The impact of Intellectual Capital on Firms’ Characteristics: an empirical analysis on European listed manufacturing companies

The paper aims to investigate the level of accumulated digital intellectual capital and investments in digital transformation in the Russian regions and study its impact on the gross regional product and companies’ revenue, as well as on the innovative activity of companies. The study relies on the multiple regression method to find significant relationships between digitalization and performance indicators in 85 Russian regions and cities of federal significance. The originality of the approach used in this study lies in the development of the digital capital theory: the authors assess the impact of accumulated digital intellectual capital and investment on the performance of manufacturing and service companies and show the difference in return on investment between sectors. The results of the study show that though Russian regions are at the initial stage of the digital economy development, digitalization has a significant positive impact on the financial and innovative performance. Manufacturing companies primarily use structural capital to create customer value. Service-oriented companies also receive a positive return on investment in human and relational capital. The results obtained can be applied in practice by the business community to support investment decisions and analyse the processes of creating digital intellectual capital in companies.

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Intellectual Capital and Capital Structure Effect on Firms’ Financial Performances

Journal of Accounting Research, Organization and Economics ◽

10.24815/jaroe.v3i2.17258 ◽

2020 ◽

Vol 3 (2) ◽

pp. 127-138

Author(s):

Ani Wilujeng Suryani ◽

Alfin Nadhiroh

Keyword(s):

Capital Structure ◽

Financial Performance ◽

Intellectual Capital ◽

Financial Distress ◽

Least Square ◽

Manufacturing Companies ◽

Negative Effect ◽

Asean Economic Community ◽

Fierce Competition ◽

The Impact

Objective – This study aims to determine the influence of intellectual capital and capital structure on financial performance in manufacturing companies in Indonesia. Design/methodology – The data were collected from all 140 manufacturing companies from 2015 to 2019. While most studies of intellectual capital were conducted by using multiple regression analysis, we investigate the impact of intellectual capital and capital structure on the financial performance by using weighted least square regression.Results – The results showed that intellectual capital has a significant positive effect on firms’ financial performances, but the capital structure has a negative effect. The results of this study are beneficial for managers to consider increasing intellectual capital to create a competitive advantage in the midst of fierce competition of the ASEAN Economic Community era. In addition, managers need to consider the optimum capital structure to fulfill funding needs, hence financial distress can be minimized.Limitation/Suggestion - This study is a quantitative study limited to the availability of the data. Also, a number of outliers were found in the data and treated prior to the analysis.

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Academics in manufacturing companies: Empirical analysis of publication activity and export quality

Voprosy Ekonomiki ◽

10.32609/0042-8736-2020-2-125-140 ◽

2020 ◽

pp. 125-140

Author(s):

Anna A. Fedyunina ◽

Yana Y. Gerina ◽

Yuliya V. Averyanova

Keyword(s):

Empirical Analysis ◽

Absorptive Capacity ◽

Empirical Literature ◽

Manufacturing Companies ◽

Research Activities ◽

Diffusion Of Knowledge ◽

New Knowledge ◽

Commodity Space ◽

The Impact ◽

First Time

This paper shows, for the first time in empirical literature, that the presence of employees from academia in the firm, regardless of their participation in the firm’s research activities, reflects the skills of the firm to learn and acquire new knowledge or, put differently, its absorptive capacity. It is assumed that the higher absorptive capacity act as a mechanism that determines the impact of scientists on the productivity of the firm. The hypothesis that there is an inter-firm diffusion of knowledge in the commodity space is also being tested: firms with similar commodity structures are more likely to hire scientists. Hypotheses are tested on the example of a sample of small and medium-sized Russian firms-exporters, for which absorptive capacity is particularly important.

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Intellectual Capital, Financial Performance and Companies’ Sustainable Growth: Evidence from the Korean Manufacturing Industry

Sustainability ◽

10.3390/su10124651 ◽

2018 ◽

Vol 10 (12) ◽

pp. 4651 ◽

Cited By ~ 32

Author(s):

Jian Xu ◽

Binghan Wang

Keyword(s):

Financial Performance ◽

Intellectual Capital ◽

Manufacturing Industry ◽

Positive Impact ◽

Stock Exchange ◽

Influencing Factor ◽

Physical Capital ◽

Sustainable Growth ◽

Manufacturing Companies ◽

The Impact

Intellectual capital (IC) is considered to be a wealth generator and driver of financial performance thus creating competitive advantage and sustainability in business. This paper empirically investigates the impact of IC on financial performance and sustainable growth in the Korean manufacturing industry. Multiple regression models are applied with data collected from 390 manufacturing companies listed on the Korean Stock Exchange during 2012–2016. The results of the analysis show that IC has a positive impact on financial performance and companies’ sustainable growth. In addition, companies’ performance and sustainable growth are positively related to physical capital, human capital (HC), and relational capital (RC). RC is found to be the most influencing factor. Finally, innovative capital captures additional information on structural capital (SC) which negatively affects the performance of Korean manufacturing companies. The results extend the understanding of IC in creating corporate value and building sustainable advantages in emerging economies.

