HRM Report: The Importance of Training and Development in Business

This report delves into the critical role of training and development within Human Resource Management. It emphasizes the increasing importance of employee skill enhancement for organizational success in a competitive business environment. The report examines the impact of training and development on employee performance, job satisfaction, and overall business outcomes, referencing the Herzberg Two-Factor Theory and McGregor's Theory X and Y to provide a comprehensive understanding. It highlights the need for companies to prioritize employee training, offering recommendations such as mandatory training programs, flexible training delivery, and the inclusion of both technical and soft skills in training curricula. The report concludes by stressing the need for companies to include diversity and workplace safety in their training programs to ensure employee well-being and contribute to sustained business success. This report is a valuable resource for understanding the multifaceted benefits of strategic training initiatives within HRM.

Running head: HUMAN RESOURCE MANAGEMENT
Human Resource Management
Name of the Student
Name of the University
Author Note

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Table of Contents
Introduction:...............................................................................................................................3
Research Results:.......................................................................................................................3
Identification of the Importance of Training and Development:...............................................5
Recommendations:.....................................................................................................................7
Conclusion:................................................................................................................................7
References:.................................................................................................................................9

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Introduction:
The training and development is observed to be associated with greater significance in
the modern world of trade activities. Majority of the multinational companies are putting
strong emphasis towards the effective handling of the developmental needs of the employees.
As per the esteemed opinion of McKenzie (2015), the intense level of rivalry in majority of
the business industries is forcing the companies to feel the necessity of retaining their
customers. Han and Hyun (2015), claimed that the basic strategies for appropriate retention
of the customers from the part of the companies are application of the low pricing, improving
their marketing and promotional strategies, increasing their product offerings and most
importantly, the enhancement of the quality of the products and services. Hence, it is
becomes important for the companies to concentrate on the skill improvement of the
employees. Under such circumstances, the training and development becomes important for
the organizations as it has the potential of contributing to the improvement of efficiency,
abilities of staffs for the raising their quality of service and for increasing their production as
well. The study delivers a brief analysis on the importance of the training and development
for the maintenance of the high sustainability associated with their business actions. The
Herzberg two factor theory and McGregor’s theory X and theory Y are applied in the study
for better understanding of the significance of training and development for enhancing the
quality of the business actions at the organizational context.
Research Results:
With a close look at the concept of the training and development, it is evident that the
mentioned human resource intervention is one of the top most priority for the companies in
the efficient management of their businesses. The increasing changes in the dynamics of each
and every business industry are enhancing the vulnerability of the companies in maintaining

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their survival and growth in the industry. The increasing new entries in majority of the
business industries is intensifying the threat of survival for the established organizations.
Other than this, Ascarza et al. (2018), highlighted that the purchase preferences of the
modern customers varies in a substantial manner and that is certainly a point of concern for
the companies in maintaining the sustainability of their business. On the other hand, the
companies that are associated with a growing business industry and are facing excessive
demands of their services, are also in need to develop an optimal workforce and high
performance working environment for the management of the same. As a result, role of the
skill development of the employees is considerably important for the success of the company
in both cases where the company is in need to nullify the impact of the competition and to
achieve higher growth. The basic success with the training and development is the
enhancement of the efficiency, knowledge and the expertise of the employees in managing
higher production, gathering knowledge and delivering optimum quality services to the
customers for maintaining the company’s value proposition. Having said that, Noe and
Kodwani (2018), highlighted that the incapability of the companies in not being able to
manage the training and developmental activities in an efficient manner, affects their success
in maintaining high employee morale, strong service reputation and it also raises the
dissatisfaction and job stress of the employees.
Two of the important models that are applicable for the management of the training
and development of the employees is the Herzberg Two factor theory and McGregor’s theory
X and theory Y. The Herzberg Two factor theory clearly highlights the needs of the
employees in two broad categories such as Hygiene and Motivators. With a close
consideration towards both the aspects, it is evident that, the employees require supervision
from the part of the senior employees and higher authority for managing their operational
activities in an errorless manner and absence of such an intervention from the part senior

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management of the respective business organization enhances the job dissatisfaction of the
employees and it contributes towards the development of an inappropriate working condition.
On the other hand, Bell et al. (2017), claimed that the growth is recognized as an important
motivator for the employees and is responsible for the enhancement of the job satisfaction of
the employees. Asfaw, Argaw and Bayissa (2015), mentioned that the companies that have
the ability to identify the training requirements of their employees and develop customized
training facilities for appropriately meeting those skill needs of the employees, are able to
contribute to the continuous professional growth of the employees. On the other hand,
Lawter, Kopelman and Prottas (2015), claimed that the Mcgregor’s theory highlights the
necessity of the skill enhancement programmes for enabling staffs categorized under the
Theory X to meet the benchmarked performance and on the opposite side, Lawter, Kopelman
and Prottas (2015), further stated that the training and development is crucial for motivating
and retaining the talented employees categorized in Theory Y.
Identification of the Importance of Training and Development:
With a close look at the theories, it is evident that the Herzberg theory clearly
educates the senior management of the companies regarding the need of supervision for the
enhancement of the performances of the employees and for enhancing the satisfaction level
of the employees. Along with that, the theory advocates for the strong contribution of the
employee training in developing a suitable working condition for the high performances.
Other than this, Alshmemri, Shahwan-Akl and Maude (2017), mentioned that the Herzberg’s
growth motivator specifies the requirement of the continuous professional growth of the
employees for enabling them to meet the increasing demands of the market and for enhancing
the excellence of their services which is vital in retaining and attracting larger number of
customers in a more professional manner.

