The Effect of Knowledge Management on Human Capital Development

Human capital has been one of the most important wealth capitals of the progressive organizations. These organizations try to develop their human capitals to preserve their competitive positions. One of the effective methods in this field is to perform knowledge management successfully in the organization. The current research studies that how and to what extent knowledge management practices can develop the organizational human capitals. To study this issue, the effect of knowledge management process (four stages of creation, recordings, application and sharing knowledge) on four aspects of human capital (adaptness, skill,experience and knowledge) is investigated. The research method is descriptive. The community of this research includes 359 managers and employees of managing and development department of ministry of civil and road of Islamic Republic of Iran. A sample of 186 persons was chosen by random sampling. The research results showed that knowledge management practices have a meaningful and positive influence on all studied aspects of human capital and performing effective knowledge management practices in the organization leads to development of human capital. Some recommendations were presented to managers and researchers.