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Corporate Social Responsibility and Financial Performance: Moderating Role of Intellectual Capital

International Journal of Social and Local Economic Governance ◽

10.21776/ub.ijleg.2019.005.01.1 ◽

2019 ◽

Vol 5 (1) ◽

pp. 1-11

Author(s):

Achmad Iqbal ◽

Sutrisno T ◽

Roekhudin Roekhudin

Keyword(s):

Corporate Social Responsibility ◽

Social Responsibility ◽

Intellectual Capital ◽

Corporate Performance ◽

Observation Data ◽

Company Performance ◽

Manufacturing Companies ◽

Corporate Social ◽

The Impact

This study aims to examine the impact of corporate social responsibility (CSR) on corporate performance in Indonesia and examine the role of intellectual capital as a moderating variable that can increase the influence of CSR on company performance. Hierarchical regression analysis is used to test the effect of CSR on performance and test intellectual capital as a moderating variable that can increase the influence of CSR on corporate performance. This study uses 147 samples of observation data from manufacturing companies listed on the Indonesia Stock Exchange (IDX) during the year 2013-2015. The results showed that CSR has an effect on company performance as measured by Return on Asset (ROA). The higher CSR disclosures made by the company then can improve the company's performance (ROA). The results of this study also show that intellectual capital as a moderation variable is proven empirically able to increase the influence of CSR on company performance. These results indicate that the improvement of intellectual capital of the company including human capital, relational capital, and structural capital can increase the influence of CSR on company performance (ROA).

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Audit Committee Characteristics and their Impact on Intellectual Capital Disclosure: A Study of Listed Manufacturing Companies in Sri Lanka

Asia-Pacific Management Accounting Journal ◽

10.24191/apmaj.v14i1-07 ◽

2019 ◽

Vol 14 (1) ◽

pp. 135-149

Author(s):

Nimalathasan Balasundaram ◽

Keyword(s):

Sri Lanka ◽

Intellectual Capital ◽

Audit Committee ◽

Stock Exchange ◽

Listed Companies ◽

Annual Reports ◽

Global Reporting Initiative ◽

Sri Lankan ◽

Manufacturing Companies ◽

The Impact

In the today’s knowledge based economy, intellectual capital (IC) is considered as a strategic asset which determines the value of the company. Different practices of disclosing IC information in annual reports that do not show the real financial position of a company, is a main problem in Sri Lankan companies. The objective of this study was to find out the impact of audit committee characteristics on Intellectual Capital Disclosure (ICD) of listed companies on the Colombo Stock Exchange (CSE) for a period of five- years from 2012/2013 to 2017/2018. The ICD index comprised of 30 items in terms of Relational Capital Disclosure (RCD), Structural Capital Disclosure (SCD) and Human Capital Disclosure (HCD). The data was analyzed using correlations and regression analysis. Most of the Sri Lankan Listed companies disclosed ICD in text, sentences, pictures, tables and graphs in line with the Global Reporting Initiative (GRI) guidelines in their annual reports. ICD was measured by a disclosure index score. The independent variables comprised various forms of audit committee characteristics: audit committee size, frequency of audit committee meetings and audit committee independence. The study confirms that the size of the audit committee and audit committee meetings are important attributes to explain ICD in Sri Lanka. However, the study found a negative significant relationship between ICD and audit committee independence. Keywords: audit committee independence, audit committee meeting, audit committee size, intellectual capital disclosure

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Evaluating the innovation of the Internet of Things: empirical evidence from the Intellectual Capital assessment

Business Process Management Journal ◽

10.1108/bpmj-05-2015-0077 ◽

2016 ◽

Vol 22 (2) ◽

Cited By ~ 27

Author(s):

Alan Murray ◽

Armando Papa ◽

Benedetta Cuozzo ◽

Giuseppe Russo

Keyword(s):

