Intellectual Capital Growth Research Articles

DIGITAL PLATFORMS AS TOOLS FOR MODERN DIGITAL MARKETING

Approaches have been analysed for essential identification of digital platforms as a digital marketing tool, ensuring interaction in implementing digital technologies within the framework of existing business models. The research has identified factors for intellectual capital growth at digital companies that use digital platforms for business processes and use the potential of digital transformations to change the structure of assets with the dominance of intangible assets over tangible ones. Taking into account radical changes in technological processes and introduction of new digital management tools, firstly, the place of the digital platform in the integrated marketing communications of companies has been determined. Secondly, algorithms for its implementation in these systems in conditions of increasing uncertainty and unpredictability of modern international markets, and changes in methods for calculating added value (EVA) under the influence of digitalization. It has been proven, firstly, that the use of modern business models by the world's leading digital companies is based on the controversial process of asset dematerialization. Nevertheless, this process brings companies income and growing capitalization, as it is accompanied by the introduction of digital platforms. Secondly, when ensuring guaranteed profitability of platforms as a digital marketing tool, it is necessary to take into account the ratio of material and intellectual assets and their contribution to the capitalization of dematerialized assets. It is substantiated that the main condition for the use of a company’s digital platforms is the effectiveness of procedures for achieving results arising from the implemented technologies based on digital, information and analytical platforms, taking into account criteria and requirements for their inclusion in the specified platform.

ПОДАТКИ ЯК ІНСТРУМЕНТ РОЗВИТКУ ІННОВАЦІЙНОЇ ЕКОНОМІКИ

The article is devoted to the further development of theoretical approaches to the justification of tax instruments for stimulating the innovative development of the economy and the development of proposals for their practical application. Three groups of main problems related to tax stimulation of innovative development are considered. The first group of problems includes determining the possibility of using various tax instruments to stimulate the development of the innovative economy and its individual subjects. The second group of problems is related to the assessment of the practice of using tax instruments to stimulate the activities of innovative enterprises (organizations) and identifying the reasons for their low efficiency. The third group of problems is related to the development of measures to improve tax instruments aimed at stimulating the development of the innovative economy. It is noted that the effectiveness of tax incentives for innovative development depends on determining the range of business entities that require tax support from the state. It is noted that it is necessary to determine the range of taxpayers on whom the stimulating influence of a set of tax instruments should be directed. The proposed model of innovative activity is presented as a chain from the birth of new knowledge, then the realization of an idea into an innovative product, the introduction of innovation into production, and the commercialization of innovations. Based on this model, the main directions and subjects of tax incentives are determined. Subjects of the innovative economy whose activities require tax incentives include: enterprises (organizations) that create innovations; innovative enterprises (organizations) that introduce innovations into economic circulation; enterprises (organizations) that consume innovative products; enterprises (organizations) of innovative infrastructure. The criteria for assigning subjects to innovative enterprises (organizations) are proposed, namely: growth of intellectual capital, equality or exceeding the rate of growth of income from the sale of qualitatively new or improved products over the rate of growth of intellectual capital of the enterprise (organization). An algorithm for obtaining the status of an innovative enterprise (organization) by a taxpayer is proposed. The innovative activity of enterprises in Ukraine was analyzed. A significant reduction of enterprises that are innovative has been determined. A comprehensive system of tax incentives for innovative economic development is proposed. Conclusions have been made regarding possible directions for stimulating the innovative activity of enterprises in Ukraine.

How does warfare affect firms' productivity?

Warfare afflicts millions and creates unparalleled operational challenges in the developing world. With data from war‐torn Colombia, I examine the effects of civil war on firms' total factor productivity (TFP) using propensity score and conflict hotspot models. I find that warfare increases TFP in service firms, such as public administration and defense, by up to 12.68%, whereas it decreases TFP in manufacturing and other nonservice companies by up to 3.64% a year after a violent episode occurs. This effect stems from intellectual capital growth and service firms' ability to create value from customer input.

