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Return on Investment (ROI) training evaluation in Malaysian SMEs : factors influencing the adoption process

Abstract Purpose The purpose of this study is to emphasize the importance of return on investment (ROI) within training programs in Malaysian small and medium enterprises (SMEs). Specifically, this paper focuses on the determinants that may influence the adoption of ROI in the current training e...

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Main Authors: Luqman Hakim, Satiman, Nur Naha, Abu Mansor, Nadiatulhuda, Zulkifli
Format: Article
Language:English
Published: Emerald Publishing Limited 2015
Subjects:
H Social Sciences (General)
Online Access:http://ir.unimas.my/id/eprint/46691/1/Return%20on%20Investment%20%28ROI%29%20training%20-%20Copy.pdf
http://ir.unimas.my/id/eprint/46691/
https://www.emerald.com/insight/content/doi/10.1108/dlo-05-2014-0035/full/html
https://doi.org/10.1108/DLO-05-2014-0035
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spelling my.unimas.ir-466912024-11-22T02:24:35Z http://ir.unimas.my/id/eprint/46691/ Return on Investment (ROI) training evaluation in Malaysian SMEs : factors influencing the adoption process Luqman Hakim, Satiman Nur Naha, Abu Mansor Nadiatulhuda, Zulkifli H Social Sciences (General) Abstract Purpose The purpose of this study is to emphasize the importance of return on investment (ROI) within training programs in Malaysian small and medium enterprises (SMEs). Specifically, this paper focuses on the determinants that may influence the adoption of ROI in the current training evaluation practice. Design/methodology/approach The paper highlights the internal and external organizational factors that may influence ROI adoption within the Malaysian context. The internal drivers are identified as management support, while the external drivers are policies and regulation, competitive pressure and customer expectation. Findings Based on a comprehensive review in the human resource field, the main drivers for ROI adoption are identified as management support, policies and regulations, competitive pressure and customer expectation. Practical implications On the face of fierce national and international competitions, SMEs need to seriously consider investing in higher-level training evaluation, i.e. ROI, to increase its labor quality and subsequently organization’s productivity. Originality/value Prior studies tend to concentrate on larger organization, whereas research on the adoption of ROI in SMEs has received less attention from the scholars. This study builds a conceptual work based on the integration of internal and external environments in the scope of study rarely analyzed, i.e. Malaysian SMEs. Strong SMEs are undoubtedly important for Malaysia to achieve its vision in becoming a developed nation by end of the decade. It is also worth to note that findings from this study are applicable to other developing countries with similar background to Malaysia. Emerald Publishing Limited 2015 Article PeerReviewed text en http://ir.unimas.my/id/eprint/46691/1/Return%20on%20Investment%20%28ROI%29%20training%20-%20Copy.pdf Luqman Hakim, Satiman and Nur Naha, Abu Mansor and Nadiatulhuda, Zulkifli (2015) Return on Investment (ROI) training evaluation in Malaysian SMEs : factors influencing the adoption process. Development and Learning in Organizations, 29 (2). pp. 18-21. ISSN 1477-7282 https://www.emerald.com/insight/content/doi/10.1108/dlo-05-2014-0035/full/html https://doi.org/10.1108/DLO-05-2014-0035
institution Universiti Malaysia Sarawak
building Centre for Academic Information Services (CAIS)
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Malaysia Sarawak
content_source UNIMAS Institutional Repository
url_provider http://ir.unimas.my/
language English
topic H Social Sciences (General)
spellingShingle H Social Sciences (General)
Luqman Hakim, Satiman
Nur Naha, Abu Mansor
Nadiatulhuda, Zulkifli
Return on Investment (ROI) training evaluation in Malaysian SMEs : factors influencing the adoption process
description Abstract Purpose The purpose of this study is to emphasize the importance of return on investment (ROI) within training programs in Malaysian small and medium enterprises (SMEs). Specifically, this paper focuses on the determinants that may influence the adoption of ROI in the current training evaluation practice. Design/methodology/approach The paper highlights the internal and external organizational factors that may influence ROI adoption within the Malaysian context. The internal drivers are identified as management support, while the external drivers are policies and regulation, competitive pressure and customer expectation. Findings Based on a comprehensive review in the human resource field, the main drivers for ROI adoption are identified as management support, policies and regulations, competitive pressure and customer expectation. Practical implications On the face of fierce national and international competitions, SMEs need to seriously consider investing in higher-level training evaluation, i.e. ROI, to increase its labor quality and subsequently organization’s productivity. Originality/value Prior studies tend to concentrate on larger organization, whereas research on the adoption of ROI in SMEs has received less attention from the scholars. This study builds a conceptual work based on the integration of internal and external environments in the scope of study rarely analyzed, i.e. Malaysian SMEs. Strong SMEs are undoubtedly important for Malaysia to achieve its vision in becoming a developed nation by end of the decade. It is also worth to note that findings from this study are applicable to other developing countries with similar background to Malaysia.
format Article
author Luqman Hakim, Satiman
Nur Naha, Abu Mansor
Nadiatulhuda, Zulkifli
author_facet Luqman Hakim, Satiman
Nur Naha, Abu Mansor
Nadiatulhuda, Zulkifli
author_sort Luqman Hakim, Satiman
title Return on Investment (ROI) training evaluation in Malaysian SMEs : factors influencing the adoption process
title_short Return on Investment (ROI) training evaluation in Malaysian SMEs : factors influencing the adoption process
title_full Return on Investment (ROI) training evaluation in Malaysian SMEs : factors influencing the adoption process
title_fullStr Return on Investment (ROI) training evaluation in Malaysian SMEs : factors influencing the adoption process
title_full_unstemmed Return on Investment (ROI) training evaluation in Malaysian SMEs : factors influencing the adoption process
title_sort return on investment (roi) training evaluation in malaysian smes : factors influencing the adoption process
publisher Emerald Publishing Limited
publishDate 2015
url http://ir.unimas.my/id/eprint/46691/1/Return%20on%20Investment%20%28ROI%29%20training%20-%20Copy.pdf
http://ir.unimas.my/id/eprint/46691/
https://www.emerald.com/insight/content/doi/10.1108/dlo-05-2014-0035/full/html
https://doi.org/10.1108/DLO-05-2014-0035
_version_ 1817848754989957120
score 13.223943

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