Discussion of 'Does Measuring Intangibles for Management Purposes Improve Performance? A Review of the Evidence'

Summary

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Intangible assets are the patents that protect medicines that take over ten years of high risk research and development (R&D) to create; they are the trademarks that protect consumer healthcare brands; and in other industries they are the intellectual property that have generally taken years of investment and consumer experience to create. In the author's present business there are a number of non-financial measures that provide an assessment of the intellectual property that drive the majority of the value of the business. These include, as you would expect in the pharmaceutical industry, safety monitoring but also market share and other customer market data that monitor the relative strength of the company's products. In conclusion, measuring intangibles which represent the most significant part of many companies' value is important in improving performance. Increasingly in the 21st century, enhancing the value of intangibles will be key to future wealth creation and economic prosperity.

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Discussion of 'Does Measuring Intangibles for Management Purposes Improve Performance? A Review of the Evidence'

I have spent over 30 years in industries ranging from brewing, foods, property and latterly pharmaceuticals and consumer healthcare.

I am convinced from my own experience that measuring intangibles for management purposes does improve performance.

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