Human capital
Contents
Definition
Human capital is The part of organization's intangible assets which is embedded in people working in the organization and is based on people's knowledge, skills and competences
Summary
One paragraph.
Description
Human asset is a part of an organization's intangible assets (see Fig 1). It includes the knowledge, skills, competencies and qualifications of the people in the organization. Also teams, networks and Communities of practice are a part of human assets. One could say that human asset is the part of organization's assets that walks out every day and is not as straightforward to manage as tangible assets.
Human asset refers to economical view of human resources. Human assets are developed via investments like training with the expectation that this investment enhances potential income earning of the organization.
Management of human assets
Human assets are managed via organisation's asset management and there are several business process which involve managing or developing organisation's human assets.
When considering development of human assets, the available processes can be divided into developing the human resources the organisation already has and to importing new human resources. The most typical processes available in organisations include
