Sabah Electricity Sdn. Bhd. (SESB) is an 80% owned subsidiary of Tenaga Nasional Berhad (TNB) and 20% by the State Government of Sabah. It is a vertically integrated utility providing reliable generation, transmission and distribution services in the state of Sabah and the Federal Territory of Labuan. SESB is committed to developing the electricity infrastructure in the state of Sabah and the Federal Territory of Labuan including the implementation of the Rural Electrification Program. (http://www.sesb.com.my/index)
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1.1.1 History
Electricity started in Sabah as early as 1910 supplied by 3 separate organizations. In 1957, these three organizations combined to form North Borneo Electricity Board. When North Borneo joined Malaysia in 1963 and changed its name to Sabah, this entity was renamed Sabah Electricity Board. On 1st of September 1998, Sabah Electricity Board was privatized and became Sabah Electricity Sdn. Bhd. (http://www.sesb.com.my/corporate_profile)
1.1.2 Vision and Mission
1.1.3 Rationale of Logo
The Logo depicts a stylized three-pin plug in a red circular background. The slanting plug denotes continuous electricity supply through innovation, technology driven work force and good work habits, whilst the red circular background indicates improvement in providing services to the customers. the foundation of SESB’s corporate philosophy in Powering Sabah and Federal Territory Labuan into the New Millennium. (http://www.sesb.com.my/corporate_profile).
1.1.4 ORGANIZATIONAL STRUCTURE
1.2 BACKGROUND OF THE STUDY
The background of this study is to identify the factor contributing to the effectiveness of the training done by SESB. It is hope that from the findings obtained SESB can properly plan the appropriate training for its staff.
Nowadays, competency is important in performing the job to produce better service. Therefore, the company has to accelerate the employees’ skills and competency by implementing the training program. The training program is also important in SESB which align with their missions that committed to excellence in products and services.
There are two types of training program implemented by SESB as follows:
External Training
The external training program usually held outside the SESB. The number of trainees that participates the external training program is small.
Internal Training / In-House Training
The in-house training programs are implemented in order they may focus wider target group and reduce the training program cost. The examples of training program are on-site coaching, classroom instruction, on-the-job training (OJT), attachment & Job Rotation, discussions & meetings, conferences, workshops and seminars.
1.3 PROBLEM STATEMENT
Basically, the employees’ knowledge, skills and performance can be accelerated through training program. However, sometimes the implementation of the training program may be ineffective. This is because of the employees’ perceptions towards the training program. They may perceive the training program as an opportunity to grow their knowledge and skills, or as a punishment or just waste of time. Other than that, there are some employees just attending the training program to fulfill the company requirement without willingness to learn and also perhaps only for getting the free meals. This study will focus on the significance of the training program, the training process and training effectiveness evaluation.
1.4 PURPOSE OF THE STUDY
The purpose of the study is to identify the factors which determine the effectiveness of the training program in SESB. In order to do that the researcher needs to explore the training process flow implemented by the Training and Development Department.
1.5 OBJECTIVES OF THE STUDY
1.5.1 To identify the factors that contributes to the effectiveness of the training program.
1.5.2 To analyze the training process flow on how the SESB conducts and evaluates the training program.
1.5.3 To make suggestions and recommendations to SESB.
1.6 SIGNIFICANCE OF THE STUDY
This research is significant to SESB, the university and the researcher.
SESB
The findings of this research will enable SESB to effectively conduct its training program based on the organization’s goal to have its staff more competent and efficient.
The University
This study indicates that the university can produce graduates who can do research as well as the best practices used in SESB can be adopted.
The Researcher
For the researcher, she is able to improve her research skill and gain additional new knowledge and experience.
1.7 SCOPE OF THE STUDY
This study is intended to be carried out in the Sabah Electricity Sdn. Bhd. (SESB) Kota Kinabalu office by the researcher who is undergoing her internship in the organization for 20 weeks. This study encompasses the Human Resource Division.
1.8 LIMITATIONS OF THE STUDY
Lack of time
Since the researcher has only 20 weeks to do her internship therefore time is limited for her to do an in-depth study on the topic chosen.
Limited data
The availability of the sources is limited. This is because of the company’s private and confidential directive whereby any information cannot simply be revealed to the public. Responses obtained from the interviews are uncontrollable by the researcher of its truthfulness.
Lack of experience
The researcher has limited experience in doing research therefore mistakes are unavoidable.
1.9 DEFINITION OF TERMS
Competency Gap – the differences between the employee’s current competency level and the required competency level.
