Global Intellectual Capital Movement
The Swedish professor Cheif Edvinsson, one of the founding members of the global intellectual capital movement and the founder of Intellectual Capital Sweden (ICS) providing services for IC rating of corporate on the basis of his model. He is currently visiting Bangalore the IT hub of India.
Edvinsson the guru of Intellectual Capital Movement says that in the ‘knowledge economy, wealth is in the minds’ he firmly believes that IC is very important and cannot be ignored. He has in the past decade of research developed a model system for measuring corporate IC, which consists of its human capital, internal systems and internal relationships. His latest book Intellectual Capital for Communities, Nations, Regions and cities has taken the IC theory beyond businesses to nations. He praised India as a great example country that has benefited from investments in higher education which has brought it up a prime knowledge economy of the world. The Swedish professor believes that the IC an important factor is not reflected in traditional balance sheets needs to be measured and accounted for and reported. The intangible nature of the IC has prevented the traditional accounts from reporting it. Edvinssion further says the IC not being transparently reported leaves scripts to sentiments thus creating volatility in the stock markets. Book value of top three IT companies in India accounts for less than 10% of the market capitalization of these companies while IC makes up more that 90% of their future success. We ignore the bests done and adore the impulsive outbursts of anger against each other.
From the grand father our joint family is 110 yrs old. Every great joint family has situations to resolve and they also have certain rules which we never made any. Now a day there is a section in chambers of commerce to address these trifle issues which hinder the expansion of the family empire. There are MBA institutions teaching how to run a joint family and joint businesses. There are counselors doing this noble practice of keeping the families together for good of the society. United there is a wondrous future. We have seen the divided fall. We are not preys to such ill perceived negativities. There is a great potential of the family rising to the great heights in this booming economy of the country. The communications can help resolve the stupidities and highlight the strengths and greatnesses. He advises that the cities, countries, communities, regions and nations should build upon the IC of organizations and cities and create an innovative society. ICS has spread its presence in many countries. Recently they tied with Bizworth a Bangalore based consulting firm headed by SR Gopalan former head of finance at Wipro. Set your corporate IC rated and add true value balance sheets and their potential to perform in the future.
