Author

  • Farahiyah Akmal Mat Nawi

    • Faculty of Business and Management, University Teknologi MARA Cawangan Selangor, Malaysia
    • Malaysia

  • Julaina Baistaman

    • Faculty of Business and Management, University Teknologi MARA Cawangan Kelantan, Malaysia
    • Malaysia

  • Nur Haslina Ramli

    • Faculty of Business and Management, University Teknologi MARA Cawangan Kelantan, Malaysia
    • Malaysia

  • NorZuriati Amani Ab Rani

    • Faculty of Business and Management, University Teknologi MARA Cawangan Kelantan, Malaysia
    • Malaysia

  • Dalili Izni Shafie

    • Faculty of Business and Management, University Teknologi MARA Cawangan Pulau Pinang, Malaysia
    • Malaysia

  • Surti Milarisa M.Pd

    • Faculty of Economics and Business, Universitas Muhammadiyah Berau, Indonesia
    • Indonesia

Abstract

Accelerating the quality of education institutions remains a priority for the Malaysian Government as it forms the foundation for building a high caliber talent in the labor market. Focusing on improving the quality of universities one of the main concerns is to develop the human quality through increasing the quality and resilience of human capital as the enabler towards competitive global market. In general, this paper recognizes the findings on the role of human capital investment determinants and their significant contribution to the institution’s performance. It also highlights the importance of HCI in ensuring institutional success and sustainability within a highly competitive business landscape, as outlined in the Twelfth Malaysia Plan (20212025) and Malaysia Education Blueprint 2015-2025. Human capital plays a strategic role in enhancing academic quality, which in turn influences issues like labor market inefficiencies and the overall improvement of Malaysia’s education system. Hence, to analyze the contribution of determinants a theoretical model was constructed underlined by the Human Capital Theory, Resource Based View (RBV) and Malcom Baldrige criteria. Then to obtain the feedback a survey consisting of sixty (66) items with a seven (7) Likert scale was used as the measurement instrument to gather the data from 309 lecturers in UiTM. Data then were analyzed using the Structural Equation Modelling (SEM) approach on the SmartPLS3 platform. The result indicates that the coefficient of determination (R2 ) value of 66.9% value suggests that the variation in institutional performance can be moderately explained by HC determinants, with knowledge, skill and training positively influencing institutional performance.

Keywords

References

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How to Cite

Mat Nawi, F. A., Baistaman, J., Ramli, N. H., Ab Rani, N. A., Shafie, D. I., & Milarisa M.Pd, S. (2024). Hypothesis Test of Human Capital Investment Determinants on Institution’s Performance Using PLSSEM Approach. Information Management and Business Review, 16(3S(I)a), 680-689. https://doi.org/10.22610/imbr.v16i3S(I)a.4227

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Copyright (c) 2024 Farahiyah Akmal Mat Nawi, Julaina Baistaman, Nur Haslina Ramli, NorZuriati Amani Ab Rani, Dalili Izni Shafie, Surti Milarisa M.Pd (Author)

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Research Paper

Published in

Vol. 16 No. 3S(I)a (2024) Supply Chain Resilience, Islamic Finance & Micro-Influence View issue contents

Published

2024-10-27

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