Purpose: The aim of this article is to evaluate the development of the employees' competence as human capital in Aloei Saboe Gorontalo hospital. Design/Methodology/Approach: The research was conducted in the local hospital Prof. Dr. H. Aloei Saboe Gorontalo, located around Tomini gulf. The approach used in this research is a qualitative descriptive approach. The qualitative research includes a natural setting and the researcher is considered as a main instrument. The qualitative approach is used since the method and procedure of research will produce descriptive data, such as oral or written facts of observed behaviour. Findings: The development of the employees' competence is very possible since most workers are general physicians and general dentists who are highly educated. Nursing power and non-medical personnel is still limited in quantity and quality. This limitation is not only in terms of numbers, but this limitation relates also to intellectual ability, performance, moral, attitudes and personality. Practical implications: This limitation is not only in terms of quantity in staffing, but refers also to a lack of intellectual ability, performance, moral, attitudes and personality, or mindset for service, even though they have all the "credentials". Originality/Value: The article proves that management is a determinant factor in influencing the improvement of employee performance. Incentives services do motivate and build the performance of employees in carrying out their tasks. The use of incentives are an effective instrument to improve the quality of service.

peer-reviewed