International Journal of Learning and Intellectual Capital (20 papers in press)

Regular Issues

• Organisational commitment in higher educational institutions: role of leadership and job characteristics  
  by Amar Kumar Mishra, Anjali Rai, Girish Lakhera, Rajesh Kumar Upadhyay 
  Abstract: The need for institutions of higher education (HEI) has increased manifold in recent times in developing nations like India. The need, demand, and importance saw a mushrooming of HEIs in India in the first decade of this century. However, the survival of many of such institutions is at stake owing to lack of a committed workforce. The situation is graver in the hill states of India where the climate is ardent, infrastructure is poor and opportunities for growth and development are less. Many employees in these places leave their organisations in search of greener pasture in cozy developed metropolitan cities of plains. There is a dearth of employees having voluntary commitment in such places. HEIs in Uttrakhand (a hilly state in the North India) too are coping with the same menace. There is a dearth of committed employees. Commitment however cannot be developed overnight and requires transformational leadership and motivational job characteristics. In this study, role of transformational leadership (TL) and job characteristics (JC) in fostering organisational commitment (OC) in Higher Educational Institutions of Uttarakhand, India has been examined.
  Keywords: transformational leadership; organisational commitment; job characteristics; higher educational institutions.
  DOI: 10.1504/IJLIC.2021.10039224
   
  
• The association between human capital efficiency and credit risk of Indian banks: a change point analysis  
  by Santi Gopal Maji, Mitra Goswami 
  Abstract: The aim of this paper is to identify the structural break in the distribution of credit risk in Indian banking sector and highlight the importance of human capital in managing credit risk during pre and post change period after controlling the influence of bank specific and macroeconomic factors. The study is based on secondary data of listed Indian commercial banks over a period of 15 years from 19992000 to 20132014. Change point analysis is used to identify structural break in the credit risk. Human capital efficiency (HCE) is measured by employing VAICTM model. The Panel data regression results for pre change period reveal no significant association between HCE and credit risk. However, in post change period, a negative impact of HCE on credit risk is observed. This paper is helpful for policy implications as the results demonstrate that banks can reduce credit risk by enhancing the efficiency of human resources.
  Keywords: credit risk; human capital efficiency; HCE; change point analysis; Indian banks.
  DOI: 10.1504/IJLIC.2021.10039336
   
  
• The influence of intellectual capital on the Indian firms financial performance  
  by Faizi Weqar, S.M. Imamul Haque 
  Abstract: This paper aimed to examine the effect of intellectual capital (IC) and its dimensions on the financial performance of Indian firms. The data of 88 Indian firms engaged in tea packaging, selling, and distribution for the six years from 2013 to 2018 were extracted. Value added intellectual coefficient (VAICTM) methodology forms the basis for quantifying the firms IC performance. By applying the fixed-effect regression analysis, the result shows that IC significantly enhances the profitability and productivity of the Indian tea industry. Likewise, among the three components of VAIC, capital employed efficiency (CEE) plays the most vital role in improving the financial performance of the Indian tea industry, followed by structural capital efficiency (SCE). Human capital efficiency (HCE), the third component of IC efficiency, shows a significant positive influence on profitability and a substantial negative impact on the firms productivity.
  Keywords: intellectual capital; profitability; productivity; financial performance; VAIC; Indian tea industry.
  DOI: 10.1504/IJLIC.2021.10039514
   
  
• Ownership structure and intellectual capital: empirical evidence for Jordanian listed firms  
  by Ghassan H. Mardini, Amneh Alkurdi, Mahmoud M. Karasneh 
  Abstract: The main objective of the current study is to examine the impact of ownership structure on intellectual capital (IC) disclosures from a stakeholder theory perspective. The current study employs a disclosure index approach to examine the extent of structural and relational capital disclosures of Jordanian listed firms with data from 2012 to 2018. Ordinary least squares regression models for structural capital, relational capital, and overall IC disclosures are employed. The findings show a negative significant impact of management ownership on relational capital disclosures, a positive impact of foreign ownership on relational and overall IC disclosures, and a positive impact of institutional ownership on all three IC models. Hence, our study suggests that managers are not inclined to provide relational capital disclosures for the benefit of stakeholders. Moreover, it suggests that foreign investors require lower information asymmetry, which leads to measures being taken to enhance IC practices. We believe that our study adds knowledge to the current IC literature since it provides empirical evidence concerning knowledge-based IC disclosures in emerging markets such as Jordan.
  Keywords: intellectual capital; ownership structure; Jordan; developing countries; emerging markets.
  DOI: 10.1504/IJLIC.2021.10039936
   