Internet Of Things ◽

Empirical Analysis ◽

Intellectual Capital ◽

High Intensity ◽

Design Methodology ◽

Economic Value ◽

Value Added ◽

The Internet ◽

The Impact ◽

The Internet Of Things

Purpose The Internet of Things represents the network connection of people, processes, data and things. Due to the relevant position that this intelligent infrastructure is acquiring, the goal of the paper is to investigate the effects of Internet of Things on the companies’ value, with specific reference to the Intellectual Capital value. Design/methodology/approach The methodology is based on a single case study approach with an empirical analysis which aims to analyse whether and how the introduction of the Internet of Things’ innovations influences the value of the Intellectual Capital owned by a company. The evaluation method used for the empirical analysis is the Economic Value Added (EVA). The application is carried out on the company “Cisco Systems Inc.” by analysing the company’s financial reports covering the period 2007-2014. Findings The paper demonstrates the impact of the innovation of Internet of Things on Intellectual Capital owned by a high intensity cognitive company by determining its economic value. The results demonstrate that the introduction of projects involving the use of the Internet of Things has increased the value of Intellectual Capital over the years. Originality/value As the Internet of Things can guarantee efficiency, social and individual benefits, the effects of the Internet of Things on company performance and, particularly, on intangible corporate dimensions are analysed. Hence, the paper is directed to fill the literature gap on the analysis and evaluation of the Internet of Things’ impact on Intellectual Capital owned by high intensity cognitive companies. The research proposes strategic advice for decision making of companies interested in new technology investments.

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The impact of managerial ownership, institutional ownership, proportion of independent commissioner, and intellectual capital on financial distress

Journal of Economics Business and Accountancy Ventura ◽

10.14414/jebav.v21i3.1233 ◽

2019 ◽

Vol 21 (3) ◽

pp. 351

Author(s):

I Kadek Widhiadnyana ◽

Ni Made Dwi Ratnadi

Keyword(s):

Intellectual Capital ◽

Financial Distress ◽

Stock Exchange ◽

Multinomial Logistic Regression ◽

Institutional Ownership ◽

Managerial Ownership ◽

Manufacturing Companies ◽

Financial Reports ◽

Negative Effect ◽

The Impact

Financial distress is a phase of the decline in the financial condition experienced by a company before the bankruptcy or liquidation occurs. One of the causes of financial distress is the company’s operating losses, caused its operating cash flow to be negative. During 2014-2016, there was 24 percent of manufacturing companies listed in Indonesia Stock Exchange (BEI) that has a negative pretax profit. The purpose of this study was to obtain empirical evidence of the effect of managerial ownership, institutional ownership, the proportion of independent commissioner board, and intellectual capital on financial distress. The population of this research is all of manufacturing companies listed on Indonesian Stock Exchange (IDX) on 2014-2016. The sample was taken using a non-probability sampling with a saturated sample technique. The numbers of samples analyzed were 423 financial reports of manufacturing companies published on IDX during 2014-2016. The analysis technique used in this research is multinomial logistic regression. It was found that managerial ownership has a negative effect on financial distress, institutional ownership has a negative effect on financial distress, proportion of independent commissioner has a positive effect on financial distress, and intellectual capital has a negative effect on financial distress.

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Pengaruh Intellectual Capital Dan Pengungkapan Corporate Social Responsibility Terhadap Return Saham

Equilibrium: Jurnal Ekonomi-Manajemen-Akuntansi ◽

10.30742/equilibrium.v17i1.1449 ◽

2021 ◽

Vol 17 (1) ◽

pp. 68

Author(s):

Amelia Septiana ◽

Sukamto Sukamto ◽

Wiwin Wahyuni

Keyword(s):

Corporate Social Responsibility ◽

Social Responsibility ◽

Stock Returns ◽

Intellectual Capital ◽

Value Added ◽

Manufacturing Companies ◽

Substantial Impact ◽

Corporate Social Responsibility Disclosure ◽

Corporate Social ◽

The Impact

This research aimed to look at the impact of Intellectual Capital and Corporate Social Responsibility Disclosure on the stock returns of manufacturing companies. Intellectual Capital, as measured by the Public-VAIC (Value Added Intellectual Coefficient) model of the company's three key resources (human capital, structural capital, and customer capital), and Corporate Social Responsibility Transparency, as measured by the CSRDI, were the independent variables in this analysis. Stock Return is the dependent variable. An empirical study is what this form of research is. Purposive sampling is used to pick the samples. In this analysis, 80 manufacturing companies that were listed on the Indonesia Stock Exchange (IDX) in 2018 were used as a sample. The findings revealed that Intellectual Capital had a substantial impact on stock returns, while Corporate Social Responsibility Disclosure had no impact.

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