The True Meaning of Human Capital Development

 

Human capital development is not a new phrase in the world of recruitment. For the unversed, it refers to the practice of improving a firm’s employee performance, resources and capabilities with succinct processes. Being comprehensive and diverse, human capital development can fall within a diverse spectrum of quantitative as well as qualitative organisational endeavours. This can be anything like morale building, skill development, project management, tuition assistance, on-the job training or other team building activities.

 

Human capital development is important because employees hold a huge impact over the performance of a firm. Ultimately, employees are the true individuals who contribute to the working essence of the organisation. Think about it from this perspective, if your firm has a workforce with developed skills, experience and competencies, they can achieve industry benchmarks more successfully.

 

Many of the human capital consultancy services argue for strategic interventions that help businesses implement more proactive and engaging human capital development practices in organisations. Managers should ensure that the human resource department is dedicating enough resources and attention for the development of employees in their respective domains. One important point for consideration here is that the employees should be aware of the development opportunities presented to them and should utilise them to the fullest. This can invite many end-to-end benefits for businesses like lower employee turnover, higher employee job satisfaction and high employee retention. After all, will anyone feel like leaving an organisation that is investing resources and time for their exclusive skill development.

 

As mentioned previously human capital development can occur through many ways. It can be either through helping employees continue education, psychometric training, personality training, coaching, mentoring, leadership training, workshops, job training etc. You need to find the ideal human capital development strategy after assessing the expectations and requirements of your workforce.   

 

Well, the resources and time that you invest for human capital development endeavours are never going down the drain. It entails several benefits for organisations like;

●       Improved workplace productivity

●       Higher rates for retention and job satisfaction

●       Better succession planning

According to a leading human resource consulting firm, executive development programs can offer proactive succession planning for organisations. These programs can help employees identify the competencies that can help them bridge the inadequacies and prepare well-ahead for a successful career transition. These programs imbibe specific leadership skills to employees which help them transit well-prepared to senior executives’ roles within the organisation

 

The concept of human capital is creating the ubiquitous need for continuous talent development programs. The need for a skilled workforce is increasing and there is the growing trend of employees moving from one firm to another in hopes of a better work environment. What is more appealing than a work environment that offers ample scope for skill development.

 

For any firm that is intent on staying top of market competition, human capital development is a necessity. There is a noticeable change in the classical model of business and human capital growth and businesses should invest in opportunities that can engage their workforce better. For more information on human capital development, please feel free to contact www.taplowgroup.com.