Purchase Solution

Human Capital as a source of competitive advantage

Not what you're looking for?

Ask Custom Question

1.Explain the concept of human capital as a source of competitive advantage.
2.Describe the two intangible resources (i.e. nonphysical economic assets) that you believe contribute most to success
3.New hires are not selected based on their technical skills alone. Based on your observations, what other factors do managers consider when hiring new employees?

Purchase this Solution
Solution Summary

The paper tries to understand the impact of human capital on organization success.

Solution Preview

please find attached

1. Explain the concept of human capital as a source of competitive advantage.
As strategies have evolved over the years, the prime resource has evolved from finance and organization to human capital (Bartlett & Ghoshal, 2002). The concept of core competency with its emphasis on knowledge and learning has also failed as people are found to find this too intensive(Hamel & Prahlad, 1994).Human capital has however turned out to be a source of more sustained advantage than any other resource as other resources can be imitated or leapfrogged by competition(Hofer & Schendel, 1978). New products and innovation are driven by people who have exclusive expertise and knowledge as also building relationships with customers that result in loyalty and sustained revenues.
Human capital is the only resource which does not decrease its value when it is used; on the other hand its value increases when it is used. ...

Solution provided by:
Ashvini Ravi, PhD
Education
  • BPharm, Mumbai ,India
  • MMS, Mumbai, India
  • PhD, Madras, India
Recent Feedback
  • "Thank you so much"
  • "GREAT JOB...THANK YOU"
  • "GREAT JOB...THANK YOU"
  • "great job"
  • "thank you"
Purchase this Solution
Free BrainMass Quizzes
Situational Leadership

This quiz will help you better understand Situational Leadership and its theories.

Lean your Process

This quiz will help you understand the basic concepts of Lean.

Motivation

This tests some key elements of major motivation theories.

Learning Lean

This quiz will help you understand the basic concepts of Lean.

Operations Management

This quiz tests a student's knowledge about Operations Management

View More Free Quizzes
Related BrainMass Solutions

  • monopolistic competition

    In terms of funds/finances, organization can exploit low cost source of capital to reduce cost of capital and thus, obtain competitive advantage.

  • Demand elasticity and scale on scope economics

    be a more likely source of sustainable competitive advantage than tangible resources?

  • Discussing EVA for an Entity using Tangible/Intangible Resources

    Capabilities differentials as sources of sustainable competitive advantage. International Journal of Business and Society, 10 (2), 20-39.

  • HRM

    Consultancies are an effective source for recruitment, as they would provide the specialized pools of candidates, as per requirement of the company, which would make work of the company easier.

  • Impact of technology on GM's competitiveness

    competitive business environment, leadership in technology is a key source of competitive advantage for large companies like GM, not only in terms of attaining operating efficiency, but also in terms of product innovation and quality.

  • Venture Opportunity

    - Highly Competent and Committed Management Team and High Human Capital(Talent). - StrongCompetitive Abilities and a Sustainable Competitive Advantage. - Viable Exitor Harvest Strategy. - Reasonable Valuation of the New Venture.

  • Comparative Advantage - China

    In looking at national competitiveness, Porter defined the competitive advantage of a nation as its capacity to entice firms to use the country as a platform from which to conduct business.

  • Human Capital and Human Resources Management

    How can human resource management support the organization to enhance employees' knowledge and skills, to empower employees, and to build good teamwork? Human capital is the number one competitive advantage that organizations have.

  • Cisco Systems and successful acquisitions

    If human resources are a major source of competitive advantage and the key determinant of an organization's ability to pursue a given strategy, why have the human resource aspects of mergers and acquisitions been ignored or handled poorly in so many instances

View More Related Solutions