1 AIT Asian Institute of Technology

Measuring human capital productivity : a comparative study on firm level

AuthorHerzig, Sebastien
Call NumberAIT RSPR no.SM-08-08
Subject(s)Human capital

NoteA research study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration in International Business
PublisherAsian Institute of Technology
AbstractPurpose – This paper is the written report of the master research study to be handed in at the Asian Institute of Technology – AIT, Bangkok, Thailand. Its aim is to measure Human Capital Endowment and Productivity on firm level in a comparative study of two software firms, the Indian Infosys and the German TechniData. The necessity to quantify the total human capital accumulated by employees and to measure its productivity stems from its strategic importance for the technological service firm. The strategic importance is embedded in the threefold characteristics of human capital, i.e. driving innovation and technology, being a driver of productivity growth, and enabling the diffusion of innovation and the use of technology within the firm. Design/methodology/approach – The study applies an already well tested and recognized time based human capital accounting model, to estimate the total human capital stock of the companies in scope. This is primarily done by measuring the investment in five forms of education of the employees, via their time spent with each of the five. Findings – The companies vary in terms of growth and composition of Human Capital Endowment. The biggest difference can be found regarding the importance of Formal Education and Job Related Human Capital. Human Capital Productivity is more stable and higher for Infosys at around 38%, while TechniData’s HC Productivity ranges from 38% to 28%. Nevertheless, both companies deploy their human resource at a high productivity.
Year2008
TypeResearch Study Project Report (RSPR)
SchoolSchool of Management (SOM)
DepartmentOther Field of Studies (No Department)
Academic Program/FoSMaster of Business Administration (MBA) (Publication code=SM)
Chairperson(s)Johri, Lalit;
Examination Committee(s)Beise-Zee, Rain;Dimmitt, Nick;
DegreeResearch Studies Project Report (M.B.A.) - Asian Institute of Technology, 2008


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