The Influence of Intellectual Capital and Organizational Culture on the Management Accounting System and Company Performance

Three Levels of Culture
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Gandhi Heryanto
Management Consultant, Indonesia
- INTELLECTUAL CAPITAL includes human capital, innovation capital, process capital, structural capital, and other different elements to create business value and improve performance (Edvinsson and Malone, Stewart, 1997, Bontis, Ross et al., 1998). - ORGANIZATIONAL CAPITAL is a pattern of shared values and beliefs that help individuals understand organizational functioning and thus provide them with the norms for behavior in the organization. The relationship between organizational culture and performance is influenced by the way companies maintain a strong culture. By demonstrating a well integrated and effective set of specific values, beliefs, and behaviors, a company will perform at a higher level of productivity (Sorensen, 2002). Stoica et al. 2004, argued that the relationship between culture and performance is also influenced by the way organization search for and use information such as through their management accounting system (MAS). The use of MAS has evolved over the yea (...) Read more? Sign up for free

 

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