The Effectiveness of Training Need Analysis (TNA) In Selected Manufacturing Companies (MSME): A Study in Malaysia

The COVID-19 pandemic has dramatically reshaped industries, especially manufacturing, emphasizing the urgent need for adaptive employee training in response to market shifts (Sohrabi et al., 2020). Recognizing this need, governments have initiated training-focused financial support, signifying a commitment to workforce development as a cornerstone of economic recovery (Nicola et al., 2020). In 2020, global investment in training exceeded $357.7 billion, reinforcing the view that nurturing human capital is key to maintaining competitive businesses (Patel, 2010; Training Industry Report, 2020). Reflecting this trend, Malaysia's training investment surged to RM475 million, manifesting a strong dedication to professional growth within its workforce (Ridzuan & Rahman, 2021). Given that Micro, Small, and Medium Enterprises (MSMEs) form the bulk of Malaysian businesses and have seen robust growth, there is a clear demand for flexible and effective training programs (Department of Statistics, Malaysia, 2021). This study zeroes in on the difficulties organizations face in executing Training Needs Analysis (TNA), an essential practice for aligning workforce capabilities with organizational objectives. Although crucial, TNA often encounters stumbling blocks such as poor data collection, training misalignment with organizational objectives, and constrained training budgets (Vivian & Jedidah, 2019; Trijoko, 2021). These impediments can lead to operational inefficiencies and prevent optimal employee progression (Ibrahim, Boerhannoeddin, & Bakare, 2017; Mamun, 2021). Moreover, training decisions are frequently made without in-depth analysis, leading to initiatives that are not strategically aligned with company objectives, thus failing to yield the desired results (Rajan, 2018). Keywords: Training Needs Analysis, Manufacturing, MSME, Malaysia