Effect of Human Capital Development in Organizational Performance in Manufacturing Industries in South-East Nigeria

The study was to evaluate the effect of human capital development in organizational performance in manufacturing industries in South-East Nigeria. The specific objective includes to; ascertain the effect of knowledge on product quality and ascertain the relationship between skills and promoting of innovation. The study was to evaluate the effect of human capital development in organizational performance in manufacturing industries in South-East Nigeria. The population consists of 6230 staff of selected manufacturing firms from South-East, Nigeria. The study used the survey approach. The primary sources used were the administration of questionnaire to staff and distributors. The sample size of 358 was determined using Ferund and Williams formula. 306 copies of the questionnaire were returned and accurately filled. The validity of the instrument was tested using content analysis and the result was good. The reliability was tested using the Pearson correlation coefficient (r). It gave a reliability co-efficient of 0.88 which was also good. The hypotheses were analyzed using f-statistics (ANOVA) tool. The findings indicated that Knowledge has positive significant effect on product quality F(95,n=358)= 2181,P<0.05; Skills have positive significant relationship on promoting of innovations F(95,n=358)= 381.631,P<0.05; The study concluded that any organization that does not learn continuously and is not able to continuously list, develop, share, distribute, mobilize, cultivate, put to practice review and spread knowledge will not be able to compete effectively in the global market. The study recommended that to it is important that organizations should training their staff to enable them acquire Knowledge to enhance productivity and the market share of the firms and Provision of new technological equipment and training of workers on the machines should be advised and encouraged for more profitability of the manufacturing companies.