Written by: Michelle Ling, Managing Director of Adonai Group
Posted: July 2010

Human Capital Advantage is a term used to depict an organisation’s ability to leverage on an employee’s fullest possible and more importantly, usable contribution to the organisation by:

• Creating internal infrastructures that can support learning, knowledge sharing, and capability building
  
  
• Creating a work culture where people feel that they are working towards an organisation objective – thereby, creating employees who are predisposed to knowledge sharing in a usable format
  
  
• Redefining existing boundaries to create a new playing field

The Human Capital Advantage concept is not an academic management thought but a synthesized product of Human Resource, General Management, Organisational Development and Performance, Knowledge Management and Social Complexity concepts.

It puts into practical perspective what organisations have hoped to achieve all these years since Frederick Taylor developed his five principles of Scientific Management in 1911 – Industrial Efficiency.

Whilst Taylor’s principles of scientific management dehumanized workers and reduced work to sheer humdrum, the concept of Human Capital Advantage allows organisations to achieve efficiency by injecting work satisfaction and the opportunity for continuous learning into the equation.

In the globalised society that embraces constant change, organisations cannot afford not to empower their employees nor to ignore the fact that there is no longer “one and only one” way to manage its survival in the market.

I believe that the combination of Knowledge Management, Organisational Development and Change, Human Resource Management and Social Complexity concepts forms the cornerstone to develop an organisation’s ability to build its Human Capital Advantage.

For find out how you can reap the benefits of the Human Capital Advantage within your organisation, please contact us via this online form.