How do some researchers on Human Capital Investment define Human Resource Management?
Hasheminasab et al. (2015) defined HR management as a system for the proper use of human capital as a valuable asset within the firm to achieve organizational goals. According to Al-Adwani (2014b), the development of the HR management was to organize the processes of attracting, training, recruiting, using, and developing skills of employees. Makkar and Sanjeev (2016) agreed the basis for the role of HR management systems in the business environment is hiring, retaining, motivating, and training of workers.
The purpose of HR management as the most operational function within the context of organizational goals is to identify the HR needs of the organization (Aladwan et al., 2015; Jain, 2015). HR management comprises an integrated set of strategic practices to train the workers to enhance their knowledge and skills, align their activities with organizational goals, and empower individuals to creatively adapt to customer needs (Scotti & Harmon, 2014).
Chidi (2014) stated that without a good person-organization fit, HR leaders encounter problems with lower employee performance, absenteeism, and higher turnover rates. Wei (2015) argued that person-organization fit, which moderates the relationship between general-human capital and turnover intention, represents an employee’s perception of compatibility with a job and organization. Cultivating a positive organizational culture and increasing person-organization fit inspires employee commitment (Lin et al., 2017). Therefore, the HR departments have an important role in business, because the HR leader has to consider the person-organization fit (Memon, Salleh, Baharom, & Harun, 2014).
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