Training effectiveness – the benefits that the company and the trainees receive from training
Training evaluation – the process of collecting the outcomes needed to determine if training is effective
CHAPTER 2
2.0 LITERATURE REVIEW
This chapter is discussing the training program concept in general, which is implemented in Malaysia and SESB. Flippo (1976) defines training as “the act of increasing the knowledge and skills of an employee for doing a particular job”. Training is a planned effort by a company to facilitate employees’ learning of job-related competencies. The goal of training is for employees to master the knowledge, skill, and behaviors emphasized in training programs, and apply them to their day-to-day activities. Training is commonly used in human resource development activity (Ashton and Easterby-Smith, 1979) and may help the employees perform their jobs effectively (Moskowitz, 2008).
2.1 THEORETICAL FRAMEWORK
FACTORS THAT CONTRIBUTED TO THE EFFECTIVENESS OF TRAINING IN
Trainers’ Performance and CapabilitiesDEVELOPINGEMPLOYEES PERFORMANCE AND LEVEL OFCOMPETENCY
Employees’ Characteristics
EFFECTIVENESS OF TRAINING PROGRAM
Top Management Support
Work Environment
DEPENDENT VARIABLES
INDEPENDENT VARIABLES
2.1.1 DEPENDENT VARIABLES
According to Sekaran (2006), the dependant variable is the variable of primary interest to the researcher. The dependent variables in the theoretical framework are the effectiveness of the training program. These dependent variables can be influenced either positive or negative by independent variables – Trainers’ capabilities, employees’ attitude and motivation, top management support and work environment. The result then indicates whether the training program us effective or not.
2.1.2 INDEPENDENT VARIABLES
The Independent Variable is one that influences the dependent variable in either a positive or negative way (Sekaran, 2006). The independent variables in this research are the trainers’ capabilities, employees’ attitude and motivation, top management support and work environment. Rae (2004) insists that the main factors that contribute to the effectiveness of training program are course contents, course duration, training methodology, trainer’s performance and participant’s involvement.
Trainers’ Performance and Capabilities
The selection of the trainers is very important because the inappropriate trainers may cause the training program become ineffective. According to Rae’s (2004), trainers’ performance is the one of the main factors that might influence the effectiveness of the training program.
Employees’ Characteristics
The employees’ characteristics include the employees’ attitude, motivation and perceptions to the training and development. Tracey and Tews (1995) claim that individuals’ characteristic such as motivation, attitude, and basic ability might be effect the potential success of the training program. The employees who are motivated receive training more effectively than the employees who are not motivated. Facteau, Dobbins, Russell, Ladd and Kudisch (1995) stated that motivation is one of the important factors that influence the results of the training.
Top Management Support
The successful and effective of the training program is depends on the support and commitment of top management to the training and development. The terms of support and commitment means the involvement and effort of the top manager in the training and development such as give guidance, follow-up, and leadership. According to Facteau et al. (1995), “organizations whose top management view training as a way to meet organizational goals by making sure that employees take an active part in the delivery of training and in the planning of training objectives; and by maintaining a financial commitment to training “.
Haslinda and Mahyuddin (2009) revealed the findings of their study that top management, commitment and support can hinder the effectiveness of training program such as leadership problem, no guidance and follow-up from top management.
Work Environment
Haslinda and Mahyuddin (2009) found that time constraint and heavy workload whereby the employees busy with their other tasks and the working time clashes with training allocated time. Therefore, they did not attend the training program. Furthermore, the training programs that attended by the employees are not applicable to their job. These may influence the effectiveness of training program.
2.2 TRAINING OBJECTIVES
According to Houlton (1998), the training objectives relate to Training Evaluation because training professionals become clear headed about the reasons of developing, changing, and improving the training program by identifying its objectives (Miller, 2002). Role of training may be seen as “ensuring that the organization has the people with the correct mix of attributes, through providing appropriate learning opportunities and motivating people to learn, and thus enabling them to perform to the highest levels of quality and service” (Bentley, 1990:25).
Drummond (1989) claims that general objectives of training activities are; orienting new employees to the organization and their job, helping employees perform their current jobs well, helping employees qualify for the future jobs, keeping employees informed of changes within the organization, providing opportunities for personal development.
The following are the objectives of the training program at the SESB.Listen
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Trying to help raise the level of competence and delivery workers towards learning in knowledge, skills and other criteria of the job SESB career.
Increased knowledge / skills of an employee in the course of their duties to achieve the level of professionalism and the physical, emotional / spiritual SESB workers.
To produce and develop skilled human resources, efficient and competent.
Committed to monitor training and development programs based on current needs for the delivery of quality human resources and competence.
