e-ISSN: 2348-6848

International Journal of Research p-ISSN: 2348-795X

(IJR) Vol. 9 Issue 11
November 2022

Effect of Training and Career Development on Employee

Performance: Moderating Effect of Job Satisfaction
T. Sellar*
Lecturer (Prob.), Department of Management, Faculty of Commerce and Management, Eastern
University, Sri Lanka
Abstract

Purpose: This study's primary purpose is to explore the effect of training and career development
on the employee performance of the executives of the private banks in the Colombo district. In
addition, the study focuses on the moderating effect of job satisfaction of employees in examining
the relationship of training and career development with employee performance.

Design/Methodology/Approach: The study employed a quantitative study, whereby

questionnaires were issued to examine the objectives of the study. The data for the current study
were collected from 150 executives of private banks in the Colombo area. The mean, standard
deviation, correlation analysis and hierarchical regression analysis were used as the statistical
tools to analyze the data.

Findings: In this research, the authors reviewed that training and career development have a
significant positive impact on employee performance. Furthermore, the results indicated that the
job satisfaction of the employees moderated the effect of training and career development on job
performance, which is a strategic mechanism to enhance the job performance of the selected
sample. This study contributes to filling literature gaps and helps employers to enhance the job
performance of the employees in the organization.

Limitations: The study population was limited to the finance sector in the Colombo district and
the study is cross-sectional. Further, the study did not test any other variables as the moderating
variables also created a limitation in the study.
Keywords: Training, Career Development, Job Satisfaction, Employee Performance

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Revised: 7 Nov. 2022
Final Accepted for publication: 20 Nov 2022
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(IJR) Vol. 9 Issue 11
November 2022

Introduction

Lifelong learning is showcased as an essential coping strategy to sustain in the changing business
world. The business world rapidly changes on a regular basis, necessitating the continuous
development of employee skills, attitudes, knowledge and capabilities in order to improve job
performance, growth, and remain competitive (Amin et al., 2013); therefore, organizations make
investments in human capital. Human capital is the prime asset and source of competitive
advantage, success, and growth for the organization (Kaye & Jordan-evans, 2000). Efforts to
improve employees' competencies through mentoring and coaching are inevitably expected to
evolve the career path in line with the development of an organization (Harlie, 2011). Career
development is strengthening their ability to work or improving a person's ability to work to attain
their desired career (Rival, 2009). Also, career development is expected by every employee get to
motivate them to work well (Afiyati, 2018). Career development can be explained as a continuous
process in which the individual strives to achieve customized career planning and workplace
conditions through individual effort (Priyono, Chandra & Ariana, 2016). Hence, organizations give
more attention to their employees, working on keeping them satisfied and engaged to create a high-
performance organization.

The performance management system was implemented as a management reform to resolve and
address organizational performance (Sharif, 2002). The attainment of something or
indeed operational effectiveness is referred to as performance. In an organization, performance is
realized at the organizational, process, and individual levels and the interrelationships between
these will define the organization's vantage points (Tahir, Yousafzai, Jan, & Hashim, 2014).
According to Marihot (2007), job satisfaction indicates the degree to which individuals feel
positively or negatively about various aspects of their job tasks. Each person has a different level
of satisfaction based on the value system that he/she adheres to. Extended amount of time through
training practice, and training is more efficient for the level of employee performance.

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Revised: 7 Nov. 2022
Final Accepted for publication: 20 Nov 2022
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(IJR) Vol. 9 Issue 11
November 2022

There have been few studies that have shown a significant association between training, career
development and employee performance with the moderating variable of job satisfaction in the
literature (Keomorakath & Fendy, 2021). Especially, researchers have not focused on the current
research model in the Sri Lankan context, especially in the Banking sector. Therefore, the
empirical gap in the literature motives the researcher to look into the company's training, career
development, work satisfaction, and staff performance. The purpose of this study is to investigate
the impact of training and career development on employee performance with the moderation of
job satisfaction. Thus the objectives of the current study are as follows;

1. To investigate the levels of training, career development, employee performance and job
satisfaction among executives of private banks in the Colombo district
2. To investigate the impact of training and career development on employee performance
among executives of private banks in the Colombo district
3. To investigate the moderating effect of job satisfaction on the effect of training and career
development on employee performance among executives of private banks in the Colombo
district

