Human Capital


The view of human resources as a form of capital is not new, but only recently practitioners and academics have turned their attention to the benefits of the efficient employee management. The concept describes these benefits and reviews the success factors and implementation information that will help you improve your HR strategies.

Technique Overview

Human Capital

Human Capital Definition

Human capital is defined by the OECD (1998) as “the knowledge, skills and competences and other attributes embodied in individuals that are relevant to economic activity”. The idea, however, finds its roots in the ideas of Karl Marx (1859) and in his concept of Labor Power where workers sold their labour in order to receive income.

Human Capital Description *

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Business Evidence

Strengths, weaknesses and examples of Human Capital *

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Business Application

Implementation, success factors and measures of Human Capital *

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Professional Tools

Human Capital videos and downloads *

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Further Reading

Human Capital web and print resources *

Human Capital references (4 of up to 20) *

  • Allison, D. (2009) Investopedia. Human Capital: The Most Overlooked Asset Class.
  • Becker, G.S. (1975) Human Capital: A Theoretical and Empirical Analysis, with Special Reference to Education. (2d Ed.) New York: Columbia University Press for NBER.
  • Behrman, J. (1997) Conceptual and Measurement Issues. In J. Behrman and N. Stacey (Eds.), The Social Benefits of Education, University of Michigan Press, pp. 17-67.
  • HM Treasury (2001) Productivity in the UK: The Regional Dimension. London, UK.

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