9) To offer useful suggestions based on findings.

Hypothesis

1. Hypothesis: There is no significant difference between age groups (i.e. 20-29

years, 30-39 years, 40-49 years and 50-59 years) of bank employees with respect

to training and development programmes (and its components).

2. Hypothesis: There is no significant difference between different designations of

bank employees i. e, Assistants, Senior assistants, Special assistants, Scale –I

Officers, Scale –II Officers and Scale –III Officers with respect to training and

development programmes (and its components).

3. Hypothesis: There is no significant difference between assistants and officers as

a designation of bank employees with respect to training and development

programmes (and its components).

4. Hypothesis: There is no significant difference between educational

qualifications of bank employees (graduate, postgraduate and professional) with

respect to training and development programmes (and its components).

5. Hypothesis: There is no significant difference between bank employees with

and without pursuing degree or course with respect to training and development

programmes( and its components).

6. Hypothesis: There is no significant difference between bank employees with

and without completed degree or course after joining bank with respect to

training and development programmes (and its components).

35

7. Hypothesis: There is no significant difference between bank employees with

membership in professional organizations with respect to training and

development programmes (and its components).

8. Hypothesis: There is no significant difference between bank employees

belonging to different years of service of (0-9 years, 10-19 years and 20+ years)

with respect to training and development programmes (and its components).

9. Hypothesis: There is no significant difference between bank employees

attended by number of training programmes (1-10, 11-20, 21+)) with respect to

training and development programmes (and its components).

10. Hypothesis: There is no significant difference between bank employees with

number of promotions (none, one, two, three or more) with respect to training

and development programmes (and its components).

11. Hypothesis: There is no significant difference between bank employees living

in joint and nuclear type of family with respect to training and development

programmes (and its components).

12. Hypothesis: There is no significant difference between employment status of

spouse (employed and unemployed) of bank employees with respect to training

and development programmes and (its components).

13. There is no significant relationship among components of training and

development programmes scores of bank employees.

14. There is no significant relationship among components of training and

development programmes scores of assistants.

15. There is no significant relationship among components of training and

development programmes scores of senior assistants.

36

16. There is no significant relationship among components of training and

development programmes scores of special assistants.

17. There is no significant relationship among components of training and

development programmes scores of scale-I officers.

18. There is no significant relationship among components of training and

development programmes scores of bank employees’s as a scale-II officers.

19. There is no significant relationship among components of training and

development programmes scores of bank employees’s as a scale-III officers i.e.

Research methodology

The research work confines itself to an in-depth analysis of various aspects

of training and development policies and practices in State Bank of India. The study

is based on primary data in particular and secondary data in general. Primary data

are collected through questionnaire, supported by personal interview and discussion

with the bank staff. Secondary data are collected by referring to books, journals,

magazines, research papers, articles and websites. The study is an empirical survey

covering 10 districts and 480 employees of State Bank of India. The study is based

on both the primary data and the secondary data.

Primary Sources of Data

Primary source of data has been collected from 480 employees of the bank

belonging to two categories officer level and clerical level. The responses of the

selected employees have obtained (collected) through questionnaire interview

schedule with them by the researcher on various aspects related to training and

development programmes. In addition to these, personal interviews were held by the

researcher with the Chief Manger, State Bank Learning Center, (SBLC), Chief

Manager for Training (Training Manger), Faculty of the SBLC and managerial level

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officers of other banks on different aspects of training and development policies and

practices and the programmes conducted in the training centre.

Secondary source of Data

The secondary sources of data included publications of the State Bank of

India like Annual Reports and other publications etc. Other sources of secondary

data were obtained from books, research journals, magazines, and publications of

NIBM, IJTD, ASTD and others.

Selection of the Study Area

10 districts were selected for the field survey. The districts were selected

randomly on the basis of the jurisdiction of the State Bank India’s Bangalore circle

for the research study.

Selection of the Branches

A total numbers of 46 branches of SBI were randomly selected for obtaining

responses from the employees. Due wastage has been given to the urban, rural and

other areas in selecting branches.

Statistical Tools Used For Data Analysis

The data were analyzed with reference to the objectives and hypotheses by

using descriptive statistics, differential analysis including unpaired t-test, One-Way

ANOVA followed by Newman-Keuls multiple post hoc procedures and Pearson’s

correlation coefficient analysis by using SPSS 16.0 statistical software and the

results obtained thereby have been interpreted.

Selection of Respondents

A total number of 480 respondents were selected randomly from the bank.

Of these 180 respondents belong to the category of officer level and 300 belong to

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the clerical level. The district wise and category wise numbers of the respondents

selected for study is indicated in the following table.

Table No: 1

Selection of respondents

Sl. No

District Number of Branches

Assistant Senior

Assistant Special

Assistant Scale I Scale II Scale III TOTAL

1 Bagalkot Bagalkot(2) 5 4 4 6 4 2 25

Hungund(1) 2 2 1 1 1 - 7

Kudalasangam(1) 2 1 1 1 - - 5

Mudhol(1) 2 4 3 2 1 - 12

Jamakhandi(2) 2 6 4 4 3 2 21

Kerur(1) 2 1 1 1 - - 5

Bilgi(1) 2 2 1 1 - - 6

Badami(1) 2 2 2 1 - - 7

2 Bijapur Bijapur(2) 10 13 10 5 3 2 43

3 Bidar Bidar(1) 6 8 7 3 2 1 27

4 Belgaum Sambra(1) 2 2 2 1 1 - 8

Kittur(1) 2 1 1 1 - - 5

Belgaum(6) 16 15 10 10 10 5 66

5 Dharwad Dharwad(5) 5 5 5 7 5 3 30

Hubli(5) 5 5 5 8 5 4 32

6 Gadag Gadaga(2) 2 5 6 8 4 2 27

7 Gulbarga Gulbarga(2) 8 7 20 12 10 5 62

Jewargi(1) 2 1 1 1 - - 5

8 Haveri Haveri(1) 2 4 3 4 3 1 17

9 Raichur Raichur(2) 5 5 4 4 3 2 23

Lingasur(1) 2 2 2 1 1 - 8

Mudgal(1) 2 2 1 1 1 - 7

10 Yadagir Yadagir(1) 6 1 2 3 2 1 15

Khanapur(1) 2 1 1 1 - - 5

Kembhavi(1) 2 - 1 1 - - 4

Shahapur(1) 1 - 1 1 1 - 4

Shorapur(1) 1 1 1 1 - - 4

Total 46 100 100 100 90 60 30 480

Source : Field study

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Data Compilation and Analysis

The responses of the 480 employees have been properly classified and

tabulated in properly devised statistical tables. Thus the tabulated data have been

analyzed and interpreted to derive appropriate findings, which have led to

significant conclusions and inferences.

Scope and Limitations of Study

The study covers the analysis of training and development policies and

practice of human resources in State Bank of India. It is undertaken with a broad

view of making an in-depth study if the impact of training and development

programmes on human resources in State Bank of India. It is useful for the human

resource department in its exercise of policies and practices and drafting of

programmes for human resource development.

However, the study has the following limitation:

The primary data is collected from SBI bank staff belonging to Hubli Zonal Office

of Bangalore Circle and hence the findings and conclusions of the study cannot be

generalized.