E-Training and Perceived Organizational Performance in Bangladeshi Banks: The Mediating Role of Employee Competency

Evaluating e-training through organizational performance alone leaves the contribution of employee competency unclear. This study examines whether employee competency helps explain the effect of e-training on perceived organizational performance in Bangladeshi banks. Questionnaire data from 375 employees of BRAC Bank, Community Bank, and ONE Bank were analyzed using partial least squares structural equation modeling. E-training had significant positive estimated effects on employee competency and perceived organizational performance. Employee competency also had a significant positive effect on perceived performance. The indirect effect through competency was 0.163, with a 95% confidence interval of 0.115–0.221. A significant direct effect of 0.248 remained, supporting partial mediation. Together, e-training and competency explained 26.7% of the variation in perceived performance. The study adds a competency pathway to the evaluation of e-training in the selected banking institutions, showing that competency explains part, but not all, of the modeled training-performance effect. For managers, the findings support combining employees' assessments of training with evidence of capability development, rather than relying on participation alone.