  
• Talent development towards an inclusive equitable society: a dearth of knowledge  
  by Maniam Kaliannan, Darshana Darmalinggam, Magiswary Dorasamy, Patricia Ordóñez De Pablos 
  Abstract: Most organisations adopt exclusive talent management practices. Only the selected few key employees are recognised as talent and given development opportunities with special reward packages to motivate and retain them within the organisation. This has left other employees especially those from lower-level management positions without talent development plans. In Malaysia, this group is known as B40 and most of them are young youth employees employed primarily in SMEs. The B40 group of employees are those with low household income and lack talent development opportunities. Relevant stakeholders should manage this B40 group to ensure provision to proper talent and career development plans. However, this can be challenging given the limited knowledge on inclusive talent development. Thus, this paper seeks to address the dearth of knowledge on inclusive talent development, a key talent management tool within the context of Malaysia’s B40 group towards attaining an inclusive equitable society.
  Keywords: talent development; inclusiveness; equitable society; dearth of knowledge; talent management.
  DOI: 10.1504/IJLIC.2021.10039938
   
  
• Effect of intellectual capital on the business performance of SMEs in Malaysia  
  by Muhammad Khalique, Mohd Rafi Bin Yaacob, Muhammad Khalilur Rahman, Adams Adeiza 
  Abstract: The research intended to investigate the effect of intellectual capital on the business performance of SMEs functioning in Penang Malaysia. The data were gathered through structured questionnaire survey forms. Participants for this study were selected through purposive sampling technique. In this study, 154 individuals were involved to test the six proposed research hypotheses. Multiple regression was used to examine the proposed research prepositions. The empirical findings expressed that four research hypotheses were supported and two hypotheses were not supported. The findings of this study reported that IC is very important for the success of SMEs. This study will provides awareness to SMEs to identify and capitalise their intellectual capital to get competitive advantages. This study will also provide guidelines to the policy makers. This study offers new avenues for future investigators to conduct their studies in various sectors to examine the impact of intellectual capital on performance of SMEs.
  Keywords: intellectual capital; hotel industry; digital economy; business performance; small and medium enterprises; SMEs; Malaysia.
  DOI: 10.1504/IJLIC.2021.10040178
   
  
• Transformational leadership and employee retention: a moderated mediation model of intrinsic motivation and perceived organisational support  
  by Chhavi Krishna, Rajesh Kumar Upadhyay, Khaliq Rehman Ansari, Veeralakshmi Babu 
  Abstract: Employment efficiency can only be maximised if administrators of an organisation are willing to utilise productive human resources to transform their human capital. Perceived organisational support (POS) relates to the mutual beliefs of staff of an enterprise as to how the business values their interests and expectations for health. As workers are open to different challenges and possibilities, they continue to work meaningfully and benefit from their careers. Transformational leadership’s impact on Employee retention in education institutions in Uttarakhand, India, is investigated through the mediation effects of staff morale and the moderating influence of perceived organisational support in the current investigation. The research has several significant consequences. Firstly, the correlation between Employee retention and Transformational leadership, Transformational leadership and perceived organisational support is statistically relevant. Secondly, it is found that if successfully applied, Transformational leadership may contribute to improved retention of workers and promote the retention of the institutions’ best assets.
  Keywords: employee retention; ER; transformational leadership; TL; employee motivation; EM; perceived organisational support; POS; human resource management.
  DOI: 10.1504/IJLIC.2021.10040241
   
  
• Intellectual resource and new product performance: mediating role of innovation capability  
  by Nazila Yousefi, Razieh Ahmady, Gholamhossein Mehralian 
  Abstract: Intellectual resource is recognised as a key success factor in an increasingly competitive, knowledge-based economy. The literature contains several studies that investigated the effects of intellectual resources on new product performance. However, the mediating role of innovation capability in the relationship between intellectual resources and new product performance are understudied. The purpose of this research is to demonstrate how innovation capability influence the relationship between intellectual resources and new product performance within the context of pharmaceutical sector. Data was collected through structured questionnaires from a sample of Iranian pharmaceutical firms. Structural equation modelling was used to test the proposed research hypotheses. The findings of this study shows that intellectual resources have a significant positive impact on new product performance. Furthermore, the results reveal that innovation capability indirectly mediates the effect of intellectual resources on new product performance in the pharmaceutical industry.
  Keywords: intellectual resources; innovation capability; new product performance; NPP; pharmaceutical industry; structural equation modelling; SEM.
  DOI: 10.1504/IJLIC.2021.10040580
   
