THE ROLE OF HUMAN CAPITAL MANAGEMENT AND ECONOMIC DEVELOPMENT

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THE ROLE OF HUMAN CAPITAL MANAGEMENT AND ECONOMIC DEVELOPMENT

CHAPTER ONE

INTRODUCTION

BACKGROUND OF THE STUDY

For an organization to effectively and efficiently achieve its organization objectives there must be human capital management, reporting, measurement and drawing conclusion about the significance of the outcomes of measurement as a guide to future action. Human capital management focuses the attention of an organization leadership team on the strategies it should adopt. It identifies these aspects of people management that demonstrably have the greatest bearing on business performance. It clarifies the return that can be obtained in terms of increased profitability, productivity and overall effectiveness arising from the development deployment and engagement of the people the organization needs to active its goals HCM points the way to achieving human capital advantage by highlighting where and how investments in people generate the highest returns. It ensures that HRM policies include knowledge management, resourcing, talent management, performance, and reward and recognition processes, which will bring organizational efficiency. This research project intends to practically study how human capital management impacts on organizational efficiency

STATEMENT OF PROBLEM

Human capital management (HCM) has been described as “a strategic approach to people management that focuses on the issues that are critical to an organizational success” in teams of competences, knowledge and personality.(Armstrong 2007) Apparently human capital management has been experiencing many problems ranging from poor designing and implementation of human capital strategy, ineffective human capital measurement, inadequate human capital reporting system, huge investment of money on physical management than human capital management and ineffective human management technique.

This research project intends to look at how small and medium scale industries have been grappling with these and other problems with particular reference to their efficiency. For lack of time and resources, the research will focus one Peugeot, Automobile of Nigeria Kaduna.

OBJECTIVE OF THE STUDY

To examine the nature of recumbent and selection adopted by the organization.
To know the extent at which human capital management is important in Peugeot Automobile of Nigeria Kaduna (PAN).

iii. To identify the problems the organization encounter in management their human capital and there causes capital.

RESEARCH QUESTIONS

What is the nature of recruitment and selection adopted by Peugeot Automobile of Nigeria Kaduna (PAN)?
What are the extent to which human capital management is important is Peugeot Automobile of Nigeria Kaduna (PAN)?

iii. What are the problems organization encounter in managing their human capital an its causes in Peugeot Automobile of Nigeria Kaduna (PAN).

SIGNIFICANCE OF THE STUDY

The significance of this research work to the organization cannot over emphasize. This research work will look at the important area of changing the perception of the employer’s view of their employees as a cost not as an asset. Also it will highlight some important aspects of the impact of human capital management on organizational efficiency. To practicing managers, this will enable them to control coordinate, direct and plan the activities of the organizational effectively .For other researchers/school and libraries, this study will be beneficial as it enriches their study.

SCOPE OF THE STUDY

The scope of the study based on the Role of Human Capital Management in Organization Efficiency in Peugeot Automobile of Nigeria Kaduna (PAN)

Considering the sensitivity of the research topic and the possible limiting factors that might be confronted with, the research is restricted only to one organization that is in Peugeot Automobile Company Nigeria Kaduna. The study covers a time from 2008 to 2012.

LIMITATION OF THE STUDY

In the study of this nature, one is bound to encounter some problem that will serve as the limitation of the study, important among which are:

Time constraint: The time necessary to complete this study was short and as a result of this, enough data were not consulted other constraints similar to this is the tight academic work the researcher was faced with at the time period.

ii Data collection: some of the data need of the research on. Internets were not available to unsubscribed users. Therefore, the researcher was faced with the option of going out in other to get these data since most of the data could not be gotten from within.

iii. Finance: Finance acted as a stumbling block to the execution of this project. The money needed for transportation, browsing, printing e.t.c. posed some difficulties to the researcher, hence acting as limiting factors.

In spite of these limitations, the content and achievement of this write up will be of valuable use to the students and society at large and also to further researchers.

DEFINITION OF TERMS

Human: Is a specialized word that applies to people, as distinct from the other species of animals.
Capital: For the purpose of the research are the innate or acquired human ability, which is the stock of accumulated knowledge, skills, experience, creativity, and other relevant workforce, that is valuable on organizational investment.
Management: For out purpose, we can regard management as taking place within a structural organizational setting with a prescribed role directed to wards the attainment of aims and objectives.
Organization: It is a cooperative and coordinated social system of two or more people within a common purpose.
Efficiency: This is the performing measure work (ration of standard measures hour of work produced and the actual time taken).
Competences: This is the area of knowledge ability and skills that increases an individual’s effectives in dealing with the work.
Sampling: One of the numbers of thins or part of a whole that can be looked at to see what the rest is like

MTN: Mobile Telecommunication Network

HCM: Human Capital Management.

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