In today’s dynamic and continuously changing business world, human asset that differentiates an organization from its competitors. Today’s knowledge economy distinguishes organization from another with single most important and powerful factor that is the human capital. It’s the time that organizations recognize valuing their employees as assets should be realized in a full-fledged way. The employees are the invaluable and intangible assets with their immense knowledge, expertise, skills and competencies etc.
Employees are the face of an organization. It’s their satisfaction level that matters the most. If an employee is not happy, he might spread a negative word about the organization, even if he is working or has left the organization. Employees are the invaluable assets for any organization taking it moving forward by keeping a learning environment to cope up with the continuously changing industry factors. The reason employees are termed intangible is because the skill-set, expertise, knowledge, and experience possessed by an employee cannot be measured in terms of money.
The human capital of an organization put in their heart and soul in their work in the form of the best skills, creativity, ideas, adaptability. It is this contribution that makes them highly invaluable and of course. The employees work for the organization and themselves. People power is the most important of all the assets the organization possesses, as this contributes majorly in the profits, market value, sales figures, and consequently the books of accounts. The goodwill section in the balance sheet can be taken as the value for the former employees, as it was their efforts and contribution that has brought the organization to this position today. However, the current workforce will be considered as the invaluable assets.