  
• Intellectual capital disclosure: study on university website  
  by Ihyaul Ulum, Kirana Ika Putri, Dhaniel Syam, Nazaruddin Malik, Eny Suprapti 
  Abstract: This research has two objectives: firstly, to identify the practice of college intellectual capital (IC) disclosure through their web site with a content analysis method called 'six ways numerical coding system'. The second objective is to examine the effect of age, size and accreditation status on the extent of IC disclosure. Warp PLS 6.0 was used to analyse the data from vocational colleges in Indonesia. The results indicate that IC disclosure through university websites is still below 50% on average. Disclosure in image format is more widely used than other formats. PLS test results show that the size and accreditation status variables have an impact on the extent of IC disclosure, while the age variable has no effect.
  Keywords: Indonesia; intellectual capital disclosure; vocational university; website.
  DOI: 10.1504/IJLIC.2021.10040774
   
  
• Intellectual capital, profitability and market value of financial and non-financial services firms listed in Ghana  
  by Philip Elikplim Agomor, Joseph Mensah Onumah, King Carl Tornam Duho 
  Abstract: This study examines the impact of intellectual capital (IC) on profitability and market value using a dataset of 20 listed firms in Ghana covering the period 2008 to 2017. The value added intellectual coefficient (VAIC tm) measures IC performance (with human capital efficiency, structural capital efficiency and capital employed efficiency as components) while return on asset and return on equity measure profitability and Tobins Q measures market value. The findings show that among financial services firms, VAIC tm and its components enhance profitability but does not significantly affect market value. However, among non-financial services firms, VAIC tm enhances only return on asset and only capital employed efficiency enhances market value. The study also explores the effect of control variables such as size, age, foreign ownership and government ownership. This study is unique in exploring the difference between the IC and performance nexus among financial and non-financial services firms in an emerging market context.
  Keywords: intellectual capital; illiquid stock markets; market value; profitability; IAS 38; value added intellectual coefficient; VAIC™; developing economies; Ghana.
  DOI: 10.1504/IJLIC.2021.10040842
   
  
• Drivers of voluntary intellectual capital disclosure in agriculture company listed in IMT-GT countries  
  by Josua Tarigan, Vania Devi, Saarce Elsye Hatane 
  Abstract: This study intends to examine the drivers of disclosing intellectual capital for a sample of agriculture firms listed in Indonesia, Malaysia, Thailand Growth Triangle (IMT-GT) countries. The authors read the annual reports by analysing the content and use quantitative data from the Bloomberg terminal. Ordinary least square (OLS) analysis is conducted to test the hypothesis and identify the correlation between variables. It is revealed that factors affect intellectual capital disclosure, such as firm size, ownership concentration, and auditor type. The findings help regulators understand better and use the factors that explain the company’s intellectual capital disclosure in the development of future recommendations. Moreover, it is the first study to explore the IMT-GT relationship for intellectual capital disclosure topics. The cooperation has provided positive signals to the economic growth, thus made it enjoyable to look further at the businesses operating in those countries.
  Keywords: firm size; auditor type; ownership concentration; intellectual capital disclosure; ICD; agriculture firms; IMT-GT.
  DOI: 10.1504/IJLIC.2021.10040848
   
  
• CSR, intellectual capital and corporate value for Indonesian SOEs  
  by Mutamimah Mutammah, Rima Yulia Sueztianingrum 
  Abstract: Companies implement CSR to increase corporate value. However, corporate value for Indonesian SOEs that implement CSR fluctuated and the results of previous research between CSR on corporate value show inconsistent results. Intellectual capital is expected can strengthen CSR to increase corporate value. This study aims to analyse intellectual capital in moderating CSR on corporate value in Indonesian SOEs. The population in this study used 115 Indonesian SOEs. The sampling method used purposive sampling and the type of data is panel data. Statistical analysis used descriptive analysis and multiple regression analysis. The results showed that CSR_ECO, CSR_ENV and CSR_SOC were no effect on corporate value. Intellectual capital is not able to moderate the effect of CSR_ECO on corporate value. Intellectual capital is only able to strengthen the influence of CSR_ENV on corporate value, but intellectual capital weakens the effect of CSR_SOC on corporate value.
  Keywords: Indonesian SOEs; CSR; intellectual capital; corporate value.
  DOI: 10.1504/IJLIC.2021.10041288
   
