What is Intellectual Capital?
Intellectual capital is the value created by a company’s intangible assets — human capital, structural capital, and relational capital — that drive future earnings beyond what is on the balance sheet.
How It Works
- Identify human, structural, and relational components.
- Track indicators like R&D spend, patents, employee productivity, brand strength.
- Tie intellectual capital metrics to strategy execution.
Saudi Context
Saudi Vision 2030 highlights human-capital investment (HCI) and innovation through PIF, NEOM, KAUST, and KACST. Intellectual capital tracking is rising in listed-company disclosures.
Example
A Saudi tech firm reports SAR 30 million in R&D, 45 active patents, and a Net Promoter Score of 62 as proxies for its intellectual capital strength.