Abstract
Human capital is acknowledged to be positively related to performance. Assuming that the relationship between human capital and performance is more complex than previous research found, this study introduces social context and perspective of dynamic capability to examine this relationship. Based on time-lag, multiple-informant data of 169 listed organizations, we found that human capital does not promise positive performance. The three way interaction effects of human capital, organizational cultures and new knowledge acquisition process capability display different influence on performance. When firms accumulate human capital, they have to notice the complementary effect between the organizational culture and the acquisition process capability simultaneously. The internal management of how to increase human capital in various contexts is crucial to value creation.
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