Nexus Between Employee Capacity Building and Organizational Productivity

Abstract

The post-industrial era comes with high external and internal challenges that have affected the manufacturing sector. Sugar firms are among the firms in Kenya facing challenges of resource constraints and management issues leading to poor production. Hence, firms need to access internal employee capabilities to combat the challenges of organizational productivity. The aim of this study is to assessed the relationship between employee capacity building and organizational productivity. This was anchored on human capital theory. A correlational research designs was adopted where census of all the target population of 218 managers working in 8 sugar companies in Kenya was used. Primary data was used in the study: these data was gathered through the use of a structured questionnaire and data extraction document. Quatitative approach that involved the descriptive statistics and inferential was used. The descriptive used mean and standard deviation while the inferential used simple linear regression analysis. The findings revealed that employee capacity building practices which were achieved through training, induction, motivation and employee retention had positive relation with the productivity of sugar industry. However, the industry did not have periodic reviews on employee motivation. Hence, the study concluded that there was positive significant relationship between employee capacity building and organization productivity