O'Reilly logo

Learning Organizations by Marcus Goncalves

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

Chapter 6

Having a Mindset of Knowledge Capital

As Paul Strassmann1 points out, companies should be focusing on identifying and increasing the level of what he calls “information productivity,” which he considers a key index of a company’s strength or weakness. According to Strassmann, senior management should be measuring the value added by information

[Net Profit – (Financial Capital Assets × Interest Rate for Borrowing)/ Cost of Information Management or Cost of Sales, General & Administrative + Cost of R&D]

Unfortunately, more companies are destroying knowledge assets than actively generating them. The problem is that our narrow-minded dependence on traditional accounting principles has failed to account for knowledge in any meaningful ...

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required