Leadership, culture, intellectual capital and knowledge processes for organizational innovativeness across industries: the case of Poland

PurposeThis study aims to present the overview of intellectual capital creation micro-mechanisms concerning formal and informal knowledge processes. The organizational culture, transformational leadership and innovativeness are also included in the investigation as ascendants and consequences of the focal relation of intellectual capital and knowledge processes.Design/methodology/approachBased on a sample of 1,418 Polish knowledge workers from the construction, healthcare, higher education and information technology (IT) industries, the empirical model was developed using the structural equation modeling (SEM) method.FindingsThe study exposes that the essence of transformational leadership innovativeness oriented is developing all intellectual capital components. To do so, leaders must support both formal and informal knowledge processes through the organizational culture of knowledge and learning. Furthermore, for best results of the knowledge transformation into intellectual capital, the learning culture must be shaped by both components: learning climate and acceptance of mistakes.Practical implicationsPresented findings can be directly applied to organizations to enhance innovativeness. Namely, leaders who observe that the more knowledge is formally managed in their organizations, the less effective the knowledge exchange is-should put more effort into supporting informal knowledge processes to smoothly develop human and relational intellectual capital components. Shortly, leaders must implement an authentic learning culture, including the mistakes acceptance component, to use the full organizational potential to achieve intellectual capital growth. Intellectual capital growth is essential for innovativeness.Originality/valueThis study presents the “big picture” of all intellectual capital creation micro-mechanisms linking transformational leadership with organizational innovativeness and explains the “knowledge paradox” identified by Mabey and Zhao (2017). This explanation assumes that intellectual capital components are created informally (i.e. human and relational ones) and formally (i.e. structural ones). Therefore, for best effects, both formal and informal knowledge processes, must be supported. Furthermore, this study exposes that the intensity of all explored micro-mechanisms is industry-specific.

The Impact of Employee Empowerment on Intellectual Capital and Organizational Citizenship Behavior: Moderating role of Demographic

In recently, human resources management measured as the most worth able resource has been the center of approaches, activities and it plays an important role in promoting the objectives and goals of the organization. In fact the financial paradigms do not meet the requirements and expectations of the organization, it has led organizations to seek other paths to achieve competitive advantages. In this study, the growth of intellectual capital and organizational citizenship behavior can be taking new approaches in to account field. Practices for development going beyond the role of recognized expectations needs vital infrastructures. Therefore, empowerment is an important element to plays positive role to describing about social exchange of organizational citizenship behavior. Alternatively, in the economy of knowledge-based, the intellectual capital is the creating knowledge and sharing to enhance enterprise values. The study based on descriptive analysis and it examine the relationship between employee’s empowerment, intellectual capital and organizational citizenship behavior. To the theoretical data collection and to extract initial factors and indicators, library and Internet resources were used and questionnaire was used to gather the data needed to evaluate the assumptions. In this research, random method sampling has been used and Pearson's correlation coefficient was used to analysis data. The findings of study state that a positive and significant relationship occurs between dimensions of employee’s empowerment with growth of Intellectual capital and organizational citizenship behavior. On the other hand, becoming more empowered, employees` growth of intellectual capital has increased and the organization will enjoy more progressive staff

The Impact of Intellectual Capital on the Performance and Investment Attractiveness of Russian Companies

Recent studies show that intellectual resources, such as highly qualified workforce, well-functioning business processes within the organization and strategic relationships with all stakeholders together give a synergistic effect and are key factors in creating a sustainable competitive advantage. This notion is true for both high-tech companies that are focused on knowledge management and mainly work in the service sector, as well as for traditional industrial-type firms that are focused on creating products using value chain models. The historical growth of intellectual capital is traditionally associated with the trend of increasing market capitalization of firms, which is most clearly observed for companies that use knowledge resources as core competitive advantage. However, in practice the consequences of investing in intellectual capital intensive firms are often not always clear, in particular, there is unambiguous relationship between intellectual capital and the ability of companies to perform sustainably.In this study proposes models to investigate the impact of the components of intellectual capital on investment attractiveness and therefore potential positive investment decisions for companies using financial indicators such as revenue and market share. The results show a moderate positive relationship between revenue, market share, reflecting the investment attractiveness of the company and qualitative indicators of static and dynamic intellectual capital.

