What is "Human Capital" meaning?

Human capital represents the intangible assets embodied in individuals, including their education, expertise, and personal attributes that enhance their ability to contribute to economic activities. Companies invest in human capital to improve overall performance and growth.

Example

"The company focused heavily on human capital development by offering training programs and fostering a culture of continuous learning."

How is "Human Capital" used in business?

In business, human capital is used to gauge the value of employees and the organization’s investment in their growth. Companies prioritize hiring, training, and retaining talent to boost productivity and profitability.

Pro Tip

Investing in human capital through professional development can significantly enhance a company’s performance, reduce turnover, and improve employee satisfaction.

Related Terms

Workforce Development, Talent Acquisition, Employee Engagement, Training and Development