bluuebunny/crossref_metadata_2025 huggingface dataset:
Valuing Property in Receivership
Authors: Burgess Brian A.
Published: September 2004

Considers the increasingly common occurrence of insolvency.
Provides a short summary of the terminology for, and types of,
insolvency and outlines the roles of the various professionals involved
including the administrator and the receiver. Details the definitions
and most important elements of the valuation. Concludes that through the
endeavors of insolvency practitioners positive results can quite often
follow.
Golf Courses: Appraisal and Valuation (the UK Experience)
Authors: Deddis William
Published: September 2004

Notes that the development appraisal seeks to establish the
potential use value of land as a golf course. Points out that achieving
optimum productivity may be seriously hampered by the
“conservatism” of planning authorities reluctant to allow
added value in the form of other facilities, particularly any associated
housing development and especially in metropolitan greenbelts. Concludes
that developers will recognise the need to initiate market researched
appraisal‐led schemes and planners will have to reconcile market forces
with environmental objectives.
The Appraisal Profession in the USA
Authors: Newell Graeme , Mooney Steven
Published: September 2004

Outlines the nature of the appraisal profession in the USA. Notes that the USA has moved towards industry self‐regulation via licensing and the establishment of minimum appraisal standards since 1990. Concludes that the role of the Appraisal Institute and the Appraisal Foundation have been paramount in these important developments.
Investment Valuation and Forecasting Methods
Authors: Graaskamp James A.
Published: September 2004

Discusses the valuation and forecasting methods principally used in
the USA to determine the worth and market value of a real estate asset.
Notes that the decision to buy or sell a real estate asset will be
influenced by the pricing techniques of the real estate broker, the
appraisal methodology of the appraiser and the internal analysis of the
investor. Concludes that the process of real estate appraisal is
intrinsically linked to the cultural and statutory process of the
subject market.
Institutional Constraints on, and Forces for, Evaluation of
Appraisal Precepts and Practices
Authors: Graaskamp James A.
Published: September 2004

Discusses the issues confronting the appraisal industry in the USA
at the original date of publication (1986). Notes that there was an
observable lack of effort by the relevant professional appraisal groups
in the USA to provide a continuous and vigorous review of methodology to
meet the new challenges of the market‐place. Suggests that it is
apparent that improvements in techniques will occur when social
institutions become self‐conscious about the adequacy of the procedure,
and where the benefits of improvements are perceived to be greater than
the cost of implementation.
Fundamentals of Real Estate Development
Authors: Graaskamp James A.
Published: September 2004

Notes the real estate development process involves three major
groups – a consumer group, a production group and a public
infrastructure group. Comments that a major limitation shared by all
groups is that each has a cash cycle enterprise which must remain
solvent to survive. Concludes that the best risk management device for
the producer group is through research so that the development product
fits as closely as possible the needs of the tenant or purchaser, the
values of the politically active collective consumers and the land use
or the ethic of the society.
A Framework for Real Estate Feasibility Research
Authors: Malizia Emil
Published: September 2004

Applies, modifies and extends the basic taxonomy Professor
Graaskamp developed for feasibility studies to present a framework for
understanding how market analysis and feasibility research are carried
out. Situations are modified and the relevant actors and feasibility
problems applicable to each situation are identified and discussed.
Finally makes explicit the role of the developer in the context of the
development process and the nature of feasibility analysis that is the
most appropriate for developers as clients.
Rating of Markets
Authors: Heal Nicholas , Plimmer Frances
Published: September 2004

Considers the problems of rating valuations for street and indoor
markets. Discusses the most suitable way to solve them using three
different types of market as examples. Queries whether the rates bill
should be charged to the landlord or the occupier of the individual
stall. Provides guidelines for the rating valuation of markets
throughout the country.
The Valuation Profession in Australia
Authors: Newell Graeme
Published: September 2004

Outlines the nature of the valuation profession in Australia. Notes
that the profession has recently undertaken important developments in
order to enhance its professional status and standards. Comments on the
role of the Australian Institute of Valuers and Land Economists which
has been crucial to these developments.
Market Value: The Sacred Cow
Authors: Horsley Graeme J.
Published: September 2004

Considers the problems which have arisen in recent years from the
many definitions of ′market value′ which occur in various parts of the
world. Suggests there is a need for a common language and the avoidance
of terms which tend to confuse the issues involved rather than clarify
them. Deals with the concept of forced sale and makes reference to the
vital role of the International Asset Valuation Standards Committee.
Building Society Mortgage Valuation Fraud
Authors: Gronow Stuart
Published: September 2004

Reviews the various types of fraud in which a building society
mortgage valuer may become involved. Considers the possible conflicts of
interest which could lead to fraudulent practices. Recommendations are
made for improving the consistency and accuracy of building society
mortgage valuations together with suggestions for ensuring that the
valuer is truly independent.
The Initial Yield Revealed: Explicit Valuations and the Future of Property Investment
Authors: Baum Andrew E. , MacGregor Bryan D.
Published: September 2004

Starts from the basic principles of property investment and shows that the initial yield conceals estimates of a risk premium, expected income growth and expected depreciation. Suggests that an explicit valuation procedure which can be used at any level ranging from a single property to the aggregate market may be constructed. Concludes that the surveying profession is under threat from those able to meet the growing demand for such explicit analyses.
The Effect of Unrestricted Sunday Trading on the Spatial
Pattern of Retail Rents
Authors: Barkham Richard
Published: September 2004

Considers the potential impact of seven‐day trading on the spatial
pattern of retail rents. Notes that the Institute of Fiscal Studies
predicts that Sunday trading will have no appreciable effect on the
overall level of turnover in the retail sector resulting in a decline in
the real value of retail rents. Concludes that shopping areas in large
town centres are most vulnerable to a decline in retail activity.
Methodology and Convention in the Standardisation of Retail
Rents
Authors: Crosby Neil , Keogh Geoffrey , Rees Geraldine
Published: September 2004

Examines the methodological issues that arise in generating
standardised transaction data for use in analysing the determinants of
retail rents. Looks at the issues raised by the use of comparative
information and the existence of widely accepted conventions for
adjusting comparative evidence to allow for the specific physical and
legal characteristics of individual properties. Concludes by questioning
the need to test valuation convention against market evidence and the
notion of open market value is reassessed.
Hotel Valuations: the Income Capitalisation Approach
Authors: Menorca Elizabeth S.
Published: September 2004

Discusses hotel valuations based on a ten‐year forecast of income
and expense and a discounted cash flow analysis allowing a valuer to
factor in a recovery in demand. Argues that many practitioners would
agree that the most reliable estimate for open market value for a hotel
is arrived at by examining the profit potential of the subject property.
Concludes that the importance of this approach should be based on a long
term forecast of income and expenditure in today′s marketplace where
hotel values, as with other forms of commercial property, have suffered
a decline.
The Valuation of Commercial Property for Sale by Auction
Authors: Manley Jonathan
Published: September 2004

Seeks to address the problems inherent in valuing a property for
sale by auction, both in terms of likely selling prices and in fixing
suitable reserves. Considers auction valuations, forced sales, limited
time constraints, properties suitable for auction, likely selling
prices, the fixing of reserves and special purchasers. Concludes that a
valuer who is regularly active in the auction market should be readily
able to assess the suitability of a property for auction and give
guidance to a vendor client.
Valuation of Contaminated Land: Current Theory and Practice
Authors: Sheard E Martin
Published: September 2004

Suggests which valuation approaches should be adopted for
appraising properties that are already treated or intended for
development. Considers questions of ill‐informed market evidence,
continuing liabilities, comparison of long‐term and short‐term
advantages, grants and planning gain. Concludes that many in the
property business will have to become more conversant with the mysteries
of contamination.
The Profit Method of Valuation
Authors: Colborne Ann , Hall Phillip C.L.
Published: September 2004

Considers that the relationship between a property′s trading
potential and the tenant′s ability to pay rent is the basis of one of
the five recognised methods of valuation: the profits (or accounts)
method. Discusses the basic concept behind the methodology and
investigates the circumstances under which surveyors currently use
profits within their valuations. Concludes that more discussion between
valuers and their clients on how they arrive at their valuations and the
definitions of value that they use would be beneficial.
The Cost Approach to Valuation
Authors: Connellan Owen , Baldwin Richard
Published: September 2004

Outlines a new classification system for buildings and proposes
that a new methodology, discounted asset rents (DAR), is used to address
the situation. Notes that it has long been accepted that cost can be a
valid basis for valuing ‘no market′ properties. Mentions the contractors
test, as used in rating, and techniques for ascertaining depreciated
replacement costs. Finally a practising valuer comments on the findings
of the research.
Development Valuation Techniques
Authors: Marshall Phillip , Kennedy Chris
Published: September 2004

Investigates the methods and techniques by which development
companies and their advisers value land and projects for development and
redevelopment. Comments on the effect of the methodology on residential
and commercial land prices in the property market. Concludes that the
fault with appraisal techniques lies more with the input of inaccurate
information and lack of objectivity rather than the actual technique
used.
Revisionary Freeholds: Problems with Over‐renting
Authors: Crosby Neil , Goodchild Robin
Published: September 2004