The Impact of Intellectual Capital on Performance and Investment Attractiveness of Russian Companies

Historically, the growth of intellectual capital has been associated with the trend of an increasing market capitalization of firms, but in practice the consequences of investing in companies that use intellectual capital are often not clear. Studying the relationship between intellectual capital and the ability of companies to generate a stable revenue as an indicator of investment attractiveness is becoming a relevant area of research. The purpose of this article is to study the influence of the intellectual capital of companies on their performance, and, consequently, on possible decisions of investors. The main hypothesis was an assumption about positive significant impact of the dynamic and static structural, relational and human capital of companies on the company's ability to generate revenue and retain a certain market share throughout the year, and, consequently, demonstrate its attractiveness to potential investors. Research method: regression analysis using logistic models, based on proposed models. The likelihood of the high performance of companies is determined under the influence of intellectual capital components, which would determine potential positive decisions made by investors using financial indicators, such as revenue and market share. In contrast to previous studies, we distinguish between static and dynamic elements of intellectual capital in the models to assess the likelihood of high performance. The hypotheses about the influence of the elements of intellectual capital on the company's revenue and their ability to retain market share, which together are indicators of performance reflecting the investment attractiveness of companies, were confirmed. The results show a moderate positive relationship between revenue, market share and quality metrics for static and dynamic intellectual capital. Elements of relational and structural capital play a key role in achieving performance. From the practical point of view, managers can rely on the results of the study when developing investment strategies and revealing the drivers of investment attractiveness growth in companies that intensively use intellectual capital.

Intellectual Capital, and Knowledge Processes for Organizational Innovativeness across Industries: The Case of Poland – the full version

Purpose: This study aims to present the overview of intellectual capital creation micro-mechanisms concerning formal and informal processes. The organizational culture, transformational leadership, and innovativeness are also included in the investigation as ascendants and consequences of the focal relation of intellectual capital and processes. Method: The empirical model was developed using the structural equation modeling (SEM) method based on a sample of 1,418 Polish workers employed in the construction, healthcare, higher education (HE), and information technology (IT) industries. Findings: The study exposes that the essence of transformational leadership innovativeness oriented is developing all intellectual capital components. To do so, leaders must support both formal and informal processes through the organizational culture of and learning. Furthermore, for best results of the transformation into intellectual capital, the learning culture must be shaped by both components: learning climate and acceptance of mistakes. Originality: This study presents the big picture of all intellectual capital creation micro- mechanisms linking transformational leadership with organizational innovativeness and explains the knowledge paradox identified by Mabey and Zhao (2017). This explanation assumes that intellectual capital components are created informally (i.e., human, and relational ones) and formally (i.e., structural ones). Therefore, for best effects, both formal and informal processes must be supported. Furthermore, this study exposes that the intensity of all explored micro-mechanisms is industry-specific. Implications: Presented findings can be directly applied to organizations to enhance innovativeness. Namely, leaders who observe that the more is formally managed in their organizations, the less effective the exchange is - should put more effort into supporting informal processes to develop human and relational intellectual capital components smoothly. Shortly, leaders need to implement an authentic learning culture, including the mistakes acceptance component, to use the full organizational potential to achieve intellectual capital growth. Intellectual capital growth is essential for innovativeness.

Intellectual capital in the system of human resources policy of the diplomatic service