2.3 THE TRAINING PROCESS
The Human Resource Division in SESB is responsible for planning, providing and managing the training programs for increasing the employee’s knowledge and skills to guarantee the competency and effectiveness of the employees in their current job. The employee’s competency and effectiveness align with the employee’s current job.
Training matrix is a methodology on how the technical training needs are identified, particularly in Generation, Transmission and Distribution division according to the positions / grades and fields.
The employees training needs are identified based on the individual competency gap. The managers have to make sure the employees attending the training program.
The Training Needs Analysis/ Training Needs Identification (TNA/TNI) enables the senior manager to identify the actual training needs for reducing the employee’s competency gap.
The purposes of TNA/TNI:-
To identify the actual training, type of training, frequency of training.
To identify who needs the trainings, what training is needed and what trainees need to learn.
To differentiate the training needs and non-training needs to avoid the training was conducted for other purposes.
To become the fundamental input for training module development.
The Framework of Training Needs (Competency-based concept) as shown below: –
Identify the Competency Needs
The Competency Needs Report for current and future:-
Organization
Job
Individual
Training Roadmap
Analyze the Competency Gap
The Individual Competency Gap Analysis Report
Propose the Competency Development Plan
Training Program
Program Bimbingan
Program Kendiri
All divisions in SESB will prepare their own TNA/TNI Report and will be monitored by Training and Development Department. In preparing the training calendar, the Training and Development Department will analysis reports of TNA/TNI from other divisions. Training Officer will collect, review, analyze and record the difference analysis report / competency gaps and create the annual training calendar based on the TNA/TNI that was acquired from all divisions. Besides that, the training officer will provide the training budget to enable the draft annual training schedule can be provided.
The annual training plan is produced by the preparation procedure of ‘Training Master Plan’ which is used to manage training and development for employees of SESB based on the annual competency gaps and training needs analysis report from the Performance Evaluation (Performance Management System (PMS)). This procedure begins when the report of competency gap analysis completed by each Manager / Head of Section / Department and the PMS reports from the SESB Services Officer.
General Manager will instruct the Training Officer to distribute a letter to the Manager / Head of Division / Department on the preparation of the report analysis of the differences / gaps of competency (Competency Gap Analysis) through the Training Need Analysis & Training Need Identification of three months before the end of the year and training needs analysis reports PMS from the Services Officer.
Then, the Manager / Head of Division / Department will submit the report for actions. Training Officer will collect, review, analyze and record the competency gaps report (CGA) which was submitted by the Manager / Head of Section / Department and the report of training needs analysis PMS from the Services Officer and subsequently submit the records of training needs report to the General Manager of Human Resources Division.
The training officer will provide the training budget to enable a draft of the annual training schedule can be provided. General Manager of Human Resources Division will review and verify and instruct the training officer to submit the annual training schedule to the Managing Director for approval and then distribute the approved annual training schedule and the application of the course / training to the Manager / Head of Division / Department for the information and actions.
Performance Management System is one of the channels for getting relevant information to plan Human Resource training programs.
Competency-Based Performance Management System (CbPMS) is a performance assessment management system which is carried out online for the group of executive and non-executive for the performance appraisal management system manually. It is an integrated approach that consists of 8 major processes. It includes career development (promotion, training, sponsorship deals, exposure) and employees’ rewards.
Score assessments or ‘Rating Score’ (Need Improvement (NI), Meet Expectation (ME), Exceed Expectation (EE) or Rarely (RR), Regularly (RG), All the Time (AT) and total rewards is offered may vary at the discretion of management. The total rewards employees determined after the employees performance has been identified.
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Below is the process flow of training in SESB.
The Flow of Training Process
The training provider sent a course brochure to SESB Human Resource Division.
The Training and Development Department or the General Manager for each division will nominate the participant who needs or is suitable for the training program.
The application letter attached with the brochure will be submitted to the Managing Director.
If it is approved, register the name of nominated participants via fax or email to training provider.
The training provider will send the confirmation letter.
Issues a letter to the selected participants to attend the training program.
2.4 TRAINING EVALUATION
According to Spilbury (1995), “Evaluation on the effectiveness of training programs is the final process in training cycle as to ensure the achievement of predetermined learning outcomes”. The training evaluation in SESB is monitoring and evaluating the effectiveness of training program implemented by the Training and Development Department to fulfill the department’s objective. Any training program that fully provided by the Training and Development Department is compulsory to be evaluated.
