The influence of Intellectual capital Efficiency on Companies' Financial Performance
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Date
2014
Journal Title
Journal ISSN
Volume Title
Publisher
College of Management Sciences, Al-Hikmah University, Ilorin, Nigeria
Abstract
This study examines the influence of intellectual capital efficiencies on companies’ financial performance measured by return on equity (ROE) in Nigerian companies for three years. To this end, annual report of 25 sampled companies were analysed using Value Added intellectual capital coefficient (VAIC) as proposed by Public (2004) using SPSS 16 software package. The results show that relationship exist between intellectual capital components efficiencies and companies ‘financial performance. Furthermore, structural capital has the highest correlation with companies’ financial performance (ROE) and Size (asset) of the sampled companies. Therefore, it is recommended that sampled companies should embark on policy that will improve their organizational structural facilities
Description
Keywords
Human capital, structural capital, capital employed, Value Added Intellectual Coefficienten, financial performance, Nigeria
Citation
Salman, R. T., Olaniyi, T. O, Kasum, S. O & Fagbemi, T. O. (2014). The Influence of Intellectual Capital Efficiency on Company’s Financial Performance. Entrepreneurial Journal of Management Sciences, 3(1), 47-61. Published by College of Management Sciences, Al-Hikmah University, Ilorin, Nigeria.