Sunday, March 12, 2006

Human Capital as a Part of Your Companies "Value Platform"

The overall value of a corporation is dependent upon three factors (accoring to many leading Intellectual Capital theorists, such as Hubert Saint-Onge and Lief Edvinsson): (1) Human
Capital (2) Organizational (Structural) Capital (3) Customer (Relational) Capital. The interaction of these is graphically represented below as the "Value Platform".




The high-level specfics of these factors are depicted below:




With regards to Human Capital here are some of the fundamental indicators on whether a company is excelling or failing in this area:




If you have employees that have a long tenure, are satisfied with their job, are active in making suggestions to the company, are actively being recruited, and you have a high revenue/profit return in proportion to money spent on salaries then you probably have the Human Capital side of the Value Platform model well under control.


Click here to view a related study.

No comments: