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Effort to Map the Intellectual Capital in Skåne

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Effort to Map the Intellectual Capital in Skåne Master Thesis SCHOOL OF ECONOMICS & MANAGEMENT June 2004 LUND UNIVERSITY Effort to Map the Intellectual Capital in Skåne Authors: Tutor: Henrik Christiansson Leif Edvinsson Karolin Rosengren Henrik Christiansson & Karolin Rosengren Effort to Map the Intellectual Capital in Skåne BSTRACT A Title: Effort to Map the Intellectual Capital in Skåne Course: Master thesis in Strategic Management, School of Economics and Management – Lund University, 10 Swedish Credits (15 ECTS) Authors: Henrik Christiansson [email protected] Karolin Rosengren [email protected] Tutor: Professor Leif Edvinsson Date: 2004-06-18 Keywords: Skåne, Scania, Intelligence, Intellectual Capital, Municipal Intelligence, Human Capital, Structural Capital, Regional benchmarking, IC of Regions, External Resources Problem: Only using financial measures creates a one-dimensional navigation system with which it is easy to get lost. Added information will transform this into a multidimensional system where hazards and opportunities are easier to recognise. In the increased competitive economic environment this could be an edge that could be used to provide basics for growth and prosperity to municipalities. Is it possible to provide Skåne and apply the theory of intellectual capital with new information to create a more intelligence for a society where all resources are used in the best way possible to create a considerable multiplier effect? Purpose: The aim is to review the intellectual capital in Skåne on a municipal level and create a prototype of a regional intellectual map. We aim to review a number of methods used to map the intellectual capital, select and modify a method that we deem most appropriate. Method: The method is divided into five phases. First the concept of intellectual capital is established through literature studies, then four established methods are reviewed and finally the model is applied on Skåne Conclusion: This study has showed that the human capital is concentrated in the western parts of Skåne and predominantly close to the largest cities. Relation capital plays an important role for municipalities in order to achieve reach of the resources within the municipality and to use external resources within reach. Insourcing and outsourcing of resources could improve the performance and leverage on the intellectual capital. The reach of the internal resources and the supply of external resources within reach are probably more important than the administration of the municipality and the administration should shift focus accordingly. The inability to do this could result in municipal impotence – the inability to perform albeit textbook settings. Finally the current division of Skåne in 33 municipalities might be antiquated and inefficient – maybe the intellectual capital could get more turbo by leveraging several municipalities’ collective resources. 2 Henrik Christiansson & Karolin Rosengren Effort to Map the Intellectual Capital in Skåne 1 Introduction............................................................................................................5 1.1 Background.............................................................................................................................5 1.2 Problem formulation..............................................................................................................6 1.3 Purpose....................................................................................................................................7 1.4 Target group...........................................................................................................................8 1.5 Disposition...............................................................................................................................8 2 Methodology .........................................................................................................10 2.1 Initial approach....................................................................................................................10 2.2 The Research Process ..........................................................................................................11 2.2.1 Phase One - Establishing the Concept of Intellectual Capital................................................................... 11 2.2.2 Phase Two – Assessing the Established Methods..................................................................................... 12 2.2.3 Phase Three - The Case Study and Development/Applying of Model ..................................................... 12 2.2.4 Phase Four – Collecting Data and Employing the Model......................................................................... 13 2.2.5 Phase Five – Analysis and Conclusions ................................................................................................... 13 2.3 Data and Information Collection........................................................................................13 2.3.1 Primary data.............................................................................................................................................. 14 2.3.2 Secondary data.......................................................................................................................................... 14 2.3.3 Literature Search....................................................................................................................................... 14 2.4 Analytical Method................................................................................................................14 2.5 Criticism of Sources.............................................................................................................14 2.5.1 Validity and Reliability............................................................................................................................. 15 3 Theoretical Framework.......................................................................................17 3.1 Selection of Theories ............................................................................................................17 3.2 Intellectual capital................................................................................................................17 3.3 Four Different Methods of Regional IC-description ........................................................19 3.3.1 National Intellectual Capital Index - NICITM............................................................................................ 20 3.3.2 Regional Value Creation Efficiency Analysis - VAICTM ......................................................................... 21 3.3.3 Intellectual Capital Dynamic Value Approach – IC-dVALTM.................................................................. 23 3.3.4 Intellectual Capital Benchmarking System - ICBSTM............................................................................... 24 3.4 Theoretical Review and Summary .....................................................................................25 4 The Quest for Regional Intelligence...................................................................27 4.1 Introduction..........................................................................................................................27 4.2 IC of nations .........................................................................................................................27 4.3 IC of municipalities..............................................................................................................30 4.4 The Knowledge Zone ...........................................................................................................31 4.5 Intelligent Creative Municipality .......................................................................................32 4.5.1 The Importance of Networks .................................................................................................................... 33 5 Empirical Research & Model Analysis..............................................................35 5.1 Introduction..........................................................................................................................35 5.2 The Region of Skåne ............................................................................................................35 5.2.1 Review of Skåne’s Develop Program versus the IC Navigator ................................................................ 37 5.3 Our Emerging Approach of Regional IC Measuring .......................................................38 5.4 Our Distinction of Intellectual Capital...............................................................................41 5.5 Model applied - Municipality IC Benchmarking..............................................................42 5.6 Presentation of Indicators ...................................................................................................44 5.6.1 Human Capital.......................................................................................................................................... 44 5.6.2 Structure capital........................................................................................................................................ 46 3 Henrik Christiansson & Karolin Rosengren Effort to Map the Intellectual Capital in Skåne 5.6.3 Gross Regional Product ...........................................................................................................................
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