Research On The Evaluation Method Of The Human Capital Compound Real Option

The theory of the enterprise human capital value evaluation belongs to the front research area of economic. It is the meeting point of the enterprise theory, human capital theory and accounting theory. The hard part of the research in this area is the method of the human capital evaluation. There are two kinds of method to evaluate the human capital: qualitative method and quantification method. This study is focus on the latter. The existing quantification method generally carries on the capitalization of human capital and weighs it by accountant method primarily. There are lots of uncertainties in the practice of the human capital management which is hard to be measured by the conventional evaluation methods and would be undervalued by the conventional evaluation methods. The compound option is an option which writes on a general option, which can be adopted to solve the problem of serial decision-making. The valuation of multi-stage compound option is the important problem in current financial engineering research. The researches about the evaluation of the human capital and the experience research of the human capital are summarized in this study. The role of the human capital management in the development of the enterprise and the technology of the human capital evaluation are discussed. The basic conception and character of the compound real option of human capital are defined. Then, the relationship of the option theory and the human capital management is analyzed. Considering that the practice of the human capital management persists for several stages, an evaluation model of multi-stage compound real option of human capital with variable volatilities is established with the aid of twin security. The mainly problem of the study on the evaluation of human capital by the evaluation method of the compound real option is the experience study. In this dissertation, the control function and the corresponding boundary condition of the compound real option of human capital are built by the contingent claim analysis. And then, the key technology and the rang that the method can be applied is pointed out. Finally, the rationality and validity of the model built in this study are testified by the experience research. The evaluation of the multi-stage compound real option of the enterprise human capital in different industries is complicated by the evaluation model of multi-stage compound real option of human capital with variable volatilities and the finite difference numerical method. Furthermore, the relationship of the value of the human capital option and the performance of the listing company is analyzed. The results will provide valuable advice for the design of the stock option incentive system of the listing company.