Intellectual Capital And Corporate Performance In Nigeria

Knowledge is considered as one of the most important and competitive resource for sustenance of the organisation (Zack, 1999). It can be compared to the strategic resource that can be used and applied in various frames of the organisation. Experienced managers in the organisations believe that company can receive strategic advantage through knowledge and not the strategies or actions implemented by competitors. Knowledge can be regarded as a strong approach that opens numerous ways of success. It is that weapon that help organisation to evaluate solutions in financial and other professional difficulties.

The Article ‘The Competitive Imperative of Learning’ by Amy C. Edmondson concerns an approach to the execution of a company, in which learning is central. This approach, called execution-as-learning, is regarding the evaluation of the company’s activities, and subsequently finding methods to improve on its failures, as it will provide success in the long term. This is significant, because a perfect execution of company’s activities does not assure lasting success, and especially not in the knowledge economy. Since the knowledge economy is constantly changing, companies should adapt their approaches in regard to the execution to the economy by learning and innovating, so that they will not fall behind. Execution-as-learning is the counterpart of the execution-as-efficiency approach, which does not focus on improving the execution, but being as successful as possible. However, this approach does not assure success in the long run. The execution-as-learning approach consists of four steps, which makes learning a key factor in companies.

Information-based strategy (IBS) allowed Capital One to achieved competitive advantages in credit card industry. And it is mainly relied on information and data gathered. The following discussed the consequences for expansion into different segments of the credit card industry.

Structure capital defines the institutional knowledge and experience codified in databases, routines, procedures, and organization structures. Examples of structure capital in healthcare are a vision, mission, values, strategic plan, programs, tools, and information systems, ways of working together, best practices, and routines. This capital refers dimension of culture, access to information, information technology, external environment, and internal processes. For instance, numerous systems represent structure capital such as a certified quality management system and software for evidence-based medicine. According to the intellectual capital in a healthcare industry in Taiwan, organizational capital plays a crucial role to drive organizational performance. Study results illustrate employee recruiting and selection, including healthy and safe working highly relevant to the performance. Also, health and safety environment is related to organizational strategy, structure, and system in the healthcare industry. Furthermore, the result from the knowledge management enabled performance for hospital professionals shows critical process capabilities determine the success of a hospital.

Both Maggie and Reuben agree that measuring the value of IT is a difficult task, however, they also agree that IT does add value by generating core capabilities that provide the firm with competitive advantage and business agility. Reuben also mentions that sometimes investment in IT is necessary to stay in business, for regulatory requirements or for strategic positioning and that the returns from such investments aren’t necessarily direct.

To address this deficiency, the Basel Committee on Banking Supervision (BCBS) proposed the post-crisis regulatory capital framework - Basel III, aimed to improve both the quantity and quality of banking organisations regulatory capital and to build additional capacity for loss absorbency into the banking system to withstand markets and economic shocks (BCBS). The importance of capital to a banking organisation cannot be overemphasised, the amount of capital held by a bank determine: (i) the level risk the bank can enter into. (ii) Loss absorbency capacity. (III) The profitability level. (iv) The cost of fund. (v) Investors' confidence, and (vi) the going - concern of the bank. It is vital that banking organisations are able to maintain a balance between their capital risk portfolios. As a result, banks tend to adjust their balance sheet components to achieve an internally set capital

Intellectual capital (IC) and knowledge management (KM) have become critical buzzwords in the business lexicon. This is particularly true of companies such as Riordan Manufacturing, a company which produces high-tech, cutting edge materials for the plastics industry and sells them to a variety of firms around the world. This paper will survey how Riordan currently deploys these concepts and also explore potential areas for future improvement.

The importance of Intellectual Capital information (IC) has been increased in the current economic. It refers to intangible resources which create company value (Ashton, 2005). Human capital, structural capital and relational capital are the main categories of IC (Meritum 2002). There are some factors of the IC, such as employee knowledge and innovative capacities (Usoff, Thibodeau, Burnaby; 2002). This is an “unrecorded value” of an company which is not shown

established firms. Third, the domain relates to the degree of accessibility of knowledge (Malerba and Orsenigo,

Nevertheless, other researchers propose a more detailed view of factors constituting a knowledge intensive organization. Such includes the employment of a large proportion of employees trading primarily in knowledge, through the creative generation and usage of knowledge to deliver complex and unique products and/or services(Blackler, 1995; Karreman et al., 2002). Physical manifestations of knowledge intensiveness has also been observed in firms, through increased decentralization and flatter organizational structures(Grey and Sturdy,

Knowledge management focuses on the process undertaken within an organization structures and intellectual capital on the other hand focuses on a company’s entire operation (cima)

Accenture is a global management consulting, technology services and outsourcing company, the KM focus is on obtaining and synthesizing intellectual capital to maximize decision-making and innovation across diverse functions and disparate locations, thus enabling the clients to become high-performance businesses and governments. Far more than a cluster of simple processes, the KM program is also about developing and rewarding a culture of knowledge-sharing – encouraging collaboration among their people to problem solve and build capabilities, regardless of their location.

BEING A RESEARCH PROJECT SUBMITTED TO THE DEPARTMENT OF ACCOUNTING, FACULTY OF MANAGEMENT SCIENCES, UNIVERSITY OF ABUJA, ABUJA, NIGERIA

In today’s knowledge-based economy, innovation has become the principal source of competitive advantages in global business; the success of firms now depends more on their intelligence capability – such as employee creativity – than traditional material assets (Amabile et al., as cited in Zhou, Zhang & Montoro-Sa ́nchez, 2011). The creative capability of individual and collective knowledge workers is the fuel that powers innovation in firms. While creativity leads to the production of new and useful ideas in any domain, innovation is the successful implementation of those creative ideas within an organisation (McLean, as cited in Zhou, Zhang & Montoro-Sa ́nchez 2011). In highly dynamic business environments innovation and creativity have become crucial for creating competitive advantages for the

In this global and increasingly knowledge-based society, the principal asset for organizations in both the public and private sectors is knowledge. To survive in the face of such global competitions, organizations increasingly depend on their ability to transform information into knowledge as the basis of competitiveness, decision-making and the production of new products and services. There for Knowledge Management (KM) can act as the process of capturing, developing, sharing, and effectively using organizational knowledge (Davenport, 1994). The ultimate goal of KM is to increase the effectiveness and the sustainability of growth of an organization. Although KM was originally develop to fit the needs of for-profit companies, but its practice has been spread over to the non-profit sector including LIS. Shanhong (2000) suggests that the objective of knowledge Management in libraries is to promote knowledge innovation, closer relationships in and between libraries, and between a library and its users, to strengthen knowledge inter-networking and to quicken knowledge flow. For some in the LIS community, KM is simply a case of "new wine in old bottles" or of "librarianship in new clothes", and more controversially, as nothing more than information management (Koenig, 1997; Rowley, 2003; Schwarzwalder, 1999; Wilson, 2002).