The article defines the essence and significance of intellectual capital, its place in the system of personnel policy of the diplomatic service. Various definitions of intellectual capital, which in their works were provided by such scientists as A. Chukhno, VL Inozemtsev, O, Kendyukhov, G. Nazarova and others, are considered. It is determined that intellectual capital is a complex system concept, which is considered by scientists taking into account the needs of modern society, which requires a constant exchange of information and replenishment of knowledge. It is emphasized that intelligence passes into property only when under the influence of brain abilities something useful is created, which is endowed with a certain form: databases, lists of information, descriptions of processes, reports and more. The main function of intellectual capital is determined, which is to accelerate the growth of profits through the implementation and formation of the necessary relationships and things, knowledge systems of the enterprise, which, in turn, ensure its highly efficient economic activity. The updated personnel policy in the diplomatic service envisages strengthening the role of the desk officer of the political unit, projecting changes for 2 years and increasing the transparency of the introduction of personnel assessment by the 360 method.It is established that the success of the diplomatic service depends on a balanced personnel policy aimed, in particular, at the growth of intellectual capital. The experience of organizing the personnel work of the diplomatic service of the United States of America is studied. The main problems are formulated and recommendations for improving the personnel policy of the diplomatic service are based on the analysis of world experience.In order to increase the value of intellectual capital, the need for quality education of employees of the diplomatic service, continuous training and self-education of ambassadors and staff, as well as the creation of a personnel reserve in the diplomatic service was emphasized. In addition, it is unacceptable to reduce the cost of diplomatic service. In order to advance in their careers and advance to higher positions, diplomats must be able to undergo systematic training and be experts in at least two regions and speak at least two (three) languages.

Methodological basic of assessment of organizational development by the intellectual capital growth criterion

Introduction. In modern conditions of formation of a new type of organizations - intellectual organizations, organizational knowledge becomes an important criterion of the level of organizational development. The purpose of the paper is to substantiate of intellectual capital growth as a criterion of organizational development and supplement methodological tools for intellectual capital assessment. Results. In the paper the increase of intellectual capital as a criterion of organizational development is substantiated. The classification of intellectual capital types of is offered. The criteria of organizational development by stages of the life cycle are supplemented with the allocation of quantitative, qualitative criteria and types of capital. The methodological tools of intellectual capital assessment with the use of the effective approach are systematized and supplemented and it is offered to allocate assessment methods on three levels in the structural approach: the level of the organization (allows to estimate the general level of organizational development); level of the individual (allows to assess the contribution of each individual as a carrier of intellectual capital); the level of intellectual property (allows to assess the contribution of each element in the overall level of organizational development); for each of the levels the subject of assessment types of methods; methods and results indicators are described. Examples of evaluation of the effectiveness of the introduction of artificial intelligence as a component of intellectual capital are given. Conclusion. The study of methodological principles of assessing organizational development suggests that in an unstable environment, an increasing role in the development of knowledge of the organization, which can be assessed through the growth of intellectual capital. To assess organizational development, quantitative and qualitative criteria for determining each stage of development with the separation of the criterion of type capital growth are proposed. The combination effective and structural approaches to assessing of intellectual capital has a significant impact on the methodology of organizational development management by stages and requires careful study and supplementation of methods of organizational development management.

Intellectual Capital Utilization And Intellectual Capital Growth In Improving Current And Future Financial Performance In Asean In The Era Of Asean Economic Community

This paper examines the association between intellectual capital (IC), rate of growth of intellectual capital (ROGIC), and firm financial performance in an emerging market context, which is ASEAN. The effect of Intellectual Capital and the rate of growth of Intellectual capital is tested towards firm financial performance, namely current financial performance and future financial performance. Panel data regression model analysis is used for a sample of manufacturing companies in ASEAN countries, namely Indonesia, Malaysia, Philippines, Thailand, and Singapore during 2015-2018. The results showed that intellectual capital and ROGIC has a positive effect on firm financial performance, both current and future performance. This result indicates that intellectual capital can generate higher financial performance for the firms, both in the current period and until the future period. A similar result also found in the relationship between ROGIC which is the rate of growth of IC toward firm financial performance. This result implies that firms should utilize and maintain intellectual capital together with maintaining IC growth (ROGIC) to maintain and preserve its performance in the current and future term.