Literature Review

Training

An individual's training is the acquisition of knowledge, skills, and competencies required to

execute a given work or employment. According to McGhee (1996), training can thus be defined
as a planned and systematic effort by management aiming at changing employee behavior in a
manner that would meet organizational goals. Training is a process of shaping and equipping
individuals by increasing their skills, talents, knowledge, and behavior so that work can be
conducted more quickly, effectively, and reasonably (Ichsan, 2020). According to Cole (2002),
training is one factor that many organizations evaluate when attempting to progress personnel and
issue promotions. Indeed, employee quality and continuous improvement of skills and productivity
through training are now widely recognized as critical components in assuring the long-term
survival and profitability of small firms, as well as creating a corporate culture that encourages
continuous learning (McKenna & Beech, 2002). Employees will gain specialized knowledge and
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be able to train skills that can later be applied in the workplace if they are given training (Adnyani
& Dewi, 2019a).

Career Development

Career development is the result of an individual's career planning and the organization's supply
of support and opportunities, which should ideally be a collaborative effort. Growth, continual
attainment, and use of one’s talents are all development examples. Desimone (2002), defined
career development as an ongoing process through which an individual goes through a series of
stages, each characterized by a relatively unique set of issues, themes and tasks. Career
development is an essential part of employee growth and organizational effectiveness because
when employees are well developed and equipped with the right skills, competencies, knowledge
and resources to grow, this affects not only the employee, but also the institution and the country's
economy. Further, career development is explained as an ongoing process in which people advance
through a succession of stages, each of which is marked by a distinct set of difficulties, themes,
and duties (Dizaho, Salleh, & Abdullah, 2016). Researchers suggest that training program in
mentoring, coaching, orientation among others is needed to improve a person's career (Dona,
Amaratunga, & Haigh, 2006). A person’s career development could be concerned with a sequence
or series of jobs held throughout their lives.

Employee Performance

The concept of work performance in organization has been subjective to the changes over the past
years with the dynamism of the organizational environment. Employee performance generally
refers to the amount of output generated from an employee’s job execution over time in an
organization. According to Oluseyi and Ayobami (2009), employee performance is related to the
willingness and openness of an individual to try and achieve new things in their job. The
performance of the job can be characterized by a person while carrying out his job. Job
performance can also be defined as behaviors and activities to achieve organizational goals (Al-
Omari & Okesheh, 2017). Further it is a human behavior that is an important factor in the
evaluation of individual work efficiency.

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Job Satisfaction

Job satisfaction is one of the most researched phenomena in the domain of human resource
management and organizational behavior. It is commonly defined as a “pleasurable or positive
emotional state resulting from the appraisal of one’s job or job experiences” (Schneider & Snyder,
1975; Locke, 1976). According to Kalisky (2007), job satisfaction is a worker’s sense of
achievement and success on the job. It is generally perceived to be directly linked to productivity
as well as to personal well-being. It implies doing a job one enjoys, doing it well and being
rewarded for one’s efforts. Shukla and Singh (2016), simplified the definition of job satisfaction
by stating it is an employee’s degree of content with his/her job. Job satisfaction further implies
enthusiasm and happiness with one’s work and it is the key ingredient that leads to recognition,
income, promotion, and the achievement of other goals that lead to a feeling of fulfillment.

Testing Hypotheses

Training plays a particular role in accomplishing an organizational goal by combining the interests
of the organization and the employees (Afroz, 2018). The researchers discovered a robust link
between employee training and employee performance. Caroline and Susan (2014) discovered that
education and training influence work performance at Kenya State University and that work
performance positively impacts employee performance. Other research findings also indicate a
link between training and employee performance (Triasmoko et al., 2014). The study's overall
findings indicate that training and development activities carried out in an organization have a
direct impact on job satisfaction and performance (Khan, Mushtaq & Naz, 2020). Training will
assist employees in mastering information, skills, habits, a sense of self-worth, and confidence,
allowing them to perform efficiently and increase the organization's performance (Keomorakath
& Fendy, 2021).

