Sustainability of Human Capital Efficiency in the Hotel Industry: Panel Data Evidence

Marko Slavković (), Jasmina Ognjanović and Marijana Bugarčić
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Marko Slavković: Department of Management and Business Administration, Faculty of Economics, University of Kragujevac, 34000 Kragujevac, Serbia
Jasmina Ognjanović: Faculty of Hotel Management and Tourism in Vrnjačka Banja, University of Kragujevac, 36210 Vrnjačka Banja, Serbia
Marijana Bugarčić: Department of Management and Business Administration, Faculty of Economics, University of Kragujevac, 34000 Kragujevac, Serbia

Sustainability, 2023, vol. 15, issue 3, 1-16

Abstract: The COVID-19 pandemic resulted in significant changes to business operations, particularly addressing human resources and their role within the firm. This study aims to assess the sustainability of human capital efficiency in the hotel industry, including the early effects of the COVID-19 pandemic. In accordance with the value-based approach, the human capital efficiency (HCE) coefficient was calculated on a sample of 157 hotels in a five-year period, including the year in which the pandemic was declared. We employed a quantitative methodology based on the VAIC TM method of assessing human capital efficiency and Annual Compounded Growth Rate (ACGR) to evaluate the trend of human capital efficiency. The research results showed a change in the trend of human capital efficiency in the hotel industry in 2020, as well as a change in the mean value of the HCE coefficient. Hotels with a higher category demonstrated a better ability to create value using human capital. The contribution of this work is represented in the quantification of the sustainability of human capital efficiency in the observed period and the early impact of the COVID-19 pandemic on the value-added efficiency of human capital in the hotel industry.

Keywords: human capital; human capital efficiency; annual compounded growth rate; value creation; hotel industry (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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