Human Capital often refers to formal educational attainment, with the implication that education is investment with returns in the form of wage, salary, or other compensation. These are normally measured and conceived of as private returns to the individual but can also be social returns. (Moffatt) .
A basic premise of the human capital theory is that firms do not own it; individuals do. Firms may have access to valuable human capital, but either through the poor design of work or the mismanagement of people, may not adequately deploy it to achieve strategic impact. (Wright et al, 2001).
The crux of this theory is that people are of value to the organization because they make it productive. A part of these productive capabilities will be lost when a company chooses to downsize. In essence, the organization has invested in people just as if it had invested in machinery, viewing them as an additional type of capital. Productivity levels are the result of investment in human capital in the past. The investment in Human Capital will be lost because the jobs are being eliminated. Because knowledge of older technologies becomes obsolete and because people forget, human capital is subject to depreciation. The short return period and the depreciation of human capital leads to a declining human capital at the end of the (working) life, unless the level of learning-by-doing is higher than the depreciation rate. (Alders, 1999).
Downsizing means dispersal of assets and resources, particularly with regard to human resources which embody firm-specific skills and knowledge. Which types of resources are lost in this process is critical to the eventual success of such endeavors. With downsizing, the ability of large firms to transform themselves via internal learning may be lost. Dynamic learning implies information scale economy exploitation, and to the extent that critical mass is reduced through downsizing there is lesser diffusion of information and knowledge.
AT&T may face lost revenues or increased costs due to its downsizing. ... "Sometimes downsizing is a management tool. ... We won't mention the other costs of downsizing. ... Most companies just announce downsizing, they never tell you why they are downsizing. ... Downsizing should be planned carefully. ...
Overview of Corporate DownsOverview of Corporate Downsizing Corporate downsizing has been the forerunner to the loss of millions of jobs. ... Alternatives to Downsizing When organizations are faced with the issue of cutting costs, many first reactions are to cut labor, which usually results in downsizing. ... Companies may decide to outsource some of its work if the company feels that another company can perform the work better or if the other company can perform the work at a lower cost. ... By retraining its current employees, there is a greater chance for job enrichment and satisfac...
Sin and its Effects on Dimmesdale and Hester Imagine going through your life carrying only a deep, dark secret with you. In the novel The Scarlet Letter, Nathaniel Hawthorne brings you into the live of four diverse characters that go through the ups and downs with keeping a huge sin within them. ... Dimmesdale, later turning out to be the father of Pearl, the product of Hester's sin, is now starting to feel the aspects and effects of the sin that he has committed. ...
While most kids her age were dealing with the magnetic personality of Paul McCartney, Dolores was fighting with the effects of divorce, rape, and mental illness. ... The most important aspect of Dolores is that she is totally human - her life has had its ups and downs. ...
It is necessary for the people of this country to realize that what has happened in the past effects how we live today. ... People can say that they love their country, but those who know its history, know why they love their country. ... Understanding American History makes a person know what happened in the past effects how we live today, we take advantage of what has happened in the past, and we must realize how privileged we are to live with what we have. ... In its existence, America has had its ups and downs. ... I have a brief understanding of the history of America, but I am alwa...
Five years after creating LSD-25 Hofmann ingested a small amount, unaware of it's psychotropic effects, and opened up a new world. ... The effects of LSD vary depending on the concentration of the substance. LSD causes its effects by disrupting the interaction of nerve cells and the neurotransmitter serotonin. ... Though "trips- usually consist of both "ups- and "downs-, each individual trip is unique in the fact that it cannot be predicted. ... Long-term side effects have been reported, though not positively linked to LSD use. ...
One example is world war II, which started in the middle of Europe- -considered then the most civilized part of the world- because of Germany's belief in its national superiority. ... Besides its economic ups and downs globalization has a tremendous effect on cultural values. ... Every nation every country has its own traditions values practices of cultural activities. ... By the beginning 20th century with the effects of industrialization and common usage of communication devices and transpotation becoming faster and more comfortable economy started to play the most important role in a s...
For example, both the letter and the recorded history shares a similar good called textile that was largely produced during the early 1800's, but the recorded history only talked about the development of the technology and the product and never spoke about the people, where as the letter gives a detailed description of the effects people had while working in the factories. ... Personalized detail effects what happens to one person for working for long hours in a factory. ... This message is that the capital system has its ups and downs. For example, the ups are people working and earnin...
As a part of this distinct clinical syndrome there are significant risk factors associated with cardiovascular decreases, lipid metabolism slow downs, bone density loss, dehydration, impaired physical performance, insomnia and poor sleep patterns, skin thinning, reduced healing, chronic lung disorders, decreased thymus gland function, vital organ shrinkage, and even depression. ... The new synthetic growth hormone (GH) has shown not to increase risk for CJD but has continued to be investigated for its potential to increase many forms of cancer despite its fad-like increasing popularity. ...