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ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. Measuring and Developing Human Capital,A Study of the Swedish Service Sector. This thesis is submitted by Roberto Meg as Garc a and Adrian Ruiz Crespo to the. University of Sk vde for the Bachelor Degree in Business Administration in the School of. Technology and Society,2008 06 03, We certify that all materials in this thesis which is not our own work has been identified. and that no material is included for which a degree has previous been conferred on us. Roberto Meg as Adrian Ruiz,ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. The aim of this research is to study how the Swedish service sector measures and. develops Human Capital It consists on five parts The first part will be compounded by. the background problem purpose and limitations We will detail the goal of the project. we will introduce the research question which we will answer at the end of the thesis The. second part deals with the Methodology we will use the necessary methods in order to. conduct properly this study After that in the third part Theoretical Framework we will. develop the model in order to know how Human Capital is measured and developed that. is to say the theoretical aspects of our research in order to acquire enough knowledge. and from here to be able to answer the research question The fourth part will regard the. Empirical Findings with the results of the questionnaire Analysis will be the fifth part. where we will apply the theory studied in the previous part throughout the questionnaire It. will be based on making Conclusions last part where we will answer the research. question launched in the introduction,ADRIAN RUIZ CRESPO.
ECONOMICS AND BUSINESS ADMINISTRATION ROBERTO MEG AS GARC A. Table of contents,1 INTRODUCTION 1,1 1 BACKGROUND 1. 1 2 PROBLEM 2,1 3 PURPOSE 3,1 4 LIMITATIONS 3,2 METHODOLOGY 4. 2 1 RESEARCH METHOD 4,2 2 RESEARCH PROCESS 4,2 3 PRIMARY DATA 6. 2 4 SECONDARY DATA 6,Validity 7,Reliability 8,3 THEORICAL FRAMEWORK 8. 3 1 BACKGROUND 8,3 1 1 People Knowledge Culture 10.
3 2 HUMAN CAPITAL AND DEVELOPMENT 10,3 2 1 Human Capital Yesterday and Today 10. 3 2 2 Development necessary insight 10, 3 3 APPLIED MODEL AND ITS RELEVANCE OUR RESEARCH 11. 3 3 1 Measuring people 11,3 3 2 Applied model to measure HC 12. 3 3 2 1 The Human Capital Management Star 13,3 3 3 Development 15. 3 3 3 1 Employee Development 16,4 EMPIRICAL FINDINGS 17.
QUESTIONNAIRE 18,General characteristics of the companies 18. Questions about knowledge of Human Capital 19, Questions about applied measurement and methods in Human Capital by Swedish service sector 21. Questions about Development of Human Capital in the Swedish service sector 24. GLOBAL RESULTS OF THE RESEARCH 29,Question 3 30,Question 9 30. ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. Question 13 32,Question 16 33,Question 20 34,5 ANALYSIS 35.
QUESTIONS ABOUT GENERAL CHARACTERISTICS OF THE SWEDISH SERVICE ORGANIZATIONS 36. THE FOLLOWING QUESTIONS AS WE MENTIONED AT THE INTRODUCTION OF THIS CHAPTER ARE ABOUT KNOWLEDGE. OF HC AND HR ON THE COMPANIES OF SWEDISH SERVICE SECTOR 37. ON THE THIRD PART OF OUR QUESTIONNAIRE WE TREAT TO SHOW IF THE FIRMS MEASURE HC AND HOW THEY. MEASURING HC PROBABLY IT IS THE MOST TECHNICAL SECTION WITHIN THE QUESTIONNAIRE 38. THIS FOURTH PART EMBRACES THE DEVELOPMENT TERM OUR GLOBAL VISION ON THIS PART PURSUE TO SHOW HOW. MANY OF KNOWLEDGE HAVE THE COMPANIES ABOUT THIS CONCEPT AND HOW THEY TREAT TO MAKE GOOD USE OF IT. AND OF COURSE TO MAKE IT BIGGER BECAUSE THIS TENDENCY WILL GO INTO THE ADVANTAGE OF THE COMPANY 40. 6 CONCLUSIONS 43, CONCLUSIONS ABOUT THE GENERAL CHARACTERISTICS OF THE COMPANIES 43. CONCLUSIONS ABOUT KNOWLEDGE OF HUMAN CAPITAL 44, CONCLUSION IS ABOUT APPLIED MEASUREMENT AND METHODS IN HUMAN CAPITAL BY SWEDISH SERVICE SECTOR 44. DEVELOPMENT OF HUMAN CAPITAL IN THE SWEDISH SERVICE SECTOR 44. FINAL CONCLUSION ON THE RESEARCH QUESTION 45,CLOSING AND ACKNOWLEDGEMENTS 46. APPENDIX 1 47,APPENDIX 2 48,TABLE OF FIGURES 53,TABLE OF TABLES 54. REFERENCES 55,INTERNET 57,ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A.
