Nowadays the success of any company depends on its ability to adapt and keep pace with rapid technological market changes. Here, what distinguishes organizations from  each other, regardless of capital, technology, equipments, primary materials, etc is skilled and efficient human resources which with no doubt can be considered as the most important factor in the success or failure of organizations. However, despite the increasing importance of the human factor and the intellectual capital, this valuable asset does not have a reflection in the balance sheet and, as a result, we can not deny the necessity of using human resources accounting as a tool for the evaluation of this important matter in order to report in financial statements to adopt correct and optimal decisions and achieve competitive advantage. In this paper while over viewing the emergence and evolution of a new phenomenon know as human resource accounting, will consider some of the applications, dimensions and challenges of this system, and in the end, give some useful suggestions on how to use this powerful tool.