30 June 2016

Tools To Help Companies Quantify The Value Of Their Intellectual Capital

Submitted by: Damaria Senne

South African organisations finally have access to tools to help them quantify the value of their intellectual capital and to include that value to their assets.

This is according to Selaocoe Pobe, Managing Director of Knowptima Solutions, a knowledge management company that is bringing to South Africa an internationally-accredited methodology that can identify, estimate, manage and ultimately quantify the value of their intellectual capital. Intellectual Capital is the knowledge, information, intellectual property and experience that a company can put to use to create wealth.

Knowptima are the first company in SA to bring true meaning to leadership in the Knowledge economy through the application of tools, methods and methodologies that allow you to manage these valuable intangible assets which are traditionally omitted from the management spectrum.   The ability to put monetary value on intangible assets allows companies to realise their total value (tangible and intangible assets), Pobe says.

“Traditional accounting only measures physical assets and records intellectual capital on the basis of the related costs, such as salaries, training, IT systems, relationships and networking,” she says.  “Intellectual Capital is nothing new but the angle brought in by this company is that it educates and allows leaders in the knowledge economy to utilise these intangibles as assets that bring actual economic returns and give the competitive edge.”

Knowptima Solution’s methods comply with the standards set out by the International Accounting Standards for Intangible assets (labeled IAS38) and International Financial Reporting Standards (IFRS), making the assets auditable.

The benefits

For organisations looking to make impactful infrastructure investments, for example, being able to measure the value that the investment brings, and not just the amortized bricks and mortar structures would be a huge boon. Pobe says overall, companies that have quantified the value of their intellectual capital will see a 25% increase in performance-linked strategic objective, 40% increase in revenue generation and at least 40% increase in its assets on the balance sheet. Such companies also tend to see increased customer satisfaction, she says.

Pobe classifies intellectual capital as having four main categories:  human capital, structural capital, customer capital and strategic alliance capital. Human capital is the sum total of the talent, experience and competencies of staff members; Structural capital includes recorded knowledge, processes, software and intellectual property; Customer capital includes the value of the brand of the organisation and its reputation as well as the company’s understanding of market need Strategic capital is the key external relationships that drive the business’ success. Knowptima is bringing its knowledge management solutions to South Africa through a partnership with Areopa, an international knowledge broker providing models, methodologies and tools in the fields of change management, risk assessment, knowledge management and intellectual capital accounting.

About Knowptima Solutions

Knowptima Solutions, a black woman-owned company focuses on delivering value to customers through the delivery of services and products underpinned by enrichment and delivery of critical organisational knowledge. Notably, Knowptima is a front runner in measuring the unmeasurable (i.e. intangible assets). Through proven methodologies, the value added to the company and thus your customers is measured in cash terms. 

Editorial Contacts

1. Selaocoe Pobe, Managing Director and Co-founder Knowptima Solution
Tel: 011 864 0347
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
Website: www.knowptima.co.za  

2. Damaria Senne
Damaria Senne Media
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

 

I'm a freelance writer and communications specialist. My interests are SMEs, with special emphasis on the IT business sector and the non-profit sector. I also promote books, and write about growing food gardens.

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