Effect of Intellectual Capital on Return on Assets of Insurance Firms in Nigeria

Ngozi Ben Anuonye

Effect of Intellectual Capital on Return on Assets of Insurance Firms in Nigeria

Ngozi Ben Anuonye * §

Contact

§ Babcock University, Ogun State, Nigeria

Effect of Intellectual Capital on Return on Assets of Insurance Firms in Nigeria

Article Fingerprint

ReserarchID

MBRU4LJ8

Effect of Intellectual Capital on Return on Assets of Insurance Firms in Nigeria Banner

AI TAKEAWAY

Connecting with the Eternal Ground

Abstract

Intellectual capital represents the efforts of workers towards the growth of an organization. The inability of firms to measure and quantify intellectual capital has posed fundamental problems overtime in the value measurement of firms. The purpose of this study is to evaluate the effect of IC in the value creation of insurance firms in Nigeria using their ROA. Expost facto research design was adopted in the selection of data. Primary and secondary data were employed. The target population consisted of 150 workers in the 3 strategic departments of human resources, accounts and marketing of 18 insurance companies using the purposive sampling technique. 150 questionnaires were distributed and a response rate of 74% was recorded. Face validity, content validity and pilot test were used to validate the instruments. The Cronbach’s Alpha reliability test gave a result of (r=0.806) and (r=0.800) respectively. Regression was used for data analyses at 5% level of significance.