H1: There is a significant effect of training on employee performance

The function of leaders in career development and the role of feedback on career development are
two indicators that play an important role in career development and are supported by the human
resources department. According to studies, employees link their performance to training,
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implying that training and development boost employee performance, resulting in job satisfaction
(Ampomah, 2016). Employee performance is positively influenced by competency, training and
education, and career development (Mardiyah & Purba, 2019). According to Silaban, Handaru,
and Saptono (2021), career development has little effect on organizational commitment, but has a
favourable and considerable effect on employee performance. Cedaryana et al. (2018) found that
career development has a positive and significant effect on employee performance.

H2: There is a significant effect of career development on employee performance

Job satisfaction, according to Ivancevich (1976) and Winda, Nayati, and Arik (2017), relates to an
individual's overall attitude about their job. Employees who are happy with their jobs will bring a
positive attitude to their jobs. A person who is content with his or her employment has a good
attitude toward it, whereas one who is unsatisfied with it has a negative attitude toward it. As a
result, in the case of job satisfaction, the connection between projected and actual performance
was attenuated. Job happiness has been discovered as a modulator of the training-employee
performance relationship (Keomorakath & Fendy, 2021). This was consistent with the findings of
Ivancevich (1976) and Winda et al. (2017), who found that employee job satisfaction was regulated
by training and employee performance.

H3: Job satisfaction will moderate the relationship between training and employee performance.

H4: Job satisfaction will moderate the relationship between career development and employee
performance.

Figure 1: Conceptual Framework

Job Satisfaction

H3 H4
Training
H1 Employee
Performance

Career
Development H2
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(Source: Keomorakath & Fendy, 2021)

Methodology

The study has used a deductive approach as it has created the hypothesis based on a literature
review and confirmed whether the hypotheses could be accepted or rejected. The research strategy
used for the current study was a survey, as it involves collecting data with the use of a
questionnaire to achieve the objectives, and a cross-sectional study was the time horizon for the
current study. The sample population of the study comprises executives of four banks in the
Colombo district, that is, 178 individuals. Out of this, a sample of 150 respondents was selected
from the study population. The primary data were collected through an administrative-structured
questionnaire to test the hypotheses.

The scales used in the current study are based on a 5-point Likert scale, which shows a range from
5 to 1, where 5= strongly agree and 1=strongly disagree. The questionnaire for training (4 items)
was adapted from Bohlander and Snell (2010), and career development (8 items) was adapted from
Winda et al. (2017) and Arifin et al. (2020). The dependent variable of the study; employee
performance (5 items) was measured using the questionnaire adapted from Chua, Ng, Tan, Teoh,
and Wong (2013).

Descriptive statistics of mean and standard deviation tools were used to analyze the level of
independent, moderating, and dependent variables of the study. With the results of the normal
distribution, the author decided to select parametric techniques to conduct the research.
Multivariate regression analysis was used as the statistical tool to examine the impact of training
and career development on the employee performance of the sample. Meantime, hierarchal
regression analysis was used to examine the moderating effect of job satisfaction on both
relationships between training and employee performance; career development, and employee
performance among the selected sample.

Data Analysis

Testing Research Model

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The reliability of the instrument is measured using Cronbach’s Alpha. It measures the internal
consistency of the instrument and determines whether the scale is reliable. Cronbach’s Alpha
Coefficient (CAC) is calculated for statements of each dimension based on a complete set of data
collected. Overall CAC values for independent, moderate and dependent variables are above 0.5
(see Table 1), indicating that the measurements used in the current study are acceptable.

Table 1: Reliability Analysis

Variable CAC Value
Training 0.835
Career Development 0.822
Job Satisfaction 0.847
Employee Performance 0.780
(Source: Survey Data)

The researcher has used Bartlett's measure test to understand the validity of the variables. The
KMO value kept on changing among 0 and 1 where if the value exceeds 0.5 then the collected data
is satisfied the requirements (Kaizer, 1994). In the current study, KMO values of the current study
exceed 0.5 (KMO = 0.737) and Bartlett’s test values are significant as p- value is <0.5 (sig =
0.000), the data is valid to carry forward further analysis.

