An integrated process-based approach to intellectual capital management

2020 ◽  
Vol 26 (7) ◽  
pp. 1833-1850
Author(s):  
Oksana Lentjušenkova ◽  
Inga Lapiņa
Keyword(s):  
Development Strategy ◽  
Intellectual Capital ◽  
Management System ◽  
Business Processes ◽  
Integrated Management ◽  
The Other ◽  
Management Approach ◽  
Content Type ◽  
Stakeholder Interests ◽  
The Impact

PurposeNowadays, the aspects of the intellectual capital (IC) management have become important, valuing it as an integral part of the organisation. Researchers emphasise the strategic importance of IC management, particularly in the context of satisfying the stakeholders' interests and value creation. However, the existing studies reflect individual elements of IC management, not analysing them as a system which is a part of the organisational management system, and hence it is impossible to draw valid conclusions on the impact of IC on the organisation's performance. The aim of the paper is to describe an approach to the elaboration of the IC management strategy and its integration into the organisation's management system.Design/methodology/approachThe developed approach is based on a holistic and systemic view of the organisation, where IC management is integrated into the organisation's management . This approach is based on the structure of IC developed by Lentjušenkova and Lapina (2016). In this structure, business processes are the IC component that unites the other three ones – human capital, technologies and intangible assets. The study has used induction and deduction, as well as analytical and synthetic qualitative research methods, including logical constructive and conceptual (concept) analysis.FindingsElaborating the organisational strategy by taking into account the stakeholder interests, the organisation is able to ensure sustainable development. Using the integrated management approach, IC management is integrated into the organisation's activities and joint operational strategy. In this case, IC management becomes an integral part of the organisation's activities functioning in conjunction with the other organisation's systems, and it is integrated into all ongoing business processes.Research limitations/implicationsThe approach the authors have proposed to IC management could be adapted by small and medium-sized companies. Using it, companies do not need to create special functional units or division, because IC becomes an integral part of organisation's processes.Originality/valueIn previous studies, business processes were considered as one of the components of IC. In the study’s approach, business processes imply integration of IC into the overall organisation management system. As a framework for the proposed approach, the authors have used the Deming cycle “Plan-Do-Check-Act” that envisages dividing the development and implementation of the IC management and development strategy into four phases, with a clear allocation of tasks and a defined outcome for each individual phase. To use this approach, it is enough for organisations to conduct an analysis of processes and, depending on the strategic goals of the organisation, make additions related to managing IC.

Lessons learned in intellectual capital management in Germany between 2000 and 2020 – History, applications, outlook

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Manfred Bornemann ◽  
Kay Alwert ◽  
Markus Will
Keyword(s):  
Development Strategy ◽  
Intellectual Capital ◽  
Business Models ◽  
Business Processes ◽  
Lessons Learned ◽  
Strategy Development ◽  
Management Approach ◽  
Content Type ◽  
Over Time ◽  
Made In

PurposeThis article reports on the background, the conceptual ideas and the lessons learned from over more than 20 years of IC Statements and Management with a country focus on Germany and some international developments. It calls for an integrated management approach for IC and offers case study evidence on how to accomplish this quest.Design/methodology/approachReport on the German initiative “Intellectual Capital Statement made in Germany” (ICS m.i.G.). A brief review of the literature describes the background and theoretical foundation of the German IC method. A short description of the method is followed by four detailed case studies to illustrate long-term impact of IC management in very different organizations. A discussion of Lessons Learned from more than 200 implementations and an outlook on current and future developments finalizes the article.FindingsIC Statements made in Germany (ICS m.i.G.) was successful in providing a framework to systematically identify IC, evaluate the status quo of IC relative to the strategic requirements, visualize interdependencies of IC, business processes and business results as well as to connect IC reporting with internal management routines and external communication. However, ICS is not an insulated method but delivers the maximum benefit when integrated with strategy development, strategy implementation, business process optimization accompanied by change management routines. Strong ties to human resource management, information technology departments, quality management, research and development teams as well as business operations as the core of an organization help to yield the most for ICS m.i.G. Over time, the focus of managing IC changes and maturity leads to deutero learning.Practical implicationsICS m.i.G. proved easy to apply, cost efficient for SMEs, larger corporations and networks. It helps to better accomplish their objectives and to adjust their business models. The guidelines in German and English as well as a software application released were downloaded more than 100,000 times. A certification process based on a three-tier training module is available and was successfully completed by more than 400 practitioners. ICS m.i.G. is supporting current standards of knowledge management, such as ISO 9001, ISO 30401 or DIN SPEC PAS 91443 and therefore will most likely have a continuing impact on knowledge-based value creation.Originality/valueThis paper reports lessons learned from the country-wide IC initiative in Germany over the last 20 years initiated and supported by the authors. Several elements of the method have been published over time, but so far no comprehensive view on Lessons Learned had been published.

