The Measurement, Use, and Development of Intellectual Capital to Increase Public Sector Productivity

Abstract

One of the most promising recent developments in the management field is the effort to measure, use, and develop what has been termed an organization's most valuable asset—intellectual capital. For public non-profit organizations, this effort has special potential for increased productivity. This is so for several reasons. These sectors are human capital intensive. Human capital is the primary source for organizational innovation and renewal. Finally, we are acquiring a better capacity through on-going brain research to tap this potential resource. This article defines what intellectual capital is, indicates the type more frequently required for productive decision making today, and describes a Brain Skill Management Program (BSM) that has successfully been field tested that can be used to measure, use, and develop an organization's intellectual capital. The article concludes with survey results demonstrating that a BSM Program can be used to enhance the learning capability of public and non-profit organizations.