Disclosure Of Intellectual Capital Information Research Articles

What Drives Voluntary Intellectual Capital Information Disclosure? Evidence from Deposit Money Banks in Nigeria

The aim of this study is to explore the determinants of intellectual capital(IC) information disclosure from the perspective of signaling and proprietary cost theories. This study adopted ex-post facto research design. In particular, a data set was drawn from the five-year (from 2012 to 2016) annual reports of 12 Deposit Money Banks (DMBs) operating in Nigeria. The data set collected was analysed by means of panel corrected standard error (PCSE). The study results indicate that whereas corporate age and size have significant positive relationship with IC information disclosure, intellectual capital performance has significant negative association with IC information disclosure. Additionally, corporate profitability is found to have insignificant negative relationship with IC information disclosure. The study results offer useful insights that would assist policymakers and regulators in formulating policies and developing reporting guidelines that, at the moment, are not included in the existing accounting reporting guidelines. Moreover, the paper confirms prior study results in this area and includes such unusually explored IC disclosure driver as IC performance and, thus, extends and deepens existing literature on the determinants of IC information disclosure.

INTELLECTUAL CAPITAL VALUE AND DISCLOSURE OF INTELLECTUAL CAPITAL ON FIRM VALUE

The purpose of this study was to determine the effect of the value of intellectual capital and disclosure of intellectual capital on the company value of state-owned enterprises which are listed on the Indonesian stock exchange partially. The type of data used in this study is quantitative data in the form of values or numbers obtained from financial reports. The source of data in this research is secondary data. The population in this study are state-owned companies listed on the Indonesia Stock Exchange during the period 2015 -2019. By using the purposive sampling method, the total sample in this study is 45 data from 9 companies. The data in this study will be tested with several stages of testing, namely descriptive statistical tests, classic assumption tests (normality test, heteroscedasticity test, multicollinearity test, autocorrelation test), and testing all hypotheses through the partial test (t test) and coefficient test determination. The research findings lead to several concrete conclusions. Firstly, the study reveals a significant negative effect of intellectual capital value on firm value for state-owned companies in Indonesia. This suggests that intellectual capital alone does not guarantee an increase in firm value. Secondly, the research demonstrates a significant positive effect of intellectual capital disclosure on firm value. Active disclosure of intellectual capital information positively influences stakeholders' perceptions and builds confidence in the company's potential, ultimately enhancing firm value
 
 Keyword: Intellectual capital; disclosure of intellectual capital; the value of the company

Literature review of intellectual capital information disclosure

In today's era of knowledge economy, more and more scholars pay attention to the research related to intellectual capital. This paper combed the domestic and foreign research results on an important branch of intellectual capital - intellectual capital information disclosure. From intellectual capital composition, the theoretical foundation of the intellectual capital information disclosure and its related influence factors to comb research venation, and put forward the future research direction of intellectual capital information disclosure.

PERAN INFORMASI MODAL INTELEKTUAL SEBAGAI VARIABEL MODERASI PADA HUBUNGAN ANTARA MODAL INTELEKTUAL DAN NILAI PERUSAHAAN

This paper empirically examines whether type of intellectual capital (IC) information affect market value of the firm. This paper also examines whether voluntary disclosure of intellectual capital information will strengthen the affect of intellectual capital information to market value of the firm. The samples were the banking industry firm listed on the Indonesia Stock Exchange from 2017-2019. The variable of type of IC information measured by Intellectual Capital Disclosure Index (ICDI) by modifying the approach of García-Meca and Martínez (2007). The study finds that IC positively effect on market value of the firms. Moreover, this study finds that IC information-especially voluntary disclosure also strengthen (as moderating variable) the IC effect on firm value.

Relevansi Nilai dan Determinan Pengungkapan Modal Intelektual

In recent decades users have emphasized that traditional financial reporting is beginning to lose the
 relevance of the value of earnings and the book value of equity. To cover these weaknesses, investors began to look for other information to make investment decisions. Intellectual capital is included in the top ten in the information needed by information users. Intellectual capital is a potential source for modern companies to gain competitive advantages that are difficult for competitors to imitate and drive business development and success in the future. This study aims to examine the value relevance of disclosure of intellectual capital information on traditional industrial and non-traditional companies, and examine what factors influence companies to disclose intellectual capital.
 Using the purposive judgment sampling method, the company sample consisted of 68 companies from various types of industries that were listed on the Indonesia Stock Exchange in 2014-2018. The results is disclosure of intellectual capital has value relevance in traditional companies, but in non-traditional companies there is not enough evidence found that disclosure of intellectual capital has value relevance. Company age, audit quality, market book ratio, company size, and type of industry have a strong influence on intellectual capital disclosure. Whereas leverage and profitability have no influence on intellectual capital disclosure.
 Keywords : intellectual capital, intellectual capital disclosure, firm age, traditional industry, non- traditional industry

