Investment in human capital as a factor of improving company competitiveness

The paper stresses the importance of studying the issues of investing in human capital in modern organizations. Human capital is understood as a reserve of knowledge, health, skills, experience, talent, motivation, productive capacity, cultural, philosophical, psychological and social characteristics of personnel which is used in order to achieve higher goals for the organization. Particular attention is paid to the history of the development of human capital theory, and a definition of this concept is given. Types of investment in human capital and how to assess their effectiveness are considered. Role of human capital in maintaining competitiveness is examined. It is noted that in the context of economic instability, lack of resources and investment, many Russian companies are beginning to save on everything, and first of all on personnel, they cut salaries and social benefits, and worsen working conditions. Return from investment in human capital benefi t not only the carrier of human capital but also the organization where it is implemented, the region and the state as a whole, while human errors caused by low skilled personnel lead to huge losses, damage production and health of the personnel.