Creating a resilient management system delivering a flexible foundation for growth in an energy organisation

2017 ◽  
Vol 57 (2) ◽  
pp. 393
Author(s):  
Sunny Barlow
Keyword(s):  
Management System ◽  
Business Processes ◽  
Oil And Gas ◽  
Integrated Management ◽  
Integrated Control ◽  
Management Systems ◽  
Management Approach ◽  
Strategic Objectives ◽  
Integrated Management System ◽  
Industry Standards

Many organisations find it challenging to effectively integrate separate internal management systems and processes into one cohesive framework that supports organisational strategy. A management system is a framework of policies, processes and procedures developed to ensure an organisation can complete the tasks necessary to achieve its strategic objectives. International and industry standards typically take a functional view of management systems, often resulting in silos of information. In addition, inefficient and isolated safety, environmental, process safety, risk, compliance and quality management systems cost time and money, and can increase the likelihood of safety incidents in critical development and production environments. To support Woodside’s vision to be a global leader in upstream oil and gas, Woodside needed to establish a common approach to how it operates, wherever the location, and develop a strong foundation to support its strategic objectives. Woodside recently undertook an internally led company-wide project to renew its Woodside Management System (WMS) to improve integration between disparate functionally based management systems and capture the way we work more effectively. As part of the project, Woodside took the opportunity to redesign its WMS framework and streamline its processes and procedures by simplifying and removing duplicate or redundant existing information. Through the project, Woodside developed a single integrated management system that is independent of organisational structure and closely linked to our vision. The integrated control framework created within the WMS supports conformance to process and forms the foundation of assurance activities across the entire company. The WMS integrates a hierarchy of business processes, focused upon value stream activities, and clearly defines operational processes and activities. This paper discusses the objectives and outcomes of the project, some challenges during implementation and the change management approach to develop the culture and behaviours to drive continuous improvement and unlock the benefits of an integrated management system.

Sinergy in Integrated Systems of Risk ManagemeSinergy in Integrated Systems of Risk Management and its Accounting in the Digital Economynt and its Accounting in the Digital Economy

2020 ◽  
Vol 17 (6) ◽  
pp. 50-61
Author(s):  
S. G. Oparin
Keyword(s):  
Risk Management ◽  
Management System ◽  
Business Processes ◽  
Mutual Influence ◽  
Integrated Management ◽  
Investment Project ◽  
Transport Infrastructure ◽  
Strategic Decision ◽  
Integrated Systems ◽  
The Impact

The impact of risks on organizations' performance, the effectiveness of projects and business processes is constantly increasing, and the level of risk is often a determining factor in strategic decision-making. However, according to international statistics, only 16.2% of projects are recognized as successful — performed on time and within the budget, and 52.7% of projects are implemented with an excess of budget, on average by 89%. In order to improve the efficiency of integrated risk management systems, for the first time, an attempt has been made to take into account the synergy, resulting from the digital integration of many heterogeneous elements of the management system and the uncertainties of existing factors into a single socio-economic system based on the priority of the subjective, which are associated with concepts such as non-linearity, uncertainty and randomness. The mutual influence and adjustment the elements of a integrated management system to the purpose and conditions of operation means, that the system relies on a distributed quality and performance assessment, taking into account the uncertainties of existing risk factors. The real transport infrastructure investment project shows the benefits of a synergistic approach and the digital method of integrated bundles, its software implementation on the Microsoft Excel platform in ensuring risk management and achieving the reliability of estimates based on uncertainty and risk.

