Question 1: Independent, dependent and mediator variables
Employees in Space Cats Inc. Corporation serve as the independent variable in the case presented in the case material. The main aim of carrying out the training program was to enhance the performance of employees that reflects on the performance of the firm as a whole. Therefore, we assume that the CEO hypothesized that taking the employees to the training program will have a positive outcome on the firms performance. However, as the outcome of the training program shows, the hypothesis must have been achieved since the CEO concluded by affirming the effectiveness of the training program. Therefore, the independent variable (employees) has an effect on the performance of the company. As a result, it shows that there is an effect that may be mediated in the process. The dependent variable, in this case, will be the firm performance. A dependent variable should have a multidimensional characteristic feature that can reflect on different effects (Hsu et al., 2012). Therefore, the firm performance qualified to be the dependent variable as it has the multidimensional features to be measured. The mediator variable, on the other hand, includes the CEO of Space Cats Inc. Corporation. When measuring the mediation effect, it is important to determine the extent to which the mediator variable carries the influence of the independent variable. In the case study, the CEO was considered to be the mediator variable as he answers the question how and why a certain effect takes place when carrying out the mediation process (Hsu et al., 2012).
Question 2: CEOs Assessment on the effectiveness of Training Program
I agree with the CEOs assessment that the training program was effective. An effective assessment is determined by the three main factors influencing the causal relationship of variables in a test or measurement. The three factors include association, temporal order or direction of influence, and spurious relationship. Association involves different factors such as a measure of association, statistical association, correlation and the correlation coefficient. At least one of these factors was available in the case study (Muchinsky, 2006); thus, making the assessment effective as concluded by the CEO. A measure of association is the degree of relationship between two or more variables. The concept of measure of association is determined by the availability of the value of one variable is available. In the case study, we have the value of the independent variable (the number of employees). Statistical association is the relationship between two or more variables and its ability to be described statistically. This can be done using different statistical techniques such as regression or correlations. The case study shows that the measurement was done using correlation technique; thus, making it statistically described. The correlation is the extent to which one or two variables are related to one another. In this case, we have seen that the independent variable (employees knowledge) has an effect on the dependent variable (firm performance). The correlation coefficient is the number showing the degree or extent to which the variables are related (Hsu et al., 2012). In the case study, the number that shows the relationship between variables is +0.25.
The direction of influence is another factor involved in a causal relationship. As noted in class notes, this factor is determined by two main things; cause and effect. In this case, one variable must have an effect on another variable. In the case study, the independent variable (employees knowledge) has an effect on the dependent variable (firm performance). However, the direction of influence emphasizes on the one-sided direction relationship. For instance, it is only an independent variable that has an effect on a dependent variable but not vice versa. Change in the causal factor (enhancement of employees knowledge and skills) must have influence change in the effect (firm performance).
Spurious relationship or elimination of alternative explanation is used to describe a relationship with a correlation produced by a minor third factor that does not influence the other variables involved. In the case study, the CEO is the mediator and the extraneous third factor that does not influence the other two variables. The CEO has not influence on the employees knowledge because he cannot give them knowledge. Although he organizes the training program for them, but he does not have a direct influence on attainment of the knowledge by employees. Therefore, the CEOs conclusion that the training program was effective was right because it met all the three factors necessary for establishing a causal relationship or inferences.
Question 3: Redesigning a program evaluation study
Assessing the training needs of employees: Marketing information firm deals with different projects that may not necessarily be met by the workforce available in the organization. Therefore, assessing the training needs of employees will depend on their ability to handle the given projects effectively (Landy & Conte, 2016). If they are unable to work on the projects assigned as required, it means that they need more training.
Selecting and assigning participants to the training program: Training program assessment needs to show that specific subject area and target group that needs to be given more priority. In an organization, employees have different individual differences (Landy & Conte, 2016); therefore, some require more attention in training than others. However, certain basic skills are needed in every employee irrespective of their cognitive abilities. Therefore, in this case, participants will be selected on their area of need (Mitnik, 2009). For example, those with high school and graduate certificates will be given more priorities since they make the highest percentage of employees.
Designing and conducting the study: Designing the training program depends on the variable factors involved in the study. To be able to determine the most effective program design we need to identify the variable factors (Hsu et al., 2012). In the case of Space Cats Inc., we had identified the independent variable as employees knowledge and the dependent variable as the firm performance. Therefore, we conduct the study by carrying out the text of variable effects. We need to conduct a test of mediation effect in which we emphasize on the extent to which mediator carries the influence on a certain variable. The procedure is carried out on both dependent and independent variables.
Interpreting the results from the study: All the criteria to be tested in this study is measured based on the correlation coefficient value that has been given (Mitnik, 2009). Therefore, our correlation coefficient value is +0.25. Therefore, all the variables or tests that are less than the coefficient value will be considered to have low levels of correlation. However, all the variables with equal or more than the correlation coefficient value will be considered to have high levels of correlation.
Question 4: Interpreting the observed correlation
Since our correlation is significant at 0.25 levels, we will check if all the critical conditions are met by the variable factors in the study. The satisfaction is achieved if there is the influence of the independent variable (employees knowledge acquisition) on the dependent variable (firm performance) remains significant.
Moderation effect: In this study, it is impossible to deny the existence of moderators. Moderators are the third party variable that may not influence the other variables but act as a controlling condition to the variables (Hsu et al., 2012). The moderators are equally important in the training program as they ensure that effect of one variable on another is realized. The two moderators in the program include the CEO and the employees knowledge level. Moderation is determined by looking at the effect of the interaction between the moderators. Hsu et al. (2012) define moderation process as the function which represents the generative system through which the independent variable (employees knowledge acquisition) influences the dependent variable (firm performance).
References
Hsu, W. L., Wang, G. Y., & Hsu, Y. (2012). Testing mediator and moderator effects of independent director on firm performance. International Journal of Mathematical models and methods in applied sciences, 6(5), 698-705.
Landy, F. J., & Conte, J. M. (2016). Work in the 21st Century, Binder Ready Version: An Introduction to Industrial and Organizational Psychology. John Wiley & Sons.
Mitnik, O. A. (2009). How do training programs assign participants to training? Characterizing the assignment rules of government agencies for Welfare-to-Work programs in California.
Muchinsky, P. M. (2006). Psychology applied to work: An introduction to industrial and organizational psychology. Cengage Learning.
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