Intellectual capital role in formation of a company business model

Intellectual capital role in formation of a company business model

Kseniya Kondrashova

A business model articulates how the company will convert resources and capabilities into economic value. This model makes visible how the company acquires and uses different forms of capital (physical, financial and intellectual) to create value. The implicit view underpinning the top-down approach to business reporting reform is that an organisations business model is central to an integrated reporting framework and that a clear articulation of this model can assist in the identification of unnecessary detailed disclosures.

Intellectual capital, a form of capital of growing importance, refers to intangible resources which create company value by giving the company a competitive.Thus, both the intellectual capital concept and the business model concept concern the transformation of resources (capital) into value

intellectual capital is

defined as the total stock of the collective knowledge, information, technologies, skills, expertise, intellectual property, team management and customer satisfaction that can be used to create organization wealth

submission of individual workers' and organizational knowledge that contribute to sustainable competitive advantage

a set of intangible resources such as capabilities, skills, and competences that drive the organizational performance and value creation

Human Capital

Competence:

Specific Knowledge fields that encompases tacit aspects, Specific abilities that encompases tacit aspects, Brain power or processing capacity (IQ), Empaty, Ability o build personal networks, Ability to participate in (maintain) personal networks, Ability to use (leverage) personal networks.

Attitude:

Behavioral traits including social intelligence, Motivation, Pace sometimes known as sense of urgency,Endurance or perserverance

Intellectual Agility:

Ability to innovate, Ability to imitate, Ability to adapt.

Customer Capital

Structural Capital

Process capital Innovation capital

Operation process of intellectual capital

identification of elements of intellectual capital

creating intellectual component of the company's products. Implementation of intellectual capital value creation chain

generation revenue and profits from the sale of intellectual component

investments in the enhancement and development of intellectual capital

Direction control of intellectual capital management (IC):

IC identification elements;

Policy development of IC;

IC audit;

documentation of the IC;

IC protection;

IC distribution;

enhancement and restoration of IC.

"Skandia Navigator"The software, based on a matrix of 73 indicatorsDirect Intellectual Capital methodsbased on the identification and evaluation of amoney individual assets or individual components of intellectual capitalMarket Capitalization MethodsCalculate the difference between the market capitalization of the company and its shareholders equityReturnon Assetsmethods (ROA)The ratio of the average income before taxes for a certain period to tangible assets - ROA company - compared with the figures for the industry as a wholeScorecard Methods (SC)Identified various components of intangible assets and intellectual capital generated and added indicators and indexes as scoring.

Methods for assessing intellectual capital

There are 7 elements to create a intellectual capital strategy in business model:

Future Competitive Positioning(FCP)

Product Dynamics

Positioning Dynamics

R&D Investment

Technology Dynamics

Competitive Dynamics

Environmental Turbulence

Aggressiveness of firms strategy

The model of intellectual capital development

Conclusion

The role of intellectual capital is undeniable in any business environment. The company determines the vector of its successful strategic development.

The current structure of intellectual capital, which consists of three main elements - human, structural and customer capital, constantly requires new approaches and more accurate accounting of intangible factors of value growth. It should be emphasized that only in the aggregate and in the interaction components of intellectual capital can contribute to the creation of sustainable competitive advantages.

In order to enhance value and achieve sustainable competitive advantages of the corporation should be focused on the effective management of its unique core competencies and dynamic capabilities.