This article works on the investigating of relations between Human Resources Index(HRI) and performance in Korean Business. Used data is Human Capital Corporate Panel(HCCP) survey which was made by Korea Institute Research for Vocational Education and Training(KRIVET).
HRIs have the positive effect on the performance in the firms. The increase of 1% in HRI results in the increase of 1.5% in wholesale of firms. The increase of 1% in HRI results in the increase of 2% in profit of firms. This rate is comparatively high to the effect of 0.4% in tangible assets.
The increase of 1 point in HRI results in the increase of 15,610,000₩ of per capita wholesale and 1,840,000₩ of per capita profit. The amount of expenses to raise up 1 point in HRDI(Human Resoruces Development Index) is 165,000₩ in per capita training expenses, but the increase of 1 point in HRDI results in the increase of 5,200,000₩ of per capita wholesale and 840,000₩ of per capita profit.
HRIs have also the positive effects on the wages of workers in the firms. The increase of 1% in HRI results in the increase of 0.6% in wages. This means that the increase of 1 point in HRIs results in the increase of 30,000₩ of wages.