The concept of the mechanism of managing the intellectual resources of the innovative active enterprises’ employees (experience of Great Britain)

Introduction. Management of competencies of innovative workers in specific conditions of functioning of innovatively active enterprises as producing ecosystems is considered as the dominant direction of managing the process of production of new knowledge, localized within a specific organization, which can increase the consumer value of final consumption goods/services in the process of global value chains’ formation.
 Aim and tasks. The purpose of the publication is to summarize United Kingdom practices in the management of intellectual resources of innovatively active enterprises.
 Results. The purpose of the United Kingdom science and innovation policy is to develop the professional skills of the population, to organize world-class research and education, to apply knowledge and skills to develop a competitive economy. The established network of science and innovative policy management entities is in line with the open innovation demand model, which implies the establishment of effective cooperation between universities, business organizations, suppliers, consumers. The generalized model of organizational and economic mechanism of regulation of intellectual resources of innovatively active enterprises personnel as knowledge-intensive sociocentric networks is presented in the form of a structured system focused on the behavioral aspects of the activity of subjects of production of new knowledge of means of regulatory and indicative influence on the configuration of regulatory objects that are subordinated to the sub-system in the conditions of global competition.
 Conclusions. To fully meet the requirements of innovating the organizational and economic mechanism regulation of intellectual capital’ innovatively active enterprises corresponds to the incorporation into the toolkit of realization of the purpose and tasks of development of the means of forecasting the future state, structure, prospects of increasing the value of its elements. This trend of modernization provides an opportunity to increase intellectual capital through the introduction of Foresight procedures for analysing the impact on it of scientific and technological innovations, formulating and modernizing the mission of forecasting inclusive social capital, comprehensive specification of the regulatory sector, taking into account economic macro and mesoscenarios. At the same time, the proposed means increase the degree of scientific substantiation of the processes of regulation of enterprise development by implementing the analysis of alternative scenarios of intellectual capital growth of innovatively active ecosystems of microeconomic level, open the possibility of developing technological roadmaps for the implementation of targeted programs for long-term research, long-term research development of themes and programs for the implementation of applied social technologies at the request of stakeholders.

Modern Directions and Levels of Research of Intellectualization of Economy and Enterprises

Modern trends in the intellectualization of the global economy, observed in recent decades, put forward as key sources of competitiveness of enterprises knowledge, intelligence, creativity of employees. The development of creative work allows to generate new goods, services and other intellectual products, therefore, the creation of conditions for effective intellectual activity is the main task of modern enterprises. The purpose of the study is to substantiate the current directions and levels of research of intellectualization based on the results of international comparisons and the economic situation in Ukraine. It is determined that in order to accelerate the intellectualization and development of innovative activity of staff in modern enterprises it would be necessary to: create and maintain an atmosphere of innovation in the team; to ensure the implementation of the strategy of intellectual capital growth and innovative development through the improvement of the system of incentives and motivation; recognize that radical changes are needed not only in the minds of workers, but also in the production, management organizational structures and their renewal in accordance with modern requirements of management processes. The expediency of the research in the perspective of solving issues of determining the levels and areas of research, as well as the financing of intellectualization processes is proved. When developing directions for determining the current state of intellectualization, it should be studied by levels (individual, microlevel, mesolevel, macrolevel, megalevel); by areas (intellectualization of the individual, management systems, labor process, enterprise, intellectualization of the economy and entrepreneurship as a factor of state development and intellectualization of society) research according to the levels of functioning of the economy; by financing the processes of intellectualization depending on the activities of the enterprise: financing of intellectualization from the operating activities of the enterprise, at the expense of its own authorized or borrowed capital, through investment activities. The study of intellectualization in accordance with international comparisons of economic development indices of Ukraine and analysis of the economic situation in the country proves the superiority of its leadership in research and development, the emergence of new knowledge, development of high-tech production and creation of mass innovative products, digitalization.

Educational Services for Intellectual Capital Growth or Transmission of Culture for Transfer of Knowledge—Consumer Satisfaction at St. Petersburg Universities

