Jordan Software Industry: Investigating the Role of Human Capital

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International Journal of Business and Management

Vol. 6, No. 5; May 2011

Jordan Software Industry:
Investigating the Role of Human Capital
Ashraf Bany Mohammed
Faculty of Information Technology, Middle East University
P.O. Box: 383, Amman 11831, Jordan
Tel: [phone]
Received: November 19, 2010

E-mail: [e-mail]

Accepted: December 22, 2010

doi:10.5539/ijbm.v6n5p217

Abstract
Software industry is realized as one key opportunity for socio-economic development, especially for developing countries. Human Capital heavily plays a critical role in such knowledge-based sectors as software. This paper describes and analyzes the role of human capital in the development of Jordan software industry between 1980’s and 2005. In doing so, different roles in software industry are identified, described and analyzed. The study suggests that the existence of some levels of professional, technical and ICT graduates, will not guarantee the development of the sector. Quality, proper utilization, collaboration and policy coherency of Human Capital is needed for software sector development. Moreover, we argue that challenges such as Diaspora can have a positive impact through technology transfer and entrepreneurship as the Indian case suggests.
Keywords: Human capital, Economic development, Software industry
1. Introduction
Software industry is seen as an opportunity for economic growth especially for developing countries (Nicholson and Sahay, 2008). The successful case of India and Ireland provide sufficient evidence of software industry role as a major economic growth engine (Baraya et.al 2008). The huge advancement in telecommunication technologies and internationalization of business process where key factors that leads to the globalization of software industry. Countries with low-cost qualified human capital, fine telecommunication infrastructure, and supporting national polices became the ones who benefited

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