Academy of Entrepreneurship Journal (Print ISSN: 1087-9595; Online ISSN: 1528-2686)

Abstract

Balanced Scorecard for Performance Evaluation of Intellectual Capital Management: A Case Study

Author(s): Donya Jasim Sahab, Ali Abbas Kareem and Sajjad Amer Dheyab

The research aims to measure the value of intellectual assets and disclose them in the company's balance sheet at a quantitative basis. The research was applied to Diyala State Company for Electrical Industries to ensure researchers have the existence of intellectual assets. However, it was not exploited in the correct way, and the research problem that lies in the company’s failure to take the research sample to measure and disclose these assets in the general budget and the difficulty of integrating them into the accounting measurement process was addressed because traditional accounting systems focus on measuring physical assets only. These assets must also be disclosed in the balance sheet, which contributes to providing the necessary information for strategic performance after integrating intellectual assets in the measurement process with physical assets recognized in accordance with accounting concepts. This hypothesis has been proven and a set of conclusions have been reached, the most important of which are: the traditional general budget is far from showing the true value of the company, and it is only a picture of the previous activity, and it shows us only the historical operations of the company, while showing the value of intellectual assets in it will show the true value of the company And the mental abilities of the company's employees not only depend on academic qualifications but also on the skill and experience gained during his time in this field. The research also came out with a set of recommendations, including: The company's management must realize that its employees are not the same, but their values differ with the extent of their ability to create and define the company's future, and the distinguished must be rewarded so that they have the ability to creativity and innovation Intellectual Capital n to achieve a competitive advantage for them, and more attention must be paid to the assets Mankind with skills and experience and developing their expertise and competencies through holding training courses inside and outside the country.

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