Title: Investigating the impact of human resource accounting on the financial performance of the company: evidence from Indian companies

Authors: Shiran Khan; Mohd Atif; Alka Chaturvedi; Alam Ahmad; Sunil Kumar

Addresses: DME Management School, Delhi Metropolitan Education, GGSIPU, New Delhi, India ' Department of Commerce and Business Studies, Jamia Millia Islamia, New Delhi, India ' Department of Commerce, Kalindi College, University of Delhi, New Delhi, India ' College of Administrative and Financial Sciences, Saudi Electronic University (SEU), Saudi Arabia ' Department of Commerce, DDUC, University of Delhi, New Delhi, India

Abstract: This study provides actual data on how HR Accounting and its components influence a company's financial success. This evidence can help firms recognise the value of their people resources and make more successful decisions in emerging countries like India. Giving greater consideration to an organisation's most valuable asset, its human capital, may be necessary to improve worker performance. Asset transparency and capitalisation in financial statements have a positive impact on business value. Despite the fact that this study is limited to 13 organisations, the findings indicate that an organisation's training and development expenditure has a positive impact on its human resource value. This study found a statistically significant relationship between human asset value (HAV) and financial parameters, which has a positive impact on profitability, Shareholders return and firms value. Correlation research results show that HAV improves productivity and profitability for selected BSE-listed enterprises.

Keywords: human resource accounting; HRA; profitability; return on assets; human resource value; HRV; training and development.

DOI: 10.1504/IJLIC.2024.144292

International Journal of Learning and Intellectual Capital, 2024 Vol.21 No.6, pp.709 - 732

Received: 17 Feb 2024
Accepted: 17 Oct 2024
Published online: 04 Feb 2025 *

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