Human Resource Accounting in Indian Companies Importance and Challenges
"Great vision without great people is irrelevant" Any business entity or institution strives hard for achieving profits, reputation in the society, customer retention and loyalty, business expansion, overcoming and eliminating competition. All these goals can be made possible majorly by the employees of such organisations. It is an undeniable truth that a well managed and highly cohesive work force is the back bone of any organisation. Hence it becomes important for any organisation to contemplate on the quantity and quality of its workforce which involves a thorough analysis and understanding of the time and capital invested on its human resources. This is commonly referred to as human resources accounting. Even though, researches have been going on since 1691 in this field, many organisations were merely considering their employees as paid workers. However, post 1960 it has gained momentum and many organisations have started practicing human resource accounting.