References

60 Cites in Article

Reference Format

M Abdulai,Y Kwon,J Moon (2012). Intellectual capital & firm performance: An empirical study of software firms in West Africa.
S Ahmad,A Mushraf (2011). The relationship between intellectual capital and Business performance: An empirical study in Iraqi industries.
N Alaka,A Tijani,O Abass (2011). Impact of strategic planning on the performance of insurance companies in Nigeria.
A Almajali,S Alamro,Y Al-Soub (2012). A Comparison of financial performance in the banking sector: Some evidence from Omani commercial banks, in M. Tarawneh.
A Almajali,S Alamro,Y Al-Soub (2012). Factors affecting the financial performance of Jordanian insurance companies listed at Amman Stock Exchange.
A Almajali,S Alamro,Y Al-Soub (2012). Ownership structure & financial performance: Evidence from Panel Data of South Korea, in S. Lee.
B Appuhami (2007). The impact of intellectual capital on investors' capital gains on shares: An empirical investigation of Thai Banking.
L Asadi (2012). Investigating the effect of intellectual capital on the value creation of c companies listed in Tehran Stock Exchange.
L Asadi (2012). Measuring intellectual capital: a new model and empirical study.
M Baldini,G Liberator,T Ridi (2011). Brand transaction announcements and stock price volatility.
M Bataineh,M Al Zoabi (2011). The effect of intellectual capital on organisational competitive advantage: Jordanian commercial banks (Irbid District): An empirical study.
E Besharati,R Mazhari,S Mahdavi (2012). An investigation of relationship between intellectual capital and innovation capital with financial performance and value of companies accepted in Tehran Stock Exchange.
N Bontis (2004). National intellectual capital index: A United Nations initiative for the Arab region.
Sanjoy Bose,Keith Thomas (2007). Applying the balanced scorecard for better performance of intellectual capital.
Rhett Brymer,Janice Molloy,Brett Gilbert (2014). Human Capital Pipelines.
M Chiucchi (2013). Intellectual capital accounting in action: Enhancing learning through interventionist research.
Martin Clarke,Dyna Seng,Rosalind Whiting (2010). Intellectual capital and firm performance in Australia.
R Corcoles (2013). Intellectual capital management and reporting in European higher education institutions.
Suresh Cuganesan,Richard Petty,Nigel Finch (2007). Intellectual Capital Reporting: A User Perspective.
P Demartini,P Paoloni (2013). Implementing an intellectual capital framework in practice.
P (2003). Intellectual capital reporting in Spain: A comparative view.
L Edvinsson,M Malone (1997). Intellectual capital: The proven way to establish your company's real value by measuring its hidden brainpower.
M El-Bannany (2008). A study of determinants of intellectual capital performance in banks: the UK case.
M El-Bannany (2008). The importance of intellectual capital and its effect on performance measurement systems.
Festus Epetimehin,O Ekundayo (2011). A Study of the Factors Enhancing the Purchase of Life Insurance in Nigeria.
Eric Flamholtz,Erica Main (1999). Current Issues, Recent Advancements, and Future Directions in Human Resource Accounting.
P Goh (2005). Intellectual capital performance of commercial banks in Malaysia.
Lennox Henry (2013). Intellectual capital in a recession: evidence from UK SMEs.
Sri Iswati,Agus Widodo M.,. Hendarjanto,Azizah Anshori,Dwi Swasana (2007). Intellectual Capital Model in SME’s Tour and Travel in Surabaya.
S Javornik,M Tekavcic,M Marc (2012). An empirical investigation on the relationship between intellectual capital and firm's market value and financial performance.
Samo Javornik,Metka Tekavcic,Mojca Marc (2012). The Efficiency Of Intellectual Capital Investments As A Potential Leading Indicator.
G Kamath (2007). Intellectual capital performance of Indian banking sector.
P Kujansivu (2006). Intellectual capital performance in Finnish companies.
Aisyah Ratnasari,Heri Kahpi,Septantri Wulandari (2012). Green Human and Operational Capital on Operational Efficiency: The Role of Green Intellectual Capital.
Adel Moslehi,Ali Mohaghar,Kambiz Badie,Caro Lucas (2006). Fuzzy-AHP method for measuring Intellectual Capital in Iran insurance industry.
N Muhammad,M Ismail (2009). Intellectual capital efficiency and firm's performance: study on Malaysian financial sectors.
M Namvar,M Fathian,M Gholamin,P Akhavan (2011). Exploring the role of human capital on firm's structural capital in Iranian ebusiness industry.
Christian Nielsen,Per Nikolaj Bukh,Jan Mouritsen,Mette Rosenkrands Johansen,Peter Gormsen (2006). Intellectual capital statements on their way to the stock exchange.
Dr. O. Eke,Prof. Joy Amesi,Ogechi Gift-Eke (2011). Adoption of International Public Sector Accounting Standards and Financial Reporting Quality in Universities in Rivers State.
T Ong,L Yeoh,B The (2011). Intellectual capital efficiency in Malaysian food& beverage industry.
I Pandey (2010). Financial Management.
A Pulic (1998). Measuring the performance of intellectual potential in knowledge economy.
A Pulic (2000). VAIC -an accounting tool for IC management.
Ante Pulic (2004). Intellectual capital – does it create or destroy value?.
M Rafiei,H Ghaffari,R Parsapur (2012). Investigating the impact of intellectual capital on organizational performance: A case study in an Iranian medical science university.
S Rehman (2012). How to explore the value added impact of intellectual capital components on the productivity, profitability and market value of a firm.
W Rehman,M Ilyas,H Rehman (2011). Intellectual capital performance and its impact on financial returns of companies: An empirical study from insurance sector of Pakistan.
W Rehman,C Rehman,H Rehman,A Zahid,G Roos,J (1997). IC performance and its impact on corporate performance: an empirical evidence from Roos.
N Rowbottom (1998). THE APPLICATION OF INTANGIBLE ASSET ACCOUNTING AND DISCRETIONARY POLICY CHOICES IN THE UK FOOTBALL INDUSTRY.
R Salman,T Mahamad (2012). Intellectual capital measurement tools.
M Singh (2009). Human resource accounting: Challenge for accountants.
D Soumet (2007). Intellectual Capital Statement.
C Tongo (2010). Accounting for intellectual capital: A 21 st century responsibility for strategic Managers.
O Uadiale,U Uwuigbe (2011). Intellectual capital and business performance: Evidence from Nigeria.
Philip Vergauwen,Frits Van Alem (2005). Annual report IC disclosures in The Netherlands, France and Germany.
D Volkov,T Garanina (2007). Intangible Assets: Importance in the knowledge-based economy and the role in value creation of a company.
M Wang (2011). Intellectual capital and firm performance.
K Yahaya (2006). Impact of investment in human resource training and development on employee effectiveness in Nigerian banks.
Q Yuan (2001). Corporate intellectual capital management.
Rislanudeen Muhammad (2011). Analysis of Credit Risk, Intellectual Capital and Financial Performance of Listed Deposit Money Banks in Nigeria.

Download References

Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

Ethical Approval

No ethics committee approval was required for this article type.

Data Availability

Not applicable for this article.

How to Cite This Article

Ngozi Ben Anuonye. 2016. "Effect of Intellectual Capital on Return on Assets of Insurance Firms in Nigeria". Global Journal of Management and Business Research - C: Finance GJMBR-C Volume 16 (GJMBR Volume 16 Issue C1).

