The Role of Human Capital Management in Increasing Organizational Competitiveness

In the era of globalization and increasingly rapid digital transformation, organizations are required to have sustainable competitiveness. Competitive advantage no longer relies solely on physical assets or financial capital, but also on the quality of human resources. Researchers used qualitative research with a literature study design, namely a series of activities related to data collection methods through reading and recording, as well as managing research materials. The results of this study have found that Human Capital Management (HCM) has a strategic role in increasing organizational competitiveness because it focuses on managing human resources as a key asset. Thus, it can be concluded that Human Capital Management is not only an administrative function, but a strategic instrument capable of strengthening organizational competitiveness in facing the challenges of globalization, digitalization, and increasingly fierce market competition.