Training of third-party employees and its outcomes: a systematic literature review

Abstract

Purpose

Training has been an important tool for enhancing the skills and productivity of employees. Having productive employees helps organizations sustain themselves. Today, the authors organisations have an increasing number of employees on third-party payroll performing core as well as noncore business functions. However, due to the lack of ownership and moral obligation of employers, these employees are often not provided training, resulting in skills obsolesce and less productivity. The present study is a systematic literature review (SLR) on client organizations’ roles in training third-party employees (TPEs) and its related outcomes.

Design/methodology/approach

The present study is a SLR on client organizations' roles in training TPEs and their related outcomes. Using the Preferred Reporting Items for Systematic Reviews and Meta-Analysis (PRISMA) approach, this study presents a review of 217 research papers on training of TPEs and its related outcomes.

Findings

The study identifies the outcomes of providing training to TPEs and presents the findings and suggestions made by researchers. The study concludes that TPEs are an important investment for the client organization. Training them would benefit the client organization, TPEs and the economy as a whole. The paper also suggests some avenues for future research.

Research limitations/implications

This paper tries to answer an important question: What could drive productive behavior among TPEs? Based on the literature reviewed, the answer is that TPEs could be offered training opportunities with a view to enhancing their employability. This could induce, among them, a sense of being valued and supported while contributing to organizational performance and creating a feeling of reciprocal obligation. This is an important contribution to literature. Low investment in these employees affects their employability, i.e. be it in the same organization for another term or another organization and thus the need for training and development, for sustained productivity among TPEs, in organizations.

Practical implications

Training and development, for them, would result in enhanced employability within as well as outside the organization. These employees could also be a good source for regular positions within the organization, if required, benefiting both the organization and the employee. Additionally, the economy would also benefit from a pool of skilled workforce. Therefore, it is suggested that governments initiate some policy framework regarding mandatory training of TPEs to increase their competencies, resulting in increased organizational productivity, especially for TPEs at lower and middle levels of management.

Originality/value

The paper is an original contribution by the researcher. An attempt has been made to highlight the training needs of TPEs and their related outcomes.

Citation

Anand, M. and Waraich, S.B. (2023), "Training of third-party employees and its outcomes: a systematic literature review", Higher Education, Skills and Work-Based Learning, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/HESWBL-07-2023-0192