Data Presentation of Personal Information

The current study consists of personal information in relation to demographic factors of 150
respondents such as gender, age, marital status and highest academic qualification of the selected
sample from executives in the private banks in the Colombo district.

According to survey data out of 150 respondents, 68.7% are males and females constitute 31.3%
share of the total sample. It indicates a higher percentage of male respondents. Age distribution of
150 respondents were categorized into six age categories 18-25, 26-35, 36-45, 46-55 and above
56, consist with 30%, 30%, 20%, 13.3% and 6.7% respectively. Furthermore, this shows that 60%
of the sample belongs to the age above 35 years. Further, among those 150 respondents, 58% of
the selected academic staff are single and only 42% of them are married. The distribution of the

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highest academic qualifications depicts that among the 150 respondents, 24% and 48.7% of the
respondents are having G.C.E. O/L and G.C.E. A/L qualifications respectively, while 21.3% of
the respondents are bachelor’s degree holders and 4.7% respondents have other educational
qualifications.

Descriptive Analysis

Mean and Standard Deviation

Table 2: Overall Mean and Standard Deviation Values

Variables/ Dimensions Mean Standard
Deviation
Independent Training 4.11 0.760
Variables Career Development 3.80 0.714
Moderator Job Satisfaction 4.10 0.743
Dependent Employee Performance 4.19 0.712
Variable
(Source: Survey Data)

The mean of the selected sample’s independent variables such as training and career development
as 4.11 and 3.80 with a standard deviation of 0.760 and 0.714 respectively. Meantime, mean value
of the moderate variable; job satisfaction is 4.10 and the data is deviated around mean value of
0.743. Further, the mean value of the dependent variable, employee performance is as 4.19 with a
standard deviation of 0.712. Meaning average response towards each variables indicate high level
of independent, moderate and dependent variable. Maximum and minimum values are 1 and 5 for
all the variables saying that the respondents widely rated for all the questions in the questionnaire
with the provided scale.

The Effect of Training and Career Development on Employee Performance

The study used the multivariate regression analysis to measure the effect of training and career
development on employee performance of the selected sample. Regression analysis figure out the
impact of independent variables on the dependent variable. If the p value is less than the alpha
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value of 0.05 then, it is significant in statistical term. Whereas, if the p value is greater than 0.05
then, it is not significant in statistical term.

Table 3: Regression Analysis

Model R R Adjusted R Std. Error of Change Statistics
Square Square the Estimate R F Sig. F
Square Change Change
Change
1 0.785 0.616 0.610 0.337 0.616 117.746 0.000
Dependent Variable EP

Predictors: (Constant), T, CD
(Source: Survey Data)

According to table 3, statistics R square is reported as 0.616 which means training and career
development have a 61.6% impact on employee performance of the selected sample. Moreover,
the adjusted R square indicates that 61% of the variation in employee performance could be
explained by training and career development identified in the current study. The significant value
of the ANOVA table, sig=0.000 depicts the significance of the regression model.

Table 4: Coefficient of Simple Linear Regression

Model Unstandardized Standardized t Sig.
Coefficients Coefficients
B Std. Error Beta
(Constant) 1.438 0.184 3.718 0.000
Training 0.335 0.047 0.416 1.408 0.000
Career Development 0.352 0.041 0.495 2.254 0.000
Dependent Variable: Employee performance
(Source: Survey Data)

According to table 4, statistics significance of the employee training variable t value is 0.000
(P<0.05), whereas it is concerned as significant in a statistical term. Thus, based on evidence it
could be concluded that training has a significant positive impact on employee performance.
Further, the coefficient value (B = 0.335), depicts that when training increases with a value point
of one, then the performance of employees will also increase by a value of 0.335. The Hypothesis
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regarding the impact of training on employee performance of executives in the selected private
banks is stated below and hence, the H1 of the study can be accepted.

H1: There is a significant effect of training on employee performance

The statistical significance of the t value is 0.000 (P>0.05). Regression results reports the B value
of employee individual career mapping as 0.352, which means if employee career development
increases by one-point employee performance will increase by 0.352. Thus, based on evidence it
could be concluded that employee career development has a significant positive impact on
employee performance. Hence, H2 can be accepted.