Suatu Model Pengungkapan Informasi Modal Intelektual, Nilai Perusahaan dan Harga Saham

This study conducted modeling of intellectual capital, firm value and stock price, with the aim of knowing the effect of intellectual capital disclosure on firm value, the effect of intellectual capital disclosure on stock prices and also the effect of firm value on stock prices carried out in banking companies in banking Southeast Asia. The sample selection method used in this study was purposive sampling. Of the 285 banks in Southeast Asia, 222 banks were found to be the samples of this study. The data is processed using the STATA application. The results of this study indicate that the increase in intellectual capital information disclosure carried out by banking companies in Southeast Asia cannot significantly affect the increase in firm value, while on the same occasion the increase in intellectual capital information disclosure itself can significantly affect the increase in stock prices. in the market and other results also show that the increase in firm value can significantly affect the increase in stock prices in the market. The application intellectual capital information disclosure is considered important to optimize stock prices in the market. Penelitian ini melakukan pemodelan akan intelectual capital, nilai perusahaan dan harga saham, dengan tujuan untuk untuk mengetahui pengaruh pengungkapan modal intelektual terhadap nilai perusahaan, pengaruh pengungkapan modal intelektual terhadap harga saham dan juga pengaruh nilai perusahaan terhadap harga saham yang dilakukan pada perusahaan perbankan di Asia Tenggara. Metode pemilihan sampel yang digunakan pada penelitian ini adalah purposive sampling. Dari 285 bank di Asia Tenggara, maka didapati ada 222 bank yang menjadi sampel penelitian ini. Data diolah menggunakan aplikasi STATA. Hasil penelitian ini menunjukan bahwa peningkatan pengungkapan informasi modal intelektual yang dilakukan oleh perusahaan perbankan di Asia Tenggara tidak dapat secara signifikan mempengaruhi peningkatan nilai perusahaan, sementara pada kesempatan yang sama peningkatan pengungkapan informasi modal intelektual itu sendiri dapat secara signifikan mempengaruhi peningkatan harga saham di pasar dan hasil lain juga menunjukkan bahwa meningkatnya nilai perusahaan dapat secara signifikan mempengaruhi peningkatan harga saham di pasar. Penerapan dan pengungkapan informasi modal intelektual dipandang penting untuk mengoptimalkan harga saham di pasar.

Intellectual Capital Disclosure, Good Corporate Governance and Firm Performance: Asean Cross Country Analysis

This study aims to examine the impact of intellectual capital information disclosure and the application of Good Corporate Governance to the performance of companies in ASEAN countries. This study used a sample of 102 firm-year from 6 ASEAN countries 5 ASEAN countries namely Indonesia, Malaysia, Phlipina, Singapore and Thailand. The test result proves that intellectual capital disclosure in ASEAN able to improve company performance. In addition, this study also proves that the implementation of GCG has a positive impact on the performance of the company's operations in ASEAN. This research also proves that leverage variable has no impact to company performance. Meanwhile, company size has a positive impact on company performance.

Research on the Framework of Intellectual Capital Information Disclosure of Listed Companies in Coastal Areas

Yuan, B.; Xia, H.; Du, E., and Yang, D., 2020. Research on the framework of intellectual capital information disclosure of listed companies in coastal areas. In: Gong, D.; Zhang, M., and Liu, R. (eds.), Advances in Coastal Research: Engineering, Industry, Economy, and Sustainable Development. Journal of Coastal Research, Special Issue No. 106, pp. 242–246. Coconut Creek (Florida), ISSN 0749-0208.Considering that the role of intellectual capital information disclosure in listed companies in coastal areas is increasingly prominent, how to evaluate the quality of intellectual capital information disclosure has become a key issue. At present, most of the current data sources on intellectual capital information disclosure research are derived from annual reports and independent intellectual capital reports. However, with the development of self media, the data sources of information disclosure should not be limited to traditional information media, but should fully consider the information sources of microblogs, company websites, and other channels. This article takes the listed companies in the coastal areas as an example and applies the Delphi method to the construction of the intellectual capital information disclosure framework. Specifically, the author uses the Delphi method to find the expert questionnaire survey, selects the suitable factor index, constructs the multisource intellectual capital information disclosure framework, which integrates the information sources of the annual report, microblog, and official website. Then, the framework was verified in detail by the Krippendorff method. The framework can more scientifically reflect the quality of intellectual capital information disclosure of the listed companies in coastal areas. The research results provide new ideas for intellectual capital information disclosure.