1 INTRODUCTION,1 1 Background, The term Knowledge and its specific weight are growing and taking better position in the. world of business Nowadays because of the stiff competition between the firms who. collect the best data will get to understand the significance of information and will achieve. the stage of wisdom which will let them to achieve in a competitive lead with their. competitors and with that bigger business success, The study and development of human resource into the company give good results for. business will improve the order inside organizations will give valuable information to. managers for taking correct decisions in order to achieve the fixed goals as well as it will. permit to know with certain the productivity and profitiability of the their products giving to. the company the capacity of manoeuvre and the possibility of taking a quick response. The demand of professionals more and more qualified and with higher levels of. knowledge is increasing it came up with the importance of concept Human Capital also. called Human Resource or Social capital as raw material to present day firms and for the. markets with certain technological level too Its intrinsic value is in constant growth The. companies search to take the services of those professionals more and better qualified in. order to be them indirectly better According to Peter Drucker The economies are in the. process of a transformation from an industrial economy to a service based economy In. this economy the knowledge and skills of the people engaged in service production is one. of the critical factors for success and survival 1. Recognising the importance of measuring and developing Human Capital in the. companies and even more in the service sector supposes an interesting reason to carry. out a research about it The Service sector is chosen because it is considered as a sector. which needs to value and to improve its human capital for achieving the best business. goals of them, Drucker Peter Post Capitalist Society Oxford Butterworth Heinemann 1993. ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. The new reality of tighter labor markets has fundamentally changed the landscape of. employee management Successful companies are finding that employee knowledge is. the key source of competitive advantage Peter Capelli 1993 Director Center of Human. Resources Wharton School of Business 2, Summering developing Human Capital Human Assets Human Resources it will rise.
of value of the workers skills and corporate culture it will Improve the overall situation. of the company profits productivity higher goals it will make the company stronger. more efficient and more competitive,1 2 Problem, The use of points of control that measures the value of Human Capital and the application. of techniques for improving and updating it will be definitive in the future of companies. with strong investments in knowledge, Therefore we focus on the Swedish Service sector which has a great weight within. economy This sector needs to know and develop the skills and attiudes of the workers. To sum up the main problem to be addressed is, How Human Capital is measured and developed in the Swedish Service Sector. The Scandinavian organizations have a good international reputation about how they. measure and control knowledge of their workers and how treat to develop this matter In. this way Leif Edvinsson and his famous model of measure Skandia IC Navigator are a. good example of measuring HC, After having an overall idea of the possible contributions in good done of measuring. Human Resource it is not less important to talk about the development and sustaniability. in the time Aldisert Lisa M 2002 page 164 claim that we can introduce in our firm the. last technology to get the necessary information but if you not give appropriated training. Peter Capelli Director Center of Human Resources 1999 Wharton School of Business quoted by Thomas O. Davenport 1999 Human Capital What It Is and Why People Invest It back cover page. ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A.
for their use you will not obtain the expected results Those firms that bear in mind this. rule benefit from their advances in productivity3, In a global view the world economies have a tendency to focus more and more in the. service sector and gradually they search higher knowledge in the labour in all stages of. the product production distribution sale and after sale for improving and to be more. competitive,1 3 Purpose, The purpose of this thesis is to describe how Swedish service companies measure and. develop their Human Capital,1 4 Limitations, Our limitations will deal with Swedish companies operating in the Swedish Service sector. Because of this sector is dependence upon Human Capital as the main asset Our. sample had to be representative of the sector, Companies will be from Sk vde and outskirts but also from the rest of Sweden medium. and large companies These companies should belong to subsectors of Service sector. Company oriented services included Financial Service Distributive Trade. Transports Communications Hotels Restaurants,Public Services Others.
