The significance of organisational culture in the development of human capital

Abstract

Purpose: The chief purpose of this article was to draw attention to the importance of organisational culture as a crucial factor in human capital management. In order to achieve this goal, reports of research on the competitiveness of small and medium-sized enterprises in Poland were read, with respect to investments in human capital development. Design/methodology/approach: The literatures on management sciences, sociology of organisations and economics were also reviewed, on the basis of which a theoretical description of selected issues was made. The issues included factors shaping organisational culture and its influence on human capital development. The analysis of the literature showed that organisational culture may perform many functions in the integration and development of human resources, including the development of human capital. Organisational culture is a carrier of specific norms and values preferred by both managers and employees. Findings: Nowadays, human capital generating new quality of knowledge is recognised as a strategic factor of enterprises and the basis for their prosperity. It therefore becomes an issue of core importance for managers to effectively manage human capital in such a way that it would encourage creativity, the ability to acquire knowledge and to shape working competences. One should remember that enterprises differ in respect of ability to define, communicate and manage organisational culture. Owing to the literature review, it was found that through the study of organisational culture it is possible to create value and a competitive position of enterprises based on human capital development. Originality/value: The subject of the article may be useful for both practitioners of economic life, as well as theoreticians studying organisational culture and human capital.