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On the other hand, the Mcgregor’s Theory X and Theory Y also provides important
lesson to the managers and the supervisors regarding the necessity of the training and
development for the improvement of the organizational performances. With a close
consideration towards the model, it is understandable that the companies are required to
ensure that they place the employees who are lazy and lacks flexibility for enhancing their
performances or achieving the desired performances to the employee training. The training is
important for those employees for not only counselling the individuals regarding the
necessity of improving the performances to ensure their survival in the company and labour
market but also to stabilize the fact that the employees do not face any sort technical and skill
based challenge in managing high performances (Glinkowska and Kaczmarek 2015). The
importance of the training and developmental activities is considerably in the approaches of
the companies towards the management of their talented and high performing employees.
The high performing employees continuously strive for the betterment of their performances
in different aspects such as quality and quantity. In such situation, the Theory Y of the model
is pretty significant in educating the companies regarding the necessity of initiating high-
performance training programmes for retaining them in the company and improving their
array of expertise (Bojadziev et al. 2016).
The training and development has a tremendous role to play in the betterment of the
services of the modern companies. The training and development contributes to the rise of
skills and expertise of the employees. As a result, the collective knowledge of the company
gets increased and at the same time, it pays the dividends to the company in many of the
ways. The improvement in the skill of the employees contributes to better quality of services,
improved ability in meeting higher demands of services, better working environment, better
customer retention and lead generation, better utilization of the inventory, increment in sales,
generation of larger revenue, improvement of the employee morale and higher level of job

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satisfaction amongst the employees in both short and long term (Mpofu and Hlatywayo
2015).
Recommendations:
With a close look at the above discussion, it is understandable that the companies are
required to create the provision of mandatory training for each and every employee. Along
with that, every employees should be given a uniform and appropriate scope for undertaking
the training for the betterment of their performances.
The companies are recommended to acknowledge the need of hour of the modern
labour and employment market where the flexibility of the training services requires to be
high. The organizations are in need to create online training materials for delivering their
training services at the digital platforms to ensure that the employees are achieving sufficient
scope for managing their operational activities and training at the same time. Walmart has
gained substantial success following the mentioned recommendation with the introduction of
Walmart Academies (Corporate.walmart.com 2020).
The companies are required to ensure that they provide both technical skills and soft
skills such as leadership, communication and business ethics in their training activities for the
360 degree skill improvement of their employees. The success of Woolworths in managing
their training is pretty substantial in stating the significance of the simultaneous delivery of
training on soft and hard skills (Wowcareers.com.au. 2020).
The companies are recommended to include the workplace safety and diversity
management as important part of their training programmes to ensure that the employees
have in depth understanding regarding the above mentioned crucial aspects of the business
management.

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Conclusion:
On an ending note, it is visible that the companies have the necessity to prioritize the
training of their employees for the improvement of the sustainability of their business actions.
The professional management of the skill development activities of their employees is seen to
play a substantial role in the enhancement of the ability of the company in increasing their
sales, revenue, number of customers and in the enhancement of their service reputation. The
companies are in need to include the diversity and workplace safety in the training curriculum
for ensuring that they contribute to the good health of the employees.

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References:
Alshmemri, M., Shahwan-Akl, L. and Maude, P., 2017. Herzberg’s two-factor theory. Life
Science Journal, 14(5), pp.12-16.
Ascarza, E., Neslin, S.A., Netzer, O., Anderson, Z., Fader, P.S., Gupta, S., Hardie, B.G.,
Lemmens, A., Libai, B., Neal, D. and Provost, F., 2018. In pursuit of enhanced customer
retention management: Review, key issues, and future directions. Customer Needs and
Solutions, 5(1-2), pp.65-81.
Asfaw, A.M., Argaw, M.D. and Bayissa, L., 2015. The impact of training and development
on employee performance and effectiveness: A case study of District Five Administration
Office, Bole Sub-City, Addis Ababa, Ethiopia. Journal of Human Resource and Sustainability
Studies, 3(04), p.188.
Bell, B.S., Tannenbaum, S.I., Ford, J.K., Noe, R.A. and Kraiger, K., 2017. 100 years of
training and development research: What we know and where we should go. Journal of
Applied Psychology, 102(3), p.305.
Bojadziev, M., Stefanovska-Petkovska, M., Handziski, V. and Barlakoska, G., 2016. Age
related preferences of leadership style: Testing McGregor’s Theory X and Y. Journal of
Management Research, 8(4), pp.187-207.
Corporate.walmart.com 2020. Walmart Training Academies. [online] Corporate - US.
Available at: <https://corporate.walmart.com/photos/walmart-training-academies>
Glinkowska, B. and Kaczmarek, B., 2015. Classical and modern concepts of corporate
governance (Stewardship Theory and Agency Theory). Management, 19(2), pp.84-92.
Han, H. and Hyun, S.S., 2015. Customer retention in the medical tourism industry: Impact of
quality, satisfaction, trust, and price reasonableness. Tourism Management, 46, pp.20-29.

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Lawter, L., Kopelman, R.E. and Prottas, D.J., 2015. McGregor's theory X/Y and job
performance: A multilevel, multi-source analysis. Journal of Managerial Issues, pp.84-101.
McKenzie, D., 2015. Identifying and spurring high-growth entrepreneurship: Experimental
evidence from a business plan competition. The World Bank.
Mpofu, M. and Hlatywayo, C.K., 2015. Training and development as a tool for improving
basic service delivery; the case of a selected municipality. Journal of Economics, Finance and
Administrative Science, 20(39), pp.133-136.
Noe, R.A. and Kodwani, A.D., 2018. Employee Training and Development, 7e. McGraw-Hill
Education.
Wowcareers.com.au. 2020. Training - WOW Careers. [online] Available at:
<https://www.wowcareers.com.au/page/Careers/Develop_your_career/Training/>