Photo by Mario Gogh on Unsplash
Just as gold is hidden in quartz, the potential within individuals often remains concealed. This hidden potential can be unlocked through various techniques. Human resources are arguably the most valuable assets of an organization, possessing minds filled with emotions and aspirations. Therefore, they should be handled with care and tactfully capitalized on to ensure their full potential is harnessed for the betterment of the organization.
Capitalization is a term commonly used in financial planning. It refers to the amount required by an organization and the amount of finance involved. Similarly, the term is now also used in human resource development. It includes:
Capitalizing human resources means enhancing the quality of human resources by recognizing their value. This involves providing training to make them more confident, efficient, and capable of contributing their full efforts toward the organization for maximum returns. The capitalization of human resources can be measured by the total cost (i.e., salary and other benefits) given to them, either in cash or in kind, relative to the work they perform within a specific period of time.
While machines, goods, computers, and other resources are important and are carefully maintained for durability, human resources should be treated with even greater care, empathy, and genuine concern. Negative treatment of human assets can turn them into liabilities, damaging the organization's reputation and eroding its goodwill.
Employees and workers, who possess not only bodies but also minds, must be dealt with carefully and tactfully. Employers should engage with them regularly, both personally and officially, to understand their experiences within the organization. Organizing conferences, discussions, and training programs can help develop their skills, enhance theoretical knowledge, and foster closer relationships. When employees feel valued and supported, they are less likely to harbor negative reactions that could lead to conflicts within the organization. Conversely, when employees feel frustrated, they may focus on personal gain or even challenge illegal actions within the organization.
At times, arguments can lead to positive outcomes, prompting changes in the authority's mindset. Extracting the potential of human resources requires the organization to recognize and value their contributions. Honesty, integrity, and humanity are essential measures of human value. Those who engage in unfair, unjust, dishonest, or harmful activities, even in small ways, can tarnish the organization's reputation. The cleaner the human activity, the stronger the organization becomes.
In financial organizations, economic activities must be value-based, aiming not only for organizational development but also for the greater social good. Negative treatment of employees can damage their reputations and even destroy them personally. Therefore, it is better for both the employee and the organization to recognize and capitalize on the values and potential of individuals, motivating them according to their abilities. An organization should avoid going against its employees, who, having absorbed the organization's culture and adjusted to its environment, have dreams of supporting their families and making a name for themselves in society.
Instead of degrading employees, motivating, recognizing, and capitalizing on their abilities is more beneficial for both the organization and the employees. Conflicting situations that result in a bad reputation can paralyze the organization and hinder its progress. Instead of increasing pressure or mistreating employees psychologically or physically, human resources should be handled carefully, wisely, and with humor. This approach can help resolve conflicts effectively.
This principle applies to all fields, including government organizations and private institutions. Authorities or CEOs should understand the psychology of the people around them. To capitalize on human resources, employers must recognize their potential and value, using their talents for future endeavors and progress. Building confidence in employees requires training their minds.
All human activities in a profession, business, or commerce should be based on principles, norms, and moral values. Otherwise, everyone suffers. When people act selfishly to gain monetary benefits, those who suffer feel hurt. A strong work culture is developed through joint efforts, where employees are expected to perform their duties responsibly, efficiently, excellently, honestly, and with discipline. Employers should analyze employees' historical performance, qualifications, and specific knowledge in their roles. This understanding helps employers recognize the potential of their employees and use various methods such as tests, training, and motivation to harness that potential.
It is important to trace the historical background of employees to capitalize on their abilities. The old Darwinian view of "survival of the fittest" is outdated. In today's mixed economy, human values are being realized and capitalized on for their fullest utilization.
According to the law of entropy in physics and human experience, human values have degenerated over time. Human beings are not inherently evil, but moral degeneration and dehumanization have led to selfish, competitive, exploitative, acquisitive, possessive, and greedy behaviors. Therefore, human resources should be capitalized in a way that promotes service, concern for the well-being of others, and goodwill for all.
The old notion of "struggle for existence" and "survival of the fittest" is being replaced by the realization of human values. Consequently, human resources are now treated as the best assets, and this positive change has a favorable impact on organizations.
Human resources must be handled with great care, especially when they face difficulties due to negative behavior from colleagues, such as criticism, negative comments, and degrading treatment. When employees feel insulted, it can lead to negative consequences for both the individual and the organization.