Main Article Content
Abstract
The changing global business landscape has placed human capital as one of the strategic elements in creating competitive advantage and improving organisational performance. In this context, understanding the role of human capital on value creation and its impact on financial performance has become increasingly relevant. This study aims to review and synthesise the literature that discusses the relationship between human capital, value creation, and financial performance through a Systematic Literature Review (SLR) approach. This type of research is descriptive qualitative that relies on secondary data from scientific articles published in the period 2009-2024. The literature analysed was selected from reputable databases such as Scopus, Web of Science, ScienceDirect, and Google Scholar, using a purposive sampling technique, with a total of 60 articles that met the inclusion criteria. The location and time of the study were not geographically limited due to the global nature of the literature. The results of the analysis show that human capital directly and indirectly affects financial performance, through a value creation mechanism that includes innovation, efficiency, and optimisation of internal processes. The effectiveness of the relationship is also influenced by various contextual factors such as organisational strategy, work culture, and industry dynamics. The implications of these findings drive the importance of strategically integrating human capital development with value creation processes to sustainably improve organisational financial performance.
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Article Details
References
- As’ad, A., Brasit, N., Muis, M., & Umar, F. (2024). uNVEILING THE ANTECEDENTS OF SuSTAINABLE PERFORMANCE: INSIGHTS FROM HOSPITALITY INDuSTRY MANAGERS.
- As’ad, A., Brasit, N., Muis, M., & Umar, F. (2023, May). How Leadership Style, Commitment, Work Climate, and Work Motivation Affect on Satisfaction and Performance. In 7th International Conference on Accounting, Management and Economics (ICAME-7 2022) (pp. 546-563). Atlantis Press.
- As' ad, A., Tiong, P., & Sani, A. (2022). Analisis Implementasi Budaya Organisasi dalam meningkatkan Kinerja Karyawan melalui Motivasi Kerja dan Kepuasan Kerja: Study Empirik Beberapa Café di kota Makassar. Amkop Management Accounting Review (AMAR), 2(1), 51-62.
- Barney, J. B. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120. https://doi.org/10.1177/014920639101700108
- Basalamah, S. A. (2022). The Influence of Leadership and Training on Teacher Competence and Performance. Tadib: Jurnal Pendidikan Islam, 26(2), 125-139.
- Becker, B. E., & Huselid, M. A. (2006). Strategic human resources management: Where do we go from here? Journal of Management, 32(6), 898–925. https://doi.org/10.1177/0149206306293668
- Bontis, N. (2001). Assessing knowledge assets: A review of the models used to measure intellectual capital. International Journal of Management Reviews, 3(1), 41–60. https://doi.org/10.1111/1468-2370.00053
- Braun, V., & Clarke, V. (2006). Using thematic analysis in psychology. Qualitative Research in Psychology, 3(2), 77–101. https://doi.org/10.1191/1478088706qp063oa
- Crook, T. R., Todd, S. Y., Combs, J. G., Woehr, D. J., & Ketchen, D. J. (2011). Does human capital matter? A meta-analysis of the relationship between human capital and firm performance. Journal of Applied Psychology, 96(3), 443–456. https://doi.org/10.1037/a0022147
- Kianto, A., Vanhala, M., Ritala, P., & Hussinki, H. (2020). What drives the development of intellectual capital? In P. Ordóñez de Pablos & L. Edvinsson (Eds.), Intellectual Capital in the Digital Economy (pp. 51-66). Routledge.
- Kitchenham, B. (2004). Procedures for performing systematic reviews. Keele University Technical Report. https://doi.org/10.13140/2.1.1227.1686
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- Marimuthu, M., Arokiasamy, L., & Ismail, M. (2009). Human capital development and its impact on firm performance: Evidence from developmental economics. The Journal of International Social Research, 2(8), 265–272. http://www.sosyalarastirmalar.com/cilt2/sayi8pdf/marimuthu_arokiasamy_ismail.pdf
- Reskiana, R., As' ad, A., & Amra, W. (2023). Pengaruh Budaya Organisasi dan Kepuasan Kerja Terhadap Kinerja Karyawan PT. Pos Indonesia (Persero) Makassar. Paradoks: Jurnal Ilmu Ekonomi, 6(1), 47-56.
- Seleim, A., Ashour, A., & Bontis, N. (2007). Human capital and organisational performance: A study of Egyptian software companies. Management Decision, 45(4), 789–801. https://doi.org/10.1108/00251740710746033
- Snyder, H. (2019). Literature review as a research methodology: An overview and guidelines. Journal of Business Research, 104, 333–339. https://doi.org/10.1016/j.jbusres.2019.07.039
- Tranfield, D., Denyer, D., & Smart, P. (2003). Towards a methodology for developing evidence-informed management knowledge by means of systematic review. British Journal of Management, 14(3), 207–222. https://doi.org/10.1111/1467-8551.00375
- World Economic Forum. (2023). Future of Jobs Report 2023.
