The Nordic Innovation Centre has published the report: Putting Intellectual Capital into Practice, Nordic Harmonized Knowledge Indicators. The authors were Asta Thorleifsdottir and Eggert Claessen.
Nordic Harmonized Knowledge Indicators: Putting IC into Practice or PIP, is a 32 months project, based on the work of 21 companies in the information technology sector in the Nordic countries, with a special focus on small and medium enterprises (SMEs). The project focused on the formulation of a guideline for assessing, managing and reporting intellectual assets.
The result of PIP is a guideline of SMEs to assess, measure and report intangibles which includes a framework assessment procedures, harmonized indicators for measuring performance and a template for reporting Intellectual capital. The indicators and methodology developed
have also proven to be of great value for setting strategic a baseline for managerial business models in an efficient way.
The benefits of the using the PIP approach are significant:
• Internally as a continuous tool for knowledge management and to set and follow up on management challenges.
• Externally the IC reporting creates an informative link to external stakeholders such as market analysts and investors: The IC report had enabled at least one PIP company to achieve a lower interest rate by producing an IC report clarifying the companies' value creation potential.
PIP is an open source guideline enabling SMEs to efficiently and effectively work with their intangible assets in a formalized manner.
