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Asian Journal of Research in Business Economics and Management
Year : 2014, Volume : 4, Issue : 4
First page : ( 89) Last page : ( 98)
Online ISSN : 2249-7307.

An Empirical Investigation of the Relationship among Human Resource Value and Firm's Level of Performance

Khadijeh Khodabakhshi Parijan*, Dr. Sumangala C.**

*Research Scholar, B. N. Bahadur Institute of Management Sciences, University of Mysore, Mysore, Karnataka, India

**Assistant Professor, Department of Business Management, Maharaja's College, University of Mysore, Mysore, Karnataka, India

Online published on 15 April, 2014.

Abstract

The main purpose of the study is to measure the effect of quantitative data of financial variables (firm's level of performance) on human assets value, and to examine the relationship between total number of employees as a component variable of HRV and its effect on Human assets value. The data used in the study has been collected from the annual reports of ten selected companies listed in BSE-500 Index for the years 2005–06 to 2011–12. The simple correlation and regression analysis as examined in the study reveals that the human value is positively affected by the financial performance of the companies; therefore there is a statistically significant relationship between human capital efficiency and financial performance. The result of correlation analysis suggest that HRV influences efficiency and profitability positively at selected companies listed in Bombay Stock Exchange. From a careful examination of regression results on financial and component variable of HRV, the conclusion derives is that the out of five variables, total number of employees and return on asset are two most influential variables affecting HRV.

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Keywords

Human Resource Value (HRV), Financial performance, Component variable of HRV, Annual reports.

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