A Study on Human Resource Accounting for Fourrts (India) Laboratories Pvt. Limited

Human resource is the most vital part of any organization, as it makes sure there exists a symbiosis between financial and all other physical resources towards the achievement of organizational objectives and goals. Conventionally, financial assets are accounted in the books of accounts as per the general principles of accounting, but do not count the human asset. Although many efforts have been made by many thinkers in this arena, a proper/appropriate and fully validated model of performance based on accounting in the Indian context is not yet available. Though, Human Resource Accounting (HRA) was introduced way back in 1980s, it started gaining popularity in India recently. The study aims to identify the opinion about implementing Human Resource Accounting in Fourrts (India) Laboratories Pvt Limited. This was held by using primary data through a questionnaire that have been distributed on a sample consisted of one hundred and two employees and Descriptive Research Design is used for this study to understand and describe the opinion of the employees. The important findings of the research is to determine the awareness of Human Resource Accounting, to evaluate the Human Resource Information System, to Evaluate Management Support, to Evaluate Financial System used in the firm, to get the view about the problems measuring the cost of Human Resource and to find out the Opinion about Implementing HRA in the organization. The research recommends that the management needs more awareness campaigns about HRA, and its benefits. The firm needs to improve the financial systems they use, and their HRIS. Management should consider the investment of HRA and change the traditional look for them as expenses in the balance sheet. Finally, the study was provided some suggestions that could cause the development of cost system on human resources and accounting.