HCM in the new economy

For the longest time dealing with an ERP system for HR functions, I never did fully understand what Human Capital Management (HCM) meant.

Back then, when developing and implementing systems for this group of job roles, I would only view it as a set of modules and functionality of a software system for Employee information, time keeping and monitoring, performance and training management, and the like, and that they all compute towards a payroll module.

Having figured that I have mastered the modules supporting these HR functions, I thought that I can easily adapt to any HR system and even going as far as being confident in learning and applying human capital management concepts.

Of course, as this term have recorded it, I was way off with my intuition.   That Human Capital Management actually meant managing the people resources of an organization and that personnel are actually investments of the company.  Such that, when an employee commits a mistake in his responsibilities that would have some financial impact in a form of delays in the project, downtime of a system, and such, it does not necessarily follow that the employee should terminated.

In today's "new economy", an incident where an employee fouls up is in itself an investment on that individual, and the natural course could be is to let that employee learn from his fault, if the situation can be corrected then let him correct it, and the bottom line is the issue should not be repeated.