Abstract
In a knowledge-based economy, employees are considered to be a primary component for attaining a competitive advantage. Human capital has the potential to be key part of overall firm strategy. Enterprise's human capital operation focuses on the forming, prompting & restriction, collocating and flowing of human capital, and the prompting & restriction of human capital is the main body of the operation. From the view of investment, the effect of enterprise's human capital operation depends on prompting & restriction that bring the benefit and risk to the enterprise. Hence, the criterion system of enterprise's human capital operation is put forward based on the principal component analysis. With the help of SPSS, a practice case is analyzed using this method. The result indicates that the method is effective.
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