  
• The interplay among higher education, technology, innovation and labour market efficiency: Middle East case  
  by Elsayed A.H. Elamir, Gehan A. Mousa 
  Abstract: The study builds a model that examines the effect of the quality of higher education and training on both innovation and the labour market efficiency, in addition the proposed model reflects the effect of the quality of technology readiness on the same factors using a sample of 12 Middle East countries from the period (2012 to 2018). The study uses the 'partial least squares' method to estimate the model that shows the relationship among multiple dependent and independent variables, constructs unobserved factors, and finally tests the pre-defined assumptions against empirical data. The model suggests that the increase in the quality of higher education will increase the quality of both innovation and labour market efficiency. There is a significant positive effect of technology on higher education and training, innovation, and labour market efficiency. The study offers new perspectives on the relationships among the factors included in the proposed model.
  Keywords: education quality; higher education; innovation; intellectual capital; partial least squares; PLS; structure equation model; technology; training; readiness; market labour.
  DOI: 10.1504/IJLIC.2021.10041543
   
  
• Career path challenges in consultancy sector  
  by Leandro Pereira, Diogo Guanilho, Renato Lopes Da Costa, Álvaro Dias, Rui Gonçalves 
  Abstract: Careers have been evolving over the years, because of changes in the labour market and individual perspectives and objectives. Nowadays, looking for different working experiences within diverse companies are quite common, and individuals are more concerned about their career progression. In this context, organisations were pushed to learn and adapt their employee value proposition and place a higher focus on individual career needs. In the consultancy sector, career management can be much more complex and difficult to manage for organisations, since consultant’s roles and responsibilities can quickly change. Therefore, this investigation aimed to understand how consultants see the relation between career management, seniority, and performance. The study’s results were based on 92 responses from consultants and former consultants to an online survey and shown that while seniority still has a positive correlation with hierarchical levels, most consultants want to pursue a performance-based career management system, especially the experienced and older ones.
  Keywords: career management; consulting organisations; seniority; performance.
  DOI: 10.1504/IJLIC.2021.10041544
   
  
• Unlock knowledge potential from management consulting  
  by Renato Lopes Da Costa, Leandro Ferreira Pereira, Álvaro Dias, Rui Gonçalves 
  Abstract: Management consulting area is a worldwide phenomenon of business increase over time. However, the subject field is poorly supported by academic research. There’s a lot of knowledge that comes up every day from companies’ transformations and performance improvement and business models changed. The research was done in a form of semi-structured interviews and questionnaires applied to management consultants and SME managers in Portugal, and it has shown that competency comes from different knowledge domains in business such as know, know-how and know-to be, making important to have processes to unlocked their knowledge to organisations and to the society.
  Keywords: management consulting; knowledge transfer; strategy-as-practice; SAP.
  DOI: 10.1504/IJLIC.2021.10041614
   
  
• Validating the effect of talent management on organisational outcomes with mediating role of job empowerment in business  
  by Avinash Pawar, Bambang Tri Cahyono, Koes Indrati, Endang Siswati, Henry Loupias 
  Abstract: Over the past decade, talent has become a more important resource than investments, capital, research or strategy in business. It is also a great basis for competitive advantage in the market. Hence, most companies are now concentrating on designing and developing talent management strategies in their businesses. The four essential elements of the talent management process are identifying significant positions, competency-based training, critical talent development, reward and recognition. The whole process of talent management affects organisational outcomes. The major objective of this research study is to understand the linkages and influence of talent management with organisational outcomes. The study was conducted with a survey of 324 respondents from service, manufacturing and information technology companies in Indonesia and India. The outcomes revealed the positive relationships of the talent management process and organisational outcomes with employee participation and organisational engagement through the mediating role of job empowerment.
  Keywords: talent management; organisational outcome; talent development; job empowerment; employee participation; organisational engagement; talent attraction; organisational impact.
  DOI: 10.1504/IJLIC.2021.10041615
   
