Human Resource Accounting Practices in India: A Study of Impact on Decision Making

Abstract

Human Resources are skills, knowledge and energy of peoples which can be applied to production or rendering services. There is a popular maxim that human resources are the greatest assets of the organizations. In mission statements, annual reports and annual general meetings, organizations declare that "our greatest assets are our people”. The importance of Human Resource has been recognized in all activities of organization. In present era of knowledge and skills no industry or enterprise can succeed without Human efforts and direction. Valuation of manpower has engaged the attention of social scientists, researchers, executives, as well as financial institutions. The importance of Human Resource has been recognized in all activities of organization. In present era of knowledge and skills no industry or enterprise can succeed without Human efforts and direction. Valuation of manpower has engaged the attention of social scientists, researchers, executives, as well as financial institutions. The basic objective of paper is to work out the relationship between Human Resources Accounting information and decision making. The study have two dimensions, firstly, the usefulness of HRA information for management and secondly, usefulness of the HRA information for Investors for making the decisions. So, this research confines itself to the study of relationship between the provision of HRA Information and decision behavior of the internal management and the external users i.e. Investors, of accounting information.