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A Return on Investment Approach to Training Evaluation in Public Sectors

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Abstract

The primary purpose of this study is to explore how to apply a return on investment (ROI) technique for evaluate training programs of public sectors according to the training evaluation paradigm proposed by Phillips. In line with his paradigm, we also examined the effect of training programs on behavioral outcomes by applying ordinary methods against knowledge and skills development and performance improvements. Due to the unique nature of public sector business process, we developed modified data-gathering instruments properly fitted to a training program of public sectors. We investigated the Intermediate Auditor Training Program by Directorate General of Taxes of Indonesia and analyzed 113 auditors who took this training program. Our analysis illustrated that the ROI method was effectively applied for the program evaluation of the public sector. In addition, we also confirmed that the other ordinary methods made differences how to assess knowledge and skills development as well as performance improvements in the public organizational context. Consequently, we have concluded that the ROI evaluation technique will be a useful tool to determine how training programs offered in public sectors are effective in view of financial benefits.

Suggested Citation

  • Juliarti Jayani & Yoshitaka Yamazaki, 2012. "A Return on Investment Approach to Training Evaluation in Public Sectors," Working Papers EMS_2012_13, Research Institute, International University of Japan.
    • Handle: RePEc:iuj:wpaper:ems_2012_13
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    File URL: https://www.iuj.ac.jp/workingpapers/index.cfm?File=EMS_2012_13.pdf
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    References listed on IDEAS

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