Human Capital Management 40 . A human capital system for administration would focus on training administrative employees to multitask, maximizing the organizational skill set. Factory or manual labor employees are another example of a type of human capital system. Howard Gardener – different types of human capital. Developing your human capital ensures that your workforce is being effective and efficient, and ultimately, improving your company’s overall performance. Human capital strategy simply refers to the methods or strategies that an organization may use to increase its human capital base. Since human capital is a term used to describe the value of a person’s skills, experience, or talents to a particular company or organization, all jobs would be considered human capital jobs. The Index measures which countries are best in mobilizing the economic and professional potential of its citizens. Everyone appears to be concerned with how to develop their human capital – and for good reason! The index measures how much capital each country loses through lack of education and health. Terms such as talent or human resources are common alternatives. Erin J. Hill Last Modified Date: August 17, 2020 . Gardener emphasised the different types of human capital. Most business managers have increased their awareness of the importance of human capital, and of their role in nurturing and deploying it. Systems for these types of employees put priority on per-hour unit production and team efficiency. Human capital has recently been the topic of many, many conversations. The Human Capital Index is a report prepared by the World Bank. Human capital is also important for influencing rates of economic growth. Human Capital Management (HCM) refers to an organization’s comprehensive plan and a set of practices for recruiting, managing, developing and optimizing employees to maximize their values towards an organization. Human capital is a measure of the economic value of an employee's skill set. In many cases, people don't like to be referred to as "capital." Human capital theory is relatively consistent across different disciplines; the different types of human capital are more relevant depending on the primary subject matter. One could increase education, but be a poor manager. Human capital refers to the knowledge and skills possessed by the various employees in the organization. An investment in human capital means investing in education or some form of on-the job training to improve workforce quality. Human Capital The knowledge, know-how, abilities and creativity of employees. The following are the primary types of intellectual capital. 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