Международный журнал экономики и менеджмента

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Seminar on Strategic Human Capital: Based on Empirical Surveys of OBN and Adama City Administration, and Review of Literatures


Awol Hussien Aman* and Chalchissa Amentie

The main purpose of this seminar was to review on theoretical foundation of Strategic Human Capital (SHC) and its’ applicability on the ground when practiced by different sectors (organizations). Both primary and secondary data sources were employed to review and analysis. The data obtained from both sources were discussed in detail and analyzed comparatively. This help to identify the status of strategic human capital practicing at sectors’ level and the association of theory. As the result of literature review indicated SHC is composed of three strategic elements (human capital, social capital and organizational capital) in which all are worked in integration to achieve any desire of organizational success. Similarly, the result of survey’s finding was revealed, there is direct relationship between all independent variables and dependent variable. The practice of human capital support for practicing social capital’s as well as organizational capital. As the results of linear regression analysis was indicated 65.7% variance in organizational success can be predicted from the combination of all independent dimensions. The result also shows that F=51.516 at p<0.05 statistically significant. On other hand, social capital theory implies that social resources have important direct and indirect effects. As survey analysis indicated the social capital is the most influential factor that significantly affect the organization success with a beta value (beta=0.334, t=2.287), at 95% confidence level (p<0.05). Furthermore, as data reviewed was indicated organizational capital is the institutionalized knowledge possessed by an organization that is stored in databases and manuals which retained with the help of information technology on readily accessible and easily extended databases. Therefore, organizations need to give special concern to all independent attributes. The little improvement they made to their employees in practices and the development of systems, the employees were started becoming hard worker and have gratified with their organizations’ and, similarly the organizations can able to achieve its desired success with the help of its employees.

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