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organisation that shapes the “character” of the organisation. Intellectual
capital includes inventions, technologies, ideas, general knowledge,
computer programs, design, data, skills, experience, processes,
creativity, publications and so on. Figure 1 shows the three different

areas discussed above which contribute to intellectual capital. With
Knowledge at the centre of the diagram, we can see the three
components of intellectual capital and the overlap between these

components. The ability to recognise and capture the know -how is
essential to add value to the organisation. One ways in which
organisations can manage intangible assets is by aligning performance
with business strategies. This model looks at both organisational and

individual factors that affect performance, and focuses on obtaining
measurable outcomes that benefit the individual and the organisation.
Another approach is to identify core functions in the business process.

This involves the study of different aspects of the business process and
identifying the critical areas that are not in any physical form but crucial
to the various operations in the organisation. Collaborative tools such as

Intranet, workflow, interest groups, forums and interviews can facilitate
pulling experiences and insights from individuals within the
organisation.

Fig 2.1: Components of Intellectual capital

Sharing insights and best practices is a behaviour that is critical to
the success of any knowledge management system, yet getting
individuals to share their knowledge is counter to the culture found in
most organisations. This is the biggest obstacle to successful knowledge

management. Employees are more likely to share knowledge if it is