Examines the valuation of property investments let at rents in excess of their estimated rental values. Summarises the conventional and contemporary approaches to market valuation. Exposes the limitations of the models via an examination of some actual valuations taken from the UK property market. Concludes that future rental growth prospects must be dealt with explicitly in these valuations.
Authorised Property Funds
Authors: Inglis Alex
Published: September 2004

Looks at the nature of property unit trusts and their
attractiveness to different types of investors. Considers the prospects
for a successful launch of property funds. Outlines the main features of
authorized property funds (APFs) and implications of these proposals for
the property market and operators in the market with particular
reference to the Australian experience. Concludes on the likely impact
of APFs and highlights the lessons to learned by the UK from the
Australian experience.
Fraud and Negligence Claims against Surveyors
Authors: Mazure N.R. , Trigg Waddell J.C.
Published: September 2004

Seeks to tackle in the broadest possible terms the legal and
practical aspects of fraud and negligence claims in relation to
residential mortgage valuations and surveys carried out by the surveying
profession. Includes underwriting, lenders claims, defective property
and valuation for mortgage purposes. cites case law regarding the
difference between open market value and mortgage calculation. Concludes
that the valuation for mortgage purposes may lead to an entirely
different conclusion from open market value.
Reinvestment Rate Risk Analysis
Authors: Crean Michael J.
Published: September 2004

Offers an analytical tool that measures reinvestment rate risk.
Expands the knowledge of the concept of reinvestment vis‐...‐vis the
internal rate of return via the external rate of return. Concludes that
investors should prefer investments that are less sensitive to
reinvestment rate assumption than vice versa.
A Comparative Analysis of the Major Determinants of Office
Rental Values in Europe
Authors: Giussani Bruno , Hsia Marshall , Tsolacos Sotiris
Published: September 2004

Presents an empirical investigation of office rental trends for
some of the largest cities in Europe. Uses annual data for the period
1983‐91 to test the changes in rental values and fluctuations in
economic activity. Includes a review of previous office market studies
and an assessment of the research direction and information requirements
of current European property research. Suggests that European rental
values are determined by similar demand‐side variables and, in
particular, real gross domestic product (GDP).
ACADEMIC PAPERS: Are real estate and securities markets integrated? Some Australian evidence
Authors: Wilson Patrick , Okunev John , Ta Guy
Published: September 2004

Conventionally, between 5 and 20 per cent of a portfolio is invested in real estate. Whether this is prudent diversification or not depends on whether property and other financial assets markets are integrated. The notion of market integration/segmentation across the economy is of central importance. Disturbances in market fundamentals in a given market generate movements of capital into and out of the affected market. If various markets are well integrated, then it is expected that a high degree of asset substitution will take place, such substitution having a significant impact on price fluctuations in the relevant market. On the other hand, if markets are not integrated, then this has significant implications for portfolio investment where managers seek to develop well‐diversified portfolios as a means of risk reduction. Recent literature has recognized the need to understand and measure the degree of market integration, and research has focused on techniques to do this. Studies have attempted to measure the degree of integration in money and bond markets, real assets markets and among international real estate investment trusts. Uses cointegration techniques to examine the extent to which physical real estate markets and financial assets markets are integrated. Tends to support the notion of market segmentation and, by default, supports the conventional wisdom of diversification between real estate and other financial assets.
Unit selection and the sales comparison approach
Authors: Moliver Donald , Boronico Jess
Published: September 2004

Reports the results of an empirical investigation conducted for the purposes of exploring the issue of unit selection and the sales comparison approach. The proximate motivation of this study was in determining how non‐reinforcing appraisal estimates may be addressed. The investigation proceeds by exploring two possible criteria through which the reliability of appraisal estimates may be measured. The first involves the percentage error made in price per unit of comparison (UOC), while the second concerns the total valuation error in the appraisal of real property. Results involve the utilization of the coefficient of variation and the Markov inequality, and may assist appraisers when different units of comparison yield non‐reinforcing estimates of value. It is shown that maximum confidence in guaranteeing that the percentage error between the estimated and actual price per UOC lies within a tolerance level chosen ex‐ante obtains through choosing the UOC with the minimum coefficient of variation. Total valuation error is minimized as a function of the standard deviation for the price per UOC, the sample size, and the UOC’s value for the real property being appraised. While minimum per unit percentage error may be obtained utilizing a particular UOC, the minimization of total valuation error may imply the utilization of an alternative unit. It is shown for the empirical analysis conducted, that when two common units of comparison are considered ‐ acreage and front footage ‐ both percentage and total valuation error were minimized through the use of price per acre rather than price per front foot.
PRACTICE PAPER: Investment valuation Developments from the Mallinson Report
Authors: French Nick
Published: September 2004

