ASSESSING THE PERFORMANCE OF UNIVERSITIES IN THE MALAY ARCHIPELAGO THROUGH THE INTANGIBLE ELEMENT OF HUMAN CAPITAL RESOURCES: A LITERATURE REVIEW

Abstract

A university’s performance ranking is frequently used as an important gauge when transforming a country’s education system. In this era of globalisation, Industrial Revolution 4 and developments in Artificial Intelligence (AI) have an extraordinary effect on a university’s performance, especially in terms of empowering human skills among employees, both at the academic as well as student levels. Unfortunately, a university’s performance, especially in the Malay Archipelago, has a quality gap, although in reality the progress of national development in this region is almost balanced. This is because various criteria and indicators for evaluating a university’s performance is beyond the activities that involve human capital resources owned by the university. Hence, this study examines the importance of human capital resources with various intangible elements, such as human capital, social capital, positive psychological capital and spiritual capital, are the main factors that decide on the different effectiveness of performance and ranking of a university in the Malay Archipelago. Therefore, it is important for universities and policy makes to know the need for enhancing the quality and standards of human capital resources through various intangible elements in order to increase the university’s performance and ranking at the international level.