Human capital is an important asset for organizations under intense competition. Training and Development function enables human capital to unleash their dexterity. A profoundtraining program acts as a vehicle to enhance employee skills and enable them to perform better in their job. Training and development is very crucial to the employees, the organization and their effectiveness. Human capital is the differentiator between a good. company and a great company. The organizations have long understood that their mostvaluable asset is their human capital and many are convinced for large investments inemployee training and development. An effective training program is one that addresses training needs and delivers training according to training objectives. Research in Training andDevelopment function has produced many results. In the last decade, training evaluation has been the main focus for many studies. This literature review based article presents different viewpoints of various authors regarding the significance of training & development, perceptions of employees towards training effectiveness, training evaluation and training effectiveness. It finally endeavours to measure training effectiveness by proposing a ne