A Critical Examination Of Human Resources Accounting As A Tool For Measurement Of Human Capital

A Critical Examination Of Human Resources Accounting As A Tool For Measurement Of Human Capital

Chapter One

Preface

Background to the study

Business associations now spend enormous totalities of plutocrat and spare no trouble in opting , training,re-training and developing their directors to equip them adequately to meet the grueling tasks arising from internal and transnational developments. The adding specialized complexity of ultramodern business and the time needed for labor force to gain chops, and experience and judgement in numerous vital areas makes brain power the critical resource in our frugality.

fiscal analysis stresses the quality of operation behind the business further than any other factor in assessing diversification and takes over propositions. All these arise from the adding recognition that mortal coffers are the most important business means. We fete that people are precious to business enterprises, universities, hospitals and maybe, all associations. We know that the value of mortal coffers is deduced from their capability to render services which have profitable value.

mortal Resource Account( HRA) provides useful information to both internal and external druggies of counting information. It helps internal druggies( like operation) in making decision on employment and application of mortal coffers and also in deciding transfers, creation, training and retrenchment of mortal coffers. It provides a base for the planning of physical means vis a vis mortal coffers, as well in assessing the expenditure incurred for conducting farther education, training and development in workers in terms of the benefits deduced by the establishment, among others. For external druggies( similar as implicit investors), HRA provides useful information for making investment opinions.

Mayo( 2006) posits that people are frequently spoken of as means, but are generally treated as cost because there’s no believable system of valuing them.

Marshal( 1961) had also said that the most precious of capital is that invested in mortal beings.

Statement of the Problem

still, in real sense, “ stylish practice ”, If mortal capital is.

Ideal Of The Study

The main ideal of the study is to critically examine the mortal coffers counting as a tool for dimension of mortal capital.

The specific objects are

1. To find out if mortal coffers counting serves as a useful tool for dimension of mortal capital.

2. To determine if mortal capital has helped in perfecting association.

3. To examine if mortal capital is the crucial determinant in explaining the rise and fall of the nations as well as factor in determining individual income.

4. To find out if associations make use of the mortal resource.

Exploration Questions

1. Is mortal coffers counting a useful tool for dimension of mortal capital?

2 Does mortal capital helped in perfecting an association?

3 Does mortal capital serve as the crucial determinant in explaining the rise and fall of the nations as well as factor in determining individual income?

4 Does association make use of the mortal resource account to measure mortal capital?