SESB adapted the Kirkpatrick Model for measuring the effectiveness of training programs. SESB management has decided to implement the training effectiveness evaluation by using three levels as follows:
Level 1 (Reaction)
Level 2 (Learning)
Level 3 (Behavior)
Level 1 (Reaction)
The evaluation at this level is on how the participants reacted to the program. The purpose is for getting the information of the participants’ reactions towards the training content, preparation etc. The first level measures the immediate reactions of trainees towards training programs, such as enjoyment, perceived usefulness, and perceived difficulty (Warr and Bunce, 1995). The participants have to complete the feedback questionnaire provided by the training department at the end of the training program. According to Bartram and Gibson (1999), the evaluation in this level will help the company to improve the quality of training programs whereby the reaction measures allow immediate feedback for improving teaching and organizational aspects of the programs. Level 1 is used to evaluate the internal training/ in-house training.
Level 2 (Learning)
The purpose at this level is to identify the level of knowledge of the participants before and after the training program. The ultimate objective of this level is to help trainees reflect in their job performance about what they have learned (Kirkpatrick 1996). At this level is measured by assessing whether the program objectives are met (Rajeev, Madan & Jayarajan, 2009).
The participant will be evaluated based on what extent did the participants improve knowledge, skills and attitudes as a result of the training program. The pre-test and post-test will be conducted whereby the training provider will prepare ten questions before the program starts and after the program ends but sometimes it depends on the training provider.
The evaluation is shown by the differences of the test marks results before and after the training program. The differences of marks indicate the change in the participants learning whether or not there is any improvement in their knowledge, skill and behavior after the training program. Rajeev et al. (2009) claims that the pre-test and post-test can differentiate between what the trainee already knew before the training and what the trainee actually learned during the training programme.
The summary of the test results then will be submitted to the Training and Development Department not later than 2 weeks after the training program. Level 2 is used to evaluate the internal training/ in-house training.
Level 3 (Behavior)
At this level, the purpose is to evaluate the extent the participants changed their behavior back in the workplace. The employer will measure whether or not the knowledge that they learned from the training program is applied at the workplace and enhanced their knowledge and skills. The participant is given 3 to 6 months period to work. After that, their supervisor or immediate manager will evaluate them by filling the level 3 evaluation form and on-the-job observation. Level 3 is used to evaluate for both internal and external training.
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However, not all training and development programs should be evaluated according to three levels that have been determined. The selection of training and development programs that need to be assessed will be determined based on the effect/impact and the cost of training program. This means that the three-level of evaluation will be more focused on training that involves an increase in core competencies such as technical courses (finance, project management), SAP and others. While for other courses such as 5S, SEMS and other assessments will be evaluated using level 1 & level 2 only (if necessary).
CHAPTER 3
3.0 RESEARCH METHODOLOGY
3.1 INTRODUCTION
In completing this research, all the data that gathered will be used to answer the research questions.
3.2 Data Collection Method
The data is collected by primary and secondary data.
3.2.1 Primary Data
Primary data refers to information obtained firsthand by the researcher on the variables of interest for the specific purpose of the study (Sekaran, 2006). The data of this research is collected from the individuals by face-to-face interviews and observation of individuals and events. The researcher chooses these methods of collecting data because of the data obtained are least expensive besides save the time.
3.2.2 Secondary Data
The secondary data refer to information gathered from sources already existing. The data is collected from the company website, company records, training evaluation form. The other sources are project paper, journals and internet sources.
CHAPTER 4
4.0 FINDINGS
The findings of this study revealed that there are two factors that influence the effectiveness of training programs in SESB – employees’ commitment, and work environment. This chapter also showed the result of the three-level evaluation using the Kirkpatrick Model.
Employees’ Commitment
The commitment of the workers was a major factor contributing to the effectiveness of the training program objectives. It is involve their willingness to attend and participate in training programs. The data for this factor was collected through direct interviews of several employees randomly. These findings reveal that there are several factors that cause employees less interested in attending the training programs. The most of respondent claimed that the courses provided not specific courses and also are not relevant to them. What it does mean is the course is not related to the scope of their work (job description). Besides that, some employees believe that age can cause them less interested in attending the training program, in which the employees who are old and about to retire, they think that training programs are no longer useful to them.
Work Environment
In terms of work environment, the employees are too busy with their other work and at the same time they should attend the training program. Moreover, they have a certain period that has been determined to carry out their tasks to achieve the KPI (Key Performance Indicator) target. Therefore, they will not attend the training program.
In terms of trainers’ performance and capabilities, SESB will appoint a facilitator based on experience. Usually, the facilitator from ILSAS is appointed as the facilitator of training program. So far, the facilitators’ capability and performance does not contribute negatively to the effectiveness of training programs. This can be proved by the results of assessment of level 1.
