Effect of Training and Development on Organizational Performance

Abstract

The purpose of this study was to find out the impact of training and development on organizational performance. Organizations have been spending a substantial portion of their budgets on training and development in the belief that this will translate to an increase in employee productivity. This study was carried out in three companies namely Kenya Power,KenGen and Mumias Sugar Company. Descriptive survey design was adopted in the study. The study population was 5866 employees in the three companies. The findings of the study were that training and development had a significant effect on organizational performance. It is recommended that organizations should provide training and development as it is an important ingredient in improving organizational performance. Training should be done after a careful needs assessment, provided equally to all employees, should be continuous and should be evaluated.