Title: Indicators and standards for measuring intellectual capital of companies in the emerging industry: exemplified by biopharmaceutical companies

Authors: Pei-Ju Liao, Chien-Hao Huang, Kuang-Hung Hsu

Addresses: Graduate Institute of Business and Management, Chang Gung University, 259 Wen-Hwa 1st Rd., Kwei-Shan, Taoyuan 333, Taiwan. ' 12F-1, No. 83, Sec. 2, Tung-Ta Rd., Hsinchu 302, Taiwan. ' Department of Health Care Management, Chang Gung University, 259 Wen-Hwa 1st Rd., Kwei-Shan, Taoyuan 333, Taiwan

Abstract: Under high uncertainty circumstance, valuating the intangible assets of biotech companies is a vital task. This study explores indicators and standards for measuring the intellectual capital (IC) of a sub-biotech industry, biopharmaceuticals, in Taiwan. The methodology of measurement construction was used to generate innovative indicators and standards for IC measurement. Forty nine items in three IC dimensions, including human capital, structural capital and relational capital, were constructed based on interviews with 20 CEOs or senior managers in biopharmaceutical companies. The measurement was found to be different for companies at different developmental stages and has potential for longitudinal use.

Keywords: intellectual capital; intangible assets; human capital; structural capital; relational capital; biotechnology industry; biopharmaceuticals; indicators; emerging industries; uncertainty; biotech companies; Taiwan; measurement construction; CEOs; chief executive officers; senior managers; services; standards.

DOI: 10.1504/IJSS.2010.038670

International Journal of Services and Standards, 2010 Vol.6 No.3/4, pp.221 - 235

Published online: 18 Feb 2011 *

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