- Wright, P. M., & McMahan, G. C. (2011). Exploring human capital: Putting 'human' back into strategic human resource management. Human Resource Management Journal, 21(2), 93–104. https://doi.org/10.1111/j.1748-8583.2010.00165.x
- Yakin, I. H., Supriatna, U., Rusdian, S., & Global Akademia, M. (2023). Research Methodology (Quantitative & Qualitative). Paper Knowledge. Toward a Media History of Documents.
- Youndt, M. A., & Snell, S. A. (2004). Human resource configurations, intellectual capital, and organizational performance. Journal of Managerial Issues, 16(3), 337–360.
References
As’ad, A., Brasit, N., Muis, M., & Umar, F. (2024). uNVEILING THE ANTECEDENTS OF SuSTAINABLE PERFORMANCE: INSIGHTS FROM HOSPITALITY INDuSTRY MANAGERS.
As’ad, A., Brasit, N., Muis, M., & Umar, F. (2023, May). How Leadership Style, Commitment, Work Climate, and Work Motivation Affect on Satisfaction and Performance. In 7th International Conference on Accounting, Management and Economics (ICAME-7 2022) (pp. 546-563). Atlantis Press.
As' ad, A., Tiong, P., & Sani, A. (2022). Analisis Implementasi Budaya Organisasi dalam meningkatkan Kinerja Karyawan melalui Motivasi Kerja dan Kepuasan Kerja: Study Empirik Beberapa Café di kota Makassar. Amkop Management Accounting Review (AMAR), 2(1), 51-62.
Barney, J. B. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120. https://doi.org/10.1177/014920639101700108
Basalamah, S. A. (2022). The Influence of Leadership and Training on Teacher Competence and Performance. Tadib: Jurnal Pendidikan Islam, 26(2), 125-139.
Becker, B. E., & Huselid, M. A. (2006). Strategic human resources management: Where do we go from here? Journal of Management, 32(6), 898–925. https://doi.org/10.1177/0149206306293668
Bontis, N. (2001). Assessing knowledge assets: A review of the models used to measure intellectual capital. International Journal of Management Reviews, 3(1), 41–60. https://doi.org/10.1111/1468-2370.00053
Braun, V., & Clarke, V. (2006). Using thematic analysis in psychology. Qualitative Research in Psychology, 3(2), 77–101. https://doi.org/10.1191/1478088706qp063oa
Crook, T. R., Todd, S. Y., Combs, J. G., Woehr, D. J., & Ketchen, D. J. (2011). Does human capital matter? A meta-analysis of the relationship between human capital and firm performance. Journal of Applied Psychology, 96(3), 443–456. https://doi.org/10.1037/a0022147
Kianto, A., Vanhala, M., Ritala, P., & Hussinki, H. (2020). What drives the development of intellectual capital? In P. Ordóñez de Pablos & L. Edvinsson (Eds.), Intellectual Capital in the Digital Economy (pp. 51-66). Routledge.
Kitchenham, B. (2004). Procedures for performing systematic reviews. Keele University Technical Report. https://doi.org/10.13140/2.1.1227.1686
Kitchenham, B., & Charters, S. (2007). Guidelines for performing systematic literature reviews in software engineering. EBSE Technical Report.
Lev, B., & Radhakrishnan, S. (2003). The measurement of intangible assets: A review and critique. Measuring Business Excellence, 7(1), 6–10. https://doi.org/10.1108/13683040310466654
Marimuthu, M., Arokiasamy, L., & Ismail, M. (2009). Human capital development and its impact on firm performance: Evidence from developmental economics. The Journal of International Social Research, 2(8), 265–272. http://www.sosyalarastirmalar.com/cilt2/sayi8pdf/marimuthu_arokiasamy_ismail.pdf
Reskiana, R., As' ad, A., & Amra, W. (2023). Pengaruh Budaya Organisasi dan Kepuasan Kerja Terhadap Kinerja Karyawan PT. Pos Indonesia (Persero) Makassar. Paradoks: Jurnal Ilmu Ekonomi, 6(1), 47-56.
Seleim, A., Ashour, A., & Bontis, N. (2007). Human capital and organisational performance: A study of Egyptian software companies. Management Decision, 45(4), 789–801. https://doi.org/10.1108/00251740710746033
Snyder, H. (2019). Literature review as a research methodology: An overview and guidelines. Journal of Business Research, 104, 333–339. https://doi.org/10.1016/j.jbusres.2019.07.039
Tranfield, D., Denyer, D., & Smart, P. (2003). Towards a methodology for developing evidence-informed management knowledge by means of systematic review. British Journal of Management, 14(3), 207–222. https://doi.org/10.1111/1467-8551.00375
World Economic Forum. (2023). Future of Jobs Report 2023.
Wright, P. M., & McMahan, G. C. (2011). Exploring human capital: Putting 'human' back into strategic human resource management. Human Resource Management Journal, 21(2), 93–104. https://doi.org/10.1111/j.1748-8583.2010.00165.x
Yakin, I. H., Supriatna, U., Rusdian, S., & Global Akademia, M. (2023). Research Methodology (Quantitative & Qualitative). Paper Knowledge. Toward a Media History of Documents.
Youndt, M. A., & Snell, S. A. (2004). Human resource configurations, intellectual capital, and organizational performance. Journal of Managerial Issues, 16(3), 337–360.