  
• Intellectual capital and corporate profitability: zooming into value added intellectual coefficient  
  by Irene Wei Kiong Ting, Qian Long Kweh, Jawad Asif, Le Thi My Hanh 
  Abstract: This study examines how value-added intellectual coefficient (VAICTM) and the modified VAICTM affect corporate profitability. Using a Vietnamese corporate financial dataset of 1,624 firm-year observations for the period of 2009-2018, this study finds that intellectual capital (IC), as estimated by VAICTM and modified VAICTM, has positive impacts on corporate profitability. However, the positive association between IC and profitability is clearer in the scatterplot involving the modified VAICTM. Although VAICTM and modified VAICTM consistently suggest positive impacts of IC on corporate profitability, the components of the two show different outcomes. This study stimulates the need to further examine not only VAICTM but also other IC measurement models to help practitioners better estimate their IC for the best possible corporate profitability.
  Keywords: intellectual capital; value added intellectual coefficient; VAICTM; modified VAICTM; corporate profitability.
  DOI: 10.1504/IJLIC.2021.10041904
   
  
• Are Islamic banks intellectually efficient? Empirical evidence from Bangladesh  
  by Amitava Mondal, Sudip Mukherjee, Radhagobinda Basak 
  Abstract: This paper measures the value creation efficiency of intellectual capital management of seven Islamic banks in Bangladesh over eight years starting from 2011 to 2018 and examines the impact of intellectual capital management on the financial performance of the sample Islamic banks. VAICTM model has been used to measure the value creation efficiency of intellectual capital management. The financial performance of the banks has been measured with the help of productivity and profitability ratios. We performed panel regression and robust regression analysis with an appropriate method to analyse the data. The results of the present empirical study suggest that the profitability and productivity of Islamic banks of Bangladesh primarily driven by human capital efficiency rather than structural capital efficiency and financial and physical capital efficiency. The present study is the first empirical study that examined intellectual capital management and its impact on the financial performances of Islamic banks in Bangladesh.
  Keywords: intellectual capital; value creation; VAIC; productivity; profitability; Islamic banks; panel data; Bangladesh.
  DOI: 10.1504/IJLIC.2022.10042580
   
  
• The influence of intellectual capital through human capital and structural capital towards financial performance manufacturing companies (sector garment and textile)  
  by Donny Arif, Abdul Halik, Nikma Yucha 
  Abstract: This study aims to assess the garment and textile companies' financial performance for 2017-2019 with data taken from the IDX by measuring the intellectual capital variable through human capital and structural capital. This study uses a descriptive approach by maximising the regression function analysis method. The process with this method is considered capable of providing a final value that can measure its financial performance and provide acceptable conclusions. Each variable is measured by identifying the value taken from the IDX data for the 20172019 period, with the criteria for the number of employees of each company, the capital structure produced by each company, and the fixed asset turnover ratio. This study indicates that financial performance can run well through the direct route with IC without going through HC or structural capital. However, intellectual capital directly affects human capital and structural capital to improve overall financial performance.
  Keywords: intellectual capital; human capital; structural capital; financial performance.
  DOI: 10.1504/IJLIC.2021.10042858
   
  
• Intellectual capital, leadership and competitive advantage: a study of the Malaysian electrical and electronics industry  
  by Muhammad Shujaat Mubarik, Nick Bontis 
  Abstract: The primary objective of this study was to examine the mediating role of intellectual capital in the association between strategic leadership capabilities and competitive advantage. The secondary objective was to examine the role of knowledge management in the association between strategic leadership capabilities and intellectual capital. Data was collected from 184 Malaysian electrical and electronics sector firms using previously published scales. Partial least square-structural equation modelling (PLS-SEM) was employed to analyse seven hypothesised relationships. Results revealed that strategic leadership capabilities play an apex role in attaining competitive advantage, whereas intellectual capital mediates the association between SLC and competitive advantage. Knowledge management further amplifies the role of human capital but does not play a significant role with relational or structural capital. This study represents a novel assessment of the role of intellectual capital in the association of strategic leadership capabilities and competitive advantage in the Malaysian electronics context.
  Keywords: strategic leadership capabilities; intellectual capital; competitive advantage; partial least square; PLS; knowledge management.
  DOI: 10.1504/IJLIC.2021.10042966