The New Organizational Wealth: Managing and Measuring Knowledge-Based Assets (Hardcover)

~ (Author) "Shares in Microsoft, the world' largest computer software firm, changed hands at an average price of $70 during 1995 at a time when their so-called..." (more)
Key Phrases: industrial age perspective, invisible revenues, intangible revenues, Intangible Assets Monitor, United States, Ted Bates (more...)

Editorial Reviews

From Library Journal

A summation of nearly 15 years of work and experience by one of the best authors on the subject of managing the intangible, knowledge-based assets of a company. Sveiby's division of these intangible assets into three main categories (employee competence, internal structure, and external structure) is a useful approach. His book is packed with ideas and is clearly written.
Copyright 1999 Reed Business Information, Inc.

Product Description

This groundbreaking book offers practical advice and rules of thumb for designing a business strategy that focuses on knowledge as an intangible asset. In eight chapters, Sveiby assembles a veritable toolbox of knowledge-based management techniques to enable managers to meet the new business challenges of the coming century. 28 charts; 16 tables.

Product Details

• Hardcover: 275 pages
• Publisher: Berrett-Koehler Publishers; 1st edition (January 1, 1997)
• Language: English
• ISBN-10: 1576750140
• ISBN-13: 978-1576750148
• Product Dimensions: 9.2 x 6.8 x 0.9 inches
• Shipping Weight: 14.4 ounces (View shipping rates and policies)
• Average Customer Review: 4.4 out of 5 stars  See all reviews (10 customer reviews)
• Amazon.com Sales Rank: #430,976 in Books (See Bestsellers in Books)

Customer Reviews

Most Helpful Customer Reviews

9 of 9 people found the following review helpful:

4.0 out of 5 stars Knowledge as Wealth, April 5, 2000

By	Dave Kinnear "the Rational Taoist" (Lake Forest, CA USA) - See all my reviews (REAL NAME)

There is a thirst for understanding how to manage the "new" companies that are knowledge based rather than founded on product manufacturing. Here is a book to help with that quest. Sveiby explains that, as an example, the public was willing to pay, in 1995, an average price of $70 for Microsoft when their book value was about $7. In other words, the shareholders saw about $9 of additional value for every $1 of tangible assets on Microsoft's books. There is no entry on Microsoft's balance sheet for that $9, and it represents a major trend in our "post industrial" economy. How do we manage such an illusive asset? Sveiby steps us through (1) understanding the era of knowledge Organizations, (2) managing intangible assets, and (3) measuring intangible assets. There are practical examples of measuring systems, how to organize a company to maintain and transfer knowledge, and keys to developing professional competence. Sveiby defines, for the purpose of this book, knowledge as "a capacity to act." "One's capacity to act is created continuously by a process-of-knowing. In other words, it is contextual. Knowledge cannot be separated from its context. The notion also implies teleological purpose. I believe that the human process-of-knowing is designed by nature to help us survive in an often hostile environment." I learned about the professional's three life cycles - the super star, the statesman, and the normal professional. I learned about the classic problem of organic growth in our knowledge organizations. And I re-learned that "it takes time, experience, and mental effort to turn information into useful knowledge. And since recipients cannot know until afterward whether it was worth spending that time, information that turns out to be worthless is really worth less than nothing." For those trying to understand the new business model, this book is well worth the time and effort. It will help you move your company into the modern age.

9 of 11 people found the following review helpful:

5.0 out of 5 stars The New Organizational Wealth, January 23, 2000

By	Robin Lindbeck (Pepperdine University) - See all my reviews

Ever wonder why the market value of a company is so much higher than the "book value" of a company? Sveiby tells us it is the intangible assets of a company that make up the difference. In The New Organizational Wealth Sveiby focuses particularly on knowledge organizations for whom the intangible assets are particularly crucial. He describes the three categories of intangible assets (employee competence, internal structure and external structure) and, with examples from the real world, recommends strategies to maximize these assets through recruiting, management, organizational structure and thoughtful customer selection. The final section of the book provides concrete nonfinancial measurements we can each use to monitor these important intangible assets. The New Organizational Wealth is a terrific book and a superb reference for the measurement of intangible assets!

3 of 3 people found the following review helpful:

4.0 out of 5 stars Putting the knowledge economy on a sound business foundation, November 13, 2000

By	Doug Collins (http://www.gumshoeki.com) - See all my reviews

To this day, Sveiby's "New Organizational Wealth" stands apart in that the book remains one of the few to make a serious attempt to place the benefits of the somewhat nebulous concept of the knowledge economy on a sound economic and business foundation. (Paul Strassman takes a similar approach, but more towards the macroeconomic level, in his articles in Knowledge Management magazine.)

Readers of the "New Organizational Wealth" will likely want to visit Sveiby's web site to get access to some of the tools he has since developed to help implement systems to measure and improve upon a company's intangible assets.