Following the publication of the Mallinson Report in March 1994, the Royal Institution of Chartered Surveyors undertook a survey of Valuation Practice in the UK in accordance with Recommendation 25 of the report. In January 1995 questionnaires were sent out to a cross‐section of practitioners in the market. The responses represented a wide range of experience, geographical location and type of work. The majority of respondents spent more than 50 per cent of their time undertaking valuations. The questionnaire distinguished between valuations undertaken for pricing (asset valuations, sale/purchase advice, CPO, etc.) and calculations of worth, where the role of the valuer was to analyse the investment for a specific purpose for a specific client. Respondents were asked to indicate whether they tended to adopt a “traditional” model or a “DCF” model for the valuation of a number of different types of investment. These were rack‐rented freeholds, reversionary freeholds, over‐rented property, short leaseholds and long leaseholds. In the replies there was a consensus opinion that, when undertaking calculations of worth, the DCF method should be used as the principal method but tempered with the use of traditional techniques alongside. Conversely, when pricing property the traditional method was considered to be the appropriate tool, although many respondents said that they would also use DCF techniques on the more “unusual” interests such as over‐rented. With regard to the actual method adopted, most valuers using traditional methods favoured the use of an all‐risk/equivalent yield approach using layered income flows. Those using DCF preferred the short‐cut approach with a reversion to a sale price after the first change of income. Clearly suggests that there is a greater understanding of explicit techniques than anecdotal evidence had previously suggested.
EUROPEAN PAPER: Diversification of Swiss portfolios with real estate, Results based on a hedonic index
Authors: Hoesli Martin , Hamelink Foort
Published: September 2004

Aims to re‐examine the role that can be played by real estate in Swiss mixed‐asset portfolios. For this purpose, constructs a constant quality price index for apartment buildings in Geneva. Also uses data pertaining to real estate mutual funds. In real terms, and after taking into account the illiquidity of real estate, the results suggest that the optimal portfolio composition is 20 per cent for stocks, 53 per cent for bonds and 27 per cent for real estate. Real estate mutual funds could also be included in a small proportion in the portfolio.
Market participants’ reactions toward contaminated property in New Zealand and the USA
Authors: Bond Sandy , Kinnard William N. , Worzala Elaine M. , Kapplin Steven D.
Published: September 2004

While numerous studies have been carried out in the US to determine the character and scope of the effects of contaminated, threatened or “stigmatized” properties on the terms and availability of debt financing, little appears in the published literature dealing with the attitudes, policies and requirements of equity investors. Hence, the extent of opposition from both institutional lenders and equity investors toward contaminated property is still uncertain. This paper summarises the results of parallel studies undertaken within New Zealand (NZ) and the USA to answer the question of how those who lend on, and invest in, property affected or impacted by contamination perceive the risks associated with this type of investment and evaluate its impacts. Of particular interest are the perceived effects of on‐site contamination on property investment and its financing.
Contributory negligence involving overseas European banks in property valuation negligence cases in the UK
Authors: Crosby Neil , Lavers Anthony , Murdoch John
Published: September 2004

Examines the phenomenon of cross‐border property lending and some issues regarding lending procedures and decision‐making processes in the context of the relationship between lender and professional adviser. Commences by placing these procedures and processes in the context of the development of cross‐border European property investment and finance. The UK has been a popular destination for overseas investors and lenders over the last decade and is therefore used as a case study to examine the additional institutional risk that overseas lenders may face when operating outside of their own country and obtaining advice from home professionals. The research identified a lack of clarity in roles and relationships between lender and adviser, difficulties in communications both internally and between overseas branches and headquarters and failures in provision and interpretation of advice. Concludes by identifying the issues which may need to be addressed generally by lenders and their advisers, when lenders are operating in overseas markets.
A hedonic price model of office rents
Authors: Dunse Neil , Jones Colin
Published: September 2004

The primary objective of this study is to apply hedonic regression techniques to an office market to identify and quantify the significant contribution of the different attributes to office rents. This technique is widely used in the analysis of housing markets but an extensive literature review reveals little application in commercial property markets. The study analyses a sample of 477 asking rents, together with a series of locational and physical attributes, for the City of Glasgow. The results explain approximately 60 per cent of variation in rents across the city, emphasizing the importance of age and location as principal determinants of rents.
Assessing the development potential of historic buildings ‐ a case study
Authors: Wrigley Michael , Hughes Stephen
Published: September 2004