Voluntary disclosure of intellectual capital information by deposit money banks in Nigeria

PurposeThe purpose of this paper is to investigate the extent and quality of voluntary intellectual capital disclosure (ICD) by deposit money banks (DMBs) in Nigeria.Design/methodology/approachData were collected from a survey of 271 informants and content analysis of the annual reports of 12 DMBs in Nigeria. The data collected were analysed using factor analysis,t-test, Friedman test for related sample and Wilcoxon signed-rank test.FindingsThe findings of this paper indicate that the extent of ICD is significant and higher than the quality of ICD, which is insignificant, with the extent of disclosure highest in the relational component of intellectual capital. It also shows that a significant difference exists amongst the extent of human capital, structural capital and relational capital disclosures, with the significant difference traced to the difference between the extent of disclosures of relational capital and human capital.Research limitations/implicationsThe results can be interpreted across the target sample where the study covers a five-year period and 12 DMBs in Nigeria. However, the study provides a robust empirical basis for policymakers and regulators to develop future ICD regulatory guidelines for banks and push for improvement in the quality of ICD by DMBs.Originality/valueNo previous studies of voluntary ICD have considered the extent and quality of ICD by DMBs in Nigeria. Further, this study shed the light on a new human capital item related to “employee health and mental state”; therefore, it extends and supports the previous empirical literature on ICD.

Determinants of intellectual capital disclosure of financial institutions in an emerging economy

This study aims to examine determinants of intellectual capital disclosures of financial institutions in an emerging economy. The study constructs an intellectual capital disclosure index (ICDI) based on the disclosure of intellectual capital information in the annual reports of 53 listed financial institutions in Bangladesh. The study applies both parametric and non-parametric tests to examine the relationship of different company characteristics with ICDI. Results suggest that profitability and riskiness of firms are important determinants of intellectual capital disclosures. These findings support regulators and policy makers for deepening their understanding about the intellectual capital disclosure strategy of financial institutions. This study also contributes to the theoretical understanding of intellectual capital reporting by highlighting limitations of agency theory in explaining the relationship between different company characteristics and intellectual capital disclosure in the context of financial institutions of Bangladesh.

The Impact of Voluntary Disclosure of Intellectual Capital on the Stock Return in Listed Companies of Tehran Stock Exchange

In this Study, the effect of voluntary disclosure of Intellectual capital information on the stock return of the listed companies in Tehran Stock Exchange will be discussed. Methodology: According to Li (2007) and Ibikunle (2013), a dummy variable was defined and the required items for intellectual disclosure were designed. Then, by assessing the items in the board directors’ report, number 1 was assigned to the items evident and zero to those forgone. In the end, a score for each company was determined to expose the intellectual capital disclosure. 137 companies were selected by systematic samplings for a period of 5 years (2010-2014) and appropriate statistical tests were applied. Results: By referring to the financial statements and reports of the board of directors wanted data for companies were collected Data analysis included multiple regressions using panel data and fixed effects. Conclusion: The results showed that voluntary disclosure of intellectual capital has a positive and significant impact on the stock return of those companies. This result is in compliance with the past finding of Li (2007).

The Impact of Voluntary Disclosure of Intellectual Capital on the Stock Return in Listed Companies of Tehran Stock Exchange

In this Study, the effect of voluntary disclosure of Intellectual capital information on the stock return of the listed companies in Tehran Stock Exchange will be discussed. A dummy variable was defined and the required items for intellectual disclosure were designed. By referring to the financial statements and reports of the board of directors wanted data for companies were collected. Data analysis included multiple regressions using panel data and fixed effects. Methodology: Then, by assessing the items in the board directors’ report, number 1 was assigned to the items evident and zero to those forgone. In the end, a score for each company was determined to expose the intellectual capital disclosure. 137 companies were selected by systematic samplings for a period of 5 years (2010-2014) and appropriate statistical tests were applied. Results: The results showed that voluntary disclosure of intellectual capital has a positive and significant impact on the stock return of those companies. This result is in compliance with the past finding. Conclusion: in this study, the positive effect of these intangible assets on the return on equity was observed. Based on the results, the professional accounting bodies are recommended to develop standards and mechanisms for continuous disclosure in the notes to the financial statements disclose information.

