Intellectual capital and corporate performance of Serbian banks

Interest in research on measuring and analyzing intellectual capital (IC) and determining its impact on corporate performance is growing. This paper explores the impact of IC, measured using the value added intellectual coefficient (VAIC), on the corporate performance of Serbian banks during the period of 2008-2011. Performance measures used include profitability, total assets, return on assets, return on equity (ROE), and employee productivity (EP). The data were drawn from published financial statements of all Serbian commercial banks and analyzed using statistical methods of correlation and multiple regression. In the case of Serbian banks our results show that human capital significantly affects EP only, structural capital determines the size of total assets and ROE, and physical capital influences profitability and ROE. © Nick Bontis, Stevo Janosevic, Vladimir Dzenopoljac, 2013.