Financial Performance and Intellectual Capital Efficiency: A Corporate Level Analysis - Softcover

Makki, Muhammad; Lodhi, Suleman

Softcover

ISBN 10: 3639261763 ISBN 13: 9783639261769

Publisher: VDM Verlag Dr. Müller, 2010

Synopsis

The real challenge for organizations in knowledge intensive free market economy is not to employ more intellectual capital, but to enhance its value creation efficiency through better utilization of its components i.e. Human Capital, Structural Capital and Relational Capital to achieve maximum financial performance. The study explores the relationship between Intellectual Capital efficiency using Value Added Intellectual Coefficient (VAIC) methodology and profitability of a firm by applying multiple regression techniques. Findings show that financial performance of an organization can be improved through enhancing intellectual capital efficiency. A new management approach is needed that considers IC performance as better measure of evaluating organizations rather than focusing on traditional approach of net profitability in isolation. We hope that the book shall be very useful for CEOs, human resource experts in public and corporate sector, potential investors, fund managers and financial analysts for developing portfolios.

Edition details

• Publisher: VDM Verlag Dr. Müller
• Publication date: 2010
• Language: English
• ISBN 10: 3639261763
• ISBN 13: 9783639261769
• Binding: Paperback
• Number of pages: 116