HUMAN CAPITAL DEVELOPMENT AND ORGANIZATIONAL EFFECTIVENESS OF MANUFACTURING FIRMS IN SOUTH-EAST NIGERIA


LEKAN-AKOMOLAFE, Chika
Department of Business Administration
Michael Okpara University of Agriculture Umudike, Abia state
chikaakomolafe@gmail.com


ABSTRACT
Human capital is a key resource that drive organizational effectiveness. This study investigated effect
of human capital development on organizational effectiveness of manufacturing firms in South-east
Nigeria. The study used human capital investment, career development and competency-based
assessment as proxies of human capital development. The study adopted a descriptive research design
and used questionnaire to collect primary from respondents. The population of the study comprise 944
employees of manufacturing firms. The Taro Yamane formula was used to arrive at a sample size of 280 . The study utilized multiple regression statistic to test the effect of human capital development on
organizational effectiveness of manufacturing firms. The results obtained from the data analyses
revealed that human capital investment has positive and statistically significant effect on organizational
effectiveness of manufacturing firms at 5% level of significance (coefficient value 0.826>0.000 pvalue), career development has positive and statistically significant effect on organizational
effectiveness at 5% level of significance (coefficient value 0.669>0.020 the p-value), and competencybased assessment has positive statistically significant effect on organizational effectiveness at 5% level
of significance (coefficient value 0.922>0.000 p-value). Therefore, the study conclude that human
capital development have positive significant effect on organizational effectiveness of manufacturing
firms in South-east Nigeria; and recommends that manufacturing firms in South-east Nigeria should
engage in human capital development if they desire to achieve higher productivity and improved
effectiveness.
Keywords: career development, human capital development, organizational effectiveness,

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