Some particular valuation problems are raised by the development of buildings which are protected for reasons of historical or architectural merit. The experience of Plymouth Development Corporation in seeking to secure the regeneration of the Royal William Yard is a case in point. The Corporation was established in 1993 for a period of five years and one of its principal tasks was to find new uses for the former Royal Naval Victualling Yard which contains ten buildings scheduled as ancient monuments. The Corporation prepared a development strategy for the Yard and adjacent areas incorporating improved access and parking and a mixed‐use brief for other buildings. A compulsory purchase order was issued and, following a lengthy public inquiry, it was confirmed. MEPC was subsequently selected as lead developer with the anchor use being a factory outlet centre. Even with MEPC’s involvement there was a need for a significant level of gap funding. At the end of the Corporation’s life, in March 1998, the deal with MEPC has still to be completed and responsibility passed to English Partnerships.
Unsmoothing property returns with the implied cointegration relationship
Authors: Wang Peijie
Published: September 2004

The paper proposes a multivariate approach to unsmoothing the valuation‐based property return indices, utilising information embedded in other variables implied by their underlying economic relationship and cointegration relationship. The approach is then applied to the UK property return indices, and smoothing in the indices is detected and corrected.
Efficient management of public sector assets The call for correct evaluation criteria and techniques
Authors: Bond Sandy , Dent Peter
Published: September 2004

Research undertaken by the authors over the last two years has revealed a number of problems in valuing non‐market, non‐investment properties in the public sector. The first part of the article draws together some of the literature in the area of public sector asset valuation and management. This is intended, first, to highlight current thinking about the issues involved in the valuation exercise, second, to focus on some of the unresolved aspects and, finally, to suggest areas for further consideration to help resolve these.The second part of the article provides an introduction to, and critical examination of, the valuation methodology commonly used to value specialised property assets. Possible alternative approaches are suggested, which may better enable authorities to assess the performance of their assets and integrate these into the management processes.
Treatment of uncertainty in appraisals of commercial properties Some evidence from Sweden
Authors: Ekelid Mats , Lind Hans , Lundström Stellan , Persson Erik
Published: September 2004

The article is based on a study of 100 appraisal reports from the period 1980‐1996, covering a full property cycle. A number of aspects related to uncertainty were investigated. Among the results are: The appraiser often used both a sales comparison and an income method. Both methods usually led to very similar results, probably because the appraiser used an iterative procedure to make the results converge. During the boom years, the value was usually presented as a point estimate or a narrow range. After the crash, point estimates are unusual and wider ranges dominate. Sensitivity analysis were almost never used during the boom. Thereafter it can be found in about 50 per cent of the reports. During the boom it became more common to make explicit reservations stating that the appraisal only concerned the market value “now”, and that no statement is made about the future market value. The results are in line with observations from other countries pointing to the neglect of uncertainty during the boom years. Finally it is recommended that at least qualitative information should be given about the strength of the evidence and about the probability distribution of actual prices. How the values on the relevant market have developed during the last ten years should be presented so that the client can judge the variability of the market value.
Approaches to business process analysis: a review
Authors: Biazzo Stefano
Published: September 2004

Managing processes with the aim of improving them necessarily requires both analysis and critical evaluation of organizational practice. This article takes up the theme of business process analysis with the aim of highlighting and comparing alternative techniques and approaches. Four approaches have been identified: action analysis, process mapping, co‐ordination analysis and social grammar analysis. An interpretative model of the fundamental differences between these approaches is proposed. This paper discusses both the limits and the possibilities offered by each approach and concludes with a reflection on the problem of integrating diverse analytical perspectives.
SAP and business process re‐engineering
Authors: Martin Ian , Cheung Yen
Published: September 2004

To remain competitive many businesses in the 1990s have undertaken business process re‐engineering (BPR) projects re‐organizing and re‐structuring their business operations. At the same time the need for an IT business solution has enabled integrated business packages such as SAP’s R/2 and R/3 to quietly dominate the IT systems industry. Although the successes and benefits of SAP have been widely published, there is little literature on the problems associated with embracing such an integrated and unique system. The paper results from a case study of the evaluation and implementation of SAP by a very large US multinational corporation in its European, Australian and New Zealand businesses. The different approaches to the installation of an integrated core system and BPR are explored. Problems and lessons that can be learnt from the company’s experiences are also highlighted in this paper.
Electronic commerce: re‐engineering the buyer‐supplier interface
Authors: McIvor Ronan , Humphreys Paul , Huang George
Published: September 2004

The aim of this article is to show how electronic commerce can fundamentally change the inter‐organisational processes at the interface between the buyer and supplier. It will be shown how electronic commerce is not only enabling the redesign of internal organisational processes but is extended into both the buyer and supplier organisations. Three case studies are presented outlining how various electronic commerce technologies have been implemented in a number of buyer supplier environments. These case studies illustrate the benefits that organisations can achieve through the effective implementation of electronic commerce technologies such as electronic data interchange (EDI) and the Internet. It is also shown how in many instances electronic commerce is radically changing the way in which organisations have traditionally traded.
Business process re‐engineering implementations using Internet technology
Authors: Wells Michael G.
Published: September 2004

