Post a constructive response to attached post. Response should include in-text citations and at least two references. 275 words minimum.

Does labeling employees as human resources make them more of an investment in the future rather than a current cost? Are employees an asset or expense? How do you define the value of a company’s employees? What about the ethics of treating employees, who are, after all, responsible moral human beings, as costs? Does placing a value on human capital promote or demean human dignity?

When it comes to employees and setting labels, this can create a sense of entitlement. If an employee has a mindset when they first come on board that they will get promotions and over the top benefits and opportunities, this can create major problems in the future. As HR professionals, labeling employees can create an unhealthy work environment, cause unfair treatment and also undermine their ability for the employee to reach their full potential. The end result will be a significant cost to the company (LaMarche, 2015). Also as an HR professional, one can look at an employee as a cost or an asset. Employees should be valued as more of an asset than a cost. Even though some employees can be looked at as a cost, especially they are the troublesome ones in the organization. Employees who are invested in the company and want to make a difference should be viewed as an asset (Jones,1991).

When it comes to defining the value of a company’s employees, accountancy and financial reports will be able to provide an in-depth look into the company’s assets and long-term growth. It will be helpful to HR professionals to know which individuals in the company are contributing the most, which ones are not and what a company should do in order to retain the best employees.  Human capital can be hard to evaluate, but should not be ignored. ROI should play an integral role in a company’s financial statements and then calculated through a new innovate framework (Zupančič, 2018). How a company can define success, is where the employee understands what is expected of them, they have all the necessary tools to perform effectively, and are successfully measured on their results (Baker, 2008).

Baker, V. (2008). Human capital: Biggest expense, most important asset. Franchising World, 40(12), 47-48. Retrieved from https://search-proquest-com.ezproxy.trident.edu/docview/208905435?accountid=28844

Jones, B. (1991). Employees: Expense or asset? Progressive Grocer, 70(2), 128.

LaMarche, M. (2015). Point-Counterpoint: Should You Tell Employees They’re Part of a Succession Plan? SHRM.org. Retrieved from https://www.shrm.org/hr-today/news/hr-magazine/pages/010215-sucession-planning.aspx 

Zupančič, M. (2018). Employees: Invisible added value of a company. Nase Gospodarstvo : NG, 64(2), 52-60. doi:http://dx.doi.org.ezproxy.trident.edu:2048/10.2478/ngoe-2018-0012

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