H2: There is a significant effect of career development on employee performance

Moderating Effect of Job Satisfaction on the effect of Training and Career Development on
Employee Performance

Hierarchical regression analyses were used to investigate the moderating effect of job satisfaction
on the effect of training and career development on employee performance.

Table 5: Moderating Impact of Job Satisfaction on the relationship between Training and
Employee Performance
Model 1 Model 2
t-value p- value t-value p- value
T 10.481 .000 8.377 .000
T x JS 3.928 .000
R2 Change 0.426 .000 0.481
F Change 109.854 15.426
Sig F Change 0.000 0.000
(Source: Survey Data)
Table 5 shows the results of the hierarchical regression analysis which is used to measure the
moderate impact of job satisfaction on the relationship between training and employee
performance. In the hierarchical regression analysis, training (T) was used for Block 1, and the
moderate variable, job satisfaction used for Block 2. The results of the hierarchical regression

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analysis (R2change= 0.481, F change= 15.426, Sig. F Change= 0.000) identified that job
satisfaction moderately impacts the relationship between training and job performance.

Table 6: Moderating Impact of Job Satisfaction on the relationship between Career

Development and Employee Performance
Model 1 Model 2
t-value p- value t-value p- value
CD 11.728 .000 10.098 .000
CD x JS 4.598 .000
R2 Change 0.482 .000 0.547
F Change 137.549 21.144
Sig F Change 0.000 0.000
(Source: Survey Data)

Table 6 shows the results of the hierarchical regression analysis which is used to measure the
moderate impact of job satisfaction on the relationship between career development and employee
performance. In the hierarchical regression, analysis career development (CD) was used for Block
1, and the moderate variable, job satisfaction used for Block 2. The results of the hierarchical
regression analysis (R2change= 0. 547, F change= 21.144, Sig. F Change= 0.000) identified that
job satisfaction moderately impacts the relationship between career development and employee
performance.

Discussion
This study aims to examine the moderating effect of job satisfaction in between the effect of
training and career development on employees’ job performance among the executives in the
selected private banks in the Colombo district in response to the outbreak of the COVID-19
pandemic. The results of the study aided theoretical implications towards the previous findings of
the literature. The findings of this study show that employees’ performance will be increased if
employees get exposure to quality training and career development programs. The results of the
selected sample highlighted that career development has the highest impact on employee
performance compared to the effect of training. This showcases that the opportunities given for
employees to climb up their career ladder have more impact on their performance. These findings
of the study were supported by the findings of a previous study by Keomorakath and Fendy (2021),
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where the authors indicated that career development has predicted 29.1% of variance in employee
performance while training has explained 11.2% variance in employee performance. Similarly, the
findings of the current study were consistent with Winda et al., (2017) and Arifin et al., (2020).
Further, the findings show that job satisfaction significantly moderated the relationship between
training, career development and employee performance. The findings suggest that job satisfaction
can enhance the favourable link between training, career development and employee performance
and the findings are consistent with the literature (Keomorakath & Fendy, 2021; Paramita et al.,
2020). The organization should develop strategies to enable its employees to have a favorable
working environment without difficulties. And also family members should play important role in
assisting employees in declining the burden of household duties by helping out each other.

Recommendations and Limitations

The study results show that training and development significantly affect employee performance
with the moderation of job satisfaction. Hence, HR professionals are challenged to enhance
organizational performance by adequately investing in their human capital. Management needs to
identify the gaps in employee performance and provide customized training programs to get the
best outcome. HR professionals should develop programs that can improve employees'
competencies, with appealing packaging such as the best innovative ideas, best employee, training
and education relevant to the workplace’s success. Evaluating the outcomes of various tasks to
ascertain how far an individual has progressed is needed for effective and sustainable
organizational improvements. Further, giving opportunities and mentoring employees to climb the
career ladder would also affect the employee’s high performance. Therefore, arranging special
career planning and developing stalls with mentors would greatly impact employee performance
for a competitive edge.

The study population of limited to the executives of the private banking sector in the Colombo
district, where it is a limitation to generalize the findings. Conducting future qualitative studies
with different samples would provide deep insight into the research model.

References

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Received: 22 Oct. 2022 98

Revised: 7 Nov. 2022
Final Accepted for publication: 20 Nov 2022
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