Abstract

The last three decades of the twentieth century have witnessed notable attention directed to Human Resources Accounting. Researches and studies in this area have produced many models and methods to facilitate the process of measurement and valuation of human resources working in an organization. However, the numerousness of these models and methods, though they can give an organization a wide choice in practice, they, however, complicated the process of comparison and evaluation. In addition, these models suffer some shortcomings, which limited their benefit in achieving the objective they intended for. Since the main objective of this study is to encourage Jordanian Companies to apply human resources accounting, this study will apply the available models in three selected foreign companies, analyze the result explain the disadvantages of the existed models, and develop certain model, which hopefully fit the intended objectives of Human Resources Accounting, which can be applied in Jordanian companies without serious difficulties to be associates with models particularly the collection of information about the employees for a long time of period. The application of the existed models in foreign companies rather than Jordanian ones is due to the difficulty faced the researchers in obtaining information and data from local companies, first because of the confidentiality associated with providing information, and second because of the fact that most, if not all. Jordanian companies have no idea about the application of this sort of accounting. As the suggested model needs less information than the other models do, it concentrates on the main factors affect the valuation of human resources rather than on many factors which some of them are not necessary. It is assumed that the development of a particular model, which can avoid the shortcomings. The other models suffer, will contribute to encourage the application of human resources accounting in Jordanian companies and provide more relevant information for different purposes in an organization. This is so particularly in a developing country such as Jordan where some of the information necessary to apply complicated models is difficult to be gathered.