Using the analytic hierarchical process to investigate the impact of training on KPIs in an SME: A case study in the printing industry

This paper proposes an AHP and BSC based approach for evaluating the impact of training investments on KPIs in a manufacturing SME in Chile. The analytic hierarchy is structured in three steps: initial analysis (economic factors), organisational analysis (observation) and the impact of training investment on the economic factors in the initial analysis, in terms of the key performance indicators in each step. The aim of this study is to serve as a first stage in the development of an integrated approach linking key performance indicators (KPIs) to training plans, in order to obtain a working process that can be used to determine the weighted impact of training on KPIs, with a view to calculating the return on training investment in a future second stage of research. This paper integrates a theoretical approach with analytic hierarchical process (AHP) methodology. This new approach has been called hierarchical participatory action analysis (APAJ) and is carried out in five steps. APAJ was found to be a more realistic tool for assessing the cost-effectiveness of training in an organisation. A case study focusing on an SME operating within the printing sector is provided to demonstrate the practical application of the proposed methodology.

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Publication Details

Journal
Applied Business and Economics Journal
Published
2024-10-05
DOI
https://doi.org/10.61089/abej.2024.2.86
Primary Topic
Human Resource Development and Performance Evaluation
Type
article
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article

Using the analytic hierarchical process to investigate the impact of training on KPIs in an SME: A case study in the printing industry

Rosa Elizabeth Galleguillos-Pozo, Pablo Rial-González
Applied Business and Economics Journal
Human Resource Development and Performance Evaluation
article

Using the analytic hierarchical process to investigate the impact of training on KPIs in an SME: A case study in the printing industry

Rosa Elizabeth Galleguillos-Pozo, Pablo Rial-González
article en

Abstract

This paper proposes an AHP and BSC based approach for evaluating the impact of training investments on KPIs in a manufacturing SME in Chile. The analytic hierarchy is structured in three steps: initial analysis (economic factors), organisational analysis (observation) and the impact of training investment on the economic factors in the initial analysis, in terms of the key performance indicators in each step. The aim of this study is to serve as a first stage in the development of an integrated approach linking key performance indicators (KPIs) to training plans, in order to obtain a working process that can be used to determine the weighted impact of training on KPIs, with a view to calculating the return on training investment in a future second stage of research. This paper integrates a theoretical approach with analytic hierarchical process (AHP) methodology. This new approach has been called hierarchical participatory action analysis (APAJ) and is carried out in five steps. APAJ was found to be a more realistic tool for assessing the cost-effectiveness of training in an organisation. A case study focusing on an SME operating within the printing sector is provided to demonstrate the practical application of the proposed methodology.

Applied Business and Economics JournalVol. 2
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Human Resource Development and Performance Evaluation
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