Our time limitation will be spring semester 2008, Aldisert Lisa M in her book Value People How Human Capital Can Be Your Strongest Asset 2002 page. ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. 2 METHODOLOGY, In this part of the thesis we are going to describe how to conduct the research For that. we will illustrate the model which we chose for them and our reserach strategy that we are. going to ilustrate from the beginning that is to say the survey It will be the test to show. how they measure and develop human capital Also we will mention concepts like validity. reliability which will give a deep knowledge about researches methods. 2 1 Research method, Taking into the account what W M Trochim 1993 establishes about the cause effect 4. We consider our research subject by the effect hand and taking into account the. importance of value of HC as the cause Always considering the quality within the. method with the intention to carry out it with objectivity and realistic view We will deal. that the reader consider our work as valid and reliable Validity and Reliability terms. In addition to this we have to say that the researcher will have two different perspectives. in order to make his own thesis On one hand it will be the objectivistic and on the other. hand the subjectivist We think that mixing both perspectives is suitable. 2 2 Research process, We must know that all research is based on assumptions about how the world is.
perceived and how we can best come to understand it 5. In this part of the methodology we will indicate the steps which we are going to follow in. this project thesis Hereby it is to mention several stages in this way. William M Trochim The Research Methods Knoledge Base Cornell University Custom Publishing 1993. William M Trochim The Research Methods Knoledge Base Cornell University Custom Publishing 1993. ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. Pre understanding, Firstly the researcher that is to say us needs to have previously a knowledge acquired. to deal in the best possible way his research topic For that we must to achieve this level. of knowledge in order to make a valid work and through this to get the reader understands. better the thesis,Designing and creating of data collection. These both steps constitute the basis for the further thesis detail We must plan how we. want to carry out the thesis and from that we will create the questionnaire which is the. tool where we will detail our research To make the questionnaire we are going to base. on The research method knowledge base 6 Trochim 1993. The aim of the questionnaire is about the measurement and development Thus in order. to create a good questionnaire for collecting the best information for our research we. have to sample our work field and to make distinction between the population of interest. to our research and our final sample,The collection of Data. We must contact with the organizations to send and to give them the questionnaire which. we have elaborated previously,The evaluation of Data.
When we contact with these organizations and collect all the answers we will take into. account what we can use from them in our empirical analysis We will delete those. answers which are not useful to the analysis part for that we will have to give appropriate. scales which let it be analyzed,Conclusions, Once selected the answers which will be useful for our research we will make a deep. analysis by commenting them and answering our research question. William M Trochim 1993 The Research Methods Knoledge Base Cornell University Custom Publishing. ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. 2 3 Primary Data, Once chosen what we wanted to research we needed to collect enough information in. order to know how we were going to carry out our thesis project Firstly we began. searching data in Sk vde University library but we could not get as much information as. we thought for that we had to borrow those books that could be interesting for our. research The University provided us all of this data among loans from other Swedish. universities G teborg Stockholm J nkoping Umea V steras etc It was in that. moment when we were able to face the project thanks to the knowledge acquired. previously Secondly we resorted to Internet Google Wikipedia research websites links. of official and educational institutions and the electronic database of the university ELIN. such as journals articles work papers and books online. 2 4 Secondary Data, When we acquired the necessary knowledge about the aim of our research we wanted to. build up a questionnaire in order to have a sample where illustrated how Swedish service. sector measures and develops Human Capital which is the essence of this thesis Once. elaborated the questionnaire firstly we sent it by email to those companies which belong. the service sector Due to the fact that most of the companies were not willing to fill up. we realized that it was better to make them pressure by delivering all questionnaire by. hand However it was not as success as we thought Hereby we had problems in order. to collect data required in a short time Finally we were able to get a representative. sample to achieve our research goal, Introduction to Validity7 to achieve our own survey.
1 Theory what do we think about research subject, 2 Observation what do we do test and see with our survey. William M Trochim The Research Methods Knoledge Base Cornell University Custom Publishing 1993. ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. Everybody knows the saying all cause has its effect so we can think that these. concepts are related The cause effect relationship must be applied as a whole in order to. achieve a valid system of measure Is then when we have to explain the term. operationalize used by Trochim 1993 page30 to describe as possible the act of moving. a qualitative data to quantitative terms, The explanation of this process show by Trochim can let us to introduce the term of. Validity and Reliability mentioned previously And we believe it should be substantiated. on a series of guidelines into the research which are described by Evert Gummesson in. his book Qualitative Methods in Management Research 8. Figure 2 1 Fields that a research,What you think,Cause Contruct cause effect construct. operationalize operationalize,Program Program outcome relationship Observations.
