Academic journal article Business: Theory and Practice

Assessment of Intellectual Capital in Joint-Stock companies/Intelektinio Kapitalo Jvertinimas Akcinese Bendrovese

Academic journal article Business: Theory and Practice

Assessment of Intellectual Capital in Joint-Stock companies/Intelektinio Kapitalo Jvertinimas Akcinese Bendrovese

Article excerpt

1. Introduction

The concept of intellectual capital is widely investigated and scientists are trying to identify its main features and functions. Many authors (Narula, Dunning 2000; Enright 2009; Bontis 1998; Bontis et al. 2000; Marr et al. 2003; Huang et al. 2007; Cabrita, Bontis 2008; Cater, T., Cater, B. 2009; Liu et al. 2009; Sharabati et al. 2010; Vargas-Hernandez, Noruzi 2010; Zeghal, Maalooul 2010; Peppard, Rylander 2001; Rylander, Peppard 2003; Tseng, Goo 2005; Liang et al. 2013) indicate that intellectual capital is closely related to value creation and positively affects business activity. It is believed that the importance of knowledge is overtaking the position of the significance of tangible assets. The joint-stock companies are those units, which usually are brought together by different shareholders and owned by every shareholder depending on the size of the share. Certificates of ownership are basically proportions of a respective company. If the board of owners is considerable, a strong management system must be implemented in order to reach the goals established by owners. New economic system is taking place nowadays and this Knowledge Economy has brought about the importance of knowledge and understanding that intangible assets are valuable and they foster the activity of the joint-stock companies. Intellectual capital can be considered as a part of intangible assets that positively affect the value added not only in various joint-stock companies, but also in every company or business entity. The structure of intellectual capital is discussed in many scientific papers by various authors and can be understood as the sum of different factors. As a consequence the scientific problem arises--what intellectual capital factors influence value added in joint-stock companies' the most? Due to differences and discrepancies in authors' points of view and perspectives it is needed to define intellectual capital itself at first. The main objective of this scientific paper is to present the intellectual capital approach increasing value added in joint-stock companies. This objective is achieved through the analysis of intellectual capital. In addition to this, the relation between intellectual capital and value added of a joint-stock company is investigated and the model is created in order to visualise the process of value creation in a joint-stock company. The object of this research is intellectual capital and its' influence on a joint-stock company's value added. The research's purpose is to evaluate intellectual capital factors influencing joint-stock companies' value added. The methods used are as follows: analysis of scientific literature, trial expert evaluation, average comparison method, and Kendall's coefficient of concordance.

2. The approach to intellectual capital increasing value added in joint-stock companies

Intellectual capital is the concept without any clear guidance as to what exactly it is and what structure it has. Nevertheless, it is agreed that intellectual capital is an intangible concept, which is difficult to define and evaluate. It is also agreed that intellectual capital is observed as a value driver of company's successful activity and performance. Joint-stock companies have a huge quantity of intellectual capital and the potential not just to maintain it, but also to strengthen and develop it more. Intellectual capital can be understood as the economic value of intangible assets of a company. In this case company is perceived in general.

The ability to foster and increase the value added in joint-stock companies is one of the most important intellectual capital functions. Authors (Brooking 1996; Saint-Onge 1996; Robinson, Kleiner 1996; Stewart 1997; Sveiby 1997; Edvinsson, Malone 1997; Roos et al. 1998; O'Donnell, O'Regan 2000; Bontis et al. 2000; Petty, Guthrie 2000; Chatzkel 2002; Tseng, Goo 2005) emphasize that intellectual capital is the total amount of intangible capital of a company, which significantly increases the value added of the respective company. …

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