Content deleted Content added
Alvarosinde (talk | contribs) m Addition of the World Economic Forum Global Human Capital Index |
|||
Line 131:
==Corporate finance==
In [[corporate finance]], human capital is one of the three primary components of [[intellectual capital]] (which, in addition to tangible assets, comprise the entire value of a company). Human capital is the value that the employees of a business provide through the application of skills, know-how and expertise.<ref name="Maddocks">Maddocks, J. & Beaney, M. 2002. See the invisible and intangible. Knowledge Management, March, 16-17.</ref> It is an organization’s combined human capability for solving business problems. Human capital is inherent in people and cannot be owned by an organization. Therefore, human capital leaves an organization when people leave. Human capital also encompasses how effectively an organization uses its people resources as measured by creativity and innovation. A company’s reputation as an employer affects the human capital it draws.<ref name="sveiby.com"/><ref name="ReferenceA"/><ref name="Sveiby 1997"/>
==Measurement of human capital==
===World Economic Forum Global Human Capital Index===
Since 2012 the [[World Economic Forum]] has annually published its Global Human Capital Report, which includes the Global Human Capital Index (GHCI).<ref>{{cite web |title=The Global Human Capital Report 2017 |url=https://www.weforum.org/reports/the-global-human-capital-report-2017 |website=World Economic Forum |accessdate=30 November 2018}}</ref> In the 2017 edition, 130 countries<ref name=Observatory>{{cite web |title=Índice de Capital Humano 2017 |url=http://www.competitividad.org.do/wp-content/uploads/2017/10/Indice-de-Capital-Humano-2017.pdf |website=Observatorio de Competitividad |accessdate=30 November 2018}}</ref> are ranked from 0 (worst) to 100 (best) according to the quality of their investments in human capital. Norway is at the top, with 77.12.<ref name=Observatory/>
===World Bank Human Capital Index===
In October 2018, the [[World Bank]] published the Human Capital Index (HCI) as a measurement of economic success. The Index ranks countries according to how much is invested in education and health care for young people.<ref>[https://www.bbc.com/news/business-45816049 "Not pounds and pence - here's a different way to measure our wealth"], BBC, 11.10,2018</ref> The [[World Bank]]'s 2019 [[World Development Report]] on ''The Changing Nature of Work''<ref>[http://documents.worldbank.org/curated/en/816281518818814423/pdf/2019-WDR-Report.pdf World Bank World Development Report 2019: The Changing Nature of Work.]</ref> showcases the Index and explains its importance given the impact of technology on labor markets and the future of work.
Line 191 ⟶ 195:
===Other methods===
A new measure of expected human capital calculated for 195 countries from 1990 to 2016 and defined for each birth cohort as the expected years lived from age 20 to 64 years and adjusted for educational attainment, learning or education quality, and functional health status was published by the [[The Lancet|Lancet]] in September 2018. [[Finland]] had the highest level of expected human capital: 28·4 health, education, and learning-adjusted expected years lived between age 20 and 64 years. [[Niger]] had the lowest at less than 1·6 years.<ref>{{cite news |last1=Lim |first1=Stephen |last2=et |first2=al |title=Measuring human capital: a systematic analysis of 195 countries and territories, 1990–2016 |url=https://www.thelancet.com/journals/lancet/article/PIIS0140-6736(18)31941-X/fulltext |accessdate=5 November 2018 |publisher=Lancet}}</ref>
Measuring the human capital index of individual firms is also possible: a survey is made on issues like training or compensation,<ref name=Community>{{cite web |title=What is Human Capital Index ? |url=http://www.chrmglobal.com/Qanda/54/1/What-is-Human-Capital-Index-.html |website=Community for Human Resource Management |accessdate=30 November 2018}}</ref> and a value between 0 (worst) and 100 (best) is obtained. Enterprises which rank high are shown to add value to shareholders.<ref name=Community/>
==See also==
| |||