Emphasis on the different theories and the merits and demerits of the theories will be discussed. Since the aim of the dissertation is to understand the effects of training and development on employee productivity it is essential that a case is taken into consideration. The study conducted in this dissertation uses data from a company – British American Tobacco Ltd. UK., to discuss and understand the effects of training and development on the employees and how the productivity of employees is affected by these human resource practices. The Human Resources departments of various companies and corporations who are actively working on improving the performance and productivity of employees or are preparing proposals to the management on implementing different training and development processes to improve the productivity of employees. The key issues that will be discussed in the dissertation are the effect of training and development programs on employee productivity. The merits and demerits of including the training programs for graduate employees will also be discussed. As the company spends a lot of its resources in training of employees it is essential that the results got from these programs are beneficial for the company. Also, a brief discussion about why training programs might not be useful in certain cases will also be discussed. Recommendations for the company will include steps the company can take to ensure positive results in the form of better productivity of employees will also be discussed. The companies website states a lot of different programs that BAT offers for new starters, this will also be discussed in detail to analyze the usefulness and appropriateness of the programs. Another issue that will be discussed is the effectiveness of the theories that have been derived over the past years. A detailed explanation of the different theories will be discussed and an analysis of the theories will be made.