More Citation Formats

Select Citation Style:

Download Citation

GJMBR Volume 16 Issue C1

Explore Journals Explore Volume Read This Issue

Journal Specifications

Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

Keywords

Not Found

Classification

GJMBR-C Classification JEL Code: G22

Submission ReceivedDecember 16, 2015
Peer Review Double Blind
Handling Editor
Accepted January 2, 2016
Published January 15, 2016

Version of record

v1.2

Issue date

February 9, 2016

Language

English

Experiance in AR

Explore published articles in an immersive Augmented Reality environment. Our platform converts research papers into interactive 3D books, allowing readers to view and interact with content using AR and VR compatible devices.

View in VR

Read in 3D

Your published article is automatically converted into a realistic 3D book. Flip through pages and read research papers in a more engaging and interactive format.

View in 3D

Article Matrices

Total Score: 148

Country: Nigeria

Subject: Global Journal of Management and Business Research

Authors: Ngozi Ben Anuonye (PhD/Dr. count: 0)

View Count (all-time): 266

Total Views (Real + Logic): 1072

Total Downloads (simulated): 71

Publish Date: 2016 01, Fri

Monthly Totals (Real + Logic):

Month 1: 34 views
Month 2: 37 views
Month 3: 42 views
Month 4: 36 views
Month 5: 26 views
Month 6: 49 views
Month 7: 32 views
Month 8: 26 views
Month 9: 45 views
Month 10: 48 views
Month 11: 53 views
Month 12: 14 views
Month 13: 34 views
Month 14: 22 views
Month 15: 39 views
Month 16: 13 views
Month 17: 38 views
Month 18: 32 views
Month 19: 36 views
Month 20: 13 views
Month 21: 40 views
Month 22: 44 views
Month 23: 27 views
Month 24: 38 views
Month 25: 41 views
Month 26: 33 views
Month 27: 42 views
Month 28: 37 views
Month 29: 40 views
Month 30: 15 views
Month 31: 42 views
Month 32: 16 views
Month 33: 24 views
Month 34: 18 views
Month 35: 13 views
Month 36: 43 views
Month 37: 28 views
Month 38: 44 views
Month 39: 22 views
Month 40: 27 views
Month 41: 40 views
Month 42: 41 views
Month 43: 37 views
Month 44: 25 views
Month 45: 49 views
Month 46: 28 views
Month 47: 27 views
Month 48: 21 views
Month 49: 31 views
Month 50: 38 views
Month 51: 25 views
Month 52: 44 views
Month 53: 34 views
Month 54: 30 views
Month 55: 29 views
Month 56: 21 views
Month 57: 45 views
Month 58: 20 views
Month 59: 31 views
Month 60: 15 views
Month 61: 20 views
Month 62: 33 views
Month 63: 46 views
Month 64: 36 views
Month 65: 50 views
Month 66: 23 views
Month 67: 42 views
Month 68: 47 views
Month 69: 38 views
Month 70: 32 views
Month 71: 37 views
Month 72: 38 views
Month 73: 23 views
Month 74: 29 views
Month 75: 34 views
Month 76: 26 views
Month 77: 17 views
Month 78: 26 views
Month 79: 37 views
Month 80: 27 views
Month 81: 26 views
Month 82: 18 views
Month 83: 30 views
Month 84: 33 views
Month 85: 25 views
Month 86: 19 views
Month 87: 25 views
Month 88: 38 views
Month 89: 27 views
Month 90: 26 views
Month 91: 20 views
Month 92: 19 views
Month 93: 46 views
Month 94: 14 views
Month 95: 33 views
Month 96: 38 views
Month 97: 17 views
Month 98: 29 views
Month 99: 40 views
Month 100: 37 views
Month 101: 29 views
Month 102: 23 views
Month 103: 24 views
Month 104: 27 views
Month 105: 49 views
Month 106: 24 views
Month 107: 33 views
Month 108: 23 views
Month 109: 25 views
Month 110: 20 views
Month 111: 31 views
Month 112: 45 views
Month 113: 22 views
Month 114: 41 views
Month 115: 28 views
Month 116: 34 views
Month 117: 44 views
Month 118: 35 views
Month 119: 35 views
Month 120: 25 views
Month 121: 62 views
Month 122: 46 views
Month 123: 59 views
Month 124: 33 views
Month 125: 42 views
Month 126: 38 views
Month 127: 53 views
Month 128: 51 views
Month 129: 21 views

Total Views: 1.1K

Total Downloads: 71

All Trends