THE EFFECT OF TRAINING ON EMPLOYEE PERFORMANCE: IN CASE OF BERHAN BANK S.C ADDIS ABABA CATCHEMENT AREA

Abstract

The main objective of this research is to assess the effect of training on employee performance in Berhan bank Addis Ababa catchment area. In order to get the real picture of the effect of training on employee performance, the research design was explanatory design. The total sample of the study was 290 and 275 were collected back. The sources of data were primary and secondary. The findings revealed that there is training gap analysis in the bank but there is also low attention from bank management, insufficient and inconsistent time, no inclusion of new job roles but repetitive in content of training, in addition the practice of design were not aggressively designed, before the training, employee’s basic skills were not ensured to master the training content. In case of correlation all independent variables have significant correlation. Training need assessment (r=.444**p<0.01), training design(r=.312**p<0.01), Training Delivery (r= .518**) and Evaluation of Training (r= .197**). Training delivery and need assessment are having strong and significant correlation with the dependent variable employee performance. In case regression, R-square, indicates that 41.6% of variation on employee performance is explained independent variables. Training need assessment has a b value .344 (p<0.05), training design beta value .115 p<00, Training Delivery beta value .401 P<0.01, Evaluation of Training beta valu.098. This indicted that training need as training needs assessment; training design; training delivery; and training evaluation have a statistically significant and positive relationship with employee performance. Finally the researcher recommends since all independent variables were significant the manager of the bank should due attention fro each phase in training process.