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...

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