With increased exchange of human resources (HR) among countries, there has emerged an urgent need to identify the quality of HR in each country and to compare it with that of other countries from a global perspective. Developing an index which can be used both as a tool to identify the quality of HR at a national level and to make cross‐national comparisons would be an effective way to address this need. In order to accurately assess a nation‘s current state of the quality of its HR, the index should cover not only intellectual abilities of its HR but also their communication skills, attitudes and values, and other aspects. At the same time, the index should reflect features of today’s globalized labor environment to promote cross‐national comparisons. The present study is an attempt to meet global needs for such an index.
The study consists of two parts: the first part comprises the development of an index which can assess the quality of a nation’s HR from a global perspective and the second part applies the index in measuring the quality of HR in 55 nations in pursuit of cross‐national comparisons. The index is named as the Human Resource Opportunity Index (HROI).
To develop the index, well‐established existing indexes including the Digital Opportunity Index, the Growth Competitiveness Index, the Human Development Index, and the World Competitiveness Yearbook Index were extensively analyzed with regard to conceptual frameworks, specific measurement indicators and development procedures. Based on the analysis, HROI indicators were created and reviewed by experts in human resource development and training. The revised HROI indicators were then sent to a group of researchers in the HR field for confirmation. As a result, nine indicators in three categories were identified.
This index was then applied to identify the HR opportunities of 55 nations. Quantitative data on the indicators were collected from official documents of several international organizations and governments and used to calculate the HROI of 55 countries. Using these HROI indices, cluster analysis was performed to identify major factors influencing the index scores, and correlation analysis was conducted to identify the concurrent validity of the index. The results demonstrated that intellectual property rights and overall productivity were the most influential indicators for HROI values. The concurrent validity was secured by the high correlations between HROI and other indices; GCI(.78), HDI(.80), and WCYI(.80). It is concluded that the HROI is a reliable and valid tool for measuring a nation's quality of HR.