Human Capital Theory and Development in 2023

Human capital is one of the best ways in which we can develop the capacity and ability to generate wealth and opportunities for companies and nations. Think about human capital and how education and training improve the capacity to meet emerging changes in the market. It is helpful as executives to look at human capital theory and changing trends to make decisions about how to manage your own workforce. Consider the World Economic Forum report on these trends. Growth Summit 2023 Human Capital Trends

The following were quoted from the report and provide a solid overview: 

• Technology adoption will remain a key driver of business transformation in the next five years.
• The largest job creation and destruction effects come from environmental, technology and economic trends.
• Within technology adoption, big data, cloud computing and AI feature highly on likelihood of adoption.
• The impact of most technologies on jobs is expected to be a net positive over the next five years
• The human-machine frontier has shifted, with businesses introducing automation into their operations at a slower pace than previously anticipated.
• The combination of macrotrends and technology adoption will drive specific areas of job growth and decline
• Analytical thinking and creative thinking remain the most important skills for workers in 2023
• Employers estimate that 44% of workers’ skills will be disrupted in the next five years.
• Six in 10 workers will require training before 2027, but only half of workers are seen to have access to adequate training opportunities today.
• A majority of companies will prioritize women (79%), youth under 25 (68%) and those with disabilities (51%) as part of their DEI programs.
• Forty-five percent of businesses see funding for skills training as an effective intervention available to governments seeking to connect talent to employment.

You can also review a more in depth discussion on the background of education and human capital from a governmental standpoint. Intro to Human Capital in the U.S. 

I found this video which gives a solid overview from an HR perspective.