The Relationship Between Organizations’ Acquired Knowledge, Skills, Abilities (SKAs) and Shareholders Wealth Maximization: The Mediating Role of Training Investment
Journal of Investment and Management
Volume 4, Issue 5, October 2015, Pages: 171-179
Received: Jul. 17, 2015; Accepted: Aug. 1, 2015; Published: Aug. 11, 2015
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Authors
Gabriel Dwomoh, Institute of Entrepreneurship and Enterprise Development, Kumasi Polytechnic, Kumasi, Ghana
Williams Kwasi Boachie, Department of Accounting Education Studies Education, University of Education, Kumasi, Ghana
Kofi Kwarteng, School of Business, Takoradi Polytechnic, Takoradi, Ghana
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Abstract
The study examined the relationship between organizations’ acquired knowledge, skills, abilities and shareholders wealth with training playing the mediating role. The sample of the study consisted of organizations that spent 10% or more of its annual budget on training and those whose training budget is less than 10% of the organization’s annual budget. A total of 620 questionnaires were distributed to employees working in various organizations out of which 580 representing 93.5% were retrieved. The sample was drawn using convenience sampling. The data collection instrument was mainly questionnaires supported by the use of Regression models for analysis to be made. Analyzing multiple models, it was discovered that organizations training investment plays a considerable indirect and direct effect with partial mediation between organizations acquired skills, knowledge, abilities and shareholders wealth. Shareholders should allow their agents to invest part of their holdings to develop the human capital of the organization but this should be done with caution since shareholders returns do not depend much on how much organizations spend in developing its human resource capital.
Keywords
Skills, Knowledge, Abilities, Shareholders Wealth, Training Investment
To cite this article
Gabriel Dwomoh, Williams Kwasi Boachie, Kofi Kwarteng, The Relationship Between Organizations’ Acquired Knowledge, Skills, Abilities (SKAs) and Shareholders Wealth Maximization: The Mediating Role of Training Investment, Journal of Investment and Management. Vol. 4, No. 5, 2015, pp. 171-179. doi: 10.11648/j.jim.20150405.15
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