Should employees be considered as an asset in the organization?
Should employees be considered as an asset in the organization?
You must have heard that your CEO says our employees are the greatest asset
and force behind the company's success? But have you ever felt like as an asset?
What if I told you that, as an employee, have you recognized yourself as an asset in your company's financial statement? You might be embarrassed or humiliated. Because the bitter truth is you find yourself as expensive (salary), ( Rouen e 2019) on the income statement you are a liability to your organization. The reason for this is that employees aren't technically considered assets or valuable in that sense either.
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Real estate and physical equipment have been acknowledged as tangible assets
since the industrial age, but they no longer drive performance as they once
did. However, the source of assets is the patent and trademark that are created
by their people. Hence, employees should be valued as a real asset in an
organization.
Why employees should be considered as an asset of any organization ( Rouen e 2019)? because
they are the driving force behind a company's success and the ones who
implement tasks, develop products, interact with many stakeholders and
customers, contribute to innovation and problem-solving, and possess valuable
knowledge about a company's operation, which is pivotal for smooth functioning
and continuous improvement in any organization.
Especially employees are the brand ambassadors and face of the company ( Hobson K, 2019)
According to a study, when a company expresses gratitude to its employees,
those employees are likely to reciprocate by showing gratitude to the company.
Employees also tend to be more productive and loyal.
In addition, to financial and wellness perks, great businesses should provide
opportunities for employee participation, community service, travel, and
training and development ( Merriman K, 2017) Spending money on job-posting websites, hiring
headhunters, or continuously hiring new workers is expensive (and not very
cost-effective). Workers may start to doubt both their own chances of a lengthy
career and the work environment.
In conclusion, companies should acknowledge and value their employees
because they understand how pivotal they are to any organization. Employees
should feel that they are an asset in their company.as a consequences organizations overall objectives will be achieved through recognizing their employee as real asset.
References
Hobson K, (2019), Five Reasons Employees Are Your Company's No. 1 Asset, Forbes
Merriman K, (2017) Workers as an asset vs cost
posted by K M N R Wickramasinghe - (E276762)
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ReplyDeleteThat's a thought-provoking perspective. While employees are often viewed as the company's greatest asset in theory, recognizing oneself as a liability on the financial statement highlights the complex reality—employees incur costs like salaries and benefits, which are seen as expenses. However, truly valuable employees contribute beyond just costs; they drive innovation, growth, and success.
ReplyDeleteThis is a great point valuing employees as assets can truly help organizations succeed and achieve their goals. Recognizing their importance motivates employees and leads to better performance.
ReplyDeleteNormally employees appeared as a cost to a company. But as mentioned here if the company recognizing them as assets fosters loyalty, productivity, and helps achieve organizational goals.
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ReplyDeleteYour emphasis on non-financial benefits and long-term investment in employee development reinforces the idea that when employees feel valued, they become true partners in achieving organizational goals.
ReplyDeleteIt's fantastic to see the paradigm shift in how organizations view their workforce, moving beyond traditional tangible assets to recognize the invaluable contribution of their people. The argument for considering employees as a true asset is incredibly well-articulated. They are indeed the "driving force," the "brand ambassadors," and the "face of the company," embodying the innovation, problem-solving, and critical knowledge that underpins success.
ReplyDeleteThe emphasis on showing gratitude, providing opportunities beyond just financial perks—such as community service and professional development—further solidifies the understanding that a holistic approach to employee well-being and engagement yields significant returns. The practical point about the cost-effectiveness of retaining existing talent versus constantly recruiting new hires resonates strongly, highlighting the long-term strategic advantage of valuing and nurturing the current workforce.
Ultimately, the conclusion perfectly encapsulates the core message: when companies genuinely acknowledge, value, and make their employees feel like integral assets, it not only fosters a highly productive and loyal workforce but also directly translates into the successful achievement of organizational objectives. This enlightened perspective is truly a win-win for both employees and the organization as a whole.
ReplyDeleteYes, employees should be considered valuable assets, as their skills, knowledge, and motivation directly drive organizational success and growth.
Employees are the true drivers of innovation, productivity, and competitive advantage. Organizations that recognize and invest in their workforce as strategic assets—not just cost liabilities—will foster loyalty, enhance performance, and achieve long-term success. A culture of appreciation, development, and empowerment transforms human capital into sustainable value. People are the ultimate differentiator.
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