Question Ocean Business & Management

Employee engagement and training to improve organisational performance

i want to know whether there is a relationship between employee engagement and training to improve organisational performance

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Answer Expert #26447

The link between employee engagement and training to organisational performance has been extensively explored throughout literature, with many positive and negative attributes being identified (Saks, 2006; Bakker & Schaufeli, 2008). This is especially relevant within the service industry, whereby customer experience can be so heavily influenced by the engagement, knowledge and training of employees. Salanova, et al., (2005) asserts the importance of both employee engagement, performance and training to the performance of an organisation, with a specific focus on how these elements can help drive customer loyalty. Many service industries are fraught with competition, and it puts an enormous amount of pressure on organisations to identify effective competitive advantages. Through utilising organisational resources, capabilities and provisions, employee engagement should be maximised for all organisations in order to improve the quality of the service encounter (Seijts & Crim, 2006).

Although employee engagement may have increased benefits on organisational performance for service companies, it still has an effect for product-based organisations. However, it can be incredibly hard to sustain, with employee engagement fundamentally touching upon “all parts of human resource management facets we know hitherto” (Markos & Sridevi, 2010, p. 89). This means that a number of elements need to be managed in order to sustain employee engagement, and if this cannot be achieved, then its impact on organisational performance will be minimal. It is for this reason that organisations continually aim to improve their employee’s engagement, as it will aid in the delivery of the service encounter, the development of innovative products and the identification of efficient business operations (Bakker & Schaufeli, 2008).


Bakker, A. B. & Schaufeli, W. B., 2008. Positive organizational behavior: Engaged employees in flourishing organizations. Journal of Organizational Behavior , 29(2), pp. 147-154.

Markos, S. & Sridevi, M. S., 2010. Employee Engagement: The Key to Improving Performance. International Journal of Business and Management , 5(12), pp. 89-96.

Saks, A. M., 2006. Antecedents and consequences of employee engagement. Journal of Managerial Psychology, 21(7), pp. 600-619.

Salanova, M., Agut, S. & Peiro, J. M., 2005. Linking Organizational Resources and Work Engagement to Employee Performance and Customer Loyalty: The Mediation of Service Climate. Journal of Applied Psychology , 90(6), pp. 1217-1227.

Seijts, G. H. & Crim, D., 2006. What engages employees the most or, the ten C’s of employee engagement.. Ivey Business Journal , 70(4), pp. 1-5.