Examines factors affecting the implementation of business process re‐engineering (BPR) projects using Internet technology. Although there has been some empirical investigation of BPR, no research to date has specifically examined BPR when Internet technology is used during implementation. Radical changes may occur as a result of an organization’s BPR implementation causing a BPR project to be unsuccessful. BPR failure rates have been reported as high as 70 percent, making implementation issues especially important. Each information technology (IT) used during BPR implementation may affect managerial factors differently. By determining factors that affect BPR implementation using a specific IT, these factors can be managed to increase the chance of a successful BPR implementation. Uses a survey methodology and correlation analysis to gather information about the relationship between organizational enablers and successful BPR implementations using Internet technology. The factors examined in this research were: egalitarian culture; resource management; resistance management; and change management.
Exploring the relationship between information technology, infrastructure and business process re‐engineering
Authors: Bhatt Ganesh D.
Published: September 2004

Business process redesign (BPR) is a management technique to radically transform organizations for dramatic improvement. Information technology (IT) plays a critical role in BPR. The present study examines the links between IT infrastructure and BPR. The moderating effects of industry type, and information intensity of the firm are also analyzed. Data for the study were gathered through a survey ofFortune500 US firms at divisional levels. Out of 1,200 questionnaires mailed toFortune500 firm‐divisions, 124 responses were received. Out of 124 firm‐divisions 73 firm‐divisions were found to be adopting BPR techniques; 39 firm‐divisions were found to be adopting incremental improvement approaches. The rest of the responses were incomplete and could not be used. For data analysis, therefore, only 73 firm‐divisions were considered. The results of the study support the hypotheses that network infrastructure affects the dimensions of BPR (process improvement thrust, and customer focus), but data integration was not found to be significantly affecting the BPR dimensions. The moderating effect of industry type was found to be significantly affecting the relationship between network infrastructure and BPR dimensions. Other relationships were not found to be significant.
Intellectual capital: a human capital perspective
Authors: Nerdrum Lars , Erikson Truls
Published: September 2004

In this article, intellectual capital is seen as complementary capacities of competence and commitment. Based on theoretically and empirically robust human capital theory, we define intellectual capital as individuals’ complementary capacity to generate added value and thus create wealth. Resources are then perceived to be both tangible and intangible. This view is an extension of human capital theory to include the intangible capacities of people. Implications for future research are discussed.
ICBS – intellectual capital benchmarking system
Authors: María Viedma Marti Josep
Published: September 2004

Researchers in the area of strategic management agree on the key role of knowledge as a source of sustainable competitive advantage, but very few know how to manage knowledge that produces value or intellectual capital in an efficient way. Intellectual capital benchmarking system (ICBS) is trying to fill this gap using benchmarking techniques, and facilitating the process of learning from the best competitors. ICBS is at the same time a new strategic management method and a new strategic management tool that allows companies to benchmark core competencies or intellectual capital against world class best competitors of the same business activity. When using ICBS in an orderly systematic and repetitive way, we obtain competitiveness balance sheets that complement and perfect financial balance sheets and lead companies to leveraging intellectual capital. The system has been tested and successfully implemented in more than 30 European enterprises.
Engaging the human spirit: a knowledge evolution demands the right conditions for learning
Authors: Mellander Klas
Published: September 2004

Your ability to transform your company to meet future market challenges depends on your ability to engage the human spirit – to capture the hearts and minds of people so they embrace change and take the appropriate actions on the job to improve business performance. The author, a learning design consultant with 30 years of experience uses four common business scenarios – a new economy start‐up, a traditional manufacturer, a high concept business and a consultancy – to illustrate the learning challenges inherent in each and to provide action steps for improving the conditions for learning. The author provides checklists for assessing your organization’s ability to successfully implement strategic KM programs and to determine the effectiveness of any learning program.
Assessing intellectual capital creation in regional clusters
Authors: Pöyhönen Aino , Smedlund Anssi
Published: September 2004

