Intellectual capital: an exploratory study that develops measures and models

Type Journal
Author(s) Bontis,N.
Publication year 1998
Notes ID: BONTIS1998; A theme emrging from the 'new workplace' literature, even if examples are poorly documented, is the increased rate of corporate learning and innovation (e.g. Horgen, 1999). A largely separate school of 'knowledge management' would see this as enhancing an organisation's ability to create intellectual capital. It accordingly becomes of interest to the real estate or facilities professional to consider how, and if, the organisation can measure such intellectual capital. Bontis reports on a first statistical test to address perceptions of an organisations practice in creating human capital (a pool of knowledge), customer capital (a pool of good will / brand loyalty), a pool of structural capital (effective processes) and of its relative performance. In itself this is an interesting exploration of a new research area. Of more benefit to users of this database is likely to be Bontis' review of Inellectual Capital and its measurement by 'Tobin's q'; the ratio of market value to the replacement or book value of the organisations assets. Microsoft for example had, in 1997, a market value of $70bn and a book value of $7bn: a Tobin q of 9. Where organisations hold property as a significant portion of their corporate assets the possibility of a measure of the financial leverage made from those assets suggets itself.$ $
Publication Management Decision
Volume 36
Issue 2
Start page 63
End page 76
Availability online
Relevance to practice High
Ease of application Moderate
Stage of application Ownership
Evidence base Low
Readability Moderate

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