Question

A major focus of Ch. 2 of Peak Performers is the idea of “human capital,” that is, a company’s greatest asset being its ability to utilize (and develop) the resource of the people it employs. Do you think the meta analysis by Crook et al (2011) supports the value of human capital (i.e. discuss relative to human capital, operational performance and firm performance?

Answer 1

Human capital is the work force by human labor based on skill, knowledge, education, physical strength, capacity and so on. It is the power of a company. It is the chief purpose of a company to use human power in the best ways. The best performer is acknowledged and rewarded. This is based on work capacity, skill and other qualities.

The concept of human capital shows that all the individuals are not equal workers. All are not efficient equally. The difference lies in the performance. Crooke's meta analysis is the analysis of the human capital based kn experience and performance. There are many steps to determine the performance of the employees.

Formulation: It is the first step and in this step the the guide lines of measuring human capital is determined. In most of the company outcome is taken as the scale of measurement and there are some definite criteria.

Selection: In this step the proper human experts are selected on the basis of outcome. Then the quality of work and the related matters with it are judged.

Statistical record: Then data are arranged in the particular statistical formulation. After that the efficiency employee is selected.

In the process of selecting there must be transparent procedure and the clarity must be maintained. The process must be clear and definite. It should be made in such ways that the employees would be inspired.