Women directors and disclosure of intellectual capital information

This paper uses a resource-based perspective and balanced panel data analysis to explore whether the representation of women on the boards of directors of Spanish companies is associated with an increase in voluntary disclosure of information concerning intellectual capital [IC]. We find that gender diversity is a complementary corporate governance mechanism that has a significant positive effect on levels of disclosure of IC information. This appears due to the presence of women on boards serving to prompt stronger monitoring and oversight behaviour. Our findings should encourage support for policies that will increase current levels of representation of women on corporate boards and influence the setting of corporate governance requirements relating to disclosure by capital market regulators.

Practical Challenge of Content Analysis: An Illustrative Example from Recoding IC Information in the UK's Companies Annual Reports

Intellectual capital (IC) is believed to be more important resources to add the value of a company rather than physical assets. This gives rise to the increasing practice of reporting IC information in corporate annual report. Over the past fifteen years, considerable numbers of studies have employed content analysis to examine the extent and nature of IC information in several countries, but they presented different results. These results might partly contribute to different methods in counting information. In fact, the previous studies have been critised for not explicitly clarifying how information was recoded and counted which led to incomparable findings. Therefore, this paper firstly seeks to discuss an illustrative example of ‘sense-making‘ process in identifying, categorizing, and counting of IC information in annual reports of pilot sample company. Secondly, the method refined in the pilot study was applied over the final samples of six large companies in the UK from 1974 to 2008 The contribution of this paper is to primarily refine the previous method in recoding information, to send a message that transparency is crucial in content analysis and to facilitate method replication for future studies. Overall, this study demonstrates a marked increase in IC information disclosure was identified over the 35 years. The relational capital information disclosure was relatively more prominent over time, followed by human capital and structural capital.

Disclosure of intellectual capital in Mediterranean countries

This article presents the results of an investigation into the state of research in intellectual capital in the Mediterranean context through the analysis of 15 studies published in journals. The purpose of this study is to conduct a survey of papers on disclosure of intellectual capital information in Mediterranean countries. The results show the majority of studies on disclosure of intellectual capital in Mediterranean countries are made in European countries. France, Greece, Italy, Jordan, Portugal and Spain were the only ones of the 26 Mediterranean countries to examine the disclosure of intellectual capital, and the two countries of the Iberian Peninsula are responsible for ten of these papers.

INTELLECTUAL CAPITAL INFORMATION DISCLOSURE, COMPETITIVE ADVANTAGE AND CORPORATE PERFORMANCE OF THAI PRIVATE HOSPITAL: PERSPECTIVE OF SIGNALING THEORY AND RESOURCE-BASED VIEW

ABSTRACT The intellectual capital is very important value creations and wealth of the firm assets, which aren’t reflected on the statement of financial position. Thus, the disclosure of intellectual capital information is increasing. Moreover, firms have become aware of the importance of managing stakeholder communication with respect to intellectual capital information. This research contributes to the literature by investigate an important dimension of intellectual capital information disclosure to have significant influence on the competitive advantage and corporate performance. The purpose of this research is to investigate the influence of intellectual capital information disclosure in term of human capital, relational capital, and structural capital on competitive advantage and corporate performance. Data was collected from Thai private hospital. The results show that the intellectual capital information disclosure in term of human capital is significantly and positively related to information advantage. The intellectual capital information disclosure in term of relational capital is significantly and positively related to corporate image, and strategic advantage. The intellectual capital information disclosure in term of structural capital is significantly and positively related to information advantage. Moreover, strategic advantage and information advantage are significantly and positively related to corporate performance. Contribution, suggestions for future research direction and conclusions are described. Keywords Intellectual Capital Information Disclosure, Corporate Image, Strategic Advantage, Information Advantage, and Corporate Performance.

