The Relationship between Human Capital Development and University's Business Performance

Abstract

The aim of the study is to investigate the impact of Human Capital on Middle East University's business performance. Practical data were collected from 167 participants out of about 3217 elements, by means of a questionnaire. Statistical techniques such as descriptive statistics, t-test, ANOVA test, correlation, multiple regressions and stepwise regressions were employed. To confirm the suitability of data collection instrument, a Kolmogorov-Smirnov (K-S) test, Cronbach’s Alpha and factor analysis were used. The result of the study indicated a positive significant relationship between human capital and Middle East University's business performance. The data is also limited to Jordanian organizations. Extending the research to other settings represent future research opportunities. Human capital is an important source of organizations’ wealth and therefore it should be taken into serious consideration when formulating the MEU’s strategy. The data suggested that a similar set of HC indicators could be developed for other organizations and industries whether government, public or private, profitable or non-profitable organizations.

Key Words: Human Capital (HC), Learning and Education (L&E), Experience and Expertise (E&E), Innovation and Creation (I&C), Middle East University (MEU), Business Performance (BP).