The ultimate aim of any modern corporate is growth with profit maximization. Growth is the first and foremost characteristic of nature and its products which include modern societies with all their industrial, agricultural and service sectors and above all the research organizations to cater to the needs of primary, secondary and tertiary sectors. Governed by the laws of the universe and nature, societies, markets and above all human life are in the constant churn of development in the realm of creativity and innovativeness.

During the last four decades, a number of articles discussing human resource valuation models have appeared in the journals that cover accounting literature. Lev and Schwartz (1971), Flamholtz (1971, 1973) and Jaggi and Lau (1974) are some of the noteworthy contributors in this field. Indian organizations have also relied on these models in valuing their human resources. The purpose of this paper is to examine the theoretical soundness of these models and to formulate a suitable model for human resource valuation on the basis of the concept of value-added income and present value technique. The proposed model is expected to present a practical approach towards the problem, and is especially applicable to the public enterprises.

A close look at the historical development of accounting ideas will certainly reveal many landmark events such as assumption of new roles, covering in general wider canvas and serving the information requirements of new groups of users. Starting from the function of meeting the very specific but vital information needs of the owner(s) for decision-making purpose, accounting now addresses important issues covering social responsibilities of business entities in different spheres including environment-related reporting. Sophistication of the already available techniques for providing need-specific information is another aspect of the development. Accounting literature is replete with the evidences of new ideas, measurement techniques and methodologies useful in different areas. Professional bodies come out with exposure drafts and after getting feedback thereon with standard practices recommended for implementation by practitioners.

One area which has attracted attention is human resource accounting. This aspect has a unique feature. Social Responsibility Accounting is undoubtedly a broad area and the thought of human behavior-related accounting is a distant branch of the same. Just as a business entity has to observe some basic principles concerned with societal requirements often enforced by enactments, its internal social concern must address the needs of its employees. Giving due importance and recognition to the entire workforce as Human Resource (HR) and considering their needs for a better quality of life not only helps the employees both individually and in groups, but also serves entity objectives—may be, indirectly. This branch has been enriched by thought provoking papers, mostly carried out by academicians.