Disclosure of intellectual capital in the annual reports by the IT companies: an exploratory study of India

At present, disclosure of intellectual capital information is done by very few leading companies, purely on a ‘voluntary’ basis. Unfortunately, the omission of IC information may adversely influence the quality of decisions made by shareholders, or lead to material misstatements. This study attempts to provide an insight into the ‘narrative’ style of IC disclosures done by Indian companies. Initially, a longitudinal study was carried out to analyse how Indian firms – Reliance Industries Limited, Balrampur Chini Mills and Shree Cement Limited – measure and report their IC reports. In order to survey the recent IC disclosure scenario, we conducted another study of 16 Indian IT companies in which the ‘content analysis’ was done on their 2007 to 2009 annual reports. The results of this study confirmed that IC disclosure in these IT companies is almost negligible and its disclosure had not received any preference from the mentors of these corporations. IC reports may initially be used for ‘internal’ management...

Disclosure of Intellectual Capital Information of the Airline Companies in Malaysia

ABSTRACT Despite the lack of structured reporting guideline fo Intellectual Capital (IC) information, the information continues to be the stakeholders’ most preferred voluntary information. This article reports on an exploratory study that identifies important components of IC information included in corporate annual reports of two major airline companies in Malaysia. The level of disclosure is measured based on content analysis of their 2005 and 2006 annual reports. Findings reveal that both companies disclose all the three categories of the IC comprising the organisational, human and relational capital. Whilst both companies show increased level of disclosure when compared between 2005 and 2006, the level of disclosure for certain components differs between the two companies suggesting a need to regulate to get a more uniform disclosure. The finding also suggests that brand, intellectual property, personnel and partnerships are items of IC information prominently disclosed in the annual report of airline companies. ABSTRAK Maklumat modal intelek merupakan maklumat yang diutamakan oleh pihak berkepentingan walaupun masih kurang garis panduan daripada segi pelaporan modal intelek dalam pelaporan kewangan di Malaysia. Artikel ini melaporkan satu kajian eksplotari bagi mengenal pasti komponen-komponen maklumat modal intelek yang didedahkan dalam laporan tahunan korporat bagi dua buah syarikat penerbangan utama di Malaysia. Tahap pendedahan ini diukur berdasarkan analisis dokumen laporan tahunan bagi kedua-dua syarikat penerbangan untuk tahun 2005 dan 2006. Hasil kajian mendapati, daripada aspek pendedahan modal intelek, kedua-dua buah syarikat telah mendedahkan ketiga-tiga kategori modal intelek yang terdiri daripada modal organisasi, modal insan dan modal perhubungan. Hasil kajian juga mendapati bahawa kedua-dua syarikat telah menunjukkan peningkatan tahap pendedahan modal intelek apabila perbandingan dilakukan di antara tahun 2005 dan 2006. Namun begitu tahap pendedahan bagi ketiga-tiga kategori modal intelek ini adalah berbeza antara kedua-dua syarikat. Oleh itu daripada hasil penemuan kajian adalah dicadangkan bahawa keseragaman daripada sudut pendedahan modal intelek adalah amat diperlukan. Hasil kajian ini juga mendapati bahawa jenama, harta intelek, kakitangan, dan perkongsian adalah merupakan item utama maklumat modal intelek yang didedahkan dalam laporan tahunan oleh syarikat-syarikat penerbangan.

Intellectual capital disclosures in Japanese IPO prospectuses

PurposeThe purpose of this paper is to give an indication of the quantity of intellectual capital information in Japanese initial public offering (IPO) prospectuses from all stock exchange listings on the Japan Stock Exchange from 2003.Design/methodology/approachThe paper applied a disclosure index consisting of 78 items to quantify the amount of information regarding intellectual capital included in the IPO prospectuses of Japanese companies. An analysis of variance (ANOVA) was used to test, controlling for technological type of the company (high‐tech/low‐tech), and whether the extent of managerial ownership prior to the IPO, company age and company size influenced disclosure.FindingsFrom the analyses conclusions are derived for four hypotheses. The hypotheses “industry differences” (H1), “managerial ownership” (H2) and “company size” (H3) were found not to be significant factors explaining voluntary disclosure of information. The fourth factor, “company age” (H4), did, however, have a significant influence on the extent of disclosure for Japanese companies. Further testing of the Japanese companies regarding age showed a continuing trend.Originality/valueAlthough Japan has been strongly associated with the concept of the knowledge society, Japanese studies regarding intellectual capital have been very scarce. No studies, to the best of one's knowledge, have examined the specific disclosure of intellectual capital information included in Japanese IPO prospectuses.