VALUE ADDED AND PROFITABILITY: ROLE OF HUMAN RESOURCE

Money, equipment and other assets require human application to generate value which ultimately contributes to the profit of a business entity. Human Capital with high degree of productivity is the key competitive advantage finally adding to the bottom line. Present study endeavors to explore the relationship between contribution made by workforce in terms of values and performance of the enterprise-operating profit. With the help of secondary data of BHEL and Infosys as case study and using multiple regression analysis, this study proves that the interdependence between operating profit and human resource on one hand and between OP and working capital on the other is very significant. Using ANOVA tool it also proves that the impact of other factors excepting these two is negligible. So policy prescription needs more orientation to human resource improvement.