Question

5 – Explain the importance of human capital. (1-3 sentences)

5 – Explain the importance of human capital. (1-3 sentences)

Homework Answers

Answer #1
  • Human capital refers to the various knowledge and skills that any individual posses.
  • It is very necessary in every firms and organisations as the knowledge and skills of people helps them in achieving success.
  • They use human capital for efficient use of modern technology, for the employment of resources and to improve the productivity and profits of the organisation by allocating these resources efficiently.
  • It sums the total skills and knowledge of all the Individuals in the economy to achieve the organisation wide goals.
  • Thus human capital proves to be an important asset for every organisation, hence each organisation must nurture the skills and knowledge of its employees by giving them proper training and education.
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