To provide a theoretical model of the dynamics of intellectual capital creation in regional clusters and in inter‐organizational networks. The model has been constructed on the basis of earlier studies, especially system's theoretical interpretation of organizations as knowledge systems, and then applied to the examination of a regional cluster operating in the mechanical wood processing industry in Eastern Finland. Intellectual capital in regional clusters is created by three main knowledge creation activities, each of which corresponds to a specific type of an inter‐organizational network. First, production networks aiming at efficiency and replication should function according to mechanistic system logic, focusing on the enactment of rules and regulations. Development networks aiming at continuous incremental development, on the other hand, are most successful when adhering to an organic mode, which emphasizes participation, tacit knowledge sharing, dialogue and mutual adjustments. Finally, innovation networks seeking to produce new intangible assets benefit from a dynamic systems model, where entropy and spontaneous knowledge flows form the basis for mastering radical change. Model should be applied to more cases to ascertain its validity. Provides means for understanding, assessing and managing creation of knowledge‐based value in inter‐organizational collaboration. Addresses three gaps in existing research: it focuses on regional intellectual capital; it examines the ways in which intellectual capital is created as a dynamic process; it provides means for understanding the future potential of a region.
Intangibles: A synthesis of current research
Authors: Kaufmann Lutz , Schneider Yvonne
Published: September 2004

Intangibles are becoming increasingly important to the scientific community as well as the business world. This is mainly due to a highly competitive business environment combined with exceptionally limited resources and the growing importance of knowledge as a commodity. The fluctuating differences between market and book values of companies indicate the extent of the intangibles' rising importance. By focusing on major publications since 1997, this paper critically analyzes current trends and differing views in this field. The publications are analyzed according to their content and methodologies. Review of the literature clearly shows that most publications in this area still lack a theoretical foundation. A large number of differing terms and definitions are present. Much of the literature analyzed here also fails to provide detailed suggestions for the management of intangibles, be they theory‐based or empirically‐derived. Discussion of these issues generally remains on a very abstract level. Research on intangibles is characterized by a large variety of views and interpretations – dominant schools of thought have yet to develop. This situation offers much opportunity for further research in this important field of management.
Intellectual capital: Measurement effectiveness
Authors: Kannan Gopika , Aulbur Wilfried G.
Published: September 2004

Intellectual capital (IC), knowledge management and intangible assets are important factors in determining the value of an organization, as reflected in the growth of the knowledge management industry. There is however, a lack of effective measurement techniques to specify and optimize the value of IC. This paper presents a detailed review of existing techniques and establish the need for a more comprehensive approach. The proposed framework addresses IC valuation issues across the IC cycle. People, process, and technology are measured and correlated in the final step with social and financial measures, thus providing a new framework.
Introducing intellectual potential – the case of Alfa Laval
Authors: Nilsson Carl‐Henric , Ford David
Published: September 2004

Intellectual capital has gained increasing attention concerning both research and more practically oriented applications during the past five years. Intellectual Capital and other knowledge management tools are topics that have emerged in the light of a broader trend of redirecting the foundation of competitive advantage from the company's tangible assets to its intangibles such as knowledge base, brands and the content and structure of computer‐based systems. In this paper, the concept of intellectual potential is introduced. Intellectual potential is a further development of intellectual capital, using four principles: strategy basis; management orientation; process orientation; and context sensitivity. The concept is a tool for the strategic management of an organisation's intangible assets in order to increase its long‐term revenue‐generating capabilities. The case of Alfa Laval is used as an illustration of how intellectual potential can add value as a management tool.
Intellectual capital: Mapping employee and work group attributes
Authors: Carson E. , Ranzijn R. , Winefield A. , Marsden H.
Published: September 2004

This paper aims to extend the understanding of human and structural capital as key components of intellectual capital by refining their definitions and outlining their relationships. It argues that psychology and sociology can further develop the understanding of intellectual capital despite having not previously been sufficiently recognised as relevant to the debate. The paper draws on these disciplinary areas to develop a model that specifies subsets of human and structural capital, of intellectual capital and the relationship between them, as a basis for a more comprehensive definition and effective measurement of it across a range of industries and firms. Finally, it argues that it is important for employers to determine how to capture human capital and convert it into structural capital so that it is not lost in times of rapid restructuring and high staff turnover.
Consumer originated value: A framework for performance analysis
Authors: Byus Kent , Lomerson William L.
Published: September 2004

While the marketing concept provides the strategic motivation that continues to turn American business towards the marketplace, little attempt has been made to create a metric that is specifically intended to reflect the role and importance of the consumer on improved organizational performance, especially when evaluating intangibles as services and intellectual contribution. Traditionally, productivity measures have been used to evaluate performance improvement that are internally originated and not externally oriented, as suggested by the marketing concept. Therefore, productivity measurement generally fails to measure the customer/consumer originated value developed by service processes and does not account for performance improvement due to other highly intangible factors such as quality or difficult to quantify consumer benefits. Herein, customer/consumer originated value is explored as a basis for organization wide performance measurement that is synchronous with the market driven directive: customer focus. The authors present a theoretical framework that develops and supports the use of value based performance measures.
University R&D&T capital: What types of knowledge drive it?
Authors: Rodríguez Castellanos Arturo , Landeta Rodríguez Jon , Youlianov Ranguelov Stanislav
Published: September 2004

