IN EVERY organization, labor is required, whether direct or indirect.  This is why workers are very important in every business.  Companies that perform well in the world of business make sure that they are able to manage the human capital in the manner that is efficient and effective.  The human capital in a business is simply determined by the skills, knowledge in terms of experience as well as the education that is possessed by each worker.  However, hiring the required employees is not as easy as it may appear.  There are steps that every human resource manager should carry out before hiring anybody.

Employers should be able to relate to the employees.  Remember, they are the human capital of the company; therefore, it’s good to treat them in the preferred way so as to motivate them and retain them.  A high turnover rate of employees is expensive and causes more trouble within the organization than you might think. Some companies and organizations use incentives like bonuses and rewards to motivate their employees’ working performance.  Have you ever heard of an organization or a company that dismisses its employees every time it misses its financial target?  According to the Employment Act, this isn’t ethical.  What’s more, it’s not the right way to handle such situation.  A good employer is able to indentify the reason why the company missed the set targets and implement ways to solve it.

Beyond that, for a manager to get good results in the company, she should try to satisfy the employees.  What you give is what you get so you should treat your workers well and they will, in return, work their best and give satisfying results.  For an employer to identify the human capital in a business, she should be able to know the employees.  Everyone in the workplace has different capabilities and though knowing the talents and skills of her employers, a manager or business owner should be able to maximize her company’s performance based on putting the right people in the right positions.

Supervision is really important. A manager cannot collect data by watching the employees’ every step.  Micromanagement stifles creativity and makes employees nervous. In addition, after you have measured the workers’ individual performance and get to know their weaknesses, it is good as an employer to find ways to help the employees improve on their weaknesses.

The growth of human capital is very relevant in an organization as well as the styles and methods that are used in managing and leading it.  Most companies are able to indentify the weaknesses and characteristics of human capital management that is effective and efficient, and find ways to develop them by offering coaching and training services to their employees.  This improves the working performance of the workers hence good results to the business.