Implementation of an integrated management system in an airline: a case study

2010 ◽  
Vol 22 (6) ◽  
pp. 629-647 ◽  
Author(s):  
Palmira López‐Fresno
Keyword(s):  
Management System ◽  
Customer Orientation ◽  
Integrated Management ◽  
Direct Analysis ◽  
Internal Communication ◽  
Content Type ◽  
Integrated Management System ◽  
Use Of Resources ◽  
Industry Sectors

PurposeThis paper presents, through the analysis of a case study, a model based on a systemic approach that proved successful for the design and implementation of an integrated management system (IMS) in an airline, and provides guidelines and practical recommendations that may be of use to other sectors of activity when designing and implementing an IMS.Design/methodology/approachData for this paper were collected through direct analysis and implication in the process of implementation of the IMS. Also a literature review was conducted.FindingsTangible and intangible benefits were identified as derived from operating one IMS, such as cost savings, better use of resources, improved internal communication, stronger customer orientation and employee motivation. For these benefits to be realised it is essential to take into account several critical factors and be aware of the challenges accompanying integration of management systems, as detailed in the paper.Practical implicationsThis paper provides guidelines and recommendations for organisations seeking to implement and integrate several standards, being general or sectoral, particularly if they operate in highly complex industry sectors.Originality/valueThis paper incorporates the integration of sectoral standards, which the literature has not covered very widely. The research has wider value through transferable applications and experiences for other industry sectors.

The impact of intellectual capital on firm performance: a study of Indian firms listed in COSPI

2018 ◽  
Vol 19 (5) ◽  
pp. 935-964 ◽  
Author(s):  
Neha Smriti ◽  
Niladri Das
Keyword(s):  
Firm Performance ◽  
Intellectual Capital ◽  
Value Creation ◽  
Generalized Method Of Moments ◽  
Value Added ◽  
Secondary Data ◽  
Share Price ◽  
Content Type ◽  
Listed Firms ◽  
The Impact

Purpose The purpose of this paper is to examine the effect of intellectual capital (IC) on financial performance (FP) for Indian companies listed on the Centre for Monitoring Indian Economy Overall Share Price Index (COSPI). Design/methodology/approach Hypotheses were developed according to theories and literature review. Secondary data were collected from Indian companies listed on the COSPI between 2001 and 2016, and the value-added intellectual coefficient (VAIC) of Pulic (2000) was used to measure IC and its components. A dynamic system generalized method of moments (SGMM) estimator was employed to identify the variables that significantly contribute to firm performance. Findings Indian listed firms appear to be performing well and efficiently utilizing their IC. Overall, human capital had a major impact on firm productivity during the study period. Furthermore, the empirical analysis showed that structural capital efficiency and capital employed efficiency were equally important contributors to firm’s sales growth and market value. The growing importance of the contribution of IC to value creation was consistently reflected in the FP of these Indian companies. Practical implications This study has robust theoretical grounds and employs a validated methodology. The present study extends knowledge of IC among academicians and managers and highlights its contribution to value creation. The findings may help stakeholders and policymakers in developing countries properly reallocate intellectual resources. Originality/value This study is the first study to evaluate IC and its relationship with traditional measures of firm performance among Indian listed firms using dynamic SGMM and VAIC models.