Higher education has complex roles in society, the economy, and politics; it helps to transmit culture, transfer knowledge, and develop the personality of citizens. This diversity of roles is confronted with the limited resources that are related to the sources of financing, that is, students and their families, the national government, and local authorities, among others. The discussions related to the role of universities concern the economy of knowledge and the digital tools influencing education. The specific case of St. Petersburg universities simultaneously represents the impact of the deep socio-political transition from Soviet society to the liberal principles of a market economy, including the perception of higher education institutions as service sector companies. The services allowed by universities include research and training; however, from the consumer point of view, universities should create specific value: the increase of the intellectual components of human capital. These complex functions are interconnected. During 2017–2018, a survey in St. Petersburg was organised to ascertain the opinion of students, professors, and employers on the quality of education. The results of the survey demonstrate the impact of the exaggerated implementation of the liberal principles on education, both positive and negative. The positive effect is the renewing of content and innovative training techniques due to competition among universities. The negative impacts include the preference for popular disciplines and the opportunistic behavior of students that lose their passion for acquiring knowledge and choose instead the passive attitude of consumers of a competitive service. They are less interested in the sphere of their studies, in searching for a job, in the interaction with other social and economic actors, and even in the research and education options presented by the universities.

CROWDSOURCING AS A PART OF COMPANY’S INTELLECTUAL CAPITAL

Urgency of the research. In modern conditions of management it is important for enterprises to form of the necessary amount of intellectual capital. Target setting. Most domestic enterprises do not pay enough attention to this issue. That is why it is very important to determine the directions of its growth. Actual scientific researches and issues analysis. The issue of intellectual capital management, its influence on innovation activity has been considered in the works of L. Antonyuk, S. V. Zakharinko, A. Kendiukhov, G. R. Natroshvili, V. Tsipurindy, L. Fedulova. The issues of crowdsourcing were considered in the works of Paul Whitla, Howe J., Maistrenko O. V., Khymych I. Uninvestigated parts of general matters defining. The issue of evaluating the intellectual component of energy saving policy, in particular, with the help of the apparatus of hybrid neural networks, remains poorly developed. The research objective. It is important to assess the factors influencing the intellectual capital of industrial enterprises, to determine the possibility of increasing the efficiency of using intellectual capital with the help of crowdsourcing. The statement of basic materials. The components of intellectual capital have been investigated. The indexes of knowledge economy of Ukraine and developed countries have analyzed. The essence of crowdsourcing and its components have been defined; the modern examples of its application in the world and in Ukraine have been researched. It has been determined that this tool is used mainly in the social sphere in Ukraine. The importance of its use in raising the intellectual component of innovation activity of domestic enterprises has been substantiated. Conclusions. It has been established that active involvement of students in the activity of the enterprise can be very promising for domestic enterprises. Recommendations for industrial enterprises to increase attention to crowdsourcing as an important source of intellectual capital growth were developed.

The role of intellectual capital in the development of the regional cluster

The notion of “human capital asset” implies an approach to a human who realizes all his creative potential in various fields of activity. Human capital asset plays a critical role in reduction of transaction expenses as well as transformation expenses. In the first case, institutional and social capital and in the second case, the labor, intellectual, and institutional capitals of personality are involved. Objective process of establishment and development of post-industrial economic relations predetermines increase of role and significance of intellectual capital of an individual under relative decrease of labor capital impact on activity. In its turn, this will result in increase of impact of institutional and social capitals aimed at minimization of transaction expenses of production of competitive goods, works, and services. In the current study, the matters of economic development of regions using the cluster approach based on intellectual capital growth are highlighted; petrochemical cluster of one of the Russian Federation regions – Republic of Tatarstan – is provided for illustrative purposes. Nowadays, key attention is paid to economic development of regions; special emphasis is laid on innovative development of regions based on intellectual capital’s growth to receive additional competitive advantages in the age of globalization of world economic relations.

Инновационный подход к управлению интеллектуальным капиталом вуза

The article deals with the innovative approach to the management of the intellectual capital of the university,
 taking into account the specifics of the educational institutions. It is concluded that the formation of the
 intellectual capital of the university is based on the process approach and intellectual capital growth software
 requires a strategic approach.

