Innovative profiles of TQM in banking management. The relationship between employee training and risk mitigation

IF 3.8 Q2 MANAGEMENT TQM Journal Pub Date : 2023-01-13 DOI:10.1108/tqm-01-2022-0043
M. Testa, A. D’Amato, Gurmeet Singh, G. Festa
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引用次数: 1

Abstract

PurposeThis paper aims to investigate the relationship between employee training and bank risk to verify whether and to what extent an increase in employee training, as a soft component of total quality management (TQM), affects bank risk.Design/methodology/approachThe research adopts a panel regression, based on a unique dataset of a sample of Italian banks over the period 2011–2018, to test whether employee training affects bank risk, measured alternatively in terms of Z-score, a proxy of bank stability and non-performing loans (NPLs)/gross loans ratio as a proxy of credit risk.FindingsResearch findings reveal that increasing employee training leads to growing bank stability. In contrast, credit risk is not affected by employee training. However, by investigating training heterogeneity, this study found that the increase in the number of managerial training hours, as a proxy for soft skills training, negatively impacts credit risk. Therefore, an increase in soft skills leads to a reduction in bank credit risk.Research limitations/implicationsThis study provides empirical evidence in support of the relationship between employee training and bank risk, which seems novel in the literature. From a managerial point of view, this study highlights the need for banks to pay attention to the skills, particularly soft skills, that banks' employees must possess to effectively manage bank risk and, more specifically, the core bank risk.Originality/valueEmpirical evidence on the relationship between employee training, soft/hard skills and bank risk appears limited if not absent. Therefore, the findings provide insights for a more nuanced interpretation of variables that affect bank risk.
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TQM在银行管理中的创新概况。员工培训与风险缓解之间的关系
本文旨在研究员工培训与银行风险之间的关系,以验证作为全面质量管理(TQM)软组成部分的员工培训的增加是否以及在多大程度上影响银行风险。设计/方法/方法本研究采用面板回归,基于2011-2018年期间意大利银行样本的独特数据集,以测试员工培训是否会影响银行风险,用Z-score(银行稳定性的代表)和不良贷款(NPLs)/总贷款比率(信用风险的代表)来衡量。研究结果显示,增加员工培训可以提高银行的稳定性。相比之下,信用风险不受员工培训的影响。然而,通过调查培训的异质性,本研究发现,作为软技能培训的代理,管理培训时数的增加对信用风险有负向影响。因此,软技能的提高导致银行信用风险的降低。本研究为员工培训与银行风险之间的关系提供了经验证据,这在文献中似乎是新颖的。从管理的角度来看,本研究强调银行需要关注银行员工必须具备的技能,特别是软技能,以有效管理银行风险,更具体地说,是银行的核心风险。原创性/价值关于员工培训、软/硬技能与银行风险之间关系的经验证据,如果不是缺乏的话,似乎也很有限。因此,研究结果为更细致地解释影响银行风险的变量提供了见解。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
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来源期刊
TQM Journal
TQM Journal Business, Management and Accounting-Business, Management and Accounting (all)
CiteScore
9.10
自引率
0.00%
发文量
114
期刊介绍: Commitment to quality is essential if companies are to succeed in a commercial environment which will be virtually unrecognizable in less than a decade. Changing attitudes, changing perspectives and changing priorities will revolutionise the structure and philosophy of future business practice - and TQM will be at the heart of that metamorphosis. All aspects of preparing for, developing, introducing, managing and evaluating TQM initiatives.
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