Design and Implementation of Coal’s Production and Business Planning of Management System Based on B/S

2014 ◽  
Vol 1079-1080 ◽  
pp. 1153-1157
Author(s):  
Qi Mu ◽  
Qian Niu
Keyword(s):  
Development Strategy ◽  
Management System ◽  
Integrated Management ◽  
Business Planning ◽  
Management Level ◽  
Basic Work ◽  
Management Application ◽  
Management Functions ◽  
Management Reporting ◽  
Production And Operation

Coal’s production and business plan is the core business of the whole plan which reflects the business development strategy and general policy of production and operation. Based on the detailed analysis of the production and business plan’s development, approval, implementation and other basic work flow, author choose the software architecture which is based on B / S three-tier to develop the coal’s production and business planning management system, it achieves a set of basic information, planning, data management, reporting and management functions for the integrated management application platform and the timely updates and remote data sharing between various units Coal Company, improves the management level of production and operation plans.

Tolstoy in a recipe

2014 ◽  
Vol 44 (4) ◽  
pp. 310-323 ◽  
Author(s):  
Ana Tominc
Keyword(s):  
Design Methodology ◽  
The Other ◽  
Food Culture ◽  
Content Type ◽  
Current Trends ◽  
New Middle Class ◽  
Cooking Shows ◽  
Local Construction ◽  
The Impact ◽  
The Relationship

Purpose – The purpose of this study is to demonstrate the impact of global celebrity chefs and their discourse about food on the genre of cookbooks in Slovenia. Design/methodology/approach – Focusing this discourse study on cookbook topics only, the analysis demonstrates the relationship between the aspirations of local celebrity chefs for the food culture represented globally by global celebrity chefs, such as Oliver, and the necessity for a local construction of specific tastes. While the central genre of TV celebrity chefs remains TV cooking shows, their businesses include a number of side products, such as cookbooks, which can be seen as recontexualisations of TV food discourse. Findings – Hence, despite this study being limited to analysis of cookbooks only, it can be claimed that the findings extend to other genres. The analysis shows that local chefs aspire to follow current trends, such as an emphasis on the local and sustainable production of food as well as enjoyment and pleasure in the form of a postmodern hybrid genre, while, on the other hand, they strive to include topics that will resonate locally, as they aim to represent themselves as the “new middle class”. Originality/value – Such an analysis brings new insights into the relationship between discourse and globalisation as well as discourse and food.

The effect of intangible assets on sustainable growth and firm value – Evidence on intellectual capital investment in companies listed on Bucharest Stock Exchange

Kybernetes ◽  
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Catalin Ionita ◽  
Elena Dinu
Keyword(s):  
Growth Rate ◽  
Intellectual Capital ◽  
Firm Value ◽  
Intangible Assets ◽  
Stock Exchange ◽  
Listed Companies ◽  
Sustainable Growth ◽  
Content Type ◽  
Sustainable Growth Rate ◽  
The Impact

PurposeThe present study investigates the connection between company investments in intellectual capital (IC) and how they translate into financial value. The aim is to test the impact of intangible assets on the firm value and its sustainable growth.Design/methodology/approachThe research employs computation models to determine the sustainable growth rate (SGR) and the firm value (FV), and by using the ordinary least squares (OLS) model through a linear regression assesses the relationship between the dependent variables and expenditures on intangibles like R&D, IT programs and patents. A sample of 42 companies has been selected out of the 78 listed at Bucharest Stock Exchange (BSE), based on the appropriateness of the information disclosed in the financial reports for the period 2016–2019.FindingsThe results show that intangibles classified as innovative competences (R&D and Patents) do not have a positive impact on SGR and FV in listed companies from Romania. Moreover, R&D has a negative and significant effect on FV, while IT Programs have a positive and significant impact on FV, but not on the SGR. Variables categorised as economic competencies (Brands, Shares held in associates and jointly controlled entities) and firm structure-specific variables (Leverage, Firm Performance) seem to have a significant effect on SGR and FV. Shares held in associates and jointly controlled entities is the variable that can have the biggest impact when it comes to FV for companies listed at BSE.Research limitations/implicationsDue to non-disclosure of specific information by some companies, or lack of investments in intangibles the sample had to be reduced and does not cover all listed companies.Practical implicationsCompanies listed on the Regulated Market from the Bucharest Stock Exchange should maintain their scale of liabilities at a reasonable level when financing intangible assets in order to ensure corporate long-term and sustainable development. Also, these companies should maintain awareness about the importance of intangible assets and invest more in specific sub-components, in order to sustain competitive advantage. Recognizing the roles of intangibles, managers need to develop strategies to invest in profitable intangibles by reasonably allocating their limited resources, in order to achieve sustainable growth and increase company success.Originality/valueStudies concerning the relation between investments in intangibles and sustainable growth rate and firm value of listed Romanian companies are very scarce. This paper reveals new research, never before undertaken, concerning expenditures on intangibles by Romanian companies and the valuation of such investments on Bucharest Stock Exchange.

