Capitalizing Human Capital: The Role of Instrumental Leadership

Abstract

It is important for company to maintain their sustainability. Today human issue becomes very important, company realizes that people is their asset and capital. The most important from this issue is how to capitalize human capital. This paper also tries to find the influence of instrumental leadership toward capitalizing human capital. Analytical literature review as a methodology is trying to find the correlation between capitalizing human capital and instrumental leadership. It is found that theoretically, instrumental leadership plays an important role in capitalizing human capital. This paper contributes to the business world; explicitly in company's efforts to capitalize their employee. Based on this literature, company must evaluate their leadership style; because this research finds the significant effect of instrumental leadership.