The Impact of Intellectual Capital Dimensions on Organizational Performance of Public Hospitals in Jordan

Abstract

The purpose of this study was to explore the impact of intellectual capital (IC) dimensions on organizational performance (OP). IC, in this study, conceptualized as a variables comprises three main dimensions: human capital (HC), structural capital (SC), and relational capital (RC). The sample of the study consisted of 500 employees randomly selected from five public hospitals in the northern region of Jordan. Data were collected by a questionnaire developed base on the literature of intellectual capital and organizational performance. The number of questionnaires returned was 473 questionnaires. The questionnaire used in the study included 20 items, each of the variables was measured using 5 items anchored on five-point Likert scale. HC was measured by items related to employees’ knowledge, skills, experiences, education, motivation, commitment, creativity and innovation. SC items concerned organizational efficiency and effectiveness, procedures, culture, product or service-oriented innovation, and intangibles such as patents, image and trade secrets. While, RC items included organizational relationships with stakeholders, agreements, customer contribution and satisfaction. Finally, OP was measured using indicators concerned customer, employee development, individual and job fit. IMB SPSS-V.23 was used to analyze the collected data. The results supported the three hypotheses suggested in the study. That is, HC, SC, and RC were significantly influence OP. In agreement with prior studies, this study found a significant impact of IC dimensions on OP. the difference is that the current study is conducted in healthcare sector, particularly, in public hospitals. public hospitals are recommended to invest in their intellectual capital in order to improve OP. Future studies is required in more public hospitals in the kingdom in order to ensure generalizability of the findings.