HUMAN CAPITAL – EVALUATION MODELS
HUMAN CAPITAL – EVALUATION MODELS

Author(s): ALEXANDRU-BOGDAN CIOCHINĂ
Subject(s): Accounting - Business Administration, Human Resources in Economy, ICT Information and Communications Technologies
Published by: Editura Universităţii »Alexandru Ioan Cuza« din Iaşi
Keywords: human capital; evaluation models; development;
Summary/Abstract: The development of the IT sector (the third industrial revolution), as a supporter of the new automated industrialization, has made the human resource to remain fundamental as long as it also undergoes a digital transformation (through literacy with new technologies and work methods. More, the significant advance of the IT segment in recent decades, which has reached a growth rate 2.5 times faster than that of the world economy, in the last 15 years, which has led to the creation of volatile dynamics in the human capital market of this segment. Thus, the continuous expansion of the information technology industry generates technological, geographical, social and cultural trends and migrations. The new industry 4.0 is based on a much more heterogeneous resource than that of semi-conductors: human capital. The heterogeneity comes from a series of characteristics of individuals which forms it, based on criteria of a technological nature, specific to the field (due to a wide variety of technologies used), availability (which refers to the location where they carry out their work: from the office or remotely), level of experience, or even from the technological background (many resources do not have an initial technical training, but choose to convert to the technological area) or the cultural one (which can significantly influence the communication processes between resources from different cultural backgrounds). In this paper, we aim to highlight human capital evaluation models, being some representative for this field, such as the Petty model, which emphasizes the financial value of the workforce, the Farr model, which proposes a new method of taxation, or the Engel model, who calculated the cost of training a productive individual as a function between age. Valuation models are important for the evaluation of human capital because they highlight relevant and irrelevant human capital characteristics, skills and knowledge that are involved in the development of an organization and that generate added value.

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