Abstract:
Employees are major assets of any organization. The active role they play towards a
company’s success cannot be underestimated. As a result, equipping these unique assets
through effective training becomes vital in order to maximize the employee performance. Also
position them to take on the challenges of the today’s competitive business climate. The main
focus of this study was to assess the effect of training and development on employee
performance. The study used descriptive and inferential method of research design. Both
primary and secondary data collection instruments were used to collect the data. The target
populations that were used in the data collection were 400 employees of SWR Ethio Telecom
including manager and shop supervisors. Relevant information were collected using closed
ended questioner and, structured interview were conduct with top level manager and data from
the questionnaires were analyzed quantitatively. The selections of the respondents in the
company were carried out by using strata random sampling method. Employees were
categorized by geographical area and allocated proportional rate to obtain equal sample size,
then using the formula 220 employees were selected from the target population. After data
collection, analysis was done using descriptive statistics (tables, percentages mean, standard
deviations, graphs and frequency) and binary logistic regression model were used to test the
hypotheses with the help of Statistical package for social scientists (SPSS) version16.0
software. Theresult shows the positive relationship between on the job training and employee
performance than off the job training. In general this study concludes that training and
development improves employees skill, knowledge, attitude change, new capability and
increase job satisfaction and motivation. Based on these, it is recommended that Ethio Telecom
should improve employee by using e-learning models in line with the present educational and
technological changes in order to offer relevant training. To get satisfactory return on training
investment Ethio Telecom should evaluate accuracy of the result.