Identifying Key Assessment Factors for a Company’s Innovation Capability Based on Intellectual Capital: An Application of the Fuzzy Delphi Method

Abstract

Innovation has become one of the most important sources of a company’s sustainable competitiveness. Therefore, every company strives continuously to improve its innovation capability. A company’s innovation capability is largely determined by various factors originating from its tangible and intangible resources. A lot of research related to increasing innovation capability with assessment factors originating from tangible resources has been carried out, whereas the use of assessment factors originating from intangible capital, such as intellectual capital, is still relatively limited. This study aims to identify and screen the key assessment factors for innovation capability, based on the intellectual capital of Indonesia’s manufacturing sectors. This study used a systematic literature review and focus group discussions to establish 18 initial assessment factors, after which 14 final factors were screened out by industry practitioners and academic experts using the Fuzzy Delphi Method. Four factors had the highest de-fuzzy value (0.89), namely adaptation, innovation behavior, organization culture, climate, and forward linkages. The results also showed that three factors of the aspects of human capital (adaptation, innovation behavior, and high motivation and commitment) are considered important determinants for the assessment of innovation capabilities, based on intellectual capital.