What is Intellectual Capital?
Navigasi - The presentation of financial statements is important for companies to attract investors, but there are companies that are incomplete in presenting financial statements, both mandatory reports and voluntary reports, one of which is intellectual capital. This can result in information asymmetry between internal and external parties of the company.
|What is Intellectual Capital?|
According to (Abeysekera, 2006) in (Wahyuni and Rasmini, 2016) defines that intellectual capital disclosure is a report that aims to meet the company's broad information needs for report users, who do not participate in the process of preparing the report so that users can obtain information. what they want.
(According to Bruggen et al., 2009) in (Asfahani, 2017) states that "Intellectual capital disclosure can help reduce information asymmetry, increase the relevance of financial statements and can increase investor confidence".
According to Suryana in Kurnia (2013) defines that. “Intellectual capital can be realized in the form of ideas as the main capital accompanied by knowledge, abilities, skills, commitment, and responsibility as additional capital. Ideas are the main capital that will form other higher capitals”.
Based on the definitions above, it can be concluded that intellectual capital is the main capital that comes from the knowledge and abilities possessed by a company, including the skills and commitment of the employees in it. The knowledge transformation process which is a hidden value or value that is not disclosed in the financial statements can be in the form of intellectual assets that will form other capital and higher value that can create value for the entire company.