ДІЯЛЬНІСТЬ МЕНЕДЖЕРА В СФЕРІ УПРАВЛІННЯ ЛЮДСЬКИМИ РЕСУРСАМИ

The growth of intellectual capital of organizations and enterprises is seen as a factor in the efficiency, increase the value and role of a manager in human resource management. To the modern manager imposed new requirements: high adaptation to external and internal changes, strategic vision problems and goals, leadership, creativity, innovation, continuous improvement and self-development of the individual.Managing people is one of the most important areas of management organization. People are the most important resource of any organization.However, the process of managing people is not straightforward and E zdiysnyuэtsya from different angles. On the one hand made general management personnel, and the second - human resources management."Human Resource Management" focuses on the strategic aspects of human decision-making, and the term "personnel management" increasingly characterizes the daily operational work of the staff.In the article the theoretical aspects and functions of managers in the field of human resources management.Revealed that the main purpose of a manager in human resource management is to maintain a sense of general direction in often turbulent environment, with a view to developing and implementing consistent and practical management programs could meet the business needs of the organization and the individual and collective needs of its employees. In the article the theoretical approach to the relationship between "human resource management" and "HR". The role of a manager in human resources and its capacity to ensure the organization of qualified, well motivated and loyal employees.Theoretically proved that the activities of the manager in the field of human resource management is defined as a kind of social-engineering practice.

Methods of Assessing the Efficiency of Public Spending on Research and Development Design Work

The study research is devoted to the analysis of the effectiveness of public spending on scientific research and experimental development (hereinafter - R & D), providing intellectual capital growth and the economy reindustrialization. The urgency of this problem is confirmed by the fact that Russia currently holds a leading position in the world for public funding of research and development (70%), but has a relatively low level of patent activity and imports technology three times more than it exports. Production of the technologies not attractive for business at the expense of the budget is the most important problem hindering enhance of national competitiveness and technological independence, taking into account the current economic and geopolitical challenges. The aims and objectives of the study include following: the development of methodology for assessing the efficiency of public spending on R & D to address the economic, social problems and problems of state security. The study shows that the efficiency of public spending undertaken by public authorities, as the main managers of budgetary funds can be evaluated and analyzed based on strategic targets, as well as basic and advanced performance indicators of investment in R & D. This assessment will, if necessary, timely adjust the direction of spending in order to achieve maximum cost-effectiveness. We prove that the assessment of the public spending on R & D effectiveness is an essential element of public administration that provides reindustrialization by creating a critical mass as a fundamentally new technologies and techniques removing import dependence. It has been revealed that the developed method defines a single approach to monitor the effectiveness of the federal executive authorities, aimed at developing an innovative economy that provides a transition to more efficient management models of R & D investment. Key indicators and the procedure for determining the effectiveness of public financial support for the implementation of research, development and engineering works, and use of R & D results into economic circulation have also been identified in order to ensure sustainable economic development. It is concluded that the method of evaluating of the public spending on R & D effectiveness, proposed by the authors, will help to make timely management decisions contributing to the achievement of economic, social problems and problems of state security. In turn, this should facilitate the transition to a new model of innovation development of economy based on the timing of investment flows in research and development, patent activity, as well as the import of technologies, licenses and high-tech products. DOI: 10.5901/mjss.2015.v6n4p250

Investigating Structural Relation of Organizational Trust and Organizational Citizenship Behavior to Intellectual Capital at State Universities in the West of Iran

This study attempts to investigate the structural relation of organizational trust and organizational citizenship behavior (OCB) with intellectual capitalat medical and non-medical state universities in the west of Iran. Data collection is carried out by employing the questionnaire of organizational trust based upon Mayer and Davis’s (1999) model, the questionnaire of organizational citizenship behavior based upon the model proposed by Podsakoff et al. (2000), and the questionnaire of Bontis’ (2000) modelof intellectual capital. The statistical population comprises of 352 full-time faculty members of the above-mentioned universities. The findings revealed that the correlation between organizational trust, organizational citizenship behavior with intellectual capital is positive and significant and the structural equations modeling test shows that the proposed model for prediction of intellectual capital based upon organizational trust and organizational citizenship behavior corresponds to the collected data and organizational trust and organizational citizenship behavior have a positive, significant influence on intellectual capital.Besides, the square of multiple correlations for intellectual capital was measured 0.42. In other words, in this model, organizational trust and organizational citizenship behavioraccount for 42 percent of the variance of intellectual capital. The findings reveal that improving organizational trust and organizational citizenship behavior among the faculty members of the medical and non-medical state universities in the west of Iran leads to the growth of intellectual capital.