In universities, an important part of intellectual capital is the research‐ development‐transfer capital (R&D&T capital), due to the process of creation of scientific and technical knowledge and its transfer to the social environment. The aim of this paper is to identify the types of knowledge that act as drivers of R&D&T capital in a public university. To this end, first key knowledge types in reference to the strategic objectives of the university are identified, through both examination of documents concerned with the objectives and plans of the university and meetings with leading officers of it. Second, the activities involved in the process have been analysed through in‐depth personal interviews with a group of heads of research teams at the university. The results of the interviews have received both qualitative and statistical analyses. Subsequently, a definitive list of key types of knowledge as drivers of university R&D&T capital is also presented.
Customer Service: A Competitive Covenant
Authors: Wagner William B.
Published: September 2004

Customer service is a prerequisite for both developing and
maintaining lasting buyer‐seller relationships. Long‐term benefits have
been proved over time. As a strategic element of the marketing mix, it
is no longer dismissed on the basis of cost. Customer service issues
involved, including the importance of evaluating the service price tag
correctly, guarantee of supplies and transport are discussed, and
actions required to provide industrial marketeers with a differential
advantage and a strong hedge against competitive pressures at home and
abroad are presented.
Management Development: A Look to the Future
Authors: Limerick David , Cunnington Bert
Published: September 2004

Current management development techniques are obsolete. The West
has passed through three eras ‐ those of the classical model, the human
relations model, and the systems model. The authors, after a research
study involving the CEOs of 50 major Australian organisations, believe
that organisational thinking is taking a new direction. Development
techniques are moving towards more holistic, empathetic,
culture‐sensitive technology. The nature of the fourth
“blueprint” is analysed, and the managerial competencies it
will demand are outlined.
Corporate Culture
Authors: Gorman Liam
Published: September 2004

The study of corporate culture is a valuable contribution to the
study of organisations. Corporate culture consists of values, norms,
feelings, hopes and aspirations held by members of organisations. These
aspects may not be instantly discernible; however, it is important that
managers are aware of culture; a shared culture contributes greatly to
company success. The article concludes that managers can manage culture
and cultural change by becoming more aware of the deeper assumptions of
culture and how they are upheld.
Consulting Experiences
Authors: Margerison Charles J.
Published: September 2004

Adapted from the author′s book, Managerial Consulting Skills, here he reflects on the unseen and occasionally amusing aspects
of a consultant′s work. Most of the major problems can often occur
before the assignment starts – and then unlikely events can
intervene. The author recounts his own experiences of travelling abroad
as a consultant adviser. He also stresses the importance of flexibility
and sensitivity towards seminar participants.
Innovation: Sources and Strategies
Authors: Morden Tony
Published: September 2004

The process of innovation is inherently risky and unpredictable.
There is, therefore, good reason to plan strategically for the
implementation of the innovative process within the enterprise. Such
strategic planning may help to minimise risk, ensure that a return on
investment in innovation can be made, and enhance corporate chances of
long‐term survival. This is the first of two linked articles on
strategies for innovation and their implementation. The purpose of this
article is to examine the strategic process of planning implementing
innovation within the enterprise. It does this by analysing some of the
major sources of innovative opportunity open to the enterprise, and
considering some of their practical implications; examining three
practical innovation strategies which are to be found in both large and
small enterprises; and by outlining some basic prerequisites to
successful innovation strategies.
Fad Labelling: The Curse that Can Kill Organisational
Change
Authors: Dunsing Richard J. , Matejka J. Kenneth
Published: September 2004

A light‐hearted and humorous look at fad labelling is presented in
this article. A fad is a “transient enthusiasm”. When used
as a protective measure, fads can help kill bad ideas early. However,
new and creative good ideas are also at risk of becoming fads. In order
to gain acceptance, new ideas must be built into the reward system of
organisations – and any association with fads must be prevented.
Out of Bedlam: Management by Quality Leadership
Authors: Price Frank
Published: September 2004

Possible responses to a changing world are looked at in terms of an
amusing case study and analysed from the viewpoints first of total
quality management (statistical process control, variables and
attributes analyses, very important people) and then of marketing
strategy (quality as competitive edge, the supply chain concept).
A Study of Quality Circles in Whitecollar Areas
Authors: Temple A.I. , Dale B.G.
Published: September 2004

A study carried out at UMIST of the operation of white‐collar
circles in manufacturing firms is reported. Despite the problems
associated with initiating and sustaining white‐collar circles, it is
not suggested that they should be avoided.