Exploring the impact of intellectual capital on company reputation and performance

2018 ◽  
Vol 19 (5) ◽  
pp. 915-934 ◽  
Author(s):  
Gianluca Ginesti ◽  
Adele Caldarelli ◽  
Annamaria Zampella
Keyword(s):  
Human Capital ◽  
Intellectual Capital ◽  
Corporate Reputation ◽  
Intangible Asset ◽  
Competition Authority ◽  
Data Set ◽  
Content Type ◽  
Capital Efficiency ◽  
And Performance ◽  
The Impact

Purpose The purpose of this paper is to analyse the impact of intellectual capital (IC) on the reputation and performance of Italian companies. Design/methodology/approach The paper exploits a unique data set of 452 non-listed companies that obtained a reputational assessment from the Italian Competition Authority (ICA). To test the hypotheses, this study implemented several regression analyses. Findings Results support the argument that human capital efficiency is a key driver of corporate reputation. Findings also reveal that companies, which obtained reputational rating under ICA scrutiny, show a positive relationship between IC elements and various measures of financial performance. Research limitations/implications The study focuses on a single country; it is not free from the imprecisions of Pulic’s VAIC model. Practical implications This paper recommends companies that are interested to achieve a robust reputation should consider the human capital as a strategic intangible asset. Second, the results suggest that companies with an ICA reputational rating are able to leverage their intangibles to potentiate performance and competitiveness. Originality/value This is the first empirical investigation on the contribution of IC in generating value for corporate reputation. Additionally, the study contributes to the literature on the link between IC and performance by examining a sample of firms not yet explored in prior research.

Intellectual capital: a determinant of firms' operational efficiency

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kanishka Gupta ◽  
T.V. Raman
Keyword(s):  
Intellectual Capital ◽  
Stochastic Frontier Analysis ◽  
Stock Exchange ◽  
Stochastic Frontier ◽  
Value Added ◽  
Financial Sector ◽  
Operational Efficiency ◽  
Content Type ◽  
Frontier Analysis ◽  
The Impact

PurposeIntellectual capital (IC) has been recognized in improving the efficiency of businesses and gaining competitive edge in the developed world. The present study offers perspectives into the effect of IC on the efficiency of the Indian financial sector companies.Design/methodology/approachFor the purpose of evaluating efficiency, the research has used stochastic frontier analysis (SFA). All Indian financial sector companies listed in National Stock Exchange (NSE-500) for the timeframe of ten years (2008–2018) have been considered. The paper has employed modified Pulic's Value Added Intellectual Coefficient (VAICTM) as a proxy to measure IC. Correlation and panel data regression have been used in order to examine the relationship.FindingsThe results of the study indicate positive and significant relationship between IC and efficiency of the firm. The results also show that all the components of IC, that is, human capital, relational capital, process capital and capital employed have a significant impact on firms' efficiency. Additionally, it has been seen that sample companies do not invest in research and development leading to no innovation capital.Practical implicationsThe research will assist managers in managing and controlling the IC, investors in matters related to investment and financial experts in improving the company's IC and value creation.Originality/valueThe current research is one of the pioneering studies in the context of Indian financial sector that examines the impact of modified VAIC on operational efficiency calculated using SFA.

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