Intellectual Capital Essay - 1326 Words

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Intellectual Capital

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The competitive market and the rapid changes that occur almost daily require organization to stay abreast with learning and adaptation. The need to get the right personnel whether through recruiting or training is crucial in attaining the goals of an organization. The quest to assemble the necessary expertise needed in the various parts of the organization has become a daily strive for managers because of the demands of the consumer. According to Duncan (1979), there are internal environmental components that need to be satisfied depending on a particular structural specification so as the output will conform to the necessary expectations. The composition of an organization remains critical to the realization of goals and achieving the expectations of stakeholders. In sustaining competitive advantage, the need to identify, enhance, and distribute the core competencies or the knowledge of an organization is critical (Pasher & Ronen, 2011). The knowledge or expertise needed to run an organization should be made available whether internally or by acquiring outside help. Internally, coaching, training and consistent supervision can transfer information from one person to the next and that must be made as part of the business culture. The knowledge one attains through years of experience on the job can be said to be invaluable, Xu (2013) shares that, human beings are endowed with different qualities and as such particular attention have to be paid to human resource especially in this knowledge-based economy. It is therefore imperative for organizations to develop mechanisms that will retain employees with knowledge that is inherent. The knowledge and the skills of an individual or the collective brainpower of workers in an organization combined with the ability of the firm to create, collect, coordinate, retrieve, leverage, and collaborate forms the basis of intellectual capital (Gupta & Azzopardi, 2013). There can be diverse array of skills, expertise... Show More

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