Intellectual capital and financial performance: an evaluation of the Australian financial sector

By Mahesh Chandra Joshi, D. Cahill, J. Sidhu, Monika Kansal. 2013

345 citations recorded by the source corpus.

Purpose – The purpose of this paper is to examine the intellectual capital (IC) performance of the Australian Financial Sector for the period 2006‐2008. It also aims to examine the relationship between IC performance and the financial performance of the financial sector.Design/methodology/approach – The value added intellectual coefficient (VAIC) approach developed by Pulic is used to determine the IC performance of the Australian financial sector. The required data to calculate different constituents of IC was obtained from the annual reports of Australian Financial Sector companies.Findings – The value creation capability of financial sector in Australia is highly influenced by human capital. About two thirds of the sample companies have very low levels of intellectual capital efficiency. The performance of various components of VAIC and overall VAIC differs across all subsectors in the financial sector. Investment companies have high value VAIC due to higher a level of human capital efficiency, as comp...

Subfields: Clinical Psychology, Electronic, Optical and Magnetic Materials, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/266e6cdad41411bcf7807eb3a408f26b748e8fc3

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Clinical Psychology

1. Z¨¦lia Serrasqueiro
2. Filipe Sardo
3. Ruzita Jusoh
4. Kaveh Asiaei
5. Neha Smriti
6. Nick Bontis
7. N. Das

In Electronic, Optical and Magnetic Materials

1. Neha Smriti
2. N. Das
3. Ruzita Jusoh
4. Kaveh Asiaei
5. Z¨¦lia Serrasqueiro
6. Nick Bontis
7. Filipe Sardo
8. Jian Xu

In Strategy and Management

1. Ruzita Jusoh
2. Neha Smriti
3. N. Das
4. Kaveh Asiaei
5. Z¨¦lia Serrasqueiro
6. Filipe Sardo
7. Helena Alves
8. Sinan Cakan

Citations in the corpus

• Determinants of financial performance of Islamic banks: An intellectual capital perspective (2017, neutral): “Despite these flaws, IC studies have continued to utilised the concept of VAIC (Goh, 2005; Kamath, 2007; Joshi et al., 2013; Nimtrakoon, 2015) and scholars still appreciate VAIC methodology (Andriessen, 2004; Bontis, 2001).”
• Intellectual capital and performance measurement systems in Iran (2018, background): “On the other hand, other studies have revealed that there is no association between specific components of IC and performance ( Joshi et al., 2013; Fernandes et al., 2005).”
• The impact of intellectual capital on firm performance: a study of Indian firms listed in COSPI (2018, methodology): “VAIC has been used in a number of studies as an indicator for VA by IC coefficient (Mavridis, 2004; Kamath, 2008; Joshi et al., 2013; Purohit and Tondon, 2015).”
• On the relationship between intellectual capital and financial performance: A panel data analysis on SME hotels (2018, background): “IC literature lacks studies in tourism industry, since the majority of the studies in the services industry have mainly focused on financial and insurance sectors (Alhassan and Asare, 2016; Curado, 2008; Isanzu, 2016; Joshi et al., 2013; Kamath, 2007; Meles et al., 2016; Mondal and Ghosh, 2012; Ousa”
• Intellectual capital and financial performance: A study of the Turkish Banking Sector (2017, methodology): “This result proves that the components of VAIC are better at explaining the profitability of banks than the VAIC alone (Chen et al., 2005; Joshi et al., 2013; Ku Ismail & Karem, 2011).”