How human capital becomes transformed into business value is still a black box, as human capital asset dynamics are only partially understood.
As HR becomes more able to value human capital investments and include them in financial statements, human capital consumption behavior will become much more transparent.
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Governments are now competing with each other to attract the financial, physical, and human capital necessary to nourish high value-added, innovation-driven, 21st century economies.
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Workers in certain fields hold human capital that has declined sharply in value.
Put simply, the mass destruction of farming jobs allowed for the redirection of precious human capital toward more productive, higher value work.
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But we have an economy whose value increasingly lies with human capital-based companies such as Google.
The contribution that four important intangible assets--reputation, innovation, management and human capital--make to a company's market value is deemed to be its corporate brand value.
This effort will pay enormous dividends for the country, as it will help develop the human capital America needs to lead a global economy that increasingly creates value with big data and big bandwidth.
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Let me share with you a very clear example: Ashoka Fellow Felipe Vergara, whose organization Lumni, is transforming the field of human-capital-financing by giving students the opportunity to invest in their own education using the value of their future earnings.
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But conscientious analytics and good manager judgment together go a long way in capturing value-driving behaviors in HR metrics, which in turn puts the humanity in human capital.
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