The Influence of Human Capital on Construction Projects’ Management

Abstract

Financial, physical, and intangible assets represent most of a corporation’s assets. Human capital is the most valuable intangible resource, and activities aimed at increasing productivity have expanded dramatically. Several studies show a close connection between an organization’s human capital and its overall performance. According to businesses, an organization’s market value is less dependent on tangible than intangible resources, such as its human capital. Today, many emerging economies lack financial and human capital, despite having an adequate labor force. To overcome a human capital shortage, companies must consistently increase their investments in employee development, ensuring that their human capital procedures are in place to ensure the project’s success. Knowledge, skills, and capacities are essential success criteria contributing to a project’s timely completion. The project’s success depends on various elements, including physical and financial capital, technology, and people. As a result, human resources receive less attention throughout the initial stages of the project, which is a design flaw on the part of the project’s creator. Human capital methods may help people get the essential knowledge, skills, and capabilities. These tactics not only create human capital but also help projects run smoothly. These characteristics are crucial for project success. Even though human capital practices are critical to the project’s success, they have received little attention. The interference of project management and human capital is an under-researched area. The authors review the role and impact of human capital on project management. The research links human capital and project success by examining the effect of human capital development techniques. Following a general introduction, the relationship and interaction between human capital and project success are discussed based on the most recent literature. Despite the limited literature, the authors also attempt to explore the link with the construction sector.