Staff Development Programs and Employee Performance in Selected Microfinance Institutions in Uganda

ABSTRACT This study set out to establish the relationship between staff development programs and employee performance in selected microfinance institutions in Uganda. The study was based on four specific objectives: (i) to determine the influence of training on employee performance in the selected microfinance institutions in Uganda, (ii) to examine how employees' promotion affects their performance in the selected microfinance institutions in Uganda, (iii) to find out how of rewards affect employee performance in microfinance institutions in Uganda, (iv) to determine the level of employee performance in microfinance institutions in Uganda and then later the study established the relationship between the independent variables and the dependent variable and also recommended strategies that will further enhance employee pe,formance basing on the findings of the study. It was based on descriptive correlation survey design. SAQ were used to collect primary data from 175 out of 310 employees, using simple random sampling. Data analysis was done using SPSS's frequencies and percentages; means; and Pearson's Linear Correlation Coefficient. The findings showed that majority of the respondents were male, with age range of 26 - 30 years, more than half were single; holders of Master's degree and above. It went ahead to reveal that the level of staff development programs were at mean "'2 (low level). On the other hand the level of employee performance stands at a mean "'3 (high level). Th2 findings from PLCC showed a positive and significant relationship between the development programs and employee performance at (r = 0.894, sig. = 0.000). The researcher recommended that if employee performance is to be improved in microfinance institution, managements should; a) ensure that employee salary is paid in time, (b) improve/ increase on the salary scale, (c) introduce a system of giving employees fringe benefits and (d) ensure that there is gradual introduction of new institutional policies and programs among others.

TABLE OF CONTENT 

DECLARATION ................................................................................................... i 

DECLARATION B ................................................................................................ ii 

DEDICATION ..................................................................................................... iii 

ACKNOWLEDGEMENT ........................................................................................ iv 

LIST OF ACRONYMS ........................................................................................... v 

TABLE OF CONTENT .......................................................................................... vi 

LIST OF TABLES ................................................................................................ ix 

ABSTRACT ......................................................................................................... x 

CHAPTER ONE ................................................................................................ 1 

INTRODUCTION ............................................................................................. 1 

1.1 Background of the Study .............................................................................. 1 

1.1.1 Historical perspective ................................................................................ 1 

1.1.2 Theoretical perspective ............................................................................. 2 

1.1.3 Conceptual Perspective ............................................................................. 2 

1.1.4 Contextual Perspective .............................................................................. 4 

1.2 Statement of the Problem ............................................................................ 4 

1.3 Purpose of the study .................................................................................... 5 

1.4 Specific objectives ........................................................................................ 5 

1.5 Research questions ...................................................................................... 5 

1.6 Research hypotheses ................................................................................... 5 

1.8 Scope of the study ....................................................................................... 6 

1.9 Significances of the Study ............................................................................ 7 

1.10 Operational Definitions of Key Terms .......................................................... 8 

VI 

CHAPTER TWO .............................................................................................. 10 

liTERATURE REVIEW ................................................................................... 10 

2.0 Introduction ............................................................................................... 10 

2.1 Theoretical perspective ............................................................................... 15 

2.2 Related studies ........................................................................................... 17 

CHAPTER THREE .............................................................................................. 19 

METHODOLOGY ............................................................................................... 19 

3.0 Introduction ............................................................................................... 19 

3.1 Research design ......................................................................................... 19 

3.2 Study Area ................................................................................................. 20 

3.3 Research population ................................................................................... 20 

3.5 Sampling procedure .................................................................................... 20 

3.6 Sampling techniques and procedure ............................................................. 21 

3. 7 Data Collection ........................................................................................... 21 

3.8 Validity of the Instruments .......................................................................... 23 

3. 9 Reliability of the Instruments ....................................................................... 23 

3.10 Analysis of data ........................................................................................ 24 

3.11 Ethical Considerations ............................................................................... 25 

3.12 Limitations of the Study ............................................................................. 25 

CHAPTER FOUR ............................................................................................. 27 

PRESENTATION, ANAlYSIS AND INTERPRETATION OF DATA .................. 27 

4.1 Profile of respondents ................................................................................. 27 

CHAPTER FIVE ............................................................................................. .41 

FINDINGS, CONCLUSIONS AND RECOMMENDATION ................................ 41 

5.0 Findings .................................................................................................... .41 

5.1 Conclusion ................................................................................................. .42 

5.2 Recommendations ...................................................................................... 43 

Areas for further research ................................................................................ .43 

REFERENCES .................................................................................................... 45 

APPENDIX 1 A TRANSMITTAL LETTER .............................................................. .49 

APPENDIX 1 B TRANSMITTAL LETTER FOR THE RESPONDENTS ......................... 50 

APPENDIX C QUESTIONNAIRE .............................................. , ........... , ............... 51 

APPENDIX D RESEARCH INSTRUMENT .............................................................. 52 

APPENDIX E: CONTENT VALIDITY INDEX ........... , ............................................. 57 

APPENDIX VI SAMPLE SIZE (S) REQUIRED FROM THE GIVEN POPULATION SIZE 59