INTANGIBLE RESOURCES AND INSTITUTION PERFORMANCE: THE CONCERN OF INTELLECTUAL CAPITAL, EMPLOYEE PERFORMANCE, JOB SATISFACTION, AND ITS IMPACT ON ORGANIZATION PERFORMANCE

Authors: SAIDE SAIDE, DIDI MUWARDI, RICHARDUS EKO INDRAJIT 



Abstract:

Purpose: The aim of this research paper is to examine the relationships between intangible assets, employee’s performance, and job satisfaction (JS) with structural model. The research explores both the practical and theoretical basis of these paradigms on organisation performance. This research also aims to identify whether a relation can be established between these aspects in the context of non-profit organisation performance in Indonesia. Design/methodology/approach: Reviewing the literature explores a theoretical existence of related context preceding the organisational performance. The authors used structural equation modelling to check the research prototype with a sample of 121 respondents. The respondents were heads of departments and general employees. In addition, SPSS was used to measure demographic, non-response bias, and generate descriptive statistics. Findings: Overall, the results demonstrate that organisation with a higher level of intellectual capital (IC), employee performance (EP), and job performance (JP) are important predictors of organisational performance in this sample. Similarly, JS and IC predicted EP. It is acknowledged that emotional intelligence such as satisfaction and dissatisfaction are important incentives to necessitate action tendencies. Research limitations/implications: This research is focused on organisations. Further research may extend the focus to different types of organisations and countries. Practical implications: The findings of this study may help institutions and HR departments to initiate new strategies such as integrating the traditional company performance measurement systems based on various indicators of this study. These factors succeed in providing an effective representation of a set of intangible assets that are developed by the company and that contribute to the improvement of company’s performance. Additionally, to maximise IC assets, the company can implement knowledge sharing practices among employees and experts as well. Original value/knowledge contribution: This research is useful for organisations and academics as a reference of the comparative and intersecting explanation of enhancing organisational performance. Moreover, various main concepts/theories are combined, namely, IC, JS, and employee’s performance to solve the obstacles of organisation performance.

Full article: https://www.worldscientific.com/doi/abs/10.1142/S1363919621500092

 

Saide Saide received the bachelor’s degree with the Department of Information System, Faculty of Science and Technology, Universitas Islam Negeri Sultan Syarif Kasim Riau-UIN SUSKA Riau, Indonesia, in 2013, the master’s degree from the Department of Information Management, National Taiwan University of Science and Technology, Taipei, Taiwan, in 2016, and the master’s degree from the Departmentof Information System, Sepuluh Nopember Instituteof Technology (ITS Surabaya), Surabaya, Indonesia, in 2016, all in information systems and knowledge management. He is currently a Lecturer with the Department of Information System, Facultyof Science and Technology, Universitas Islam Negeri Sultan Syarif Kasim Riau - UIN SUSKA Riau. He was a Visiting Scholar and Research Collaboration withTampere University, Finland, a Researcher with the Department of Information Management, National Taiwan University of Science and Technology, a Project Management with EnReach - Energy Research Center, UIN SUSKA Riau, Indonesia. He has authored numerous articles published in SSCI/SCI journals such as Big Data, Technology Analysis & Strategic Management, IEEE Transactions on Engineering Management, and Journal of Enterprise Information Management, International Journal of Innovation Management, Journal of Science and Technology Policy Management, and International Journal of Business and Society. His research interests include knowledge management, information system, and IT-business strategy.

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