Human capital on organization performances in banking sector in Nigeria

This paper empirically examines human capital development and banking performance in Nigeria. There is no doubt that, a performing bank hosts men and women alike with rare, inimitable, valuable and un-substitutable skills which will apparently move the bank forward. Experience around the world has shown that inadequate necessary human capital (skilled person) in banking sector results in dwindling growth in an economy. The study employed the ex post facto survey research design. The sample size used in the study was 200 professionals selected randomly from money-deposits banks. The hypotheses and data collected were analyzed using the Multi-regression Analysis. Four hypotheses were tested and the results showed that human capital practice has a positive and significant relationship with banks performance and that staff knowledge has a positive, strong and significant relationship with banks growth. It concluded by advancing that Nigerian banks must intensify on customers’ services. Also, it is pertinent for banks to focus on how to develop and utilize to the optimum, the capacities and capabilities of its valuable assets which are its human resource, through equitable and sustainable human capital development. The regulatory authorities, through their oversight functions should ensure that there is judicious utilization of available resources, so that our-banks can compete in this globalizing world and banks’ management need to take drastic and proactive-measures to reduce the level of human capital flight in the sector, otherwise known as brain drain in the country, through better packages to professionals.