Michael D. Moberly April 6, 2010
Unfortunately, there remain a significant percentage of management/leadership teams and boards whose perspective of intangible assets is, in my judgment, far too narrow.
My experience suggests, after having engaged literally hundreds of executives and management/leadership teams of all stripes, its clear many retain the outdated, if not obsolete, perspective that intangible assets exist primarily, if not soley, in the context of goodwill.
Yet ironically, when engaged about their company’s intangible assets, its routinely expressed in asset valuation and monetization contexts, without it seems, a comprehensive recognition and appreciation for the range of intangible assets that most companies, including theirs, have probably (already) developed, acquired, and are effectively using, but remain unnoticed and largely under their ‘mba oriented radar’.
Straight forwardly, I believe such a perspective represents a clear example of ‘the cart being ahead of the horse’. The more prudent and strategic approach I believe, and one which I find especially useful is to first engage management/leadership teams and boards in quick and above all, relevant exercises to broaden their perspective and understanding about intangible assets, well beyond the narrow goodwill only context.
In my judgment, a management team and board can articulate, design, and explore viable and company specific strategies to monetize and further profit from their intangible assets if they first genuinely understand (a.) what intangible assets, (b.) how to identify and assess intangible assets that exist within their company, and (c.) the assets contributions to company value, revenue, sustainability, and future wealth creation.
Once this occurs, attention should rightfully turn to exploring options and strategies to more effective leveraging, exploiting, and monetizing a company’s intangible assets!