Human Capital, Innovation and Disruptive Digital Technology

2 Human Capital: Gauging the Ungauged

DOI: 10.4324/9781003195894-2

2.1 Introduction

Human capital comprises employees’ knowledge, experience, and skills and their motivation and willingness to employ these traits to create value. It implies that gauging levels of human capital is not merely a measurement of employees' skills and knowledge; it is also important to how effectively these KSAs could be employed to contribute economic value for the organization. As noted by Lepak and Snell (1999), the real value of a firm's human capital depends upon its potential to create organizational value and contribute to organizational core competencies. Many human capital measures are available, claiming to capture the true level of human capital in a ...