HCM as strategic role player in organization

By on September 13, 2012

Human capital management is the significant revolutionized strategy in present business contexts (Archer, 2002). The strategy of human capital management cannot be initiated regularly but can only be initiated with perfect expertise of minds and carrying out their research continuously. Human capital management looks forward to promote the perfect individuals in order to attain the company determined objectives essentially. At present situation human capital management plays a strategic role in functioning of  group perfectly in business areas. It is the true discipline for HR departments and also for investment analysis.


In general HCM is not the alternative path of HR department in organization but it is the effective approach for management of organization in order to gain perfect performance from the individuals hired by group for their business operations  (SHCM, 2010).  HCM module helps to create awareness regarding the subject to the higher management of the group. Moreover HCM plays the perfect role in plotting the ideal data and provide initiatives to the higher management of group to plan for further actions in group. In organization HCM mainly stress on the activities to measure various human capital assets which are failed by  HR department of the group essentially. HCM plays the crucial role in attesting the financial value to human resource practices through HR department in actual qualitative terms. In an active organization HCM is capable of handling different internal and external clients approaching their group in business segments and helps to develop the full potential of individuals in organization when HR department fails to attain such objective.

Further HCM plays the signifinact role in employee satisfaction. It promotes the level of employee motivation to peak state which HR module fails to attain such perspectives. Thus by considering all these issues it can be predicted that HCM is the perfect strategic role player for the endurance of organization in business contexts.


  • David Archer (2002), “strategic partnership through human capital”, [internet] available atURL<http://www.capam.org/_documents/strategicpartnershipthroughhumancapital.pdf> [accessed on April 18, 2012]
  • SHCM (2010),[internet] availablet at URL <http://www.human-capital-management.net/hcm/management3.html> [accessed on April 18, 2012]