Top management in SESB is always giving support, commitment and involvement in the development of its employees. The senior management is develop and prepare an Integrated Plan Career Development and Human Resources which includes training programs as required in line with the framework for each employee career development at the SESB. It can be seen through the Management Committee Project Paper on Training & Development Plan for SESB workers and has been approved by SESB management for implementation.
Furthermore, the training needs are identified and analyzed (TNA/TNI) for employees to take suitability and availability of the required training programs. Besides that, SESB also monitor and evaluate the effectiveness of the training program to meet the business objectives / operations of the division / department.
In addition, the management is planning and preparing a budget/ financial allocation for implementing development programs for all employees, including executives and non-executives.
The management also gives full commitment for Human Resource Development whereby planning, coordinating and evaluating the training programs including training established by the Memorandum of Understanding (MoU) involving SESB with outside organizations as well as provide proper budget. For examples, Malaysia Productivity Corporation (MPC) through the ‘Soft Skills’ program and the cooperation program between SESB and Institut Latihan Perindustrian (ILP) in Program Latihan Perantis Ketukangan (SLPK) which the modular structure of learning environments (3 months of classroom and 6 months OJT)
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adverb
usually
normally
generally
ordinarily
mostly
regularly
habitually
in general
familiarly
as a rule
The Kirkpatrick Evaluation Model
Level 1
Literature reveals the training characteristics, which are training objectives, training contents, training material, trainer, training methods, training environment, and training management (Kirkpatrick, 1996) influence the outcome of training evaluation (Eseryel, 2002). However Jeng and Hsu (2002) insist that these only affect the results of training evaluation, especially with regard to the reaction.
The level 1 was evaluated using the “Borang Penilaian Keberkesanan Latihan Tahap 1”. This form uses a Likert scale where the Likert Scale is designed to examine how strongly the subjects satisfy or dissatisfy with statements on a 5-point scale as follows:
Very Dissatisfy
Dissatisfy
Moderate
Satisfy
Very Satisfy
1
2
3
4
5
Below are the all ten graphs for each factor that contribute to the effectiveness of the training program. This assessment is a summary made ​​by the 20 employees who attended the course.
Figure 1: The evaluation of the overall course.
Figure 1 shown that majority of the participant satisfies with the program.
Figure 2: Course objective
Figure above indicates the whether or not this course objective is met. There are 12 participant agree that this course achieve the objective.
Figure 3: Understood the course objectives at the beginning of the course.
Figure 3 shown that most of participants are understood the course objective at the beginning of the course.
Figure 4: Course content
In terms of the course content, majority of the participant satisfy with the content.
Figure 5: Course content help and sufficient as guidelines.
Figure above indicate the positive satisfaction of the participant with the course. They agree that the content of the course help and sufficient as guideline.
Figure 6: Knowledge of the facilitator on the subject.
There are 16 participants satisfied with the facilitator knowledge about the subject as shown in the figure above.
Figure 7: Explanation and presentation of facilitator
In terms of the facilitator performance, there are 10 participants very satisfied, 7 participants satisfied and only 3 participants moderate.
Figure 8: Course facilities
The course facilities refer to room, course administration, meals and other facilities. Figure above indicates the participants still satisfied with the facilities.
Figure 9: Course Material
The course material refers to the notes and teaching aids provided. Graph above shown 9 participants moderate, 10 participants satisfied and 1 participant dissatisfied.
Figure 10: Time and duration of the course
Figure 10 is shown the satisfaction of most participants towards the time and duration of the course.
Through this level 1 Kirkpatrick Evaluation, it can help the Training Unit in monitoring the training needs of employees in the SESB. Any comments and suggestions from the all participants and managers are directly help the Training Unit in identifying the training needs of employees in SESB. Overall, most of the participants satisfy with the training program.
Level 2
At this level, the employees learning will be evaluated whether or not there is increase in knowledge from before to after the learning session. The differences of the test marks results before and after the training program indicate the change in the participants learning to measure their knowledge after the training program.
Below is the example of result of the training program by 21 participants from SESB employees.
BIL
NAMA
PRE-TEST
POST-TEST
TAHAP PENGETAHUAN (SELEPAS KURSUS)
1
Siamat Ismail
67
94
27
2
Jickoles Sium
67
87
20
3
Muslimin Abd Muin
56
94
38
4
Nooremi Bte Jamaneh
56
87
31
5
Abdullah Muhamad
78
80
2
6
A
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