Measuring and reporting of intellectual capital: with special reference to commercial banks in Sri Lanka

Abstract

Importance and growing pressure from shareholders on Intellectual Capital (IC) have been increased over the past decades since managing, measuring and reporting oflC is becoming recognized as an important strategy for transparency and more complete information on the potential profitability and growth of organizations in competitive environment. However, Sri Uinkan companies still give little importance for the measuring and reporting of IC. Thus, the objective of this study is to develop a measuring and reporting framework for IC in Sri Utnkan contexts. This study is conducted over five limited liability commercial banking companies currently operating in Sri Lanka. Study found that measuring and reporting framework for IC was developed in western countries could be applied in Sri Lankan contexts with required adjustments based on stakeholders' prospective and available information.