What you do,What you see,OBSERVATION What you test. William M Trochim9 1993 claims The best available approximation to the truth of a. given proposition inference or conclusion The understanding must be achieved in order. to set the foundations of a valid research problem. Gummesson Evert 2000 Qualitative Methods in Management Research Thousand Oaks Sage. Publications page 186 188, William M Trochim The Research Methods Knoledge Base Cornell University Custom Publishing 1993. ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. According to Trochim 1993 the obtaining of Validity in our research tool should start. from the real assumption that the companies measure Human Capital within its. organization Besides this point and among our questionnaire we will try to get the real. information operationalize in order to be able to issue valid assessments for our. theoretical framework answering the assertions launched by Trochim in the figure above. what you do what you test what you see,Reliability. The proportion of truth in your measure 10 we cannot calculate reliability because. we cannot measure the true score component of an observation But we also know that. we can estimate the true score component as the covariance between two observations. of the same measure 11 In our research we pretend to approach to the Reality as much. as possible among our questionnaire knowing that our results will be estimations close to. it Thus Validity and Reliability must go together The results of a good project will have a. great level of Reliability if it keeps the three dimensions Time Place and People with. similar values,3 THEORICAL FRAMEWORK,3 1 Background.
The value of skills of intangible assets is vitally important nowadays Therefore the. correct skills measure will lead to a flow of data that will extent through all levels of. company waiting to be used to improving productivity efficiency and effectiveness of. resources and getting a positive environment to the organizations providing sustainability. in the long time, William M Trochim The Research Methods Knoledge Base Cornell University Custom Publishing 1993. William M Trochim The Research Methods Knoledge Base Cornell University Custom Publishing 1993. ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. It is not less important to develop the skills and attitudes of workers Training and to. keep them always motivated Retaining because as Dina Gray 2001 page 26 says All. businesses need to strive to motivate their employees to give more of themselves than is. being asked of them 12,Figure 3 1 Levels of Intellectual Capital13. INTELLECTUAL,HUMAN CAPITAL,CAPITAL People,STRUCTURAL. CAPITAL STAKEHOLDER, Continuing in this descriptive line we shall present the theoretical base to our research.
following the Fitz Enz s model 2002 we will concentrate in the last level Human Capital. management Because of we think it is the most relevant focus to our research the value. added by human resources the first and second level focus more around the global. goals strategic plans and organizational structure. At the same time we are going to delineate our application relating it with a method which. connects the qualitative and quantitative valuation offering numeric values of attitudes and. skills through one scorecard Human Resource Scorecard Subsequently we will discuss. about the strategic of development and the means of improving the talent and the. effectiveness of staff, In the last part of our theoretical framework we shall develop into the measure of our. possibilities the overall lines for getting development and keep it in the firm and what is. Gray Dina 2001 Intellectual Capital Measuring and enhancing the true value of your business Financial. Times Prentice Hall page 26, Gray Dina 2001 page 6 Intellectual Capital Measuring and enhancing the true value of your business. Financial Times Prentice Hall,ADRIAN RUIZ CRESPO, SCHOOL OF TECHNOLOGY AND SOCIETY ROBERTO MEG AS GARC A. the level of knowledge and application of these factors in the Swedish service sector as. well It will depend on our results in the survey that we shall carry out. 3 1 1 People Knowledge Culture, People the means of transport that contains applies and evolves the abilities skills and. Knowledge earned along their lives through educational system as from their own life. cycle We can summarize all of these concepts in a key word Experience. The culture will be given by the environment and the own initiative of person and like the. experience it will develop during all person s life We shall focus in its organizational. aspect on the given base by global definition The organizational culture is so different. depending of the organization goals in its economic life. 3 2 Human Capital and Development,3 2 1 Human Capital Yesterday and Today.
Human Capital is not a term from now but especially with the increase of the. competition into developed economies therefore the difference will come marked for. the attitudes of the skills One of the top researchers of this term Gary S Becker. claim in one of his assignments 1990 14 that two economies with the same initial. state but different level of investment of human capital introduce the equal. technologic advances and then both will evolve but when that technology has been. exploited completely economies will increase only in the via of human capital and will. occur the following one of them has more investment in this rate can continue. increasing the other will have arrived at its limit. 3 2 2 Development necessary insight, The successful of the company and keep itself along time Retaining will depend on its. effort for searching new talents ideas products and services Its mission will consist in to. Gary S Becker Kevin M Murphy and Robert F Tamura Human Capital Fertility and Economic Growth.


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