A Closer Look at West Sumatra Public Universities Performance and Their Intangible Assets

Abstract

The objective of this study is to examine the impact of intangible assets on organizational performance. Intangible assets explained in this study are knowledge management, intellectual capital and organizational learning capability. This research was conducted at public universities located in West Sumatra. This research includes the survey research using questionnaires as the main data collections tool and a quantitative approach. Data were collected to the public universities’ lecturers and analyzed to test the hypotheses of this study. Method of data analysis in this study uses a statistical model with multiple linear analyses. Intangible assets were measured by using the concept of behavior. Moreover, it was found that knowledge management and intellectual capital significantly related to organizational performance. These results supported the organizational learning capability as moderating variable which influenced the relationship between knowledge management and organizational performance. The model stresses the importance of intangible assets that support the organizational performance at public universities. The results of this study indicate that at public universities in West Sumatra, improvement of intangible assets will lead to higher levels of organizational performance. It is advised for the public universities to obtain high ranking of international rating institutions such as webometrics. The results of this study are expected to provide benefits to all stakeholders who have interest in higher educations especially in intangible assets and performance.